Committed to a sustainable future
Renmark Paringa Council 2016/17 Annual Report
PARKS ANDÂ GARDENS
WASTE MANAGEMENT
HEALTH AND FITNESS
ASSET
MANAGEMENT
SPORTING FIELDS
SENIOR CITIZENS
LEARNING OPPORTUNITIES
STREET LIGHTING
COMMUNICATIONS
YOUTH ACTIVITIES
FOOTPATHS
CEMETERY
ECONOMIC DEVELOPMENT
FREE COMMUNITY WIFI
LIBRARY
ROADS
IMMUNISATIONS
SWIMMING POOL
PLANNING AND BUILDING HEALTH AND WELL BEING PREVENTION
BUSHFIRE
CARAVAN AND MOTORHOME FACILITIES
RISK MANAGEMENT
FOOD INSPECTIONS
COMMUNITY GRANTS
VOLUNTEER DEVELOPMENT COMPUTING CLASSES
STORM WATER RECYCLING
ENVIRONMENT
VOLUNTEERS CONNECTING WITH THE COMMUNITY
RECREATION CENTRE
MOSQUITO CONTROL
TOURISM
SKATE PARK
FAMILY ACTIVITIES
CONTROL OF PUBLIC INSURANCES FESTIVALS AND EVENTS
Annual Report 2016/17 Annual Report 2016/17
Contents
Mayor's Report
08
Chief Executive Officer's Report
10
Elected Member Information
12
Training and Development during 2016/17 for Elected Members
14
COMMUNITY HEALTH AND WELLBEING Community Development – General
18
Awards and Recognition
20
Arts and Culture
21
Grants and Support Funding
23
Chaffey Community Centre
26
Programs/Events at the Chaffey Co mmunity Centre
27
Multicultural Lifestyle Groups – Harmony Day Activities
29
Communications and Engagement
30
Staff Achievements
31
Alan Coulter Recreation Centre
32
Celebrating 100 years of Local Government in Paringa
33
Renmark Rose Festival
34
Tracks and Trails Strategy
35
Outdoor Cinema
37
Health 38 Hope Street – Art and Health Project
39
Library 40 Club and Volunteer Development
43
Volunteer Development and Volunteer Hub
46
Total Volunteers Hours
47
05
Annual Report 2016/17
Contents
A VIBRANT ECONOMY Visitor Information Centre
50
Visitor Numbers
54
Renmark Airport
56
Jane Eliza Masterplan
57
Urban Design Framework
58
Improvements to Council’s Treated Wastewater Irrigation Network
61
A SUSTAINABLE REGION Major Projects
64
Planning and Building
65
Regulatory Services
66
Waste Transfer Station
67
Infrastructure and Asset Management Plan
68
Renmark Paringa Landcare Committee
69
A POSITIVE EXPERIENCE Rates 74 Financial Performance
75
Human Resources and Risk Management
77
Decision Making Structure
78
Other Committees
79
Elected Member Committee Membership 2014–2018
80
Compliance Statement
83
APPENDICES Annual Financial Statements Murray Riverland LGA Annual Report
94 138
SPECIAL THANKS Photography supplied by staff and valued community member Grant Schwartzkopff
07
Mayor's Report
In 2015/2016 Council made the decision to rebrand the corporate image of Council to include a red ochre colour chosen to represent the rich, fertile red earth of our region as well as a blue to represent the meandering river that flows through it. This rebranding was rolled out this financial year with success and recognition by the Local Government Communicators Network for the strength of the brand. While this is a move to the future, Council also took time throughout the year to reflect, recognise and celebrate 100 years of Local Government in Paringa. One thing that continues to be of great satisfaction to me is something that we all know and love and that is Renmark is a great place to visit due to our warm climate, outdoor living and beautiful setting on the Murray River. With our ever expanding tourism experience offering (Twenty Third Street Distillery, The Frames, Pike River, Wilkadene Woolshed Brewery,
None of these wonderful events and achievements would be possible without the support of Elected Members, staff and volunteers who I thank for their continued support.
Renmark Rose Festival, Riverland Dinghy Derby, Arrosto coffee experience and in the coming year Murray River Queen restaurant and regional wine cellar door) more people are choosing to visit Renmark. Mayor, Neil Martinson
Testament to this was the Riverland hosting the South Australian Regional Tourism Summit in May 2017, which was a resounding success and an eye opening three days for delegates who were pleasantly surprised at the level and quality of tourism experience the Riverland has to offer.
Annual Report 2016/17
Celebrating 100 years of Local Government in Paringa I am also proud to acknowledge that in this year Council
The Young Citizen of the Year was awarded
has been named, amongst a series of other events, to
to Connor Bakaj of Renmark. In his 18 years,
host the following exciting events in 2017 and 2018:
Connor has contributed and been involved in the community more than some people may in their
—— 73rd National Conference and AGM of the Murray Darling Basin Association —— Ulysses Club National Conference with in excess of 2,000 delegates —— Gold Coast 2018 Commonwealth Games baton relay, one of only three stops in South Australia.
lifetime, which is an amazing feat to accomplish. His involvement in leadership positions at the Renmark High School, sporting and cultural activities underpinned his award recognition. The Community Event of the Year Award was won by the South Australian Rural Women’s Gathering Riverland which was held in Renmark in
I always consider it important to acknowledge
September 2016, attracting nearly 300 delegates
the recipients of our Australia Day awards as
who participated in more than 70 workshops
part of our Annual Report, as these are people
over the successful three day event.
and organisations who have been recognised by the community and Council for the voluntary
As always none of these wonderful events and
contribution they make to the community.
achievements would be possible without the support of Elected Members, staff and volunteers
The Citizen of the Year was awarded to Grant
who I thank for their continued support.
Schwartzkopff of Paringa, for his ongoing commitment as a local photographer who gives his free time to the community to take photos of events, activities and locations across the whole Riverland. The list of clubs Grant supports is extensive and the appreciation of the voluntary work that Grant does for these groups was clearly evident to Council when assessing the nominations, with many of these groups writing letters of support that were submitted with his nomination for Citizen of the Year.
09
Chief Executive Officer's Report
In 2010/2011 after recording an operating deficit of $745,761 Council set itself the long term goal of being in a sustainable break even position by 2017/2018. Having recorded operating surpluses in 2011/2012, 2012/2013, 2013/2014, 2014/2015 and 2015/2016 and budgeting for an operating surplus this financial year, the first time this has been achieved since the Council amalgamated in 1996, Council can confidently say it has achieved it’s sustainable breakeven position well ahead of schedule. With this in mind, Council has had a sustained focus in 2016/17 to develop a series of longer term strategies which could capitalise on Council’s strong balance sheet and negative Net Financial Liabilities ratio position and give Council options to invest in intergenerational debt for community benefit and financial sustainability. One strategic priority Council commenced working on this year was to create a ten year Urban Design Framework (UDF) of the Renmark Town Centre
We continue to grow a vibrant, diverse and efficient community.
Annual Report 2016/17
following the success of the UDF developed in 2007. Following extensive community engagement, Chief Executive Officer, Tony Siviour
Council endorsed the UDF in June 2017 and will commence seeking funding to implement the UDF, with a focus on activating the Northern Activity Precinct incorporating a riverfront waterplay area.
In addition, Council took the bold move of revisiting the Jane Eliza Waterfront Estate, endorsing a 30 year Masterplan vision for the site, which included investigating the feasibility of developing a renewable energy site in February 2017, commercial boat slip and expanded 120 berth off river houseboat marina. In May 2017 Council commenced the investigation into the renewable energy site, boat slip and houseboat
—— Development of a Masterplan for Plush's Bend Camping Area —— Expansion of the Calperum Industrial Estate Industrial and Transport Hub —— Development of Road Design for the Government Road Strategic Freight Route.
marina. This investigation work will continue and
I wish to take this opportunity to thank my Staff,
remain a focus of the 2017/18 financial year. 2016/17
Elected Members and Volunteers for their support,
also saw Council complete the following projects:
hard work and dedication. Too often we don’t take the opportunity to pause and celebrate the
—— Completion of the professional corporate rebranding of the Council —— Upgrade of the Renmark Swimming Pool
achievements made throughout the year. Providing an Annual Report to our community gives the opportunity to record what has been achieved
change rooms and various upgrades to
and celebrate the success as we continue to grow
the Alan Coulter Recreation Centre
a vibrant, diverse and efficient community.
11
Elected Member Information
Cr Allan Maddocks, Cr Frank Turton, Cr David Sims, Cr Mark Chown, Cr Jack Gibb, Cr Maria Spano, CEO Tony Siviour, Mayor Neil Martinson, Deputy Mayor Peter Hunter, Cr Helen Slade
The full Council meeting meets on the fourth Tuesday of the month commencing at 7.00pm. All meetings are held in the Renmark Paringa Council Chambers.
Annual Report 2016/17
SCHEDULE OF ATTENDANCE TO ORDINARY AND SPECIAL COUNCIL MEETINGS 1 JULY 2016 TO 30 JUNE 2017 ORDINARY MEETINGS
SPECIAL MEETINGS
Mayor Martinson
9
5
Cr Hunter
12
6
Cr Spano
9
7
Cr Turton
12
5
Cr Sims
10
5
Cr Maddocks
12
7
Cr Gibb
11
4
Cr Chown
10
6
Cr Slade
11
4
TOTAL Meetings held: 19
12
7
13
Training and Development during 2016/17 for Elected Members
Name
Date
Details
Mayor N Martinson
29–30/7/16
Mayors and Chairpersons Residential Seminar
19–21/9/16
Main street tour of Victor Harbor and Adelaide Hills
20–21/10/16
LGA Annual Conference and AGM – LGA of SA
19/12/16
Conflict of Interest and Informal Gathering refresher training provided by Kelledy Jones Lawyers
Deputy Mayor P Hunter
19–21/9/16
Main street tour of Victor Harbor and Adelaide Hills
19/12/16
Conflict of Interest and Informal Gathering refresher training provided by Kelledy Jones Lawyers
20–21/4/17
LGA Annual Conference and Ordinary General Meeting – LGA of SA
Cr M Spano
19–21/9/16
Main street tour of Victor Harbor and Adelaide Hills
19/12/16
Conflict of Interest and Informal Gathering refresher training provided by Kelledy Jones Lawyers
Cr A Maddocks
1–2/9/16
2016 Roads and Works Conference – LGA of SA
19–21/9/16
Main street tour of Victor Harbor and Adelaide Hills
20–21/10/16
LGA Annual Conference and Annual General Meeting – LGA of SA
19/12/16
Conflict of Interest and Informal Gathering refresher training provided by Kelledy Jones Lawyers
Cr M Chown
18–21/6/17
National General Assembly of Local Government
19–21/9/16
Main street tour of Victor Harbor and Adelaide Hills
19/12/16
Conflict of Interest and Informal Gathering refresher training provided by Kelledy Jones Lawyers
18–21/6/17
Annual Report 2016/17
National General Assembly of Local Government
Name
Date
Details
Cr H Slade
1–2/9/16
2016 Roads and Works Conference – LGA of SA
19–21/9/16
Main street tour of Victor Harbor and Adelaide Hills
19/12/16
Conflict of Interest and Informal Gathering refresher training provided by Kelledy Jones Lawyers
Cr J Gibb
19/12/16
Conflict of Interest and Informal Gathering refresher training provided by Kelledy Jones Lawyers
Elected Member Allowances 2016/17 GROUP 4 ANNUAL ALLOWANCES FOR 2016/17 WERE: Mayor
Elected members are paid an allowance for
Allowances determined by the Remuneration
performing and discharging the functions
Tribunal are to be adjusted on the first,
and duties of their office in accordance with
second and third anniversary of the relevant
section 59 of the Local Government Act 1999.
periodic election to reflect changes in the
In accordance with section 76 of the Act,
$36,712
the Remuneration Tribunal determines the
Deputy Mayor
determination applies to all members of a
$11,472 Councillors
$9,178
annual allowance for elected members. The Council in South Australia and is based on five council groupings. The Remuneration Tribunal has determined that the Renmark Paringa Council be allocated to Group 4.
Consumer Price Index. Council’s Elected Member Allowances and Support Policy sets out a comprehensive summary of the provisions of the Local Government Act 1999 and Regulations in respect to elected member allowances, expenses and provision of facilities, support and benefits. It also sets out the circumstances under which Council approves the reimbursement of additional expenses on a discretionary basis.
15
Community Health and Wellbeing
Community Development – General
SciWorld Workshop Council’s Community Development staff are passionate about assisting with the coordination and promotion of events and activities that enrich the well-being and inclusion of the whole community. These events and activities are of a wide variety and where possible involve working with other groups to develop partnerships, increase the promotion and help to build the skills of our community.
—— Star Wars Mania craft and storytelling at the Library —— T-shirt designing at the CCC —— Nature Play outdoor craft and activities and a jumping castle at the Library —— Nature art workshop and loose parts play adventure at the CCC
FAMILY ACTIVITIES AND SCHOOL HOLIDAY PROGRAM AND ACTIVITIES
—— Christmas craft activities at the Library —— Live puppet show at the Library
—— Cool 4 Kids music performances and photo booth fun at the Renmark Riverfront Markets —— ‘Coming up Roses’ Community Art and Photography Display held during Renmark Rose Festival —— Outdoor cinema
Annual Report 2016/17
—— SciWorld hands-on science workshops and shows at the McCormick Centre for the Environment —— Art and craft and face painting at Council’s Australia Day celebrations and a jumping castle at the Renmark Lutheran Church Free Easter Breakfast.
SENIORS
CULTURAL SUPPORT
Every Generation Festival 2016
A number of events were held at the Chaffey
A calendar full of events and activities for EGF was
Community Centre in celebration of Harmony Day.
put together and distributed to the community
Community members from a wide variety of local
to celebrate Over 55s in our community. This was
cultural groups enjoyed various activities, singing
a collaborative effort and included the Mayor's
songs, sharing stories from years gone by and came
Morning Tea for Seniors of the area, Riverfront History
together to enjoy a delicious spread of shared lunch.
Walk, Introduction to iPad, tablet, iPhones and
These sessions were led by Poppy Papageorgiou,
smartphone classes at the Library and much more!
Chaffey Community Centre Coordinator.
Council nominated the Riverland Woodworkers in
The Riverland Migrant Resource Centre coordinated
the Every Generation Festival 2016 Positive Ageing
a community celebration held at Chaffey Community
Awards in the Country SA PHN Club of the Year –
Centre for 2017 Refugee Week and Eid-Al-Fitr, a
Regional Category. They were announced the winners
day celebrated by Muslims worldwide that marks
at the Awards Dinner held in Adelaide in October.
the end of Ramadan, the Islamic holy month of fasting. Guest speakers included representatives
INDIGENOUS Reconciliation Week
from Council, the Riverland Multicultural Forum and the Afghani community. Council provided financial and in-kind support to this event.
Council commenced a partnership with the Chaffey Theatre – Country Arts SA in 2012 to bring a free community event to members of our community during
Indigenous supper for Reconciliation Week
Reconciliation Week. We were again proud supporters of ‘Black Screen’ held at the Chaffey Theatre on Thursday 1 June with eight Indigenous films, varying in topics and length screened free to the public. Aunty Frances Day carried out the Welcome to Country, with Mayor Neil Martinson welcoming all in attendance. A free Indigenous supper supplied by Council, was served at interval with those present enjoying the delicious array of food and beverages during the break.
19
Awards and Recognition
RECOGNITION OF NEW CITIZENS Renmark Paringa Council Citizenship Ceremonies saw 32 people become Australian citizens during 2016/17. Becoming an Australian citizen is a significant step for these people, and Council is privileged to be a part of the ceremonies.
AUSTRALIA DAY
—— Citizen of the Year was presented to Grant Schwartzkopff for his valuable contribution to the community, in particular his photography interest in which he assists many community groups, sporting clubs and community events by giving his time to take photographs and share with the community —— Young Citizen of the Year – Connor Bakaj was presented with this award due to his extensive
The 2017 Australia Day celebrations were
involvement in the community including
again held at the Jarrett Memorial Gardens,
sporting, citizenship and community service
with over 200 community members enjoying a free breakfast and witnessing the awards presentation of Citizen of the Year, Young Citizen of the Year and Community Event of the Year.
—— Community Event of the Year – South Australian Rural Women’s Gathering Riverland 2016. This event was held in Renmark from 9–11 September 2016 and attracted over 270 women from all around South Australia.
2017 Australia Day Award Winners with Mayor Martinson
Annual Report 2016/17
Arts and Culture
FOYER/DISPLAY SPACE The display area at the Renmark Paringa Civic Centre is available free of charge to artists, local community groups, agencies and schools to display their work and information to the general community. Displays held during 2016/17 included: —— Coming up Roses Art and Photography Display —— Riverland Special School – Henry Jock Walker Community Art Project. Council partnered with the Riverland Special School to apply for Country Arts SA funding, which the application was successful for $2,886. The grant enabled artist, Henry Jock Walker, to work with the community during the Renmark Rose Festival and create artwork by painting on canvases. He also worked with students from the Riverland Special School creating canvas artwork. All artworks created by the community and school were then put on public display at the Renmark Paringa Civic Centre, which included an official opening.
Civic Centre foyer displays
21
Youth Engagement and Support
Renmark High School SRC Leadership Camp at Monarto Zoo
RENMARK HIGH SCHOOL STUDENT REPRESENTATIVE COMMITTEE (SRC )
RENMARK HIGH SCHOOL AUSTRALIAN BUSINESS WEEK
Council assisted the SRC in developing their
Council were again business mentors at Australian
goals for 2017 and held a leadership workshop
Business Week (ABW) held at the end of June
in the Council Chambers. The workshop was
in 2017. ABW is an opportunity for students to
attended by 33 students and was facilitated by
work as a team and to put their business skills
Council’s Community Development Team using a
to the test. The mentors assist the students by
community engagement technique called ‘World
offering guidance and advice. It was a fantastic
Café’. This technique encourages participants to
experience for all involved and helped to strengthen
develop ideas themselves and work collectively
relationships between the School and Council.
as a group. The SRC commented positively on the workshop and Council is hoping to run this workshop again with the SRC early in 2018. Following this Leadership Day Council supported the Renmark High School SRC in attending a two day Leadership Workshop at Monarto Zoo. Simon Turk who oversees the Renmark High School SRC told staff “it was an amazing trip, students were awesome and the experience they got was priceless”. Council was thrilled with the feedback and proud to have supported our local youth develop further skills in leadership.
Annual Report 2016/17
BLUE LIGHT DISCOS Regular meetings with the Riverland Blue Light Committee and Council staff since September 2013 have highlighted a link between the aims and objectives of both organisations, and have resulted in the organising of many discos and working together to build youth leadership capacity in the Renmark Paringa Council area.
Grants and Support Funding COMMUNITY DEVELOPMENT GRANTS 2016/17
Applicant
Project Name and Description
Renmark Fire ‘Garford’
Purchase of the ‘Garford’ Renmark MFS early fire appliance. Will remain on
Appliance Committee
static display at Olivewood and be available for use at community events
Centacare Catholic
Purchase and installation of A Frame Swing at Riverland
Family Services
Domestic Violence secure housing property
The Ruby Hunter Foundation
Riverland NO:RI Music Festival 2016
Renmark Uniting Church
Providing emergency relief for people who are in circumstances
Approved Funding $4,000
$3,000
$2,000 $500
where they are unable to buy food for themselves and their families South Australian Rural
Event held in Renmark 9–11 September 2016
$2,000
Vitor Renmark Amateur
Vitor Renmark 2017 SA Country Championships held 6–9
$5,000
Swimming Club
January 2017 with over 600 swimmers competing
Sing Australia Riverland
Sound Support Project – purchase of sound support
Women’s Gathering Riverland
$1,160
equipment to assist with community performances Australian Landscape Trust
‘Sew what for Wildlife’ and ‘Penguin Bloom’
$3,000
joint exhibition and book promotion
In total, Council funded $20,660 in Community Development Grants with total project costs exceeding $300,000, which is an indication that the grants program is assisting a wide variety of programs and projects in our community.
Grant recipients
23
Grants and Support Funding COMMUNITY DEVELOPMENT GRANTS 2016/17
Applicant
Project Description
Carols in the Garden
Costs associated with preparation and running of event
$2,000 Financial Contribution
Chaffey Theatre – Country Arts SA
Ambassador Program sponsor
$2,000 Financial Contribution
Chaplaincy Renmark High School
Chaplaincy Program
$3,000 Financial Contribution
Renmark Neighbourhood Watch
Printing of quarterly newsletters
Renmark Rocks On
Costs associated with advertising and promotion of free community event
$2,000 financial contribution and $1,000 in kind support
Renmark Rose Festival Committee
Logistical, marketing and material support for the 2016 festival
$4,000 financial contribution and $2,000 in kind support
Renmark Sub Branch RSL
Conducting annual events in Renmark Paringa area eg ANZAC Day service, march and reception, Remembrance Day service and reception, ANZAC appeal and Poppy Day appeal
$1,500 Financial Contribution
Riverland Wine and Food Festival
Transport – bus service for patrons
$2,500 Financial Contribution
Riverland Youth Theatre
Annual rent of Renmark Institute and general maintenance
$5,000 No net cost to Council
St Johns Trinity Lutheran Church Renmark
Easter Saturday Breakfast event costs
Riverland Brass
General running of the band, maintenance of the hall, rates, insurances
$1,250 Financial Contribution
National Trust SA Renmark Branch Olivewood
Advertising and promotion of Olivewood, newspaper promotion, upgrading of information flyer, develop website exposure
$2,000 Financial Contribution
Renmark Christmas Celebration Committee
Running annual Renmark Christmas Pageant, general running costs, entertainment, purchase of new Santa’s Cave
$5,000 financial contribution and $4,000 in kind support
Brand SA Regional Awards
Support of Brand SA Regional Awards
$1,500 Financial Contribution
Renmark Primary School
Year 7 values award
$100 Financial Contribution
Renmark Senior Citizens Club
Electricity, water, phone etc
$200 Financial Contribution
Riverland Christmas Appeal
Assist with costs of expenses eg insurance, audit etc
$200 financial contribution and $1.500 in kind support
St Joseph’s School Renmark
Recognition of success of two x Year 7 students
$50 Financial Contribution
Annual Report 2016/17
Approved Funding
$800 Financial Contribution
$1,000 financial contribution and $500 in kind support
Applicant
Project Description
Approved Funding
St Vincent De Paul Renmark Conference
Purchase of non-perishable food to assist disadvantaged people living in the Renmark Paringa district
$500 Financial Contribution
U3A Riverland
Riverland Rendezvous event and Room and printing facilities at Chaffey Community Centre
$325 Financial Contribution and $500 in-kind support
Christmas Party for Special Children
Supporting children from the region who are suffering from one or more of the following – life threatening illness, physical and intellectual impairment, domestic violence, or living in underprivileged circumstances to attend the Christmas Party at the Adelaide Zoo
$440 Financial Contribution
Riverland Primary Schools Music Festival
Help with the production of our 20th Anniversary Riverland Primary Schools’ Music Festival and support in hiring a safe tiered stage, hire of the Chaffey Theatre and will also enable us to access many artistic and music professionals to help us stage our event
$250 Financial Contribution
Renmark North Primary School
School Awards
$50 Financial Contribution
Renmark West Primary School
School Awards
$50 Financial Contribution
Renmark High School
School Awards
$100 Financial Contribution
Renmark Christmas Celebration Committee
Running annual Renmark Christmas Pageant, general running costs, entertainment, purchase of new Santa’s Cave
Lions Club of Renmark
Maintenance of Welcome Wall and Renmark Cemetery
$2,500
Rotary Club of Renmark
Maintenance to Cemetery Garden
$1,000
Riverland Special School
Henry Jock Walter Community Art Project
$1,000
Riverland Woodworkers
Merry Month of May event
$5,000 financial contribution and $4,000 in kind support
$500
In total, Council funded $35,815 (financial contribution), $14,500 (in-kind/in lieu of rent) in Community Support Funding.
YOUTH GRANTS Applicant
Event Attended
Funding Amount
Georgia Pater
U15 Girls AFL Australian Championship
$200
Jake Stoeckel
State Country Team (Tennis SA) QLD Teams Carnival
$200
In total, Council funded $400 in Youth Grants that was able to assist applicants and their families with costs associated with their attendance at their event.
25
Chaffey Community Centre
The Chaffey Community Centre is a hub for community engagement which promotes connection, interaction, learning and community participation. This fulfills Renmark Paringa Council’s priority of promoting an active and engaged community which is supported by services and facilities that enhance the quality of life for its residents.
VOLUNTEERING AT THE CCC
ALTERNATIVE LEARNING OPTIONS
Chaffey Community Centre Volunteers
The Centre continues to deliver alternative learning
contributed 1,843 hours to the Centre which
options to the community through continuing and
is equivalent to around $50,590 in community
newly formed partnerships. These include; Tafe
benefit. The volunteers work in reception offering
SA, Chaffey Learning Exchange, RDGP – Riverland
and gaining clerical experience, assisting with
Division of General Practice, U3A, Volunteering
various events and programs and gaining skills
SA and NT, South Australian – SA St Johns.
while contributing to Centre activities. Further information about Council volunteering can be found at the CCC, Council and on the website.
REFERRAL SERVICE TO THE COMMUNITY The Chaffey Community Centre continues its function as a referral service to members of our community. The Centre continues to attract new bookings with Riverland, Regional and Adelaide City service providers. These organisations provide a referral/reference service and either program/training opportunities to members of our community. Areas covered include: Multicultural,
5,895
TOTAL CENTRE ATTENDANCE IN 2016/17
—— 2,137 attended workshops/computer, photography, self development, language and literacy session —— 878 attended community organised events —— 1394 visitors and general enquiries to the CCC for general enquiries —— 343 visits by service providers – servicing 1,181 clients
Disabilities, Legal, Advocacy, Citizenship, Immigration, Employment and Counselling.
—— 434 visits by volunteers offering 1,840 hours volunteering time at the CCC.
Figure is 379 higher for the 2016/17 year with a 7% increase in attendance for the year than recorded previously for the Centre.
Annual Report 2016/17
Programs/Events at the Chaffey Community Centre
The Chaffey Community Centre continues to deliver programs for alternative learning to the community with the following being delivered for the year.
PHOTOGRAPHY —— Camera and photography course —— Basic film making —— Create your own photobook.
COMPUTING/IT CLASSES —— Basic computing —— Getting the most out of your iPad or tablet —— Get to know your smartphone —— Basic computing for CALD members of the community —— Getting the most out of your iPad and tablet for CALD members of the community —— Email and internet —— Learn about social media —— All about Windows 10 —— Easy internet. The Chaffey Community Centre collaborated with the Renmark Paringa Public Library to hold two (2) IT sessions, ‘Getting the most out of your iPad or tablet’ and ‘Get to know your
SCHOOL HOLIDAY PROGRAMS —— Cupcake making and decorating —— Sewing – make your own scarf —— Re-play – Nature Play Festival —— Design and decorate your own mug —— Design your own t-shirt —— Macrame hanging —— Scrapbook journalling —— Board game fun.
iPhones/smartphones’. These pop-up sessions then offered the opportunity for participants to attend classes programmed at the Centre.
Thank you for the opportunity and presenting the iPad classes in the Greek language – I was able to learn so much and feel confident using this new machine. – Antonia 27
Programs/Events at the Chaffey Community Centre
Biggest Morning Tea
COOKING CLASSES —— Gluten and dairy free cooking —— Mindful baking – basic artisan bread —— Artisan bread – grains and soakers —— Artisan bread – sweet breads.
U3A
TAX Tax Help is a free and confidential service delivered from the Centre by volunteers trained and supported by the Taxation Department for community members who are on an income less than $50,000.
RIVERLAND CHRISTMAS APPEAL The Riverland Christmas Appeal with the support of the Lutheran Church group and the Chaffey Community
—— Creative writing —— Mah-jong —— Chess and board games —— Basic artisan bread making —— Yeast cooking —— Philosophy.
Annual Report 2016/17
Centre took registrations and delivered 130 hampers and toys to families and individuals in the Renmark Area.
COMMUNITY ENGAGEMENT The Biggest Morning Tea – raising awareness, educating and supporting those who have been touched by Cancer.
Multicultural Lifestyle Groups – Harmony Day Activities
HARMONY DAY
ARTIST IN RESIDENCE
The Chaffey Community Centre together with the Riverland
Creativity and Wellbeing
Lifestyle Group – Uniting SA Ethnic Link and Country Health Connect facilitated four sessions with members of the CALD community for Harmony Week in 2017. Chaffey Community Centre staff worked with Ferda Sen and Elsa Loulas on developing and delivering the program for each of the four (4) lifestyle groups which include members from the Greek, Italian, Croatian and Turkish Lifestyle Groups. The day’s program included a presentation on Harmony Day, group discussions and feedback, activities and lunch.
