Glen Innes Severn Council Meeting

23 OCTOBER 2014

{U,,NSW

5 O Keefe Avenue NoWRA NSW 2541Locked Bag 3015 NOWRA NSW 2541

Mr Hein BassonGeneral ManagerGlen lnnes Severn CouricilPO Box 61 I

GLEN INNES NSW 237d

Dear Mr Basson

The Commission has a policy of providing information to councils about the way itcalculates financial assislance grants. Accordingly, please find attached a detailedsummary of the 201+15 grant calculations for Glen lnnes Severn Council.

DETAILS OF 201/L15 GRANT CALCULATIONS

Appendix A, titled Disabirity Calculations Summary - 2014-15, shows themeasures used in the calculation of grants for your council. This informationshould be examined if council is considering making a special submission.Appendix B, titled E-{pranarion of Calculation Summaries, explains how therevenue and expenditure allowances are calculated and used in the grantdetermination process.

Appendix C, titled Details of Disabiliay Factors, provides backgroundinformation relating to what each expenditure disability factor remgnises, themeasures used, their source, the standards (State average) and weightings.

SPECIAL SUBMISSIONS RELATING TO 2015-16 GRANTS

Special submissions are invited from council in relation to the distribution offinancial assistance grants for 2015-16. However, council is not required to make asubmission.

The purpose of a submission is to give council the opportunity to presentinformation on the financial impact of inherent expenditure disabilities beyond itscontrol that are not generally recognised in the current methodology. This allowsthe Commission to adequately consider all legitimate factors that affect council'scapacity to deliver services.

our Rer€rence: GC 139

Contzd BruceWight\o2J 4428 4132bruce.w ohl@dg.nsw.qov.au

Local GovernmentGrants Commission

,; \/F ilfJ CoUNCtL

6 SEP 201/, 1 September 20'14

l-i --

W hitp://w,rw.olg.nsw sov.au {followthe 'Comrniss ons I Tribunals'links)B1

2

Appendlx O, tiued Gulddlnes lor Sp*la, $rbrn Esbas, coriain8 guidolines brprepaiirE submlsslons. Submis8ions sirould b6 e,mailed to tho Commission atgrant@olg.nsw.gov.au by 30 oyomber 2014.

ll I uould ask tha this letter be tabled at ths n6xt council meeting.q

lf )pu have any questom conceming th€€e mattell pl€as€ contac't me on(02) 4/,28 4132.

Yours slncersly

h^/,/,1Eruca t0lghtExocutlve Oflcal

B2

FUNCTIONDisability I\,,leasure

APPENDIX ALOCAL GOVERNMENT GRANTS COMMISSION

DISABILITY CALCULATION SUMMARY. 2014.I5

Glen lnnes SevernPOPU LA,TION BASED FUNCTIONS

POPULATION: 8,905

CouncilMeesuae

StateStandard

Weighting OisabilityFactor

ADMINISTRATION ANO GOVERNANCE (STANDARD COST): $184,72Aboraginal and/or Torres Strail lslander: 5.68%Economies ofscale: 174Non-English Speaking Background: 218a/aPopulation Distribution: 3.32Population Decline (5yr Average): 0.00%Sparsity (sq km per capita): 0.62Other:

2_49% 0.005100 1.100

18.450/. 0.0102.43 0.006

1.31yo 0.0190.26 0.010

Round€d Total:

0.681.40.0o.21.91_3

0.0

85

AERODROMES (STANDARD COST): $2.S4Nel Expenditure - Aerodromes:Other:

AGED PERSON'S SERVICES (STANDARD COST): $1.03Aged Persons (>=60 Yrs)'

Population Dislribution:Other:

ANll\rAL CONTROL (STANDARD COST): $2.40Population DistributioniOlher:

CEMETRIES (STANDARD COST): $0,42Population Distribution:Other:

30.090/020.59%

24.26

3.32

3_32

544_20.0

stu

47.766.8

0.10.0

,t 15

2.50.0

3

0.50.0

I

2_94 1.000

Rounded Total:

20.360/. 1.00013.23% 1.200

2.43 0.002

Rounded Total:

2.43 0.070

Rounded Total:

2.43 0.015

Rounded Total:

B3

APPENDIX ALOCAL GOVERNII4ENT GRANTS COMMISSION

DISABILIW CALCULATION SUMMARY - 2014.15

Glen lnnes SevernPOPULATION BASED FUNCTIONS

POPULATIONi 8,905

FUNCTIONDisability Measure

CHILDREN'S SERVICES (STANDARD COST) $3.78One Parent Families:Populalion Distribulion:Pre-School Children (0"4 Yrs)lOlher:

COMMUNITY SERVICES (STANOARD COST): $12.44Aboriginal and/or Tores Strail lslander:Non-English Speaking Background:Occupation:Pension and Benefit Recipienls (<60 Yrs):Population Distribuiion:Youth (1124 Yrs):Oltrer:

Council

16.60%

5.924/a

5.68%2.18%

30.15%30.05%

3.3210.a1%

StaleStandard

1628%2.43

6.50%

0.8150.0011.000

Rounded Total:

Weighting OisabilityFaclor

1.60.00.00.0

2

FIRE CONTROL & EI\,IERGENCY SERVICES (STANDARD COST): $15.83

CULTURAL FACILITIES (STANDARD COST): $17.21Duplicalion of Halls:Non-Resident lJse - Cullulal Facilities:Other:

Duplicalion of SES UnitsFloodboats:Flood Prone Buildings:Rural Fire Fighting ContributionsL,rban Fire Levy:Other:

HEALTH & SAFEry (STANDARD COST):Food Premises:Non-English Speaking Background:Population Distribulion:Public Toilets:Vandalism and Crirne:Other:

25.O1100

9.432.180/o

3.32120

1.680/0

14_9

0.017.219.80.00.00.0

52

0.314.10.0

146.10.00.0

't 61

44.O0.00.55.01.10.0

51

2.490k 0.11618.45o/. 0.12524.51vo 0.75024.930/" 0.965

2_43 0.00113.20% 0.200

Rounded Total:

10.35 0.100100 1.000

Rounded Total:

1.00 0.0020.05 0.026

23.48 0.0274.01 0.3009.29 0.800

Rounded Tolal:

5.95 0.75118.45Vo 0.'t00

2.43 0.015100 0.2s0

1.13% 0.022

Rounded Total:

14.20.00.0

11

2.300.340.00

23.567.05

$8.88

Paqe 2B4

APPENDIX ALOCAL GOVERNMENT GRANTS COI/IMISSION

DISABILITY CALCULATION SUMMARY - 201,1-15

Glen lnnes SevernPOP U LATION B AS ED FU N CTIONS

POPULATIO : 8,905

FUNCTIONDisability Measure

CouncilMeasure

StaleStandard

32.74% 0.750100 1.000898 0.277100 1.0001.12 0.,160

11.33 0.060100 1.000100 1.0002.43 0.0031.21 0.005

Rounded Total:

Woighling DisabilityFactol

12.40.00.00.70.00.0

13

1.818.02.80.0

14_3

0.60.00.0

38

0.00.05.00.00.0

12.20.00_0

0.'1

0.00.0

17

LIBRARIES (STANOARD COST): $32.56Aged PersonslNon-English Speaking Background:Non-Resident Borowers:Population DistdbutionrStudenls - Full Time:Other:

PLANNING & BUILDING (STANDARD COST): $30.25Development Aclivity:EnMronmental Sensiiivity:Hedtage:Non-English Speaking Background:Non-Residential Urban Properties:Population Dastribution:Regional Centres and Secondary CBD s:Olher:

RECREATION (STANDARD COST): $94.56Age Structure($29 yrs):Beach Lifesaving:Climale Measure:Day Trippers:Duplication of Playing Fields:Duplication of Pools:Non-Residenl Use - Recreation:Non-Urban Measure:Population Dlstribution:Tidal/Rock PoolsOther:

30.09%2.18V.102.99

16_15'/.

20.3610 0.26018.4510 0.1001't6.59 1.000

2.43 0.01819.450/. 0.195

Roundad Total:

52.65 02fi1 0.0601 0.028

18.450k 0.0402.59 0.2002.43 0.017100 1.000

Roundod Total:

56.5042

2.18L4_453_32100

27.3A%100

1.059100

1.1234.31

100100

3.320.00

Pagp 3B5

APPENDIX ALOCAL GOVERNMENT GRANTS COMMISSION

DISABILITY CALCULATION SUiIMARY - 2014.I5

Glen lnnes SevernPROPERTY BASED F U N CTloNSURBAI PROPERTIES: 4,076

i{ON.t,RBAI{ PROPERTIES: 1,023

FUNCTIONDisability [reasure

URBAN PROPERTY BASED FUNCTIONS

STORL4WATER DMINAGE & FLOOD CONTROL (STANDARO COST): $72.8S

Council StateStandard Factor

0.00.0

62.40.0a2

N/A0.0

10.010

Weighling Oisabillty

Flood Prone Urban Buildings:Levee Measure:Stormwater Oraimge lndex:Other:

STREET & GUTTER CLEANING (STANDARD COST): $37.07Non-Res. Urban Props (Excl- Non-Melro LGAS):Urban DensitylOther:

1.00 1.8100.20 0.010,|.00 1.000

Round.d Total:

a.72Vo 0.5001,250 0.200

Round€d Total:

100 L000

Round.d Tot l:

1.000.001.4

9.770k2

Hagh

60.0%

STREET LIGHTING (STANDARo COST)i $32.75Net Expendilu.e - Streel Lighting:Other:

106 6.00.0

6

25.06.0

31

N/AN/ANiA

OI{-URBAI{ PROPERTY EASED FUNCTIOI{

NOXIOUS PLANTS & PEST CONTROL (STANDARD COST): $127.3Slnfestation:Terrain:Olh6r:

Round.d Tolsl:

B6

APPENDIX ALOCAL GOVERNMENT GRANTS COi,lMISSION

DISABILITY CALCULATION SUi'MARY - 201+15

Glen lnnes Severn

I SO LATI O N ALLOWAN CE DAT APOPULATION:

Adjusted Population (ceiling = 7,500)Orstance from Sydney:

Dislance lrom Neares( Malor RegionalCentre:Per Caprta Allowance:

Western Zone Per Capila Allowence'Total Per Capita Allowance'

8,905

7,500624

98$65.84$0.00

$65.84

kmkm

REVENUE ALLOWANCE DATA

URBANINo. of Propertiesi 4.076

shndard value Per Property: $300.169CouncilValue: $58.307standardRate: 0.003891

NON.URBAN:No. of Properlies: 1,023

Slandard Value Per Property: $558,620CouncilValue: $639,68'lStandardRate: 0.0042,t8

PENSIONER REBATE ALLOWANCEiPensioner Assessments as a %

ofResidentialAssessments: 32.93yoSlandardPercentagei 17.54%

LOCAL ROADS COMPONENI DA|A 2o1tt-1s

Item Council

Population:

Local Road L6ngth:

Lenglh of Bridges on Local Roads:

Road Allowance (based on Road Length and Population):

8,905

1,085 km

2.213 m

$1,108,328

$171,484

$1,279,A12

Bridge Allowance (based on Bddgo Length):

Total Allowance:

WesB7

APPENDIX ALOCAL GOVERNMENT GRANTS COMMISSION

DISABILITY CALCULATION SUMMARY. 20I'.15

Glen lnnes Severn

SIA'VDARD COSTS USED IN THE CALCULATION OF EXPENDIrURE ALLOWANCES

FUNCTIONCouncil

ADIVlINISTRATION AND GOVERNANCE

AERODROMES

AGED PERSONS' SERVICES

ANIMAL CONTROL

CEMETERIES

CHILDREN'S SERVICES

COMMUNITY SERVICES

CULTURAL FACILITIES

FIRE CONTROL AND EMERGENCY SERVICES

HEALTH ANO SAFETY

LIBRARIES

NOXIOUS PLANTS AND PEST CONTROL(per non-ulban properly)

PLANNING & BUILDING

RECREATION

STORMWATER ORAINAGE AND FLOOD CONTROL(per urban proper9)

STREET AND GUTTER CLEANING(per urban properr)

STREET LIGHTING(per urban property)

$183.27

$24.14

($21.4s)

