CITY OF WANNEROO
FINANCE AND COMMUNITY SERVICES COMMITTEE REPORTS
FINANCE AND ADMINISTRATIVE SECTION
17 APRIL 1996
FA3204/96
CITY OF WANNEROO REPORT NO:FA3204/96
TO:TOWN CLERK
FROM:DEPUTY TOWN CLERK
FOR MEETING OF:FINANCE & COMMUNITY SERVICES COMMITTEE
MEETING DATE:17 APRIL 1996
FILE REF:9702
WARD:ALL
SUBJECT:LOCAL GOVERNMENT STATUTORY COMPLIANCE RETURN FOR THE 12 MONTHS TO 31 MARCH 1996
In March 1995 (Item FA3803/95), Council was advised of the background leading to the development of a Local Government Statutory Compliance Return and the need for this to be presented to Council for adoption during April 1996.
The return provides a clear statement that the City of Wanneroo has met its statutory obligations under the Local Government Act 1960 and Local Government Accounting Directions 1994.
The completed return, a copy of which is appended as Attachment 1 must be forwarded to the Executive Director, Department of Local Government by no later than 31 May 1996.
RECOMMENDATION:
That Council
1adopts the City of Wanneroo Local Government Statutory Compliance Return for the period 1 April 1995 to 31 March 1996 as appended to Report FA 04/96; and
2submits the completed return to the Executive Director, Department of Local Government by no later than 31 May 1996.
R E DYMOCK
DEPUTY TOWN CLERK
MWR:KD
are96037
2.4.96
FA3304/96
C I T Y O F W A N N E R O O R E P O R T NO :FA3304/96
TO:TOWN CLERK
FROM:CITY TREASURER
FOR MEETING OF:FINANCE AND COMMUNITY SERVICES COMMITTEE
DATE:17 APRIL 1996
FILE REF:0211
WARD:ALL
SUBJECT:WARRANT OF PAYMENTS FOR THE PERIOD ENDING
31 MARCH 1996
WARRANT OF PAYMENTS TO COUNCIL ON 24 APRIL 1996
INCORPORATING PAYMENTS TO 31 FEBRUARY 1996
FUNDS VOUCHERSAMOUNT
Treasurer's Advance Account No 127230 28466 $ 6,977,867.92
Municipal000217 000225 $ 7,944,870.26
Trust $
$14,922,738.18
======
CERTIFICATE OF PRINCIPAL ACCOUNTING OFFICER
This warrant of accounts to be passed for payment, covering vouchers numbered as indicated and totalling $14,922,738.18 which was submitted to each member of Council on 17 April 1996 has been checked and is fully supported by vouchers and invoices which are submitted herewith and which have been duly certified as to the receipt of goods and the rendition of services and as to prices, computations and casting and the amounts shown are due for payment.
PRINCIPAL ACCOUNTING OFFICER
CERTIFICATE OF CHAIRPERSON OF FINANCE & COMMUNITY SERVICES COMMITTEE
I hereby certify that this warrant of payments covering vouchers numbered as indicated and totalling $14,922,738.18 submitted to the Finance and Community Services Committee on 17 April 1996 is recommended to Council for payment.
Cr H M WATERS
CHAIRPERSON OF FINANCE & COMMUNITY SERVICES COMMITTEE
EW:LR
3 April 1996
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REPORT NO: Page No: 1
FA3404/96
CITY OF WANNEROO : REPORT NOFA3404/96
TO:TOWN CLERK
FROM:CITY TREASURER
FOR MEETING OF:FINANCE AND COMMUNITY SERVICES COMMITTEE
MEETING DATE:17 APRIL 1996
FILE REF:0200
WARD:ALL
SUBJECT:OUTSTANDING GENERAL DEBTORS MARCH 1996
Detailed below is a summary of the outstanding general debtors at 31 March 1996 together with comments on the action being taken with long outstanding accounts.