The Chaffey Community Centre participated in SALA (South Australian Living Artists) Festival in the month of August 2016. Sara Strachan volunteered her time and facilitated a number of workshops during the month exploring the relationship between creativity and wellbeing in the community both in the Centre, together with pop-up workshop visits with the Multicultural Lifestyle Groups. Ninety (90) people contributed and participants shared their experiences while describing the effects it has on their well-being.
Thank you for hosting us at the Chaffey Community Centre, it is important to come together and talk and learn from each other. Harmony Day should be more inclusive and not only for the multicultural groups. We would like to come together with Australian ladies so that we can share and learn from each other.
Our Artist in Residence Sara Strachan
29
Communications and Engagement
2, 945 likes!
61
posts
282
followers
Murray Pioneer Strong and positive coverage in Murray Pioneer Newspaper on a weekly basis
2 channels, 'Renmark Paringa Council' focusing on Community and 'Renmark Paringa Experiences' focusing on tourism
257 251
followers tweets
2 newsletters 26 newsletters distributed
Annual Report 2016/17
Staff Achievements
From left to right Andrew Brookes, Stephanie Coughlin, Tony Siviour, Lorraine Rosenberg, Brian Warner, Mayor Neil Martinson, Tim Vonderwall, Emma Warner
LOCAL GOVERNMENT PROFESSIONALS AUSTRALIA, SOUTH AUSTRALIA '16TH ANNUAL LEADERSHIP EXCELLENCE AWARDS' Stephanie Coughlin, Council’s Community
Council is extremely proud of Stephanie’s
Development Team Leader was announced as the
achievement and it is a tribute to her enthusiasm
‘Emerging Leader of the Year 2017’ at the Local
for the sector which she is extremely passionate
Government Professional’s awards dinner in Adelaide
about. From the award Stephanie will speak at
held on 7 April. Stephanie progressed to the next
Local Government events and provide mentorship
level and was invited to attend the Local Government
to those in the sector and community.
Professionals Congress held in Hobart, Tasmania where she was as a finalist. Stephanie was announced as the runner up for the National Excellence Awards.
31
Alan Coulter Recreation Centre
On Saturday 19 November 2016 the official launch of the
Although Belgravia Leisure has taken over the lease
Alan Coulter Recreation Centre was held in Renmark.
of the Recreation Centre, Alan will remain at the
Renmark Paringa Council and Belgravia Leisure
Centre to manage his rehabilitation programs.
(managers of the Recreation Centre and Renmark
Mayor Neil Martinson said “we are extremely
Swimming Pool since October 2016) have worked
proud of Alan and his dedication to improving
together to rename the Recreation Centre to
the health and well being of our residents in this
the Alan Coulter Recreation Centre as both
area. We are so pleased that our community
organisations wished to acknowledge and recognise
came out to join us in congratulating Alan for
the significant input which Alan Coulter had made
all his hard work on Saturday 19 November�.
to the health and well being of the community.
The Community event included the unveiling of the
Alan has been at the Recreation Centre for over 36
new signage, a jumping castle, BBQ and speeches
years and in that time has helped tens of thousands
were given by locals who knew and worked with
of people either through coaching or rehabilitation.
Alan. The event was attended by approx. 150
Alan is a wonderful asset to the Renmark Paringa
people and nearly 2,000 people viewed the live
Community and Belgravia Leisure and Council are
video of the event which was filmed by Council.
honoured to have the Centre named after him. Alan Coulter at the launch of the Centre renaming event
Annual Report 2016/17
Celebrating 100 years of Local Government in Paringa
Community listening to previous staff and elected members sharing their stories of District Council of Paringa On Sunday 20 November 2016 Paringa celebrated 100
The Centenary was held at the Renmark Paringa
years of Local Government at the Renmark Paringa
Community Museum. The museum hosts a vast
Community Museum in Paringa. The event although
collection of agricultural equipment which has been
hot (40 degrees) was a success and we would like to
used in the Region since it was first populated. The
acknowledge and thank previous District Council
Museum itself is interactive and allows visitors to move
of Paringa Staff and Elected Members for attending
around at their own leisure with many stations set up
it and sharing their stories from their time on the
with interesting facts about the Region. The event also
Council and to the 400+ guests who attended.
included live entertainment and treasure hunts for kids.
The District Council of Paringa was amalgamated
Heather Everingham, Local Historian from
with Renmark in 1996 to form Renmark Paringa
Olivewood Estate, gave fantastic historical
Council and the last General Manager of the
accounts on Paringa's history from when the first
Paringa District Council, ‘Neil Martinson’ is
settlers came to Paringa and how it evolved into
now Renmark Paringa Council’s Mayor.
the town we know today. Heather’s knowledge greatly assisted Council in organising the event. It was a fantastic opportunity for current staff and Elected Members to speak with previous staff and Elected Members from the District Council of Paringa and hear how Local Government has evolved in the last 20 years and how it has shaped our Council area.
33
Renmark Rose Festival
Left to right: Connor Bakaj, Stephanie Coughlin (Community Development Team Leader) and Celeste Newbery. Council continued its support to the Renmark Rose
The calibre of participants was extremely high
Festival ‘Rose Ambassador Program’ which sees
and as such two participants were chosen to be
participants promote the Renmark Rose Festival by
the Renmark Rose Festival Ambassadors for the
hosting a series of events building brand recognition
year ahead; Connor Bakaj and Celeste Newbery.
and the profile of the Ambassador participants.
They will both promote the festival and the
As well as promoting the program, Council staff supported the program by offering mentorship and leadership to the participants. The Rose Festival Gala Dinner was held on Saturday 22 October on Renmark’s Riverfront.
Annual Report 2016/17
Region through their networks and assist in the development of the 2017 Renmark Rose Festival.
Tracks and Trails Strategy
55
44
L2
L2
3L23
66
LOOP 2 Goat Island
L2
LOOP 2 Goat Island
RO
AD
nt
Ty LO
C
K
d
C12 Caution C13C14
C11
5
10 10 L2
15
L2 15
33 33
LOOP 1 Paringa Paddock
24 24
Goat Island
31 31
26 26
25 25
C9 C8
32 32
30 30
28 29 28 29
26A 26A
Cable on ground
C10
99
L2
Caution Obstacle
27 27
en
B ree
14 14
L2
Paringa Paddock
13 13
C7
y rra Mu
22 22
21 21
19 19
B12
B3 B4 A8
12
18 18
A9
RE ST
LOOP 1 Paringa Paddock
E TE
O PI TA
NE NI
VE O
HO
PK
RE
ET
S IN
H NT
D A
H IS
T G
HT
ST
EE
RE
ET
ET
AP PY
RE
ST
T
AY W AIL
ST
E RE
R
H NT
H NT
TO
O
TH EN
RY STO
F IF
E
RA
RE
R TE
ST
NT
T EN
E TE
C
E VA NS
RN LA
EE
GR
EI
R ST
TE S IX
11
ES
toilet
CR
Caravan Park
41 41
Caution Obstacle
E AV
42 22 42
E4
DA
33
S TURT HWY
E3
40 40
44
88
EE NT VE
77
9 9
SE
10
ST
E AV
11 11 12 12
ET
E2
UK
13 13
39 E1 39
KO
A3 A2
5 5
RO
66
14 14
BR
17 17 16 15 15 A1 16
D2 A1
D3
D5
TO
A4
A10
35 D1
35
KO
B7 B5 B8 B6 A7 A6 B10 B9 A5 B11
D6
38 38
B2 B1
C2
Paring a Bridg e
36 36 Caution Dennis & Ed’s Water Crossing D4
20 20
C1
C3
11 11 L2
12
L2
LOOP 1 Paringa Paddock 37 37
er Riv
34 34
23 23
C4
LOOP 2 Goat Island
L2
C6 C5
88
L2
16 17 2L22 17 L2 L2 16 1 18 1L2 L218
no access across lock
Lock 5
7
7
L2
Through the Tracks and Trails Strategy three
Significant earth works under the Paringa Bridge
trails were identified and completed in 2016/17.
were completed, trail clearing and widening at
All three trails are walking, cycling and running for
Bookmark Creek and clean up works at Paringa
individuals and families to enjoy. The trails were
Paddock after high river event to improve safety
selected for a number of reasons, including:
and increase access of all three trails. In addition, signage was installed along all three trails and
—— The location, the proximity to Renmark and Paringa town centres, as well as proximity to caravan parks
professional maps designed and installed. Paringa Paddock Trail is a walking, off road cycling
—— The already existing and extensive
and running trail with bush and river scenery.
network of trails within the area
The trail is designed to be used in a clockwise
—— The opportunity for a safe experience in the natural environment —— Points of interest, fish ways, locks, benches, story boards and facilities —— Suitable terrain for majority of the community —— Appeal to tourists and locals.
direction and features two main loops and five alternative routes that offer more challenging terrain and obstacles for the adventurous. Paringa Paddock Trail opened on Saturday 27 May with a Fun Run, Walk and Cycle followed by a BBQ thanks to Renmark Lions Club with approximately 100 community members in attendance.
35
Tracks and Trails Strategy
UE
N AVE
RK
Boo
reek
ark C
19 16
A7
LE
Renmark Paringa District Hospital
8
LEVEE
6
MARRARA STREET
7
E
No.1 Oval
TWENTYFIRST
Water Treatment Station
STREET
PARINGA
High School
R AL R AL
5
R AL R AL
3
A6
No.2 Oval
HALE
2
A2 4
A5
VE
E
A3
A1 1
VE
11
10 17
9 A4
LEVEE
13 12
AVE NUE
21
18
22
LE
a
15
20
STREET
m Book
14
ek
re rk C
km
MA
OK
BO
EE
S TR E E T
LEV
AVE NUE
Pony Club
Dog Park
Bookmark Creek Trail is another walking, off
Lock 5 Loop is a walking, on road cycling and running
road cycling and running trail with wetland and
trail with river and riverbank scenery. This trail starts
creek scenery. This trail is designed to be used
along the flood bank adjacent to Sturt Highway
anti-clock wise starting along the flood bank
and heads towards Paringa, crossing the historic
and encircles the wetland and follows the creek
Paringa Bridge then circles under the bridge to reach
with one alternative route for dry weather.
Bert Dix Park before following Lock 5 road to the
Bookmark Creek Trail was opened on Sunday 21
Lock. Lock 5 is the turnaround point for the loop.
May with a Guided Walking Tour lead by Bookmark
Lock 5 Loop trail works were completed late
Creek Action Group members followed by morning
June 2017 and the final opening planned
tea provided by Renmark Paringa Council.
for the trail to be held late 2017.
Under Paringa Bridge, Lock 5 Loop
Annual Report 2016/17
Outdoor Cinema
We were thrilled and overwhelmed with the success
The atmosphere for the night was set on the beautiful
of the Outdoor Cinema “Movie under the Stars” that
setting on the Renmark Riverfront with fairy lights,
was held in the April 2017 school holidays. The family
a picket fence border and some seating provided. It
animation movie “Secret Life of Pets” was screened on
was also beneficial having the road closure on Murray
a 6m wide screen, with over 500 people in attendance.
Avenue between Para Street and the Renmark Club
Local catering businesses in attendance for patrons
car park exit as there was no road noise during the
to purchase food and drinks from included Little
movie and also was much safer for patrons without
Miss Daisy (hot drinks, milkshakes and desserts),
traffic close by. The feedback we received on the night
Gudge’s Fish and Chips, Amanda’s Catering Service
and following has been extremely positive, with many
(hot potatoes and lasagne), Renmark Club (pizza) and
saying what a great idea it was for a community event. A
Funky Monkey Café (hamburgers, hot dogs, hot chips,
booking has been made with the Cinema Hire company
popcorn etc). Many people also bought along their own
for the next one, making it an annual event. Our next
food and drinks which made for an affordable night
Outdoor Cinema will be held on Saturday 14 April, 2018.
out, with the event being free of charge to attend. Outdoor Cinema
37
Health
Public Health plays a daily and often unseen role to protect, maintain and promote community wellbeing. When you think about the activities you undertake on a daily basis, quite often you have been provided with a public health service.
HAVE YOU EATEN AT A CAFÉ TODAY? Council is committed to ensuring the community has safe water and food supply. Routine inspections are undertaken of food businesses in the Council area to ensure that appropriate food safety standards are maintained. Council is also dedicated to providing
HAS YOUR CHILD BEEN VACCINATED TODAY? Council’s monthly immunisation clinic proves to be
comprehensive information to anyone starting a new food business, so they are equipped with the correct procedures from the beginning.
a well supported community service. At this clinic, childhood vaccines are given to children four years of age or under – it also enables any children or high school students who have previously missed vaccines to commence a catch up schedule. In 2016/17 a total
HAVE YOU APPLIED MOSQUITO REPELLENT TODAY? Council has an ongoing partnership with Uni SA to
of 147 people were immunised through this service.
monitor the presence of mosquito breeding sites
Each year Council staff attends the Renmark
this year there was minimal mosquito activity
High School on up to three different occasions to
and human cases of mosquito borne disease.
within our area. Results have shown that during
administer vaccines. In 2016/17 there were a total of 225 vaccines given to students in year 8.
HAVE YOU FLUSHED YOUR TOILET TODAY?
In 2017, Council also facilitated the 'B Part of It' Meningococcal B Herd Immunity
Through wastewater system assessment processes
Study at Renmark High, where 212 students
and inspection procedures, Council is able to monitor
from Years 10, 11 and 12 participated.
and implement the safe disposal of wastewater. In 2016/17 Council’s EHO issued 65 wastewater system approvals – including new system installations and any alterations to existing systems.
Annual Report 2016/17
Hope Street – Art and Health Project
This project was born out of the Regional Public Health Plan 2013–2018 that was developed by the constituent Councils of the Murraylands and Riverland LGA being: Renmark Paringa, Berri Barmera, Loxton Waikerie, Mid Murray, Coorong, Murray Bridge, Southern Mallee and Karoonda East Murray Councils. Mental Health is identified as a strategy to be addressed in the Plan. Council had also identified mental illness as a strategy in the 2016–2020 Community Development Strategy and was thrilled to partner on this project with Country Arts SA.
We are so pleased that this has been done through Street Art and on the Renmark Paringa Public Library wall as the Library is a community hub, a place for many people to meet and socialise. We love what artist Jack Fran has done and the vibrancy which he has brought to James Avenue.
Renmark Paringa Council and Country Arts SA Staff with Artist, Jack Fran in front of Hope Street Mural
39
Library
The Renmark Paringa Public Library is a focal point for community engagement and participation, providing welcoming spaces, accessible collections and an exciting program of activities that emphasise the value of literacy and learning.
LIBRARY USAGE IN 2016/17: —— 43,063 library visits —— 3,948 library members —— 64,000 library loans —— 108 library events —— 2,014 attendance at library events.
LIBRARY WIFI SPACE AND DIGITAL PROJECT Continual improvements to library spaces included the development of a multi-purpose space to be used for both events and digital use with Wi-Fi access and device charging facilities. The use of the space has increased considerably with the ability to offer additional services to the community. The installation of digital screens within the multi-purpose space and circulation service desk promote and inform the community about library, council and other community events and services.
Annual Report 2016/17
Program Highlights:
LIBRARY FIRE Thanks to the generous support of the community and volunteers the Library managed to reopen within two weeks after a fire in the library after hours returns chute caused considerable damage to the front doors and foyer of the library. Volunteers assisted with the mammoth task of cleaning the smoke and ash from the entire collection of 20,000 library items.
—— Celebration of Children’s Book Week —— Summer Reading Club —— School holiday programs —— Babies love books —— Weekly preschool storytime —— Author events
PROGRAMS AND EVENTS
—— Puppet show
The Library continues to focus on engaging the community and creating a sense of excitement through programs and special events that
—— Technology training for Seniors —— Reading groups.
emphasise the value of literacy and learning.
St Joseph's School Renmark students visiting the Library for Book Week activities
41
Library
St Joseph's School Renmark students trialling the 'Maker Party in a Box' equipment
MAKER PARTY IN A BOX Renmark Paringa Library was selected to be the first regional Library in SA to receive a donation of technical equipment designed to encourage digital innovation for primary school children. The donated digital activities, known as ‘Maker Party in a Box’, associated with Telstra’s Kids Fund Digital Futures Program aims to boost technology and digital abilities in young people living in regional areas. A range of programs for school children were held utilising the digital equipment with further plans to develop programs to engage with local schools.
Annual Report 2016/17
Club and Volunteer Development
ABOUT CVD The CVDO role aims to achieve the following outcomes for these Community groups, clubs and associations: —— For them to be well managed —— Sustainable —— Better able to meet their legislative requirements —— Be financially stable —— Have a strong membership base and —— Recruit, recognise and retain volunteers. Regular professional development workshops and training sessions on relevant topics were held with representatives from all user groups invited to attend. Other supports and resources provided included; mentoring, supplying information, direction to resources, financial incentives, and access to skilled professionals.
43
Club and Volunteer Development
WORKSHOPS HELD IN 2016/17 —— Volunteering SA and NT Induct, Reward, Retain Workshop —— ORS Child Safe Officers Course —— St John Ambulance SA Provide First Aid Course —— Volunteering SA and NT Grant Writing for Beginners Workshop —— ORS Insights From a High Performance Coach – featuring Joey Wright.
There were a total of 122 attendees across the six sessions and 71 Community groups, Clubs or Associations represented.
Joey Wright presenting Insights from a High Performance Coach
Annual Report 2016/17
MAJOR FOCUS The Club and Volunteer Development Program coordinated a Conference and Expo on Sunday 7 May 2017 called ‘Sustainable Communities’ which aimed to help shape the future for community groups. The keynote speaker for the conference was Joey Wright, Head Basketball Coach of the Adelaide 36er’s. Joey spoke about his life to date which has involved moving to Australia, raising a family here, his career in coaching basketball and the challenges which he has faced during his personal and professional life. There were a total of 49 attendees to the various sessions of the Conference and a total of 98 people passed through the Expo which had 19 Stalls (14 Community Groups and five Support Organisations). On the day there were 26 Community groups, Clubs or Associations represented.
Sustainable Communities Conference and Expo
45
Volunteer Development and Volunteer Hub
BETTER IMPACT PROGRAM
VOLUNTEER EVENTS
(September 2016) CCC staff had training in the
International Volunteers Day/Volunteers Christmas
Better Impact (volunteer management and
celebration 5 December 2016 – thank you lunch
data base software). This will improve record
at the Renmark Hotel. Council acknowledged the
management of volunteers and communication via
contribution of volunteers who offer their time to
emails and newsletters in a central database.
council activities. The council values and appreciates the expertise, time and energy volunteers provide to
VOLUNTEERING FOR RENMARK PARINGA COUNCIL
27
Volunteers contributing
2,941.25 hours total $80,884.38
worth of contributed hours
the various projects and programs which ultimately benefit the Renmark and Paringa communities. National Volunteers Week celebration May 2017 – Thank you morning tea at the CCC. National Volunteers Week occurred between 8–14 May and Renmark Paringa Council hosted a thank you morning tea for all their volunteers on Thursday 11 May at the CCC. Guest speaker Sheree Cameron was invited to address the group on the benefits and well being aspects of volunteering. New promotional material being a new volunteering brochure and DL flyer. Volunteers were issued with a new polo top displaying volunteer and RPC logo.
Council appreciates the ongoing support, assistance and involvement of volunteers at the CCC, VIC and Library.
NEW VOLUNTEERING BROCHURES CCC volunteers have completed the RPC 'I’m Alert – Food Safety Training Handling Course' online from Council’s website, due to the occasional food handling events that take place at the Centre.
Elected Members and Staff with Volunteers of Council at the National Volunteers Week Thank You Morning Tea
Annual Report 2016/17
Total Volunteers Hours
MONTH
CCC
VIC
July 2016
156.5
109
August 2016
167
97.5
September 2016
118
82.5
October 2016
99.5
104.5
November 2016
160
56.50
December 2016
132
97
January 2017
114.25
92.5
February 2017
138
71.5
227.50
95.5
April 2017
143
76.5
69
May 2017
226.75
54.5
5
June 2017
160.75
84.5
2
1,843.25
1022
76
March 2017
Total
LIBRARY
47
Annual Report 2016/17
A Vibrant Economy
49
Visitor Information Centre EVENTS
The Renmark Paringa Visitor Information Centre continues to be at the forefront of tourism in the Riverland with solid visitor numbers through the door
Other key achievements include:
TOURISM EVENTS COMMITTEE
during the 2016/17 year. The exceptional presentation
An initiative of the Renmark Paringa Council, the
of our towns, parks and gardens, river frontage, the
Tourism Events Committee (Section 41) was formed in
ongoing development of new tourism products and
2016. The committee is chaired by the Renmark Hotel’s
the easy access routes from the eastern states
Michael Schuetze and includes representatives from
all contribute positively to attracting national
the Renmark Club, Elected Members, Destination
conferences and rallies, many of whom return to
Riverland and other key local tourism contributors.
our area, bringing people and economic growth.
Ultimately the group is charged with enhancing and
Some notable events hosted in the district during the 2016/17 period include: —— Australian Junior Motocross Championships – September 2016 (600 competitors plus families) —— SA Rural Women’s Gathering – October 2016 (280 people) —— SA Country Swimming Championships – January 2017 (2,000 people) —— Studebaker Car Club – April 2017 (100–400 people).
Annual Report 2016/17
bolstering tourism and events activity in the district for economic and community benefit. The group meet on a monthly basis and have recently had a Tourism and Events Business Case developed to identify current and future event opportunities, process and resource development gaps and the appropriate additional resources to facilitate these processes.
RIVAFEST A move to a mid January date proved successful for
The fireworks display was a highlight for many,
our boutique event, Rivafest. Set on the majestic
especially families and children. Event organisers
Renmark Riverfront, the renewed focus on showcasing
were very pleased with all aspects of the evening,
local craft beverages and regional produce was well
with the enthusiastic crowd enjoying the range of
received by both attendees and stallholders, with some
entertainment on offer and relaxed mood of the event.
excellent feedback and ideas to incorporate into the 2018 event planning. Event attendance numbers far exceeded expectations with over 1,300 people through the gates, an increase of 283% on the previous year.
Rivafest 2017
51
Visitor Information Centre EVENTS
SA REGIONAL TOURISM SUMMIT The Riverland hosted the 2017 SA Regional Tourism
A number of events were hosted in the Renmark
Summit in May, with over 100 representatives from
Paringa district including Pike River Villas, Renmark
South Australian Visitor Information Centres (VIC),
Hotel, Renmark Club, 23rd Street Distillery, Ruston’s
Local Government and Tourism Operators attending
Rose Garden and Wilkadene Woolshed Brewery.
the three day event. The Summit, which incorporated
The Riverland VIC Managers were very pleased with
the annual SA VIC Conference, saw many hours of
the opportunity to showcase the region and the
planning by the five Riverland VIC Managers come to
positive feedback received throughout the event.
fruition with the program including guest speakers, professional development opportunities, off site study sessions and regional dining experiences.
SA Regional Tourism Summit
Annual Report 2016/17
Twilight Markets
MARKET DAYS
RENMARK ROSE FESTIVAL
The Twilight Markets were introduced in February 2017
The Renmark Rose Festival continues to attract visitors
to enhance the tourism offering over the weekend of the
from both South Australia and Interstate to our district to
Red Bull Dinghy Derby. With an influx of visitors to our
experience roses at their best! With a strong and focussed
district and no formal events scheduled on the Saturday,
organising committee, supportive venues, new experiences
an opportunity arose to develop and create a new event
and open gardens, the event stimulates interest in the
whilst showcasing our riverfront area. The markets saw
Renmark area from both returning and new visitors
over 30 stallholders in attendance and proved to be quite
alike. With over 10,000 people reported to participate
popular, especially with families, with over 500 people
in scheduled events throughout the ten day festival,
enjoying the evening. The Renmark Riverfront Markets
Visitor Centre patronage also peaks during this period.
are now a well established event in the July calendar and attract interest from many local and interstate stallholders. Established to promote year round utilisation of the riverfront precinct, the event has seen continued success and attendance rates and are looked forward to by the local community, though the weather and other locally scheduled events can impact attendance at this time of year.
53
Visitor Numbers RENMARK PARINGA VISITOR INFORMATION CENTRE 2013–2017 VISITOR NUMBERS
7000
6000
5000
4000
3000
2000
2016/2017
Total visitors over the last four years
2015/2016
2014/2015
Year Visitors 2013/2014 26,140 2014/2015 29,621 2015/2016 43,434 2016/2017 39,790
Annual Report 2016/17
2013/2014
June
May
April
March
February
January
December
November
October
August
July
0
September
1000
Visitor Numbers RENMARK PARINGA VISITOR INFORMATION CENTRE 2016/17 VISITOR SURVEY
Other – 1% International – 7%
Riverland – 22%
Tasmania – 1% Western Australia – 5% Queensland – 7% ACT – 1%
New South Wales – 18%
55%
Interstate Visitors
South Australia – 22%
Victoria – 22%
Out of those surveyed 45% of Visitors come from South Australia 48% from Interstate and 7% International.
55
Renmark Airport
In 2016/17 Council received $47,685 in grant funding to repair and replace parts of the fencing surrounding the Airport. This project has improved the incursion of native fauna which are a high risk to airport users.
3,185
Landings in 2016/17, including 423 landings by the Royal Flying Doctors Service
Newly installed fencing
Annual Report 2016/17
Jane Eliza Masterplan 1. Existing Jane Eliza Estate 2. Future Marina Estate 3. Tourist Accommodation 4. Marina 5. Cable Wake Park (option) 6. Commercial 7. Commercial/Fuel Station 8. Future Rural Living 9. McCormick Centre for the Environment 10. Trail Entry and Information 11. Ephemeral Wetlands and Vegetation 12. Johnson's Waterhole 13. Eco-tourism 14. Eco-tourism/Education/ Workers Camp 15. Road Link to Ral Ral Avenue 16. Masterplan has flexibility for long term expansion of recreational water body 17. Renewable Energy – Solar Farm
Zone Boundary Study Area
In February 2017 Council endorsed the 30 year
With feedback from Department for Planning Transport
Masterplan for the future development of the next
and Infrastructure Marines Services, Houseboat Hirers
stage of the Jane Eliza Waterfront Estate.
Association, Boating Industry Association, Riverland
Originally conceived as a river based marina, tourist, commercial and residential development in 1986 by the Showell family, while it struggled with sales in the initial stages due to the interest rate levels there has been steady sales in the last four years leading Council to plan
Development Australia Murraylands and Riverland and Destination Riverland the consultant team have developed a long term vision for the site which includes; —— 120 berth houseboat marina
for what future stages of this Estate would consist of.
—— 240 predominately waterfront residential allotments
In December 2015 Council engaged a consortium
—— 100 tourist accommodation allotments
of consultants led by Masterplan Town and Country Planners which included Ian Robertson Design, Tonkin Consulting, Jones Lang LaSalle, System Solutions and Rider Levett Bucknall.
—— Upgraded boat slip area —— Eco-tourism area —— Renewable Energy site. Given the current climate of the energy market in South Australia on adoption of the Masterplan, Council immediately commenced investigating the merits of a business case of developing a Renewable Energy site.
57
Urban Design Framework
Murray Avenue, Renmark In early 2004, Council initiated a comprehensive
The document was advertised and sought
Urban Design Framework (UDF) project to ensure
a multi-disciplinary design-led team that
the planning for the Renmark Town Centre was up
could demonstrate experience in:
to date, reflective of community aspirations and well aligned to meet future needs. The final UDF report
—— innovative design thinking, approaching urban
was published in June 2005. This document was
design as an integrated social, economic
well implemented and was due for review in 2016.
and ecological design challenge
Council created an Expression of Interest (EOI) document to create a new UDF that included (6) key themes: —— Business and economy —— Public domain, streets and open space —— Housing growth and diversity —— Sense of place and identity —— Urban design excellence —— Sustainability.
Annual Report 2016/17
—— strategic urban regional planning, and —— assembling and leading a multidisciplinary team comprising a diversity of disciplines including but not limited to: architecture, landscape architecture, urban design and planning, transport planning, sustainable design and community consultation.
Renmark Riverfront
In November 2016 Council engaged Jensen Planning and Design (now known as Jensen Plus) to undertake the project with their multi-disciplinary design led team. Jensen Planning and Design then produced a Renmark UDF Engagement Framework (see attachment 1) that detailed how they would engage with EM’s, staff and the community to obtain adequate information to enable a draft document to be completed. Following the initial engagement a draft document was produced. The Draft Urban Design Framework was tabled at the May Council meeting and released for public consultation on 25 May 2017. Since the opening of the consultation, the following has been undertaken:
—— Riverfront Engagement – Saturday 3 June Staff and Elected Members set up a stall near the finish line of Parkrun and engaged the public. During this well received session 15 written submissions were provided and all were positive. —— Renmark Plaza Engagement – Thursday 15 June Staff and Elected Members engaged the community at the Renmark Plaza and received both written and verbal feedback. The majority of discussion was again very positive. —— Civic Centre Display Entire consultation period the foyer had a display and submission forms to enable community
—— Presentation night – Thursday 1 June
members to comment and were informed.