$8.65

$2.58

$21.56

$10.,r4

$9.77

$36.72

$41.,{4

$69.06

$1,16.63

$32.57

$113.08

$54.71

$0.00

$32.63

slateSlandard

$144.72

$2.94

$1.03

$2.40

$0.42

$3.78

$12.44

$17.21

$15.83

$8.88

s2.56

$127.39

$30.25

$94.56

$72.89

$37.07

$32.75

Pw6B8

APPENDIX ALOCAL GOVERNMENT GRANTS COMMISSION

DISABILITY CALCULATION SUIiIMARY - 201,115

Glen lnnes SevernSIA'VDARD COSIS USED IN THE CALCULAiION OF EXPENDI|URE ALLOWANCES

FUNCTIONCouncil State

Standard

IVAINTENANCE. URBAN LOCAL ROADS:

a)Cost per length (km)of roads in urban/built-upareas for which council is responsiblel

b) Urban length (m)per urban property:

c)Cosl of conslruclronharnlenance of bridgesand major culverts per nehivork km of roads.

d)Bridge lenglh (m) per nelwork km of rcads:

I\,4AINTENANCE - SEALED RURAL LOCAL ROADS:

a) Cost per lenqth (km) ofsealed roads in non-urbanereas for which the council is responsible:

b) Sealed rural length (m) per non-urban properly:

c)Cosl of constructiorvmainlenance of bndgesand major culverls per nelworl km of roads:

d) Bridge length (m) per nelwork km of roads:

MAINTENANCE - UNSEALED RURAL LOCAL ROADSI

a)Cost per length (km) of unsealed roads in non-urbanareas forwhich lhe council is responsible:

b)Unsealed rurallength (m) per non-urban properly:

c)Cosl of constuction/mainlenance of bndgesand malor culverls per nelwork km ol roads:

d)Bridge length (m) per network km of roads:

$7,635.32

23.84

$4,949.58

1.24

$4,053.66

233.91

$0.00

3.62

$16,139.72

'11.22

$283.87

0-77

M,604.97

291.47

$39s.60

2_16

$2,019.12

732.O

$o.oo

'1.64

$1,671.59

681.63

$64.20

0.65

Unl€ss orhe.wise shown, costs are percEpiia, bas€d on AaS €slimai€d r€sid€ni populalion dala (prcliminary),

as at 30June 2013, as detemined by the Auslralian Bweau olSlatistics.

The 'Council Value' is the unit cost lor lhe Councilbas€d principally on 2012-13Schedule 1 dala.

Slals Slandard costs are bas€d on annual State av€raS€s costs. vehich aro lh€n avsraged over 5 yeans (2008-09 to2012-13). Annual ave.age costs exclude enreme values in som€ cas€s. Standard .osis aro not inlended lo rcpresenl

an ideal or optimal level of epe.diture.

lnformation on the slandard cosl for each tunclion is provaded ior informataon only and individual councilvaluesare gene€lly not used to deiermine grants.

B9

APPENDIXES B, C and D

APPENDIX BLOCAL GOVERNMENT GRANTS COMMISSION

EXPLANATION OF CALCULATION SUMMARIES _ 2014.15

INTRODUCTION

The Commission's general purpose component of the grant calculations is made up of twoelements. The revenue element atlempts to assess the relative revenue raising capacity ofcouncils. The expenditure element recognises the additional costs faced by councils inproviding services because of inherent cost disabilities. Council policy decisions are nolconsidered.

REVENUE ALLOWANCES

The calculation of revenue allowances by lhe commission seeks to compensate councils fortheir relative revenue raising capacity. Land values are used to rank councils along acontinuum ranging from those with the strongest capacity to raise revenue to those that havethe weakest capacity.

On the basis of aggregated property information purchased by the Commission from theValuer-General and informataon submitted by councils to the Office of Local Government inthe annual rating return, the total rateable valuation figure for each council is calculated to acommon base date. as at 1 July each year. For the 2014-15 calculations the total figure is anaverage valuation for the years 2010.2011, and 2012 with the 2010 and 2011 figuresadjusted for changes in the number of propenies between these years and 2012. Only thevalue of rateable propeny is used in the calculations. Councils are not penalised for non-rateable prope(ies.

The property numbers and valuations for each council are split into urban and non-urbancomponents on the basis of the deparlment's annual rating return.

For the urban component a state average property value is determined based on theweighted average of all councils' values. An average rate-in{he-dollar is determined bydividing the state-wide rate revenue by the state-wide valuation.

The average value of urban properties for the council is compared to the state averagevalue. The difference is multiplied by the number of properties and the state average rate-in-the-dollar to calculate a revenue allowance for urban properties. lf the average value ofurban prope(ies for the council as higher than the state average the allowance is negative, ifit is lower the allowance is positive.

A similar calculation is undertaken for non-urban properties.

The revenue allowances for the urban and non-urban components of each council are thenadded to give the total notional revenue allowance. The notional revenue allowances arethen discounted to give them the same weight as the expenditure allowances.

ln the absence of suitable alternative measures for assessing lhe relative capacity ofcouncils to raise revenue the commission considers the use of land values, with itsdiscounting concession. to be the most equitable method of comparative assessment.Property values provide a good and simple indicator of the relative strength of the economicbase of different local government areas. Valuations are somelvhat sensitive to marketfluctuations across all @uncil areas broughl about by circumstances such as drought,population growth or decline, and rising or falling economic activity.

AppandixB-Pagel

B10

APPENDIX BLOCAL GOVERNMENT GRANTS COMMISSION

EXPLANATION OF CALCULATION SUMMARIES _ 2014.15

The general formula for the calculation of revenue allowances is:

where:Revenue Allowance = IVc x tsr (fs - fc)

Nc = number of properties (assessments)

ts = standard rate-in-the-dollar

Ts = standa.d value per property

Tc = council's value per property.

The standard per property (Ts) is calculated as followsl

fs= sum of rateable values tor all councilssum of number of properties for all councils

The standard tax rate (ts) is calculated as follows:

b _ sum of general purpse revenue of all councilssum of raaeable values of alt councils

The accompanying summary provides details of the calculation of urban and non-urbanrevenue allowance for council- lndividual council's figures are provided to each council.

PENSIONER REBATE ALLOWANCES

An additional allowance is calculated which compensates councils for the cost of themandatory rebate of rates to pensioners. Positive allowances are calculated for councils withan above average number of eligible assessments as a proportion of residentialassessments.

The general formula used to calculate the pensloner rebate allowance is:

Pensioner Rebale Allowance = Rcx Nc x(Pc - Ps)

where:Rc = the standardised rebaie per property for the

council

Nc = ths number of residential propertles

Pc = the proporllon of ellgible pensioner assessmenisfor ths council

Ps = the proponion of eligible pensioner assessmsntsfor d! councils.

