City of Port Lincoln Long Term Financial Plan

City of Port Lincoln – Long Term Financial Plan

Document Control Version 1.0

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N:\Scan\Kylie.Jericho\18.80.1.7 FINAL20173 LONG TERM FINANCIAL PLAN 2018 TO 2027 FINAL.docx

Long Term

Financial Plan

2018-2027 Adopted by Council 20 March 2017 RM: FINAL20173 18.80.1.7



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Version Control

Date References Council Resolution & Meeting Date

Author Comments

1 20th March 2017

N20173657

Council Meeting 20th March 2017

MFB

SFO

LTFP for adoption by Council on 20th

March 2017 following three

Councillor workshops.

1 20th March 2017

FINAL20173 CO 17/048 Long Term Financial Plan 2018-2027

for adoption Moved: Cr Papazoglov Seconded:Cr Broadfoot

MFB

SFO

Final version of LTFP adopted by Council on 20th March 2017.



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TABLE OF CONTENTS

1. INTRODUCTION .......................................................................................................................................... 3

2. SMPS, ABP AND BUDGET INTEGRATION ................................................................................................... 4

3. LONG TERM FINANCIAL SUSTAINABILITY OBJECTIVE AND PRINCIPLES .................................................... 5

4. LONG TERM FINANCIAL PLAN - FINANCIAL REPORT OUTPUTS ................................................................. 6

4.1. Statement of Comprehensive Income ............................................................................................... 6

4.2. Balance Sheet .................................................................................................................................... 6

4.3. Statement of Changes to Equity ........................................................................................................ 6

4.4. Statement of Cash Flows ................................................................................................................... 6

5. FORECAST OF KEY FINANCIAL SUSTAINABILITY INDICATORS .................................................................... 7

5.1. Operating Surplus Ratio – Indicator 1 ............................................................................................... 7

5.2. Net Financial Liabilities Ratio – Indicator 2 ....................................................................................... 8

5.3. Asset Sustainability Ratio – Indicator 3 ............................................................................................. 9

6. MAJOR ASSUMPTIONS AND SETTINGS UNDERPINNING THE LTFP ......................................................... 10

7. KEY ISSUES AND CONSIDERATIONS ......................................................................................................... 11

8. RISKS ........................................................................................................................................................ 13

9. REVIEW PROCESS ..................................................................................................................................... 13

10. CONCLUSION............................................................................................................................................ 14

11. REFERENCES ............................................................................................................................................. 14

APPENDIX A FINANCIAL STATEMENTS............................................................................................................ 15

APPENDIX B DRIVERS AND ASSUMPTIONS ..................................................................................................... 20

GENERAL ASSUMPTION DRIVERS .................................................................................................................... 21

Growth ......................................................................................................................................................... 21

Local Government Price Index (LGPI) - Recurrent ....................................................................................... 21

Materials ...................................................................................................................................................... 22

Wages .......................................................................................................................................................... 22

Custom ......................................................................................................................................................... 22

BUDGET LINE CUSTOMISATION SETTINGS ...................................................................................................... 23

APPENDIX C OPERATIONAL NEW INITIATIVES / OPERATIONAL RIVERS AND ASSUMPTIONS ........................ 24



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1. INTRODUCTION

The Local Government Act 1999 (The Act), Section 122, requires Councils to prepare a suite of Strategic Management Plans (“SMPs”) that set out the long-term vision, planning and financial sustainability of a Council’s operations.

The City of Port Lincoln’s Strategic Management Plans are:

the Strategic Directions Plan, which provides the community vision and Council objectives that drive Council’s decision-making and activities;

the Long Term Financial Plan (LTFP), and

the closely aligned Infrastructure and Asset Management Plan (IAMP).

The latter two Plans are essential to both enabling and ensuring the delivery capability and financial sustainability of the community’s needs, expectations and plans over the future 10 year period.

The Sustainable Projects Delivery Plan 2018-2027 (Version 1) adopted by Council in November 2016, represents the New and Upgrade Capital Expenditure and the Operational New Initiatives / Operational Program Resourced Expenditure, all of which supports the Strategic Directions Plan 2016-2026. The Sustainable Projects Delivery Plan 2018-2027 identifies a program of expenditure intended to enable the achievement of Council’s objectives over the ten year life of the Strategic Directions Plan and has been incorporated into the LTFP. Appendix C highlights Council’s planned Operational New Initiatives/ Operational Program Resourced expenditure.

Council adopted its first LTFP, for the period 2015-2024, on 16 June 2014. A second LTFP was then adopted on 17 August 2015, for the period 2017-2026 which was then updated and adopted by Council on 7th March 2016.

The LTFP is a financial representation of the strategies Council has endorsed to achieve its objectives over the medium to long term. Similar to an annual budget but not as detailed, the LTFP identifies Council’s projected revenue and expenses over a ten year cycle, adjusting new capital expenditures and other factors where needed to maintain a sustainable outcome. The LTFP provides a financial roadmap with the ability to adjust the scope and timing of use of limited resources and to act proactively within a sustainability framework when unexpected issues arise.

The LTFP is also a rich source of information that will improve Council’s ability to model, forecast and make decisions on possible future funding for operational needs, renewal and replacement of existing assets and new and upgraded assets to meet future service demands.

The Council must review the LTFP annually, as soon as practicable after the adoption of the Annual Business Plan (ABP), to account for any material changes arising from the adopted ABP and budget, which is a detailed representation of Council’s immediate capital and operational commitments.



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2. SMPS, ABP AND BUDGET INTEGRATION

The Strategic Directions Plan 2016-2026 is Council’s overarching statement describing the City’s desired future in a simple, concise form. Goal 5 outlines that Council aims to deliver sustainable service and productive community assets.

The LTFP, IAMP and Strategic Directions Plan are Council’s suite of documents making up the SMPs. The Act requires a Council’s SMPs to address:

the sustainability of the Council’s financial performance and position;

the maintenance, replacement or development needs for infrastructure within its area;

proposals with respect to debt levels; and

identification of any anticipated or predicted changes that will have a material effect upon the costs of the Council’s activities and operations.

It is essential that the LTFP and the planned works in the IAMP are aligned and capable of translation into the Annual Business Plan and budget, to ensure Council’s financial sustainability into future years.

The asset and infrastructure requirements of the high level objectives identified in Council’s Strategic Directions Plan are reflected in the projected and planned renewal and new capital works outlined in the IAMP. These in turn are the basis of new and upgrade capital expenditure provisions in the LTFP, giving greater clarity and assurance of the capacity to achieve Council’s objectives and desired outcomes.

The ABP and budget will flow each year from this body of work, providing the added clarity of short-term delivery and resourcing plans over the one year ABP and budget cycle. With the benefit of greater confidence and lucidity than the assumptions supporting the LTFP, the adopted budget will then be updated as the ‘Estimate’ column of a revised LTFP.