The consultants, Jensen Plus, formally launched the draft framework to the community. This night was attended by more than 40 people that included stakeholders, business owners and landlords from Renmark. During the evening the consultants discussed the document and the proposed stages and participants were asked to vote for the areas they considered should be implemented first.
59
Urban Design Framework
The results strongly support that the community agree that Stage 1A should commence first. It also recommended that Stage 5 be commenced at the same time due to the safety aspect. It is envisaged that after construction of Stage 1A the amount of foot traffic wanting to access that area would be greatly increased. It is therefore important to slow traffic at the intersection of Ral Ral/Murray Ave and Renmark Avenues and make this area pedestrian friendly. Council staff are actively seeking funding opportunities for the UDF document and once approved will apply for possible funding in 2017/18.
Renmark Riverfront
Annual Report 2016/17
Improvements to Council’s Treated Wastewater Irrigation Network
Improvements to Renmark Paringa Council’s
PROJECT COST
Treated Wastewater Irrigation Network were funded from the following sources: —— SARMS Irrigation Industry Improvement Program
$363,375 —— Sale of dormant Council water
$565,000
—— Install new irrigation equipment
$928,000 —— Other expense: Project Management
$48,307 —— Total Project Cost
$976,307
(Council did not utilise any general rates revenue to complete this important infrastructure project.) The pump station upgrades and network expansion
—— Original Project Budget
$108,752
have resulted in Council extending its ability to re-use treated wastewater to 322ML per year and this equates to approximately 50% of the total open space and sports turf irrigation requirement. By upgrading the pump station and increasing the capacity from 50 litres to 100 litres per second of treated wastewater, Council can now apply treated wastewater to the parks in Ral Ral Avenue and Madigan Reserve whilst also providing a contingency amount in peak periods during summer. In addition to the increased use of treated water, the improvements to the pump control system have resulted in energy savings of approximately $2,800 per year.
Reduction of
22.1ML
of River Murray Water used annually
The completion of this project enables the Renmark Paringa Council to continue the high quality presentation of its Open Space and Sports Turf facilities in an environmentally and financially sustainable manner.
61
Annual Report 2016/17
A Sustainable Region
63
Major Projects
In 2016/17, Council upgraded the changerooms at the Renmark Swimming Pool. This project involved renovating the existing changerooms to encourage better utilisation, address safety concerns and also add a family and disabled facility. The renovations were completed in late 2016 and completed in time for the 2017 Country Swimming Championships in January. Council believes the new upgraded amenities will encourage families to attend the swimming pool and utilise the centre more often during the summer period.
Before
Annual Report 2016/17
After
Planning and Building
Council’s Planning and Building officers continue to focus on delivering an efficient development assessment service to the community.
DEVELOPMENT APPLICATIONS APPROVED Number Approved 16/17
Number Approved 15/16
Number Approved 14/15
Number Approved 13/14
Dwellings – new, additions, transportable, granny flats
44
49
46
50
Domestic outbuildings/ structures – sheds, carports, verandahs, pools, solar panels
83
87
99
85
Change of land use
4
5
6
6
Commercial/industrial/horticultural
48
37
28
23
Land divisions
18
14
13
11
Total
197
192
203
175
Type
The majority of Development Applications are assessed
While the Development Act and Regulations are
by Council Delegated Officers. A small amount of more
an integral part of the assessment process it is
complex applications that require public notification
Council’s Development Plan that outlines the detailed
or are deemed to be non-complying are considered
criteria for what can and can’t be done on a piece of
by the Development Assessment Commission or the
land. The Development Plan is more specific to our
Riverland Regional Development Assessment Panel.
region and Council has an obligation to ensure this document meets the needs of the community and reflects best practices for the assessment process.
65
Regulatory Services
ANIMAL MANAGEMENT —— Total expiations issued
105
—— Official barking dog complaints
13
—— Official wandering dog complaints
17
—— Total number of dogs impounded
123
—— Total dogs impounded and returned to owner
88
—— Reported dog harassment on human
13
—— Reported dog attack on human
42
—— Reported dog harassment on animal
4
—— Reported dog attack on animal
7
—— Number of dog management officers
2
LOCAL NUISANCE AND LITTER CONTROL In 2016, the Local Nuisance and Litter Control Act was implemented with the Local Nuisance provisions commencing in February and Litter in July 2017. In 2016/17, Council staff had no incidents that were managed under this legislation and will continue to implement the Act in 2017/18.
Annual Report 2016/17
1,701
dog registrations were received in 2016/17
Waste Transfer Station
Council continued to provide the community with a facility where waste can be diverted at the Renmark Waste Transfer Station (RWTS). The RWTS assists the community to achieve an optimal level of waste diversion. In the 2016/17 financial year, the following materials were diverted from landfill: 113 tonnes
—— Steel —— Batteries
3.62 tonnes
—— Oil
1,500 litres
—— Electronic waste
13.88 tonnes 190 units
—— Mattresses —— Bricks and concrete
399.11 tonnes
Three Bin System
Council also continued the DrumMuster collection days in 2016/17, with ten collection days over the reporting period. Collection days are held on the last Friday of each month (unless there is a public holiday). If you are interested in recycling your drums, please contact the office
6,196
containers were collected over ten DrumMuster collection days
on 8580 3000 for more information.
67
Infrastructure and Asset Management Plan
This strategic document provides a guide and proposes how and when Council maintains its assets over a period of ten years. This document is reviewed on an annual basis and takes into consideration community requests for action that have been recorded since the last review. Community can provide feedback and request for Council to undertake certain projects through phoning or writing to Council.
ESTIMATED FORECAST EXPENDITURE Plant and Equipment $3,915,950 Buildings and Structures $11,280,294
Irrigation $2,247,969
Total Forecast Expenditure
Transport $19,398,994
Annual Report 2016/17
Stormwater $1,950,177
CWMS $9,558,036
Renmark Paringa Landcare Committee
Renmark Paringa Landcare Committee, formerly known as Renmark to the Border Local Action Planning
WHAT DID THE COMMITTEE ACHIEVE IN 2016/17?
(RBLAP), is creating a healthy future for our community, land and water by promoting and supporting people, groups and organisations who take responsibility for the management of the natural environment and resources in the Renmark Paringa region. Additionally the Committee works towards education and informing the community about natural resource management and ways in which they can make a difference.
—— Increased engagement through Facebook —— Rebranding of the Committee —— Booked out Chowilla Twilight Tour —— Release of 43,000 Murray Cod Fingerlings into the Murray between Lock 5 and Chowilla with over 200 people attending the event
2016/17 saw…
—— Clean Up Australia Day event with Bookmark Creek engaging with 27 volunteers —— Riverland Landcare Roadshow with 200 Riverland students participating in two events
increase in Facebook Page likes
—— Working with the First People’s Working Group through Bookmark Creek art project —— Successful application for the
Total people reached daily on Facebook increase by
533%
Environmental Education Award 2017 —— Nine Community Monitoring sessions conducted in coordination with the Department of Environment, Water and Natural Resources Wetland Staff —— 37 articles for the monthly newsletter, seven radio interviews and five media articles (print and online).
$55,488
grant funds won for NRM groups and volunteers
69
Renmark Paringa Landcare Committee
Murray Cod Fingerling Release at Jane Eliza 2017
Annual Report 2016/17
BBQ at Bookmark Creek after community Clean Up Australia Day event
Cod Fingerling Release 2017 at Murtho Forest Landing
71
Annual Report 2016/17
A Positive Experience
73
Rates
Rates are a tax levied on properties according to their capital value which is determined by the Valuer General. In 2016/17, Renmark Paringa Council generated $5.8mil of ‘General Rate Revenue’. This rate revenue equated to 39% of Renmark Paringa Council’s operating income. Council has the option of adopting one of
Council continues to use Capital Value as the basis
three valuation methodologies to assess the
for valuing land within the Council area. The Council
properties in its area for rating purposes:
considers that this method of valuing land provides the fairest method of distributing the rate burden
—— Capital Value – the value of the land
across all ratepayers on the following basis:
and all improvements on the land —— The equity principle of taxation requires
—— Site Value – the value of the land and any
that taxpayers of greater wealth pay more
improvements which predominantly affect
tax than those of lesser wealth
the amenity of use of the land, such as drainage works, but excluding the value of
—— Property value is a relatively good indicator
buildings and other improvements
of wealth and capital value, which closely approximates the market value of a property and
—— Annual Value – a valuation of the
provides the best indicator of overall property value.
rental potential of the property.
Capital Value 16/17 (% Total Capital Value)
General Rates Raised 2016/17 (% Total General Rates)
Residential
$756,516,507
57.9%
$3,028,942
52.1%
Commercial (shop)
$50,210,214
3.9%
$290,729
5.0%
Commercial (offices)
$4,868,470
0.4%
$32,840
0.6%
Commercial (other)
$50,885,866
3.9%
$284,019
4.9%
Industrial (light)
$2,962,500
0.2%
$19,238
0.3%
Industrial (other)
$22,670,118
1.7%
$127,224
2.2%
Primary production
$375,279,716
28.7%
$1,609,519
27.7%
Vacant land
$26,409,720
2.0%
$284,789
4.9%
Other
$16,850,990
1.3%
$134,778
2.3%
Total
$1,306,654,101
100%
$5,812,078
100%
Annual Report 2016/17
Financial Performance
Renmark Paringa Council is reporting an operating surplus of $206,246, which is ahead of the schedule outlined in Council’s Long Term Financial Plan and reinforces Council’s commitment to operating in a financially sustainable environment. Council’s rates continue to be low compared to other Councils around the state and Council’s debt level is diminishing with loan debt expected to be zero by June 2020. Council is required to report on defined Key Performance
OPERATING RESULT The operating result shows the financial performance of Council by looking at total income less expenses. This result outperforms the LTFP target for 2016/17. Year
2016/17 LTFP Target
2016/17 Result
Result
-$140,811
$206,246
Status
P
Indicators (KPI) which measures the impact of the Council’s financial performance and position on its long term sustainability. Council’s Long Term Financial Plan
OPERATING SURPLUS RATIO
(LTFP) establishes the target for the particular year,
The Operating Surplus ratio expresses the projected
combined with target ranges adopted by Council.
Operating Result as a percentage of general rate revenue. The Operating Surplus Ratio target is a surplus position between 0% and 5%. Year
2016/17 LTFP Target
2016/17 Result
Result
-2%
1.4%
Status
P
75
Financial Performance
NET FINANCIAL LIABILITIES RATIO The Net Financial Liabilities ratio expresses the projected Net Financial Liabilities as a percentage of total operating revenue for each year. Council has set a target range of between -50% and 50%. Year
2016/17 LTFP Target
2016/17 Result
Result
-29%
-37%
Status
P
ASSET SUSTAINABILITY RATIO This ratio indicates the extent to which existing assets are being renewed, compared with what is needed to maintain service levels. It is calculated by measuring expenditure on renewal of assets, relative to the optimal level of expenditure in Council’s Infrastructure and Asset Management Plan. Council has set a target range of between 90% and 110%. Year
2016/17 LTFP Target
2016/17 Result
Result
99%
102%
Status
Annual Report 2016/17
P
Human Resources and Risk Management
HUMAN RESOURCES
RISK MANAGEMENT
As at the end of the 2016/17 financial year, Council employed
Health and Wellbeing
56 staff under a mix of full time, part-time and casual
Council is committed to ensuring the health and wellbeing
arrangements (equating to approximately 50.5 FTE or
of its workers and over the last twelve months provided staff
full-time equivalent). Council also engages the services
with access to screenings and preventative programs such
of a casual Environmental Health Officer to undertake
as skin screenings, health assessments and flu vaccinations.
food inspections and up to two casual Immunisation Nurses to assist with Council’s immunisation program.
Work Health Safety Over the last twelve months Council has continued to
On 14 September 2016 and 8 June 2017, a number of Council
work on improving its Work Health and Safety system by
staff participated in a Strategic Planning Day. These days
reviewing and updating policies, procedures and processes
build on previous sessions and include discussions on
to respond to identified gaps or changes in legislation.
accountability, different management styles and work on updating Council’s Training Needs Analysis (TNA) document.
Council has reviewed the way it consults and communicates with its workforce with all consultation and communication
Staff continued to participate in Council’s regular
now occurring through Departmental Workgroup meetings.
Performance Development Process which allows
Monthly Reports are provided to staff at these meetings
staff to input in the direction of their roles and identify
to notify of any updated documents and to provide them
learning opportunities for the coming year.
with an opportunity to comment on these documents
During 2016/17 Council commenced the implementation
and on Council’s Work Health and Safety performance.
of its Workforce Plan which included the realignment
The number of Return to Work (WorkCover) claims
and recruitment of a number of roles.
lodged increased by two from 2016 to 2017 (from five to seven). All claims (100%) related to injury/trauma.
77
Decision Making Structure SECTION 41 – COMMITTEES
PURPOSE OF COMMITTEES Renmark to the Border Local Action Planning Committee
Policy Review Committee
The purpose of the committee is to coordinate and
Review and recommend to Council policy, procedures,
implement the development of an integrated Local
codes of practice, guidelines and by laws.
Action Plan in relation to natural resources. The Renmark to the Border Local Action Planning Committee approved a name change of the Committee to Renmark Paringa Landcare Committee on the 10 April 2017.
Tourism Events Committee The implementation of Council’s annual tourism events program, develop, market and maintain an annual calendar of tourism events, provide recommendations
Chaffey Community Centre Committee
for continuous improvements of the civic events
The purpose of the committee is to adhere to
program, involve tourist operators and businesses in
and work within the Renmark Paringa Council’s
determining future direction, funding and strategies
Community Plan emerging priorities. The Chaffey
for marketing, promotion and delivery of tourism
Community Centre Committee was dissolved at
events. Integrate, inform, advocate and liaise with other
the 24 January 2017 Ordinary Council meeting.
tourism groups within the Riverland and State. Act
Lease Committee Investigate and make recommendation to Council on the terms and conditions of properties which Council either lease or leases to another party.
Annual Report 2016/17
as a conduit and provide advice to tourism operators looking to expand or create a tourism event and provide general tourism event advice to Council.
Other Committees
PURPOSE OF COMMITTEES Strategic Planning and Development Policy Committee Pursuant to Section 101A of the Development Act, 1993. Provide advice to the Council in relation to the extent to which the Council’s Strategic planning and development policies accord with the Planning Strategy. Audit Committee Pursuant to Section 126 (1) of the Local Government Act,1999. The functions of an audit committee include, but are not limited to the review of annual financial statements, strategic management plans or annual business plan, liaising with Council’s auditor and reviewing internal controls. Riverland Regional Development Assessment Panel Pursuant to Section 34 of the Development Act, 1993. In accordance with the authority delegated to it by the Council assess all development applications that are referred to it by an Authorised Council Officer. Building Fire Safety Committee (Regional) Responsible, under the Development Act, 1993, for building fire safety matters.
79
Elected Member Committee Membership 2014–2018
Mayor Neil Martinson
Committee Member 2014–2018
Committee Member 2014–2018
Deputy Mayor Peter Hunter
Cr Frank Turton
—— Chaffey Community
—— Policy Review Committee.
—— Lease Committee —— Policy Review Committee. Other Committees/Boards —— Audit Committee —— Strategic Planning and Development Policy Committee
Centre Committee (from 1/7/16 to 24/1/17) —— Lease Committee —— Policy Review Committee. Other Committees/Boards
—— Regional Development Australia Murraylands and Riverland Inc (Chair) Local Government Association of SA (member) —— Murraylands Riverland Local Government Association (member) Riverland Local Government Forum —— Local Government Finance Authority —— Murray River Alliance SA group —— SA River Murray Sustainability (SARMS).
—— Audit Committee —— Strategic Planning and Development Policy Committee Murraylands Riverland Local Government Association (member) Riverland Local Government Forum —— McCormick Centre Consultative Committee —— Bert Dix Reference Group —— RIT Environmental Watering Committee —— Murray Darling Association Inc – Region 5 Committee (Chair).
Annual Report 2016/17
Other Committees/Boards —— Strategic Planning and Development Policy Committee —— Paringa Museum Group (non-voting) Lyrup Village Progress Group —— Bert Dix Reference Group.
Committee Member 2014–2018
Committee Member 2014–2018
Committee Member 2014–2018
Cr Allan Maddocks
Cr Maria Spano
Cr Mark Chown
—— Chaffey Community Centre
—— Lease Committee.
—— Lease Committee
Committee (from 1/7/16 to 24/1/17) —— Policy Review Committee —— Tourism Events Committee. Other Committees/Boards —— Audit Committee —— Strategic Planning and Development Policy Committee —— Riverland Ageing Disability Taskforce McCormick Centre
Other Committees/Boards —— Strategic Planning and Development Policy Committee —— Renmark Paringa Health Advisory Council.
—— Policy Review Committee. Other Committees/Boards —— Audit Committee —— Strategic Planning and Development Policy Committee National Trust, Renmark Olivewood (non‑voting) Riverland Regional Development Assessment Panel Native Vegetation Council.
Consultative Committee Bert Dix Reference Group.
81
Elected Member Committee Membership 2014–2018
Committee Member 2014–2018
Committee Member 2014–2018
Committee Member 2014–2018
Cr David Sims
Cr Jack Gibb
Cr Helen Slade
—— Renmark to the Border
—— Lease Committee
Other Committees/Boards —— Strategic Planning and Development Policy Committee —— Renmark High School Governing Council.
Local Action Planning (RBLAP) Committee —— (Renmark Paringa Landcare Committee from 10 April 2017). Other Committees/Boards —— Strategic Planning and Development Policy Committee —— McCormick Centre Consultation Committee —— Riverland NRM Group Local Government Advisory Committee —— Murray Darling Association Inc – Region 5 Committee Central Irrigation Trust AGM – RPC’s representative Friends of the PS Industry (non-voting) —— Pike River Group.
Annual Report 2016/17
—— Tourism Events Committee. Other Committees/Boards —— Strategic Planning and Development Policy Committee —— McCormick Centre Consultation Committee.
Compliance Statement CONFIDENTIALITY PROVISIONS SECTIONS 90(2) AND 91(7)
MEETINGS AND DOCUMENTS It is a requirement of the Local Government Act 1999
During the year to 30 June 2017 Council held twelve (12) ordinary
(The Act), schedule 4, clause 1(ga) that Council include in
meetings and seven (7) special meetings during 2016/17.
the Annual Report, information in relation to any orders of the Council or Council committees where the public have been excluded from attendance in accordance with Section 90(2) of the Local Government Act 1999.
Council used the provisions of Section 90(2) of the Local Government Act, 1999, on twenty (20) separate occasions during the course of the Council meetings, Council met in confidence to discuss issues in relation to:
It is also a requirement of the Act, for Council to include in the Annual Report, information in relation to any orders of the Council or Council committees that documents be kept on a confidential basis in accordance with Section 91(7) of the Local Government Act 1999.
SECTION 90(3)(a) – 3 ITEMS Information the disclosure of which would involve the unreasonable disclosure of information concerning the personal affairs of any person (living or dead). Meeting
Date
Subject
Special Council
17/8/16
CEO’s Performance Review and Remuneration
Ordinary Council
24/1/17
CEO’s Performance Report
Ordinary Council
28/2/17
CEO’s Remuneration and CEO’s Remuneration
SECTION 90(3)(b) – 1 ITEM Information the disclosure of which – (i) C ould reasonably be expected to confer a commercial advantage on a person with whom the council is conducting, or proposing to conduct, business, or to prejudice the commercial position of the council; and (ii) Would, on balance, be contrary to the public interest. Meeting
Date
Subject
Ordinary Council
27/6/17
Renmark Swimming Pool Engineering Report
83
Compliance Statement CONFIDENTIALITY PROVISIONS SECTIONS 90(2) AND 91(7)
SECTION 90(3)(d)(i) – 4 ITEMS Commercial information of a confidential nature (not being a trade secret) the disclosure of which – (i) c ould reasonably be expected to prejudice the commercial position of the person who supplied the information, or to confer a commercial advantage on a third party. Meeting
Date
Subject
Ordinary Council
26/7/16
Unsolicited Bid – Renmark Airport
Ordinary Council
25/10/16
SARMS (3IP) Variation request
Lease Committee
16/5/17
Belgravia Operations Report
Ordinary Council
25/5/17
Subdivision land Lot 2 and 222, 18th Street, Renmark
SECTION 90(3)(e) – 2 ITEMS Matters affecting the security of the council, members or employees of the council, or council property, or the safety of any person. Meeting
Date
Subject
Special Council
12/7/16
5 year Workforce Plan
Ordinary Council
24/1/17
Five (5) Year Workforce Plan
SECTION 90(3)(j) – 2 ITEMS The information the disclosure of which – (i) w ould divulge information provided on a confidential basis by or to a Minister of the Crown, or another public authority or official ( not being a employee of the council, or a person engaged by the council); and (ii) would, on balance, be contrary to the public interest. Meeting
Date
Subject
Ordinary Council
29/9/16
Gold Coast Commonwealth Games 2018
Ordinary Council
28/3/17
Upgrade Bookmark Creek, Salt Creek Bridges install new shared use path project
Annual Report 2016/17
SECTION 90(3)(k) – 4 ITEMS REVIEW OF ITEMS HELD IN CONFIDENCE Tenders for the supply of goods, the provision of services or the carrying out of works; Meeting
Date
Subject
Lease Committee
13/9/16
Renmark Aquatic and Recreation Centre Contract
Special Council
15/9/16
Renmark Aquatic and Recreation Centre Contract
Lease Committee
14/7/16
Renmark Recreation Centre and Swimming Pool request for tender
Lease Committee
23/8/16
Renmark Recreation Centre and Swimming Pool Tender Evaluation
Review of items discussed in confidence is undertaken on a regular basis, quarterly or as required and this process has seen 19 items released from confidentially provisions over the course of the year.
CONFIDENTIAL MOTIONS During the course of the financial year Council has made a total of 181 resolutions that were not procedural, these resolutions reflected the decisions made by Council. Council resolved to enter into confidence in 8.84% of instances.
85
69
46
23
Nelwood Queen Reach
Boundary Bend
24
66
57
29
29
25
19
65
RT
RD
HO
69
65
66
U
56
59
35
M
19
Amazon Creek
Hunchee Creek
63
69
29
56
65
24
23
Chowilla
MILLEWA ROAD
Bunyip Reach
19
24
23
25
Woolpolool Swamp
39
21
Chowilla Island
22
25
36
20
65
59
22
24 37
53
Clover Lake
Lake Merreti
35
47
21
24
31
Border Cliffs
Nil Nil
Lock 6
59
45
21
29
40
58
45
26
Chowilla Creek
41
45 67
AD
22
WE
RO
H RT WO NT
22
22
41
35
63
37
55
52
63
62
66
47
36
56
23
23
32
42
40
64
22
Monoman Creek
21
48
42
59
21
70
33
42
43
39
23
59 51
61 46
21
Chowilla (GR)
68
61
68
56
26
48
70 67
61
24
54
55
20
22
56
60
68
23
46
46
40
23
53
68
58
58
48
68
District Map
57
18
61
INS
64
O N RD 74
65
CA L LA
Reny Island
59 75
66
59
71
ST
BEHERENDT ROAD 59
KI T E
81
59
35 58
AD RO
55
Woolenook Bend
RY
32
82
44
MURTHO
UA CT
UE N VE STORY A
31
85
17
S AN
19
70
40
COOLTONG
L RD
75
21
27
25
78
23
19
23
21
45
20
35
IL K
19
Ral Ral Creek
35
75
W
16
47
29
36
32
ST K ST G ST N LI O R ST G DA R E A T O IS AR LG O W ST M CU QUA RTE ST A N N O ST W A R IN BA R R ST A A R E W GA R B ST BE CH INO ST O RO PA
75 91
74
93
85
64
76
DAY S RD
78 65
AD O T R
87
75 65
64
64
51 48
60
IN DS AY PO
Victo r ia
S o u t h A u s t ra l i a
75
55
68
65
66
55
65 45 65
53
56
STR EE T AR UM PO
OK MA
BO
ST AP
Goat Island
Paringa Bridge
Lock 5
Nelwort Island
63
WONUARRA ROAD
18
47
45
49
39
48
D
50 44 31
26
25
25
18
30
45
TA L DR A R OA D
24
48 52
18
28
19
19
17
21
18
38
27
17
45
27
60
16
23
15
27
18
29
45
57
32
GOUL D EN RO AD
48
21
UT R D
BU GL E H
37 14
26
Produced for: Compiled: Reference: Datum: Projection:
47
GORDO N RO A D
Mapping Services Australia BERRI, SA 5343, www.mappingsa.com.au Renmark Paring Council 20/2/2015 2015-022 Geocentric Datum of Australia, 1994 MGA Zone 54
29 36 18
20
24
18
42
24
37
40
39
34
17
42
24
34
35 32
25
21
16
35
27
45
38
34
Data supplied by: Department of Environment , Water & Natural Resources Although every effort has been made to ensure the accuracy of the information displayed, Mapping Services Australia and its employees make no representation, either expressed or im plied, that the information displayed is accurate or fit for any purpose and expressly disclaim all liability for loss or damage arising from reliance upon the information displayed.
0
2.5
19 36
40
42
34
21
27
16
59
32 52
24
21
44
47
24 41
Taldra 43
17 35
59
Annual Report 2016/17
16
45 24
53
34
32
47
49
46
Pine Villa
43
55
Produced by:
15 50
34
ZEUNERT ROAD
49
ROAD
RN ONG
Lock 4
B OOK PU
S NIT
KE CH
D
32
YAMBA
49
26
29 29
A RO
29 50
THIELE ROAD 42
37
GURRA
Salt Creek
55
Yamba Quarantine Station
30
37
14
GURRA
18
45
49 48
46
D IR
24
21
K TZ NI
ROA D
15
46
40
Lyrup Heights
ST A
PIKE RIVER
54
52
17
OA
48
R
13
GU R RA
47
Coongalena EK
39
RE
D A
37
RO AIN M
43
EC
UP
53
HW AY
46
HIG
17
16
16
50
LY R
54
38
16
T
R
P IK
LYRUP
54
Snake Creek 48
15
17 15
16
Disher Creek
16
24
19
MUNDIC CREEK
Tanyaca Creek
15
16
55
57
14
Murray River (NP)
U ST
UP ROA D LY R
49
Spring Cart Gully
20
60
55
45
44
35 63
47
55
D
RENMARK SOUTH
Calperum Hill
46
35
46
RD
R
35
D
RT
60
63
Pike River (CP)
EN
PO
39
Mundic Creek
SB SH
33
U PL
R AI
36
65
15
56
26
44
25
L IN
PARINGA
PY
86
66
54
RENMARK
RK TAPALIN AV ST EN U E
STR EE T
A STREE T TAR COOL
KU LKY NE
A STREE T
68
CH OWILL
25
37
95
SCHMIDT RD
45
46
C BU
72
25
65
24
33
L NE
RENMARK WEST
Cooltong (CP)
Murray River (NP)
T
RENMARK NORTH
85
77
89
83
74
65
30 45
CON F AL
S
25
85
ST
TEAL 47
26
ELM RD W IL H
Wooknal Bend
44
31
86
41
65
ROAD
IBIS
5 km
Renmark Paringa General Information
Area
Population
921km2
9,230
Electors
6,373
Rateable Assessments
5,392
Road Length
580km
87
Compliance Statement CONFIDENTIALITY PROVISIONS SECTIONS 90(2) AND 91(7)
ELECTOR REPRESENTATION The Local Government Act 1999 requires that Council
Council commenced the Elector Representation
must ensure that all aspects of the composition of the
Review in March 2017. As a result of the review process
Council and the issue of the division, or potential division
conducted from March 2017 until August 2017 no
of the area of the Council into wards are comprehensively
changes to the structure and composition were
reviewed under this section at least once in each
proposed. A final report has been submitted to the
relevant period that is prescribed by the regulations.
Electoral Commissioner for review and endorsement.
COUNCIL’S ELECTOR REPRESENTATION QUOTA Council has no wards and members are elected by the eligible electors in the total area of the Council. The Council’s elector representation quota is as follows:
Council
Number of Electors
Number of Elected members
Electors per Elected member
Renmark Paringa
6,376
8 + Mayor
708
Council
Number of Electors
Number of Elected members
Electors per Elected member
Berri Barmera
7,327
8 + Mayor
814
Loxton Waikerie
8,186
10 + Mayor
744
Clare and Gilbert Valleys
6,676
9 + Mayor
667
Grant
5,441
9 + Mayor
544
Mid Murray
6,377
9 + Mayor
637
Naracoorte Lucindale
5,782
10 + Mayor
525
Lucindale
5,782
10 + Mayor
525
Annual Report 2016/17
TENDERING ARRANGEMENTS Competitive The Council is committed to purchasing goods and services in an honest manner that ensures a fair, transparent and accountable
Council documents —— Policies and By-laws
process that is available to all parties involved. The Council aims
—— Delegations register.
to ensure that its methods of purchasing goods and services
Section 44 of the Local Government Act 1999 allows a
are cost effective and meet the needs of the community.