ApqndixB-Page2

B11

LOCAL GOVERNMENT GRANTS COMMISSIONEXPLANATION OF CALCULATION SUMMARIES - 201,1-1s

The standardised rebale for council (Rc) in lhe above formuld is'

Standadised Rebale ,ot Council = 0.25v Vc\Ts

the average value per residential property in thecouncil

Ts = the standard rate.in-the-dollar for residentialp.operties.

The maximum value for Rc is set at $125.00.

The attached summary provides details of the calculation of the pensioner rebate allowancefor council.

EXPENDITURE ALLOWANCES

Expenditure disability allowances attempt to compensate councils for the extent to which it isexpected to cost the council more than the standard council to provide a seNice due toinherent factors. The policy decisions of councils concerning the level of service provided orwhether or not there is a service provided at all, are not considered (effort neutral).

These allowances are the dollar values of the estimated additional costs due to disabilitiesconsidered by the commission- There are three elemenls in the calculation of disabilityallowances:

[Jnil: measures the number of units to be seNiced. For the functions@vered by the accompanying notes the units are eitherpopulation (estimated resident population), urban properties, nonurban properlies, road and bridge lengths.

Standard Cosl: is generally five-yearly annual average oI net operaiing costs, perunit, by all councils in the State, for the years 2008-09 to 20'12-13.

Disability Factor: estimate of the additional cost, expressed as a percentage, ofproviding a standard service due to inherent disabilities (see thefollowing section for details).

Expenditure disability allowances are calculated on the following generalformula:

Expenditurc Disability Allowances = Unitx St ndard Costx Disabili y Factot

Disability allowances for some functions are discounted to take account of specific purposegrants for those fundions.

AppendixB-Paqe3

B12

APPENDIX BLOCAL GOVERNMENT GRANTS COMMISSION

EXPLANATION OF CALCULATION SUMMARIES - 20,I4-15

DISABILITY FACTORS

Disability factors are used in the calculation of expenditure allowances as part of theexpenditure component of the calculations.

A disability factor is the commission's estimate of the additiona! cost, expressed as apercentage, of providing a standard service due to inherent disabilities.

lnherent disabilities are characteristics of the council area beyond council control. Thecommission does not compensate councils for cost differences, which arise due to policydecisions of council, management performance, or accountang differences.

For each function the commission has identified a number of variables that are considered tobe the most significant in influencing a council's expenditure on that particular function.These variables are termed disabalities. ln additlon to disabilities identified by thecommission, "other" disabilities relating to individual councils may be determined fromcouncil visits or submissions.

The accompanying notes provide details of the disabilities considered lor each funclionunder a series of headings. These are:

Disability:

Recognises:

Measure:

Source:

specifies the variable.

explains the reason for including the disability and itsrelationship to the standardised council expenditure.

explains the basis on which the disability is assessed.

the source of the data used for the determined factor.

Standard Value: the value with which individual council values are comparod. ltis usually the average value for the State.

Weightings: relates the variation in the disability to the estimated additionalcost due to that disability. The weightings have generally beendetemined by establishing a factor for the maximum disabilitybased on a sample of councils and/or through discussion withappropriate organisations.

The general approach for calculating a disability factor is to take each disability relating toa function and apply the foilowing formula:

Disabilitv Factor -lcouncilvalu' tl.no ' w"iontino'-StandardI-

For some disabilities the factor is a set percentage. Where this occurs in the notes theweighting is shown as N/A-

Generally negative scores are not calculated, that is, if the council score is less than thestandard, a factor of 0 is substitute. Where negative disability factors are calculated it isshown in the summary. The factors calculated for each disability are then added togetherand rounded to give a total disability factor for the function.

AppandixB-Pago4

B13

APPENDIX BLOCAL GOVERNMENT GRANTS COMIT4ISSION

EXPLANATION OF CALCULATION SUMMARIES _ 2014.15

ISOLATION

ln addition to the calculation of allowances for each expenditure function, the commrsstonalso calculates an allowance for additional costs associated with isolation for all non-metropolitan councils. The isolation allowance is calculated using regression analysis of theadditional cosls of isolation reported by council and their distance from Sydney and nearestmajor regional centre. An addilional component is included which specifically recognised theadditional industrial obligations of councils in western NSW.

A population ceiling of 7,500 was used when calculating the total allowance. This recognisesthe economies of scale that exist in larger centres, which reduce the cost effects of isolation.

Calculations for lsolation allowances are based on the following formula:

lsolation Allowance - Pc x (Dsc x Kl + Dnc x K2 + lc)

Pc = the adrusted population for each council (7,500ceiling).

Dsc = the distance from council's administrative centreto Sydney.

Dnc = the distance trom council's administGtive centreto the nearest majo. regional centre.

lc = the addltional per capita allo.vance due toindustrial award obligations (if applicable).

Kl and K2 are constants.

The summary attached provides details of lhe isolation allowance calculated for council.

STANDARD UNIT COSTS

The calculation oI allowances for expenditure disabilataes is generally based on a five yearrclling average of annual standard unit costs for each expenditure function. Standard unitcosts are based on State average unit cost of the aggregate of net costs reported by allcouncils. The information is sourced from Special Schedule 1 of councils' financial repo(s.

The tive year averaged standard unit costs for lhe functions considered in the calculation ofgrants for 2014-'15 are shown on pages 6-7 in the enclosed Appendix A. These standard unitcosts do not represent an ideal or optimal level of expenditure. Council's most recent annualunit costs are also shown in Appendix A for information. Gsnerallv. whether a council'sunit costs are oreater or less than ihe standard unit cost does not have anv directeffect on the orant to th€ council. The standard unit costs simply determine the weightingsfor the particular Iunction in relation to other functions in the calculation of allowances forexpenditure disabilities.

