Shire of Roebourne Asset Management Strategy and Plans...rather than for use in the production or supply of goods or services or for administrative purposes; or sale in the ordinary

Shire of Roebourne

Asset Management Strategy and Plans

Contents

[2] Shire of Roebourne Asset Management Strategy and Plans

Contents Contents ........................................................... 2Glossary ........................................................... 3Abbreviations .................................................... 6

SECTION ONE: ................................................ 7Message from the Chief Executive Officer ....... 7Our Vision ........................................................ 8Our Mission ..................................................... 8Our Values ........................................................ 8How Our Values Were Developed .................... 8

SECTION TWO ................................................ 9Our Shire .......................................................... 9Governance .....................................................11The Councillors............................................... 12The Council .................................................... 12Chief Executive Officer ................................... 12Executive Management Team ........................ 13Council Meetings ............................................ 13Further Information ......................................... 13Our Services for the Community .................... 15

SECTION THREE .......................................... 18Integrated Strategic Planning ......................... 18Our Integrated Strategic Planning Approach .. 20Reporting ........................................................ 21How we measure our progress....................... 23Asset Management Key Performance Indicators .................................. 24How To Read The Plan ................................... 25Asset Management Framework...................... 26

SECTION FOUR ............................................ 27Asset Management Policy .............................. 27Objectives ....................................................... 27Policy Outcomes............................................. 27Custodianship ................................................. 27Summary of Council Responsibilities ............. 28Disposal Policy ............................................... 28Evaluation ....................................................... 28Review of Policy ............................................. 28

SECTION FIVE ............................................... 29Asset Management Strategy ......................... 29Introduction ..................................................... 29

SECTION SIX ................................................. 30Asset Management Plans............................... 30Levels of Service ............................................ 30Demand Management .................................... 32Demand Forecast – Action Plan Recommendation ........................ 35Life Cycle Management .................................. 35Financial Information ...................................... 43Asset Management Practices ......................... 53Improvement Plan .......................................... 55

SECTION SEVEN ......................................... 57Asset Management Plan - Airport ................... 57Introduction ..................................................... 57Levels of Service ............................................ 59Future Demand............................................... 61Life Cycle Management .................................. 64Governance and Asset Management Practices ................................... 67Key Assumptions ............................................ 67Improvement Plan .......................................... 67

SECTION EIGHT ............................................ 68Asset Management Plan - Waste and Water Recycling ........................................................ 68Introduction ..................................................... 68Levels of Service ............................................ 70Future Demand............................................... 74Life Cycle Management .................................. 75Governance and Asset Management Practices .78Key Assumptions ............................................ 78Improvement Plan .......................................... 78

SECTION NINE .............................................. 79Transport and Drainage .................................. 79Introduction ..................................................... 79Levels of Service ............................................ 81Future Demand............................................... 83Life Cycle Management .................................. 86

Governance and Asset Management Practices ................................... 89Key Assumptions ............................................ 89Improvement Plan .......................................... 89

SECTION TEN ............................................... 90Buildings and Community Facilities ................ 90Introduction ..................................................... 90Levels of Service ............................................ 95Future Demand............................................... 99Life Cycle Management ................................ 100Governance and Asset Management Practices ................................. 107Key Assumptions .......................................... 107Improvement Plan ........................................ 107

SECTION ELEVEN ...................................... 108Parks, Gardens and Open Spaces ............... 108Introduction ................................................... 108Levels of Service ...........................................110Future Demand..............................................110Life Cycle Management .................................111Governance and Asset Management Practices ..................................114Key Assumptions ...........................................114Improvement Plan .........................................114

SECTION TWELVE .......................................115Equipment, Including Information Technology .115Introduction ....................................................115Levels of Service ...........................................116Future Demand..............................................117Life Cycle Management .................................118Governance and Asset Management Practices ................................. 120

SECTION THIRTEEN ................................... 121Fleet and Small Plant ................................... 121References ................................................... 122Appendix A: Insurance Policies .................... 123Appendix B: Legislative Requirements ......... 125Appendix C: Review of Corporate Planning Software ........................................ 126Further Information ....................................... 127

Glossary

Shire of Roebourne Asset Management Strategy and Plans [3]

Term Definition

Annual service cost (ASC) An estimate of the cost that would be tendered, per annum, if tenders were called for the supply of a service to a performance specification for a fixed term. The Annual Service Cost includes operating, maintenance, depreciation, finance/opportunity and disposal costs, less revenue.

Asset class Grouping of assets of a similar nature and use in an entity’s operations (AASB 166.37).

Asset condition assessment

The process of continuous or periodic inspection, assessment, measurement and interpretation of the resultant data to indicate the condition of a specific asset so as to determine the need for some preventative or remedial action.

Asset management The combination of management, financial, economic, engineering and other practices applied to physical assets with the objective of providing the required Level of Service in the most cost effective manner.

Assets Property, plant and equipment including infrastructure and other assets (such as furniture and fittings) with benefits expected to last more than 12 month.

Average annual asset consumption (AAAC)

The amount of a local government’s asset base consumed during a year. This may be calculated by dividing the Depreciable Amount (DA) by the Useful Life and totalled for each and every asset OR by dividing the Fair Value (Depreciated Replacement Cost) by the Remaining Life and totalled for each and every asset in an asset category or class.

Brownfield asset values** Asset (re)valuation values based on the cost to replace the asset including demolition and restoration costs.

Capital expansion expenditure

Expenditure that extends an existing asset, at the same standard as is currently enjoyed by residents, to a new group of users. It is discretional expenditure, which increases future operating, and maintenance costs, because it increases council’s asset base. The expenditure may be associated with additional revenue from the new user group.

Capital expenditure Relatively large (material) expenditure, which has benefits, expected to last for more than 12 months. Capital expenditure includes renewal, expansion and upgrade. Where capital projects involve a combination of renewal, expansion and/or upgrade expenditures, the total project cost needs to be allocated accordingly.

Capital funding Funding available to pay for capital expenditure.

Capital grants Monies received generally tied to the specific projects for which they are granted, which are often upgrade and/or expansion or new investment proposals.

Capital new expenditure Capital expenditure that creates a new asset providing a new service to the community that did not exist beforehand. As it increases service potential it may impact revenue and will increase future operating and maintenance expenditure.

Capital renewal expenditure

Capital expenditure on an existing asset that returns the service potential or the life of the asset, up to, that which it had originally. It is periodically required expenditure, relatively large (material) in value compared with the value of the components of the asset being renewed. As it reinstates existing service potential, it has no impact on revenue, but may reduce future operating and maintenance expenditure if completed at the optimum time. Where capital projects involve a combination of renewal, expansion and/or upgrade expenditures, the total project costs needs to be allocated accordingly.

Capital upgrade expenditure

Expenditure, which enhances an existing asset to provide a higher level of service, and expenditure that will increase the life of the asset beyond that which it had originally. Upgrade expenditure is discretional and often does not result in additional revenue unless direct user charges apply. It will increase operating and maintenance expenditure in the future because of the increase in the council’s asset base. Where capital projects involve a combination of renewal, expansion and/or upgrade expenditures, the total project costs needs to be allocated accordingly.

Carrying amount The amount at which an asset is recognised after deducting any accumulated depreciation / amortisation and accumulated impairment losses thereon.

Component An individual part of an asset which contributes to the composition of the whole and can be separated from or attached to an asset or a system.

Cost of an asset The amount of cash or cash equivalents paid or the fair value of the consideration given to acquire an asset at the time of its acquisition or construction, plus any costs necessary to place the asset into service. This includes one-off design and project management costs.

GlossaryTerm Definition

Glossary


Current replacement cost (CRC)

The cost the entity would incur to acquire the asset on the reporting date. The cost is measured by reference to the lowest cost at which the gross future economic benefits could be obtained in the normal course of business or the minimum it would cost to replace the existing asset with a technologically modern equivalent new asset (not a second hand one) with the same economic benefits (gross service potential) allowing for any differences in the quantity and quality of output and in operating costs.

Current replacement cost “As New” (CRC)

The current cost of replacing the original service potential of an existing asset, with a similar modern equivalent asset, i.e. the total cost of replacing an existing asset with an as new or similar asset expressed in current dollar values.

Cyclic maintenance Replacement of components/sub-components of assets that is undertaken on a regular cycle including repainting, building roof replacement, replacement of air conditioning equipment, etc. This work generally falls below the capital threshold and needs to be identified in a specific maintenance budget allocation.

Depreciable amount The cost of an asset, or other amount substituted for its cost, less its residual value (AASB 116.6)

Depreciated replacement cost (DRC)

The current replacement cost (CRC) of an asset less, where applicable, accumulated depreciation calculated on the basis of such cost to reflect the already consumed or expired future economic benefits of the asset.

Depreciation / amortisation

The systematic allocation of the depreciable amount (service potential) of an asset over its useful life.

Expenditure The spending of money on goods and services. Expenditure includes recurrent and capital.

Fair value The amount for which an asset could be exchanged, or a liability settled, between knowledgeable, willing parties, in an arm’s length transaction.

Greenfield asset values** Asset (re)valuation values based on the cost to initially acquire the asset.

Heritage asset An asset with historic, artistic, scientific, technological, geographical or environmental qualities that is held and maintained principally for its contribution to knowledge and culture and this purpose is central to the objectives of the entity holding it.

Impairment loss The amount by which the carrying amount of an asset exceeds its recoverable amount.

Infrastructure assets Physical assets of the entity or of another entity that contribute to meeting the public’s need for access to major economic and social facilities and services, e.g. roads, drainage, footpaths and shared paths. These are typically large, interconnected networks or portfolios of composite assets. The components of these assets may be separately maintained, renewed or replaced individually so that the required level and standard of service from the network of assets is continuously sustained. Generally the components and hence the assets have long lives. They are fixed in place and often have no market value.

Investment property Property held to earn rentals or for capital appreciation or both, rather than for use in the production or supply of goods or services or for administrative purposes; or sale in the ordinary course of business (AASB 140.5).

Level of service The defined service quality for a particular service against which service performance may be measured. Service levels usually relate to quality, quantity, reliability, responsiveness, environmental, acceptability and cost.

Life cycle cost** The Life Cycle Cost (LCC) is average cost to provide the service over the longest asset life cycle. It comprises annual maintenance and asset consumption expense, represented by depreciation expense. The LCC does not indicate the funds required to provide the service in a particular year.

Life cycle expenditure** The Life Cycle Expenditure (LCE) is the actual or planned annual maintenance and capital renewal expenditure incurred in providing the service in a particular year. LCC may be compared to LCE to give an initial indicator of life cycle sustainability in service provision.

Loans / borrowings Loans result in funds being received which are then repaid over a period of time with interest (an additional cost). Their primary benefit is in ‘spreading the burden’ of capital expenditure over time. Although loans enable works to be completed sooner, they are only ultimately cost effective where the capital works funded (generally renewals) result in operating and maintenance cost savings, which are greater than the cost of the loan (interest and charges).

Term Definition Term Definition

Glossary


Maintenance and renewal gap

Difference between estimated budgets and projected expenditures for maintenance and renewal of assets, totalled over a defined time (e.g. 5, 10 and 15 years).

Maintenance and renewal sustainability index

Ratio of estimated budget to projected expenditure for maintenance and renewal of assets over a defined time (e.g. 5, 10 and 15 years).

Maintenance expenditure Recurrent expenditure, which is periodically or regularly required as part of the anticipated schedule of works required to ensure that the asset achieves its useful life and provides the required Level of Service. It is expenditure, which is anticipated in determining the asset’s useful life.

Materiality An item is material if its omission or misstatement could influence the economic decisions of users taken on the basis of the financial report. Materiality depends on the size and nature of the omission or misstatement judged in the surrounding circumstances.

Modern equivalent asset A structure similar to an existing structure and having the equivalent productive capacity, which could be built using modern materials, techniques and design. Replacement cost is the basis used to estimate the cost of constructing a modern equivalent asset.

Non-revenue generating investments

Investments for the provision of goods and services to sustain or improve services to the community that are not expected to generate any savings or revenue to the Council, e.g. parks and playgrounds, footpaths, roads and bridges, libraries, etc.

Operating expenditure Recurrent expenditure continuously required to enable the asset to operate excluding maintenance and depreciation, e.g. electricity, water and fuel. It relates to operations and not the condition of the asset.

Pavement management system

The Pavement Management System (PMS) is a systematic process for measuring and predicting the condition of road pavements and wearing surfaces over time and recommending corrective actions.

Planned maintenance** Repair work that is identified and managed through a Maintenance Management System (MMS). MMS activities include inspection, assessing the condition against failure/breakdown criteria/experience, prioritising scheduling, actioning the work and reporting what was done to develop a maintenance history and improve maintenance and service delivery performance.

PMS score A measure of condition of a road segment determined from a Pavement Management System (PMS).

Rate of annual asset consumption*

A measure of Average Annual Asset Consumption (AAAC) expressed as a percentage of the Depreciable Amount (AAAC/DA). Depreciation may be used for AAAC.

Rate of annual asset renewal*

A measure of the rate at which assets are being renewed per annum expressed as a percentage of Depreciable Amount (capital renewal expenditure/DA).

Rate of annual asset upgrade

A measure of the rate at which assets are being upgraded and expanded per annum expressed as a percentage of Depreciable Amount (capital upgrade and expansion expenditure/DA).

Reactive maintenance Unplanned repair work that is carried out in response to service requests and management/supervisory directions.

Recoverable amount The higher of an asset’s fair value net of sales costs and its value in use.

Recurrent expenditure Relatively small (immaterial) expenditure or that which has benefits expected to last less than 12 months. Recurrent expenditure includes operating and maintenance expenditure.

Recurrent funding Funding to pay for recurrent expenditure.

Remaining life The time remaining until an asset ceases to provide the required service level or economic usefulness. Age plus remaining life is economic life.

Residual value The net amount which an entity expects to obtain for an asset at the end of its useful life after deducting the expected costs of disposal.

Revenue generating investments

Investments for the provision of goods and services to sustain or improve services to the community that are expected to generate some savings or revenue to offset operating costs, e.g. public halls and theatres, childcare centres, sporting and recreation facilities, etc.

Risk Management The application of a formal process to the range of possible values relating to key factors associated with a risk in order to determine the resultant ranges of outcomes and their probability of occurrence.

Section or segment A self-contained part or piece of an infrastructure asset.

Term DefinitionTerm Definition

Glossary


Service potential The capacity to provide goods and services in accordance with the entity’s objectives, whether those objectives are for the generation of net cash inflows or the provision of goods and services of a particular volume and quantity to the beneficiaries thereof.

Service potential remaining*

A measure of the remaining life of assets expressed as a percentage of economic life. It is also a measure of the percentage of the asset’s potential to provide services that are still available for use in providing services (DRC/DA).

Sub-component Smaller individual parts that make up a component part.

Useful life Either:• the period over which an asset is expected to be available for use by an entity; or• the number of production or similar units expected to be obtained from the asset by the entity.It is estimated or expected time between placing the asset into service and removing it from service, or the estimated period of time over which the future economic benefits embodied in a depreciable asset, are expected to be consumed by the council. It is the same as the economic life.

Value in use The present value of estimated future cash flows expected to arise from the continuing use of an asset and from its disposal at the end of its useful life. It is deemed to be depreciated replacement cost (DRC) for those assets whose future economic benefits are not primarily dependent on the asset’s ability to generate new cash flows, where if deprived of the asset its future economic benefits would be replaced.

IIMM International Infrastructure Management Manual

ASC Annual service cost

AAAC Average annual asset consumption

CRC Current replacement cost

DRC Depreciated replacement cost

LCC Life cycle cost

LCE Life cycle expenditure

MMS Maintenance management system

PMS Pavement management system

AbbreviationsTerm Definition

Source: DVC 2006 GlossaryNote: Itemsshow*modifiedtouseDAinsteadofCRC Additionalglossaryitemsshown**

Section One


SECTION ONE:Message from the Chief Executive Officer

I am pleased to present the Shire of Roebourne’s first ever Asset Management Plan – a key planning document that will help inform the Shire’s Integrated Strategic Plan process. Our assets are central to the delivery of services to our community and this plan seeks to ensure we meet the service expectations of a growing region into the future. With a projected population of 30,000 permanent residents by 2020, it is imperative that we have the assets we need to service a larger population. This plan will

be central to the operations of the Shire, as it predicts the service needs of the community in the long term, and the capability of our assets to meet those needs. The focus of this plan is to ensure we have the assets in place to deliver a high standard of service to our community in a way that is sustainable.

Chief Executive Officer

Section One


Our Vision A cohesive and vibrant community, celebrating diversity and working together to create a sense of place and a sustainable future.

Our Mission To provide community leadership and excellent local government services in an innovative and efficient manner to enhance our Shire’s social, cultural, economic and environmental well being.

Our ValuesLeadership: We will provide clear direction and inspire people to achieve their full potential.

Teamwork: We will encourage co-operation and teamwork within and between our employees andour community stakeholder.

Integrity: To act in an honest, professional, accountable and transparent manner.

Innovation: We will encourage creativity, innovation and initiative to achieve Council’s vision.

How Our Values Were DevelopedA number of workshops and sessions were conducted across the organisation with the objective of taking a long, hard look at where we want to be. As a group all staff worked on areas of improvement and developed these values. Staff Surveys were also conducted and 162 staff members participated in the survey. In addition to the survey a full day ’curiosity session’ based on the Staff Survey was also conducted as part of taking onboard the values identified by the staff.

Section Two


Karratha

Karratha is the largest town in the Shire of Roebourne comprising the suburbs of Bulgarra, Pegs Creek, Millars Well, Nickol, Nickol West, Baynton, Baynton West and Tambrey. It is the main service centre in the West Pilbara. It has a current population of close to 17,000 and has an aspirational target of 50,000 via the Karratha City of the North Plan. It has a range of services and facilities including a regional hospital, airport, major shopping centre, sports facilities, TAFE/high school campus, aquatic centre and key government agencies. The Karratha Industrial Estate (KIE), immediately south of the main township has about 640ha of zoned industrial land, of which a third is undeveloped. Civil works have commenced on a new industrial area, Gap Ridge Industrial Estate comprising 114 lots which is being project managed by LandCorp.