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3. LONG TERM FINANCIAL SUSTAINABILITY OBJECTIVE AND PRINCIPLES

The SA ‘Independent Inquiry into the Financial Sustainability of Local Government’ (2005), proposed a primary focus on continuity and sustainability of Councils’ long-term financial performance, ie:

“… being able to manage likely developments and unexpected financial shocks in future periods without having … to introduce significant and economically or socially destabilising revenue or expenditure adjustments.”

Council’s LTFP Objective is based on the definition of financial sustainability adopted by the Australian Local Government Association in 2006:

Council achieves a sustainable long-term financial performance and position where planned long-term service and infrastructure levels and standards are met without unplanned increases in rates or disruptive cuts to services.

The following Financial Sustainability Principles underpin Council’s LTFP:

Maintaining service continuity; subject to ongoing reviews of operational effectiveness and efficiency.

Proactively planning and delivering an asset renewal program; giving priority to capital renewal expenditure to enhance asset longevity.

Meeting service and asset growth demands; principally aligned to city growth expectations and carefully considered and prioritised.

Meeting new asset, operational and corporate program demands and expectations; aligning these needs to the Strategic Directions Plan, and working within Council’s financially sustainable capabilities.

Recognising debt as a financing solution; enabling the creation of long-term assets and inter-generational equity.



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4. LONG TERM FINANCIAL PLAN - FINANCIAL REPORT OUTPUTS

Council’s LTFP modelling has produced a set of reports in line with the Model Financial Statements as approved by the South Australian Local Government Association (LGA SA). These reports provide a 10 year projection, accounting for capital expenditure planned in the IAMP and revenue and expenditure policies identified in the ABP and SMPs. These reports are included as Appendix A and include:

4.1. Statement of Comprehensive Income

A requirement under accounting standard AASB 101.81A. The Statement of Comprehensive Income is a combination of a Profit and Loss; revenues and expenses of operations whose net effect produces an Operating and Net Surplus/(Deficit), and Other Comprehensive Income; typically includes disclosures relating to changes in revaluation surplus, gains and losses on defined benefit plans, gains and losses arising from translating the financial statements of a foreign operation, gains and losses on re-measuring available-for-sale financial assets, and the gains and losses on hedging instruments in a cash flow hedge.

4.2. Balance Sheet

Also known as a Statement of Financial Position (AASB 101.54), this report shows the accumulative value of Council Assets (current and non-current), Liabilities (current and non-current), Net Assets (total Assets less total Liabilities) and Equity. This report is presented with a comparative to the previous year.

4.3. Statement of Changes to Equity

A requirement under accounting standard AASB 101.106, this statement provides a reconciliation of the equity components; Accumulated Surplus/(Deficit), Asset Revaluation Reserves, and Other Reserves. The reconciliation is also required to show a comparison for each item of equity between the opening and closing balances resulting from changes in the Statement of Comprehensive Income, transfers in equity distribution, and adjustments to subsidiary ownership that do not represent loss of control (AASB 101.106(d)).

4.4. Statement of Cash Flows

A requirement under accounting standard AASB 101.111, this report presents information on how the Council generates Cash and Cash Equivalents (AASB 107 – Statement of Cash Flows), and where this cash is utilised within the business operations; cash flows from operating activities, investing activities, and financing activities.



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5. FORECAST OF KEY FINANCIAL SUSTAINABILITY INDICATORS

Note 15 of the South Australian Model Financial Statements (Local Government (Financial Management) Regulation 2011, Reg. 5(1)(c)) sets out the key local government financial sustainability indicators.

The LGA SA has recommended using three of these financial indicators in the preparation of a LTFP as they provide guidance in strategic, infrastructure and financial decision making processes.

5.1. Operating Surplus Ratio – Indicator 1

Calculated as Operating Surplus/(Deficit) divided by Operating Revenue. This ratio provides an indication as to how well Council’s operating revenue is able to fund future capital expenditure.

Positive percentage result indicates available funding for future capital expenditure or ability to pay down debt.

Negative percentage result indicates the percentage increase in operating revenue or the approximate decrease in operating expenses required to achieve a break-even operating result.

Indicator 1 - Operating Surplus Ratio %

Financial Indicator Target

Target: -3 TO +5%

(4%)

(2%)

0%

2%

4%

6%

Year

Indicator 1 - Operating Surplus Ratio %

Ratio Min Max



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5.2. Net Financial Liabilities Ratio – Indicator 2

Calculated as Net Financial Liabilities divided by Total Operating Revenue. Net Financial Liabilities equals total liabilities less financial assets (excluding equity accounted investments in Council businesses).

Target percentage over time should be above zero, this would indicate that the Council is employing all available funds generated from rate payers towards meeting the needs of the community.

A positive ratio may indicate Councils efforts to invest in higher operating expenses; maintenance work and higher levels of depreciation due to asset renewals and upgrades. Each Council will determine their appropriate ratio level as to the type of services that they offer (e.g. Community Waste-water Management Systems incur higher maintenance costs) and what service initiatives have been employed as part of their SMPs.

Suggested target ratio: between 0% and 100% (Financial Indicators 2015 (LGA SA Information Paper 9), p. 7-8)

Indicator 2 - Net Financial Liabilities Ratio %


Target: -10% TO +100%

(20.0%)

0.0%

20.0%

40.0%

60.0%

80.0%

100.0%

120.0%

Year

Indicator 2 - Net Financial Liabilities Ratio %

Ratio Min Max



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5.3. Asset Sustainability Ratio – Indicator 3

Calculated as Expenditure on Renewal and Replacement of Assets (refer to Cash Flow Statement) less Sale of Replaced Assets divided by the Optimal Level of such Expenditure as per IAMP – Depreciation,

amortisation and impairment expense may no longer be used as a proxy for the denominator.

If the percentage result is equal to the target percentage as identified in IAMP (or proxy), renewal and replacement of existing assets is considered as being at least maintained.

If the IAMP fails to recognise or delays the timely renewal or replacement of assets approaching the end of their useful life, maintenance expenses on these assets may be higher producing a lower sustainability ratio.

Suggested target ratio: between 90% and 110% (Financial Indicators 2015 (LGA SA Information Paper 9),p. 9)

Indicator 3 - Asset Sustainability Ratio %


Target: 90% TO 100%

80%

85%

90%

95%

100%

105%

110%

Year

Indicator 3 - Asset Sustainability Ratio %

Ratio Min Max



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6. MAJOR ASSUMPTIONS AND SETTINGS UNDERPINNING THE LTFP

The City of Port Lincoln, like many Councils, has used the “Coalface” software tool to develop the core data sets and modelling for its Long Term Financial Plan.