Appandi\B-Paqe5

B14

Blank Page

B15

APPENDIX CLOCAL GOVERNMENT GRANTS COMMISSIONDETAILS OF OISABILITY FACTORS _ 2014-,I5

Abotiginat ot Tones S,7aitlslandet

Econonies of Scale

Standardl

Siandad:Weighling:

Popu I ati on D i slr'i bulio n

add I ona cosls for coun. ls w lh a slg n I canl aborigina popu laiionproporton of ihe populalion Abo ginalorTo es Slrcit lslander.Auslralan Bureau olSlatislics (ABS), Census 2011, usualresdenis prof e.2 4g!"0.005

h gher per capita cosls of ad rninislration for counc s with smallpopulalions.a population based score of 100 lo 225 is used w lh councils whose popuairon isgrcalerlhan 20,000 receiving n disability and those whose populaton is less ihan1,250 rec€iving the maximum dlsabilily scor€ABS, Regional Population Grolrth, Ausi€lia 2012-1310011

llon-E nglis h Spe aking BachEro u nd

Standad:

I\,!easure:

Standad:Weighting:

Sparsrty

Slandad:Woighling:

addilional costs of infomation povision.propo.tion ofpopulalion born in non-English speaking counldes.ABS, C€nsus 2011. usual€sidents prcfile.1445%001

costs of slaff travel and duplication of ssrvices.

(a) ths sum or the populalion of cenlrcs grcaler lhan 200 multiplied by theirdistan@ lrom @uncil hoadqoad€rs(km) divided by ihe oveBll@uncil

(b) according to population:belw€en 50,000 and 100,000 3.65between 100,000 and 150,000 4.87grcatd than 150,000 7.30

ABS, Censls 2011, Censlscounts lor smallareas (place ofenumeration)2.430.006

additionalcoslrelativiti6s r€sllting from belowavelage groMh.annualave€ge percentage change in population ov€rlhe prevlous flve years.ABS, Rogional Population Groi/|.th, Australia, 2012-1 3.1.31%0.012

addilionalcosls duo lo laq€ co!ncilareas.area (sq km)percapila.ABS, Regional Population Grc$'lh, AustElia, 2012-13.o 2620.01

AppendixC-Pagel

B16

LOCAL GOVERNMENT GRANTS COMMISSIONDETAILS OF DISABILITY FACTORS- 2014-15

Net Expe nditurc : Aerodromes

Standard:Weghtingl

above average expenditurc, which is generally beyond councilcontrol.adjusted nelexpe.diturc percapila aveGged over 5 yearsOffice of Local Govsrnrnenl Spscial Schedlle 1 (2008-0910 2012-13)i ABS,Regional Popu aloll Growlh, Austlalia, 2012-13.2_541.0 (maximum DF of 544)

Ased Percons (60 yearc and ovei

Standard:Weighting:

Standad:Weighling:

Popula otl Dlsfrbudon

Source:Slandad:Woighlingi

additional need f or services.propo(ion ofihe populalion aged 60 years and over.ABS, Populalion byAse and Sex'30 June2012.20.36%1.0

addilional council responsibility for aged s€rvic€s.proportion of lhe populalion rsc€iving the aged p€nsion, and m3lure ag€ allowanc€s.Centrelink. Cuslom€rs by Poslcodes - June 2008, (Recipients of Pensions. Benefitsand Family Paymenls). Poslcode dala adjusled lor council boundaries using ABS

'1323%1.2

cosls of staff lrav€l and dupliGlaon of s€ruices.as for Adminislralion.ABS, Census 2011, census counts forsmall6reas.2430.002

Populatlon Dlsfibudon

StEndad:

coslsof staff lravol and duplicalionof s€rvic€s.

ABS, C€nsus 2011, census counts forsmallarcas.2.430.070

Popul atl on Di s ti bttti o n

Slandad:Weighling:

cGls of siaff lravel and duplixlion of ssNic€s.as for Adminislralion.ABS, Census 2011, census counts for smallareas-2.430.015

AppendixC-Page2

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APPENDIX C

LOCAL GOVERNMENT GRANTS COMIVISSIONDETAILS OF DISABILITY FACTORS - 2014.'I5

One Parenl Fanilies

Weighling:

Populaion Dis,/,bution

Weighting

Pre-schoot Chttdrcn (o-1ye s)

additiona need forchild care faclllties.propo(ion offamilies classif ed as one parentiam y'ABS. Census 2011 of Populalion and Housing, selecled soca and hous ngcharacler sllcs for slalistica loca areas16 28y.0815

cosis of stafftmveland dupl.alion otsetoic€sas for Adminislraiion.ABS Census 20". (e-sus counls !o snall dred52430.001

additional.eed forservices targeled atth s age grcup wh ch makes !p the bulk oflocal governmenl nvolv€mentin children's sen/icesproponon of the populaton in 0 4 yeals ago group.ABS, Population by Ageand Sex - 30 June 2012.6.50%10

Abo.lslnal or Tones Strait lslandet

Slandad:

addiilonalcosls rorcounc ls wilh a siqnificanl aborigina populallon.propodion ollhe population Aboriginal or Tores Sllail lslander.ABS, Census 2011. usualresidenls pofile.2.49%0 t16

Non-Eng sh Spca*ing Bactgmund

StandaId:Weighling:

Slandard:WeEhtingl

Pansion .nd Benefit Reclpients

Slandad:W€ighling

additionalcosis of informal on prcvision.proponlon of populalon bo..r n non English spea king counlies.ABS, Census 2011, usualresidenis prcfle18.45%0.125

addilional council responsibilily tor communriy ssrvices in a.eas of low socio-

propo(ion oflhe employ€d peEons in lower socio-econom ic occu pat onal g roups.ABS, CensLrs 2011, usual€sidents profie.24 510/.

0.750

low income persons as a largel grcup for community services.prooo4lon oI the populailor r€c€rvrng soclalsecurily pensronsCefllrslink, Custom€rs by Postcodes - June 2008, {rocipienls ol pensions b€n€fitsand family payments). Postcode data adjusled for council bounda es using ABS

24-930/0

0.965

AppendixC-Page3

B18

LOCAL GOVERNMENT GRANTS COMMISSIONDETAILS OF DISABILITY FACTORS _ 20.I4.15

Population Di stti bution

Weghiing

cosls oi slafi lravel and dlplcal]on ofseNices.as lor Adm n sl€lionABS Census 2011. census counls forsmallareas2430 001

youth as a largel group fo.community seNrcesproporlon of population ln lhe 15-24 years age group.ABS Pop! alon by Age a.d Sex ' 30 June 201 21320%0 200

Slandardr

the addilional@sts elated tothe povision oltacllllies in a flumberofcentres of lessthan oplimum population size.numberof licens€d ha ls mullip ied by the standard nel loss per halldivided by theLGA populalion for non-meiropolir,an councils.Glanls Commission Return, 2012-13, Office oI Loca Govemmenl, Specia Schedule1. 2012-13: ABS. Regional Population Grcwlh, Auskalia, 2012 1310.350.1 (maximum DF or 25)

addilionalcost of lhe pEvis on of higher orderfac iies n regona cenlresmax mum scorc of 150 based on commisslon assessment.