The overall debtors' position at 31 March 1996 is summarised as follows:
Total Outstanding
$
Current299,932.1136%
30 Days17,616.24 2%
60 Days16,317.34 2%
90 Days184,088.3822%
Deferred Debtors4,139.03 1%
Deferred Sporting Club Debtors302,874.4537%
$ 824,967.55100%
Deferred Debtors are represented by:
Floreat Plumbing Pty Ltd$ 406.29
Supa Valu Marmion$ 104.45
Nortis Pty Ltd$ 2,951.00
Supa Valu Kingsley$ 338.45
Pipe Systems International$ 111.34
Onta Foods$ 227.50
$ 4,139.03
Deferred Sporting Club Debtors are represented by:
Quinns Rocks Bowling Club A/C No 1 $ 23,500.00
Balance of $30,000 Council grant funds expended by Club.
The Club has entered into a loan arrangement for the repayment of the debt, by regular monthly payments of $525 (including interest at the current Commonwealth Bank overdraft rate currently 11.25%) over a period of 6 years, commencing 1 April 1996. A review of the repayment plan is to be undertaken on 31 March 1998.
Wanneroo Districts Rugby Union Football Club$ 49,803.06
Principal and interest on self supporting loan as at 15/07/95. Loan matures 15/01/2008.
Wanneroo Trotting and Training Club$ 572.79
Principal on self supporting loan as at 30/07/95. Loan matures 30/07/96.
Wanneroo Districts Basketball Association$228,998.60
Variance as at 01/10/95 between principal and interest paid on self supporting loan and payments made by the Association under lease agreement. Principal on self supporting loan as at 01/07/95 was $125,644.59. Loan matures 01/10/98. Lease agreement matures 30/06/2007.
$302,874.45
Details of accounts which are outstanding in excess of 90 days are shown on Attachment A.
Analysis of the 90 Day accounts is as follows:
Sorrento Soccer Club6,483.90
Wanneroo Basketball Association14,500.00
Olympic Kingsway Soccer Club4,092.55
Eating House Licences and Registrations50.00
1995/96
Sporting Clubs Clubrooms Facilities3,001.45
Contributions
Mullaloo Surf Life Saving Club233.34
Smith Corporation21,664.00
SGIO1,917.42
Main Roads Department8,690.00
Ongar Investments11,352.00
De Campo's Bakery4,719.75
Merriwa Primary School6,111.74
Kinross Primary School6,233.51
Raytone Motors37,378
Sundry57,660.72
$184,088.38
______
SORRENTO SOCCER CLUB $6,483.90
The Club's total outstanding debt is $6,483.90 dissected as follows:
Property Rental$ 3,142.02
Utility Charges$ 425.45
Interest on Debt$ 2,916.43
$ 6,483.90
______
In April 1992 Council approved a payment programme of $500.00 per month for this account. The Club's outstanding account has been reduced from $18,204.02 in April 1993 to $6,483.90 in March 1996. The Club has since advised that it will continue paying $500.00 per month, together with current account charges as they fall due. The Club paid $1,500.00 on 14 February 1996 to bring the payment programme up to date. Club paid $500.00 on 1 April 1996.
WANNEROO BASKETBALL ASSOCIATION $14,500.00
Lease fee for the period 1 July 1995 to 31 December 1995 $16,000.00 (less paid $1,500.00).
In December 1995 Council officers had a meeting with senior officials of the Association. The Association proposed the following payment plan:
*a base monthly repayment for 1996 of $3,500 representing a full payment of $42,000 in a year;
*a further payment of $6,500 between the months of April to August 1996; and
*a further payment of $5,000 in the months of October and November 1996.
Council, at its meeting held on 20 December 1995, resolved to accept this payment programme.
February 1996 payment of $3,500 was received on 5 March 1996. March 1996 payment is being pursued.
OLYMPIC KINGSWAY SPORTS CLUB (INC) $4,092.55
The Club's total outstanding debt is $4,801.18 dissected as follows:
$
Property Rental1,054.00
Commercial Refuse Charges1,475.00
Utility Charges2,272.18
______
$4,801.18
______
The Club paid $500.00 on 26 March 1996 and has offered to repay this account at $500.00 per month. It is suggested that Council agrees to this agreement on the basis that current debts are settled as they fall due.
EATING HOUSE LICENCES AND REGISTRATIONS $50.00
1995/96 $50.00
One account (Gourmet Spud) outstanding.