Dampier

Dampier is 21 kilometres North West of Karratha with a population of around 1,400 people. It is surrounded by major industry activities with some 11,000ha of industrial land, the Woodside operated North West Shelf Venture gas refinement plant and Australia’s second highest volume port. Dampier is home to the King Bay Supply Base which provides important support to the offshore oil and gas industry. It is also an access point for many of the Shire’s natural and cultural attractions including the Dampier Archipelago, Montebello Islands and the Burrup Rock Art. There is a hotel/motel, some limited shopping, restaurants and recreation facilities. Long term visioning has identified the potential to establish a marina and waterfront commercial strip.

SECTION TWOOur Shire The Shire of Roebourne is approximately 15,882 km2 in area surrounded by the Town of Port Hedland and Shire of Ashburton to the east and south.

Section Two


Roebourne

In 1866 Roebourne was founded on the banks of the Harding River as an administrative and service centre for the emerging pastoral industry. While it has not grown as fast as other towns in the Shire, it has a strong heritage flavour with a range of tourism attractions and community amenities. With a current population of 1400, predominantly indigenous, it is one of the smaller towns within the Pilbara, but with revitalisation plans being developed and the growth of nature and cultural tourism it has significant potential.

Wickham

Wickham is 13km north of Roebourne. It was established in the 1970s to house workers in the expanding iron ore industry and nearby port Cape Lambert. There are currently 1,900 people residing in the township and they are serviced by a sports field, medical facilities and a medium sized retail centre. Most buildings and facilities are owned by Rio Tinto who have recently entered into discussions with state government agencies and the Shire about future growth plans. Recent expansion plans for production out of Cape Lambert all go well for improvements to accommodation and recreational facilities within the Town.

Point Samson

Point Samson is a small coastal community 19km north of Roebourne with a population of less than 300. It was originally founded as a port for the region and played an important role in the development of the Shire. It is a popular day trip and tourism location with boutique accommodation, restaurants, caravan parks, camping facilities and ample fishing and swimming spots. There is a small marina and boat launch facilities.

Cossack

Cossack is a small settlement between Point Samson and Wickham. Established in 1872 it was the first port in the area, though the town itself failed to flourish. Today, several National Trust heritage buildings exist, including an art gallery and craft centre. While the town currently serves as a tourist destination, plans are in place to re-create it as a small lifestyle community. The Cossack Art Awards are now respected internationally and recognised throughout the nation as the most isolated acquisitive art exhibition in the world

Section Two


Governance

Shire President (centerright)Cr Fiona White-HartigPoint Samson WardCossack WardWickham Ward [email protected]

Deputy Shire president (centerleft)Cr Peter LongKarratha [email protected]

Councillors

Karratha Ward

Cr Nicole [email protected] Janine [email protected] Margaret [email protected] Evette [email protected] Jo [email protected]

Dampier Ward

Cr John [email protected] Sharon [email protected]

Wickham / Point Samson / Cossack Ward

Cr Michael [email protected] Roebourne / Pastoral WardCr Garry [email protected]

Cnr.MichaelSaylorabsent

Section Two


The Councillors, the Chief Executive Officer (CEO), the Executive Management Team (EMT) and the staff through a combined effort are responsible for successfully leading and managing the Shire of Roebourne. The organisation feels accountable to its community and publishes the performance reports either quarterly or annually through an annual report for review by its community.

The CouncilThe Shire President and the ten Councillors drive the strategic direction of the Shire and ensure the needs of its residents are met. They plan the way forward and are accountable for delivering what the community has identified as necessary for its economic, social, environmental and cultural well being. The figurehead of the Council is a Shire President elected from within the Council who provides leadership and guidance to the community.

Chief Executive OfficerChief Executive Officer is employed by the Council to carry out the functions of the local government. The CEO employs an administrative support team to deliver the services and carry out the directions of the Council. The CEO has four (4) directorates to oversee the functions of the local government and these are managed by an executive team. These directorates are identified as: Executive Services, Community and Corporate Services, Development, Regulatory and Infrastructure Services and Strategic Projects and Business

The Councillors The Shire of Roebourne residents and ratepayers are represented by the eleven-member Shire of Roebourne Council. The distribution is based on a balanced elector representation formula. Elections are conducted every two years in the month of October. Half the number of councillors for each ward is up for election each term. A full term for a council member is four years. Details about the councillors and how they can be approached is given on the preceding page.

Section Two


Executive Management TeamThe Executive Management Team comprises the Chief Executive Officer responsible for Directorate Executive Services and the three Directors namely Director Community and Corporate Services, Director Strategic Projects and Business and Director Development Regulatory and Infrastructure.

Council MeetingsOrdinary meetings of the council are held primarily at the Council Chambers in Karratha and as well as other areas of the Shire including Wickham, Point Samson, Roebourne and Dampier. These meetings are held every third Monday of the month commencing at 6.30pm. Members of the public can attend the council meetings and can ask questions on specific issues of concern.

Further InformationThe Council Agendas and Minutes are published every month and are available on the Council’s website for public view at www.roebourne.wa.gov.au.

Section Two


COUNCIL

CHIEF EXECUTIVE OFFICER

Development, Regulatory & Intrastructure Directorate

Planning Services

Environmental Health Services

Building Services

Ranger Services

Community Safety and Crime Prevention

Works and Technical Services

Plant and Depot Services

Asset Management

Building Maintenance

Waste Services

Airport Services

Strategic Projects

Financial Services

Community Services

Human Resources

Corporate Compliance

Emergency Management

Communications &Public Affairs

Strategic Projects and Business Directorate

Community & Corporate Services Directorate

Executive Services

Community Facilities

Information and Communications Technology Services

Section Two


Our Services for the Community

The Shire offers a number of core services necessary to provide support and infrastructure to our communities. A summary of these services provided by each directorate is given below:Over 240 (FTE) staff are employed by the Shire of Roebourne in varying capacities to deliver services across the Shire. Resources through the provision of materials, plant and equipment, land and buildings are provided to enable the functions of the local government to be carried out.

Executive Services

Corporate Compliance is the internal audit and governance arm of Council. This ensures integrity of Council’s decision making process and legal responsibilities whilst also ensuring that sound and best practice structures are in place to meet community obligations and goals.

Customer Services is the initial point of contact for the Shire of Roebourne. Community members, ratepayers and others contact the Shire in a number of ways including over the counter, telephone, email, and the call centre after hours service. Customer Services have extensive interaction with members of the community and as such they are the conduit between the community and different parts of the organisation. This includes the provision of product and service information provided by the Shire.

Records Management governs the practice of records managers and any Shire employee who creates or uses records in the course of Council business. The Shire must meet its ongoing statutory obligations with regards to recordkeeping in accordance with the State Records Act 2000.

Human Resources provides a support and advisory service for the organisation’s employees. It provides a strategic and integrated approach to the management of employees, who individually and collectively contribute to the success of Council’s goals and objectives.

Public Affairs create a strong organisational voice to ensure our community is involved, informed and aware. Through the use of a coordinated program of communication activities, the Shire communicates about its vision for the region, its strategic objectives, and how it is utilising its resources for the benefit of the community.

Community & Corporate Services

Community Facilities provides quality infrastructure to ensure that residents have the opportunity to access experiences which improve their quality of life.

Community Services builds capacity, capability and partnerships across the community whilst simultaneously enabling cost efficient, relevant and responsive services to be provided to the community.

DIRECTORATE SERVICE UNITS

Section Two


Development, Regulatory and Infrastructure Services

Planning Services The Planning Services section deals with the Strategic Planning and Statutory Planning activities. Strategic Planning Services is responsible for directing the spatial and location land use and development of the land resource in a way that enables people and communities, now and in the future, to provide for their social, economic and cultural well being and safety. Statutory Planning Services administers the regulatory town planning functions that Council is responsible for pursuant to relevant State legislation. This function is achieved primarily through the assessment of various applications for development approval including planning applications, Residential Design Codes of Western Australia variations, subdivision and strata title referrals, built strata applications, responding to customer enquiries, development plan assessment, undertaking compliance and enforcement action for illegal development and advising and making recommendations to Council on statutory planning matters. Additionally Planning Services is also responsible for providing Council members, staff and the general public with specific advice on all matters related to Community Compliance.

Environmental Health Environmental Health Services administers laws which promote the health and wellbeing of both our residents and visitors to the Shire.

Community & Corporate Services(cont.)

Financial Services delivers financial support and information to internal and external customers for the purpose of making informed business and financial decisions. In addition Financial Services monitors internal cash flow requirements as well as ensuring compliance with Council’s monetary policies and procedures.

Information and Communications Technology (ICT) Services involves the management of all people, processes, and technology that cooperate to ensure the quality of all ICT services, according to the levels of service agreed with the customer (business). It is based on functions such as systems management, network management, application development and on process domains such as change management, service level management and problem management.

DIRECTORATE SERVICE UNITS DIRECTORATE SERVICE UNITS

Development, Regulatory and Infrastructure Services(cont.)

Building Services Building Services administers laws, codes and standards that ensure minimum standards of construction are observed. Council is charged by statute to undertake this role. This function is achieved by, the checking and assessing of applications for permits; undertaking building inspections at various stages of construction; providing certification services as required. To achieve the goal of nationally consistent, minimum necessary standards of relevant safety (including structural safety and safety from fire) health, amenity and sustainability objectives efficiently.

Ranger Services Ranger Services ensure a consistent approach to the interpretation and management by enforcement of the Litter Act, Dog Act, Local Government Act, other State legislation and Local Laws in accordance with Council policy to ensure the protection of amenity for residents, workers and visitors to the Shire.

Community Safety and Crime Prevention Council acknowledges that matters of law and order cannot be wholly the responsibility of WA Police and other State agencies, and that the community and Local Government can take a complementary and assisting role within defined constraints to help make the Shire of Roebourne a safer place for the community to live work and recreate.

Works and Technical Services The primary role of Works and Technical Services is to construct and maintain all infrastructure to required standards enabling safe usage of roads, pedestrian access, boating facilities, parks, recreation facilities and all other infrastructure utilised by the community.

Plant & Depot Services Having preventative maintenance programs for plant and sound inventory management processes ensures a cost effective delivery of goods/services and plant are readily available for the relevant departments utilisation in the maintenance of Council’s facilities for the community to enjoy.

Asset Management encompasses the various actions that the Shire undertakes to ensure that its infrastructure and assets are efficiently planned, delivered, managed, reviewed, renewed and disposed of in a cost effective, sustainable manner.

The Building Maintenance program coordinates maintenance and refurbishment works and cleaning services to Council’s extensive building asset portfolio. These assets predominantly comprise community and public facilities and staff housing located throughout the district.

Section Two


DIRECTORATE SERVICE UNITS

Strategic Projects and Business

Airport Services is responsible for the ongoing safe and efficient operation of the Karratha Airport and the Roebourne Airstrip. This comprises facility maintenance and management, operating paid car parking system and provision of services including the Tien Tsin Inne, Council’s licensed bar and café facility.

Strategic Projects is responsible for project delivery and support to the organisation in project management. In addition to project delivery the program plays an important role in providing support services with respect to contract administration, project planning, with Strategic Projects also administering the organisation’s project initiation and implementation guidelines and strategic project funding.

Waste Services provides services including the collection of residential and commercial refuse, waste disposal, operation of waste facilities within the Shire of Roebourne, recycling, and litter control.

Section Three


SECTION THREEIntegrated Strategic Planning

All local governments in Western Australia are required to plan for the future under Section 5.56(1) of the Local Government Act 1995. The regulations that govern the integrated strategic planning framework now require all local governments in Western Australia to develop and adopt two key documents by 30 June 2013, a Strategic Community Plan, driven by a robust Community Engagement Strategy, and a Corporate Business Plan. The Department of Local Government has also provided an Integrated Planning and Reporting Framework to assist local governments in meeting their strategic planning responsibilities, which includes establishment of a successful integrated strategic planning process. The Strategic Planning Framework outlines the method to achieve a sustainable local government through adopting a holistic approach to planning and reporting. It involves improving integration of various statutory planning and reporting processes undertaken by the local government through streamlining business and reporting processes with the involvement of the community.

Integrated Strategic Planning Framework Key Elements

The Integrated Strategic Planning Framework consists of the following elements:1. Strategic Community Plan - 10 year plan2. Corporate Business Plan – 4 to 5 year

plan, reviewed annually through an Operational Plan

3. Annual Budget also termed as Operational Plan - 1 year plan, reviewed annually

4. Informing Strategies – including Financial Management, Asset Management and Workforce Planning

What is Asset Management?

Asset Management is the systematic process of effectively planning for, maintaining, upgrading and operating assets, combining engineering principles with sound business practice and economic rationale, and providing the tools to facilitate a more organised and flexible approach to making decisions necessary to achieve the public’s expectations.The objective of asset management is to meet a required Level of Service, in the most cost effective manner, through the management of assets for present and future customers.

Section Three


Infrastructure networks, that are resilient and provide sustainable and economic services, are critical as:

• Infrastructure assets provide the platform for economic development, to provide the distribution of services and enable economic growth;

• Infrastructure and property assets meet social and recreational needs of the community;

• Good quality infrastructure is the cornerstone of public health and safety;

• Good infrastructure supports sustainable societies, protecting the environment and managing scarce resources; and

• Infrastructure networks are interdependent and the failure of one network may have a significant impact on the community.

The benefit to both the council and community of improved asset management are:

• Strong governance and accountability of the delivery of efficient and effective services;

• More sustainable decisions through the appropriate consideration of all options and the recognition of long-term life cycle costs;

• Improved understanding of customer requirements and the alignment of the performance of assets to customer expectations; and

• Effective risk management by applying a consistent framework to prioritise and manage risk.

• Improved financial efficiency and providing for robust justification of projects, through appropriate recognition of all the costs of installing, operating and renewing the assets over their total life cycle.

Asset Management Framework

The process of infrastructure management is supported by three core frameworks:

1. The Asset Management Policy should outline the principles for undertaking asset management across the organisation in a structured and coordinated way.

2. The Asset Management Strategy should provide a high level long term objectives and action plan for managing the assets. The implementation of the Asset Management Strategy is demonstrated in the Asset Management Plans.

3. The Asset Management Plan is a long-term plan for infrastructure assets that outlines the activities for each service area or asset class, and the resources required to provide a defined Level of Service in the most cost effective way.

Section Three


Background

The Department of Local Government has provided an Integrated Planning and Reporting Framework to assist local governments in meeting their strategic planning responsibilities, which includes the establishment of a successful integrated strategic planning process. The following outcomes are expected to be realised from local government undertaking robust integrated strategic planning:• There is a long term strategic

community plan that clearly links the community’s aspirations with Council’s vision and long term strategy;

• A Corporate Business Plan that integrates resourcing plans and specific council plans with the Strategic Community Plan; and

• A clearly stated vision for the future viability of the Shire.

Our Plans and How They Link Together

Monitoring and Review

Ann

ual a

nd O

ther

Rep

orts

Asset Managem

ent Plan

Workforce Plan

Issue Specific StrategiesLong Term

Financial Plan

Strategic Community Plan

Corporate Business Plan (5 year)Operational Plans (1 year)

Annual Budget

Community Engagment

Our Integrated Strategic Planning Approach

Section Three


A graphical representation of the process is given below:

ReportingThe progress reports on the Operational Plan will be provided to the Council on a quarterly basis. The Operational Plan is the only way to review and update the five year focused Corporate Business Plan. Council will review the Corporate Business Plan each year when preparing the annual Operational Plan with the Chief Executive Officer ensuring that progress reports are provided to Council with respect to activities detailed in the Corporate Business Plan, at six monthly intervals.

Strategic CommunityPlan 2012 - 2022(Outcomes)

Corporate Business Plan 2012-2016

Operational Plan 2012-2013

Annual Budget

Our ResponseHow the Shire will achieve outcomes

(10 Year Focused Strategies)

Activities and PrioritiesWhat we will do in 5 years

(Programs - Services and Projects)

The actions then form the basis of the Operational Plan, which is supported by the Resourcing Strategy (Asset Management Plans; Long Term Financial Plan Workforce Plan)

The Strategic Community Plan contains strategies to achieve the Plan’s vision and objectives

These strategies then form the basis of the Corporate Plan which contains specific actions to achieve the strategies

Section Three


The Strategic Community Plan covers a time frame of 10 years, and incorporates the outcomes of extensive community consultation undertaken in shaping the Shire’s future.

The main components of the strategic community plan include:

Our Aspiration - our primary aspiration for the Shire over the next ten years is to grow into a collection of diverse and sustainable communities supporting a regional population of 50,000 residents, realising the State Government’s ‘Pilbara Cities’ initiative of transforming Karratha into a ‘world class City of the North’

Our Themes - involve a quadruple bottom line approach (QBL) to achieving our primary community aspiration. These

themes include ‘Our Community – Diverse and Balanced’, ‘Our Economy – Well Managed and Diversified’, ‘Our Natural and Built Environment – Thriving and Sustainable’ and ‘Our Leadership – Responsive and Accountable’ in line with community expectations.

Our Goals - describe what each theme is all about as outlined in the following table:

Our Outcomes – the ‘end result’ we would like to achieve.

Our Response - outline what Council and its partners can do towards achieving the identified outcomes. Council will assume a number of different roles at different times to achieve its primary aspiration, with those roles including being a provider, partner, funder, regulator, monitor, facilitator and advocator on behalf of the Shire of Roebourne community.

Strategic Indicators – contribute to an overall picture of council’s performance and progress towards achieving our outcomes.

Icons and Colour Codes – provide the vital linkages between the Strategic Community Plan, the Corporate Business Plan and the Operational Plan for clarity and readability. Each theme has a distinct colour and code for readability and clarity.

OUR STRATEGIC THEMES OUR GOALSOur Community – Diverse and Balanced

We will further develop and maintain the infrastructure and facilities to create aesthetically attractive and liveable towns which will develop into more diverse and balanced communities.