Council to delegate many of its decision making powers
Use of local goods and services. Council recognises that local businesses are an integral part of the overall community and is committed to providing assistance that well support and encourage their success. When seeking quotations and calling for tenders, officers are mindful of relevant local suppliers and the impact on the local community if goods or services were purchased from outside the Council area. National Competition Policy guidelines and associated legislation will be observed at all times. Copies of the Renmark Paringa Council Procurement Policy are available for public inspection and or purchase. A copy is also available on Council’s website at www.renmarkparinga.sa.gov.au
and functions under these Acts. The primary purpose of delegating powers and functions is to facilitate an efficient and effective organisation by allowing decisions to be made by the staff who carry out day to day operations.
EQUAL EMPLOYMENT The Renmark Paringa Council is committed to a policy of equal opportunity in employment. The Council accepts that it has a responsibility to create an environment free from discrimination, and to ensure that the principle of merit operates unhindered by regard to irrelevant criteria. To this end the Council will act to ensure that it’s structures are free from direct or indirect discrimination on the grounds of sex, marital status or pregnancy, race,
DELEGATIONS REGISTER
age, sexual orientation, gender history, religious or political beliefs, impairment, family responsibility or family status.
Acts of Parliament, Local Government Act 1999 Councils have a range of powers and functions to perform which are conferred under a number of different Acts of Parliament including the Local Government Act 1999, allowing decisions to be made by the staff that carry out day to day operations. Section 44 (6) of the Act requires council to review delegations at least once in every financial year, a review of all delegations was adopted by Council at the meeting of 25 October 2016. The delegations register can be accessed via Council’s website: www.renmarkparinga.sa.gov.au
89
Compliance Statement CONFIDENTIALITY PROVISIONS SECTIONS 90(2) AND 91(7)
LAND MANAGEMENT PLAN The Renmark Paringa Council has the following Community Land Management Plans: —— Major parks/reserves —— Minor parks/reserves —— Sport recreation facilities —— Cemeteries
Pursuant to Section 128 (9) of the Local Government Act 1999, Council must include in it’s annual report details of the remuneration paid to it’s external auditor for work performed during the review year. In compliance with Section 128(9), Council advises: —— The Sum of $19,200 (ex GST) is the remuneration payable for the annual audit of the council's financial statements.
FREEDOM OF INFORMATION
—— Other community land. Where possible we provide information to residents/
EXTERNAL AUDITOR
ratepayers without referral to the provisions of the Freedom of Information Act 1991. Where information
Council is required under Section 128 of the
is requested under the Freedom of Information Act
Local Government Act 1999 to appoint a suitably
1999 a request form (provided for in the Act) must
qualified person as its external auditor. The
be completed and forwarded with the required
external auditor reports to Council on the General
application fee (unless an exemption is granted).
Purpose and Special Purpose Financial Report prepared annually in accordance with the Act.
We respond to applications as soon as possible within the statutory 30 days of receipt of a request
The external auditor is also required to report to Council
and application fee or proof of exemption. Council
on particular matters arising from the audit. (Section
received one FOI application during the reporting
129 of the Local Government Act 1999). The external
period, with full release information granted.
auditor must specifically identify in the report any irregularity in the Council’s accounting practices or the management of the Council’s financial affairs identified by the external auditor during the course of an audit. Following a competitive tendering process, Council appointed the firm Dean Newbery & Partners as Council’s external Auditors for a five (5) year term from the 2015/2016 financial year to the 2019/2020 financial year.
Annual Report 2016/17
In accordance with section 38(1) of the Freedom of Information Act 1991, a person who is aggrieved by a determination made by the council is entitled to an internal review of the determination. Council received no requests for internal review in this reporting period.
SENIOR OFFICERS
REGISTERS AND CODES
Allowances, Bonuses and Benefits
Section 131 (2)
Allowances and benefits are made available to three senior
Local Government Act 1999.
executive officers as part of salary packages, they are as follows:
Pursuant to Section 131 (2) of the Local Government Act 1999 the following information is provided in compliance with the Act.
CHIEF EXECUTIVE OFFICER
Mandatory Registers, Codes and Policies List of Registers:
—— Novated lease allowance —— Reimbursement of professional fees —— Mobile telephone and costs of reasonable private calls —— Provision of a Toshiba Ultrabook.
DIRECTOR – INFRASTRUCTURE AND ENVIRONMENTAL SERVICES
—— By Law Register —— Community Management Plans —— Fees and Charges Register —— Register of Allowances and Benefits (Elected Members) —— Register of Community Land —— Register of Interests (Council members)
—— Novated lease allowance
—— Register of Interests (Council officers)
—— Membership fees and subscriptions as
—— Register of Public Roads
approved by the Chief Executive Officer —— Mobile telephone and costs of reasonable private calls —— Provision of a Toshiba Ultrabook.
—— Register of Salaries and Wages. Additional Registers Are maintained and include the following: —— Assessment Record
DIRECTOR – CORPORATE AND COMMUNITY SERVICES
—— Approval Register —— Asset Register
—— Novated lease allowance —— Membership fees and subscriptions as approved by the Chief Executive Officer. —— Mobile telephone and costs of reasonable private calls. —— Provision of a Toshiba Ultrabook.
—— Certificate of Title Register —— Common Seal Register —— Confidential Minute Register —— Matters Lying on the Table Register
91
Compliance Statement CONFIDENTIALITY PROVISIONS SECTIONS 90(2) AND 91(7)
—— Register of Campaign Donation Returns
—— Statutory Policy – Road Naming
—— Gift Register
—— Statutory Policy – Supplementary Election
—— Internal Review Register – Policy Review Register
—— Statutory Policy – Whistleblower.
—— Training Register – Elected Members and Employees. Statutory Polices —— Statutory Policy – Access to Council Meeting, Council Committees and Council Documents —— Statutory Policy – Caretaker —— Statutory Policy – Code of Conduct for Council Members —— Statutory Policy – Code of Conduct for Employees —— Statutory Policy – Code of Practice Meeting Procedures —— Statutory Policy – Complaint Handling under Elected Member Code of Conduct —— Statutory Policy – Elected Member
Policies and Guidelines —— Code – CWMS Property Units —— Guidelines – Election Signs —— Policy – Access to Public Dog Register —— Policy – Car Park Fund —— Policy – Fire and Emergency Services Act —— Policy – Machinery Use – Bushfires and Declared Major Disasters —— Policy – Motor Vehicle Procurement —— Policy – Outdoor Dining – Guidelines and Procedures —— Policy – Social Media —— Policy – Staff Service Awards
Allowance and Support —— Policy – Unsolicited Proposal Policy and Application —— Statutory Policy – Elected Member Training and Development
—— Policy – Works Vehicle Identification
—— Statutory Policy – Fraud and Corruption
—— RPC – Alternative Effluent Disposal Systems
—— Statutory Policy – Internal Review of Council Decisions
—— RPC – Annual Staff and Elected Member Function
—— Statutory Policy – Land and Asset Disposal
—— RPC – Asset Recognition and Accounting
—— Statutory Policy – Order Making
—— RPC – Australia Day Awards
—— Statutory Policy – Procurement
—— RPC – Building Inspections
—— Statutory Policy – Public Consultation
—— RPC – Business Finger Point Sign Policy
Annual Report 2016/17
—— RPC – Cat De-Sexing Reimbursement
—— RPC – Gas and Electric BBQ Policy
—— RPC – Cat Trap Hire
—— RPC – Informal Gatherings
—— RPC – Circus Siting
—— RPC – Information Bay – Business Advertising Policy
—— RPC – Community Assistance
—— RPC – Land Development – Infrastructure Guidelines
—— RPC – Correspondence Community Members
—— RPC – Local Community Organisations Representation
—— RPC – Council Buildings Hire Use
—— RPC – Long Term Infrastructure and Asset Management
—— RPC – Council Emblem
—— RPC – Mayor Seeking Legal Advice
—— RPC – Council IT Communications
—— RPC – Media Statements
—— RPC – Council Meetings – Elected Member Reports
—— RPC – Memorial Policy
—— RPC – Council Meetings – Late Agenda Items
—— RPC – Payment of Rates and Remission of Fines
—— RPC – Council Meetings – Protocols
—— RPC – Property Numbering Policy
—— RPC – Council Meetings – Questions from the Gallery
—— RPC – Rates Rebate
—— RPC – Credit Card Use
—— RPC – Records Management
—— RPC – CWMS and Stormwater
—— RPC – Roadside Waste Management
Connections – Land Divisions —— RPC – Debt Recovery —— RPC – Display Material
—— RPC – Traffic Fines —— RPC – Treasury Management Policy —— RPC – Tree Management.
—— RPC – Elected Members iPad —— RPC – Elected Members Service Recognition —— RPC – Encroachments —— RPC – Flag Flying —— RPC – Flammable Undergrowth —— RPC – Food Act Inspection Fees
93
Committed to a sustainable future
Renmark Paringa Council 2016/17 Financial Statements
5HQPDUN 3DULQJD &RXQFLO *HQHUDO 3XUSRVH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
&RQWHQWV &RXQFLO &HUWLILFDWH
3DJH
3ULPDU\ )LQDQFLDO 6WDWHPHQWV 6WDWHPHQW RI &RPSUHKHQVLYH ,QFRPH 6WDWHPHQW RI )LQDQFLDO 3RVLWLRQ 6WDWHPHQW RI &KDQJHV LQ (TXLW\ 6WDWHPHQW RI &DVK )ORZV
1RWHV WR WKH )LQDQFLDO 6WDWHPHQWV
,QGHSHQGHQW $XGLWRU V 5HSRUW )LQDQFLDO 6WDWHPHQWV
,QGHSHQGHQW $XGLWRU V 5HSRUW ,QWHUQDO &RQWUROV
&HUWLILFDWHV RI $XGLW ,QGHSHQGHQFH &RXQFLO &HUWLILFDWH RI $XGLW ,QGHSHQGHQFH $XGLW &HUWLILFDWH RI $XGLW ,QGHSHQGHQFH
SDJH
95
Annual Report 2016/17
5HQPDUN 3DULQJD &RXQFLO яБШяА│яББяА░яБФ
6WDWHPHQW RI &RPSUHKHQVLYH ,QFRPH
IRU WKH \HDU HQGHG -XQH
7RWDO ([SHQVHV
2SHUDWLQJ 6XUSOXV 'HILFLW
7RWDO 2WKHU &RPSUHKHQVLYH ,QFRPH
7RWDO &RPSUHKHQVLYH ,QFRPH
$GMXVWHG 2SHUDWLQJ 6XUSOXV 'HILFLW
1RWHV
,QFRPH
5DWHV 5HYHQXHV 6WDWXWRU\ &KDUJHV 8VHU &KDUJHV *UDQWV 6XEVLGLHV DQG &RQWULEXWLRQV ,QYHVWPHQW ,QFRPH 5HLPEXUVHPHQWV 2WKHU ,QFRPH
D E F J G H I
7RWDO ,QFRPH ([SHQVHV
(PSOR\HH &RVWV 0DWHULDOV &RQWUDFWV 2WKHU ([SHQVHV 'HSUHFLDWLRQ $PRUWLVDWLRQ ,PSDLUPHQW )LQDQFH &RVWV
$VVHW 'LVSRVDO )DLU 9DOXH $GMXVWPHQWV $PRXQWV 5HFHLYHG 6SHFLILFDOO\ IRU 1HZ RU 8SJUDGHG $VVHWV
D E F G
J
1HW 6XUSOXV 'HILFLW 2WKHU &RPSUHKHQVLYH ,QFRPH
яББяБняБпяБ╡яБояБ┤яБ│яАаяБ╖яБияБйяБгяБияАаяБ╖яБйяБмяБмяАаяБояБпяБ┤яАаяБвяБеяАаяБ▓яБеяБгяБмяБбяБ│яБ│яБйяБжяБйяБеяБдяАаяБ│яБ╡яБвяБ│яБеяБ▒яБ╡яБеяБояБ┤яБмяБ╣яАаяБ┤яБпяАаяБпяБ░яБеяБ▓яБбяБ┤яБйяБояБзяАаяБ▓яБеяБ│яБ╡яБмяБ┤ &KDQJHV LQ 5HYDOXDWLRQ 6XUSOXV , 33 (
D
WKH DGMXVWHG RSHUDWLQJ VXUSOXV WDNHV LQWR DFFRXQW WKH UHFHLYLQJ RI PRUH RU OHVV WKDQ IRXU TXDUWHUO\ SD\PHQWV RI &RPPRQZHDOWK *RYHUQPHQW )LQDQFLDO $VVLVWDQFH *UDQWV 7KH YDULDWLRQV LQ SD\PHQWV DUH OLVWHG LQ 1RWH DQG 1RWH
7UDQVIHUUHG WR (TXLW\ 6WDWHPHQW
7KH DERYH VWDWHPHQW VKRXOG EH UHDG LQ FRQMXQFWLRQ ZLWK WKH DFFRPSDQ\LQJ 1RWHV DQG 6LJQLILFDQW $FFRXQWLQJ 3ROLFLHV
SDJH
97
5HQPDUN 3DULQJD &RXQFLO
6WDWHPHQW RI )LQDQFLDO 3RVLWLRQ
DV DW -XQH
$66(76 &XUUHQW $VVHWV &DVK DQG &DVK (TXLYDOHQWV 7UDGH 2WKHU 5HFHLYDEOHV ,QYHQWRULHV 7RWDO &XUUHQW $VVHWV 1RQ &XUUHQW $VVHWV )LQDQFLDO $VVHWV ,QIUDVWUXFWXUH 3URSHUW\ 3ODQW (TXLSPHQW 2WKHU 1RQ &XUUHQW $VVHWV 7RWDO 1RQ &XUUHQW $VVHWV
1RWHV
D E F
D D E
727$/ $66(76 /,$%,/,7,(6 &XUUHQW /LDELOLWLHV 7UDGH 2WKHU 3D\DEOHV %RUURZLQJV 3URYLVLRQV 7RWDO &XUUHQW /LDELOLWLHV 1RQ &XUUHQW /LDELOLWLHV %RUURZLQJV 3URYLVLRQV 7RWDO 1RQ &XUUHQW /LDELOLWLHV
D E F
E F
727$/ /,$%,/,7,(6
1HW $VVHWV
(48,7<
$FFXPXODWHG 6XUSOXV $VVHW 5HYDOXDWLRQ 5HVHUYHV 2WKHU 5HVHUYHV
7RWDO &RXQFLO (TXLW\
D E
7KH DERYH VWDWHPHQW VKRXOG EH UHDG LQ FRQMXQFWLRQ ZLWK WKH DFFRPSDQ\LQJ 1RWHV DQG 6LJQLILFDQW $FFRXQWLQJ 3ROLFLHV Annual Report 2016/17
SDJH
5HQPDUN 3DULQJD &RXQFLO
6WDWHPHQW RI &KDQJHV LQ (TXLW\
IRU WKH \HDU HQGHG -XQH
$VVHW
$FFXPXODWHG 5HYDOXDWLRQ 1RWHV 6XUSOXV 5HVHUYH
2WKHU 5HVHUYHV
7RWDO (TXLW\
%DODQFH DW WKH HQG RI SUHYLRXV UHSRUWLQJ SHULRG
D 1HW 6XUSOXV 'HILFLW IRU <HDU
2WKHU &RPSUHKHQVLYH ,QFRPH
7RWDO &RPSUHKHQVLYH ,QFRPH
F 7UDQVIHUV EHWZHHQ 5HVHUYHV
%DODQFH DW WKH HQG RI SUHYLRXV UHSRUWLQJ SHULRG
D 1HW 6XUSOXV 'HILFLW IRU <HDU
E 2WKHU &RPSUHKHQVLYH ,QFRPH *DLQ /RVV RQ 5HYDOXDWLRQ RI , 33 (
D
%DODQFH DW WKH HQG RI SHULRG
E 2WKHU &RPSUHKHQVLYH ,QFRPH
2WKHU &RPSUHKHQVLYH ,QFRPH
7RWDO &RPSUHKHQVLYH ,QFRPH
F 7UDQVIHUV EHWZHHQ 5HVHUYHV
*DLQ /RVV RQ 5HYDOXDWLRQ RI , 33 (
%DODQFH DW WKH HQG RI SHULRG
D
7KH DERYH VWDWHPHQW VKRXOG EH UHDG LQ FRQMXQFWLRQ ZLWK WKH DFFRPSDQ\LQJ 1RWHV DQG 6LJQLILFDQW $FFRXQWLQJ 3ROLFLHV
SDJH
99
5HQPDUN 3DULQJD &RXQFLO
6WDWHPHQW RI &DVK )ORZV
IRU WKH \HDU HQGHG -XQH
5DWHV 5HFHLSWV 6WDWXWRU\ &KDUJHV 8VHU &KDUJHV *UDQWV 6XEVLGLHV DQG &RQWULEXWLRQV RSHUDWLQJ SXUSRVH
,QYHVWPHQW 5HFHLSWV 5HLPEXUVHPHQWV 2WKHU 5HFHLSWV
3D\PHQWV WR (PSOR\HHV 3D\PHQWV IRU 0DWHULDOV &RQWUDFWV 2WKHU ([SHQVHV )LQDQFH 3D\PHQWV
$PRXQWV 5HFHLYHG 6SHFLILFDOO\ IRU 1HZ 8SJUDGHG $VVHWV 6DOH RI 5HSODFHG $VVHWV 6DOH RI 6XUSOXV $VVHWV
([SHQGLWXUH RQ 5HQHZDO 5HSODFHPHQW RI $VVHWV ([SHQGLWXUH RQ 1HZ 8SJUDGHG $VVHWV
1HW &DVK SURYLGHG E\ RU XVHG LQ ,QYHVWLQJ $FWLYLWLHV
5HSD\PHQWV RI %RUURZLQJV
1HW &DVK SURYLGHG E\ RU XVHG LQ )LQDQFLQJ $FWLYLWLHV
1HW ,QFUHDVH 'HFUHDVH LQ &DVK +HOG
1RWHV
&DVK )ORZV IURP 2SHUDWLQJ $FWLYLWLHV
5HFHLSWV
3D\PHQWV
1HW &DVK SURYLGHG E\ RU XVHG LQ 2SHUDWLQJ $FWLYLWLHV
E
&DVK )ORZV IURP ,QYHVWLQJ $FWLYLWLHV
5HFHLSWV
3D\PHQWV
&DVK )ORZV IURP )LQDQFLQJ $FWLYLWLHV
5HFHLSWV
1LO
3D\PHQWV
SOXV &DVK &DVK (TXLYDOHQWV DW EHJLQQLQJ RI SHULRG
&DVK &DVK (TXLYDOHQWV DW HQG RI SHULRG
7KH DERYH VWDWHPHQW VKRXOG EH UHDG LQ FRQMXQFWLRQ ZLWK WKH DFFRPSDQ\LQJ 1RWHV DQG 6LJQLILFDQW $FFRXQWLQJ 3ROLFLHV Annual Report 2016/17
SDJH
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
&RQWHQWV RI WKH 1RWHV DFFRPSDQ\LQJ WKH )LQDQFLDO 6WDWHPHQWV 1RWH D E F D E D E D E F D E D E
'HWDLOV
3DJH
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
(YHQWV $IWHU WKH %DODQFH 6KHHW 'DWH 5HODWHG 3DUW\ 7UDQVDFWLRQV
SDJH
101
B
5HQPDUN 3DULQJD &RXQFLO
1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH 6XPPDU\ RI 6LJQLILFDQW $FFRXQWLQJ 3ROLFLHV
яАа
7KH SULQFLSDO DFFRXQWLQJ SROLFLHV DGRSWHG E\ &RXQFLO LQ WKH SUHSDUDWLRQ RI WKHVH FRQVROLGDWHG ILQDQFLDO VWDWHPHQWV DUH VHW RXW EHORZ 7KHVH SROLFLHV KDYH EHHQ FRQVLVWHQWO\ DSSOLHG WR DOO WKH \HDUV SUHVHQWHG XQOHVV RWKHUZLVH VWDWHG
%DVLV RI 3UHSDUDWLRQ
&RPSOLDQFH ZLWK $XVWUDOLDQ $FFRXQWLQJ 6WDQGDUGV 7KLV JHQHUDO SXUSRVH ILQDQFLDO UHSRUW KDV EHHQ SUHSDUHG LQ DFFRUGDQFH ZLWK $XVWUDOLDQ $FFRXQWLQJ 6WDQGDUGV DV WKH\ DSSO\ WR QRW IRU SURILW HQWLWLHV RWKHU DXWKRULWDWLYH SURQRXQFHPHQWV RI WKH $XVWUDOLDQ $FFRXQWLQJ 6WDQGDUGV %RDUG ,QWHUSUHWDWLRQV DQG UHOHYDQW 6RXWK $XVWUDOLDQ OHJLVODWLRQ 7KH ILQDQFLDO UHSRUW ZDV DXWKRULVHG IRU LVVXH E\ FHUWLILFDWH XQGHU UHJXODWLRQ RI WKH яБМяБпяБгяБбяБмяАа яБЗяБпяБ╢яБеяБ▓яБояБняБеяБояБ┤яАа яАияБЖяБйяБояБбяБояБгяБйяБбяБмяАа яБНяБбяБояБбяБзяБеяБняБеяБояБ┤яАйяАа яБТяБеяБзяБ╡яБмяБбяБ┤яБйяБпяБояБ│яАа яА▓яА░яА▒яА▒яАо +LVWRULFDO &RVW &RQYHQWLRQ ([FHSW DV VWDWHG EHORZ WKHVH ILQDQFLDO VWDWHPHQWV KDYH EHHQ SUHSDUHG LQ DFFRUGDQFH ZLWK WKH KLVWRULFDO FRVW FRQYHQWLRQ &ULWLFDO $FFRXQWLQJ (VWLPDWHV 7KH SUHSDUDWLRQ RI ILQDQFLDO VWDWHPHQWV LQ FRQIRUPLW\ ZLWK $XVWUDOLDQ $FFRXQWLQJ 6WDQGDUGV UHTXLUHV WKH XVH RI FHUWDLQ FULWLFDO DFFRXQWLQJ HVWLPDWHV DQG UHTXLUHV PDQDJHPHQW WR H[HUFLVH LWV MXGJHPHQW LQ DSSO\LQJ &RXQFLO┬╢V DFFRXQWLQJ SROLFLHV 7KH DUHDV LQYROYLQJ D KLJKHU GHJUHH RI MXGJHPHQW RU FRPSOH[LW\ RU DUHDV ZKHUH DVVXPSWLRQV DQG HVWLPDWHV DUH VLJQLILFDQW WR WKH ILQDQFLDO VWDWHPHQWV DUH VSHFLILFDOO\ UHIHUUHG WR LQ WKH UHOHYDQW VHFWLRQV RI WKHVH 1RWHV 5RXQGLQJ $OO DPRXQWV LQ WKH ILQDQFLDO VWDWHPHQWV KDYH EHHQ URXQGHG WR WKH QHDUHVW WKRXVDQG GROODUV ┬╢
Annual Report 2016/17
7KH /RFDO *RYHUQPHQW 5HSRUWLQJ (QWLW\
5HQPDUN 3DULQJD &RXQFLO LV LQFRUSRUDWHG XQGHU WKH 6RXWK $XVWUDOLDQ яБМяБпяБгяБбяБмяАа яБЗяБпяБ╢яБеяБ▓яБояБняБеяБояБ┤яАа яББяБгяБ┤яАа яА▒яА╣яА╣яА╣ DQG KDV LWV SULQFLSDO SODFH RI EXVLQHVV DW (LJKWHHQWK 6WUHHW 5HQPDUN 7KHVH ILQDQFLDO VWDWHPHQWV LQFOXGH WKH &RXQFLO┬╢V GLUHFW RSHUDWLRQV DQG DOO HQWLWLHV WKURXJK ZKLFK &RXQFLO FRQWUROV UHVRXUFHV WR FDUU\ RQ LWV IXQFWLRQV ,Q WKH SURFHVV RI UHSRUWLQJ RQ WKH &RXQFLO DV D VLQJOH XQLW DOO WUDQVDFWLRQV DQG EDODQFHV EHWZHHQ DFWLYLW\ DUHDV DQG FRQWUROOHG HQWLWLHV KDYH EHHQ HOLPLQDWHG
,QFRPH 5HFRJQLWLRQ
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
&DVK 3D\PHQW 5HFHLYHG
$QQXDO $OORFDWLRQ
'LIIHUHQFH
%HFDXVH WKHVH JUDQWV DUH XQWLHG WKH $XVWUDOLDQ $FFRXQWLQJ 6WDQGDUGV UHTXLUH WKDW SD\PHQWV EH UHFRJQLVHG XSRQ UHFHLSW $FFRUGLQJO\ WKH RSHUDWLQJ UHVXOWV RI WKHVH SHULRGV KDYH EHHQ GLVWRUWHG FRPSDUHG WR WKRVH WKDW ZRXOG KDYH EHHQ UHSRUWHG SDJH
B
5HQPDUN 3DULQJD &RXQFLO
1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH 6XPPDU\ RI 6LJQLILFDQW $FFRXQWLQJ 3ROLFLHV FRQWLQXHG
ï€ ï€ KDG WKH JUDQWV EHHQ SDLG LQ WKH \HDU WR ZKLFK WKH\ ZHUH DOORFDWHG 7KH 2SHUDWLQJ 6XUSOXV 5DWLR GLVFORVHG LQ 1RWH KDV DOVR EHHQ FDOFXODWHG DIWHU DGMXVWLQJ IRU WKH GLVWRUWLRQV UHVXOWLQJ IURP WKH GLIIHUHQFHV EHWZHHQ WKH DFWXDO JUDQWV UHFHLYHG DQG WKH JUDQWV HQWLWOHPHQWV DOORFDWHG
&DVK &DVK (TXLYDOHQWV DQG RWKHU )LQDQFLDO ,QVWUXPHQWV &DVK $VVHWV LQFOXGH DOO DPRXQWV UHDGLO\ FRQYHUWLEOH WR FDVK RQ KDQG DW &RXQFLO¶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
,QYHQWRULHV
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ǦSD\PHQW RI UDWHV LQ DFFRUGDQFH ZLWK WKH /RFDO *RYHUQPHQW $FW EXW ZKLFK IDLOHG WR PHHW WKH UHVHUYH VHW E\ &RXQFLO DQG DUH DYDLODEOH IRU VDOH E\ SULYDWH WUHDW\ DUH UHFRUGHG DW WKH ORZHU RI WKH XQSDLG UDWHV DQG FKDUJHV DW WKH WLPH RI DXFWLRQ RU WKH UHVHUYH VHW E\ &RXQFLO +ROGLQJ FRVWV LQ UHODWLRQ WR WKHVH SURSHUWLHV DUH UHFRJQLVHG DV DQ H[SHQVH ZKHQ LQFXUUHG
,QIUDVWUXFWXUH 3URSHUW\ 3ODQW (TXLSPHQW