The following key assumptions have been adopted:

Establish a Base - to generate future year revenues and expenses, the model incorporates last year’s financial results (2015/16 audited financial figures) and the current year’s budget estimates (2016/17 February Budget Review). Once these items have been entered and the balance sheet is in balance, future financial estimates are derived from the model drivers.

Customisation - the model allows the basic appearance of the LTFP to be customised. Reporting formats are controlled from here (Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity, and Cash Flow Statement) by linking revenue and expense lines via an established code. Depreciation rates are also set for each class of asset.

Drivers - the model allows for five sets of ‘drivers’, which are displayed as percentages and are categorised as:

Growth – a measure of development or population growth (e.g. new housing, etc), and a proxy for projected increase in both service and asset demands and rates revenue base

LGPI-Recurrent (Local Government Price Index-Recurrent) – a measure of local government price inflation for recurrent operational services

Wages – a discrete measure of salary and wage cost (ie, workforce expenditure) growth, influenced by Consumer Price Index (CPI), Enterprise Bargaining Agreements, staff reclassifications, Superannuation Guarantee adjustments and a provision for underlying growth in workforce numbers (at half of the ‘growth’ driver rate)

Materials LGPI-Capital – a measure of price inflation for construction and infrastructure materials often associated with works undertaken by Councils (which can vary from CPI/LGPI)

Custom – a unique setting for use when appropriate for individual revenue or expense lines.

Budget Lines - the model also provides a multiplier factor to account for those years where greater need is required from one or more drivers. For example, if insurance costs are expected to grow at twice the rate of CPI/LGPI, the Budget Line multiplier may be set at 2 to indicate the larger rate of increase.

IPPE_Build - capitalised assets are separately recognised incorporating planned renewals and upgrades (replacements) of assets as identified in IAMP. The model assumes capitalised assets are revalued every five years; meets accounting standard AASB 116, and depreciation is calculated based on a pre-determined rate.

LoanWk - A cash balance is calculated based on information entered into the model; this is an automated procedure and cannot be manually adjusted. Where cash reserves are fully utilised (i.e. cash balance goes into overdraft), new borrowing may be planned to address issues of timing or prioritisation with regard to capital expenses as well as reviewing rate payer contributions.

The overall output of the Coalface LTFP is both sound and robust. It produces a concise set of reports in line with the Model Financial Statements and is capable of modelling multiple scenarios where various factors will work in combination to provide different long term financial performance.

The drivers, supporting explanation and budget line settings for this 2018-2027 LTFP are included as Appendix B.



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7. KEY ISSUES AND CONSIDERATIONS

The 2018-2027 LTFP is based on the following key assumptions:

Projection of recurrent operational expenditures and revenues from the 2016/17 operational budget base, reflecting service continuity:

o Including for non-recurrent 'operational new (project) initiatives', over the 10 year period as identified in the Sustainable Projects Delivery Plan 2018-2027 (Version 2);

o Expenditure operational adjustments to reflect the Power Line Environmental Committee (PLEC) Program (Appendix L, IAMP 2018-2027);

o Operational items including PLEC (expense), Roads to Recovery (R2R) (revenue) and Financial Assistance Grants (FAGS) (revenue) are forecast based on known adjusted amounts, with R2R and FAGS assumed to be ongoing;

Fully funded IAMP projected renewals, projected new capital and required maintenance levels: o IAMP renewal works to 2026/27 total $21.3 million (including indexation). This includes

the renewal of the London Street Bridge at $2.315 million in 2017/18, Nautilus Arts Centre fitout of $1.4 million and provision of $2.7 million over the ten year period for Port Lincoln Leisure Centre capital renewal expenditure;

o IAMP new capital to 2026/27 totals $26.5 million (including indexation), including the expansion project of the Port Lincoln Leisure Centre totalling $3.748 million in 2017/18 and a range of other significant capital projects;

o Financial data for new and upgrade capital expenditure is drawn from the IAMP 2018-2027 and the Sustainable Projects Delivery Plan 2018-2027 (Version 2).

Total rates revenues forecast in the LTFP are indexed to reflect the LGPI-recurrent driver, a provision for city growth, plus a 0.5% increase in years one and two and no extra increase in years three to ten:

o 2017/18 General Rates have been increased to accommodate for the anticipated increase in electricity expenditure;

o 2017/18 to 2020/21 Waste and Recycling Charge has been increased to reflect full cost recovery of the increase imposed by the State Government in the Solid Waste Levy;

$500,000 revenue from the sale of land assets in 2017/18;

Kirton Court Retirement Village is assumed to operate with the turnover of two units in 2017/18 at $300,000 and one unit in 2022/23 at $150,000 cash inflow, with $118,000 cash outflow in each of those years;

PLEC operational expenditure assumptions of $350,000 in 2017/18 and 2018/19;

Limited grant revenue: o Operational:

on-going Federal Assistance Grants which is assumed to be received by Council in the correct allocated financial year, with indexation applied;

on-going Roads to Recovery funding, including additional amounts announced for 2017/18 (Roads to Recovery funding is not indexed);



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o Grant funds specifically for capital projects (which are indexed in the LTFP):

the Mallee Park major stormwater project - $813,000 grant for a $1.6 million project, in 2020/21 and 2021/22;

the Nautilus Arts Centre first floor upgrade - $600,000 grant for a $1.2 million project, in 2019/20 to 2021/22;

the Parnkalla Trail to Axel Stenross project - $1.5 million grant for a $3 million project in 2018/19 to 2019/20;

the Regional Hub initiatives projects - $500,00 grant for a $1 million project from 2021/22 to 2022/23;

the Grantala Road stormwater project - $175,000 grant for a $350,000 project in 2019/20

and Liverpool Street pump/rising main stormwater project - $113,000 grant for a $225,000 project in 2017/18 and $500,000 grant for a $1 million project in 2018/19;

o Grant funds specifically for capital projects (which are not indexed in the LTFP):

the London Street Bridge project - $1.843 million grant for a $2.315 million project in 2017/18 (noting a grant of $400,000 for a $2.167 million project in 2016/17);

the Port Lincoln Leisure Centre Expansion project - $3.924 million grant for a $3.748 million project in 2017/18 to 2018/19 (noting a grant of $476,000 for a $652,000 project spend in 2016/17);

the Port Lincoln Skate Park redevelopment project - $100,000 grant for a $400,000 project in 2017/18;

and the Brennan’s Wharf / Trail renewal project - $140,000 grant for a $200,000 project in 2017/18;

The Port Lincoln Leisure Centre acquisition and refurbishment amounting to a $9.2 million total spend, is financed by the following borrowings of:

o $4.2 million for the acquisition in 2015/16 with a fixed interest rate 20 year loan; o $4 million for refurbishment works in 2017/18 with a variable interest rate 20 year loan

with compulsory repayments of principal each year of $200,000; and noting that a further $1 million for refurbishment works in 2016/17 was self-funded by Council where borrowing was not required.