Our Economy – Well Managed and Diversified

We will develop infrastructure and facilities in a sustainable way to support the communities’ needs.

Our Natural and Built Environment – Thriving and Sustainable

We will strive to ensure our community lives sustainably in a thriving natural environment.

Our Leadership – Responsive and Accountable

We will provide transparent and accountable local government service delivery that meets our communities’ expectations.

Section Three


delivered within resourcing capabilities; • Addresses the full range of Council’s Service Units;

• Allocates responsibilities for each project and service within the programs;

• Includes a method of assessment to determine the effectiveness of projects and services to be delivered by each service unit ;

• Provides a list of services and projects by each Directorate.

The Resourcing Strategy includes a number of plans that outlines the shire’s capacity to sustainably deliver services and manage its assets and over the next ten years. The resourcing strategy includes three key plans – an asset management plan, a workforce plan and a long term financial plan. To prepare the resourcing strategy, the shire determines its overall capacity, and how to sustainably manage its finances, the workforce, and the overall cost of community assets.

The Annual Report provides a summary of Council’s performance and achievements each year on its journey to achieve its stated aspirations.

How we measure our progressCouncil is required to produce an annual report each year which provides a snapshot of our progress towards the achievement of our aspirations through our four main themes.

Council’s performance, in managing its budgets and delivering programs and services, is also outlined in the annual report. The indicators described below all contribute to an overall picture of Council’s performance and progress towards achieving our aspirational outcomes.

The Corporate Business Plan details the programs and services Council will undertake over a five year period to achieve the objectives of the Strategic Community Plan.

The Operational Plan is a sub-plan of the corporate business plan. The operational plan sets out what Council intends to do in the short term (i.e. the current financial year) to address the Shire’s needs. The plan details the services Council will undertake and the projects it will deliver during the next year to either maintain or enhance levels of service to the Shire of Roebourne community.

The Operational Plan:• Addresses directly the outcomes and

responses contained within the Strategic Community Plan and identifies specific projects and services that Council will undertake over the next financial year to achieve the specific activities outlines in the Corporate Business Plan;

• Is informed by financial, asset management and workforce strategies to allow strategic priorities to be set and

Plan What is Measured Reporting Method

Strategic Community Plan

Strategic Indicators Outcomes - progress towards achieving target outcomes

Community progress report

Corporate Business Plan

Program indicators Outcomes - progress towards achieving strategic indicatorsPerfomance - delivery of program activities and implementation of prioritiies

Annual ReportPeriodic reporting to Council

Operation Plan

Service indicators Performance - delivery of identified services and projects for each program

Periodic reporting to Council

Section Three


The Advisory Standard for Integrated Planning and Reporting gives specific guidance on the Department of Local Government’s expectations in the form of Key Performance Indicators (KPIs) which are to be reported annually as part of the annual Corporate Business Plan review.

Indicator Information Data and Calculation Information Standards

Asset consumption ratio(ACR)

Depreciated replacement cost of assets (written down value) divided by current replacement costs of depreciable assets.(expressed as a percentage)

This shows the written down current value of a local government’s depreciable assets relative to their ‘as new’ value in up to date prices. The ratio highlights the aged condition of the local government’s stock of physical assets.

• Standard is not met if ratio data cannot be identified or ratio is less than 50%.• Basic standard is met if ratio data can be identified and ratio is 50% or greater.• Advanced standard is met if this ratio is between 60% and 75%.

Asset sustainability ratio (ASR)

Capital expenditure on replacement or renewal of assets divided by the depreciation expense.(expressed as a percentage)

This measures the extent to which assets managed by the local government are being renewed / replaced as they reach the end of their useful lives.

• Standard is not met if ratio data cannot be identified or ratio is less than 90%.• Basic standard is met if ratio data can be calculated and ratio is 90% or greater.• Advanced standard is met if this ratio is between 90% and 110%.

Asset renewal funding ratio (ARFR)

Net present value of planned capital expenditure based on current Departmental guidance on renewals over ten years divided by the net present value of the required capital expenditures on renewals over the same period.(expressed as a percentage)

This indicates whether the local government has the financial capacity to fund asset renewal as required, and can continue to provide existing levels of services in future, without:• Additional operating income; or• Reductions in operating expenses; or• An increase in net financial liabilities above that currently projected.

• Standard is not met if ratio data cannot be identified or ratio is less than 75%.• Basic standard is met if ratio data can be identified and ratio is between 75% and 95%.• Advanced standard is met if this ratio is between 95% and 105% and the ASR falls within the range 90% to 110% and ACR falls within the range of 50% to 75%.

Source:DepartmentofLocalGovernment

Indicator Information Data and Calculation Information Standards

Asset Management Key Performance Indicators

Section Three


The development of processes and systems for the reliable calculation of the above ratios forms a key part of this Asset Management Strategy.

In addition to the above, there is extra guidance from the Australian Infrastructure Financial Management Guidelines and the International Infrastructure Management Manual, which indicate that:• Asset management needs to take a life

cycle approach;• Core asset management plans need

to be developed based on the best currently available information including random condition sampling, simple risk

assessment to identify critical assets and existing levels of service;

• Capital works need to be prioritised using a simple ranking criteria;

• Asset management needs to incorporate the calculation of long-term cash flow projections; and

• Financial and critical services performance measures need to be developed and monitored in an ongoing basis.

How To Read The PlanCouncil’s services are delivered through infrastructural networks such as the road network and drainage network, community assets such as parks and open space, community facilities, sporting and recreational facilities and operational assets such as waste facilities, the airport and council’s buildings and plant and equipment. This plan outlines the framework to manage the resources.

There are three core components of the framework:

Section Three


Document Description

Asset Management Policy

• The Asset Management Policy outlines the principles for undertaking asset management across the organisation in a structured and coordinated way.• The Shire of Roebourne has an adopted Asset Management Policy, which has been revised in line with the Asset Management Framework and best practice policy statement guidelines of:- The policy objectives and outcomes that are specific, measurable, attainable and timely (SMART);-The policy references the relevant regulatory obligations of the council; and-The policy allocates responsibilities amongst staff.• The revised policy should be considered by the council for ratification.

Asset Management Strategy

• The Asset Management Strategy provides a high level long term objectives and action plan for managing the assets.• The implementation of the Asset Management Strategy is demonstrated in the Asset Management Plans.• The Asset Management Strategy provides direction for the appropriate focus and level of Asset Management practice undertaken by the Shire of Roebourne, and has been developed utilising the International Infrastructure Management Manual (IIMM) framework and the Asset Management Framework and Guidelines .• The Asset Management Strategy incorporates the Asset Management Responsibility Framework which defines the roles and responsibilty of the position in terms of asset managemnet within the organisation.

Asset Management Plan

• The Asset Management Plan is a long-term plan for infrastructure assets that outlines the activities for each service area or asset class, and the resources required to provide a defined Level of Service in the most cost effective way.• Asset Management Plans for a number of asset classes have been developed using the IIMM framework, with the plans populated with information sourced from:- Existing asset management plans such as the Karratha Airport Master Plan, Council Buildings Asset Management Strategy, Current Operations Overview and Proposed Operational Procedures for 7 Mile Waste Disposal Facility; Directorate Plans for each of the Directorates within the Shire, Light Fleet Guidelines, Staff Housing Strategy and The Community Facilities Plan;- Information extracted from the asset management system; and- Information provided by council staff – verbal and documented.• The Asset Management Plans are “first cut” Asset Management Plans as there are significant information gaps. The program to address the improvement of the information has been incorporated into the improvement plans of each of the Asset Management Plans.

Document Description

Source:AECGroup,DepartmentofLocalGovernment

Asset Management Framework

Section Four


SECTION FOURAsset Management Policy

ObjectivesIn line with the Shire of Roebourne’s Strategic Community Plan 2012-2022, this policy has been developed to guide the management of the Shire’s assets in order to best serve the community’s aspirations with the Shire’s limited resources.

Policy OutcomesThe Asset Management Policy, together with the Asset Management Strategy and Asset Management Plans, will achieve the following outcomes:

• Balancing stakeholders needs and expectations through:

- Measuring asset utilisation and demand. - Targeting funding based on service

needs. - Prioritising capital works based on

acceptable Level of Service and affordability.

• Improved asset service delivery through:- Risk management of assets, particularly

those that present risk to the community.- Timely maintenance and renewal at

appropriate levels to meet service needs.

- Linking service levels for each asset class and type to community feedback, risk level and cost of services.

• Achievement of asset management productivity gains through:

- Efficiencies in asset maintenance using a planned acquisition, maintenance, renewal, replacement and disposal scheduling process.

- Value in spending, using prediction methods to identify the lowest cost life cycle options.

- Reducing future life cycle costs by applying an optimised level of maintenance and renewal.

- Reducing future asset loss by predicting optimal intervention phases.

• Effective planning for the future and accurate decision making through:

- Use of a single corporate dataset with an appropriate asset audit trail.

- An asset management forward plan at the asset level.

- Recording and quantifying the true costs of asset maintenance, renewal and disposal.

- Modelling the long-term impacts of funding options.

- Regular management reporting.

• Transparent asset accounting framework through:

- Budgeting for all assets and proposed capital expenditure on a whole of life cash flow basis, and the appropriate recovery of depreciation charges, finance costs and operational expenditure.

- Analysing options for capital works programs during annual review.

- Optimising prospective budget spending.

CustodianshipThe Council is the custodian of the Shire’s assets on behalf of the community. The Council is ultimately responsible for ratifying and implementing strategies to fulfil this duty. Asset management is an operational responsibility for all management and frontline Council staff.

Section Four


Council Members Area of Responsibility

Council Setting strategic and operational directions of the Asset Management Policy, Strategy and Plans. Determining priorities for asset funding with reference to community feedback. Transparent reporting of KPIs and performance targets to the community.

CEO Coordinating the development and implementation of Council’s Asset Management Policy, Strategy, Plans and its integration with Council’s Corporate Business Plan, Budgets and Annual Reports. Responsible for reporting KPIs and performance targets to Council.

Directors and Executive Managers

Development and implementation of Council’s Asset Management Strategy, Policy, Plans and processes and its integration with Council’s Corporate Business Plan, Budgets and Annual Reports.

Managers Implementation of Council’s Asset Management Plans and processes.

Frontline Staff Undertaking activities contained within the Asset Management Plans.

Disposal PolicyIn relation to asset renewal and/or disposal, in complying with Section 3.58 of the Local Government Act 1995 and Delegation of Authority 19, the Shire will:

• Give priority to the assets with a condition rating of 5, with action to deal with these assets taken within six months in order to minimise risk to the Shire and community.

• Put plans in place by the next planning cycle to deal with assets with a condition rating of 4.

• For assets with a condition rating of 4 or 5 and a replacement cost of greater than $50,000, a benefit cost analysis will be undertaken to determine how best to deal with them.

EvaluationThe Shire has a five-year asset evaluation and planning cycle with the first integrated planning cycle beginning on 30 June 2012. All assets are to be valued at least once per five year cycle to establish their fair value as per AASB1024 and AAS10.

The key performance indicators of Asset Consumption Ratio (ACR), Asset Sustainability Ratio (ASR) and Asset Renewal Funding Ratio (ARFR), as set out by the Department of Local Government Integrated Planning and Reporting Advisory Standard, are to be calculated and reported to the Council and community annually.

The Asset Management Strategy (AMS) as part of the Corporate Business Plan (CBP) will inform the Long Term Financial Plan, the Annual Budget and the Annual Report.

Review of PolicyThis Policy is reviewed internally for applicability, continuing effect and consistency with related documents and other legislative provisions when any of the following occurs:

• The related documents are amended. • The related documents are replaced by

new documents. • Amendments which affect the allowable

scope and effect of a Policy of this nature are made to the head of power.

• Other circumstances as determined from time to time by a resolution of Council.

Notwithstanding the above, this Policy is to be reviewed at least annually for relevance and to ensure that its effectiveness is maintained.

Previous Policy No: N/A Resolution Numbers: Last Reviewed: September 2009 Current Review: December 2012Next Review: December 2013 Responsible Officer: Executive Manager Infrastructure Services

Summary of Council Responsibilities

Section Five


SECTION FIVEAsset Management Strategy

IntroductionThis Asset Management Strategy will provide direction to the appropriate focus and level of asset management practice undertaken by the Shire of Roebourne.

The Shire’s definition of asset management encompasses the various actions that the Shire undertakes to ensure that its service delivery methods are efficiently planned, delivered, managed, reviewed, renewed and disposed of in a cost effective, sustainable manner. The Shire recognises asset management as a core activity, with the aim of maximising value for money and ensuring intergenerational

equity is maintained for its constituents. Accordingly, every employee of the Shire is either directly or indirectly involved in the management of Shire’s assets.

The Shire recognises that good asset management (that is the delivery of a desired Level of Service) is fundamental to the future sustainability of the Shire. Therefore, it is essential that the provision of any asset, maintenance and renewal of existing assets, and eventual disposal at a point in time is an informed decision determined through a service level approach.

All assets degrade over time through natural wear and tear. Council undertakes regular maintenance on assets, which

is normally referred to as “reactive‟ or “preventative‟ maintenance. Some maintenance work may also include minor repairs to damage. However, at some point in time assets degrade to a point where their condition is no longer fit to meet community needs and minimum acceptable Level of Service. When this happens, the asset or its components requires renewal, replacement or disposal.

Section Six


SECTION SIXAsset Management Plans

Asset Management Plans have been developed for the following groupings of asset classes using the standard IIMM framework Asset Management Plan outline:

• Airport Services; • Waste and Water Recycling;• Transport and Drainage; • Building Maintenance and Community

Facilities;• Parks, Gardens and Open Space;• Plant and Depot Services; and• Technology and Equipment.

The plans have been populated with information sourced from:

• Existing asset management plans such as the Karratha Airport Master Plan, Council Buildings Asset Management Strategy, Current Operations Overview and Proposed Operational Procedures for 7 Mile Waste Disposal Facility; Directorate Plans for each of the Directorates within the Shire, Light Fleet Guidelines, Staff Housing Strategy and The Community Facilities Plan;

• Information extracted from the asset management system; and

• Information provided by staff – verbal and documented.

The asset management plans are ‘first cut’ Asset Management Plans as there are significant information gaps. Council is currently in the process of reviewing the asset hierarchy and once this is adopted may require some of the asset plans to be realigned to the new hierarchy. The program to address the information requirement has been incorporated into the improvement plans of this Asset Management Strategy and within the Asset Management Plan for each asset class.

Levels of ServiceThe Asset Management Plan should define the Level of Service the council plans to deliver to the customer. Level of service can be divided into two aspects:• Customer Levels of Service which

focus on the customer expectations of the service and can be both tangible (such as appearance and frequency of service), or intangible such as ease of use. Customer levels of service should be developed in consultation with the community.

• Technical Levels of Service which focus on the how the organisation delivers the service and tend to relate to actions undertaken by the Council. These include operational Levels of Service for inspection and maintenance regimes.

Levels of service must be monitored by performance measures to assess the service performance. The aim of this Asset Management Strategy is to move council towards a service-centric asset management philosophy rather than an asset-centric philosophy. The agreed Level of Service drives the need for, and availability of, assets. The existence of assets should not determine service provision. Assets are provided to deliver services, i.e. they are a means to an end. For example:

• Roads and paths meet transport and access needs;

• Staff housing facilities provide for clean, safe, ambient and sanitised habitation;

• Public buildings provide for cultural, community and civic purposes;

• Aquatic centres provide for recreational and health outcomes;

• Parks and reserves provide active recreational opportunities and enhance community life;

• Underground drains provide for storm water access, public safety, health and the protection of property damage; and

• Waste assets provide sanitary and health benefits.

Section Six


Situation Statement 1

The Shire of Roebourne is currently implementing Service Level definitions across all asset classes. The Operational Levels of Service for asset classes of Shire Buildings, Shire Road Reserves and Shire Parks and Open Space are under review and once adopted will be incorporated in the Asset Management Plan and Asset Management Plan will be amended accordingly. Level of Services for other asset groups has been extracted from the relevant documents which discuss service provision.

To provide a base framework for Level of Service for this Asset Management Strategy and Asset Management Plans, three Level of Service outcomes have been established:

• Reliability/Safety: Assets should be reliable and safe. Council’s customers will require assets that are reliable and can be relied upon to deliver the services. Where available, the operational service standards have been utilised to define the level of service outcomes.

• Quality: Quality relates to the type of the asset and the extent to which it is fit for purpose rather than its condition. An asset may be poor in quality yet have a condition which is described as good.

• Capacity: Assets must have the capacity to meet the needs of the current and future generations.

Levels of Service – Action Plan Recommendation

The improvement actions identified in relation to improvements in Level of Service knowledge and information are listed below in Table 5.1: Level of Service – Action Plan.