,QLWLDO 5HFRJQLWLRQ $OO DVVHWV DUH LQLWLDOO\ UHFRJQLVHG DW FRVW )RU DVVHWV DFTXLUHG DW QR FRVW RU IRU QRPLQDO FRQVLGHUDWLRQ FRVW LV GHWHUPLQHG DV IDLU YDOXH DW WKH GDWH RI DFTXLVLWLRQ $OO QRQǦFXUUHQW DVVHWV SXUFKDVHG RU FRQVWUXFWHG DUH FDSLWDOLVHG DV WKH H[SHQGLWXUH LV LQFXUUHG DQG GHSUHFLDWHG DV VRRQ DV WKH DVVHW LV KHOG ³UHDG\ IRU XVH´ &RVW LV GHWHUPLQHG DV WKH IDLU YDOXH RI WKH DVVHWV JLYHQ DV FRQVLGHUDWLRQ SOXV FRVWV LQFLGHQWDO WR WKH DFTXLVLWLRQ LQFOXGLQJ DUFKLWHFWV IHHV DQG HQJLQHHULQJ GHVLJQ IHHV DQG DOO RWKHU FRVWV LQFXUUHG 7KH FRVW RI QRQǦFXUUHQW DVVHWV FRQVWUXFWHG E\ WKH &RXQFLO LQFOXGHV WKH FRVW RI DOO PDWHULDOV XVHG LQ FRQVWUXFWLRQ GLUHFW ODERXU RQ WKH SURMHFW DQG DQ DSSURSULDWH SURSRUWLRQ RI YDULDEOH DQG IL[HG RYHUKHDG 0DWHULDOLW\ $VVHWV ZLWK DQ HFRQRPLF OLIH LQ H[FHVV RI RQH \HDU DUH RQO\ FDSLWDOLVHG ZKHUH WKH FRVW RI DFTXLVLWLRQ H[FHHGV PDWHULDOLW\ WKUHVKROGV HVWDEOLVKHG E\ SDJH
103
B
5HQPDUN 3DULQJD &RXQFLO
1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH 6XPPDU\ RI 6LJQLILFDQW $FFRXQWLQJ 3ROLFLHV FRQWLQXHG
ï€ ï€ &RXQFLO IRU HDFK W\SH RI DVVHW ,Q GHWHUPLQLQJ DQG LQ DQQXDOO\ UHYLHZLQJ VXFK WKUHVKROGV UHJDUG LV KDG WR WKH QDWXUH RI WKH DVVHW DQG LWV HVWLPDWHG VHUYLFH OLIH ([DPSOHV RI FDSLWDOLVDWLRQ WKUHVKROGV DSSOLHG GXULQJ WKH \HDU DUH JLYHQ EHORZ 1R FDSLWDOLVDWLRQ WKUHVKROG LV DSSOLHG WR WKH DFTXLVLWLRQ RI ODQG RU LQWHUHVWV LQ ODQG ,QIUDVWUXFWXUH /DQG ,PSURYHPHQWV %XLOGLQJV )XUQLWXUH DQG )LWWLQJV 3ODQW DQG (TXLSPHQW 2WKHU
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Ǧ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
Annual Report 2016/17
\HDUV \HDUV \HDUV \HDUV \HDUV \HDUV \HDUV
)RRWSDWKV .HUELQJ 1DWXUDO )RUPHG 5RDGV 8QVHDOHG 5RDGV 5RDG 6XUIDFLQJ ± 6SUD\ 6HDO 5RDG 6XUIDFLQJ ± $VSKDOW 6HDOHG 5RDG %DVH &:06 7UHDWPHQW 3ODQW &:06 3LSHOLQHV &:06 3ODQW DQG (TXLSPHQW 6WRUPZDWHU 'UDLQDJH 0DMRU 3ODQW 0RZHUV 3DVVHQJHU 9HKLFOHV
WR \HDUV \HDUV 8QOLPLWHG WR \HDUV WR \HDUV WR \HDUV WR \HDUV \HDUV \HDUV \HDUV \HDUV \HDUV \HDUV WR \HDUV
,PSDLUPHQW $VVHWV WKDW DUH VXEMHFW WR GHSUHFLDWLRQ DUH UHYLHZHG IRU LPSDLUPHQW ZKHQHYHU HYHQWV RU FKDQJHV LQ FLUFXPVWDQFHV LQGLFDWH WKDW WKH FDUU\LQJ DPRXQW PD\ QRW EH UHFRYHUDEOH $Q LPSDLUPHQW ORVV LV UHFRJQLVHG IRU WKH DPRXQW E\ ZKLFK WKH DVVHW¶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
B
5HQPDUN 3DULQJD &RXQFLO
1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH 6XPPDU\ RI 6LJQLILFDQW $FFRXQWLQJ 3ROLFLHV FRQWLQXHG
ï€ ï€
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
%RUURZLQJV DUH LQLWLDOO\ UHFRJQLVHG DW IDLU YDOXH QHW RI WUDQVDFWLRQ FRVWV LQFXUUHG DQG DUH VXEVHTXHQWO\ PHDVXUHG DW DPRUWLVHG FRVW $Q\ GLIIHUHQFH EHWZHHQ WKH SURFHHGV QHW RI WUDQVDFWLRQ FRVWV DQG WKH UHGHPSWLRQ DPRXQW LV UHFRJQLVHG LQ WKH LQFRPH VWDWHPHQW RYHU WKH SHULRG RI WKH ERUURZLQJV XVLQJ WKH HIIHFWLYH LQWHUHVW PHWKRG %RUURZLQJV DUH FDUULHG DW WKHLU SULQFLSDO DPRXQWV ZKLFK UHSUHVHQW WKH SUHVHQW YDOXH RI IXWXUH FDVK IORZV DVVRFLDWHG ZLWK VHUYLFLQJ WKH GHEW ,QWHUHVW LV DFFUXHG RYHU WKH SHULRG WR ZKLFK LW UHODWHV DQG LV UHFRUGHG DV SDUW RI ³3D\DEOHV´
(PSOR\HH %HQHILWV
6DODULHV :DJHV &RPSHQVDWHG $EVHQFHV /LDELOLWLHV IRU HPSOR\HHV¶ HQWLWOHPHQWV WR VDODULHV ZDJHV DQG FRPSHQVDWHG DEVHQFHV H[SHFWHG WR EH SDLG RU VHWWOHG ZLWKLQ PRQWKV RI UHSRUWLQJ GDWH DUH DFFUXHG DW QRPLQDO DPRXQWV LQFOXGLQJ SD\UROO EDVHG RQFRVWV PHDVXUHG LQ DFFRUGDQFH ZLWK $$6% /LDELOLWLHV IRU HPSOR\HH EHQHILWV QRW H[SHFWHG WR EH SDLG RU VHWWOHG ZLWKLQ PRQWKV DUH PHDVXUHG DV WKH SUHVHQW YDOXH RI WKH HVWLPDWHG IXWXUH FDVK RXWIORZV LQFOXGLQJ SD\UROO EDVHG RQFRVWV WR EH PDGH LQ UHVSHFW RI VHUYLFHV SURYLGHG E\ HPSOR\HHV XS WR WKH UHSRUWLQJ GDWH
6XSHUDQQXDWLRQ 7KH &RXQFLO PDNHV HPSOR\HU VXSHUDQQXDWLRQ FRQWULEXWLRQV LQ UHVSHFW RI LWV HPSOR\HHV WR WKH 6WDWHZLGH 6XSHUDQQXDWLRQ 6FKHPH 7KH 6FKHPH KDV WZR W\SHV RI PHPEHUVKLS HDFK RI ZKLFK LV IXQGHG GLIIHUHQWO\ 1R FKDQJHV LQ DFFRXQWLQJ SROLF\ KDYH RFFXUUHG GXULQJ HLWKHU WKH FXUUHQW RU SUHYLRXV UHSRUWLQJ SHULRGV 'HWDLOV RI WKH DFFRXQWLQJ SROLFLHV DSSOLHG DQG &RXQFLO¶V LQYROYHPHQW ZLWK WKH VFKHPHV DUH UHSRUWHG LQ 1RWH
3URYLVLRQV
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¶V SROLF\ WR PD[LPLVH UHF\FOLQJ LV H[WHQGLQJ WKH RSHUDWLRQDO OLIH RI WKHVH IDFLOLWLHV DQG VLJQLILFDQW XQFHUWDLQW\ H[LVWV LQ WKH HVWLPDWLRQ RI WKH IXWXUH FORVXUH GDWH
/HDVHV
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
105
B
5HQPDUN 3DULQJD &RXQFLO
1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH 6XPPDU\ RI 6LJQLILFDQW $FFRXQWLQJ 3ROLFLHV FRQWLQXHG
ï€ ï€ ,Q UHVSHFW RI RSHUDWLQJ OHDVHV ZKHUH WKH OHVVRU VXEVWDQWLDOO\ UHWDLQV DOO RI WKH ULVNV DQG EHQHILWV LQFLGHQW WR RZQHUVKLS RI WKH OHDVHG LWHPV OHDVH SD\PHQWV DUH FKDUJHG WR H[SHQVH RYHU WKH OHDVH WHUP
*67 ,PSOLFDWLRQV
,Q DFFRUGDQFH ZLWK 8,* $EVWUDFW ³$FFRXQWLQJ IRU WKH *RRGV 6HUYLFHV 7D[´ ƒ 5HFHLYDEOHV DQG &UHGLWRUV LQFOXGH *67 UHFHLYDEOH DQG SD\DEOH
ƒ
([FHSW LQ UHODWLRQ WR LQSXW WD[HG DFWLYLWLHV UHYHQXHV DQG RSHUDWLQJ H[SHQGLWXUHV H[FOXGH *67 UHFHLYDEOH DQG SD\DEOH
ƒ
1RQ FXUUHQW DVVHWV DQG FDSLWDO H[SHQGLWXUHV LQFOXGH *67 QHW RI DQ\ UHFRXSPHQW
ƒ
$PRXQWV LQFOXGHG LQ WKH 6WDWHPHQW RI &DVK )ORZV DUH GLVFORVHG RQ D JURVV EDVLV
1HZ DFFRXQWLQJ VWDQGDUGV DQG 8,* LQWHUSUHWDWLRQV
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± )DLU 9DOXH 'LVFORVXUHV RI 1RW IRU 3URILW 3XEOLF 6HFWRU (QWLWLHV *HQHUDOO\ &RXQFLO DSSOLHV VWDQGDUGV DQG LQWHUSUHWDWLRQV LQ DFFRUGDQFH ZLWK WKHLU UHVSHFWLYH FRPPHQFHPHQW GDWHV $W WKH GDWH RI DXWKRULVDWLRQ RI WKH ILQDQFLDO UHSRUW $$6% )LQDQFLDO ,QVWUXPHQWV DQG $$6% $PHQGPHQWV WR $XVWUDOLDQ $FFRXQWLQJ 6WDQGDUGV ± ([WHQGLQJ 5HODWHG 3DUW\ 'LVFORVXUHV WR 1RW IRU 3URILW 3XEOLF 6HFWRU (QWLWLHV DUH WKH RQO\ QHZ DFFRXQWLQJ VWDQGDUGV ZLWK D IXWXUH DSSOLFDWLRQ GDWH WKDW DUH
Annual Report 2016/17
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
&RPSDUDWLYH )LJXUHV
7R HQVXUH FRPSDUDELOLW\ ZLWK WKH FXUUHQW UHSRUWLQJ SHULRG¶V ILJXUHV VRPH FRPSDUDWLYH SHULRG OLQH LWHPV DQG DPRXQWV PD\ KDYH EHHQ UHFODVVLILHG RU LQGLYLGXDOO\ UHSRUWHG IRU WKH ILUVW WLPH ZLWKLQ WKHVH ILQDQFLDO VWDWHPHQWV DQG RU WKH QRWHV
'LVFODLPHU
1RWKLQJ FRQWDLQHG ZLWKLQ WKHVH VWDWHPHQWV PD\ EH WDNHQ WR EH DQ DGPLVVLRQ RI DQ\ OLDELOLW\ WR DQ\ SHUVRQ XQGHU DQ\ FLUFXPVWDQFH
SDJH
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH ,QFRPH
1RWHV
D 5DWHV 5HYHQXHV
*HQHUDO 5DWHV *HQHUDO 5DWHV /HVV 0DQGDWRU\ 5HEDWHV /HVV 'LVFUHWLRQDU\ 5HEDWHV 5HPLVVLRQV :ULWH 2IIV 7RWDO *HQHUDO 5DWHV
2WKHU 5DWHV ,QFOXGLQJ 6HUYLFH &KDUJHV
1DWXUDO 5HVRXUFH 0DQDJHPHQW /HY\ :DVWH &ROOHFWLRQ &RPPXQLW\ :DVWHZDWHU 0DQDJHPHQW 6\VWHPV 7RWDO 2WKHU 5DWHV
2WKHU &KDUJHV 3HQDOWLHV IRU /DWH 3D\PHQW /HJDO 2WKHU &RVWV 5HFRYHUHG 7RWDO 2WKHU &KDUJHV
7RWDO 5DWHV 5HYHQXHV
E 6WDWXWRU\ &KDUJHV
'HYHORSPHQW $FW )HHV 7RZQ 3ODQQLQJ )HHV +HDOWK 6HSWLF 7DQN ,QVSHFWLRQ )HHV $QLPDO 5HJLVWUDWLRQ )HHV )LQHV 6XQGU\
7RWDO 6WDWXWRU\ &KDUJHV
F 8VHU &KDUJHV
&HPHWHU\ )HHV +DOO (TXLSPHQW +LUH 6XQGU\ +RXVHERDW 0RRULQJV 9LVLWRU ,QIRUPDWLRQ &HQWUH :DVWH 7UDQVIHU 6WDWLRQ
7RWDO 8VHU &KDUJHV
SDJH
107
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH ,QFRPH FRQWLQXHG
1RWHV
G ,QYHVWPHQW ,QFRPH
,QWHUHVW RQ ,QYHVWPHQWV /RFDO *RYHUQPHQW )LQDQFH $XWKRULW\ %DQNV 2WKHU
7RWDO ,QYHVWPHQW ,QFRPH
H 5HLPEXUVHPHQWV
3ULYDWH :RUNV 2WKHU
7RWDO 5HLPEXUVHPHQWV
I 2WKHU ,QFRPH
5HEDWHV 5HFHLYHG 6XQGU\ :DWHU /HDVLQJ ,QFRPH &RPPHUFLDO 3URSHUW\ 5HQWDO
7RWDO 2WKHU ,QFRPH
J *UDQWV 6XEVLGLHV &RQWULEXWLRQV
$PRXQWV 5HFHLYHG 6SHFLILFDOO\ IRU 1HZ RU 8SJUDGHG $VVHWV 2WKHU *UDQWV 6XEVLGLHV DQG &RQWULEXWLRQV
7RWDO *UDQWV 6XEVLGLHV &RQWULEXWLRQV
7KH IXQFWLRQV WR ZKLFK WKHVH JUDQWV UHODWH DUH VKRZQ LQ 1RWH L 6RXUFHV RI JUDQWV &RPPRQZHDOWK *RYHUQPHQW 6WDWH *RYHUQPHQW 2WKHU 7RWDO
Annual Report 2016/17
SDJH
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH ([SHQVHV
1RWHV
D (PSOR\HH &RVWV
LL 2WKHU 0DWHULDOV &RQWUDFWV DQG ([SHQVHV &RQWUDFWRUV (QHUJ\ 0DLQWHQDQFH /HYLHV 3DLG WR *RYHUQPHQW 150 OHY\ /HYLHV 2WKHU 3DUWV $FFHVVRULHV &RQVXPDEOHV 6XQGU\ 6XEWRWDO 2WKHU 0DWHULDO &RQWUDFWV ([SHQVHV
7RWDO 0DWHULDOV &RQWUDFWV DQG 2WKHU ([SHQVHV
6DODULHV DQG :DJHV (PSOR\HH /HDYH ([SHQVH 6XSHUDQQXDWLRQ 'HILQHG &RQWULEXWLRQ 3ODQ &RQWULEXWLRQV 6XSHUDQQXDWLRQ 'HILQHG %HQHILW 3ODQ &RQWULEXWLRQV :RUNHUV &RPSHQVDWLRQ ,QVXUDQFH ,QFRPH 3URWHFWLRQ ,QVXUDQFH /HVV &DSLWDOLVHG DQG 'LVWULEXWHG &RVWV
7RWDO 2SHUDWLQJ (PSOR\HH &RVWV
7RWDO 1XPEHU RI (PSOR\HHV IXOO WLPH HTXLYDOHQW DW HQG RI UHSRUWLQJ SHULRG
E 0DWHULDOV &RQWUDFWV DQG 2WKHU ([SHQVHV
L 3UHVFULEHG ([SHQVHV $XGLWRU V 5HPXQHUDWLRQ $XGLWLQJ WKH )LQDQFLDO 5HSRUWV 2WKHU $XGLWRUV (OHFWHG 0HPEHUV ([SHQVHV (OHFWLRQ ([SHQVHV 2SHUDWLQJ /HDVH 5HQWDOV 1RQ &DQFHOODEOH /HDVHV 0LQLPXP /HDVH 3D\PHQWV 6XEWRWDO 3UHVFULEHG ([SHQVHV
SDJH
109
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH ([SHQVHV FRQWLQXHG
L $VVHWV 5HQHZHG RU 'LUHFWO\ 5HSODFHG 3URFHHGV IURP 'LVSRVDO /HVV &DUU\LQJ $PRXQW RI $VVHWV 6ROG *DLQ /RVV RQ 'LVSRVDO
LL $VVHWV 6XUSOXV WR 5HTXLUHPHQWV 3URFHHGV IURP 'LVSRVDO /HVV &DUU\LQJ $PRXQW RI $VVHWV 6ROG *DLQ /RVV RQ 'LVSRVDO
1HW *DLQ /RVV RQ 'LVSRVDO RU 5HYDOXDWLRQ RI $VVHWV
1RWHV
F 'HSUHFLDWLRQ DQG $PRUWLVDWLRQ
/DQG ,PSURYHPHQWV %XLOGLQJV 2WKHU 6WUXFWXUHV ,QIUDVWUXFWXUH 7UDQVSRUW 6WRUPZDWHU &:06 ,UULJDWLRQ 2WKHU ,QIUDVWUXFWXUH 3ODQW (TXLSPHQW )XUQLWXUH )LWWLQJV
7RWDO 'HSUHFLDWLRQ DQG $PRUWLVDWLRQ
G )LQDQFH &RVWV
,QWHUHVW RQ /RDQV
7RWDO )LQDQFH &RVWV
1RWH $VVHW 'LVSRVDO )DLU 9DOXH $GMXVWPHQWV
,QIUDVWUXFWXUH 3URSHUW\ 3ODQW (TXLSPHQW
Annual Report 2016/17
SDJH
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH &XUUHQW $VVHWV
5HFHLYDEOHV :DVWH %LQV 7RWDO 5HFHLYDEOHV
7RWDO )LQDQFLDO $VVHWV
&DSLWDO :RUNV LQ 3URJUHVV
7RWDO 2WKHU 1RQ &XUUHQW $VVHWV
1RWHV
D &DVK &DVK (TXLYDOHQWV
&DVK RQ +DQG DW %DQN 'HSRVLWV DW &DOO
7RWDO &DVK &DVK (TXLYDOHQWV
E 7UDGH 2WKHU 5HFHLYDEOHV
5DWHV *HQHUDO 2WKHU $FFUXHG 5HYHQXHV 'HEWRUV *HQHUDO *67 5HFRXSPHQW 3UHSD\PHQWV 6XQGU\ :DVWH %LQV
7RWDO 7UDGH 2WKHU 5HFHLYDEOHV
F ,QYHQWRULHV
6WRUHV 0DWHULDOV 7UDGLQJ 6WRFN
7RWDO ,QYHQWRULHV
1RWH 1RQ &XUUHQW $VVHWV
D )LQDQFLDO $VVHWV
E 2WKHU 1RQ &XUUHQW $VVHWV
SDJH
111
Annual Report 2016/17
7RWDO ,QIUDVWUXFWXUH 3URSHUW\ 3ODQW (TXLSPHQW
&RPSDUDWLYHV
&RVW
$W
)DLU 9DOXH
$W
/DQG 2WKHU /DQG 2WKHU /DQG ,PSURYHPHQWV /DQG ,PSURYHPHQWV %XLOGLQJV 2WKHU 6WUXFWXUHV %XLOGLQJV 2WKHU 6WUXFWXUHV ,QIUDVWUXFWXUH 7UDQVSRUW 6WRUPZDWHU &:06 ,UULJDWLRQ 2WKHU ,QIUDVWUXFWXUH 3ODQW (TXLSPHQW )XUQLWXUH )LWWLQJV
/HYHO
)DLU 9DOXH
'HS Q
$FFXPXODWHG
DV DW
1RWH D L ,QIUDVWUXFWXUH 3URSHUW\ 3ODQW (TXLSPHQW
IRU WKH \HDU HQGHG -XQH
1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
5HQPDUN 3DULQJD &RXQFLO
9DOXH
&DUU\LQJ
1HZ 8SJUDGH
'HSUHFLDWLRQ ([SHQVH 1RWH F
$GMXVWPHQWV 7UDQVIHUV
:'9 RI $VVHW 'LVSRVDOV
5HYDOXDWLRQ 5HYDOXDWLRQ 'HFUHPHQWV ,QFUHPHQWV WR (TXLW\ WR (TXLW\ $55 $55 1RWH
1RWH
$VVHW 0RYHPHQWV GXULQJ WKH 5HSRUWLQJ 3HULRG
5HQHZDOV
$VVHW $GGLWLRQV
$W
)DLU 9DOXH
&RVW
$W
'HS Q
$FFXPXODWHG
DV DW
SDJH
9DOXH
&DUU\LQJ
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH E 9DOXDWLRQ RI ,QIUDVWUXFWXUH 3URSHUW\ 3ODQW (TXLSPHQW ,QYHVWPHQW 3URSHUW\
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
SDJH
113
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH E 9DOXDWLRQ RI ,QIUDVWUXFWXUH 3URSHUW\ 3ODQW (TXLSPHQW ,QYHVWPHQW 3URSHUW\ FRQWLQXHG
9DOXDWLRQ RI $VVHWV FRQWLQXHG
2WKHU ,QIRUPDWLRQ $W -XO\ XSRQ WKH WUDQVLWLRQ WR $,)56 &RXQFLO HOHFWHG SXUVXDQW WR $$6% ' WR UHWDLQ D SUHYLRXVO\ HVWDEOLVKHG GHHPHG FRVW XQGHU *$$3 DV LWV GHHPHG FRVW :LWK VXEVHTXHQW DGGLWLRQ DW FRVW WKLV UHPDLQV DV WKH EDVLV RI UHFRJQLWLRQ RI QRQ PDWHULDO DVVHW FODVVHV яАн яАн 8SRQ UHYDOXDWLRQ WKH FXUUHQW QHZ UHSODFHPHQW FRVW DQG DFFXPXODWHG GHSUHFLDWLRQ DUH UH VWDWHG VXFK WKDW WKH GLIIHUHQFH UHSUHVHQWV WKH IDLU YDOXH RI WKH DVVHW GHWHU PLQHG LQ DFFRUGDQFH ZLWK $$6% )DLU 9DOXH 0HDVXUHPHQW DFFXPXODWHG GHSUHFLDWLRQ LV WDNHQ WR EH WKH GLIIHUHQFH EHWZHHQ FXUUHQW QHZ UHSODFHPHQW FRVW DQG IDLU YDOXH ,Q WKH FDVH RI ODQG FXUUHQW UHSODFHPHQW FRVW LV WDNHQ WR EH WKH IDLU YDOXH
+LJKHVW DQG EHVW XVH $OO RI &RXQFLO V QRQ ILQDQFLDO DVVHWV DUH FRQVLGHUHG DV EHLQJ XWLOLVHG IRU WKHLU KLJKHVW DQG EHVW XVH
7UDQVLWLRQ WR яББяББяБУяБВяАаяА▒яА│яАаяАняАаяБЖяБбяБйяБ▓яАаяБЦяБбяБмяБ╡яБеяАаяБНяБеяБбяБ│яБ╡яБ▓яБеяБняБеяБояБ┤ 7KH UHTXLUHPHQWV RI $$6% )DLU 9DOXH 0HDVXUHPHQW KDYH EHHQ DSSOLHG WR DOO YDOXDWLRQV XQGHUWDNHQ VLQFH -XO\ DV VKRZQ E\ WKH YDOXDWLRQ GDWHV E\ LQGLYLGXDO DVVHW FODVVHV EHORZ
/DQG /DQG ,PSURYHPHQWV
%DVLV RI YDOXDWLRQ :ULWWHQ GRZQ FXUUHQW UHSODFHPHQW FRVW 'DWH RI YDOXDWLRQ -XO\ ,QFOXGH ZKHQ 9DOXDWLRQ ZDV UHFHLYHG DQG DGRSWHG LI GLIIHUHQW WR YDOXDWLRQ GDWH 9DOXHU -// ,QIUDVWUXFWXUH $GYLVRU\ 3W\ /WG 3HWD 0DQW]DUDSLV % %XV 3URSHUW\ 9DOXDWLRQ )$3, &RXQFLO EHLQJ RI WKH RSLQLRQ WKDW LW LV QRW SRVVLEOH WR DWWULEXWH D YDOXH VXIILFLHQWO\ UHOLDEO\ WR TXDOLI\ IRU UHFRJQLWLRQ ODQG XQGHU URDGV KDV QRW EHHQ UHFRJQLVHG LQ WKHVH UHSRUWV /DQG DFTXLUHG IRU URDG SXUSRVHV GXULQJ WKH \HDU LV LQLWLDOO\ UHFRJQLVHG DW FRVW EXW WUDQVIHUUHG WR IDLU YDOXH DW UHSRUWLQJ GDWH HIIHFWLYHO\ ZULWLQJ RII WKH H[SHQGLWXUH )UHHKROG ODQG DQG ODQG RYHU ZKLFK &RXQFLO KDV FRQWURO EXW GRHV QRW KDYH WLWOH LV UHFRJQLVHG RQ WKH FRVW EDVLV 1R FDSLWDOLVDWLRQ WKUHVKROG LV DSSOLHG WR WKH DFTXLVLWLRQ RI ODQG RU LQWHUHVWV LQ ODQG 7KHVH DVVHWV ZHUH UHYDOXHG DV DW -XO\ E\ -// ,QIUDVWUXFWXUH $GYLVRU\ 3W\ /WG /DQG LPSURYHPHQWV ZLWK DQ DVVHVVHG XQOLPLWHG XVHIXO OLIH DUH UHFRJQLVHG RQ WKH FRVW EDVLV RULJLQDOO\ GHULYLQJ IURP D YDOXDWLRQ DW -XQH DW FXUUHQW UHSODFHPHQW FRVW $GGLWLRQV DUH UHFRJQLVHG DW FRVW ([DPSOHV RI /DQG LPSURYHPHQWV LQFOXGH VLJQV OLJKWLQJ DQG SDUN IXUQLWXUH 'XULQJ WKH ILQDQFLDO \HDU D UHYLHZ RI WKH DVVHWV FODVVLILHG DQG UHFRUGHG DV /DQG ,PSURYHPHQW DVVHWV ZDV FRPSOHWHG DQG DV D UHVXOW VRPH DVVHWV KDYH EHHQ UHFODVVLILHG LQWR RWKHU DVVHWV FODVVHV ZLWKLQ 1RWH DV DW VW -XO\ $ WRWDO YDOXH RI PLOOLRQ DVVHWV ZHUH UHFODVVLILHG IURP WKH /DQG ,PSURYHPHQW ┬▒ /HYHO DVVHWV FODVV DQG WUDQVIHUUHG LQWR RWKHU DVVHW FODVVHV SHU WKH PRYHPHQW VKRZQ LQ 1RWH 7KH UHFODVVLILFDWLRQ RI WKHVH DVVHWV KDV UHVXOWHG LQ QR LPSDFW RQ WKH ILQDQFLDO SHUIRUPDQFH RU SRVLWLRQ RI WKH &RXQFLO Annual Report 2016/17
SDJH
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH E 9DOXDWLRQ RI ,QIUDVWUXFWXUH 3URSHUW\ 3ODQW (TXLSPHQW ,QYHVWPHQW 3URSHUW\ FRQWLQXHG
9DOXDWLRQ RI $VVHWV FRQWLQXHG
%XLOGLQJV 2WKHU 6WUXFWXUHV
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³KLJKHVW DQG EHVW´ XVH 7KHVH DVVHWV ZHUH UHYDOXHG DV DW -XO\ E\ -// $XVWUDOLD 'XULQJ WKH ILQDQFLDO \HDU D UHYLHZ RI WKH DVVHWV FODVVLILHG DQG UHFRUGHG DV %XLOGLQJV 6WUXFWXUHV DVVHWV ZDV FRPSOHWHG DQG DV D UHVXOW VRPH DVVHWV KDYH EHHQ UHFODVVLILHG LQWR RWKHU DVVHWV FODVVHV ZLWKLQ 1RWH DV DW VW -XO\ $ WRWDO YDOXH RI PLOOLRQ DVVHWV ZHUH UHFODVVLILHG IURP WKH %XLOGLQJV ± /HYHO DVVHWV FODVV DQG WUDQVIHUUHG LQWR RWKHU DVVHW FODVVHV SHU WKH PRYHPHQW VKRZQ LQ 1RWH 7KH UHFODVVLILFDWLRQ RI WKHVH DVVHWV KDV UHVXOWHG LQ QR LPSDFW RQ WKH ILQDQFLDO SHUIRUPDQFH RU SRVLWLRQ RI WKH &RXQFLO
,QIUDVWUXFWXUH 7UDQVSRUWDWLRQ $VHWV LQFOXGLQJ 5RDGV .HUE DQG :DWHUWDEOH DQG )RRWSDWK $VVHWV ZDV UHYLHZHG E\ &RXQFLO LQ FRQMXQFWLRQ ZLWK 7RQNLQ &RQVXOWLQJ LQ $V SDUW RI WKH UHYLHZ &RXQFLO 'HYHORSHG DVVHW FRPSRQHQWV XQLW UDWHV DQG OLYHV 6HSHUDWHG FRPSRQHQWV IRU URDG VHDO VKHHWLQJ DQG SDYHPHQW &UHDWHG FRPSRQHQWLVHG DVVHWV LQ FRPSOLDQFH ZLWK $$6% 7KH RXWFRPHV RI WKH UHYLHZ ZHUH LQFRUSRUDWHG LQWR &RXQFLO V DVVHW GDWDEDVH ZLWK 7RQNLQ &RQVXOWLQJ DQG UHYDOXHG DW GHSUHFLDWHG FXUUHQW UHSODFHPHQW FRVW DV DW -XO\ 6WRUPZDWHU GUDLQDJH LQIUDVWUXFWXUH ZDV YDOXHG E\ 7RQNLQ (QJLQHHULQJ DV DW -XQH DW ZULWWHQ GRZQ FXUUHQW UHSODFHPHQW FRVW EDVHG RQ DFWXDO FRVWV LQFXUUHG GXULQJ WKH UHSRUWLQJ SHULRG HQGHG -XQH DQG SXUVXDQW WR &RXQFLO¶V HOHFWLRQ DUH GLVFORVHG DW GHHPHG FRVW $OO DFTXLVLWLRQV PDGH DIWHU WKH UHVSHFWLYH GDWHV RI YDOXDWLRQ DUH UHFRUGHG DW FRVW &RPPXQLW\ ZDVWHZDWHU PDQDJHPHQW V\VWHP LQIUDVWUXFWXUH ZDV YDOXHG E\ 7RQNLQ (QJLQHHULQJ DW ZULWWHQ GRZQ FXUUHQW UHSODFHPHQW FRVW GXULQJ WKH UHSRUWLQJ SHULRG HQGHG -XQH DQG SXUVXDQW WR &RXQFLO¶V HOHFWLRQ DUH GLVFORVHG DW GHHPHG FRVW $OO DFTXLVLWLRQV PDGH DIWHU WKH UHVSHFWLYH GDWHV RI YDOXDWLRQ DUH UHFRUGHG DW FRVW
3ODQW (TXLSPHQW
7KHVH DVVHWV DUH UHFRJQLVHG RQ WKH FRVW EDVLV
)XUQLWXUH )LWWLQJV 7KHVH DVVHWV DUH UHFRJQLVHG RQ WKH FRVW EDVLV
SDJH
115
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH /LDELOLWLHV
1RWHV
&XUUHQW
1RQ &XUUHQW
&XUUHQW
1RQ &XUUHQW
D 7UDGH DQG 2WKHU 3D\DEOHV
*RRGV 6HUYLFHV 3D\PHQWV 5HFHLYHG LQ $GYDQFH $FFUXHG ([SHQVHV (PSOR\HH (QWLWOHPHQWV $FFUXHG ([SHQVHV 2WKHU
7RWDO 7UDGH DQG 2WKHU 3D\DEOHV
E %RUURZLQJV
/RDQV
7RWDO %RUURZLQJV
$OO LQWHUHVW EHDULQJ OLDELOLWLHV DUH VHFXUHG RYHU WKH IXWXUH UHYHQXHV RI WKH &RXQFLO
F 3URYLVLRQV
$QQXDO (PSOR\HH (QWLWOHPHQWV LQF RQFRVWV
/RQJ 6HUYLFH /HDYH (PSOR\HH (QWLWOHPHQWV LQF RQFRVWV
7RWDO 3URYLVLRQV
Annual Report 2016/17
SDJH
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH 5HVHUYHV
,QFUHPHQWV 'HFUHPHQWV
7UDQVIHUV
,PSDLUPHQWV
/DQG 2WKHU /DQG ,PSURYHPHQWV %XLOGLQJV 2WKHU 6WUXFWXUHV ,QIUDVWUXFWXUH 7UDQVSRUW 6WRUPZDWHU &:06 ,UULJDWLRQ
&RPSDUDWLYHV
7IUV WR 5HVHUYH
7IUV IURP 5HVHUYH
2WKHU 0RYHPHQWV
&:06 5HVHUYH 3ODQW 5HSODFHPHQW 5HVHUYH 'HYHORSPHQW 5HVHUYH 2SHQ 6SDFH 5HVHUYH
&RPSDUDWLYHV
1RWHV
D $VVHW 5HYDOXDWLRQ 5HVHUYH
7RWDO $VVHW 5HYDOXDWLRQ 5HVHUYH
1RWHV
E 2WKHU 5HVHUYHV
7RWDO 2WKHU 5HVHUYHV
385326(6 2) 5(6(59(6
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
117
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH 5HFRQFLOLDWLRQ WR 6WDWHPHQW RI &DVK )ORZV
1RWHV
D 5HFRQFLOLDWLRQ RI &DVK &DVK $VVHWV FRPSULVH KLJKO\ OLTXLG LQYHVWPHQWV ZLWK VKRUW SHULRGV WR PDWXULW\ VXEMHFW WR LQVLJQLILFDQW ULVN RI FKDQJHV RI YDOXH &DVK DW WKH HQG RI WKH UHSRUWLQJ SHULRG DV VKRZQ LQ WKH 6WDWHPHQW RI &DVK )ORZV LV UHFRQFLOHG WR WKH UHODWHG LWHPV LQ WKH 6WDWHPHQW RI )LQDQFLDO 3RVLWLRQ DV IROORZV 7RWDO &DVK (TXLYDOHQW $VVHWV %DODQFHV SHU 6WDWHPHQW RI &DVK )ORZV
E 5HFRQFLOLDWLRQ RI &KDQJH LQ 1HW $VVHWV WR &DVK IURP 2SHUDWLQJ $FWLYLWLHV
1HW 6XUSOXV 'HILFLW
1RQ &DVK ,WHPV LQ ,QFRPH 6WDWHPHQWV 'HSUHFLDWLRQ $PRUWLVDWLRQ ,PSDLUPHQW *UDQWV IRU &DSLWDO $FTXLVLWLRQV 7UHDWHG DV ,QYHVWLQJ $FWLYLW\ 5HFHLSWV
1HW *DLQ /RVV RQ 'LVSRVDOV $GG /HVV &KDQJHV LQ 1HW &XUUHQW $VVHWV 1HW ,QFUHDVH 'HFUHDVH LQ 5HFHLYDEOHV 1HW ,QFUHDVH 'HFUHDVH LQ ,QYHQWRULHV 1HW ,QFUHDVH 'HFUHDVH LQ 2WKHU &XUUHQW $VVHWV 1HW ,QFUHDVH 'HFUHDVH LQ 7UDGH 2WKHU 3D\DEOHV 1HW ,QFUHDVH 'HFUHDVH LQ 8QSDLG (PSOR\HH %HQHILWV 1HW &DVK SURYLGHG E\ RU XVHG LQ RSHUDWLRQV
F )LQDQFLQJ $UUDQJHPHQWV 8QUHVWULFWHG DFFHVV ZDV DYDLODEOH DW EDODQFH GDWH WR WKH IROORZLQJ OLQHV RI FUHGLW &RUSRUDWH &UHGLW &DUGV
7KH EDQN RYHUGUDIW IDFLOLWLHV PD\ EH GUDZQ DW DQ\ WLPH DQG PD\ EH WHUPLQDWHG E\ WKH EDQN ZLWKRXW QRWLFH
Annual Report 2016/17
SDJH
119
3ODQW +LUH 'HSRW ,QGLUHFW &RXQFLO $GPLQLVWUDWLRQ
7RWDO )XQFWLRQV $FWLYLWLHV
$FWXDO
$FWXDO
$FWXDO
$FWXDO
$FWXDO
*5$176 ,1&/8'(' ,1 ,1&20(
$FWXDO
23(5$7,1* 6853/86 '(),&,7