The LTFP does not plan or provide for growth in services or service levels and provides for relatively contained future growth of employment costs. To the extent that financial capacity is created via the growth of rate revenue through increasing rateable assessments, i.e. growth of the city, this capacity is attributed to expenditure on new capital projects for the community, services linked to higher cost ‘materials’ indexation and limited staff growth capacity. Future service growth will need to be carefully considered in the context of operating efficiencies, cost savings and additional revenue required to fund them. Council will continue to seek capital revenue opportunities to support its planned new capital expenditure, such as selling identified surplus land assets and renewed/replaced assets. Apart from the land sales planned for 2017/18, no other major capital revenues have been assumed in the current LTFP modelling pending greater certainty of the nature and scope of these revenue opportunities.

Council plans to maintain the Cash and Cash Equivalents figure each financial year at a level that will fund all foreseeable operating requirements together with 50% of total ‘reserve account’ amounts. In 2017/18, the minimum target balance for Cash and Cash Equivalents is $1.87 million.



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8. RISKS

Council acknowledges that there are potential risks to the achievement of the LTFP’s objectives.

The following is a non exhaustive list of identified potential risks:

Assumptions, settings, drivers and considerations included in the LTFP do not occur or are significantly changed;

Council does not receive the assumed grant funding revenues;

The growth of the city, affecting both service and asset demands (costs) and rates revenue, is significantly either more or less than forecast;

Rate capping is introduced by the State Government and assumed rate revenue is above the cap amount;

Enterprise Bargaining Agreement/s and other employment negotiations increase employee salary and wages costs above the amount provided for in the LTFP;

Large scale capital projects go over budget (e.g. London Street Bridge renewal project).

In the event that future outcomes do not align with the forecast LTFP, a review of the LTFP will be required

to incorporate the future outcomes and project the flow on financial implications to determine the financial

sustainability of Council and the risks involved.

9. REVIEW PROCESS

The LTFP will be reviewed on an annual basis taking into consideration changes and updates to the IAMP, the most recent financial year’s revised budget or audited statements and current year adopted or revised budget, including the specific commitments planned in the current ABP.

The Council’s CEO is legally obligated to report on the long-term financial performance and position of the Council and its ongoing sustainability. If there is any concern about the Council’s financial sustainability under existing revenue and expenditure policy settings, the CEO should report on strategies to remedy this exposure to achieve financial sustainability in the future.

Section 122 (6) of the Local Government Act provides that “A council must adopt a process or processes to ensure that members of the public are given a reasonable opportunity to be involved in the development and review of its strategic management plans”. Updates to the plans in the normal course of operations will not necessitate community consultation.

The IAMP has recently been reviewed to reflect updated Asset Register data together with the planned new/upgrade capital expenditure included in the 2016-2026 Strategic Directions plan and further supported by the Sustainable Projects Delivery Plan 2018-2027 (Version 2), to be adopted by Council on 20th March 2017. This will form the basis of the development of the 2017/18 ABP and budget.



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10. CONCLUSION

The LGA SA provides a good analogy for the importance of adopting and working with a LTFP:

“Operating without a LTFP is like driving a car at night in the country at the open-road speed limit without the car’s lights on ‘high-beam’. You can see the road immediately ahead but not far enough into the distance to be able to anticipate and respond quickly to needed turns in direction. A driver might get by in familiar surroundings but will be unprepared to appropriately respond to hazards that would have been recognised if the car’s lights and the driver’s eyes had been set on a longer-distance horizon.” (LGA SA website)

The LTFP will be reviewed and updated for current financial forecasts and to include any other variations to reflect updated strategic plans, projects, opportunities and financial position.

Likewise the LTFP will be an important consideration informing both major service and/or project decision-making and future iterations of the Strategic Directions Plan, providing a concise picture of Council’s forward resourcing capacity within which sustainable decisions and possibly adjustments will occur.

Council’s LTFP will provide a sound platform for future decision-making and planning, with all SMPs expected to evolve through future review processes that ensure they are reflective of community expectations and priorities.

11. REFERENCES

The Local Government Act 1999 (“The Act”)

Rising to the Challenge: Towards Financially Sustainable Local Government in South Australia, published in August 2005, an Independent Inquiry into the Financial Sustainability of Local Government, sited at website http://www.lga.sa.gov.au/page.aspx?c=8801

National Financial Sustainability Study of Local Government, Commissioned by the Australian Local Government Association, November 2006, sited at website http://alga.asn.au/site/misc/alga/downloads/pwc/PwC_Report.pdf

Model Financial Statements, Local Government (Financial Management) Regulations 2011 – regulation 5

LGA SA, Financial Sustainability; Information Paper 1 – Financial Sustainability, revised Feb 2015 sited at website http://www.lga.sa.gov.au/webdata/resources/files/01%20-%20Financial%20Sustainability%202015.pdf

LGA SA, Financial Sustainability; Information Paper 8 – Long-term Financial Plans, revised Feb 2015 sited at website https://www.lga.sa.gov.au/webdata/resources/files/08%20-%20Long%20Term%20Financial%20Plans%202015.pdf

LGA SA, Financial Sustainability; Information Paper 9 - Financial Indicators, revised May 2015 sited at website https://www.lga.sa.gov.au/webdata/resources/files/09%20-20Financial%20Indicators%202015.pdf

Coalface LTFP model, sited at website http://www.coalface.com.au/index.html

Australian Accounting Standards, sited at http://www.aasb.gov.au/Pronouncements/Current-standards.aspx

http://www.lga.sa.gov.au/page.aspx?c=8801

http://alga.asn.au/site/misc/alga/downloads/pwc/PwC_Report.pdf

http://www.lga.sa.gov.au/webdata/resources/files/01%20-%20Financial%20Sustainability%202015.pdf

http://www.lga.sa.gov.au/webdata/resources/files/01%20-%20Financial%20Sustainability%202015.pdf

https://www.lga.sa.gov.au/webdata/resources/files/08%20-%20Long%20Term%20Financial%20Plans%202015.pdf

https://www.lga.sa.gov.au/webdata/resources/files/08%20-%20Long%20Term%20Financial%20Plans%202015.pdf

https://www.lga.sa.gov.au/webdata/resources/files/09%20-%20Financial%20Indicators%202015.pdf

http://www.coalface.com.au/index.html

http://www.aasb.gov.au/Pronouncements/Current-standards.aspx

http://www.aasb.gov.au/Pronouncements/Current-standards.aspx



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APPENDIX A

FINANCIAL STATEMENTS

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ESTIMATED COMPREHENSIVE INCOME STATEMENT

Year Ended 30 June: 2016

Actual

$('000)

