Regional
Development
Victoria

Annual Report

11-12

Front and back cover images show the 2012 Regional Victoria Living Expo.

CONTENTS

Highlights 2011-12______2

Introduction______4

Chief Executive Foreword 4

Overview______6

Responsibilities and Objectives6

Strategic Direction7

Profile8

Regional Policy Advisory Committee10

Partners and Stakeholders11

Operation of the Regional Policy Advisory Committee13

Operation of Regional Development Australia Committees14

Implementing the Regional Growth Fund15

Implementing Economic Infrastructure17

Infrastructure Case Studies19

Implementing Local Initiatives24

Local Initiative Case Studies25

Disaster Recovery28

Latrobe Valley Industry and Employment Roadmap32

Murray Darling Basin Reform35

Inaugural Regional Victoria Living Expo36

Good Move Campaign38

2012-13 RDV Priorities40

Finance ______42

RDV Grant Payments 43

Economic Infrastructure63

Output Targets and Performance69

Revenue and Expenses70

Financial Performance71

Compliance71

Legislation71

Contact Information______72

HIGHLIGHTS 2011-12

  • Implemented programs under the $1 billion Regional Growth Fund.
  • Announced funding of $54.4 million from the Regional Growth Fund for 23 strategic economic infrastructure projects in regional and rural Victoria, with a total investment value of $212.6 million.
  • Announced Mildura and Huntly as the first towns to benefit from the Energy for the Regions program which aims to provide greater access to natural gas for communities in regional and rural Victoria.
  • Established the $100 million Local Government Infrastructure Program as a key component of the Regional Growth Fund.
  • Established $100 million Putting Locals First Program as a key component of the Regional Growth Fund.
  • Announced $15 million from the Regional Growth Fund for the Geelong Library and Heritage Centre development.
  • Announced $7 million funding for the $13.3 million riverfront parklands work as part of Mildura Riverfront redevelopment.
  • Announced $5.2 million funding to redevelop Mildura Airport.
  • Established the Fire Recovery Unit on 1 July 2011 to help with the ongoing recovery and response to the February 2009 bushfires.
  • Opened Marysville Multipurpose Community Facility and Recreation Centre and Lake Mountain Visitor Centre.
  • Launched the $5.2 million Marysville economic development package and extension of subsidised loans and small business mentoring schemes to support economic development in fire-affected areas.
  • Released the Marysville Hotel and Conference Centre request for proposal to development consortiums.
  • Commenced the $30 million Flood Recovery Community Infrastructure Fund on 1 July 2011. This is a jointly administered program with the Department of Sustainability and Environment.
  • Commenced the $10 million Victorian Business Flood Recovery Fund on 1 July 2011.
  • Supported 22 businesses in flood-affected areas with $3.6 million approved from the Victorian Business Flood Recovery Fund.
  • Provided local governments with funding to employ 19 Flood Recovery Officers to help flood-affected councils respond to the 2010-2012 floods.
  • Appointed and established the Regional Policy Advisory Committee in September 2011.
  • Received ministerial approval of the Latrobe Valley Industry and Employment Roadmap in June 2012.
  • Supported Regional Cities Victoria to run its inaugural Celebrating Regional Cities Week in November 2011.
  • Supported the Minister for Regional Cities to conduct the inaugural Regional Cities Business Leaders Forum in April 2012.
  • Committed $3.3 million over four years for the Networked Rural Councils program to support and strengthen the Rural Councils Victoria network, build local government capacity and help create jobs and opportunities for local communities.
  • Delivered inaugural Regional Victoria Living Expo in April 2012, attended by more than 8000 people.
  • Launched Good Move advertising campaign in May 2012 to attract people and skills to regional Victoria.

CHIEF executive foreword

Regional Development Victoria (RDV) delivered the Victorian Government’s agenda for regional Victoria throughout 2011-12, including the implementation of Regional Growth Fund programs and supporting the needs of regional Victorians affected by natural disasters and economic change.