Service Level:Action Plan Recommendation

When Responsibility

Develop customer Levels of Service on core assets

August 2013 Manager Integrated Strategic Planning

Establish a process that will monitor or assess the customer Levels of Service

September 2013 Manager Integrated Strategic Planning

Develop Operational Level of Service to ensure they measure service delivery rather than simply the volume of transactions.Note these are currently under review for the Shire Buildings, Shire Road Reserves and Shire Parks and Gardens

June 2013 Manager Integrated Strategic Planning

Develop Technical Levels of Service to ensure they measure service delivery rather than simply the volume of transactions

December 2014 Executive Manager Infrastructure Services

Implementation of a measurement framework for Technical Levels of Service

January 2015 Manager Integrated Strategic Planning

Update Asset Management Plans with Level of Service

March 2015 Manager Integrated Strategic Planning

Develop annual Level of Service report for Council and the community


Level of Service – Action Plan

Section Six


Demand Factor Present Position 2020 Projection Impact on Services

Population Growth 25,000 residents 36,000 residents Increased demand on existing infrastructure such as roadsIncreased demand for community facilities and servicesLarger local government presence required to provide services impacting on service delivery assets such as council office/s and depot/s

FIFO Workforce Estimated 4,000 – 6,000 FIFO FTEs Reducing Reducing or stable impact as projects come online and move into operational phase

Construction Workforce

5,000 – 7,000 workers Reducing Decreasing impact as projects come online and move into the operational phase

Tourism 120,000 overnight visitors 131,000 overnight visitors* Increasing impact

New Developments Nickol/BayntonBulgarraGap Ridge/Seven MilePegs Creek/Millars WellRegals ValleyGateway IndustrialMulataga

24,667 estimated new dwellings in the short and medium term, with new development areas including:Karratha Foot Hills WestThe LinksAirportMulataga Foot HillsMangrovesCity Centre

Increasing demand on all aspects of the council’s operation from a growing population

Industry Development (major mining, inland and offshore oil and gas, and infrastructure projects)

Pilbara - Devil Creek Development ProjectCarnarvon Basin - Pluto LNG ProjectPilbara - Cape Preston - Sino IronCarnarvon Offshore Basin - Barrow Island - Gorgon ProjectPilbara - Burrup Industrial Estate Site D - Burrup Nitrates

Pilbara - Anketell - Anketell Port and SIA (Strategic Industrial Area)Carnarvon Basin - Pluto Project ExpansionPilbara - West Pilbara Iron Ore ProjectPilbara - Cape Lambert Iron Ore Project

Increase in network infrastructure to support growth, particularly road and waste management infrastructure

Main Roads/Other Transport Channels

Traffic volumes on Dampier Highway and Burrup Peninsula Road at 9,000-10,000 vehicles a day


Increasing demand on road network due to resource sector expansion and related commercial and industrial growth

Demand ManagementDemand for assets is determined by the frequency and extent to which customers use the assets. Increases or decreases in demand will affect the type, size and number of assets that will be required in the future. Key factors affecting the overall provision of assets in the Shire of Roebourne are outlined in the following table.

Source:ShireofRoebourne,id.consulting,PICCandAECgroup,PilbaraIndustry’sCommunityCouncil(2010),DepartmentofStateDevelopment(2011)Note:*BasedonforecastgrowthratesforthewholeofWA.

Section Six


The Shire is seeing an unprecedented level of development with tens of billions of dollars being invested including the projects outlined in the following table.

Project Expenditure Operational From Employment

Dampier Salt 1972

North West Shelf Venture LNG $50bn in 2008-09 dollars 1989 Operation: 700

Pilbara - Devil Creek Development Project

$800m 2011 Construction: 200 Operation: 20

Carnarvon Basin - Pluto LNG Project

$14.9bn 2012 Construction: 5,000Operation: 300

Pilbara - Cape Preston - Sino Iron $5.2bn 2013 Construction: 4,000Operation: 500

Carnarvon Offshore Basin - Barrow Island - Gorgon Project

$43bn 2014 Construction: 5,500Operation: 300

Source:DepartmentofStateDevelopment(2011),DampierSalt(2012),Woodside(2012)

Source:DepartmentofStateDevelopment(2011)

Major Resource Projects in or Serviced from Shire of Roebourne

Major Planned Resource Projects in or Serviced from Shire of Roebourne

Project Expenditure Operational From Employment

Pilbara - Anketell - Anketell Port and SIA (Strategic Industrial Area)

TBA TBA TBA

Carnarvon Basin - Pluto Project Expansion

TBA TBA TBA

Pilbara - West Pilbara Iron Ore Project

$4bn 2014-15 Construction: 2,000Operation: 700

Pilbara - Burrup Industrial Estate Site D - Burrup Nitrates

$600m 2014 Construction: 600Operation: 65

Pilbara - Cape Lambert Iron Ore Project

$3.7bn 2015 Construction: 3,000Operation: 1,000

Section Six


Roebourne Synthetic Population ForecastEach of the projects will have a life cycle where there is a large amount of capital expenditure in the first few years associated with a high level of construction labour initially present in the region. Once the projects enter the operational phase, the labour requirement drops away significantly. The type of labour also changes, moving away from itinerant FIFO type construction labour to full time operators. Given the life of these projects (20+ years), and the level of technical competency required, the operators of these projects will need to be committed,

0

10000

20000

30000

40000

50000

60000

20282027202620252024202320222021202020192018201720162015201420132012

The identification of demand factors for each of the infrastructure asset classes have been incorporated in the Asset Management Plans.


Much of the information is extracted from source documents prepared at different points in time and therefore is not based on a cohesive demand forecast. Ideally, the entire Shire’s planning documents and key strategies should be based on ‘one source of truth’ concept especially in relation to the economic assessment of the current and future community.

full-time staff who are likely to become residents in the Shire of Roebourne with their families. This projected growth in population has spurred planning for the region in particular the Karratha City of the North Plan and the Karratha 2020 Vision and Community Plan.

Given the above assumptions, the Shire has synthesised a population forecast from forecasts based on demographic growth and the infrastructure projects mentioned previously. This population forecast is presented in the following graph.

Section Six


Demand Forecast – Action Plan RecommendationThe improvement actions identified in relation to Demand Forecast knowledge and information are listed below in Table 5.5: Demand Forecast – Action Plan.

Demand Forecast:Action Plan Recommendation

When Responsibility

Identify the organisational standard economic assessment document and use as the basis for the demand analysis in the Asset Management Plans and other planning documents

June 2013 CEO

Demand Forecast – Action Plan

Source:ShireofRoebourne

Life Cycle Management

Life Cycle Management Strategy

A life cycle management strategy focuses on economic and physical management options and strategies from initial planning through to disposal stages of an asset. Life cycle management aims to develop decision support information, model future asset maintenance and rehabilitation requirements, and compare these predictions with historical expenditure trends.

Section Six


The modelling of the life cycle of assets requires the input of data including asset economic life, estimates of remaining life, average expenditures and their timing and asset replacement and/or disposal costs. Generally, the effective economic life of any asset is linked to the maintenance carried out on that asset during its life span.


At this point, the Shire does not have sufficient information to undertake comprehensive life cycle management of all asset groups.

The achievement of efficient life cycle management is dependent on the knowledge base the Council has on its assets. The knowledge base can be sub-classified into the following sections:

• Asset data and identification;• Asset performance and condition;• Asset valuation; and• Asset management strategies.

Financial information and considerations are also imperative and are dealt with in a subsequent section.

Asset Data and Identification

Information about assets must be collated in a manner that provides for ease of access to the asset managers, with information stored in an asset management system based on asset hierarchy. The asset hierarchy should provide a framework to structure and store asset data, segmenting the assets in appropriate classifications. The table below outlines the datasets usually collected and held in relation to assets within an effective asset management framework.

Summary Data Parameters and Descriptions

Parameter Description

Asset Identifiers, Location and Descriptors

Data used to identify, describe and locate each asset.Data also defines each asset in terms of its position in the asset hierarchy.Fields may include asset number, description, GIS location, asset class.

Detailed Technical Data

Data to assist in identifying each asset from other assets. Fields may include size, length, location, construction material.

Valuation Data Data that allows the organisation to value the assets, record and track depreciation, and understand asset lives.Fields include construction date, standard asset life, remaining life, replacement value, valuation value, date and method.

Maintenance Data Data that identifies the work to be completed and work completed to date against each asset. Fields may include work order, annual service date and activity, scheduled next maintenance/service, responsible party for undertaking maintenance work.

Condition Data Data used to prepare decay curves, revision of effective life and current valuation. Fields may include condition rating, condition based remaining life, condition based valuation, date assessed, who assessed asset.

Performance Data Data recording demand and capacity performance, unplanned maintenance activity including cause and cost, and planned maintenance procedures.Fields may include number of assessments, date of unplanned activity, and cost of planned or unplanned activity.

Risk Data Data used to analyse an asset’s failure and determine the risk to the organisation if the asset were to fail. Fields may include probability of failure, criticality rating, and risk mitigation strategy in the event of failure.

Life Cycle Data Data used to plan future asset strategies and determine future costs associated with operations, maintenance, creation, renewal and disposal of assets.Fields may include work description, start date, resources, safety licences.


Section Six


Asset information should include commentary regarding the source, accuracy and reliability of each dataset (where relevant and possible). The data collection process is resource intensive and should be carefully prioritised based on the value and risk profile of the asset class and the likely availability of each dataset.

The Shire has adopted the Assetic’s MyData asset management suite of software as its corporate asset management software. This will allow for all of council asset to be managed in one place as well as provide the required information for state government authorities.


The Shire does not currently have a complete asset register:

• There are currently separate asset registers in the Shire’s financial system SynergySoft and Assetic’s asset management system MyData, in addition to the infrastructure, fleet and plant data being stored separately on loose Excel spread sheets;

• The physical descriptive data is separately located from the financial data relating to each asset;

• None of the asset registers have been audited for accuracy; and• The assets have not undergone a valuation process for establishing fair value

beyond purchase cost.• There does not appear to be a consistent asset hierarchy.

The Shire does currently have some physical attributes stored within the MyData database. Asset classes with some physical attributes recorded include:

• Transport and Drainage;• Parks and Gardens and Open Spaces; and • Buildings and Community Facilities.

The level of detail varies between the asset classes but the Transport and Drainage data features the greatest level of detail with position, size and condition data being recorded. Only minimal historical asset information is currently kept outside of purchase or build date, historical cost and invoices.

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Asset Performance and Condition

To effectively manage the asset, the asset condition must be known. Asset condition reflects the physical state of the asset, which is different from asset performance that measures whether the asset is delivering the Level of Service requirements.

Knowledge of asset condition assists council in:

• Mitigating the risk of asset failure;• Avoiding unplanned outages;• Allowing for pre-emptive remediation

which is often more cost effective than reactive maintenance;

• Predicting renewal and replacement expenditure requirements; and

• Providing opportunities to extend the asset life through effective proactive management.

Condition assessment programs should identify which assets require condition assessments through a risk based assessment, focusing on assets that are critical assets (those with a high consequence if they were to fail) and older assets (which may be more likely to fail).


The Shire currently uses a variety of condition ratings for assets amongst the different plans it has in place.

Going forward, a standard five point Condition Rating scale will be used. Where there are a variety of components that give individual condition ratings, a synthetic overall Condition Rating will be calculated as per the individual Asset Management Plans.

Condition Ratings

Condition Condition Rating Risk Level Maintenance Cost

1 Excellent Lowest Negligible

2 High Low Low

3 Acceptable Medium Medium

4 Low High High

5 Unacceptable Highest Very High



The Shire has a regular inspection regime for Staff Housing and Playgrounds. Asset inspection regimes have been established for Buildings, Roads and Parks and Open Space asset classes. Issues for other assets are reported as they are seen by the staff or the community. Condition assessment has been measured in the past on an ad hoc basis by external consultants preparing plans for the Shire.

The council is already considering undertaking an engineering asset revaluation exercise which would give a baseline set of Condition Ratings for the assets. Following the engineering asset revaluation, the Shire would like to adopt as a guide:

• All assets with the Condition Rating of Level 5 and that present the highest risk to the community are dealt with in the first six months after the engineering asset revaluation. The overall goal will be to avoid assets reaching Condition Rating Level 5 but if they do reach this Level they are dealt with promptly;

• Assets with a Condition Rating Level of 4 should be assessed on at least an annual basis with plans put in place to either renew, decommission or transfer the assets as soon as feasible, preferably within the current planning cycle. If the assets should degrade to a Condition Rating of 5 then they should be acted upon within six months; and

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• For assets with a Condition Rating Level of 3 or above a randomised sampling procedure should be put in place depending on the type of asset and its current Condition Rating Level.

By regularly and systematically assessing the Condition Ratings of assets, it will be possible for the Shire to move from a reactive position where assets are dealt with in crisis management mode to being dealt with well in advance of them creating a potential risk to the community.

Asset Valuation

The Department of Local Government has indicated that it plans to amend the Local Government (Financial Management) Regulations 1996 to require all physical non-current assets to be valued on a fair value basis with full implementation required by 30 June 2015. The Australian Accounting Standards do not specify exactly how often revaluations should take place, but Policy Paper: Application of Fair Value to WA Local Government Financial Reporting suggests revaluations should occur every three years but does not mandate that revaluations need to be undertaken by external valuers.

The council is considering an external engineering asset revaluation to take place before 30 June 2013 and preferably earlier to achieve four key objectives:

• Establish a precise list of the assets owned and operated by the council;

• Provide a fair value for each of the assets in addition to establishing the remaining life, replacement cost and depreciation for each asset;

• Provide key inputs for the calculation of the key performance indicators ACR, ASR and ARFR as dictated by the Advisory Standard; and

• Establish the condition ratings of the assets.

In order for the revaluation exercise to be effectively undertaken, the council will need to provide the external valuer with a current asset register.

The asset revaluation could be done by most of the engineering consultancies active in the Pilbara Region but would require some assistance from the Asset Management Coordinator, the Expenditure Accountant and the asset managers. The asset revaluation could occur independently of the development of any changes in Information Technology (IT) systems relating to the asset management framework.

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The council has spoken to staff at the Shire of Ashburton and Town of Port Hedland, which appear interested in co-operating with the Shire of Roebourne on asset management issues. Consequently, there may be potential cost savings available to the council by co-ordinating procurement activities in relation to asset valuation (noting potential differences in the level of work required).

Asset Management Strategies

Asset management activities to achieve the Level of Service are identified as one of the following work categories:

• Operations;• Maintenance; • Renewal; and• New works.

Operations: Operational costs include the running costs associated with utilising the asset in service provision, and excludes depreciation and finance charges which are associated with the funding of the asset rather than its operation.


The Shire does not identify specific operating costs for assets, with asset operating costs incorporated within service activity cost centres.

Maintenance: Maintenance is defined as all repairs/maintenance which are not classified as rehabilitation. Routine maintenance includes the day-to-day work required to keep assets operating at required service levels, and falls into two broad categories:

• Planned (proactive) Maintenance: Proactive inspection and maintenance works planned to prevent asset failure (i.e. preventative maintenance).

• Unplanned (reactive) Maintenance: Reactive action to correct asset malfunctions and failures on an as required basis (i.e. emergency repairs).

A key element of advanced asset management planning is determining the most cost-effective mix of planned and unplanned maintenance. Ideally, the maintenance plan should identify the maintenance approach (e.g. servicing, compliance based, frequency based, condition based, risk based, opportunist) for each asset defining the timeframes for the maintenance.

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Planned maintenance regimes are under review for Buildings, Roads and Parks and Open Space asset classes. Where the Shire does not have a Planned Maintenance regime for the asset class, the works are primarily carried out on a reactive basis. The lack of a complete asset register hinders the ability to effectively allocate resources for planned and unplanned maintenance. Combined with the lack of a full time asset assessor, this makes it extremely difficult to carry out planned work on a proactive basis.

Inventory management is not done on a ‘just in time’ basis as maintenance isn’t explicitly planned and scheduled. Inventory is kept at minimal levels based on past experience of the staff and short-term project planning. In some cases, this leads to delays in carrying out maintenance and also leads to the unnecessary carrying of inventory. The Shire expects that the full implementation of the MyData asset database will allow automated work scheduling to take place and invoices to be raised for inventory on a ‘just in time’ basis.

Renewal: Renewal works are defined as being:

• The rehabilitation of existing assets to their original size and capacity; or,

• The replacement of the entire component of the asset with the equivalent size or capacity; or,

• The replacement component of capital works on assets which does not increase the capacity of the assets.

Rehabilitation/renewal activities are carried out so as to extend the economic life of an asset. Therefore, the asset net book value will increase as a result of rehabilitation activity as the condition of the asset is restored to reflect its original condition. Asset rehabilitation should be carried out at the appropriate time as delays beyond optimal renewal timeframes in some cases may cause rapid deterioration and considerably increase the cost of rehabilitation.

The Capital Works Program outlines the capital renewals program for the next five years.

New Works: New works are defined as projects (including land purchase) for the

extension or upgrading of assets required to cater for growth or improved levels of service, including:

• Works which create an asset that did not previously exist in any shape or form; or

• Works which improve an asset beyond its original size or capacity; or

• Upgrade works which increase the capacity of an asset; or

• Works designed to produce an improvement in the standard and operation of the asset beyond its original capacity.

The Capital Works Program outlines the new capital program for the next five years. The majority of the new capital works are supported by external grant funding from the state and federal governments to ensure the vision of “Karratha: a city of the north” can be achieved.


In relation to new capital works, the Shire has prioritised the upgrade of its Community Facilities in response to community feedback and the offer of grants.

Section Six


Life Cycle Management – Action Plan Recommendation

The improvement actions identified in relation to Asset Knowledge and Management data and information are listed below in Table 5.8: Life Cycle Management – Action Plan.

Life Cycle Management – Action Plan

Asset Knowledge and Management:Action Plan Recommendation

When Responsibility

Adopt a consistent hierarchy structure across all asset classes

June 2013 Asset Management Coordinator

Revise Asset Management Plans to align to new hierarchy

December 2013 Manager Integrated Strategic Planning / Asset Management Coordinator

Identify the key data fields for each asset class and document guidelines on how the data is to be recorded

December 2013 Asset Management Coordinator

Document the basis of the condition rating to be used for all asset classes

December 2013 Asset Management Coordinator

Standard practices documented for the recording and updating of asset data


Establish a process to ensure that as assets are inspected or maintained, the condition is assessed and recorded in the asset system

June 2014 Manager Integrated Strategic Planning /Asset Management Coordinator/Directors

Commission an external asset revaluation of assets

June 2015 Manager Integrated Strategic Planning /Asset Management Coordinator

Asset revaluation data used to populate data fields and verify assets

August 2015 Asset Management Coordinator

Complete implementation of MyData to provide for the scheduling of maintenance work

October 2015 Asset Management Coordinator


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Financial InformationThe Australian Infrastructure Financial Management Guidelines state that providing services from infrastructure requires funding of the whole of life costs of the assets and consists of the following stages:

1. Capital investment in the asset required to provide the service;

2. Ongoing operational and maintenance funding to provide the service at a desired service level;

3. Future capital funding to renew the asset when the Level of Service falls below desired service levels and continuance of the service is required; and

4. Funding for the demolition or disposal of the asset when the service provided by the asset is no longer required.

To meet this, the Shire must record and report on the financial expenditure for each of the components identified above. This financial information assists the asset manager in determining optimal asset management strategies, balancing maintenance, renewal and replacement costs.