2017

Estimate

$('000)

2018

Plan

Year 1

$('000)

2019

Plan

Year 2

$('000)

2020

Plan

Year 3

$('000)

2021

Plan

Year 4

$('000)

2022

Plan

Year 5

$('000)

2023

Plan

Year 6

$('000)

2024

Plan

Year 7

$('000)

2025

Plan

Year 8

$('000)

2026

Plan

Year 9

$('000)

2027

Plan

Year 10

$('000)

INCOME

Rates

Statutory Charges

User Charges

Grants,Subsidies,Contributions

Investment Income

Reimbursements

Other Income

12,853

280

2,034

1,214

135

537

977

13,390

292

1,916

2,196

86

408

965

14,043

296

1,969

2,173

102

414

979

14,483

300

2,008

2,037

75

420

994

14,882

305

2,044

2,071

115

428

1,012

15,324

311

2,085

2,109

107

437

1,032

15,853

319

2,137

2,158

140

448

1,058

16,401

327

2,190

2,208

152

459

1,084

16,967

335

2,244

2,259

161

470

1,111

17,555

343

2,300

2,311

210

482

1,139

18,163

352

2,358

2,365

289

494

1,167

18,791

361

2,417

2,420

255

506

1,196

Total Revenues 18,030 19,253 19,976 20,317 20,857 21,405 22,113 22,821 23,547 24,340 25,188 25,946

EXPENSES

Employee Costs

Materials, Contracts & Other Expenses

Depreciation, Amortisation & Impairment

Finance Costs

Operational New Initiatives

Operational Program Resourced

4,666

10,584

3,473

202

0

0

4,852

10,270

3,492

239

510

0

4,969

11,130

3,513

344

322

5

5,090

11,415

3,712

328

132

15

5,216

11,299

3,812

312

157

20

5,384

11,572

3,936

294

224

56

5,582

11,914

4,271

277

261

129

5,788

12,263

4,264

258

152

197

6,001

12,624

4,299

239

156

202

6,222

12,996

4,364

223

160

207

6,422

13,378

4,438

207

164

212

6,629

13,773

4,996

189

168

217

Total Expenses 18,925 19,363 20,283 20,692 20,816 21,466 22,434 22,922 23,521 24,172 24,821 25,972

OPERATING SURPLUS/(DEFICIT) BEFORE CAPITAL AMOUNTS (895) (110) (307) (375) 41 (61) (321) (101) 26 168 367 (26)

Net gain/(loss) on disposal or revaluations

Amounts specifically for new assets

Physical Resources Free of Charge

(187)

27

516

350

893

174

500

4,581

0

0

2,833

0

0

1,190

0

0

658

0

0

953

0

0

287

0

0

0

0

0

0

0

0

0

0

0

0

0

NET SURPLUS/(DEFICIT) (539) 1,307 4,774 2,458 1,231 597 632 186 26 168 367 (26)

Other Comprehensive Income

Changes in Revaluation surplus - IPP&E

1,261

0

0

0

341

12,479

0

0

0

480

19,653

0

Total Other Comprehensive Income 1,261 0 0 0 341 12,479 0 0 0 480 19,653 0

TOTAL COMPREHENSIVE INCOME 722 1,307 4,774 2,458 1,572 13,076 632 186 26 648 20,020 (26)

17| P a g e


ESTIMATED BALANCE SHEET


Actual

$('000)

2017

Estimate

$('000)

2018

Plan

Year 1

$('000)

2019

Plan

Year 2

$('000)

2020

Plan

Year 3

$('000)

2021

Plan

Year 4

$('000)

2022

Plan

Year 5

$('000)

2023

Plan

Year 6

$('000)

2024

Plan

Year 7

$('000)

2025

Plan

Year 8

$('000)

2026

Plan

Year 9

$('000)

2027

Plan

Year 10

$('000)

ASSETS

Current Assets

Cash & Equivalent Assets

Trade & Other Receivables

Total Current Assets

Non-Current Assets

Receivables

Other Financial Assets

Infrastructure, Property, Plant & Equipment

Total Non-Current Assets

3,145

1,141

1,777

1,143

1,163

1,145

2,080

1,147

1,855

1,150

2,384

1,152

2,668

1,138

2,904

1,101

3,881

1,088

5,464

1,088

4,772

1,088

4,069

1,088

4,286 2,920 2,308 3,227 3,005 3,536 3,806 4,005 4,969 6,552 5,860 5,157

569

0

169,250

305

0

176,060

248

(11)

181,429

189

24

182,743

127

16

184,326

63

16

196,662

13

25

196,814

0

31

196,581

0

39

195,403

0

46

194,254

0

54

214,748

0

61

215,205

169,819 176,365 181,666 182,956 184,469 196,741 196,852 196,612 195,442 194,300 214,802 215,266 Total Assets 174,105 179,285 183,974 186,183 187,474 200,277 200,658 200,617 200,411 200,852 220,662 220,423

LIABILITIES

Current Liabilities

Trade & Other Payables

Borrowings

Provisions

Total Current Liabilities

Non-Current Liabilities

Borrowings

Provisions

Total Non-Current Liabilities

1,259

270

603

1,402

379

603

1,573

387

625

1,608

397

632

1,600

407

647

1,600

417

662

1,609

428

683

1,647

412

703

1,655

394

725

1,662

403

746

1,670

413

767

1,677

0

787

2,132 2,384 2,585 2,637 2,654 2,679 2,720 2,762 2,774 2,811 2,850 2,464

4,215

2,140

7,836

2,140

7,449

2,241

7,052

2,337

6,645

2,446

6,228

2,565

5,800

2,701

5,388

2,844

4,994

2,994

4,591

3,153

4,178

3,317

4,178

3,490

6,355 9,976 9,690 9,389 9,091 8,793 8,501 8,232 7,988 7,744 7,495 7,668 Total Liabilities 8,487 12,360 12,275 12,026 11,745 11,472 11,221 10,994 10,762 10,555 10,345 10,132

NET ASSETS 165,618 166,925 171,699 174,157 175,729 188,805 189,437 189,623 189,649 190,297 210,317 210,291

EQUITY

Accumulated Surplus

Asset Revaluation Reserve

Other Reserves

33,022

131,960

636

34,329

131,960

636

39,103

131,960

636

41,561

131,960

636

42,792

132,301

636

43,389

144,780

636

44,021

144,780

636

44,207

144,780

636

44,233

144,780

636

44,401

145,260

636

44,768

164,913

636

44,742

164,913

636

TOTAL EQUITY 165,618 166,925 171,699 174,157 175,729 188,805 189,437 189,623 189,649 190,297 210,317 210,291

18| P a g e


ESTIMATED CASH FLOW STATEMENT $('000)


