KOWANYAMA ABORIGINAL SHIRE COUNCIL

Special Council Meeting Minutes11 July 2018 | 3.27pm – 5.00pm

Cairns Board Room and Kowanyama Chambers Room (via Videoconference)

Minutes of the Ordinary Meeting of the Kowanyama Aboriginal Shire CouncilPresent:CouncillorsDeputy Mayor Territa Dick (Chair)Cr John FryCr Wendy Wust

ExecutiveFabian WilliamsChief Executive Officer (CEO)

Katherine WigginsExecutive Manager Governance & Operations (EMGO)

Aruna Rodrigo

Executive Manager Finance Services (EMFS)

Michelle Vick

Executive Manager Community Services (EMCS)

Morgan RoddickExecutive Assistant (EA)

GuestsNicola StruttManagement Accountant

Apologies Mayor Michael YamCr Aaron Teddy

Thomas CorrieA/Executive Manager Community Services

Christine DelaneyExecutive Manager of Human Resources (EMHR)

1) Welcome & ApologiesThe Mayor welcomed everyone to the meeting.

2) Updates to Councillor Register of Interest or Related Parties No updates.

3) Presentation of the 2018-2019 Draft Budget

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In accordance with section 107A of the Local Government Act 2009 this meeting is to provide a copy of the budget prior to full endorsement at the Ordinary Council Meeting on 25 July 2018.

The CEO presented the draft budget, and spoke to the following parts as required by the Local Government Regulation 2012 Section 169:

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Budget 2018/19 overview

The methodology for the 2018-19 year is aimed at a balanced budget (income = expenses).

The total operating and capital budget surplus excluding depreciation is $21,105. Reconciliation to Budgeted Statement of Income and Expenditure (refer Section 3)

$’000 Statement of Income & Expenditure Net Result 17,768

Add back depreciation 6,231

Less capital expenditure (23,978)

Budgeted Operating & Capital Income & Expenditure Surplus 21

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Budget Principles and Assumptions 1. Capital expenditure limited to comply with Workplace Health and Safety, available grant funding and budget constraints

2. No change to the Corporate Structure and limitation of employee overtime. Employee costs forecast to rise with applicable estimated Award increases

3. Increase in Fees and Charges and operating expenditure in line with CPI.

4. Current levels of operating revenue from Council’s own source and untied grants cannot cover operating expenditure

Council Administration and Councillor remuneration

Water, Sewerage, and Waste Management

Town Streets

Sports and Recreation

Stores

5. Council Enterprises

The expectation is that all Council Enterprises are profitable in 2018/19 with the exception of the Post Office. Reviews of all Enterprises are scheduled in the budget year to ensure that profits are maximised.

6. Tied Grants

Unexpended funds quarantined in grant specific bank accounts

Accurate allocation costs from requisition level

Close monitoring of expenditure levels

Timely lodgement of reports

10% Council contributions for Work For Queensland projects

7. Untied Grants

Essential for Council long term sustainability, as there is insufficient profitability from enterprises to cover Council operations

Budget presumes partial pre-payment in June for 2019/20 year for some recurrent funding

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8. Infrastructure Works – Topsy Creek & NDRRA

Corporate Structure

Action ItemEMGO to amend the Corporate Structure to replace the Executive Assistant with a Personal Assistant and remove Car Hire and Administration Bookings from the responsibilities

PoliciesEMGO stated that all policies remain largely the same as those endorsed at the Budget Review meeting in January 2018. EMGO further stated that the Procurement Policy had been further updated to include additional internal controls for the corporate credit card expenditure:

8.5. The credit card should only be used when other methods of payment, such as purchase orders, are not available.

8.6. The credit card holders must provide an acquittal of credit card use each month. The report must detail a description of each purchase and the cost code for the expenditure and contain receipts for all transactions.

8.7. The acquittal must be presented to each council meeting for noting by Council by the Executive Manager Finance.

8.8. Any inappropriate usage must be reported to the Executive Manager Governance and Operations for further review in line with council’s Fraud and Corruption Control Plan.

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EMGO also highlighted that the in under the new Procurement Policy the Executive Manager Finance now has the same Financial delegation as the CEO ($199,000)

Fees and Charges and Commercial Charges

Action ItemEMGO to check the address of the Riverhouse as stated in the Commercial Charges schedule

Queensland Treasury Corporation Indicative Principle and Interest ScheduleCr Wust queried the Queensland Treasury Corporation Indicative Principle and Interest Schedule, Ms Wiggins, EMGO stated that the schedule set out loan repayments for a debt council obtained in a previous year and payments of $43,000 per year are scheduled to 2031.

Budget Papers

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CEO further presented the:

Budgeted Statement of Income and Expenditure

Budgeted Statement of Financial Position

Budgeted Statement of Changes in Equity

Budgeted Statement of Cash Flows

Budgeted Financial Sustainability Ratios

Ms Wiggins, EMGO stated that council would meet again on 25 July at the Ordinary meeting to endorse the budget.

Council Meeting Closed 5.00pm

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