The Shire does not have good financial information in relation to the above whole of life asset cost components. At this stage, available information from the Long Term Financial Plan has been incorporated into the Asset Plans.

Capital Investment

New assets are currently registered on loose spreadsheets for depreciation calculation purposes. The Shire keeps historical financial data on loose spreadsheets and in SynergySoft depending on the data class. Depreciation is calculated on historical cost and estimated remaining life using staff estimates. A fair value Depreciated Replacement Cost (DRC) has not been calculated for any of the Shire’s assets.

Ongoing Maintenance and Operating Expenditure

The Shire has monthly reporting of financials as well as the Budget and Annual Report cycle. The operating cost and maintenance cost is incorporated into the cost centre for the activity that uses the asset to deliver the service, which is general practice across most councils. Maintenance budgeting is done in an ad hoc manner based on historical cost and staff estimates.

Renewals Expenditure

The Shire outlines its renewal program in the five-year capital works program by project, with such works reflected in the Annual Budget. However, there does not appear to be a clear indicator in the capital works program as to the basis for the expenditure – i.e. renewals, upgrade or entirely new capital works. Funds are set aside in the reserve for particular asset classes, although they are not explicitly linked to the renewal or development of specific assets.

Disposal Policy

The Shire is implementing an asset disposal policy as part of the Asset Management Policy. The Shire also has a delegation of authority from the Council to the CEO in relation to asset disposals as follows:

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DISPOSAL OF PROPERTY

Date Adopted: 20/10/2003

Last Reviewed: 31/05/2011

Authority: s. 3.58 Local Government Act 1995

Delegation (19.1): That Council delegate authority to the Chief Executive Officer to dispose of property by public tender, public auction or some other means where the individual value of the property disposal is less than $20,000, or the property value is greater than $20,000, where the property is disposed of as part of the consideration for other property that the local government is acquiring for a consideration. The total value of which is not more than $50,000. This excludes the donation or gifting of property, which is dealt with in Delegation 19.2 and the disposal of land which is dealt with in Delegation 19.3.

Delegation (19.2): That Council delegate authority to the Chief Executive Officer to gift or donate property with a maximum written down value of $500.

Delegation (19.3): That Council delegate authority to the CEO to enter into lease arrangements for the leasing of Council owned residential property to staff and other persons.

Delegates to: Chief Executive Officer

Disposal of Property


The council is bound by Section 3.58 of the Local Government Act 1995 ‘Disposing of Property’ and Local Government (Functions and General) Regulations 1996 reg 30. ‘Dispositions of property to which section 3.58 of Act does not apply’.

Consolidated Budget

The Shire currently has a traditional, centralised resource allocation process. Long-term financial planning is driven by Financial Services based on historical financial data and assumptions about future costs and revenue.

Budgets are set in the following manner:

• Each of the Directorates develops an operational plan based on a standard business plan template containing rationale, linkage to customer services, activities and an operating budget. Cost estimates for activities are based on staff estimates.

• The Executive Team then prepares the Budget based on the financial resources it believes it has available and a review of the core and non-core activities of each Directorate.

• The Budget is then sent to Council for ratification, where it may be amended to include Council priorities in addition to, or in place of, staff priorities.

• The Shire is planning to reform its Budget process to be consistent with the Integrated Planning Guidelines:

• The Council will set long-term priorities in the Strategic Community Plan and short-term priorities annually based on progress towards the long-term priorities.

• The programs and Service Levels within each priority will be fully resourced with assets, staff (full time equivalents) and ancillaries.

• The costs for each program will then be able to be calculated explicitly by each Directorate with depreciation, finance costs, operational expenditure and overhead costs.

• The costs for each program will be aggregated by the Executive Team and compared to forecast revenue streams to produce a long-term financial plan and gap analysis.

• If there is a shortfall in revenue that creates an unsustainable financial position, the programs and priorities will be transparently ranked and put on hold unless suitable funding can be found. Deficits will only be acceptable as long as the debt financial sustainability indicators remain within acceptable levels.

• The Budget will then be derived from the long-term financial plan for that year with deficits and surpluses measured against the plan’s predictions.

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It will take at least two budget cycles to effectively implement the above process based on experience with similar database rollouts in state government and utilities. Therefore, the Shire aims to have the asset management database fully implemented and in use for the preparation of the 2015-16 budget.

Financial Performance Ratios

The Council will adopt the three key ratios outlined in the Asset Management Framework and Guidelines, as outlined in the following table.

Financial Management Performance IndicatorsFinancial Management:Performance Indicators

Target Actual as at 30 June 2011

Asset consumption ratioShows the written down value of assets relative to their “as new” value

50% - basic standard Not calculated

Asset sustainability ratio Measures the extent to which assets are being replaced as they reach the end of their useful life

90% - basic standard Not calculated

Asset renewal funding ratioIndicates if Shire has capacity to fund asset renewal as required and continue to provide existing service levels

75% - basic level Not calculated



The Shire does not currently calculate or report the Financial Management Performance Indicators in the Annual Report.

Section Six


Financial Management:Action Plan Recommendation

When Responsibility

Fully implement the MyData asset management system across all asset classes.

December 2014 Manager Integrated Strategic Planning /Asset Management Coordinator

Make the asset management database the Shire’s primary planning tool that feeds asset cost data over the forward estimates period to the Shire’s financial database.

December 2014 CEO

Use the asset management database as the repository of the asset data register including replacement cost, remaining useful life, depreciation schedules, Service Level assessments as well as operating costs, resource allocation, assessment and servicing regimes, etc.


Calculate and report the required key performance indicators: ACR, ASR and ARFR.

June 2015 Executive Manager Financial Services

Make use of the asset management database an integral part of staff operational procedures by modifying data entry portals to suit individual roles, providing training and ongoing support, and formalising and recording asset management procedures.

June 2014 Asset Management Coordinator/ Manager Information & Communication Services

Actively manage the changeover not only in staff procedures but also in Council procedures to suit the new resource allocation process.

June 2014 Executive Manager Financial Services/ Asset Management Coordinator/ Manager Integrated Strategic Planning

Prepare the 2015-16 Budget based on forecasting from integrated Asset Management and Financial database systems.



Financial Management– Action Plan Recommendation

The improvement actions identified in relation to Financial Management knowledge and information are listed below:

Governance and Responsibilities

This section defines the roles and responsibility of positions in terms of asset management within the organisation and provides the platform for forming the Asset Management Steering Committee under the leadership of the Chief Executive Officer. The Asset Management Steering Committee will oversee the Shire’s Asset Management program and will promote it within the organisation.

The organisational structure from an Asset Management perspective is explained in the chart below followed by the responsibilities of the related position in the next section.

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Asset Management Governance Structure

SHIRE OF ROEBOURNE

CHIEF EXECUTIVE OFFICER

Executive Manager Infrastructure

Asset Management Coordinator

Executive Manager Financial Services

Manager Corporate Compliance

ManagerCommunity Facility

Executive Manager Strategic Business

ManagerWorks and Technical Services

CoordinatorBuilding Maintenance

ManagerPark & Open Spaces Maintenance

ManagerPlant and Depot

Airport Operations Coordinator

ManagerWaste Management

Manager Information and Communications Technology

Asset Custodianship

Key Promoter for Asset Management

Service ManagerBuildings


Executive Manager Infrastructurefor Asset Management Fleet and Plant

Maintenance Manager Infrastructure

Maintenance ManagerBuildings

Maintenance MangerParks & Open Space

Asset Manager

Service ManagerAirport & Waste Management

Maintenance MangerFleet & Plant

Maintenance Manger Airport

Maintenance MangerWaste Management

Finance Managerfor Asset Management

Information Technology Manager for Asset Management

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The responsibilities of the various positions mentioned in the above chart involved in managing assets are considered to be:-

Shire of Roebourne

• Custodianship of infrastructure and other Shire owned assets.

• Allocation of appropriate resources for the management of the Shire assets.

• Provide support for the establishment of services that will best balance community aspiration and financial sustainability.

• Provide support and resources for the acquisition, maintenance and management of assets that serves both current and future community needs.

Chief Executive Officer

To promote asset management in the Shire of Roebourne by:

• Overseeing the development of asset management policy, strategy and plans.

• Facilitating community involvement in asset management.

• Monitoring and reviewing the Shire’s performance in managing its assets.

• Promoting asset management throughout the shire as a key promoter and providing encouragement to staff in implementing best asset management practises.


To ensure the compliance with state, federal and local legislations for Asset Management and provide support, guidance and administer the contemporary Asset Management practise in the Shire of Roebourne by:

• Administering the compliance requirement from Asset Management perspective.

• Advise and recommend the compliance regulations and measures to meet compliance regulations for asset management

Executive Manager Infrastructure Services

To ensure delivery of asset management and administer contemporary Asset Management practises in the Shire of Roebourne by:

• Propagation of asset management information throughout the Shire.

• Reviewing and monitoring the implementation of asset management program.

• Overseeing the implementation of strategic guidelines and policies for asset management.

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• Overseeing the implementation of asset management policies, guidelines, procedures.

• Overseeing the optimisation and enhancement of asset management practices to ensure efficient and competent operations.

• Administering the development and implementation of Asset Management Plans.

• Providing directions and support to deliver the best asset management practise that is in line with the Shire’s Strategic Community Plan 2012-2022, Corporate Business Plan 2012 -2016 and Long Term Financial Plan


To put best Asset Management practises in place ensuring the legislative requirements are met and to guide and educate the Shire staff and contractors in the delivery of the services in a more sustainable and safe manner in the Shire of Roebourne by:

• Coordinating asset management improvement programmes including asset management improvement projects, carrying out selected asset management improvement tasks and preparing, monitoring and reporting on the overall asset management planning process.

• Implementing and controlling the Asset Management System and Predictive Modelling System and working with asset management staff to ensure system development and functionality meets asset management needs.

• Liaising with internal and external stakeholders for asset management matters relating to asset management planning.

• Data Capture for all asset classes, maintaining the asset database and enhancing the asset data quality.

• Administering the condition assessments for all infrastructure assets and monitoring the asset performance throughout the life cycle of the assets.

• Co-ordinating the collection of the agreed asset data for their particular asset group.

• Implementing and applying strategic asset management approach that includes whole of life cycle costs for the asset acquisition, renewals and disposals.

• Implementing Corporate Guidelines, Policies and Strategies relating to Asset Management.

• Implementing the Asset Management Plan for their particular asset group.

• Developing and implementing agreed plans/strategies in relation to future asset needs.

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• In consultation with the relevant Service Managers and Maintenance Managers, ensuring that future asset stock, asset capacity and asset condition matches service delivery needs.

• Prepare maintenance and inspection regime in consultation with Maintenance Managers on cyclic/periodic/programmed maintenance and operational programs for their particular asset group.

• Preparing the renewal programs in consultation with relevant maintenance managers.

• Providing supportive information for the preparation of Capital Works business cases.

Executive Manager Financial Services

To put best financial practises from asset management perspective in place ensuring the legislative requirements are met in the Shire of Roebourne by:

• Providing accurate financial information in to asset register like valuation patterns, valuations, written down values, useful lives, remaining useful lives, asset consumption ratio, etc.

• Assisting asset management department in maintaining accurate and up to date asset register.

• Implementing effective financial policies related to assets that contribute to

effective asset management practises in compliance with the legislations.

• In consultation with asset management department, establishing and maintaining asset consumption, asset movement and asset expenditure.

• In consultation with asset management department reporting to the Shire, State Government and Federal Government for financial reporting related to assets.

• Providing inputs in the budget process related to assets in consultation with asset management department and other service mangers.

• Providing support and guidance to asset management department in preparing

asset management plans, policies, strategies, procedures and guidelines.

• Assisting asset management department in capturing the asset related costs and expenditure that may be useful for developing asset management strategies and future projections.

Manager Community Facility

• Planning, delivering and managing the provision of services to the community in line with relevant Shire Plans, Strategies and Policies.

• Planning for future services required including the level and standard of the service.

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• Liaising with the Asset Management department in relation to asset options to meet future human service needs.

• Managing service user’s compliance with relevant regulations.

• Liaising with service users in relation to all aspects of the service.

• Liaising with the Asset Management department and Maintenance Managers in relation to assets noncompliance issues.

Maintenance Manager

• Planning, carrying out and managing all reactive and proactive maintenance and operational activities.

• Implementing cyclic/periodic/programmed maintenance and operational programs in consultation with Asset Management department.

• Assist Asset Management department in developing inspection regimes relating to condition, performance, safety, compliance with statutory requirements and functional requirements.

• Assist Asset Management department in capturing the maintenance costs and data in order to develop the life cycle costs for the assets.

• Carry out approved asset related maintenance and operation work.

• Prepare Capital Works proposals in consultation with Asset Management department.

• Providing inputs for establishing, monitoring and reviewing level of service for asset group in order to assist for ongoing development of the Asset Management plans, policies, procedures and guidelines.

Manager Information and Communications Technology

• Providing support to asset management department in the implementation and control of Asset Management System and Predictive Modelling System.

• Providing support to asset management department in maintaining spatial database (GIS) for assets.

• Providing technical support and advice to asset management department in relation to information technology sources, systems and resources that is helpful for better asset management practise.

• Advice and suggest availability and innovation in Information Technology related to asset management.

• In consultation with asset management department implementing guidelines and procedures for the use of information technology for asset management.

Section Six


Asset Portfolios and Roles

There is currently some confusion amongst the Shire’s current plans regarding the portfolio of assets within each grouping. Going forward, the Shire’s assets will be grouped in the following way.

Assets Managed by Strategic Projects and Business Directorate:

• Airport – Defined as all assets contained within the airport precinct with the exception of fleet.

• Waste and Water Recycling – Defined as infrastructure assets for waste management including land designated for waste deposits, skips, wheelie bins and park bins, and water recycling

infrastructure assets including pipes, valves, pumps, scrubbers and storage facilities.

Assets Managed by Development, Regulatory and Infrastructure Directorate

• Transport and Drainage – Including roads, bridges, pathways, roundabouts, kerb and channeling, storm water drains, culverts and storm water quality improvement devices.

• Buildings and Community Facilities – Defined as buildings that have a single structural entity that is complete and not readily divisible including housing owned and maintained by the Shire for

the purposes of providing staff housing, while community facilities include all community health, childcare, cultural, sport and recreation facilities.

• Parks and Gardens – Including parks, reserves, bush land, playgrounds and equipment, reticulation, and park furniture.

• Fleet and Small Plant – Fleet includes yellow plant vehicles, passenger vehicles, and front end loaders, etc. Small plant includes pumps, generators, mowing equipment and general equipment of a mobile nature.

• Equipment – Including all information technology and communications equipment.


Asset data management is mainly handled by the Asset Management Coordinator and the Expenditure Accountant. The Shire has appointed the Asset Management Coordinator to begin updating the MyData database, but there is a large backlog of data entry required. To date, some data has been entered for:• Transport and Drainage;• Buildings; and• Parks and Gardens.

Section Six


Asset Management Practices

Asset Classification Hierarchies

The asset hierarchy is a logical way of aggregating assets for maintenance, operation, asset management, asset planning and asset financial reporting.

Service Units Services Asset Class Asset Type

Airport Airside Apron RPT apron

Waste and Water Recycling

7 Mile Tip Facility Landfill Commercial and industrial waste disposal location

Transport and Drainage

Roads Sealed roads Single carriageway

Buildings and Community Facilities

Staff housing Leased houses Duplex



The Asset management database is not currently organised in a consistent hierarchy, with the assets sitting within their operational service units.

Asset Hierarchy and Examples

Section Six


External Influences

The Shire experiences extreme climatic conditions over the summer period. Months of temperatures in excess of 40oC punctuated by tropical cyclones often results with the Shire having to renew assets impaired as a result of these conditions. In many cases, this has often resulted in the allocation of limited funds towards the repair and replacement of assets which were in new or relatively good condition.

In addition to extreme climatic conditions, the Shire has to deal with the influence of mining industry work practices within the region which create a difficult environment to not only employ and retain skilled staff (due to the high wages and attractive conditions offered by large resource companies in the area) but also ensure access to essential services in the area. Given inflated housing and rental prices, the ability to attract qualified horticultural staff is extremely difficult. The climatic environment also contributes to the difficulties in obtaining staff willing to cope with the annual extremes of heat and cyclonic conditions for extended periods.

Due to the nature of the industries that operate within the Shire, there is a relatively higher incidence of service delivery in some areas by State and Federal Government authorities. For example, of the Shire’s four libraries, only one of the buildings is actually owned by the Shire. One is owned by a mining company, one is owned by the State Government and one is jointly owned by the Shire and a mining company. This makes for difficult managerial issues when agreements and responsibilities are not clear and concise.

The process of transferring a mining town to the ownership of the local authority is known as the normalisation process and is an ongoing negotiation between the parties involved until all infrastructure has been handed to the local or state governing agency. There are numerous agreements, both formal and informal, in the non-normalised towns of Wickham and Dampier. These towns are almost exclusively under the ownership of Rio Tinto and its subsidiaries, and so agreements are in place to supply various services to these areas.

Training and Education

The Shire currently has low levels of training and education for its staff. There is currently no dedicated budget set aside for training. The Shire’s problems in attracting and retaining staff due to the remote, regional location and high cost of living also means that corporate knowledge is often lost given roles can remain unfilled for extended periods of time.

Systems

The Shire’s asset database MyData contains GIS information. While the Shire also has the ArcGIS package, neither package contains complete spatial information on the Shire’s assets. The MyData package is able to update its asset data with GIS data from mobile devices such as smart phones and tablet computers. The Shire will consider implementing this feature in the future.

Procedure Review

The Shire does not currently undertake regular process reviews but is implementing a five-year planning cycle for the Corporate Business Plan and the supporting Asset Management Strategy and Plans. Regular reviews will take place after biennial Community Surveys to monitor the performance of the Asset Management Plans.

This timetable is compliant with the Asset Management Framework and Guidelines and The Advisory Standard for Integrated Planning and Reporting.