SPORTING CLUBS CLUBROOM FACILITIES CONTRIBUTIONS $3,001.45
Contributions by various sporting clubs towards the use of clubrooms for 1991/92, 1992/93 and 1993/94 years.
Two clubs have outstanding contributions and these are detailed as follows:
Girrawheen Senior Cricket Club$ 1,737.45
Whitford City Soccer Club$ 1,264.00
The Girrawheen Senior Cricket Club has sought to pay its account in full by 30 June 1996. A payment plan is being developed.
The Whitford City Soccer Club will pay part of its account by 30June 1996 and the balance by 30 June 1997.
MULLALOO SURF LIFE SAVING CLUB $2,233.34
This account relates to electricity consumption, including various adjustments for the period 31 May 1993 to 12 September 1994. A meeting was held with Club representatives at which the Club agreed to a payment plan to extinguish this debt by 31 March 1996. The plan is as follows:
31 October 1995$1,000.00
30 November 1995$1,000.00
31 December 1995$1,000.00
31 January 1996$1,000.00
28 February 1996$1,000.00
31 March 1996$ 233.34
The Club's payment programme is currently up to date.
SMITH CORPORATION $21,664.00
The City of Wanneroo prefunded the cost of an electric substation to Jenolan Way Community Centre. Council has an agreement with Smith Corporation where it will pay the cost of the prefunded substation once it requires electricity in the area, or no later than 30 June 1996.
SGIO $1,917.42
Workers' Compensation $1,917.42
6 claims outstanding.
Claims are currently being processed for payment.
MAIN ROADS DEPARTMENT $8,690.00
Capital cost of street lighting to intersection of Wanneroo Road with Gibbs, Old Yanchep and Yanchep Beach Roads. Main Roads Department has agreed to payment subject to Western Power confirming that the street lighting has been installed to Australian Standard 1158. Western Power has now confirmed works completed to this standard and payment is being pursued.
ONGAR INVESTMENTS $11,352.00
Contribution to Berkley Road/Redcliffe Avenue intersection upgrade. Payment is to be made as and when the subdivision within the Berkley Road local structure plan areas occurs.
DE CAMPO'S BAKERY 4,719.75
Health Act Prosecution Fine ($6,250.00) and Costs ($969.75) less paid $2,500.00. Company is paying this account off at $500.00 per month.
MERRIWA PRIMARY SCHOOL $6,111.74
Ground maintenance of Addison Park from 11 September 1995 to 30 November 1995 ($2,299.77 per month). December 1995 account has been paid. Education Department staff have been operating under a work ban agreement since the end of February 1996. These bans were lifted on 29 March 1996. Copies of all outstanding accounts were faxed to the Department on 2 April 1996 and payment will be pursued.
KINROSS PRIMARY SCHOOL $6,233.51
Ground maintenance of Callender Park from 11 September to 31 October and 1 December to 31 December 1995 ($2,345.60 per month). November 1995 account has been paid. Education Department staff have been operating under a work ban agreement since the end of February 1996. These bans were lifted on 29 March 1996. Copies of all outstanding accounts were faxed to the Department on 2 April 1996 and payment will be pursued.
RAYTONE MOTORS $37,378.00
Purchase of one vehicle Plant No 96118 Water Truck. Council has not released this pending delivery of the new truck.
SUNDRY $57,660.72
Other Recoupables $1,557.02
Road and footpath repairs, other works.
Commercial Refuse $4,674.51
Payments being pursued.
Licences/Fines and Penalties $35,455.00
Dog registration fines and costs, food prosecutions and parking infringements and bush fire infringements.
Income from Property $8,810.81
Hire of various reserves and buildings.
General $5,910.26
Legal costs relating to summonses and Warrants of Execution issued, bus hire charges, wages overpayment recoverable and meals on wheels charges, family day care attendance record books, reimbursement of workshop repairs and after school care fees.
Utilities $748.93
Electricity charges recoverable.
Private Works $504.19
Sand stabilisation of land and other works.
An amount of $349.12 is considered irrecoverable and in need of Council writeoff approval. Details are listed on Attachment B to this report.