$FWXDO
$FWXDO
727$/ $66(76 +(/' &855(17 121 &855(17
SK\VLFDO UHVRXUFHV UHFHLYHG IUHH RI FKDUJH
SDJH
5HYHQXHV DQG H[SHQVHV H[FOXGH QHW JDLQ ORVV RQ GLVSRVDO RU UHYDOXDWLRQ RI DVVHWV QHW JDLQ ORVV IURP MRLQW YHQWXUHV DVVRFLDWHG HQWLWLHV DPRXQWV UHFHLYHG VSHFLILFDOO\ IRU QHZ RU XSJUDGHG DVVHWV DQG
7UDQVSRUW &RPPXQLFDWLRQ
5HFUHDWLRQ
5HJXODWRU\ 6HUYLFHV
(FRQRPLF 'HYHORSPHQW
(QYLURQPHQW
&RPPXQLW\ 6HUYLFHV
$FWXDO
(;3(16(6
'HWDLOV RI WKHVH )XQFWLRQV $FWLYLWLHV DUH SURYLGHG LQ 1RWH E
,QFRPH ([SHQVHV DQG $VVHWV KDYH EHHQ GLUHFWO\ DWWULEXWHG WR WKH IROORZLQJ )XQFWLRQV $FWLYLWLHV
&XOWXUH
$FWXDO
,1&20(
%XVLQHVV 8QGHUWDNLQJV
)XQFWLRQV $FWLYLWLHV
1RWH D )XQFWLRQV
IRU WKH \HDU HQGHG -XQH
1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
5HQPDUN 3DULQJD &RXQFLO
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH E &RPSRQHQWV RI )XQFWLRQV
7KH DFWLYLWLHV UHODWLQJ WR &RXQFLO IXQFWLRQV DUH DV IROORZV %86,1(66 81'(57$.,1*6 /DQG 'HYHORSPHQW 3ULYDWH :RUNV 3URSHUW\ 3RUWIROLR (IIOXHQW 'UDLQDJH :DWHU 6XSSO\
&20081,7< 6(59,&(6 )LUH 3URWHFWLRQ 3HVW &RQWURO (PHUJHQF\ 6HUYLFHV 0HDOV RQ :KHHOV 6HQLRU &LWL]HQV ,PPXQLVDWLRQV &RPPXQLW\ $VVLVWDQFH &HPHWHULHV 3XEOLF &RQYHQLHQFHV &DU 3DUNLQJ 2WKHU &RPPXQLW\ 6HUYLFHV
&8/785( /LEUDULHV 7RZQ +DOOV +HULWDJH 0XVHXPV $UW *DOOHULHV (YHQWV (&2120,& '(9(/230(17 5HJLRQDO 'HYHORSPHQW 7RXULVP
(19,5210(17 $QLPDO 3ODQW %RDUGV :DVWH 0DQDJHPHQW 6WRUP :DWHU 6WUHHW &OHDQLQJ 6WUHHW /LJKWLQJ )ORRG 3UHYHQWLRQ 2WKHU (QYLURQPHQW /RFDO $FWLRQ 3ODQQLQJ
5(&5($7,21 -HWWLHV :KDUYHV +RXVHERDW 0RRULQJV 3DUNV *DUGHQV 6SRUWV )DFLOLWLHV 2WKHU 5HFUHDWLRQ 5(*8/$725< 6(59,&(6 $QLPDO &RQWURO %XLOGLQJ &RQWURO 7RZQ 3ODQQLQJ +HDOWK ,QVSHFWLRQV 2WKHU 5HJXODWRU\
75$163257 $HURGURPH %ULGJHV )RRWSDWKV .HUELQJ 5RDGV 0HGLDQV 7UDIILF 0DQDJHPHQW 2WKHU 7UDQVSRUW 3/$17 +,5( '(327 3ODQW 2SHUDWLRQV 'HSRW 2SHUDWLRQV
&281&,/ $'0,1,675$7,21 *RYHUQDQFH (OHFWHG 0HPEHUV 6WUDWHJLF 0DQDJHPHQW )LQDQFH +XPDQ 5HVRXUFHV ,QIRUPDWLRQ 7HFKQRORJ\ 5DWHV 5HFRUGV &XVWRPHU 6HUYLFH 2IILFH $FFRPPRGDWLRQ
Annual Report 2016/17
SDJH
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH )LQDQFLDO ,QVWUXPHQWV
5HFRJQLVHG )LQDQFLDO ,QVWUXPHQWV
%DQN 'HSRVLWV DW &DOO 6KRUW 7HUP 'HSRVLWV $FFRXQWLQJ 3ROLF\
&DUULHG DW ORZHU RI FRVW DQG QHW UHDOLVDEOH YDOXH ,QWHUHVW LV UHFRJQLVHG ZKHQ HDUQHG
&DUU\LQJ $PRXQW
$SSUR[LPDWHV IDLU YDOXH GXH WR WKH VKRUW WHUP WR PDWXULW\
5HFHLYDEOHV
5DWHV $VVRFLDWHG &KDUJHV
LQFOXGLQJ OHJDOV SHQDOWLHV IRU ODWH SD\PHQW
$FFRXQWLQJ 3ROLF\
&DUULHG DW QRPLQDO YDOXHV OHVV DQ\ DOORZDQFH IRU GRXEWIXO GHEWV $Q DOORZDQFH IRU GRXEWIXO GHEWV LV UHFRJQLVHG DQG UH DVVHVVHG DQQXDOO\ ZKHQ FROOHFWLRQ LQ IXOO LV QR ORQJHU SUREDEOH
1RWH 7KHVH UHFHLYDEOHV GR QRW PHHW WKH GHILQLWLRQ RI ILQDQFLDO LQVWUXPHQWV DQG KDYH EHHQ H[FOXGHG IURP WKH IROORZLQJ GLVFORVXUHV
7HUPV &RQGLWLRQV
6HFXUHG RYHU WKH VXEMHFW ODQG DUUHDUV DWWUDFW LQWHUHVW RI &RXQFLO LVQW PDWHULDOO\ H[SRVHG WR DQ\ LQGLYLGXDO GHEWRU FUHGLW ULVN H[SRVXUH LV FRQFHQWUDWHG ZLWKLQ WKH &RXQFLO V ERXQGDULHV LQ WKH 6WDWH
&DUU\LQJ $PRXQW
$SSUR[LPDWHV IDLU YDOXH DIWHU GHGXFWLRQ RI DQ\ DOORZDQFH
5HFHLYDEOHV
)HHV 2WKHU &KDUJHV
$FFRXQWLQJ 3ROLF\
&DUULHG DW QRPLQDO YDOXHV OHVV DQ\ DOORZDQFH IRU GRXEWIXO GHEWV $Q DOORZDQFH IRU GRXEWIXO GHEWV LV UHFRJQLVHG DQG UH DVVHVVHG DQQXDOO\ ZKHQ FROOHFWLRQ LQ IXOO LV QR ORQJHU SUREDEOH
7HUPV &RQGLWLRQV
8QVHFXUHG DQG GR QRW EHDU LQWHUHVW &RXQFLO LV QRW PDWHULDOO\ H[SRVHG WR DQ\ LQGLYLGXDO GHEWRU FUHGLW ULVN H[SRVXUH LV FRQFHQWUDWHG ZLWKLQ WKH &RXQFLO V ERXQGDULHV
&DUU\LQJ $PRXQW
$SSUR[LPDWHV IDLU YDOXH DIWHU GHGXFWLRQ RI DQ\ DOORZDQFH
SDJH
121
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH )LQDQFLDO ,QVWUXPHQWV FRQWLQXHG
5HFRJQLVHG )LQDQFLDO ,QVWUXPHQWV
5HFHLYDEOHV
2WKHU /HYHOV RI *RYHUQPHQW
$FFRXQWLQJ 3ROLF\
&DUULHG DW QRPLQDO YDOXH
7HUPV &RQGLWLRQV
$PRXQWV GXH KDYH EHHQ FDOFXODWHG LQ DFFRUGDQFH ZLWK WKH WHUPV DQG FRQGLWLRQV RI WKH UHVSHFWLYH SURJUDPV IROORZLQJ DGYLFH RI DSSURYDOV DQG GR QRW EHDU LQWHUHVW $OO DPRXQWV DUH GXH E\ 'HSDUWPHQWV DQG $JHQFLHV RI 6WDWH DQG )HGHUDO *RYHUQPHQWV
&DUU\LQJ $PRXQW
$SSUR[LPDWHV IDLU YDOXH
/LDELOLWLHV
&UHGLWRUV DQG $FFUXDOV
$FFRXQWLQJ 3ROLF\
/LDELOLWLHV DUH UHFRJQLVHG IRU DPRXQWV WR EH SDLG LQ WKH IXWXUH IRU JRRGV DQG VHUYLFHV UHFHLYHG ZKHWKHU RU QRW ELOOHG WR WKH &RXQFLO
7HUPV &RQGLWLRQV
/LDELOLWLHV DUH QRUPDOO\ VHWWOHG RQ GD\ WHUPV
&DUU\LQJ $PRXQW
$SSUR[LPDWHV IDLU YDOXH
/LDELOLWLHV
,QWHUHVW %HDULQJ %RUURZLQJV
$FFRXQWLQJ 3ROLF\
&DUULHG DW WKH SULQFLSDO DPRXQWV ,QWHUHVW LV FKDUJHG DV DQ H[SHQVH DV LW DFFUXHV
7HUPV &RQGLWLRQV
6HFXUHG RYHU IXWXUH UHYHQXHV ERUURZLQJV DUH UHSD\DEOH KDOI \HDUO\ LQWHUHVW LV FKDUJHG DW IL[HG UDWHV EHWZHHQ DQG DQG
&DUU\LQJ $PRXQW
$SSUR[LPDWHV IDLU YDOXH
/LDELOLWLHV
)LQDQFH /HDVHV
Annual Report 2016/17
$FFRXQWLQJ 3ROLF\
$FFRXQWHG IRU LQ DFFRUGDQFH ZLWK $$6%
SDJH
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH )LQDQFLDO ,QVWUXPHQWV FRQWLQXHG
'XH
'XH ! \HDU
'XH
7RWDO &RQWUDFWXDO
&DUU\LQJ
\HDU
” \HDUV
! \HDUV
&DVK )ORZV
9DOXHV
)LQDQFLDO $VVHWV &DVK (TXLYDOHQWV 5HFHLYDEOHV 7RWDO )LQDQFLDO $VVHWV
)LQDQFLDO /LDELOLWLHV 3D\DEOHV &XUUHQW %RUURZLQJV 1RQ &XUUHQW %RUURZLQJV 7RWDO )LQDQFLDO /LDELOLWLHV
'XH
'XH ! \HDU
'XH
7RWDO &RQWUDFWXDO
&DUU\LQJ
\HDU
” \HDUV
! \HDUV
&DVK )ORZV
9DOXHV
)LQDQFLDO $VVHWV &DVK (TXLYDOHQWV 5HFHLYDEOHV 7RWDO )LQDQFLDO $VVHWV
)LQDQFLDO /LDELOLWLHV 3D\DEOHV &XUUHQW %RUURZLQJV 1RQ &XUUHQW %RUURZLQJV 7RWDO )LQDQFLDO /LDELOLWLHV
7KH IROORZLQJ LQWHUHVW UDWHV ZHUH DSSOLFDEOH WR &RXQFLO V %RUURZLQJV DW EDODQFH GDWH )L[HG ,QWHUHVW 5DWHV
-XQH
-XQH
:HLJKWHG $YJ
&DUU\LQJ
:HLJKWHG $YJ
,QWHUHVW 5DWH
9DOXH
,QWHUHVW 5DWH
&DUU\LQJ 9DOXH
1HW )DLU 9DOXH
$OO FDUU\LQJ YDOXHV DSSUR[LPDWH IDLU YDOXH IRU DOO UHFRJQLVHG ILQDQFLDO LQVWUXPHQWV 7KHUH LV QR UHFRJQLVHG PDUNHW IRU WKH ILQDQFLDO DVVHWV RI WKH &RXQFLO
SDJH
123
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH )LQDQFLDO ,QVWUXPHQWV FRQWLQXHG
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
Annual Report 2016/17
SDJH
яБШяА▒яА▓яББяА┤яБФ
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH яБШяА▒яА▓яББяА╡яБФ
1RWH )LQDQFLDO ,QGLFDWRUV
$PRXQWV
,QGLFDWRU
3ULRU 3HULRGV
7KHVH )LQDQFLDO ,QGLFDWRUV KDYH EHHQ FDOFXODWHG LQ DFFRUGDQFH ZLWK яБЙяБояБжяБпяБ▓яБняБбяБ┤яБйяБпяБояАаяБ░яБбяБ░яБеяБ▓яАаяА╣яАаяАняАаяБМяБпяБгяБбяБмяАаяБЗяБпяБ╢яБеяБ▓яБояБняБеяБояБ┤яАаяБЖяБйяБояБбяБояБгяБйяБбяБмяАаяБЙяБояБдяБйяБгяБбяБ┤яБпяБ▓яБ│ SUHSDUHG DV SDUW RI WKH /*$ )LQDQFLDO 6XVWDLQDELOLW\ 3URJUDP IRU WKH /RFDO *RYHUQPHQW $VVRFLDWLRQ RI 6RXWK $XVWUDOLD
2SHUDWLQJ 6XUSOXV 5DWLR 2SHUDWLQJ 6XUSOXV 7RWDO 2SHUDWLQJ 5HYHQXH яБФяБияБйяБ│яАаяБ▓яБбяБ┤яБйяБпяАаяБеяБ╕яБ░яБ▓яБеяБ│яБ│яБеяБ│яАаяБ┤яБияБеяАаяБпяБ░яБеяБ▓яБбяБ┤яБйяБояБзяАаяБ│яБ╡яБ▓яБ░яБмяБ╡яБ│яАаяБбяБ│яАаяБбяАаяБ░яБеяБ▓яБгяБеяБояБ┤яБбяБзяБеяАаяБпяБжяАаяБ┤яБпяБ┤яБбяБм яБпяБ░яБеяБ▓яБбяБ┤яБйяБояБзяАаяБ▓яБеяБ╢яБеяБояБ╡яБеяАо
D $GMXVWHG 2SHUDWLQJ 6XUSOXV 5DWLR ,Q UHFHQW \HDUV WKH )HGHUDO *RYHUQPHQW KDV PDGH DGYDQFH SD\PHQWV SULRU WR WK -XQH IURP IXWXUH \HDU DOORFDWLRQV RI ILQDQFLDO DVVLVWDQFH JUDQWV DV
H[SODLQHG LQ 1RWH 7KH $GMXVWHG 2SHUDWLQJ 6XUSOXV 5DWLR DGMXVWV IRU WKH UHVXOWLQJ GLVWRUWLRQ LQ WKH GLVFORVHG RSHUDWLQJ UHVXOW IRU HDFK \HDU
1HW )LQDQFLDO /LDELOLWLHV 5DWLR 1HW )LQDQFLDO /LDELOLWLHV 7RWDO 2SHUDWLQJ 5HYHQXH яБОяБеяБ┤яАаяБЖяБйяБояБбяБояБгяБйяБбяБмяАаяБМяБйяБбяБвяБйяБмяБйяБ┤яБйяБеяБ│яАаяБбяБ▓яБеяАаяБдяБеяБжяБйяБояБеяБдяАаяБбяБ│яАаяБ┤яБпяБ┤яБбяБмяАаяБмяБйяБбяБвяБйяБмяБйяБ┤яБйяБеяБ│яАаяБмяБеяБ│яБ│яАаяБжяБйяБояБбяБояБгяБйяБбяБмяАаяБбяБ│яБ│яБеяБ┤яБ│яАа яАияБеяБ╕яБгяБмяБ╡яБдяБйяБояБзяАаяБеяБ▒яБ╡яБйяБ┤яБ╣яАаяБбяБгяБгяБпяБ╡яБояБ┤яБеяБдяАаяБйяБояБ╢яБеяБ│яБ┤яБняБеяБояБ┤яБ│яАаяБйяБояАаяБГяБпяБ╡яБояБгяБйяБмяАаяБвяБ╡яБ│яБйяБояБеяБ│яБ│яБеяБ│яАйяАояАаяБФяБияБеяБ│яБеяАаяБбяБ▓яБеяАа яБеяБ╕яБ░яБ▓яБеяБ│яБ│яБеяБдяАаяБбяБ│яАаяБбяАаяБ░яБеяБ▓яБгяБеяБояБ┤яБбяБзяБеяАаяБпяБжяАаяБ┤яБпяБ┤яБбяБмяАаяБпяБ░яБеяБ▓яБбяБ┤яБйяБояБзяАаяБ▓яБеяБ╢яБеяБояБ╡яБеяАо
$VVHW 6XVWDLQDELOLW\ 5DWLR 1HW $VVHW 5HQHZDOV ,QIUDVWUXFWXUH $VVHW 0DQDJHPHQW 3ODQ UHTXLUHG H[SHQGLWXUH яБОяБеяБ┤яАаяБбяБ│яБ│яБеяБ┤яАаяБ▓яБеяБояБеяБ╖яБбяБмяБ│яАаяБеяБ╕яБ░яБеяБояБдяБйяБ┤яБ╡яБ▓яБеяАаяБйяБ│яАаяБдяБеяБжяБйяБояБеяБдяАаяБбяБ│яАаяБояБеяБ┤яАаяБгяБбяБ░яБйяБ┤яБбяБмяАаяБеяБ╕яБ░яБеяБояБдяБйяБ┤яБ╡яБ▓яБеяАаяБпяБо яБ┤яБияБеяАаяБ▓яБеяБояБеяБ╖яБбяБмяАаяБбяБояБдяАаяБ▓яБеяБ░яБмяБбяБгяБеяБняБеяБояБ┤яАаяБпяБжяАаяБеяБ╕яБйяБ│яБ┤яБйяБояБзяАаяБбяБ│яБ│яБеяБ┤яБ│яАмяАаяБбяБояБдяАаяБеяБ╕яБгяБмяБ╡яБдяБеяБ│яАаяБояБеяБ╖ яБгяБбяБ░яБйяБ┤яБбяБмяАаяБеяБ╕яБ░яБеяБояБдяБйяБ┤яБ╡яБ▓яБеяАаяБпяБояАаяБ┤яБияБеяАаяБбяБгяБ▒яБ╡яБйяБ│яБйяБ┤яБйяБпяБояАаяБпяБжяАаяБбяБдяБдяБйяБ┤яБйяБпяБояБбяБмяАаяБбяБ│яБ│яБеяБ┤яБ│яАо
SDJH
125
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH )LQDQFLDO ,QGLFDWRUV *UDSKV FRQWLQXHG
3XUSRVH RI 2SHUDWLQJ 6XUSOXV 5DWLR
5DWLR
&RPPHQWDU\ RQ 5HVXOW
7KLV LQGLFDWRU LV WR GHWHUPLQH WKH SHUFHQWDJH WKH RSHUDWLQJ UHYHQXH YDULHV IURP RSHUDWLQJ H[SHQGLWXUH
3XUSRVH RI $GMXVWHG 2SHUDWLQJ 6XUSOXV 5DWLR 7KLV LQGLFDWRU LV WR GHWHUPLQH WKH SHUFHQWDJH WKH RSHUDWLQJ UHYHQXH DGMXVWHG IRU WLPLQJ GLIIHUHQFHV LQ WKH )LQDQFLDO $VVLVWDQFH *UDQW YDULHV IURP RSHUDWLQJ H[SHQGLWXUH
7KH RSHUDWLQJ VXUSOXV LQGLFDWHV WKDW &RXQFLO LV LQ D ILQDQFLDOO\ VXVWDLQDEOH SRVLWLRQ 7KLV UDWLR LV KLJKHU WKDQ IRUHFDVW WKDQNV WR WKH DGYDQFH SD\PHQW RI )LQDQFLDO $VVLVWDQFH *UDQWV &RPPHQWDU\ RQ 5HVXOW 5DWLR
&RXQFLO V $GMXVWHG 2SHUDWLQJ 6XUSOXV 5DWLR LV SOHDVLQJ ,W KDV EHHQ UHODWLYHO\ FRQVLVWHQW IRU WKUHH FRQVHFXWLYH \HDUV ZKLFK KLJKOLJKWV &RXQFLOV IRFXV RQ VXVWDLQDELOLW\
3XUSRVH RI 1HW )LQDQFLDO /LDELOLWHV 5DWLR
&RPPHQWDU\ RQ 5HVXOW
7KLV LQGLFDWRU VKRZV WKH VLJQLILFDQFH RI WKH QHW DPRXQW RZHG WR RWKHUV FRPSDUHG WR RSHUDWLQJ UHYHQXH
&RXQFLO KROGV H[WUHPHO\ ORZ OHYHOV RI GHEW DQG WKLV FRQWLQXHV WR EH PDLQWDLQHG DQG KHQFH WKH 1HW )LQDQFLDO /LDELOLW\ UDWLR LV IROORZLQJ WKLV SDWWHUQ
5DWLR
Annual Report 2016/17
3XUSRVH RI $VVHW 6XVWDLQDELOLW\ 5DWLR
5DWLR
7KLV LQGLFDWRU DLPV WR GHWHUPLQH LI DVVHWV DUH EHLQJ UHQHZHG DQG UHSODFHG LQ DQ RSWLPDO ZD\
&RPPHQWDU\ RQ 5HVXOW
$ KHDOWK\ $VVHW 6XVWDLQDELOLW\ 5DWLR KDV EHHQ DFKLHYHG GXH WR &RXQFLO UHQHZLQJ LWV DVVHWV DFFRUGLQJ WR LWV 6WUDWHJLF 3ODQV LQ WKH RSWLPDO PDQQHU
SDJH
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH яБШяА▒яА▓яББяА╢яБФ
1RWH 8QLIRUP 3UHVHQWDWLRQ RI )LQDQFHV
7KH IROORZLQJ LV D KLJK OHYHO VXPPDU\ RI ERWK RSHUDWLQJ DQG FDSLWDO LQYHVWPHQW DFWLYLWLHV RI WKH &RXQFLO SUHSDUHG RQ D VLPSOLILHG 8QLIRUP 3UHVHQWDWLRQ )UDPHZRUN EDVLV $OO &RXQFLOV LQ 6RXWK $XVWUDOLD KDYH DJUHHG WR VXPPDULVH DQQXDO EXGJHWV DQG ORQJ WHUP ILQDQFLDO SODQV RQ WKH VDPH EDVLV 7KH DUUDQJHPHQWV HQVXUH WKDW DOO &RXQFLOV SURYLGH D FRPPRQ FRUH RI ILQDQFLDO LQIRUPDWLRQ ZKLFK HQDEOHV PHDQLQJIXO FRPSDULVRQV RI HDFK &RXQFLO V ILQDQFHV
2SHUDWLQJ 6XUSOXV 'HILFLW
яБмяБеяБ│яБ│яАа 1HW 2XWOD\V RQ ([LVWLQJ $VVHWV &DSLWDO ([SHQGLWXUH RQ 5HQHZDO DQG 5HSODFHPHQW RI ([LVWLQJ $VVHWV яБмяБеяБ│яБ│ 'HSUHFLDWLRQ $PRUWLVDWLRQ DQG ,PSDLUPHQW яБмяБеяБ│яБ│ 3URFHHGV IURP 6DOH RI 5HSODFHG $VVHWV 6XEWRWDO
6XEWRWDO
1HW /HQGLQJ %RUURZLQJ IRU )LQDQFLDO <HDU
,QFRPH яБмяБеяБ│яБ│ ([SHQVHV
яБмяБеяБ│яБ│ 1HW 2XWOD\V RQ 1HZ DQG 8SJUDGHG $VVHWV &DSLWDO ([SHQGLWXUH RQ 1HZ DQG 8SJUDGHG $VVHWV LQFOXGLQJ ,QYHVWPHQW 3URSHUW\ 5HDO (VWDWH 'HYHORSPHQWV
яАаяБмяБеяБ│яБ│яАа $PRXQWV 5HFHLYHG 6SHFLILFDOO\ IRU 1HZ DQG 8SJUDGHG $VVHWV яБмяБеяБ│яБ│ 3URFHHGV IURP 6DOH RI 6XUSOXV $VVHWV LQFOXGLQJ ,QYHVWPHQW 3URSHUW\ DQG 5HDO (VWDWH 'HYHORSPHQWV
SDJH
127
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH 2SHUDWLQJ /HDVHV
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
Annual Report 2016/17
SDJH
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH 6XSHUDQQXDWLRQ
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
$FFXPXODWLRQ RQO\ 0HPEHUV
$FFXPXODWLRQ RQO\ PHPEHUV UHFHLYH ERWK HPSOR\HU DQG HPSOR\HH FRQWULEXWLRQV RQ D SURJUHVVLYH EDVLV (PSOR\HU FRQWULEXWLRQV DUH EDVHG RQ D IL[HG SHUFHQWDJH RI RUGLQDU\ WLPH HDUQLQJV LQ DFFRUGDQFH ZLWK VXSHUDQQXDWLRQ JXDUDQWHH OHJLVODWLRQ LQ LQ 1R IXUWKHU OLDELOLW\ DFFUXHV WR WKH &RXQFLO DV WKH VXSHUDQQXDWLRQ EHQHILWV DFFUXLQJ WR HPSOR\HHV DUH UHSUHVHQWHG E\ WKHLU VKDUH RI WKH QHW DVVHWV RI WKH )XQG
6DODU\OLQN 'HILQHG %HQHILW )XQG 0HPEHUV
6DODU\OLQN LV D GHILQHG EHQHILW VFKHPH ZKHUH WKH EHQHILW SD\DEOH LV EDVHG RQ D IRUPXOD GHWHUPLQHG E\ WKH PHPEHU¶V FRQWULEXWLRQ UDWH QXPEHU RI \HDUV DQG OHYHO RI FRQWULEXWLRQ DQG ILQDO DYHUDJH VDODU\ &RXQFLO PDNHV HPSOR\HU FRQWULEXWLRQV WR 6DODU\OLQN DV GHWHUPLQHG E\ WKH )XQG¶V 7UXVWHH EDVHG RQ DGYLFH IURP WKH DSSRLQWHG $FWXDU\ 7KH UDWH LV FXUUHQWO\ LQ RI ³VXSHUDQQXDWLRQ´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¶V FRQWULEXWLRQ UDWHV DW VRPH IXWXUH WLPH
&RQWULEXWLRQV WR 2WKHU 6XSHUDQQXDWLRQ 6FKHPHV
&RXQFLO DOVR PDNHV FRQWULEXWLRQV WR RWKHU VXSHUDQQXDWLRQ VFKHPHV VHOHFWHG E\ HPSOR\HHV XQGHU WKH ³FKRLFH RI IXQG´ OHJLVODWLRQ $OO VXFK VFKHPHV DUH RI WKH DFFXPXODWLRQ W\SH ZKHUH WKH VXSHUDQQXDWLRQ EHQHILWV DFFUXLQJ WR WKH HPSOR\HH DUH UHSUHVHQWHG E\ WKHLU VKDUH RI WKH QHW DVVHWV RI WKH VFKHPH DQG QR IXUWKHU OLDELOLW\ DWWDFKHV WR WKH &RXQFLO
SDJH
129
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH &RQWLQJHQFLHV $VVHWV /LDELOLWLHV 1RW 5HFRJQLVHG LQ WKH 6WDWHPHQW RI )LQDQFLDO 3RVLWLRQ
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
1RWH (YHQWV DIWHU WKH %DODQFH 6KHHW 'DWH
(YHQWV WKDW RFFXU DIWHU WKH UHSRUWLQJ GDWH RI -XQH XS WR DQG LQFOXGLQJ WKH GDWH ZKHQ WKH ILQDQFLDO VWDWHPHQWV DUH DXWKRULVHG IRU LVVXH KDYH EHHQ WDNHQ LQWR DFFRXQW LQ SUHSDULQJ WKHVH VWDWHPHQWV &RXQFLO KDV DGRSWHG WKH GDWH RI UHFHLSW RI WKH $XGLWRUV 5HSRUW DV WKH DSSURSULDWH DXWKRULVHG IRU LVVXH GDWH UHODWLQJ WR WKHVH *HQHUDO 3XUSRVH )LQDQFLDO 6WDWHPHQWV $FFRUGLQJO\ WKH DXWKRULVHG IRU LVVXH GDWH LV &RXQFLO LV XQDZDUH RI DQ\ PDWHULDO RU VLJQLILFDQW QRQ DGMXVWLQJ HYHQWV WKDW VKRXOG EH GLVFORVHG
Annual Report 2016/17
SDJH
5HQPDUN 3DULQJD &RXQFLO 1RWHV WR DQG IRUPLQJ SDUW RI WKH )LQDQFLDO 6WDWHPHQWV
IRU WKH \HDU HQGHG -XQH
1RWH 5HODWHG 3DUW\ 7UDQVDFWLRQV
.H\ 0DQDJHPHQW 3HUVRQQHO 7UDQVDFWLRQV ZLWK .H\ 0DQDJHPHQW 3HUVRQHO 7KH .H\ 0DQDJHPHQW 3HUVRQQHO RI WKH &RXQFLO LQFOXGH WKH &(2 'LUHFWRU RI ,QIUDVWUXFWXUH DQG (QYLURQPHQWDO 6HUYLFHV DQG 'LUHFWRU RI &RUSRUDWH DQG &RPPXQLW\ 6HUYLFHV XQGHU VHFWLRQ RI WKH ,Q DOO SHUVRQV ZHUH SDLG WKH IROORZLQJ WRWDO FRPSHQVDWLRQ 7KH FRPSHQVDWLRQ SDLG WR .H\ 0DQDJHPHQW 3HUVRQQHO FRPSULVHV 6KRUW 7HUP (PSOR\HH %HQHILWV
7RWDO
$PRXQWV SDLG DV GLUHFW UHLPEXUVHPHQW RI H[SHQVHV LQFXUUHG RQ EHKDOI RI &RXQFLO KDYH QRW EHHQ LQFOXGHG DERYH 5HFHLSWV IURP .H\ 0DQDJHPHQW 3HUVRQQHO FRPSULVH 2WKHU WKDQ DPRXQWV SDLG DV UDWHSD\HUV RU UHVLGHQWV H J UDWHV VZLPPLQJ SRRO HQWU\ IHHV HWF &RXQFLO UHFHLYHG WKH IROORZLQJ DPRXQWV LQ WRWDO &RQWULEXWLRQV IRU )ULQJH %HQHILWV 7D[ SXUSRVHV
7RWDO
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
SDJH
131
Annual Report 2016/17
133
Annual Report 2016/17
135
Annual Report 2016/17
137
Annual Report 2016/17
Phone: 0411 406799 Email: ceomrlga@outlook.com Web: www.mmlga.sa.gov.au
Murraylands and Riverland Local Government Association PO Box 236 VICTOR HARBOR, SA,5211
ANNUAL REPORT 2016 to 2017
MURRAYLANDS & RIVERLAND LOCAL GOVERNMENT ASSOCIATION


139
Murraylands and Riverland LGA Annual Report 2016-2017 | 2
PRESIDENTS ANNUAL REPORT 2016-2017 INTRODUCTION MURRAYLANDS AND RIVERLAND LGA IN PROFILE THE MRLGA BOARD MRLGA DELEGATES TO THE LOCAL GOVERNMENT ASSOCIATION OF SA (LGA SA) ASSOCIATION COMMITTEES AND WORKING PARTIES ASSOCIATION MEETINGS STRATEGIC ACTIVITIES 2016-2017 EXECUTIVE OFFICER SERVICES FINANCES ACKNOWLEDGEMENTS Appendix 1 Audited Financial Statements 2016 -17
CONTENTS 3 4 5 6 7 8 10 11 13 13 14 15 15
Annual Report 2016/17
Murraylands and Riverland LGA Annual Report 2016-2017 | 3
Mayor Dave Burgess President
In closing I sincerely thank all constituent Councils and MRLGA Board Delegates for the opportunity afforded to me being your President again for the past year. I also wish to thank our CEO, Peter Bond for his commitment and support provided to me and the Association over the past year; in particular the role he took in leading the strategic review process that will be vital in the rental of the Subsidiary over the next few years.
The role of President to the MRLGA and my role as LGA President has in my view provided for a higher profile for issues facing the regions. The duplicate roles have also allowed me to let State Government know the strength there is in the regions.
During the course of my term as President, I have met with a range of State/Federal Ministers and Members of Parliament to discuss a range of regional issues pertinent to our region. Such issues have included in part, Local/State Government Reform, Planning Reform, Rubble Royalties, Proposed Community Wellbeing program, Rate capping and the LGA’s 2017 public awareness campaign.
My role as President of the MRLGA has been paralleled with the role of President of LGA of SA and more recently the role of immediate Past President . This duplicate role has provided me a clear understanding of the range of issues and opportunities that exist both within our Murraylands and Riverland region, as well as within the rest of the State.
Our vision is to be ‘a successful region led by progressive and responsive local governments’ and our ability to deliver this vision has been enhanced significantly through the year with the release of the MRLGA’s updated Strategic Plan 2016-2020. The Strategic Plan was adopted by the MRLGA Board in April 2016 after a considerable engagement program with our Constituent Councils and key stakeholders. Our way forward will focus predominantly in the formation of partnerships that will add strength to the resolution of regional issues and provide for the most effective mechanisms to deliver regional programs.
This being my fifth term as President of the Murraylands and Riverland Local Government Association (formerly the Murray and Mallee LGA), it has been an immense honour to have served the needs of our Constituent Councils through the MRLGA Board over the last 12 months.
I am very pleased to provide the Murraylands and Riverland Local Government Association (MRLGA) Presidents Annual Report on the work and operations of the Subsidiary for the financial year 2016-2017 in accordance with Clause 28, Schedule 2 of the Local Government Act (1999).
PRESIDENTS ANNUAL REPORT 2016-2017
141
• •
Capacity Building
Continuous Improvement through Best Practice
Collaborative Partnerships
Murraylands and Riverland LGA Annual Report 2016-2017 | 4
Join with other stakeholders to build the capacity of the region
Facilitate continuous improvement for our Constituent Councils