Business Continuity Plans

The Shire does not currently have business continuity plans in place.

Risk Assessments

The council undertakes risk assessments of its playgrounds, staff housing, community facilities, and transportation and drainage infrastructure.

Governance and Asset Management Practices – Action Plan Recommendation

The improvement actions identified in relation to the Governance and Asset Management Practices are listed below:

Section Six


Recommendation When Responsibility

The asset management database will be organised in a consistent hierarchy, with all assets residing within their respective operational service units.


All relevant staff are to be trained to use the Asset Management database.

December 2014 Manager Integrated Strategic Planning /Asset Management Coordinator

Fully documented processes are to be established in relation to training staff, recording data and IT support for asset management.


Review the Asset Management Policy, Asset Management Strategy and Asset Management Plans.

June 2017 CEO

Action Plan Recommendations When Responsibility Priority

Adopt a consistent hierarchy structure across all asset classes


High

Identify the key data fields for each asset class and document guidelines on how the data is to be recorded

December 2013


High

Standard practices documented for the recording and updating of asset data


Medium

Fully implement the MyData asset management system across all asset classes.

December 2014

Manager Integrated Strategic Planning /Asset Management Coordinator

Critical

Make the asset management database the Shire’s primary planning tool that feeds asset cost data over the forward estimates period to the Shire’s financial database

December 2014

CEO High

Document the basis of the condition rating to be used for all asset classes

December 2013


Medium

Commission an external asset revaluation of assets


Critical

Asset revaluation data used to populate data fields and verify assets

August 2015 Asset Management Coordinator

High

Revise Asset Management Plans to align to new hierarchy

December 2013

Manager Integrated Strategic Planning / Asset Management Coordinator

High

Develop customer Levels of Service on core assets


Critical

Review Technical Levels of Service to ensure they measure service delivery rather than simply the volume of transactionsNote this has been completed for the Buildings, Roads and Parks and Open Space asset classes

June 2013 Manager Integrated Strategic Planning

High


Governance and Asset Management Practices - Action

Improvement PlanThe following table summarises the asset management framework improvement plan actions.

Summary of Improvement Plan

Section Six




Identify the organisational standard economic assessment document and use as the basis for the demand analysis in the Asset Management Plans and other planning documents

June 2013 CEO Medium

Establish a process to ensure that as assets are inspected or maintained, the condition is assessed and recorded in the asset system

June 2014 Manager Integrated Strategic Planning /Asset Management Coordinator/Directors

Medium

Complete implementation of MyData to provide for the scheduling of maintenance work

October 2015 Asset Management Coordinator

High

Use the asset management database as the repository of the asset data register including replacement cost, remaining useful life, depreciation schedules, Service Level assessments as well as operating costs, resource allocation, assessment and servicing regimes etc.


High

Calculate and report the required key performance indicators: ACR, ASR and ARFR


Critical

The asset management database will be organised in a consistent hierarchy with all assets residing within their respective operational service units


Medium

Establish a process that will monitor or assess the Customer Levels of Service

September 2013

Manager Integrated Strategic Planning

High

Implementation of a measurement framework for Technical Levels of Service

January 2013 Manager Integrated Strategic Planning

High

Update Asset Management Plans with measured Levels of Service

March 2015 Manager Integrated Strategic Planning

High

Develop annual Level of Service report for Council and the community


High

Make use of the asset management database an integral part of staff operational procedures by modifying data entry portals to suit individual roles, providing training and ongoing support, and formalising and recording asset management procedures

June 2014 Asset Management Coordinator/ Manager Information & Communication Services

High

Actively manage the changeover not only in staff procedures but also in Council procedures to suit the new resource allocation process

June 2014 Executive Manager Financial Services/ Asset Management Coordinator/ Manager Integrated Strategic Planning

High

All relevant staff are to be trained to use the Asset Management database

December 2014

Manager Integrated Strategic Planning /Asset Management Coordinator

Medium

Prepare the 2015-16 Budget based on forecasting from integrated Asset Management and Financial database systems


Medium

Fully documented processes are to be established in relation to training staff, recording data and IT support for asset management


High

Review Asset Management Policy, Asset Management Strategy and Asset Management Plans

June 2017 CEO Critical

Action Plan Recommendations When Responsibility Priority Action Plan Recommendations When Responsibility Priority

Section Seven


SECTION SEVEN Asset Management Plan - Airport

Introduction

Background

The community relies on the services and infrastructure provided by Karratha Airport in order to access regional and interstate destinations, for leisure or business purposes. The maintenance and operation of a safe, secure and well managed Airport facility is an important means to achieve this. The Karratha Airport is a 24/7 business, that provides vital links to key destinations. In the event of major incidents, such as cyclone/flood or other natural disasters the facility will play a key role in regional evacuations.

Description of Asset

Karratha Airport is owned and operated by the Shire of Roebourne. The airport services the town of Karratha and surrounding areas. Along with Port Hedland, the Shire of Roebourne is a major export outlet for iron ore, salt and natural gas that are mined and processed from the Pilbara region. The primary function of Karratha Airport is to provide an air link to Perth for the workforce associated with these industries, together with local residents, visitors, tourists and contractors. It provides access to a number of evolving tourist attractions including the Karijini and Millstream National Parks,

and the Dampier Archipelago. The Airport also supports RPT services, air charter operations, general aviation, and the Royal Flying Doctor Service, and large helicopter operations to various offshore oil and gas platforms. Karratha Airport is a security controlled airport.

Section Seven


Services Asset Class

Airside Runways

Taxiways

Aprons

Control tower

Helicopter facilities

Sheds

Workshop

Terminal Building Terminal building

Terminal kiosk

Baggage handling system

Furniture and equipment

Security and CCTV

Signage

Office

Landside Car park

Depot

Roads

Water supply

Power supply

Fleet and plant


Airport Assets Strategic Goals

The Pilbara Planning and Infrastructure Framework outlines the key strategic goals for the long term development of the Pilbara region. The aspirational goal for transport infrastructure is:

“a transport system that provides equitable access for residents and industry; and practical, safe and affordable opportunities for intra-regional, intra-state, inter-state and international travel”

The air transport project objectives that relate to this aspiration include:

Developing the region’s four hub airports to be capable of accepting high frequency services by Code 3 jet aircraft. This will require upgrades to air-side infrastructure, terminal facilities, access and parking; and

Investigating the viability of intra-regional regular passenger air services.

The Shire of Roebourne commissioned the development of a 20-year Master Plan for the Karratha Airport to enable logical development and town planning that will ensure the long-term ability of the airport to serve the Karratha community and the wider regional catchment. This Asset Management Plan has been prepared utilising the data and recommendations of the Karratha Airport Master Plan.

Key Stakeholders

Key stakeholders include:• Airservices Australia;• Domestic airlines;• Department of State Development;• Local residents;• Industry, including, mining, oil and gas,

transport and processing; • Contractors;• Visitors; and• Tourists.

Section Seven


Levels of Service

Community and Customer Expectations

The Shire of Roebourne undertook a Community Needs and Satisfaction Survey in June 2011. The survey identified the following key issues regarding the Karratha Airport. Note the survey was based on the airport service and did not specifically differentiate between airport services and airport assets:

• 8% of respondents indicated that the airport service was a top three priority concern, with just 1% stating it was the number one priority concern;

• However, 51% of respondents indicated that the airport service was an extremely important service provided by the Shire (second only to local roads at 52%);

• The airport was considered amongst the best performing council service areas, relatively speaking;

• Overall, however, the airport was ranked as of high importance but not of high performance.

Legislative Requirements

The Shire of Roebourne has to meet many legislative requirements which are listed in Appendix B. In addition, the airport must meet the following specific significant legislation:

Legislation Comments

Commonwealth Government

Aviation Transport Security Act 2004 Aviation Transport Security regulations 2005

Prescribed minimum requirements for airport security, air operator security, access control, equipment and proceedings.

Civil Aviation Act 1988 Provides the legislative basis for air safety and the network of aviation facilities.Civil Aviation Regulations 1988

Civil Aviation Safety Regulations 1998

Civil Aviation Orders

Air Services Act 1995 Delegates responsibilities to Airservices Australia to manage airspace and air traffic and to provide for Australia’s network of aviation facilities used in aircraft navigation and communication.

Environment Protection and Biodiversity Conservation Act 1999

Federal Legislation for the assessment of projects where impacts on matters of environmental significance may occur. E.g. Listed threatened species and communities, Listed migratory species, Ramsar wetlands of international importance, The Commonwealth marine environment, World Heritage properties, National Heritage places, Nuclear Actions.

Airport Legislative Requirements

Section Seven


WA Government

Planning and Development Act 2005 The overarching statutory planning document for the planning assessment and approval processes within all of WA

Aboriginal Heritage Act 1972 – 1980 Protects Aboriginal heritage sites.

Environmental Protection Act 1986 The Environmental Protection Act contains provisions that protect the State’s environment.

Coastal Protection Act 1979 This act provides protection to the area which falls within the coastal zone. The airport does not fall within this area, however, is adjacent to an area that does fall within it.

Fisheries Management Act 1994 This act is to conserve, develop and share the fishery resources of the State.

Native Vegetation Act 2003 This act promotes the regional management of native vegetation and discourages broad scale clearing.

Rural Fires Act 1997 This act governs the prevention, mitigation and suppression of bush and other fires.

State Planning Strategy Provides a vision to assist strategic decision-making, and principles to guide the way future decisions are made in relation to land use planning.

Karratha Area Development Strategy Sub-regional plan endorsed by Government.

Shire of Roebourne

Shire of Roebourne Town Planning Scheme No. 8 – District Zoning Scheme

Governs all development within the Shire of Roebourne Local Government area.

Legislation Comments


Current Levels of Service

The Shire does not currently have a Service Level in place for the airport but is planning to develop and ratify them as part of the Master Plan revision. Refer below for the current draft Levels of Service for the airport.

Section Seven


Asset Airport

Service Outcome Level of Service Statement

Performance Measure Performance Target Current Performance

Reliability / Safety Compliant with all legislative requirements

Compliant with annual government complying audits

98% Achieved

Quality Facilities that provide a good level of accommodation, provide for anticipated passenger growth, and service our community and customers.

IATA Level ‘C’ Service 95% Not Achieved

Capacity Facilities sufficient for demand

75% of peak hour demand for 2020 (TBC)

90% Not Achieved


Airport Levels of Service Future Demand

Demand Forecast

The major factors impacting upon airport demand are population growth and the workers serving the construction phase of the projects being developed in the Pilbara region. The demand and usage of the Shire’s airport assets should increase proportionally with predicted population growth and predicted worker movements. Slight growth in tourist numbers will also add to total passenger demands.The demand factors and impacts for the airport are summarised below:

Section Seven


Demand Factor Present Position 2020 Projection Impact on Services

Population 25,000 residents 36,000 residents Increasing demand for larger, upgraded terminal facilities

FIFO Workforce Estimated 4,000 – 6,000 FIFO FTEs

Reducing Stable or decreasing impact as projects come online and move into the operational phase

Construction Workforce

5,000 – 7,000 workers Reducing Decreasing impact as projects come online and move into the operational phase

Tourism 120,000 overnight visitors

131,000 overnight visitors*

Additional passenger throughput

Year Low Scenario Medium Scenario High Scenario

2010-11 522,912 666,630 749,549

2011-12 573,893 718,536 834,330

2012-13 590,678 745,690 923,520

2013-14 600,523 796,291 977,605

2014-15 627,713 807,506 1,061,310

2015-16 637,837 818,721 1,074,252

2016-17 647,962 829,937 1,087,195

2017-18 658,086 841,152 1,100,138

Year Low Scenario Medium Scenario High Scenario

2018-19 665,237 854,653 1,122,180

2019-20 672,465 868,370 1,144,664

2020-21 679,772 882,308 1,167,498

2021-22 687,159 896,469 1,190,992

2022-23 694,625 910,857 1,214,855

2023-24 702,173 925,477 1,239,195

2024-25 709,803 940,331 1,264,024

2025-26 717,515 955,424 1,289,349

2026-27 725,312 970,758 1,315,183

2027-28 733,193 986,339 1,341,533


Source:ShireofRoebourne,id.consulting,PICCandAECgroup,PilbaraIndustry’sCommunityCouncil(2010),DepartmentofStateDevelopment(2011)Note:*BasedonforecastgrowthratesforthewholeofWA.

Demand Factors and Impacts – Airport Passenger Demand Forecast and Scenarios

The following table highlights the most recent passenger demand forecasts for the airport. However, there were approximately 850,000 passengers in 2010-11 using the Karratha Airport. Airport passenger movements have recently been growing at a rate in excess of 10% per annum, which exceeds the rate of growth contained in the high scenario. Passenger growth will ensure pressure is maintained on terminal functionality.

Section Seven


Changes in Technology

Anticipated passenger growth will not be matched by aircraft growth, as the Shire expects larger aircraft to be introduced onto Karratha routes in the future. If the airlines wish to introduce Airbus A330 or larger aircraft for major service routes, this may be a driver for developing a new terminal complex.

Demand Management Plan

The Shire has the Karratha Airport Master Plan in place to manage demand into the future. The unprecedented levels of growth in passenger numbers mean that the high scenario forecasts have already been outstripped, and as such the Shire is considering revising the Master Plan to deal with the high level of demand.

New Assets from Growth

As part of the drafting of the Master Plan, Aurecon made a series of suggestions for the Airport:

Asset Suggested Improvements Rating Date

Rater

Terminal Rationalise the front entry points to the terminal 2009 Aurecon

Consider moving security to a point between the check-in counters and the concessions area.

2009 Aurecon

Rationalise the configuration of the concessions area, if the security area is moved consider extending the concession area as required

2009 Aurecon

Consider increasing the size of the departure lounge, by reducing the arrivals hall area

2009 Aurecon

Similarly, consider relocating the Qantas Club to a location adjacent to the departure lounge.

2009 Aurecon

Upgrade the check-in area with the implementation of self-check-in booths, common user counters and modified baggage make up facilities

2009 Aurecon

Expand the luggage claim belts and hall to accommodate expected increased demand, with the expansion being to the west, which would impact on existing air conditioning equipment in this area

2009 Aurecon

Expand operational areas, as required by increased domestic and international demand

2009 Aurecon

Provide increased conference and meeting facilities within the terminal

2009 Aurecon

Accommodation and Tourism

Develop the hotel/ accommodation site, located in the NW precinct of the airport, adjacent to the access road

2009 Aurecon

Develop and lease land for commercial/ leisure/ aviation/ tourism uses within the southern precinct of the airport

2009 Aurecon


Suggested ImprovementsSince the Master Plan was published, the Shire has renewed the helicopter facilities taxiways and apron, the public car park, water and power infrastructure; and made some minor improvements to the terminal. Major modifications to the terminal were budgeted for in both 2011-12 and 2012-13.

Section Seven


Asset Category Amenity Asset Class Asset Type

Airport Airside Apron RPT apron


Asset Hierarchy and Examples


The Karratha Airport Master Plan was drafted by Aurecon on behalf of the Shire and included Aurecon’s assessment of the Airport’s assets:

Amenity Asset Rating Rating Date Rater

Airside Runway Satisfactory 2009 Aurecon

Taxiways Satisfactory 2009 Aurecon

Apron Satisfactory 2009 Aurecon

General Aviation Area Satisfactory 2009 Aurecon

Rotary Wing Apron Satisfactory 2009 Aurecon

Other airside Satisfactory 2009 Aurecon

Terminal Terminal Building Needs improvement, areas of focus:Terminal frontage Check-in areaQantas ClubArrival

2009 Aurecon

Terminal Kiosk Needs improvement 2009 Aurecon

Baggage Handling system

Needs improvement 2009 Aurecon


Needs improvement 2009 Aurecon

Security and CCTV Needs improvement 2009 Aurecon

Signage Needs improvement 2009 Aurecon

Landside Roads and Car* Parks Brand new 2011 Shire of Roebourne

Water supply* Brand new 2011 Shire of Roebourne

Power Supply* Brand new 2011 Shire of Roebourne

Other Landside Satisfactory with suggested long term developments

2009 Aurecon

Note:*TheseassetshavebeenrenewedbytheShireofRoebournesincetheKarrathaAirportMasterPlanwaspublished.Source:ShireofRoebourne2009.

Airport Asset Condition RatingsLife Cycle Management


The asset data for the airport maintained separately on the asset management database MyData and on loose spreadsheets. The asset register is currently incomplete. As the airport asset register is completed, the asset hierarchy will be as in accordance with the following:

Section Seven


Asset Valuations

Asset valuations are on a historical cost basis as an engineering valuation has not taken place. The value of the assets recorded in the Annual Report 2010-2011 was:

Asset Class As at 30 June 2011 ($)

Aerodromes Infrastructure Assets at Cost 36,919,880

Less Accumulated Depreciation

(7,810,562)

Book Value 29,109,318

Source:ShireofRoebourneAnnualReport2010-2011


Risk Management:

The Shire has the Karratha Aerodrome Manual that sets out the risk management process in regards to the airport.

Routine Maintenance Plan:

The Shire has the Karratha Aerodrome Manual that sets out the routine inspection and maintenance procedures. These inspection and maintenance procedures are not recorded in the asset management database.

Renewal/Replacement Plan:

The Shire has adopted the recommendations of the Airport Master Plan. The Shire has renewed the helicopter facilities taxiways and apron, the public car park, water and power infrastructure, and made some minor improvements to the terminal. Major modifications to the terminal were budgeted for in both 2011-12 and 2012-13.

Creation/Acquisition/Upgrade Plan:

The Shire is considering upgrading its operations to be able to push out aircraft from the apron. This would provide two extra parking spaces for aircraft and increase the capacity of the airport. This will be reviewed as part of the revised Master Plan.

Disposal Plan:

The Shire does not currently have any plans to dispose assets related to the airport.