10010

Non-Resident Use - Cultuhl Fac ltles

Weighting:

Dupllcatlon of SES Uni|6

Standard:

Standard:Weighting:

cosl of duplication ofSES u.lslnd€x based on the populalion oI each cenlrc with an SES unil localed more ihan 10km flom the administGlive cenrrc muliipl€d by iis disiancelmm the administralivecentre divided by lhe lolalpopulalion o, the LGA.SES Headquaderci ABS, Census 2011. census counts for smallareas.1.00.002

requircment tor rlood rescue in non-u.ban areas.numbs ofSES rcgistercd flood boals per lhousand of population.Grcnls Commission .elum, 2012 13j ABS, ABS. Rogional Population Grcwlh,Ausrlalia. 2012'1 3.0.0520.026

AppendixC-Page4

B19

APPENDIX CLOCAL GOVERNMENT GRANTS COMMISSIONDETAILS OF DISABILITY FACTORS - 2014.15

Floocl Prone Buildings

2012-13Srandadr 22.48Weighlrng: O 027

Rwal Fl.e Fighting Conrriburions

ilood .escue as the maior area of SES erpendilurenrmber ol build,ngs slbiecl to malnslream iooding (1 in 100 yeals)per thousand oI

Grants Comm,sson relum.2012 13, ABS, Regional Populalion Growlh. A!slralla,

WeighUng:

Standad:Weighting:

conlribulions to lhe ruralftellghling fund.average conl.ibuuons to the NSW RuralFrc SeNice loi anve year penod per capita(2008-09 - 2012-13)[,{inislrylor Polrce and Emergency Services.4.01

payment ofthis lely rs the rnajor ioca govern menl expenditurc ilem.per caprta NSW Fire Rescue €ontrlbuons.M inistry Ior Police and Emorcency Services, 2012-13.9.2908

R€cognises: additional inspeclion costs inarcas wilh high proportions ol lood prcmrsesMeasurcr propodion offood premises p€r thousand ol population.Sourcer cIanls comm ss on relu.n. 201 2- 1 3.Slandardr 5.95Woighirng: 0.751 (maximlm DF of 110)

Non+ngll s h Speaki ng Bachg rc und

Recognises: population ofnon-E.glsh sp€aking backgrounds as a targel group for healihservices.

Measure: proponion ofpopulaion born in non-English speaking counlnes.Source: ABS, Census 201 1 , usual residents prof Ie.Srandadr 1A.45%Weighlrng: 0.100

Populatloa DlslHbunon

Recognlses: cosls ofslafilraveland duplk=rion of seruices.Measurer as forAdmrnisiraiionSource: ABS, Census 2011, census counls forsmallareasSiandad: 2.43Woighting 0.015

Slanda.dl

signific€nl variallon in Council €xp€nd iiure rcated to non-resident use.score based on expendilure and Commisson's assessmefi of need lo provide public

Office of LocalGovornment, SpecalSchedule 1, 2012-13.100o_25

AppendixC-Pages

B20

APPENDIX C

LOCAL GOVERNMENT GRANTS COMMISSIONDETAILS OF DISABILITY FACTORS, 2014-15

Vandalism and ctime

Slandald

additionalcosts assocaled wlh reparring damage to public propertymalicious damage to propeny nc denls percapilaNSW Bureau ol Cr me Slatstics and Research.20l21 13%0.422

Ascd Persons (60 years and ovei

No n-Ensl i s h Spe ai hs Bac ksrc u n.t

Standad:

Non-Resldant Bonowa.s

Population Oistibulon

Weghlingl

Weighting

additionalcosi of provdrnq specralsl servEes and malerialsproporlion of ihe populalion aged 60 years and overABS, Populalion by Age and Sex - 30 June 2012.20 36%

additional costs oi nformalion prov sion.prcpodion of popu al on bom in non'English speaking coLrntries.ABS, Census 2011 usualresdents profle.1845%01

additional cosl ol prcviding servic€s for nonjesidentspe.cenlase oI no^-rcsidenr borowers plus 100.Srate Lib.ary or NSW,2012-13116.591.0 (maximum DF of 10)

cosls of slaff traveland duplication of serui@s

ABS, Census 2011 census counts forsmallarcas2430 018

sludenls as a najor usergroup oI liblary seNices.proporlion ol the population attending an educ€lional nsiitulion full timeABS, Census 2011. usualrcsidents prcfile19 45y.0.195

Developnent Ac vlty

Weighling:

ihai expend iurc is .elal€d to add tional costs of inspection, certitication, etc.percapla esl male (R)based on a regression olexpendilureon plann ng andbu Ld ng conlro, numberof build ng apprcvals lor new dwelllngs per capla (a) and thelola va ue of non-residential bul ding apprcvals per €a p la (b)

R = 52 6s + (1.M2 40 x a) + 10.00216 r b)

Ofiice of Loca! Govornmont Special Schedule 1 . 201 2-1 3; ABS, Building Approvals,June 201352.650.25 (maximum DF ol45)

AppendixC-Pageo

B21

APPENDIX CLOCAL GOVERNMENT GRANTS COMMISSIONDETAILS OF DISABILITY FACTORS - 2014.15

Envi ro n nenta I Se n sitlvfiy

Recog nises: addllora cosls of being cla ssified as "environmental sens t ve" by the E nvironmentaProrection A!thorty.

MeasLrre: councils a re dlvlded nlo 5 calegories on lhe basis of envircnmentally sensilive areas(extrcme 24%, very hlgh 18%, h sh 12%, above average 6%, aveEge and b€low 0).

Source: Envlronmenlal Proleclion Au{horiry and Granrs CommissionSlandad: 'l

Werghting: 0.06

Recognises: addilionalcosts due to greater complexity in plan prcpaEtion and devetopmentconircl.