Actual

2017

Estimate

2018

Plan

Year 1

2019

Plan

Year 2

2020

Plan

Year 3

2021

Plan

Year 4

2022

Plan

Year 5

2023

Plan

Year 6

2024

Plan

Year 7

2025

Plan

Year 8

2026

Plan

Year 9

2027

Plan

Year 10

CASH FLOWS FROM OPERATING ACTIVITIES

13,390

14,043

14,483

14,882

15,324

15,853

16,401

16,967

17,555

18,163

18,791

Receipts

Rates

Statutory Charges 292 296 300 305 311 319 327 335 343 352 361

User Charges 1,904 1,969 2,008 2,044 2,085 2,137 2,190 2,244 2,300 2,358 2,417

Grants, Subsidies, Contributions 2,405 2,173 2,037 2,071 2,109 2,158 2,208 2,259 2,311 2,365 2,420

Investment Income 86 102 75 115 107 140 152 161 210 289 255

Reimbursements 408 414 420 428 437 448 459 470 482 494 506

Other Income 965 979 994 1,012 1,032 1,058 1,084 1,111 1,139 1,167 1,196 Payments Employee Costs (4,852) (4,864) (4,994) (5,105) (5,264) (5,443) (5,643) (5,848) (6,061) (6,255) (6,454)

Materials, Contracts & Other Expenses (10,270) (11,112) (11,408) (11,286) (11,558) (11,896) (12,245) (12,605) (12,977) (13,360) (13,755)

Finance Costs (239) (344) (328) (312) (294) (277) (258) (239) (223) (207) (189)

Operational New Initiatives (510) (322) (132) (157) (224) (261) (152) (156) (160) (164) (168)

Operational Program Resourced 0 (5) (15) (20) (56) (129) (197) (202) (207) (212) (217) Net Cash provided by (or used in) Operating Activities 3,579 3,329 3,440 3,977 4,009 4,107 4,326 4,497 4,712 4,990 5,163

CASH FLOWS FROM INVESTING ACTIVITIES

893

4,581

2,833

1,190

658

953

287

0

0

0

0

Receipts

Amounts Specifically for New/Upgraded Assets

Sale of Renewed/Replaced Assets 88 29 0 0 0 0 0 0 0 0 0

Sale of Surplus Assets 350 500 0 0 0 0 0 0 0 0 0

Repayments of Loans by Community Groups 53 55 57 59 62 64 50 13 0 0 0

Payments Expenditure on Renewal/Replacement of Assets (8,369) (3,716) (1,204) (1,273) (671) (1,043) (2,675) (1,720) (1,288) (3,784) (3,908)

Expenditure on New/Upgraded Assets (1,847) (5,195) (3,822) (3,781) (3,122) (3,380) (1,356) (1,401) (1,447) (1,495) (1,545)

Net Cash Provided by (or used in) Investing Activities (8,832) (3,746) (2,136) (3,805) (3,073) (3,406) (3,694) (3,108) (2,735) (5,279) (5,453)

CASH FLOWS FROM FINANCING ACTIVITIES

4,000

0

0

0

0

0

0

0

0

0

0

Receipts

Proceeds from Borrowings

Proceeds from Aged Care Facility Deposits 155 300 0 0 0 0 150 0 0 0 0 Payments Repayments of Borrowings (270) (379) (387) (397) (407) (417) (428) (412) (394) (403) (413)

Repayment of Aged Care Facility Deposits 0 (118) 0 0 0 0 (118) 0 0 0 0 Net Cash provided by (or used in) Financing Activities 3,885 (197) (387) (397) (407) (417) (396) (412) (394) (403) (413)

Net Increase/(Decrease) in cash held (1,368) (614) 917 (225) 529 284 236 977 1,583 (692) (703)

Opening cash, cash equivalents or (bank overdraft) 3,145 1,777 1,163 2,080 1,855 2,384 2,668 2,904 3,881 5,464 4,772 Closing cash, cash equivalents or (bank overdraft) 3,145 1,777 1,163 2,080 1,855 2,384 2,668 2,904 3,881 5,464 4,772 4,069

19| P a g e


ESTIMATED STATEMENT OF CHANGES IN EQUITY


Actual

$('000)

2017

Estimate

$('000)

2018

Plan

Year 1

$('000)

2019

Plan

Year 2

$('000)

2020

Plan

Year 3

$('000)

2021

Plan

Year 4

$('000)

2022

Plan

Year 5

$('000)

2023

Plan

Year 6

$('000)

2024

Plan

Year 7

$('000)

2025

Plan

Year 8

$('000)

2026

Plan

Year 9

$('000)

2027

Plan

Year 10

$('000)

ACCUMULATED SURPLUS

Balance at end of previous reporting period

Net Result for Year

Transfers to Other Reserves

Transfers from Other Reserves

33,552

(539)

(49)

58

33,022

1,307

0

0

34,329

4,774

0

0

39,103

2,458

0

0

41,561

1,231

0

0

42,792

597

0

0

43,389

632

0

0

44,021

186

0

0

44,207

26

0

0

44,233

168

0

0

44,401

367

0

0

44,768

(26)

0

0

Balance at end of period 33,022 34,329 39,103 41,561 42,792 43,389 44,021 44,207 44,233 44,401 44,768 44,742

ASSET REVALUATION RESERVE

Land

Buildings

Filtration

Infrastructure

Bridges

Other Community Assets

Plant & Equipment

Furniture

Library Resources

Resource Recovery Centre Remediation

69,421

13,540

946

38,718

1,106

8,229

0

0

0

0

69,421

13,540

946

38,718

1,106

8,229

0

0

0

0

69,421

13,540

946

38,718

1,106

8,229

0

0

0

0

69,421

13,540

946

38,718

1,106

8,229

0

0

0

0

69,421

13,540

946

38,718

1,432

8,229

0

0

15

0

73,868

15,386

1,133

42,956

1,432

9,811

92

11

15

76

73,868

15,386

1,133

42,956

1,432

9,811

92

11

15

76

73,868

15,386

1,133

42,956

1,432

9,811

92

11

15

76

73,868

15,386

1,133

42,956

1,432

9,811

92

11

15

76

73,868

15,386

1,133

42,956

1,912

9,811

92

11

15

76

80,949

18,074

1,406

49,789

1,912

12,341

240

11

15

176

80,949

18,074

1,406

49,789

1,912

12,341

240

11

15

176

Balance at end of period 131,960 131,960 131,960 131,960 132,301 144,780 144,780 144,780 144,780 145,260 164,913 164,913

OTHER RESERVES

Balance at end of previous reporting period

Transfers from Accumulated Surplus

Transfers to Accumulated Surplus

645

49

(58)