Financial Information

The financial information consists of the following cost centres identified in the Long Term Financial Plan:

• Karratha Airport,• Other Airports, and• Tien Tsin Inn

Section Seven


Long Term Financial Plan

2012-2013 2013-2014 2014-2015 2015-2016 2016-2017

Repairs and Maintenance

$22,500 $23,783 $25,162 $26,672 $28,165

Insurance $0 $0 $0 $0 $0

Finance Costs – Loans

$359,215 $301,924 $855,114 $789,728 $720,991

Depreciation $1,829,450 $1,856,892 $1,884,745 $1,913,016 $1,941,712

Total Expenditure $2,211,165 $2,182,598 $2,765,021 $2,729,416 $2,690,868


2012-2013 2013-2014 2014-2015 2015-2016 2016-2017

Renewals $222,700 $0 $0 $0 $0

New Assets $2,237,900 $2,303,380 $0 $1,433,944 $0

Asset Expansion $15,716,084 $13,483,200 $0 $2,524,954 $0

Land Purchase $0 $0 $0 $0 $0

Loans Repayments $923,076 $967,726 $1,286,382 $1,351,767 $1,420,504

Total Expenditure $19,099,760 $16,754,306 $1,286,382 $5,310,665 $1,420,504Funded by:General Revenue $5,333,239 $0 $0 $0 $0

Grants and Subsidies $0 $0 $0 $0 $0

Developer Contributions

$0 $0 $0 $0 $0

Depreciation $0 $0 $0 $0 $0

Royalties for Regions Reserves

$0 $0 $0 $0 $0

Other Reserves $13,766,521 $6,754,306 $1,286,382 $5,310,665 $1,420,504

Loan Funding $0 $10,000,000 $0 $0 $0

Other Funding $0 $00 $0 $0 $0

Total Funding $19,099,760 $16,754,306 $1,286,382 $5,310,665 $1,420,504

Source:ShireofRoebourneLongTermFinancialPlan


Airport Assets Operational Expenditure Airport Assets Operational Expenditure

Section Seven


Funding Strategy

The current funding strategy is to use revenue to fund airport operational expenditure, and reserves and grants to fund capital expenditure.

The Shire is considering preparing a business case for the corporatisation of the airport. This would allow the airport to support its own balance sheet and fund infrastructure investment with a combination of equity and debt.

Governance and Asset Management PracticesThe airport is managed by the Strategic Business team. Within the team, staff are employed for compliance, operations and commercial functions. The Strategic Business Team is treated as a separate business unit within the council and report to the Director, Strategic Projects and Business.

Key AssumptionsThe key assumptions of this Asset Management Plan are:

• The recommendations of the Karratha Airport Master Plan are valid and are adopted by the Council;

• The passenger numbers through the Karratha Airport are currently in excess of 850,000 which are above the high scenario in the Master Plan, although there is a possibility that passenger growth may slow as the construction phases of projects in the Shire come to an end;

• The airport will have sufficient capacity through to at least 2020, after which a new terminal, aprons and landside facilities may need to be constructed; and

• The current airport terminal is expected to be renewed from 2012-13 to 2013-14.

Improvement PlanThe actions required to improve the Asset Management Plan – Airport are:

Airport:Action Plan Recommendation

When Responsibility

Review the asset hierarchy and data fields captured in MyData to allow for effective asset management moving forward

December 2013 Asset Co-ordinator

Revise Airport Master Plan June 2013 Manager Airport

Develop both Customer and Technical Service Levels as part of the Airport Master Plan review

June 2013 Manager Airport

Develop a complete asset register following a ‘fair value’ asset valuation and audit

June 2014 Asset Co-ordinator

Establish cost centres and project costing to capture operational, maintenance, renewals and new capital expenditure

June 2013 Finance Manager


Improvement Plan - Airport

Section Eight


SECTION EIGHTAsset Management Plan - Waste and Water Recycling

Introduction

Background

This Asset Management Plan covers the infrastructure assets of:

• Land where waste is deposited;

• Waste receptacles including skips, wheelie bins and park bins; and

• Water recycling assets including pipes, values, pumps, reticulation, scrubbers and storage facilities.

Waste Services provides services including collection of residential and commercial bins, disposal of rubbish, operation of waste facilities within the Shire of Roebourne, recycling, and litter control.

Waste collection services include the weekly collection of 240 litre bins from residential and commercial properties within the Shire boundaries. There are

approximately 11,000 standard bin service collections per week and additional services apply for some commercial properties that can account for up to an additional 800 services per week. Collection from residential and commercial properties is performed by side lift rubbish trucks.

Community facilities and public place areas are also serviced by the Shire through the provision of waste bins in areas ranging from beaches/boat ramps to local parks and garden areas. Event organisers also contact the council for the short-term use of waste bins and waste collection services for individual events. Waste is also collected by litter collection staff throughout the shire. All waste is transported for disposal to council’s 7 Mile Waste Facility.The waste collection service also entails the repair and replacement of the 240 litre bins in service.

The Shire has two waste facilities. The 7 Mile Waste Facility is situated approximately 10km from Karratha along

the Dampier Highway. Disposal of waste streams at 7 Mile Waste Facility is the major service provided by the Shire. Disposal of waste streams are designated through the 7 Mile Waste Facility License issued by the DEC which regulates the types of waste accepted and the method of disposal. Waste varies from general domestic waste to biological effluent water. All streams are segregated and disposed of as per regulated requirements.

Wickham Transfer Station is situated mid-way between Roebourne and Wickham and provides a drop off point for domestic rubbish for residential users in the Roebourne, Wickham and Point Samson areas. Some minor commercial general rubbish can be dropped off at the transfer station, however the majority of commercial waste must be transported directly to the 7 Mile Waste Facility in Karratha. All waste received at the Wickham Transfer Station is transported to the 7 Mile Waste Facility by the council for ultimate disposal.

Section Eight


Services Key Assets

7 Mile Tip Facility Weighbridge

Landfill

Sheds

Office and amenities

Windbreaks

Effluent ponds and effluent reuse assets

Landfill amenities

Fencing

Roads and drop off areas

Plant

Wickham Transfer Station Office

Windbreak


Plant

Waste Collection Plant (rubbish bins)

Note:FleetandplantassociatedwithWasteismanagedbyFleetandSmallPlantSource:ShireofRoebourne

Airport Assets Strategic Goals

It is legislated that local governments throughout Australia are to provide waste services for the areas under their control. This may be in the form of contracting out the services or providing the service in house.

Waste Services provides this service in house to the Shire and contributes by providing an on-time and equitable rubbish bin collection service to the community 362 days of the year. Additionally, the waste facilities (7 Mile Waste Facility and Wickham Transfer Station) are open 362 days per year, enabling both domestic and commercial users access all year round to dispose of rubbish. By providing the waste collection services and year round access to waste disposal facilities, Waste Services assists the community to keep domestic and commercial areas rubbish free. Litter crews have been initiated by Waste Services to perform litter collections in all public open space areas in all towns in the Shire.

In the long term, the Shire’s goals for Waste Services include a focus on appropriate asset management and an efficient price setting process to sustainably deal with the ongoing liabilities associated with today’s waste disposal activities. This will ensure that future generations do not bear an unnecessary financial and environmental burden, i.e. intergenerational equity is maintained through the application of user pays pricing principles. Of greatest

importance is the appropriate recognition of the potential liabilities associated with the following issues:

• Landfill rehabilitation;

• Landfill site maintenance; and

• Ongoing site and environmental monitoring costs (including post closure).

Key Stakeholders

Key State agencies include:

• Department of Environment and Conservation (DEC) in relation to the collection, disposal and recycling of waste;

• Department of Health in relation to the provision of a healthy, clean environment; and

• Department of Commerce – WorkSafe in relation to the administration of the Occupational Safety and Health Act 1984.

Private contractors that collect commercial and industrial waste for delivery to the 7 Mile Waste Facility include:

• Veolia;• ToxFree; and• Cleanaway.

Section Eight


Other identified key stakeholders include:

• Local residents; • Local businesses;• Other private waste contractors; and• Industry including, mining, oil and gas,

transport and processing.

Levels of Service


The Shire of Roebourne undertook a Community Needs and Satisfaction Survey in June 2011. The survey identified the following key issues regarding waste facilities:

• Rubbish and tip services were not considered a top priority concern by respondents;

• However, 38% of respondents indicated that rubbish and tip services were an extremely important service provided by the Shire (ranked 10th of all service areas);

• Rubbish and tip services were considered the best performing council service area; and

• Overall, rubbish and tip services were ranked of high importance and high performance.


The Shire of Roebourne has to meet many legislative requirements which are listed in Appendix B.

Specific regulatory requirements related to the waste asset class include:

• Waste Avoidance and Resource Recovery (WARR) Regulations 2008;

• DoE Siting, Design, Operation and Rehabilitation of Landfills;

• DEC Landfill Waste Classification and Waste Definitions 1996 (As Amended 2009);

• EPA Separation Distances between Industrial and Sensitive Land Uses (No. 3);

• Environmental Protection (Controlled Waste) Regulations 2004;

• DEC Code of Practice Rural Landfill Management;

• Health (Asbestos) Regulations 1992;

• DEC Disposal of Material Containing Asbestos Guideline;

• EPA Interim Guidance Statement for the Assessment of Odour Impacts (No.47);

• EPA Guidance for the Assessment of Environmental Factors (No. 6);

• Rural Landfill Environmental Protection Regulations 2002;

• Department of Minerals and Energy (Geological Survey of WA) Guideline Groundwater Monitoring at Municipal Landfill Sites; and

• Landfill operating licence number L7021/1997/13.


The following Level of Service statements have been established.

Section Eight


Level of Service Criteria

Level of Service Performance

Measure Process Performance Target

Current Performance

Reliability Provide 240 litre mobile garbage bins on weekly service basis

Bins collected on designated day

98% Achieved

Complaints of missed bin collections

Minimal Achieved

Quality Provide on time and clean rubbish bin collection service

Satisfaction rating of service by community via Community Survey

High Achieved

Ensure that bins are present and of a serviceable standard

Complaints of missing or unserviceable bins

Minimal Achieved

Capacity Ensure that all businesses only have bins that are paid for

Biennial bin audit 100% Not achieved


Collections – Commercial Level of Service




Current Performance

Reliability Provide on time rubbish bin collection service 362 days of year

Weekly bins collected on designated day

98% Achieved

Complaints of missed bin collections

Minimal Achieved

Quality Provide on time and clean rubbish bin collection service


High Achieved

Ensure that bins are present and of a serviceable standard

Complaints of missing or unserviceable bins

Minimal Achieved

Capacity Ensure that all households only have bins that are paid for

Biennial bin audit 100% Not achieved


Collections – Residential Level of Service

Section Eight





Current Performance

Reliability Provide public place litter bin collection services for designated SoR parks, reserves and beaches

Bins collection on designated daysComplaints of missed bins

98% Achieved

Provide bins at public events as required

High Achieved

Quality Introduce a cleaner ‘feel’ to the Shire of Roebourne town sites and surrounding areas


High Achieved

Capacity Provide the required number of bins on time. Empty the provided bins as agreed

Bins collected following events as required

100% Achieved




Current Performance

Reliability Adherence to regulations for both sites and dispose of waste streams in an appropriate manner

License conditions met 100% Not achieved

Licenses renewed 100% Achieved

Quality Waste facilities functionally/ fit for purposeMinimising landfilling via the adoption of environmentally appropriate methods

DEC AuditsLicence conditionsSustainable Practices

98% Site Management Plan in place to achieve

Capacity Well maintained and suitable landfill that is planned, filled and managed appropriately.

Licence conditions 98% Site Management Plan in place to achieve

Source:ShireofRoebourneAnnualReport2010-2011Source:ShireofRoebourneAnnualReport2010-2011

Collections – Residential Level of Service Facilities – Level of Service

Desired Level of Service and Service Gap

The Shire wishes to achieve all of the performance targets listed in the Level of Service statements.

In order to achieve this, the Shire contracted Bowman and Associates Pty Ltd to carry out a current operations overview

and proposed operational procedures for the 7 Mile Waste Facility. The operations overview combined with staff assessments form the identified service gaps listed below. Identified improvements that have already been implemented or are not deemed to be required are excluded from the following table.

Section Eight


Effluent ponds

Modify the waste water receival area to facilitate the disposal of liquid waste without damaging the crust on the receival ponds – currently under way.

2011 Bowmen & Associates Pty Ltd

Expand effluent reuse for irrigation. 2010 Karratha City of the North Plan

Windbreaks Install litter traps on the perimeter fence stays to trap litter – not required as current fencing is adequate.


Weighbridge Reposition weighbridge office to allow the site visitor and the Weighbridge Attendant to communicate from their workstation/vehicle – part of transfer station development plan at 7 Mile Landfill 12-13.


Waste Collection

Plant (Rubbish Bins)

Need to undertake an audit of rubbish bins every 2 years

2012 Shire of Roebourne


Rater



Rater

7 Mile Waste Facility


The drop off area shop should be progressively developed into a recycling yard and tip shop – part of transfer station development plan at 7 Mile Landfill 12-13.


Area 1 should be utilised for light vehicle waste drop off with rudimentary resource recovery undertaken using the excavator fitted with a gab/magnet and waste loaded into skips for transport to the main waste disposal face – part of transfer station development plan at 7 Mile Landfill 12-13.


Plant Purchase a bulldozer (Caterpillar D7R or equivalent) – ordered as part of 12-13 capital budget.


A heavy equipment/truck wash bay should be constructed at the 7 Mile Waste Facility – part of transfer station development plan at 7 Mile Landfill 12-13.


A water storage capacity of at least 160,000L in the form of above ground tank/s fitted with 50mm CFA camlock fitting should be provided at the site for firefighting purposes – currently under way.


Plant should be purchased to recycle LPG gas cylinders.


Explore options to reduce, reuse or recycle our waste and minimise the overall carbon footprint.

2011 Strategic

Service Gaps

Section Eight


Future Demand

Demand Forecast

The major factors impacting upon waste services demand include population growth and increasing waste volumes resulting from the construction and operational phases of the projects being developed in the Shire in addition to the growth in businesses supporting industry throughout the Pilbara region.

The demand factors and impacts for waste services are summarised below:

Demand Factor Present Position Projection 2020 Impact on Services

Population 22,900 residents 30,000 residents Increasing demand for collection services and access to disposal facilities

Industry Development(major mining, inland and offshore oil and gas, and infrastructure projects)

Pilbara - Devil Creek Development ProjectCarnarvon Basin - Pluto LNG ProjectPilbara - Cape Preston - Sino IronCarnarvon Offshore Basin - Barrow Island - Gorgon Project

Pilbara - Anketell - Anketell Port and SIA (Strategic Industrial Area)Carnarvon Basin - Pluto Project ExpansionPilbara - West Pilbara Iron Ore ProjectPilbara - Burrup Industrial Estate Site D - Burrup NitratesPilbara - Roy Hill Iron Ore Mine & InfrastructurePilbara - Cape Lambert Iron Ore Project

Increasing demand for landfill capacity and waste disposal facilities

Source:ShireofRoebourne,id.consulting,PICCandAECgroup,PilbaraIndustry’sCommunityCouncil(2010),DepartmentofStateDevelopment(2011)

Demand Factors and Impact – Waste Services Changes in Technology

Technology/operational changes forecast to impact the provision of waste services and associated assets are outlined in the following table. Alternative Waste Technologies are unlikely to be viable for the foreseeable future given relative cost when compared with landfill.

Section Eight


Change Impact on Services

Increased recycling of household waste

Increased demand on waste collection and increase in cost due to transportation of recycled material to processing facility.

Effluent re-use Installation of effluent treatment and distribution infrastructure.


Technology and Impact


Demand for new services will be managed through a combination of existing assets, upgrading existing assets and new assets to meet demand requirements. There is no specific demand management plan developed at this stage in relation to waste assets.

Staff indicate that resourcing levels are adequate although some new assets are required. The landfill has remaining available airspace capacity equivalent to a life of 25-30 years, even taking into account population growth. If there is a redevelopment of the landfill it will be due to its current location and its proximity to new land developments.


The council will construct new waste assets required to meet growth, with the following specific new assets identified in the Long-Term Financial Plan:

Asset Timeframe Cost Funding

Site Office and Weighbridge and Transfer Station

2012-13 $1,160,000 Capital Works Budget 2012-2013

Waste pond redevelopment

2012-13 $331,000 Capital Works Budget 2012-2013

Effluent Reuse plan 2012 to 2015 tbc $23 million Grant

Washdown Bay 2012-13 $197,500 Capital Works Budget 2012-2013


New Major Assets Identified in the Long Term Financial Plan



The asset data for waste assets are maintained separately on the asset management database MyData and on loose spread sheets.


The landfill is estimated to have enough capacity for another 25-30 years of service. Other assets to improve the capacity

and performance of waste collection and disposal services are listed at Table 7.6. As the Shire does not have a fully implemented asset database, it does not measure asset capacity and performance on a regular basis.

As part of the current operations overview, Bowman and Associates Pty Ltd carried out a condition assessment of all waste assets with the outcomes summarised below, in addition to more recent Council ratings where applicable.

Section Eight


Amenity Asset Rating Rating Date

Rater

7 Mile Tip Facility

Landfill Needs improvement 2011 Bowmen & Associates Pty Ltd

Effluent ponds and effluent reuse assets

Needs improvement 2011 Bowmen & Associates Pty Ltd

Plant Satisfactory 2012 Shire of Roebourne


Needs improvement 2011 Bowmen & Associates Pty Ltd

Weighbridge Needs improvement 2011 Bowmen & Associates Pty Ltd

Store and Shed Needs improvement 2011 Bowmen & Associates Pty Ltd

Windbreaks Satisfactory 2012 Shire of Roebourne

Wickham Transfer Station

Office Satisfactory 2012 Shire of Roebourne

Windbreak Satisfactory 2012 Shire of Roebourne


Satisfactory 2012 Shire of Roebourne


Waste Collection



Waste Asset Condition Ratings

Asset Valuations

Asset valuations are on a historical cost basis as an engineering valuation has not taken place. The value of the assets is not separately identified as Waste and Water Recycling are not shown as a separate asset class in the financial statements.