M€asure: councls are divided into 5 cateqories on the basis olheritaae conside€tions andenvi.on menla ly sensiiive areas as assess€d by the Comm ission (extrem€ 1 1 %, veryhigh 8%, h gh 6%. aboveaverage 3%, avercge and betow 0).

Source: Heitage CoLrnc and G€nts Commission.Slandard: 1

Weighlingr 0.028

Non-E nglls h Spa.k ing Bac tg.ound

Weighling:

addilional cosls of infomalion prcvisrof,.proportion of population bom in non-English speaking counld€s.ABS, Census 2011, usuall€srdents profile.14.45%o04

greaior complexily of prccessing development applicarions.numberol urban prcpodi6s which are classified as "business" per hundred of

Otfice o. Loca. Govs-Ts-t. ?ung €iurn,2012-r32.590.2 (maximum DF of 30)

costs of staff tmv€l and duplicailon of seruies.as for Administration.ABS, Census 20'l'l . c€nsus collnts for small areas2.43o 017

Non-R*ld.nd.l Ub.n ProQaies

Slandard:Weighiingl

Popula on Dls,flbt lon

Slandard:Weilhting:

The populalion groMh measurewas rcmovedfor 2014'15.

Regrorrl CeDtras ard Socondary CBDS

Sourc6:Slandald:Weighling:

additionalcosts offolward planning generaliy related to non-rssidont !s6.range of disabilities betwe€n 0and 24 recognisitrg exlE planning oxpendilure

Depadment of lnfraslruclur€, Planning and Nalural Resources.1001.0

AwendixC-Page7

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APPENDIX CLOCAL GOVERT'IMENT GRANTS COMMISSIONDETAILS OF DISABILITY FACTORS _ 20IG15

Age Sttucturc (s-29 yea$)

Weiqhtingr

Weighling:

Weightingi

Dup catlon ol Pbylng Flelds

Duplication of Pools

Weighting:

addiiionalneed lortaciliues due lo a high proponon of popu aiion in ihe sporl,playing

propodion oI the populalion in lhe 5'29 years age grcup.ABS, Populalion by Ageand Sex ' 30 Jlne 201232.74y,1.0

cost of additional lacililies associated with beaches, principally lifesaversscorc based on Commission assessmenl.Ofiice of Local Govehment, SpecaiScheduie 1.2012-13.1001.0

additionalcosls in waloring on low ralnfallareas and thecoslof mowing in high

(a) low lainlall-ihe difisrcnce between the council's annualaverage rainfall(mm)and NSW highesl lainfall(1898 mm): and

(b) high rainlall councils wilh rainfallabove 1330 mm rcceive 5ol, disabilily.Bureau of Meteorology, Rainlall Slalislics, Auslralia, 1977 (minimum 30 yearc of

a) 898 b) 0a) 0.277 b)N/A

addilioflal costs rclated lo the provislo. oifacilities for ona{ff day visiiors.index in the range 100-105 delei/n ned bythe Gmnls Commission.Desliflalion NSW LGA visilor prcfies and Granls Commission.1001.0

additional cosis relaled io ihe p.ovision offacililies in a numb€r of ceol.ss of less ihanoolimum pooulaijon size.index based on lhe percapitaarea ot playing fields lhat should be povided lakingeach urban cente above 200 populalaotr in lum. based on R€search Sludy 1. SydneyRegion Open Spac€ Survey, NSW Planning and Environment Commission. 1975.ABS, ?001 Census, c€nsus counls lor smallareas11120.460

additronal costs rclated lo lhe provision offacilities in a number ofcenlres of less lhanoptimum populalion sizenumber ofpoolcomplex€s op€rated by council multiplied by lhe slandard nei loss perpool divided by populalion.GrantsCommission relum, 2012-13t Offi€€of LocalGovemment,Spocial Schodule1,2012-13; ABS, Regional Populalion GrcMh. Auslralia, 20'1213.11.330m

AppendixC-PaqoB

B23

LOCAL GOVERNMENT GRANTS COMMISSIONDETAILS OF DISABILITY FACTORS - 20I4.15

Non-Resi.lent Use - Recrcanon

Slandard:

Non-Urban Measu.e

Popul.tlon Disdbulon

Slanda.dl

Slandard:

costs ol add tonalservrces required in regionaland louistcent.esindex generaly rn range 100-125 delemrned by the Comm ssion based on a

1001.0

cosl advanlages ofcouncils whose residents have the opponunity to use facilities

bylhe Commrssron based on a samplins oIprovided ifl adjacenl cenl.esindex in a rcnge 80'100 detemrnedcouncils (negalives a/e calculated).

1001.0

cosl ofslaffilaveland duplication of seNicesas iorAdmf siralionABS, Census 2011, census counts forsmallarcas.2.430.003

addiiional maintenanc€ cosls associaied with tidal rock pools.numbe.ol roculidalpools operated by the councils muh pted by the stand net tossper pooldlv ded by population.Granls Comm ssion relum, 2012-13; ABS, R€gional Pop! at on croMh, AuslEtia,2012 13.1.210 005

Flood Prone Wbtn BulL ngs

Weighling:

Slandard:

need for expe.diture is propodionalio the numberofllood pron€ buildings.based on lhe n!mberofllood prone urban buildings subject io mainst.eam ftooding{1 in 1 00 yearc) as a prcpodioi ol lhe toial urban p rop6dies.GEnts Commission rclum. 2012-13.1.0181

mainienance of levee banksmelres of levee banks per u6an prcpedyGlanis Commission rclum. 2012r3.0.2u0.01

AppendixC-Paleg

B24

APPENDIX CLOCAL GOVERNIVIENT GRANTS COIiIMISSIONDETAILS OF DISABILITY FACTORS _ 2014"15

S tot mwater D ra i n a ge I n.lex

var alion in cosl oi €onsltucl on and maintenance relaled lo a numberoi varbblescons,dered to be most s gn lcantindex prov,ded by consullanls alterstudying rarnlall urban and!seand mperyiousaea ground slope assocEted conslruclion cosls sorl and geology, and lhe age oflhe slormwaler syslemStormwaler dra,nage return 19871010

Non-ResidentialUrban

increased amounls ol lflercollecled lrom commercialareasproportion or urban prcperlies classiried as "business" The measure excludes non,melropolilan councrlsOfi ce of LomlGovernmenl Etngretum 2012'136.72yr0 5 (maximum OF of 20)

addilionalmainl€nance cosls oi lacillies in densely populated areaspopulation divided by the lolal area of LGA in square kilometresABS, Regional Populalon Grcwth, Australia,2012r31.2500 2 (maximum DF or20)

Net Expenditute: Street Llghlng

addiiona expendilure largely beyond the contrclol ind vidualco!ncls.adjlsted net expendlture per urban propeary averaged over4 years.Office of Local Gove.nment Elino retu.n, 2012-131 Office of Local Governrn€nl,Speclal Schedule 1, 2008-09 - 2012.13i NSW Roads and Marilime Servrces. iraflicroure lighi subsidy scheme, 2012-1310010

Slandad:W€ighl.g:

So!rce:Slandard:Weighl ng:

increased cosls n areas of high we€d .feslauon.Noxious Planl Advsory Boad indexand ihe Grants CommissionDeparlrnenl oi Agiculiure

addilional cosls related

disabilily facloE based''hi v .