RDV developed a plan that clearly articulates the priorities for the organisation over the next four years and establishes a delivery framework for each priority activity. This plan sets out our longer-term aims to create regions that are prosperous, sustainable and liveable. Regions that generate value, opportunities and jobs and contribute to the wellbeing and vitality of local communities and the Victorian economy. Regions that strike the right balance between social, economic and environmental goals and that manage Victoria’s natural resources wisely and sustainably. And regions that offer quality attributes, amenities and lifestyles that make them places where people want to live.

Central to achieving our aims is the successful implementation of the Victorian Government’s Regional Growth Fund. The fund is designed to stimulate long-term economic growth and prosperity in rural and regional Victoria.

Effective from 1 June 2011, the fund represents the Government’s commitment to drive regional development across the State and ensure regional Victoria remains a key contributor to the State’s future growth and prosperity.

It supports communities to be more resilient and contributes to a better quality of life for regional Victoria by providing better infrastructure, facilities and services. Local communities now play a greater role in determining the local projects that can be funded through the Regional Growth Fund to support their own community and region. The fund helps create jobs, improve career options and generate business opportunities for regional Victorians.

In its first year delivering the fund, RDV drove the ongoing economic development of regional Victoria by supporting 481 projects to the value of $161 million, leveraging total investments of almost $433 million and helping create nearly 1,400 new regional jobs.

Our achievements included the first two milestones in the Energy for the Regions program when an agreement was reached with relevant distributors to connect Huntly (near Bendigo) to the reticulated natural gas system, and enhance the capacity of the system supplying Mildura. RDV also outlined an innovative approach for gas to be secured for other towns in the second half of 2012.

RDV continued to respond to the needs of regional Victorians recovering from natural disasters, including the devastating 2009 bushfires and 2011 floods.

One of the most important RDV-facilitated infrastructure projects initiated during the year was the Marysville Hotel and Conference Centre, to which the Victorian Government is contributing up to $19 million in funding.

The successful delivery of the Marysville Hotel and Conference Centre will be a vital step towards the economic regeneration of the town after the 2009 bushfires. The requests for development of this project that were undertaken in 2011-12 demonstrated RDV’s capacity to partner with other Government agencies and the private sector to deliver practical ‘bricks and mortar’ support to rural and regional Victorians in need.

RDV developed a range of support opportunities for flood-affected Victorian communities. To achieve this, our regional programs and recovery teams worked closely with agencies across government and we look forward to a comprehensive package being made available in the second half of 2012.

Under the guidance of the Latrobe Valley Transition Committee, RDV worked hard to prepare the Latrobe Valley Industry and Employment Roadmap for consideration by Cabinet. The Roadmap draws on an extensive consultation process in April and May 2012 involving collaboration with local government, community and industry stakeholders.

RDV delivered its operations in partnership with the Regional Policy Advisory Committee and Regional Development Australia, as well as external partnerships with Regional Cities Victoria and Rural Councils Victoria.

A key achievement for the year was the Regional Victoria Living Expo and ensuing Good Move advertising campaign. Both initiatives aimed to attract more city people to the business and lifestyle benefits of country living.

Regional Victoria’s population is expected to almost double by 2056, with more people taking advantage of business and lifestyle opportunities with access to health care, transport networks and education.

The longer-term economic outlook for regional and rural Victoria is strong. It currently accounts for about a quarter of the State’s economic output and about a third of exports. Regional and rural Victoria is entering a period of great positive change, and will prove even more essential to Victoria’s prosperity and social wellbeing in years to come.

I thank everyone in the RDV team for their commitment to growing regional and rural Victoria throughout 2011-12. Much of the effort this year will pay dividends in the years ahead. I look forward to reporting on further results of this work in 2012-13.

Lachlan Bruce
Chief Executive,
Regional Development Victoria

Deputy Secretary,
Department of Planning and
Community Development

responsibilities
AND OBJECTIVES

In accordance with the Regional Development Victoria Act 2002, Regional Development Victoria (RDV) works closely with various State Government agencies to meet its key strategic objective of facilitating economic, infrastructure and community development to help ensure new prosperity, more opportunities and a better quality of life for regional Victorians.