636

0

0

636

0

0

636

0

0

636

0

0

636

0

0

636

0

0

636

0

0

636

0

0

636

0

0

636

0

0

636

0

0

Balance at end of period 636 636 636 636 636 636 636 636 636 636 636 636

TOTAL EQUITY AT END OF REPORTING PERIOD 165,618 166,925 171,699 174,157 175,729 188,805 189,437 189,623 189,649 190,297 210,317 210,291

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APPENDIX B

DRIVERS AND ASSUMPTIONS

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GENERAL ASSUMPTION DRIVERS

Year ended 30 June: 2016 Audited Actual

Growth LGPI

(Recurrent) Wages

(CPI + %)

Materials LGPI

(Capital) Custom

2017

This Year

Estimate

2018

Long Term

Financial Plan

Year 1 0.8% 1.5% 2.0% 0.0% 0.5%

2019 Year 2 0.8% 1.5% 2.0% 0.4% 0.5%

2020 Year 3 0.8% 1.8% 2.0% 0.5%

2021 Year 4 1.0% 2.0% 2.7% 0.6%

2022 Year 5 1.0% 2.5% 3.1% 0.8%

2023 Year 6 1.0% 2.5% 3.1% 0.8%

2024 Year 7 1.0% 2.5% 3.1% 0.8%

2025 Year 8 1.0% 2.5% 3.1% 0.8%

2026 Year 9 1.0% 2.5% 2.6% 0.8%

2027 Year 10 1.0% 2.5% 2.6% 0.8%

Growth

Development within the Port Lincoln area is anticipated to increase ratable assessments at a rate of 0.8% from 2018 to 2020, from then on by 1.0%.

The growth drivers are estimates based on the forecast rate of future DA approvals and overall population growth identified in the Residential DPA investigations. The Residential DPA anticipates growth at an underlying higher rate of 1.3%, and significantly greater if mining and/or oil/gas investment proceeds.

Lower growth rates in recent years have influenced the setting of years 1 to 3 at 0.8%.

Local Government Price Index (LGPI) - Recurrent

LGPI-Recurrent indexation is typically higher than Consumer Price Indexation (CPI).

The CPI represents a basket of goods consumed by households. The LGA publishes a LGPI dataset which reflects factors like the higher relative consumption of oil/fuel based products by Local Government.

LGPI can be separated into ‘Recurrent’ and ‘Capital’ subsets, reflecting the two key expenditure types for local government.

LGPI-Recurrent is anticipated to grow from 1.5% in 2018 and 2019, to 1.8% in 2020, 2.0% in 2021 and then 2.5% in 2022 onwards.

These estimates are based on figures on the Reserve Bank website showing economic performance from the September 2016 quarter and LGA data on LGPI.

The Reserve Bank, in setting a target for economic growth, takes the position of achieving between 2-3% as part of its Monetary Policy strategy. However with the onset of current global economic uncertainty lower iron ore prices, the slow-down of China’s economy, and issues within the European Community (EC), Australia has felt the impact which can be seen in the current Reserve Bank rate of 1.5% cash rate.

22| P a g e


Materials

The measure used to estimate cost increases of activities requiring materials is based on the LGPI-Capital.

The driver used in 2018 (year 1) for materials is 0.0%, as the September 2016 LGPI-Capital index is less than the LGPI-Recurrent index. A negative index has not been used to ensure adequate provision is applied to capital expenditure in 2018.

It is assumed that changes in the cost of materials will change in proportion to changes in the LGPI-Recurrent rate, based on the relationship of Materials to LGPI-Recurrent, applied from 2021 onwards.

This driver is applied to the LTFP Chart of Accounts headings where capital works are involved, in addition to the LGPI-Recurrent indexation.

Wages

Based on the approved EBA 2016-2019 increases, existing salary and wages costs are anticipated to increase at 2.0% for 2018 to 2019, with subsequent increases of 2% in 2020, 2.7% in 2021, 3.1% in 2022 to 2025.

Wages costs will reduce by 0.5% per annum to 2.6% for 2026 and 2027, reflecting the removal of the Superannuation Guarantee Levy paid by the employer.

Because LGPI-Recurrent is the main cost indexation, the salaries and wages driver (for existing staff) is set at 85% of LGPI-Recurrent from year 3 (2020) to bring this driver back to the CPI rate (plus an additional 0.5% to 1.0%).

Growth in employee numbers is provided for by applying a factor of 0.5 in the ‘growth’ budget line, in the LTFP Chart of Accounts.

Custom

The 2018-2027 LTFP has been based on applicable driver rates based on information sourced from readily available sources.

With the available information at the time of preparing this LTFP, a ‘custom’ driver has been applied to General Rate Revenue at 0.5% for 2018 and 2019. This enables Council to provide the current level of service and afford planned capital works.

23| P a g e


BUDGET LINE CUSTOMISATION SETTINGS

OPERATING REVENUE Assumption Driver Components

Budgeting Line Items # Growth LGPI Wages Materials Custom

Rates - General less Rebates A 1 1 1

Rates Fines A 1 1

Waste & Recycling Service Charge A 1 1

Rates & Legal Costs Recovered A 1 1

NRM Levy Reimbursement A 1

Statutory Charges B 1

User Charges C 1

Grants, Subsidies, Contributions D 1

Investment Income E 1

Reimbursements F 1

Other Income G 1

Roads to Recovery Grants D

Leisure Centre Operating Income C 1

OPERATING EXPENSES Assumption Driver Components

Budgeting Line Items # Growth LGPI Wages Materials Custom

Workers Compensation J 2

Employee Costs J 0.5 1

Building Maintenance K 1 1

Information Technology & Communications K 1.5

NRM Levy Rebates K 1

Donations & Contributions (Community) K 1

Insurance K 2

Electricity Expenses K 1

Elected Member Expenses K 1

Kirton Court Maintenance K 1 1

Walking Trail Maintenance - Other K 1 1

Cemetery Maintenance K 1 1

Solid Waste Levy K 1

Rubbish Collection, Transport & Disposal K 1 1

Recycling Collection & Disposal K 1 1

Street Cleaning K 1 1

Water Reuse Maintenance K 1 1

Tourism & Community Development - Contributions K 1

Tourism & Community Development - Other K 1

Plant & Machinery Maintenance K 1 1

Civil Operations Maintenance K 1 1

PLEC Scheme K

Stormwater Maintenance K 1 1

Community Facilities Maintenance K 1 1

Leisure Centre Operating Expenditure K 1

Materials, Contracts & Other Expenses K 1

Operational New Initiatives N 1

Operational Program Resourced O 1

24| P a g e


APPENDIX C

OPERATIONAL NEW INITIATIVES / OPERATIONAL

DRIVERS AND ASSUMPTIONS

25| P a g e


Operational New Initiatives / Operational Program Resourced

Operational New Initiative Operational Program Resourced

Year of Allocation $('000) Year of Allocation $('000)