RECOMMENDATION
That Council
(a)writes out of its General Debtors ledger an amount of $349.12, representing debts considered irrecoverable, as detailed in Attachment B to Report ; and
(b)agrees to the payment proposal submitted by the Olympic Kingsway Sports Club (Inc) of $500 per month on the proviso that all current debts are settled as they fall due.
J B TURKINGTON
City Treasurer
HK:LR
4 April 1996
tre0533
REPORT NO:Page No 1
FA3504/96
CITY OF WANNEROO : REPORT NO:FA3504/96
TO:TOWN CLERK
FROM:CITY TREASURER
FOR MEETING OF:FINANCE AND COMMUNITY SERVICES COMMITTEE
MEETING DATE:17 APRIL 1996
FILE REF:0062
SUBJECT:AUTHORISATION OF REALLOCATION OF FUNDS
Various requests have been received for authorisation to reallocate funds within the 1995/96 Budget. A number of necessary adjustments to the budget estimates have also been identified. These are detailed on Attachment A to this report.
In some instances the necessity to seek a reallocation of funds is to accommodate oversights during budget preparation or to include items which have eventuated since budget adoption. Other requests represent a reassessment of priorities. In each instance, brief explanations have been provided by the respective Department Heads and these are duplicated within the schedule.
Items approved by Council but not previously listed in the schedule are also included for consistency and to facilitate presentation of an accumulated balance.
While the Local Government Accounting Directions 1994 specifically prohibit the alteration of the original budget estimates (Clause 6.2 (1) ) through budget reallocations, it has been adopted practice, for budgetary control purposes, to have "revised budget figures" which reflect the reallocations adopted each month.
The net result of these reallocations and adjustments is a budget deficit of $1,286,824.
RECOMMENDATION
That Council authorises, BY ABSOLUTE MAJORITY, in accordance with Section 547 (12) of the Local Government Act, amendments to the "revised budget figures" of the 1995/96 Budget as detailed in the Schedule of Budget Reallocations Requests 17 April 1996.
J B TURKINGTON
City Treasurer
TO:LR
4 April 1996
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REPORT NO:PAGE NO: 1
FA3604/96
CITY OF WANNEROO REPORT NO:FA3604/96
TO:TOWN CLERK
FROM:CITY TREASURER
FOR MEETING OF:FINANCE AND COMMUNITY SERVICES COMMITTEE
MEETING DATE:17 APRIL 1996
FILE REF:01001
WARD:ALL
SUBJECT:ORDERS FOR GOODS AND SERVICES
APPROVING/REQUISITIONING OFFICERS
Council, at its June Council meeting, approved the Annual Resolutions Accounting Procedures for the 1995/96 financial year, with the responsibility for ensuring compliance with accounting conventions and disciplines being that of the Principal Accounting Officer.
Complementing this authority, an internal procedure exists whereby specific officers are assigned the duty of requisitioning goods and services.
With the recent appointment of the CEO (Elect), Mr L Delahaunty, it is appropriate that he be given Approving Officer status.
The City Engineer and City Parks Manager requested that the authority for the following officers be increased as follows:
Engineer Resources (No Limit) Approving
Landscape Architect ($5,000) Requisitioning
Detailed as Attachment A is the list of requisitioning officers with the inclusion of the above.
RECOMMENDATION
That Council
(a)authorises the approving authority for the Chief Executive Officer (Elect) with no limit to apply;
(b)increases the approving authority of the Engineer Resources, with no limit to apply; and
(c)increases to a limit of $5,000, the requisitioning authority for the Landscape Architect
in relation to ordering for goods and services.
J B TURKINGTON
City Treasurer
DKB:KL
29 March 1996
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FA3704/96
REPORT NO:PAGE NO: 1
CITY OF WANNEROO REPORT NO:FA3704/96
TO:TOWN CLERK
FROM:CITY TREASURER
FOR MEETING OF:FINANCE AND COMMUNITY SERVICES COMMITTEE
MEETING DATE:17 APRIL 1996
FILE REF:01821
SUBJECT:DELINEATION OF BOUNDARIES FOR THE 1996/97 RATING YEAR
Council's split valuation system for rating purposes and the continued subdivision of broadhectare properties requires that the gross rental/unimproved valuation boundaries be delineated on an annual basis. This boundary delineation is subject to Governor's approval pursuant to Section 533 of the Local Government Act.