RDV has primary responsibility for:

  • Developing integrated, regionally-focused policies and programs, including the implementation of the Regional Growth Fund – the Government’s initiative to support future priorities for the social and economic development of regional Victoria.
  • Creating vibrant and dynamic regional communities and economies through facilitating new jobs, investments, exports, infrastructure for strategic projects and competitive businesses.
  • Delivering programs and information to help grow a robust and sustainable business economy and strengthen communities throughout regional Victoria.
  • Developing and implementing initiatives to promote the State, to attract business and increase the population of Victoria’s regions.

RDV’s key objectives in 2011-12 were:

  • To continue delivering the Victorian Government’s election commitments.
  • To develop and refine the forward agenda for Victoria’s regional cities, regions and rural areas.
  • To support communities in their recovery from natural disasters, such as the 2009 bushfires and the 2010, 2011 and 2012 floods.

STRATEGIC DIRECTION

RDV delivered its objectives in 2011-12 by:

  • Implementing the Victorian Government’s commitments relating to the Regional Growth Fund.
  • Supporting 481 projects to the value of $161 million through the Regional Growth Fund, and leveraging total investments of almost $433 million.
  • Managing and delivering programs that support regional and rural development.
  • Overseeing delivery of key regional infrastructure projects, such as the Energy for the Regions program and the Mildura Riverfront Development.
  • Delivering the Latrobe Valley Industry and Employment Roadmap.
  • Monitoring the development of the Murray Darling Basin Plan and anticipating its impacts.
  • Engaging with the private sector through a market process on the Marysville Hotel and Conference Centre.
  • Facilitating the Black Saturday Memorial Service.
  • Delivering flood recovery grants.
  • Instigating the Latrobe Valley transition process in collaboration with local partners and the Commonwealth Government.
  • Supporting the Regional Policy Advisory Committee to undertake work on behalf of the Minister for Regional and Rural Development, the Minister for Regional Cities and the Parliamentary Secretary.
  • Delivering the inaugural Regional Victoria Living Expo.
  • Developing a new regional marketing campaign to promote regional Victoria as a location to live, work, invest and study.
  • Working with the Commonwealth Government to appoint new Regional Development Australia Committees.
  • Delivering and managing programs that support recovery from natural disasters, such as floods in 2010, 2011 and 2012.
  • Supporting Regional Cities Victoria initiatives including the inaugural Regional Cities Business Leaders Forum.
  • Supporting Rural Councils Victoria initiatives including the delivery of the Networked Rural Councils program.

PROFILE

Regional Development Victoria (RDV) is the Victorian Government’s lead agency in developing regional and rural Victoria.

RDV’s role involves facilitating new investment, business growth and job creation, infrastructure development, instigating policy and planning initiatives, and co-ordinating the delivery of Government programs, services and resources in rural and regional Victoria.

This role includes implementing the Regional Growth Fund, facilitating consultation between the public and private sectors and communities about economic and community development in rural and regional Victoria, and promoting these areas.

It also includes advising the Minister for Regional and Rural Development and the Minister for Regional Cities on matters relating to development in regional and rural Victoria, and supporting communities affected by the 2009 fires through the Fire Recovery Unit.

RDV is located within the Department of Planning and Community Development and works closely with other Victorian Government departments, including the Department of Business and Innovation.

Departmental staff based in the regions work closely with organisations and businesses to help facilitate investment, jobs and exports. Staff are accessible at Victorian Government Business Offices located in Ballarat, Bendigo, Geelong, Mildura, Shepparton, Traralgon, Wangaratta and Wodonga. RDV also has a presence in Ararat, Horsham, Sale, Swan Hill and Warrnambool.