Year 1 Year 2 Year 3 Year 4 Year 5 Year 6‐10 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6‐10

2017‐18 2018‐19 2019‐20 2020‐21 2021‐22 2022‐23 to

2026‐27 2017‐18 2018‐19 2019‐20 2020‐21 2021‐22

2022‐23 to

2026‐27 Strategic Directions Plan Goal 1: A dynamic local economy that is sustainable and supported to respond to opportunities and attract new investment

Partner with RDA (WEP) and other economic facilitators to advocate and

support initiatives in the region to attract diverse industries, grow the

low carbon economy, increase local investment and increase

employment

$9

$45

Develop and action an Economic Strategy in partnership with industry,

businesses and RDA (WEP) which promotes Port Lincoln’s competitive

advantage based on its clean, green, sustainable credentials and regional

and worldwide accessibility

$9

$5

$9

$9

$45

Develop a Tourism Strategy to support the development and marketing

of a range of quality tourism accommodation and visitation experiences,

and develop and promote Port Lincoln as a venue for conferences and

events

$25

Identify options to provide safer boating and harbour facilities to

maximise coastal tourism and commercial potential

$40

Plan for infrastructure that is responsive to the growth of the City,

delivered through the Infrastructure and Asset Management Plan

$25

Develop and implement a CBD and Foreshore Precinct Plan which

considers heavy vehicle movements, car parking, the foreshore, urban

design, public art and public places

$35

Prepare a ’Marina Central’ Precinct Master Plan addressing land use

policy, public places and infrastructure requirements

$15

Partner with RDA (WEP) and others to facilitate export and investment

opportunities with China and India

$9

$9

$45

Strategic Directions Plan Goal 2: A community supported to be healthy, active and involved

Support initiatives that establish Port Lincoln as the regional hub for

sports and cultural activities and increase participation in cultural,

sporting and recreational activities

$50

$45

$225

Review the Library Strategic Plan to position the service and facilities to

meet future community needs

$70

Implement the Open Space Strategy to guide the development and

management of open space, including the integration of new

development needs

$10

$225

Develop the shared use Parnkalla Trail from the Port Lincoln Hotel to

the Axel Stenross site

$18

$90

Develop and action a City wide urban image strategy, incorporating,

street tree avenues, street signage and city entrances and CBD

improvements

$20

$10

Develop an Arts and Culture Strategy to consider an arts and culture hub

and strengthen partnerships supporting arts and cultural activities that

promote a vibrant Port Lincoln.

$18

$18

$18

$90

Work with stakeholders and government agencies to address the health

and well being issues, opportunities and strategies identified in the

Southern Eyre Peninsula Regional Public Health Plan

$18

$90

Prepare an Aged and Disability Care Plan and undertake an audit of

Council facilities and infrastructure to assess compliance with the

Disability Discrimination Act

$5

$27

Work with the CFS and other emergency management groups to

promote fire safety and implement the Lower Eyre Peninsula Bushfire

Management Area Plan (BMAP)

$18

Develop and implement a Footpaths and Trails Strategy to support safe

movement for pedestrians and cyclists

$16

$20

Facilitate and support programs that benefit children, youth, Aboriginal

people and older people

$15

$108

Support activities, events and facilities that bring families together

$35

$18

$72

Develop and implement a Cultural (Aboriginal and European) Heritage

Strategy

$40

26| P a g e


Engage and collaborate with the Aboriginal community to develop

and implement a Reconciliation Plan

$20

$10

$10

$10

$10

$50

Strategic Directions Plan Goal 3: Council values effective community advocacy and partnerships.

Lead the discussion on local government reform to effectively

and efficiently meet community needs in southern Eyre

Peninsula

$40

$40

Investigate the consolidation of the Civic Centre,

administration, library, community space and related facilities

at the Adelaide Place/Hallet Place Corner site

$45

Initiate a regular community and business leaders forum

$3

$3

$3

$3

$3

$20

Initiate a regular youth forum with primary school and high

school aged children

$2

$2

$2

$2

$2

$10

Identify, monitor and where appropriate respond to risks,

influences and opportunities to advance community and Council

objectives

$18

$18

$18

$36

Align and regularly review the Strategic Management Plans

(SDP, I&AMP, LTFP) for optimum community outcomes

$10

$18

$18

Increase the diversity of community engagement in local planning

and decision making

$36

Strategic Directions Plan Goal 4: An environment managed now and into the future.

Work in partnership with local businesses, Eyre Peninsula NRM

Board, organisations and the community to promote and implement

initiatives for environmental sustainability

$18

$72

Continue to implement the Stormwater Management Plan

for maximum environmental and risk management

outcomes

$14

Support, facilitate and undertake works and programs, including

Water Sensitive Urban Design (WSUD) that improve the health of local

waterways , wetlands and coastal areas

$9

$9

$9

Maximise the efficiency and use of the treated waste water system

and monitor the effects of continued use

$27

Support the implementation of the Regional Climate

Change Adaptation Plan for Eyre Peninsula

$18

$18

$18

Investigate the preparation of a State of the City Report and prepare

a Climate Change Adaptation Plan to guide future environmental

initiatives and programs

$27

Educate and partner with the community and businesses to increase

knowledge and awareness of sustainability issues and actions that

can reduce the City’s carbon footprint

$23

$36

Investigate opportunities for improvements to waste and

recycling services, including the introduction of a ‘green waste’

service

$27

Strategic Directions Plan Goal 5: A customer focused, equitable and sustainable services to the community Implement a Business Excellence approach to enable continuous

improvement in operational service delivery, innovation and

customer service, focused on Council’s Service Profile

$13

$15

$5

$5

$40

Implement a regular review program of Council services to ensure

that they are relevant, efficient and effective

$18

$45

Investigate and implement collaborative and resource sharing

opportunities with adjoining councils and government

agencies

$18

$36

Develop and implement an Information Technology

and Telecommunications Action Plan

$10

Implement actions identified in the Infrastructure and

Asset Management Plan ‐ Improvement Plan

$8

$10

$20

$20

$20

Prepare Business Plans for the Nautilus Arts Centre, Visitors Centre

and the Port Lincoln Leisure Centre and Indoor Aquatic Facility

$10

$10

Total: $314 $119 $142 $206 $237 $605 $5 $15 $20 $56 $128 $966

= Strategic Directions Plan ‐ Project Priorities

(Record number DRAFTS20172)

27| P a g e


City of Port Lincoln

Council Administration Office

Level One, Civic Centre

60 Tasman Tce Port Lincoln SA 5606

T: 8621 2300 F: 8621 2399

E: [email protected]

Web: www.portlincoln.sa.gov.au

mailto:[email protected]

http://www.portlincoln.sa.gov.au/

City of Port Lincoln Long Term Financial Plan

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