For the benefit of Council, Section 533 (8) (a) and (9) (a) of the Local Government Act states:
"(8)A Council of a municipality that is
(a)a city or town shall for all rateable property in its district use valuations on gross rental value, unless the Governor makes an Order under subsection (17) of this section authorising that Council to use valuations on unimproved value.
of rateable property of the whole or any portion of its district, in which case that Council shall use the valuations so authorised within the area to which the Order applies.
(9)If the Minister is satisfied that the Council of a municipality that is
(a)a city or town should be authorised to use valuations on unimproved value of rateable property in any portion of the district of that municipality, which portion is, in the opinion of the Minister, used predominantly for rural purposes.
he may recommend to the Governor that an Order be made under subsection (17) of this section so authorising the Council".
Pursuant to the provisions of the new Local Government Act, the determination of the method of valuation of land to be used by a local authority rests with the Minister.
For the benefit of Council, Section 6.28 of the new Local Government Act states:
6.28(1)The Minister is to
(a)determine the method of valuation of land to be used by a local government as the basis for a rate; and
(b)publish a notice of the determination in the Government Gazette.
(2)In determining the method of valuation of land to be used by a local government the Minister is to have regard to the general principle that the basis for a rate on any land is to be
(a)where the land is used predominantly for rural purposes, the unimproved value of the land; and
(b)where the land is used predominantly for nonrural purposes, the gross rental value of the land.
In past years Council has moved the GRV boundary to accommodate anticipated subdivision thus obviating the need to seek approval to change the rating base midway through the year. This year the gross rental/unimproved valuation boundaries affect urban zoned broadhectare properties.
This year the boundary for gross rental valuations within the urban zoned areas was adjusted taking into consideration:
(a)the nonrated Landcorp and Crown land around Lake Joondalup;
(b)the already subdivided lots; and
(c)the anticipated subdivisions in 1996/97.
The new boundaries for the urban zoned areas have now been identified for 1996/97 refer plan laid on the table. In the main it classifies in the GRV sector, those properties considered most likely to be subdivided during 1996/97.
As the appropriate provisions of the new Act are not operative until 1 July 1996, advice from the Department of Local Government is that Council is to seek the Governor's Order pursuant to the provisions of the Local Government Act 1960.
RECOMMENDATION
That Council in accordance with the provisions of Section 533 (17) of the Local Government Act, seeks Governor's approval to realign the valuation boundaries for the urban broadhectare properties for 1996/97 rating purposes, as outlined on the plan laid on the table.
J B TURKINGTON
City Treasurer
TP:LR
4 April 1996
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REPORT NO:PAGE NO: 1
FA3804/96
CITY OF WANNEROO REPORT NO:FA3804/96
TO:TOWN CLERK
FROM:CITY TREASURER
FOR MEETING OF:FINANCE AND COMMUNITY SERVICES
MEETING DATE:17 APRIL 1996
FILE REF:0181
WARD:ALL
SUBJECT:SPECIFIED AREA RATING
The issue of the funding of the provision of nonstandard services in various precincts within the municipal boundaries was discussed at the March meeting of Technical Services Committee (Report TS
5903/96 refers).
The provision of "enhanced" services in new subdivisions has been an issue with which Local Governments in rapidly developing areas have wrestled over the years. The problem arises when the development of the area is completed, the lots are sold, the developer withdraws and the facilities become the responsibility of the Local Government. Invariably the standard to which the facilities were maintained by the developer were higher than that which the Local Government would normally provide. Consequently, on handover to the Local Government there is pressure to standardise across the municipality for reasons of equity and affordability.
Local Government has for many years had the ability to strike a specified area rate to accommodate the funding of expenditure, including loan interest and repayments incurred in providing the specific works, undertakings or services for the benefit of the ratepayers or inhabitants of a specified area. The proposal is set out in the Annual Budget with sufficient clarity to indicate where the expenditure is to be so incurred and the resolution of the Council imposing the rate payable in the specified area is to be passed by an absolute majority. It follows that the rate payable in the "specified area" will be greater than that struck elsewhere in the district to accommodate the specific budget expenditures.