In 2011-12, RDV operated through the following groups:

Regional Programs and Recovery Group

The Regional Programs and Recovery Group took a lead role within the Department of Planning and Community Development to develop and implement RDV programs and policy in regional and rural Victoria. This included the administration and delivery of the Regional Development Australian Initiative in Victoria. The team worked closely with regionally-based government staff, stakeholder organisations and individuals to support investment, jobs, exports and communities across a range of service areas, including program management and recovery from natural disasters. This included overseeing flood recovery support and the operations of the Fire Recovery Unit.

Fire Recovery Unit

The Fire Recovery Unit (FRU) was established in July 2011 following the closure of the Victorian Bushfire Reconstruction and Recovery Authority. The FRU provided continuity of Government support and oversight for the reconstruction and recovery effort after the 2009 bushfires by facilitating strong relationships and coordinated responses to ongoing community needs.

Infrastructure Group

The Infrastructure Group identified, facilitated and delivered infrastructure projects which contributed to the enhanced productivity, liveability and sustainability of regional and rural Victoria, including those initiated through the Regional Growth Fund.

Policy AND PLANNING Group

The Policy and Planning Group provided policy and strategy leadership to RDV, coordinating with other departments to develop ideas, knowledge, policies and programs that support the Victorian Government’s commitment to rural and regional Victoria. The group was also responsible for overseeing the implementation of the Regional Growth Fund, delivering research and analysis to support regional policy, and managing strategic relationships across and outside Government.

Marketing and Promotion Group

The Marketing and Promotion Group delivered a range of activities to promote the business and lifestyle qualities of life in regional and rural Victoria. In particular, the group was responsible for implementing the inaugural Regional Victoria Living Expo and the Good Move advertising campaign.

REGIONAL POLICY
ADVISORY COMMITTEE

The state-wide Regional Policy Advisory Committee (RPAC) was established in September 2011. RPAC operates as a high level advisory body for the Minister for Regional and Rural Development and the Minister for Regional Cities in relation to the implementation of the Regional Growth Fund and overall regional development policy.

RPAC brings the perspective of regional and rural Victoria to the table through a broad-based membership appointed by the State Government. RPAC includes the three independent members and chairs of the five non-metropolitan Regional Development Australia (RDA) Committees. As at 30 June 2012, the RPAC members were:

1. Ian McClelland OAM – Chairperson

Mr McClelland is the founder and Chairperson of the Birchip Cropping Group, a successful farm support and agricultural research organisation in Victoria’s north-west.

2. Bruce Anson

Mr Anson is the Chief Executive Officer of Warrnambool City Council and the Chairperson of the Barwon South West RDA Committee.

3. Jo Bourke

Ms Bourke is the Executive Director of the Wimmera Development Association and was Chairperson of the Grampians RDA Committee.

4. Hayley Cail

Ms Cail was the Chairperson of the Hume RDA Committee.

5. Jenny Dawson

Ms Dawson is the Chairperson of the Loddon Mallee RDA Committee.

6. Richard Elkington

Mr Elkington is the Chairperson of the Gippsland RDA Committee.

7. Ross Lake OAM

Mr Lake is the General Manager of TASCO Inland, a major fuel and oil distributor based in Mildura.

8. Val Lang AM

Ms Lang is a partner in a farm in western Victoria and is the Deputy Chair of the Corangamite Catchment Management Authority.

PARTNERS AND STAKEHOLDERS

Regional Development Australia Committees

Regional Development Australia (RDA) is a partnership between the Australian, State and Territory and local governments to support the growth and development of Australia’s regions. RDV is working closely with RDA to deliver important projects for regional Victorians through the implementation of the Regional Strategic Plans.

The five non-metropolitan RDA Committees work in partnership with regional leaders to set the strategic direction and priorities for their respective regions. RDA Committees are also the local decision-makers in regard to the Putting Locals First Program component of the Regional Growth Fund, and provide RDV with strategic advice on business and development opportunities. RDV also administers the Operational Funding Contract in partnership with the Commonwealth Government.

Regional and Rural Councils

RDV works closely with the 48 regional and rural councils to enable economic, infrastructure and associated development.

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