Work with member Councils to build capacity and increase sustainability Provide for integrated and coordinated regional collaboration for Constituent Councils Act as the central organisation for shared Local Government responsibilities Join with other stakeholders to deliver a service or project
• • • •
Leadership and Advocacy
Initiate action and lead regional activity Set the agenda and direction Represent the region, and pursue outcomes on behalf of the Constituent Councils and the region
MRLGA will provide for … • • •
Role
The Annual Report articulates clearly the alignment of the Subsidiary with is role and purpose as outlined below;
This Report details the activities of the Association to represent and serve our Constituent Councils and to advance the Murraylands and Riverland communities through effective advocacy, facilitation and innovation.
The Board shall present financial statements in accordance with the Local Government (Financial Management) Regulations 2011 to the Constituent Councils at the end of each Financial Year and before the 31st October of the year.
This document is the Annual Report of the Murraylands and Riverland Local Government Association (MRLGA) for the period 1st July 2016 to 30th June 2017. This report must be submitted to the Constituent Councils by 31st October in each Financial Year in accordance with Clause 28 to Schedule 2 of the Local Government Act (1999) on the work and operations of the Subsidiary detailing achievement of the aims and objectives of its Annual Business Plan and incorporating the audited Financial Statements of the Subsidiary and any other information or reports required by the Constituent Councils.
INTRODUCTION
Annual Report 2016/17
Murraylands and Riverland LGA Annual Report 2016-2017 | 5
The Charter requires the MRLGA to prepare a Strategic Plan every three (3) years. This Strategic Plan sets the activities and outcomes for the work of the MRLGA for the financial year 2016-2017. The direction of the Association is now governed by the current Strategic Plan 2016–2020 adopted by the MRLGA Board in April 2016 and identifies the Subsidiaries' Vision, Mission, Commitment and Role over the next 5-years.
The MRLGA Charter identifies a broad range of roles to deliver the objectives of the Association. Given our limited resources, it is necessary to closely define the role of MRLGA in delivering the five regional strategies. The Charter defines the Associations role as follows; To undertake coordinating, advocacy and representational roles for its constituent Councils at a regional level To facilitate and coordinate activities of local government at a regional level on behalf of our constituent Councils. To develop, encourage, promote, foster and maintain consultation and cooperation and to strengthen the representation and status of local government To develop further cooperation between its constituent Councils for the benefit of the communities in the region. To develop and manage policies which guide the conduct of programs and projects in the region To undertake projects that benefit the region and its communities
As a Regional Subsidiary the Association has as its governing document a Charter as provided for under the Local Government Act 1999 which came into effect on 13th December 2001.
MRLGA is comprised of eight Constituent Councils from within the region: the Berri Barmera Council, Coorong District Council, District Council of Karoonda East Murray, District Council of Loxton Waikerie, Mid Murray Council, Renmark Paringa Council, Rural City of Murray Bridge, and Southern Mallee District Council.
The Murraylands and Riverland Local Government Association (MRLGA) operates as a Regional Subsidiary under the provisions of the Local Government Act 1999.
The Murraylands and Riverland Region covers over 36,000 kilometres2 (third largest region in South Australia) spanning eight Constituent Councils. It is home to around 69,000 people and some 5,000 businesses. The major economic output is primary production accounting for 34% of all GRP generated, 20% of jobs and 15% of household incomes. Our region has the highest proportion of agriculture dependence for any region in South Australia.
MURRAYLANDS AND RIVERLAND LGA IN PROFILE
MURRAYLANDS AND RIVERLAND LGA IN PROFILE The Murraylands and Riverland Region covers over 36,000 kilometres2 (third largest region in South Australia) spanning eight Constituent Councils. It is home to around 69,000 people and some 5,000 businesses. The major economic output is primary production accounting for 34% of all GRP generated, 20% of jobs and 15% of household incomes. Our region has the highest proportion of agriculture dependence for any region in South Australia.
The Murraylands and Riverland Local Government Association (MRLGA) operates as a Regional Subsidiary under the provisions of the Local Government Act 1999. MRLGA is comprised of eight Constituent Councils from within the region: the Berri Barmera Council, Coorong District Council, District Council of Karoonda East Murray, District Council of Loxton Waikerie, Mid Murray Council, Renmark Paringa Council, Rural City of Murray Bridge, and Southern Mallee District Council. As a Regional Subsidiary the Association has as its governing document a Charter as provided for under the Local Government Act 1999 which came into effect on 13th December 2001.
Murraylands and Riverland LGA Annual Report 2016-2017 | 5
The Charter requires the MRLGA to prepare a Strategic Plan every three (3) years. This Strategic Plan sets the activities and outcomes for the work of the MRLGA for the financial year 2016-2017. The direction of the Association is now governed by the current Strategic Plan 2016–2020 adopted by the MRLGA Board in April 2016 and identifies the Subsidiaries' Vision, Mission, Commitment and Role over the next 5-years.
The MRLGA Charter identifies a broad range of roles to deliver the objectives of the Association. Given our limited resources, it is necessary to closely define the role of MRLGA in delivering the five regional strategies. The Charter defines the Associations role as follows; To undertake coordinating, advocacy and representational roles for its constituent Councils at a regional level To facilitate and coordinate activities of local government at a regional level on behalf of our constituent Councils. To develop, encourage, promote, foster and maintain consultation and cooperation and to strengthen the representation and status of local government To develop further cooperation between its constituent Councils for the benefit of the communities in the region. To develop and manage policies which guide the conduct of programs and projects in the region To undertake projects that benefit the region and its communities
143
Mayor Peter Hunt - Vice President Mayor Neville Jaensch Mayor Kevin Burdett Mayor Leon Stazinowski Mayor Dave Burgess - President Mayor Brenton Lewis Mayor Neil Martinson Mayor Andrew Grieger
Berri Barmera Council
Coorong District Council
District Council of Karoonda East Murray
District Council of Loxton Waikerie
Mid Murray Council
Rural City of Murray Bridge
Renmark Paringa Council
Southern Mallee District Council
Cr Neville Pfeiffer, Deputy Mayor
Cr Peter Hunter, Deputy Mayor
Cr Tyson Mathews, Deputy Mayor
Cr Mardi Jennings, Deputy Mayor Cy Kevin Myers
Cr Michael Vowles, Deputy Mayor
Cr Caroline Phillips, Deputy Mayor
Cr Sharon Bland, Deputy Mayor
Cr Andrew Kassebaum, Deputy Mayor
Non-Voting Proxy Delegate
Murraylands and Riverland LGA Annual Report 2016-2017 | 6
Mayor Dave Burgess, Mid Murray Council was re-elected President at the Annual General Meeting held at Karoonda on 13th July 2016 and Mayor Peter Hunt, Berri Barmera Council was re-elected Vice President both for a full annual term of office.
Voting Delegate
Council
MRLGA Board Members from 9th December 2015
“the Board shall consist of two (2) persons from each Constituent Council appointed by the Constituent Council and each Constituent Council shall, following every periodic Local Government election, appoint, and give notice in writing to the Chief Executive Officer of the Subsidiary, of those persons who are its Board members, of whom one shall be an elected member of the Constituent Council and one may be the Chief Executive Officer or other officer of the Constituent Council.”
All voting delegates shall be the Mayor of each Council and proxy representatives shall be Council Members with CEO’s encouraged to attend as observers. This will ultimately require amendment of the Subsidiaries Charter under Clause 4.2 Membership of the Board where it states;
The MRLGA Board comprises representatives from each of the Constituent Councils and is chaired by the MRLGA President. Historically each Constituent Council could nominate up to two voting members to the Board. At the General Meeting of the Subsidiary held on 9th December 2015 the Board resolved to reduce voting representation at MRLGA Board meetings to one vote per Council (being a total of eight voting delegates).
THE MRLGA BOARD
Annual Report 2016/17
the face of the call for a State Rate Capping policy. Further Development of a Mining Engagement Protocol and implementation of a pilot program Lobbying on Emergency Services Levy impacts Input into the LGA submissions on Planning Reform Input into the draft Local Nuisance and Litter Control Bill 2015
Murraylands and Riverland LGA Annual Report 2016-2017 | 7
Consideration of the Removal of Local Government Natural Resource Management (NRM) Levy Collection requirement.
• • • •
• Continuing lobbying for a more balanced & nationally consistent approach to planning, regulation for rural and regional road safety & speed limits • Lobbying and continuing the development of a balanced and consistent policy approach to Council sustainability, finances and rate revenue in
Management Boards
• Continuing lobbying and input into the ongoing review of the business plans, administrative fee and levy proposals of the Natural Resource
The MRLGA supports the Governance process by contributing to agenda items for SAROC meetings, the distribution of Key Outcomes Statements of meetings to MRLGA Board meetings and collegiate support to prepare submissions on behalf of regional and rural Councils that included:
The South Australian Regional Organisation of Councils (SAROC) is an important committee of the LGA that focuses on key issues affecting country Councils. Membership is drawn from each of the six non-metropolitan Regional Local Government Associations with members meeting bi-monthly to discuss key issues affecting non-metropolitan Councils.
Mayor Dave Burgess and Mayor Peter Hunt served on the LGA Board (previously termed the State Executive of the Local Government Association of South Australia), with Mayor Neville Jaensch Coorong District Council as proxy member representing the Associations at the LGA Board and the SAROC Committee.
Under the Constitution of the Local Government Association of South Australia (LGA SA) regions are represented via appointed members to serve on the LGA Board and the South Australian Regional Organisation of Councils (SAROC).
MRLGA DELEGATES TO THE LOCAL GOVERNMENT ASSOCIATION OF SA (LGA SA)
145
Murraylands and Riverland LGA Annual Report 2016-2017 | 8
Murraylands and Riverland Regional Coordination Network: • President, Mayor Dave Burgess, Mid Murray Council (ex-officio). • Peter Smithson, CEO, District Council of Karoonda East Murray.
MRLGA Transport Reference Group. - Community Transport: • President, Mayor Dave Burgess, Mid Murray Council (ex-officio). • Peter Smithson, CEO, District Council of Karoonda East Murray. • Cr. Mike Fuller, Berri Barmera Council.
Murray River Alliance SA • President, Mayor Dave Burgess, Mid Murray Council (ex-officio). • Peter Bond, CEO MRLGA
SA MDB NRM Board. • Cr. Andrew Kassebaum, Berri Barmera Council. • President, Mayor Dave Burgess, Mid Murray Council (ex-officio).
Regional Development Australia (Murraylands and Riverland) Board. • Mayor Neil Martinson, Renmark Paringa Council (by virtue of position held as Chairman). • President, Mayor Dave Burgess, Mid Murray Council (ex-officio). • Cr. Andrew Kassebaum, Berri Barmera Council (by virtue of position held).
South Australian Regional Organisation of Councils (SAROC): • President, Mayor David Burgess, Mid Murray Council (ex-officio). • Vice President, Mayor Peter Hunt, Berri Barmera Council (by virtue of position held). • Mayor Neville Jaensch, Coorong District Council (Proxy for President and/or Vice President), • Mayor Brenton Lewis, Rural City of Murray Bridge (Deputy Member), • CEO MRLGA - Peter Bond (by virtue of position held).
LGA Board (Formerly State Executive Committee): • President, Mayor David Burgess, Mid Murray Council (Immediate Past President). • Vice President, Mayor Peter Hunt, Berri Barmera Council (by virtue of position held). • Mayor Neville Jaensch, Coorong District Council (by virtue of position held). • Deputy Member for President or Vice President, Mayor Brenton Lewis, Rural City of Murray Bridge.
The following were the Association Committee Members up until the AGM of the 30th June, 2017:
ASSOCIATION COMMITTEES AND WORKING PARTIES
Annual Report 2016/17
Murraylands and Riverland LGA Annual Report 2016-2017 | 9
Murraylands and Riverland CEO’s Network Group: • Tony Siviour, CEO, Renmark Paringa Council, • Michael Sedgman, CEO, Rural City of Murray Bridge, • Russell Peate, CEO, Mid Murray Council, • Mia Dohnt, CEO, Southern Mallee District Council, • Peter Ackland, District Council of Loxton Waikerie, • David Beaton, CEO, Berri Barmera Council. • Vince Cammell, CEO, Coorong District Council • Peter Smithson, CEO, District Council of Karoonda East Murray • Peter Bond, CEO, MRLGA
Murray and Mallee Zone Emergency Management Committee: • Deputy Mayor Kevin Myers, Mid Murray Council, Chair. • President, Mayor Dave Burgess, Mid Murray Council (ex-officio). • Mayor Peter Hunt, Berri Barmera Council. • Michael Sedgman, CEO, Rural City of Murray Bridge (Ros Kruger – Proxy). • David Beaton, Berri Barmera Council (Veronica Rothe - Proxy) • Tim Tol, Director Infrastructure Services, District Council of Loxton Waikerie. • David Mosel, Director Infrastructure and Assets, Coorong District Council. • Tony Secomb, Manager Corporate Services (seconded), Southern Mallee District Council.
Murraylands and Riverland (previously Murray and Mallee) Local Government Association Regional Transport Strategy Committee: • Mayor Neil Martinson, Renmark Paringa Council, Chair (by virtue of position held) • President, Mayor David Burgess, Mid Murray Council (President, Mayor Dave Burgess, Mid Murray Council (ex-officio) • Peter Bond, CEO MRLGA • Paul Day, Director Infrastructure & Environmental Services, Renmark Paringa Council (Geoff Meaney - proxy) • Greg Perry, Manager Infrastructure Services, Berri Barmera Council • Greg Hill, Director, Infrastructure, Mid Murray Council. • Tim Tol, Director of Infrastructure, District Council of Loxton Waikerie, (Domenic Perre - proxy) • Peter Smithson, CEO, District Council of Karoonda East Murray • Simon Bradley, GM Infrastructure and Environment, Rural City of Murray Bridge (Matt James - proxy) • Matthew Sherman, Works Manger, Southern Mallee District Council • David Mosel, Director Infrastructure and Assets, Coorong District Council • Jo Podoliak, Chief Executive, Regional Development Australia - Murraylands and Riverland
147
Simone Reinertsen, Stakeholder Specialist (SA, Tas & Vic), National Heavy Vehicle Regulator Mark Bolton, Area General Manager, Telstra Neil Andrew AO, Chair, Murray–Darling Basin Authority Adam Wilson, Chief Executive Officer, ESCOSA
Murraylands and Riverland LGA Annual Report 2016-2017 | 10
Representatives of the LGA SA, RDA MR, SA MDB NRM, SAPOL and PIRSA attended each meeting and took the opportunity to brief the Association of the relevant matters being addressed by their respective bodies.
• • • •
A number of guest speakers and attendees have made presentations/addresses to the Association meetings throughout the year. They include:
All Association Meetings, including Committee Meetings Agendas and Minutes are available for viewing and or downloading from the Association’s website at www.mmlga.sa.gov.au
During 2016-2017, the Association met on four occasions on: • 13th July 2016 - Annual General Meeting - District Council of Karoonda East Murray Council Offices, 11 Railway Terrace, Karoonda, • 12th October 2016 - General Meeting - Rural City of Murray Bridge, Second Street, Murray Bridge, • 13th January 2017 - General Meeting - Mid Murray Council, Mannum, • 31st March 2017 - General Meeting - District Council of Karoonda East Murray Council Offices, 11 Railway Terrace, Karoonda
ASSOCIATION MEETINGS
Murraylands and Riverland Regional Public Health Plan Committee: • President, Mayor Dave Burgess, Mid Murray Council (ex-officio). • Katina Nikas, EHO, Renmark Paringa Council, Chairperson • Caroline Thomas, Manager Health Services, Mid Murray Council, • Tom McKellar, EHO, Mid Murray Council, • Myles Somers, Manager Environmental Services, Berri Barmera Council, • Rebecca Burton, Berri Barmera Council, • Vacant, Southern Mallee District Council and District Council of Karoonda East Murray, • Jim Quinn, Manager Development and Environmental Services, Coorong District Council, • Reg Buderick, Rural City of Murray Bridge, • Phil Eckert, Team Leader Regulation, Rural City of Murray Bridge, • Jeremy Byrnes, EHO, Rural City of Murray Bridge, • Dara Clayton, EHO, District Council of Loxton Waikerie. • Peter Bond, CEO, MRLGA
Annual Report 2016/17
Murraylands and Riverland LGA Annual Report 2016-2017 | 11
The CEO MRLGA has also attended Forums, Workshops and Briefings throughout the year regarding evolving issues and to make contribution on behalf of the Association.
National Freight and Supply Chain Priorities” Discussion Paper released in May 2017,
• Inquiry into National Freight and Supply Chain Priorities - provided a submission responding to the Australia Government’s “Inquiry into
losing up to 450GL of water and $1.77 Billion that would have been applied to infrastructure that was agreed to in the Basin Plan in 2012. Therefore, those Councils who make Region 5 and 6 of the Murray Darling Association strongly consider that the Murray Darling Basin Plan as agreed to should be fully implemented notwithstanding the Northern Basin Review being undertaken by the Murray Darling Basin Authority.