CSIRO

loaccess and @nst€ints on lsing machinery in inounl.ainous

on the proportion oico!ncil arcasclassiflsd"mounlainous"or

Appendix C - Page 10

B25

APPENDIX D

LOCAL GOVERNMENT GRANTS COMMISSIONGUIDELINES FOR SPECIAL SUBMISSIONS IN RELATION TO THE 2014.15 GRANTS

1. GENERAL

All submissions must be consistent with the principles which have been adopted bythe Commission. The principles are attached in Table 1.

lnformation in the submissions must relate to the year ended 30 June 2014, in orderto be compatible with the Grants Commission's Return of General lnformation forthat year.

Only recunent costs should be included; capital costs are to be excluded.

Submissions should be based only on inherent disabilities and problems, which areoutside the Council's control. Additional costs that result from deliberate policydecisions made by council to provide a higher than ave.age standard ofservice are not considered disabilities.

lnformation provided on disabilities should be brief and the costing estimates of thedisabilities should be as accurate as is practicable to determine.

It is expected that submissions will generally relate to expenditure disabilities.

lf you have further question, then please contact:Bruce Wright on (02) 4428 4132 or by email at bruce.wright@dlg.nsw.gov.au

Submissions should be e-mailed to the Commission at grants@dlg.nsw.gov.au assoon as possible, but no later than 30 November 2014.

2. EXPENDITUREDISABILITIES

(a) Content

Details of the Commission's expenditure calculations for the council area areenclosed (See Appendix A). This information should be used in assessing whetherto make a submission on expenditure disabilities; that is, in assessing whether theparticular disabilities of council's area are already recognised in the formula. lfcouncil believes that disabilities other ihan those currently identified by theformula have an impact on the cost of providing services, then this should besubslantiated in the submission.

Similarly, if council believes that the impact of any disability already identified by theCommission is greater than indicated, then the c€se should be argued in thesubmission.

It should be noted that water, sewerage and wasle management services are notconsidered.

AppendixD-Pagel

B26

APPENDIX D

LOCAL GOVERNMENT GRANTS COMMISSIONGUIOELINES FOR SPECIAL SUBMISSIONS IN RELATION TO THE 2014-15 GRANTS

(b) Required Format

Table 2 shows the REQUIRED FORMAT for submissions on expendituredisabilities. Submissions should be brief and include:

(1) the function affected (using the Commission's functional heading);

(2) a brief description of the disability;

(3) a brief account of the action taken, or which would need lo be taken, todeal with that disability;

(4) the estimated additional cost impact of that action.

Where a disability factor affects costs across a number of council functions, separatedetails should be used showing the cost impact in each function area.

(c) Outcome

Where the Commission recognises an additional disability raised in a submission,which is particular to one or a small number of councils, their disability factors for thatfunction will be adjusted in the "other" category.

Where an additional disability is recognised which has an impact on a number ofcouncils, the methodology will be adjusted and all councils will be affected accordingto the extent of the relevant disability.

3. REVENUEDISABILITIES

While the approved principles generally bind the Commission's operation in thisarea, councils may wish to comment on the current methodology if it is consideredthat these unfairly disadvantage them.

It should be noled that non-raleable properties are tiaken into consideration in theCommission's calculation automatically. The loss of revenue from non-rateableproperties does not need to be specilied in the submission. However, additional netcosts associated with services to non-rateable properties may be raised as anexpenditure disability.

AppendixD-Page2

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APPENDIX DLOCAL GOVERNMENT GRANTS COMMISSION

GUIDELINES FOR SPECIAL SUBMISSIONS IN RELATION TO THE 20I4.15 GRANTS

TABLE 1

APPROVED PRINCIPLES

general purpose grants to local governing bodies will be allocated as far aspracticable on a full equalisation basis as defined in lhe Local Government(Financial Assistance) Act 1995: thal is a basis which attempts to compensatelocal governing bodies for differences in expenditure required in the performanceof their functions and in their capacity to raise revenue.

the assessment of revenue and expenditure allowances of local governingbodies will, as far as is practicable, be independent of the policy or practices ofthose bodies in raising revenue and the provision of services.

2.

4.

5.

7.

1.

3. revenue raising capacity will primarily be determined on the basis of propertyvaluesl positive and negative allowances relative to average standards may becalculated.

revenue allowances may be discounted to achieve equilibrium with expenditureallowances.

generally for each expenditure function an allowance will be determined usingrecurrent cost; both positive and negative allowances relative to averagestandards may be calculated.

expenditure allowances will be discounted to take account of specific purposegrants.

additional costs associated with non-resident use of services and facilities will berecognised in determining expenditure allowances.

AppendixD-Page3

B28

APPENDIX D

LOCAL GOVERNMENT GRANTS COMMISSIOI'IGUIDELINES FOR SPECIAL SUBIIISSIONS IN RELATION TO THE 2014.15 GRANTS

TABLE 2

REQUIRED FORMAT FOR SUBMISSIONS ON

EXPENDITURE DISABILITIES

EXAMPLE:

Function:

Planning and Building Services

DBability:

Land Slip

Description and Response:

A proportion of the council area is subject to land slip. This causes additionalwork in the processing of development applications (DAs), estimated lo be an

addilional 3 hours per application.

Cost lmpact:

450 DAs from potential land slip areas were processed in 2013-14.

The additional cost is estimated as:-

450 applications x 3 hours/applic€tion x $4o/hour = $54,000

ApryndixD-Page4

B29