• Submission into the Northern Basin Review - provided a submission that highlighted a concern that South Australia may now be at risk of
of this initiative as it allows Commonwealth entities to easily gain and leverage on-the-ground experience and expertise from local businesses and industry, which the MRLGA believe delivers better policy decisions.
• Australian Senate Inquiry – Relocation of Government Bodies to Regional Areas - provided a submission that emphasised the importance
management position statement, advising that the MRLGA is supportive of the creation of the position statement. It is an appropriate step to create additional documentation surrounding the matter so as to provide a clear position that is understood by all concerned.
• River Murray Shack Wastewater Management Planning - provided a submission in relation to the draft River Murray shack wastewater
Submissions and briefings undertaken during the reporting period include:
State and Federal Members of Parliament representing our Region continue to be briefed both individually and through invitations to attend our quarterly meetings.
Association of South Australia, the community and other key stakeholders.
The Subsidiary undertakes a coordinating role, in conjunction with Constituent Councils on their issues and those raised by the Local Government
STRATEGIC ACTIVITIES 2016-2017
The President has continued the practice of giving each of our guests the opportunity to address our meetings briefly about matters and issues before them that may be of interest to the Association and Member Councils. The contribution from all of the speakers, presenters and guests has kept the Association and the Delegates abreast of a wide ranging number of issues that impact on Local Government and the communities in the Region.
We acknowledge the support of outgoing CEO of the LGA, Matt Pinnegar, Jo Podoliak, CEO, RDA Murraylands and Riverland, Sharon Starick SA MDB NRM Board Presiding Member, James Blandford, SAPOL and Tim Smythe, PIRSA who have been ready to assist the region and ensure a presence at our meetings. The Association has also enjoyed a close working relationship with its State and Federal Members of Parliament, a number of whom have been regular attendees at our meetings.
149
Murraylands and Riverland LGA Annual Report 2016-2017 | 12
Key Activities for 2016-17 • Regional Roads Freight Movement Study - engaged Tonkin Consulting to; - deliver short-term solutions to improving the movement of freight within the existing regional road network by improving access on key commodity routes and providing for a Network Assessment of the region’s road infrastructure. - provide for a review of the business case for the North South Freight Corridor by breaking the scope of the project into the three components to allow review of the benefits of Road, Rail and Commuter needs, but not a combined road/rail solution, and - incorporate the outcomes from the Southern and Hills Local Government Association (S&HLGA) scoping report on the benefits of such a bypass. • Regional Roads Commodity Route Assessment Study - linked to the above project, this study look at both a commodities only outcome as well as a full commodities route assessment across the region. • Deputations - The CEO MRLGA and President attended two deputations in December 2016 with Senator's Anne Ruston and Nick Xenophon. The President and CEO MRLGA also attended deputations with Federal Ministers and senior advisors in Canberra on the 20th and 21st March 2017, • MRLGA Website Upgrade - The MRLGA website was upgraded during eh course of the year to ensure it better served its client base, • Regional Road Action Plans and 2015 SLRP Roads Database Update - continued to review the Regional Road Action Plans and SLRP Roads Database through the RTS Committee, • Murraylands Regional Collaboration Pilot - Finalised Business Case Analysis templates for Public and Environmental Health Stream, Local Nuisance and Litter Control and Building Control and Planning to assist in the implementation of the Planning, Development and Infrastructure Act, • LGA Outreach Services Project - secured $50,000 towards the LGA Outreach Services Program to be delivered as part of the 2016/17 Annual Business Plan. • Regional Sport and Recreation Facilities Needs Review - Tredwell Management were appointed to deliver this project through the 2016/2017 and 2017/2018 financial years, • Regional Waste Management Strategy BCA - engaged Jeff Tate Consulting to lead the process of preparing a Business Case Analysis relating to opportunities for Councils collaborate on waste management initiatives, • Regional Planning Boards - both the Riverland and Murraylands Councils have submitted proposals to form Regional Planning Boards under the pilot program fostered by DPTI. • One River Murray Authority Governing Structure - the Murray River SA Alliance initiated a review of governance structures over the South Australian section of the River Murray, • Murray and Mallee Zone Emergency Management Committee (ZEMC) - continued to represent the Local Government sector on matter relating to Emergency Management and the assisted the LGA in the inception of LGFS needs, • Regional Public Health Plan - As required under the Act, the Association’s Regional Public Health Plan report to SA Health has been compiled and submitted by the Association’s Regional Public Health Plan Committee. That committee provided for the implementation and monitoring of a Regional Public Health Plan for MRLGA, held Working group meetings and liaised with LGA Public Health Program Manager • River Murray Ferries - continued to work with DPTI through the Ferry Working Party to ensure the ongoing viability and operation of the River Murray Ferry Fleet, • SLRP Funding - through the Murraylands and Riverland Regional Transport Strategy (RTS) Committee set the priorities for 2016/2017 SLRP be adopted and referred to the LGTAP for funding.
Annual Report 2016/17
Murraylands and Riverland LGA Annual Report 2016-2017 | 13
Financial reports are considered by the MRLGA Board at each meeting. The Audited Financial Statements for 2016-2017 are included in Appendix 1 of this report.
Annual expenditure is divided between two main areas: 1. Operating – expenditure required to employ a Chief Executive Officer, and general costs for administration, Board expenses and other general operating expenses; 2. Projects – expenditure required to deliver specific projects, including where applicable the engagement of external resources.
A small amount of income is derived from interest and project management fees.
1. Subscriptions from Constituent Councils of MRLGA; 2. Funding from the LGA SA for Regional Capacity Building and R&D Projects; and 3. Project funding through partnerships with external organisations.
Income for the Murraylands & Riverland Local Government Association is derived from three main sources:
The Annual Business Plan for each year balances the objective of ensuring the MRLGA’s long-term financial sustainability whilst increasing investment in key projects and preparing for future development and improvement opportunities.
FINANCES
The Review Panel consists of the President of the Association, and four CEO’s appointed from Constituent Councils within the Association.
In accordance with a resolution of Member Council Delegates, the Chief Executive Officer is subject to ongoing performance review with the Association.
The Chief Executive Officer services for the Association for the year were again provided by Peter Bond under a contract arrangement.
EXECUTIVE OFFICER SERVICES
151
Murraylands and Riverland LGA Annual Report 2016-2017 | 14
August 2017
Peter Bond Chief Executive Officer Murraylands and Riverland Local Government Association
MRLGA enjoys a close working relationship with Regional Development Australia Murraylands and Riverland and SA MDB NRM Board members and staff.
The Local Government Research and Development Scheme funding has enabled MRLGA to undertake a range of additional projects throughout the year, both through additional Research and Development Fund projects and also via the Regional Capacity Building Grants.
The Local Government Association SA has continued to provide strong support to the MRLGA and is members throughout the year. MRLGA acknowledges the contribution of SAROC members, Chief Executive Officer Matt Pinnegar and the many LGA staff that have supported MRLGA throughout the year.
MRLGA acknowledges the Constituent Council Mayor’s, Elected Members, Chief Executive Officers and staff for the ongoing support of the regional role of the Association.
ACKNOWLEDGEMENTS
Murray and Mallee Local Government Association FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 June 2017
Annual Report 2016/17
Murray and Mallee Local Government Association
Contents
Statement of Financial Performance
2
Statement of Financial Position
3
Statement of Changes in Members' Funds
4
Statement of Cash Flows
5
Notes to the Financial Statements
6
Statements by Members of the Committee
18
1
153
Murray and Mallee Local Government Association STATEMENT OF FINANCIAL PERFORMANCE OR THE YEAR ENDED 30 JUNE 2017
Note Income MBM LGA Contributions Regional Enhancement Fund Grant Interest Revenue
2 2 2
Total Revenue Operating Expenses
3
Surplus (deficit) for the year Total Comprehensive Profit (Loss)
2017 $
2016 $
324,185 152,394 2,904
130,837 99,226 2,897
479,483
232,960
(255,693)
(174,056)
223,790 223,790
58,904 58,904
The accompanying Notes form part of these financial statements
Annual Report 2016/17
2
Murray and Mallee Local Government Association STATEMENT OF FINANCIAL POSITION AS AT 30 JUNE 2017
Note
Assets Current Assets Cash and Cash Equivalents Trade and other receivables Total Current Assets
4 5
2017 $
2016 $
426,824 11,729 438,553
212,067 3,639 215,706
438,553
215,706
12,318
13,260
Total Current Liabilities
12,318
13,260
Total Liabilities
12,318
13,260
426,235
202,446
(76,220) 502,456 426,235
45,104 157,342 202,446
Total Assets
Liabilities Current Liabilities Trade and other payables
6
Net Assets
Member's Funds
7 8
Unspent funds reserve Accumulated surplus Total Members Funds
The accompanying Notes form part of these financial statements
3
155
Murray and Mallee Local Government Association Statement of Changes in Members' Funds AS AT 30 JUNE 2017
Note
Unspent funds reserve $
Accumulated Surplus $
Total $
2017 Balance at the beginning of the year Surplus for the year Transfers Balance at the end of year
8
157,342 223,790 121,324 502,456
-
45,104 121,324 76,220
202,446 223,790 (0) 426,235
60,400 (15,296) 45,104
158,838 43,608 202,446
2016 Balance at the beginning of the year Surplus for the year Balance at the end of year
8
98,438 58,904 157,342
The accompanying Notes form part of these financial statements
Annual Report 2016/17
4
Murray and Mallee Local Government Association STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 30 JUNE 2017 Note
Cash from operating activities
Receipts from members Receipts from grants Interest received Payments to suppliers
Net cash provided from operating activities
9
Net increase in cash held Cash at beginning of financial year Cash at end of financial year
4
5
2017 $
2016 $
348,513 167,633 2,904 (304,293)
130,837 109,148 2,896 (192,537)
214,757
50,344
214,757 212,067
50,344 161,723
426,824
212,067
157
Murray and Mallee Local Government Association NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017
Note 1: Statement of Significant Accounting Policies The financial statements are general purpose financial statements that have been prepared in accordance with Australian Accounting Standards (including Australian Accounting Interpretations) and the Local Government Act (1999). The association is a not-for-profit entity for financial reporting purposes under Australian Accounting Standards. Australian Accounting Standards set out accounting policies that the AASB has concluded would result in financial statements containing relevant and reliable information about transactions, events and conditions to which they apply. Material accounting policies adopted in the preparation of these financial statements are presented below and have been consistently applied unless stated otherwise. The financial statements, except for the cash flow information, have been prepared on an accruals basis and are based on historical costs, modified, where applicable, by the measurement at fair value of selected noncurrent assets, financial assets and financial liabilities. The amounts presented in the financial statements have been rounded to the nearest dollar. The financial statements were authorised for issue on by the members of the committee. (a) Comparatives When required by Accounting Standards, comparative figures have been adjusted to conform to changes in presentation for the current financial year. Where the association has retrospectively applied an accounting policy, made a retrospective restatement or reclassified items in its financial statements, an additional statement of financial position as at the beginning of the earliest comparative period will be disclosed. The comparative figures relating to the unspent funds reserve have been adjusted as the movements in the reserve in the prior year were not recognised. This has had no impact on the overall balance of the financial statements. (b) Cash and cash equivalents Cash and cash equivalents include cash on hand, deposits held at-call with banks, other short-term highly liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities in the statement of financial position. (c) Income taxes The activities of the Association are exempt from taxation under the Income Tax Assessment Act 1997. (d) Goods and Services Tax (GST) Revenues, expenses and assets are recognised net of the amount of GST, except where the amount of GST incurred is not recoverable from the Australian Taxation Office. In these circumstances the GST is recognised as part of the cost of acquisition of the asset or as part of an item of the expense. Receivables and payables in the statement of financial position are shown inclusive of GST.
Annual Report 2016/17
6
Murray and Mallee Local Government Association NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017 (e) Financial Instruments Financial assets and financial liabilities are recognised when the entity becomes a party to the contractual provisions to the instrument. For financial assets, this is equivalent to the date that the association commits itself to either purchase or sell the asset (i.e. trade date accounting is adopted}. Financial instruments are initially measured at fair value plus transaction costs except where the instruments classified "at fair value through profit or loss", in which case transaction costs are expensed to profit or loss immediately. Classification and subsequent measurement Financial instruments are subsequently measured at fair value, amortised cost using the effective interest method, or cost. Fair value represents the amount for which an asset could be exchanged or aliability settled, between knowledgeable, willing parties. Where available, quoted prices in an active market are used to determine fair value. In other circumstances, valuation techniques are adopted. Amortised cost is calculated as the amount at which the financial asset or financial liability is measured at initial recognition less principal repayments and any reduction for impairment, and adjusted for any cumulative amortisation of the difference between that initial amount and the maturity amount calculated using the effective interest method. The effective interest method is used to allocate interest income or interest expense over the relevant period and is equivalent to the rate that discounts estimated future cash payments or receipts (including fees, transaction costs and other premiums or discounts) over the expected life (or when this cannot be reliably predicted, the contractual term} of the financial instrument to the net carrying amount of the financial asset or financial liability. Revisions to expected future net cash flows will necessitate an adjustment to the carrying amount with a consequential recognition of income or expense in profit or loss. The association does not designate any interests in subsidiaries, associates or joint venture entities as being subject to the requirements of Accounting Standards specifically applicable to financial instruments. (i) Loans and receivables Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market and are subsequently measured at amortised cost. Gains or losses are recognised in profit or loss through the amortisation process and when the financial asset is derecognised. (ii) Financial liabilities Non-derivative financial liabilities other than financial guarantees are subsequently measured at amortised cost. Gains or losses are recognised in profit or loss through the amortisation process and when the financial liability is derecognised.
7
159
Murray and Mallee Local Government Association NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017 Impairment At the end of each reporting period, the association assesses whether there is objective evidence that a financial asset has been impaired. A financial asset or a group of financial assets is deemed to be impaired if, and only if, there is objective evidence of impairment as a result of one or more events (a "loss event") that has occurred, which has an impact on the estimated future cash flows of the financial asset(s). In the case of available-for-sale financial assets, a significant or prolonged decline in the market value of the instrument is considered to constitute a loss event. Impairment losses are recognised in profit or loss immediately. Also, any cumulative decline in fair value previously recognised in other comprehensive income is reclassified to profit or loss at this point. In the case of financial assets carried at amortised cost, loss events may include indications that the debtors or a group of debtors is experiencing significant financial difficulty, default or delinquency in interest or principal payments, indications that they will enter bankruptcy or other financial re-organisation and changes in arrears or economic conditions that correlate with defaults. For financial assets carried at amortised cost (including loans and receivables), a separate allowance account is used to reduce the carrying amount of financial assets impaired by credit losses. After having taken all possible measures of recovery, if the management establishes that the carrying amount cannot be recovered by any means, at that point the writing off amounts are charged to the allowance account or the carrying amount of impaired financial assets is reduced directly if no impairment amount was previously recognised in the allowance accounts. When the terms of financial assets that would otherwise have been past due or impaired have been renegotiated, the association recognises the impairment for such financial assets by taking into account the original terms as if the terms have not been renegotiated so that the loss events that have occurred are duly considered. Derecognition Financial assets are derecognised where the contractual right to receipt of cash flows expires or the asset is transferred to another party, whereby the entity no longer has any significant continuing involvement in the risks and benefits associated with the asset. Financial liabilities are derecognised where the related obligations are discharged, cancelled or expire. The difference between the carrying amount of the financial liability extinguished or transferred to another party and the fair value of consideration paid, including the transfer of non-cash assets or liabilities assumed, is recognised in profit or loss. (f) Impairment of assets At the end of each reporting period, the association assesses whether there is any indication that an asset may be impaired. The assessment will consider both external and internal sources of information. If such an indication exists, an impairment test is carried out on the asset by comparing the recoverable amount of that asset, being the higher of the asset's fair value less costs to sell and its value-in-use, to the asset's carrying amount. Any excess of the asset's carrying amount over its recoverable amount is immediately recognised in profit or loss. Where the future economic benefits of the asset are not primarily dependent upon the asset's ability to generate net cash inflows and when the entity would, if deprived of the asset, replace its remaining future economic benefits, value in use is determined as the depreciated replacement cost of an asset where it is not possible to estimate the recoverable amount of an individual asset, the association estimates the recoverable amount of the cash-generating unit to which the asset belongs.
Annual Report 2016/17
8
Murray and Mallee Local Government Association NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017 Where an impairment loss on a revalued asset is identified, this is recognised against the revaluation surplus in respect of the same class of asset to the extent that the impairment loss does not exceed the amount in the revaluation surplus for that class of asset. (g) Revenue Non-reciprocal grant revenue is recognised in the statement of comprehensive income when the association obtains control of the grant and it is probable that the economic benefits gained from the grant will flow to the association and the amount of the grant can be measured reliably. If conditions are attached to the grant which must be satisfied before it is eligible to receive the contribution, the recognition of the grant as revenue will be deferred until those conditions are satisfied. When grant revenue is received whereby the association incurs an obligation to deliver economic value directly back to the contributor, this is considered a reciprocal transaction and the grant revenue is recognised in the statement of financial position as a liability until the service has been delivered to the contributor, otherwise the grant is recognised as income on receipt. Revenue from membership subscriptions are recognised as income in proportion to the stage of completion of the transaction at the reporting date. The stage of completion is determined by reference to the membership year. Revenue from the rendering of a service is recognised upon the delivery of the service to the customer. Interest revenue is recognised using the effective interest method, which for floating rate financial assets is the rate inherent in the instrument. All revenue is stated net of the amount of goods and services tax (GST). (h) Trade and other payables Accounts payable and other payables represent the liability outstanding at the end of the reporting period for goods and services received by the association during the reporting period that remain unpaid. The balance is recognised as a current liability with the amounts normally paid within 30 days of recognition of the liability. (i) Trade and other receivables These include amounts due from ATO and accrued interest on deposits in financial institutions. Receivables expected to be collected within 12 months of the end of the reporting period are classified as current assets. All other receivables are classified as non-current assets. Accounts receivable are initially recognised at fair value and subsequently measured at amortised cost using the effective interest method, less any provision for impairment. (j) Critical Accounting Estimates and Judgments Key estimates (i) Impairment - general The association assesses impairment at the end of each reporting period by evaluation of conditions and events specific to the association that may be indicative of impairment triggers. Recoverable amounts of relevant assets are reassessed using value-in-use calculations which incorporate various key assumptions.
9
161
Murray and Mallee Local Government Association NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017
Note 2: Revenue
2017 $
MBM LGA Contributions Berri Barmera Coorong District Council DC of Karoonda East Murray DC of Loxton Waikerie Mid Murray Council The Rural City of Murray Bridge DC of Renmark Paringa Southern Mallee DC SLRP surcharge
Other Contributions Local Government Association of SA Out Reach Program Income
Interest Revenue Total Revenue
Annual Report 2016/17
10
2016 $
20,451 13,545 7,172 21,506 16,201 27,091 18,194 8,501 19,733 152,394
20,150 13,345 7,065 21,326 15,962 26,690 17,924 8,375 130,837
274,185 50,000 324,185
49,226 50,000 99,226
2,904
2,897
479,483
232,960
Murray Mallee Local Government Association NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017
Note 3: Other Operating Expenses
2017 $
498 3,500 867 109,545 5,697 2,395 1,424 3,240 1,950 (836) 6,088
Accounting software Audit fees Consultancy and contractors Executive officer contract services Insurance LGA capacity building grant LGA outreach project Meeting expenses Murraylands regional collaboration project President's allowance SAROC regional meeting costs Sundry expenses Project Expenditure: 2030 Transport Plan Project - Roads database Commodity Route Assessment Hills Road/Rail Bypass Murray River Alliance Projects Regional Freight Movement Study Regional Wine Strategy Sport and Recreation Facilities Needs Review
11,700 13,400 5,000 10,000 50,284 15,000 15,940 255,693
Note 4: Cash and cash equivalents
Note 5: Trade and other receivables GST receivable (net)
Note 6: Trade and other Payables
11
174,056
2016 $
2017 $
2016 $
2017 $
Payables Accruals
545 3,000 109,093 5,602 25,000 3,255 20,440 1,950 2,492 2,679
2017 $
100 275,294 151,430 426,824
Cash on hand Cash at bank LGFA Investment
2016 $
11,729
12,318 12,318
100 63,442 148,525 212,067
3,639
2016 $
1,269 11,991 13,260
163
Murray and Mallee Local Government Association Incorporated NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017
Note 7: Unspent Funds Reserve The unexpended funds reserve represent funds set aside for future use on projects managed by the association
2017 $
Hills Road/Rail Bypass Balance brought forward Payments received Project payments Project funds expended at year end
(5,000)
2016 $
-
(5,000)
-
Murray River Alliance Projects Balance brought forward Project payments Project funds expended at year end
(10,000) (10,000)
-
2030 Transport Plan Project Balance brought forward Project payments Project funds expended at year end
(5,000) (11,700) (16,700)
(5,000) (5,000)
Regional Public Health Plan Balance brought forward Project funds not expended at year end
500 500
500 500
Riverland Resource Sharing Project Balance brought forward Project funds not expended at year end
13,500 13,500
13,500 13,500
Murraylands Resource Sharing Project Balance brought forward
16,154
16,154
Project funds not expended at year end
16,154
16,154
Annual Priorities project Balance brought forward Project funds not expended at year end
1,300 1,300
1,300 1,300
13,790 13,790
13,790 13,790
9,085 9,085
9,085 9,085
(4,225) (13,400) (17,625)
(4,225) (4,225)
Succession Planning Consultancy Project Balance brought forward Project funds not expended at year end Review of Regional Transport Strategy Project Balance Brought forward Project funds not expended at year end Transport Strategy Project Balance Brought forward Project payments Project funds expended at year end
Annual Report 2016/17
12
Murray and Mallee Local Government Association Incorporated NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017
Regional Freight Movement Study Balance Brought forward Project payments Project funds expended at year end
(50,284) (50,284)
-
Regional Waste Strategy Balance Brought forward Project payments Project funds expended at year end
(15,000) (15,000)
-
Sport & Recreation Facilities Needs Review Balance Brought forward Project payments Project funds expended at year end
(15,940) (15,940)
-
Total unspent funds reserves
(76,220)
45,104
Note 8: Accumulated Surplus Opening Balance Surplus for the year Balance
Net transfers (to)/from reserves: Hills Road/Rail Bypass Murray River Alliance Projects 2030 Transport Plan Transport strategy project Regional freight movement study Regional Waste Study Sport & Recreation Facilities Needs Review Net Transfers (to)/from reserves Balance at year end
13
2017 $ 157,288 223,790 381,078
2016 $ 98,438 58,850 157,288
5,000 10,000 11,700 13,400 50,284 15,000 15,940 121,324 502,402
157,288
165
Murray and Mallee Local Government Association Incorporated NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017
Note 9: Reconciliation of cash flow from operations with surplus for year 2017 $ 223,790
Net surplus for the year Changes in assets and liabilities (Increase)/decrease in trade and other receivables Increase/(decrease) in trade and other payables
Annual Report 2016/17
(8,090) (942) 214,757
14
2016 $ 58,850 4,233 (12,739) 50,344
Murray and Mallee Local Government Association NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017
Note 10: Financial Instruments Details of the significant accounting policies and methods adopted including the criteria for the recognition, the basis of measurement and the basis on which income and expenses are recognised with respect to each class of financial asset, financial liability and equity instrument are disclosed in Note 1 Summary of Significant Account Policies. Categorisation of Financial instruments 2017 Note Financial liabilities Trade and other Payables Total Financial liabilities Financial Assets Cash and cash equivalents Total Financial Assets
6
2016
Carrying Amount Fair Value Carrying Amount Fair Value $ $ $ $ 12,318 12,318 13,260 13,260 12,318 12,318 13,260 13,260
4
426,824 426,824
426,824 426,824
212,067 212,067
212,067 212,067
Receivable and payable amounts disclosed exclude amounts relating to statutory receivables and payables (i.e. GST Receivable). The fair values disclosed in the table above have been base don cash and cash equivalents, trade and other receivables and trade and other payables short term instruments in a nature whose carrying value is equal to fair value. I.
Credit Risk Exposure to credit risk relating to financial assets arises from the potential non-performance by counterparties of contract obligation that could lead to a financial loss to the association.
Credit risk is managed through maintaining procedures to regularly monitor the financial stability of customers and counterparties and by investing surplus funds in financial institutions that maintain a high credit rating. There is no collateral held by the association securing trade and other receivables. ii.
Liquidity Risk Liquidity risk arises from the possibility that the association might accounting difficulty in settling its debts or otherwise meeting its obligations related to financial liabilities. The association manages this risk by preparing and monitoring budgets, only investing surplus cash with major financial institutions and proactively monitoring the recovery of unpaid debts.
No assets have been pledged as security for any liabilities.
15
167
Murray and Mallee Local Government Association NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017 iii.
Market Risk Exposure to interest rate risk arises on financial liabilities recognised at the end of the reporting period whereby a future change in interest rates will affect future cash flows.
The following table illustrates sensitives to the association's exposure to changes in interest rates. 2017
Financial liabilities Trade and other Payables Financial Assets Cash at bank LGFA Investment Cash on hand
% Weighted Average Interest rate
$
2016
Carrying Value
% Weighted Average Interest rate
Carrying Value
$
$
$
0%
12,318
0%
13,260
0% 1.8% 0%
275,294 151,430 100
0% 1.8% 0%
63,441 148,525 100
Note 11: Contingent Liabilities and Contingent Assets At 30 June 2016, the association is unaware of any liability, contingent or otherwise, which has not already been recorded elsewhere in this financial report.
Note 12: Capital Commitments At 30 June 2016, the association is unaware of any capital or leasing commitments which have not already been recorded elsewhere in this financial report.
Note 13: Events after the end of the reporting period Since the reporting date, there have been no events that would materially impact on the contents of this report.
Note 14: Economic Dependence
Annual Report 2016/17
16
Murray and Mallee Local Government Association is dependent on the Local Councils within its
Murray and Mallee Local Government Association NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017
Note 14: Economic Dependence Murray and Mallee Local Government Association is dependent on the Local Councils within its jurisdiction and other funding bodies for the majority of its revenue used to operate the business. At the date of this report, the Committee believe that the Local Councils and other bodies will continue to fund the Association.
Note 15: Related Party Transactions The total remuneration paid to key management personnel of Murray & Mallee Local Government Association Incorporated during the year was as follows: 2017 $ Executive Officer Contract Services 109,545 Key management personnel include the CEO and President. Other related parties includes close family members of key management personnel and entities that are controlled or jointly controlled by those key management personnel individually or collectively with their close family members. There were no transactions with other related parties.
Note 16: Capital Management The Committee controls the capital of the entity to ensure that adequate cash flows are generated to fund its programs and that returns from investments are maximised within tolerable risk parameters. The Committee ensures that the overall risk management strategy is in line with this objective. The committee operates under policies approved by the board. Risk management policies are approved and reviewed by the board on a regular basis. These include credit risk policies and future cash flow requirements. The entity's capital consists of financial liabilities, supported by financial assets. There have been no changes to the strategy adopted by the Committee to control the capital of the entity since the previous year.
Note 17: Association details The registered office of the association and principal place of business is; Murray and Mallee Local Government Association PO Box 236 Victor Harbor SA 5211
17
169
Murray and Mallee Local Government Association STATEMENT BY MEMBERS OF THE COMMITTEE FOR THE YEAR ENDED 30 JUNE 2017
In the opinion of the committee, the Financial Statements comprising of the Statement of Financial Performance, Statement of Financial Position, Statement of Changes in Members' Funds, Statement of Cash Flows and Notes to the Financial Statements: 1.
Presents a true and fair view of the financial position of Murray and Mallee Local Government Association as at 30 June 2017 and its performance for the year ended on that date in accordance with Accounting Standards and other mandatory professional reporting requirements.
2.
At the date of this statement, there are reasonable grounds to believe that Murray and Mallee Local Government Association will be able to pay its debts as and when they fall due.
The Committee is responsible for the reliability, accuracy and completeness of the accounting records and the disclosure of all material and relevant information. This statement is made in accordance with a resolution of the Committee and is signed for and on behalf of the Committee by:
Name: Mayor Dave Burgess Position: President Date:
Annual Report 2016/17
Name: Peter Bond Position: CEO Date:
18
171
Contact Details Telephone
Opening Hours +61 8 8580 3000
Social Media
Monday
9am – 5pm
RenmarkParingaCouncil
Email council@renmarkparinga.sa.gov.au
Tuesday
9am – 5pm
RenmarkParinga
Web www.renmarkparinga.sa.gov.au
Wednesday
9am – 5pm
RenmarkParingaCouncil
Thursday
9am – 5pm
Friday
9am – 5pm
Committed to a sustainable future