Risk Management:

As part of the current operations overview, Bowman and Associates Pty Ltd carried out a risk assessment and found:

• Unnecessary risk of injury to weighbridge operator, with the solution being to change the work method or re-position the weighbridge office to allow the site visitor and the Weighbridge Attendant to communicate from their workstation/vehicle; and

• A fire risk assessment should be carried out by Fire and Emergency Services Authority of Western Australia (FESA) to assess the risk of fire and to make recommendations for preparation of a Fire Management Plan.


The Shire does not have an explicit routine maintenance plan in place.


The current operations overview and proposed operational procedures for the 7 Mile Waste Facility (Shire of Roebourne, 2011a) forms the basis of the Shire’s asset renewal and replacement plans. A summary of the Shire’s planned asset renewal and replacements are provided in Table 7.6.


The current operations overview and proposed operational procedures for the 7 Mile Waste Facility (Shire of Roebourne, 2011a) form the basis of the Shire’s asset creation/acquisition/upgrade plans.

Disposal Plan:

The current operations overview and proposed operational procedures for the 7 Mile Waste Facility (Shire of Roebourne, 2011a) forms the basis of the Shire’s asset disposal plan.

Section Eight



The financial information consists of the following cost centres identified in the Long Term Financial Plan:• Landfill Operations, and• Waste Collection.


2012-2013 2013-2014 2014-2015 2015-2016 2016-2017

Repairs and Maintenance

$0 $0 $0 $0 $0

Insurance $0 $0 $0 $0 $0

Finance Costs – Loans

$12,444 $2,252 $0 $0 $0

Depreciation $611,570 $620,744 $630,055 $639,506 $649,098

Total Expenditure $624,014 $622,995 $630,055 $639,506 $649,098


2012-2013 2013-2014 2014-2015 2015-2016 2016-2017

Renewals $1,504,000 $0 $0 $0 $0

New Assets $0 $0 $0 $0 $0

Asset Expansion $1,786,000 $0 $0 $0 $0


Loans Repayments

$152,074 $79,707 $0 $0 $0

Total Expenditure $3,442,074 $79,707 $0 $0 $0

Funded by:

General Revenue

$2,432,289 -$1,836 -$83,827 -$86,342 -$88,587

Grants and Subsidies

$0 $0 $0 $0 $0

Developer Contributions

$0 $0 $0 $0 $0



$0 $0 $0 $0 $0

Other Reserves $930,385 $0 $0 $0 $0

Loan Funding $0 $0 $0 $0 $0

Other Funding $79,400 $81,544` $83,827 $86,342 $88,587

Total Funding $3,442,074 $79,707 $0 $0 $0



Waste Assets Operational Expenditure

Waste Capital Expenditure and Funding

Section Eight


Waste and Water Recycling:Action Plan Recommendation

When Responsibility

Audit the asset register for completeness December 2013 Waste Manager/Asset co-ordinator

Implement the recommendations of the Current Operations Overview and Proposed Operational Procedures for the 7 Mile Waste Disposal Facility (Shire of Roebourne, 2011a), especially the actions related to license non-compliance, fire and weighbridge risk management. It is noted that any licence non-compliance issues had all been rectified as at July 2012.

December 2012 Waste Manager

Undertake biennial bin audits from 2012 onwards. June 2013 Waste Manager


Improvement Plan – Waste and Water RecyclingFunding Strategy

The current funding strategy is to use revenue to fund waste operational expenditure, and reserves and fund capital expenditure. The Shire is seeking grant funding for the Effluent Re-use plan. No financial plans are currently in place to fund landfill site closure and aftercare.

Governance and Asset Management Practices

Governance

Waste services is managed by the Strategic Business team, which also manage the airport. The Strategic Business Team is treated as a separate business unit within the council and report to the Director, Strategic Projects and Business.

Operational Procedures Manual

A comprehensive review of the entire waste management operations within the Shire of Roebourne was undertaken by Bowman & Associates Pty Ltd in 2009/2010 and documented in the Shire of Roebourne Review of Waste Management Services. Following further

visits the Current Operations Overview and Proposed Operational Procedures for the 7 Mile Waste Disposal Facility (Shire of Roebourne, 2011a) were completed.

The assessment showed that there were several areas on non-compliance that have subsequently been addressed to reach a compliant condition.


• The recommendations of the Current Operations Overview and Proposed Operational Procedures for the 7 Mile Waste Disposal Facility (Shire of Roebourne, 2011a) are valid and adopted by the Council;

• The 7 Mile Waste Facility has a remaining operational life of 25-30 years; and

• The Effluent Reuse Plan will only go ahead if the applications for grants are successful.

Improvement PlanThe actions required to improve the Asset Management Plan – Waste and Water Recycling are:

Section Nine


SECTION NINETransport and Drainage

Introduction

Background

This Asset Management Plan covers the infrastructure assets of roads, bridges, pathways, roundabouts, kerb and channelling. It also includes the drainage infrastructure assets of stormwater drains, culverts and stormwater quality improvement devices.

The council is responsible for the majority of roads within the Shire, although some roads are private access roads and other roads as listed below are the responsibility of Main Roads:

• Madigan Road;

• Karratha Road;

• Dampier Highway (begins at Karratha Road turnoff);

Services Key Assets

Sealed Roads 223kms of sealed roads

466 road signs

Verges and streetscapes

Unsealed Roads 396kms of unsealed roads

Bridges 78 Bridges

Pathways 65kms of pathways

Boat Ramps Dampier boat ramp

Karratha Back Beach boat ramp

John's Creek boat ramp

Cossack boat ramp

Drainage 30 path culverts

3 path floodways

Approximately 300 road culverts


Transport and Drainage Asset Summary

Roads are further classified by the road function and the significance of the road. The following table outlines this classification.

• Burrup Road, Dampier (not Point Samson);

• Point Samson – Roebourne Road; and

• North West Coast Highway.

Description of Assets

The following table provides a high level summary of the council’s transport and drainage assets.

Section Nine


Road Hierarchy Road Function Significance

Access Road Providing access to the property Low

Local Distributor Providing access to the property as well as linking other types of roads in the hierarchy (Access Roads, District Distributor B, District Distributor A, Primary Distributor and Private Roads)

High

District Distributor B Providing access to the property as well as linking other types of roads in the hierarchy (Access Roads, Local Distributor, District Distributor A, Primary Distributor and Private Roads)

Very High

District Distributor A Providing access to the property as well as linking other types of roads in the hierarchy (Access Roads, Local Distributor, District Distributor B, Primary Distributor and Private Roads)

Very High

Primary Distributor Main Roads WA roads that connect towns None

Private Roads Private property roads and not a Shire responsibility None


Road Classification

Strategic Goals

The Strategic Plan 2011-21 identifies the general road transport issues in the Shire, which were identified as including:

• Growing traffic volumes will put pressure on the road network’s safety, efficiency and reliability, with regional through traffic including very large heavy vehicles coming into increased conflict with local traffic – particularly during peak hours in town sites; and

• Operational conflicts will grow with the increased movement of pre-assembled large module transport across the road network to service the resource sector.

The Karratha: City of the North Master Plan outlines the key strategic goals for the long-term development of the Shire. The aspirational goal for Infrastructure and Resources is:

Economically efficient infrastructure for industry and households designed for the efficient use of energy, water, materials and transport.

The project objectives that relate to the achievement of this goal include:

• Best practice water consumption;

• Energy efficient built form;

• Energy efficient lighting, equipment and appliances;

• Best practice materials efficiency; and

• Effective and well utilised public transport.

The aspirational goal for Built Environment and Public Realm is:

An urban form that reflects the intrinsic qualities of the site context, characteristics and relationships and compliments the natural environment; with centres that are vibrant, dynamic, diverse and functional.

The project objectives that relate to the achievement of this goal for the Transport and Drainage asset class include:

• A network and hierarchy of streets and public spaces that provide permeability and legibility; and

• An integrated movement network that ensures the scale of the safe movement of pedestrians, cyclists and vehicles.

The Pilbara Planning and Infrastructure Framework outlines the key strategic goals for the long-term development of the Pilbara Region. The aspirational goal for transport infrastructure is:

A transport system that provides equitable access for residents and industry; and

practical, safe and affordable opportunities for intra-regional, intra-state, inter-state and international travel.

The road transport project objectives that relate to the achievement of this goal include:

• Investigation of a coastal road between Karratha and Wickham;

• Enhancing access at the region’s ports − Dampier, Port Hedland, Cape Lambert and Anketell;

• Upgrades to Newman-Marble Bar Road;

• Construction of a new road between Millstream and Tom Price;

• Upgrades to road pavement along heavily trafficked sections of the Great Northern and North West Coastal Highways; and

• Development of viable public transport systems in the two Pilbara cities (Karratha and Port Hedland).

Section Nine


Key Stakeholders

Key stakeholders include:• Main Roads;• Dampier Port Authority;• Department of State Development;• Local residents;• Industry including, mining, oil and gas,

transport and processing; • Contractors;• Visitors; and• Tourists.

Levels of Service


The Shire of Roebourne undertook a Community Needs and Satisfaction Survey in June 2011. The survey identified the following key issues regarding transport infrastructure:

Roads

• 13% of respondents indicated that roads was a top three priority concern, with 3% stating it was the number one priority concern;

• However, 52% of respondents indicated that roads were an extremely important service provided by the Shire (ranked 1st of all service areas);

• Local roads were considered one of the worst performing council areas; and

• Overall, local roads were ranked as of high importance but low performance.

Footpaths and Cycleways

• Footpaths and cycleways were not considered a top priority concern by respondents;

• However, 36% of respondents indicated that footpaths and cycleways were an

extremely important service provided by the Shire (ranked 12th of all service areas);

• Footpaths and cycleways were considered amongst the worst performing council areas, relatively speaking; and

• Overall, footpaths and cycleways were ranked as of high importance but low performance.

Parking

• Parking was not considered a top priority concern by respondents;

• However, 34% of respondents indicated that parking was an extremely important

Section Nine


service provided by the Shire (ranked 13th of all service areas);

• Parking was considered amongst the worst performing council areas, relatively speaking; and

• Overall, parking was ranked as of relatively low importance and low performance.

Streetscapes and Verges

• Streetscapes and verges were not considered a top priority concern by respondents;

• However, 26% of respondents indicated

that streetscapes and verges were an extremely important service provided by

the Shire (ranked 18th of all service areas);

• Streetscapes and verges were considered one of the worst performing council areas; and

• Overall, streetscapes and verges were ranked as of relatively low importance and low performance.

Boat Ramps and Marine Facilities

• 10% of respondents indicated that boating and camping was a top three priority concern, with 3% stating it was the number one priority concern;

• Further, 26% of respondents indicated that boat ramps and marine facilities

were an extremely important service provided by the Shire (ranked 19th of all service areas);

• Boat ramps and marine facilities were considered amongst the best performing council areas, relatively speaking; and

• Overall, boat ramps and marine facilities were ranked as of low relatively low importance but of high performance.

Section Nine



The Shire of Roebourne has to meet many legislative requirements which are listed in Appendix B. Although there likely to be specific legislative requirements related to the Transport and Drainage asset class, these have not yet been identified in the Asset Management Plan.


Currently the Shire does not have levels of service but it is in the process of developing Operational levels of service for Road Reserves. Technical level of service and Community levels of service are not yet developed however development of these levels of service has been identified as improvement opportunities for the Shire to achieve robustness in the Asset Management Process and to head towards a service centric approach.

Future Demand

Demand Forecast

The major factors impacting demand for transport and drainage assets include population growth, industry development, and other transport channels. The demand factors trends and impacts are summarised below:


Population 25,000 residents 36,000 residents Increasing demand for additional and improved transport and drainage assets




Industry Development (major mining, inland and offshore oil and gas, and infrastructure projects)

Pilbara - Devil Creek Development ProjectCarnarvon Basin - Pluto LNG ProjectPilbara - Cape Preston - Sino IronCarnarvon Offshore Basin - Barrow Island - Gorgon Project Pilbara - Burrup Industrial Estate Site D - Burrup Nitrates

Pilbara - Anketell - Anketell Port and SIA (Strategic Industrial Area)Carnarvon Basin - Pluto Project ExpansionPilbara - West Pilbara Iron Ore ProjectPilbara - Cape Lambert Iron Ore Project


Main Roads/Other Transport Channels




Change Impact on Services

Product improvements

Better bitumen stabilising products improving finish of roads with less likelihood of failure.

Precast prefabricated bridges

Lower cost bridges enable more economical upgrades.



Demand Factors and Impact – Transport and Drainage

Technology and Impact


Technology changes forecast to affect the Transport and Drainage assets are:


Transport

Although the existing road network in Karratha operates satisfactorily with current traffic levels, anticipated town centre expansion and redevelopment, population and traffic growth will necessitate transport network redesign including major upgrades to provide appropriate infrastructure support to the community in the future.

Some key projects already identified by Council include:

• Dampier Highway streetscaping was initially a project to prepare a Master Plan to inform the future upgrading of the verge treatments, creation of bus shelters and public art, central median

Section Nine


promotional banners and roundabout beautification. This is to lead to the construction of agreed works aimed at upgrading the visual appearance of Dampier Highway and creating a streetscape befitting this important transport route within Karratha. Stages 1A and 1B of the Dampier Highway duplication project were recently completed, resulting in a dual carriageway between Balmoral Road east and west, and roundabouts at Broadhurst, Bathgate Road, Gailbraith and Balmoral Road west. Stages 2-6 of the project involve the design and construction of 12.3 kilometres of dual carriageway highway from Balmoral Road west to the Burrup Peninsula Road, which will involve several intersections, strengthening work and

a new bridge at Seven Mile Creek. The project will improve the road network’s safety and efficiency by minimising the conflict between residential, business and heavy haulage vehicles and optimising traffic flow, and is due to be completed by late 2012 at an estimated cost of $90 million (including a Federal Government contribution of $80 million);

• There are also numerous road works associated with new residential subdivisions;

• Work has also recently commenced on improvements to Dampier Highway near the Karratha Industrial Area;

• Work on a key road connection from Karratha to Tom Price is in progress and

Stage 2 was opened in August 2008. When complete, the road will provide a valuable link between Karratha and the central Pilbara as well as improve road safety and boost tourism. The road now extends 115 kilometres from Karratha to Barowanna Hill. Completion of Stages 3 and 4, which extends the road 158 kilometres from Barowanna Hill to the Nanutarra-Munjina Road, is subject to funding availability; and

• Other road upgrades are being planned for the short and medium-term including the $14 million reconstruction of Burrup Peninsula Road to provide a number of passing lanes, and the provision for a truck breakdown area at Two Mile at a cost of about $4 million.

Medium to long-term road proposals include the construction of a second airport access road, upgrading the Burrup Peninsula Road to four lane divided road standard and a new Karratha Western Bypass route to replace Madigan Road as the primary freight route to the Burrup Peninsula. The development of a more direct road link between Karratha and Wickham/Mount Anketell is also being considered.

One of the major road network upgrades, still in the planning stage, is the Balmoral Road-Searipple Road (Northern Bypass) link. This bypass would directly connect Balmoral Road (eastern section) with Searipple Road (western section) bypassing the town centre along the northern perimeter. This bypass is likely to relieve traffic congestion and improve permeability

Section Nine


to the north of the town centre. The exact alignment and construction timeframe of this bypass is not yet confirmed.

Parking

Karratha has centrally located, parking areas (particularly around the shopping mall), which are typically underutilised. There are currently over 2,000 parking bays available within the town centre zone alone.

A parking survey undertaken in December 2009 showed that the highest overall parking occupancy across the whole town centre was 55% on Friday (12AM-1PM) and 53% on Saturday (1PM-2PM). The main shopping centre car parks (966

spaces including disabled and loading zones) were up to 73% full on Friday and up to 85% full on Saturday. There is a significant amount of spare parking capacity in the surrounding parts of the town centre zone at all times.

However, most spare parking currently has poor accessibility from the central part of the town centre. Current parking usage is strongly dominated by the tendency to park in the car park closest to the destination. Few people were observed walking to multiple destinations or from more distant car parks to the shopping centre. This is probably because drivers can always anticipate that empty bays will be available in their car park of choice. Future improved accessibility to spare

parking capacity is unlikely to change this trend, so the more distant spare capacity is only likely to be used during periods of exceptionally high demand.

Stormwater

Future development plans will require appropriate space for the integration of storm water conveyance channels/swales to cater for large storm event flows. The landscape treatment of the drainage facilities to suit the proposed urban form provides opportunity to provide a higher amenity locality.

In order to optimise the use of spare land within existing drainage corridors and confirm potential drain relocations,

it is recommended that detailed two-dimensional drainage modelling be undertaken to accurately determine the extent of land free to be developed and appropriate property development levels. For future development of the City Centre, it is critical to maintain low points in road pavements discharging overland flow to drainage lines and depressions in vacant land. Development of vacant parcels of land requires the accommodation of existing natural flood routes or the creation of constructed large storm event conveyance corridors.

Section Nine




The asset data for Transport and Drainage assets are maintained separately on the asset management database MyData and on loose spreadsheets (particularly the financial data).


The Shire’s Transport and Drainage services are generally provided to meet design standards where these are available. Deficiencies are identified from local knowledge and asset register information and will be further developed moving forward.

The MyData database contains raw condition assessments for sealed and unsealed roads, which include:

• Asphalt raw score;• Binder raw score;• Cracking raw score;

Asset Category

Asset Type Max Raw Score Kms Rating Date

Rater

Sealed Roads

Sealed Roads 1 Negligible damage 32 2010 Cardno

2 Slight damage 44 2010 Cardno

3 Moderate damage 92 2010 Cardno

4 Severe damage 40 2010 Cardno

5 Extreme damage 15 2010 Cardno

Road signs Unrated

Street lighting Unrated

Unsealed Roads

Unsealed Roads 1 Negligible damage 2.5 2010 Cardno, Shire of Roebourne

2 Slight damage 64 2010 Cardno, Shire of Roebourne

3 Moderate damage 120 2010 Cardno, Shire of Roebourne

4 Severe damage 140 2010 Cardno, Shire of Roebourne

5 Extreme damage 71.5 2010 Cardno, Shire of Roebourne

Bridges Unrated

Boat Ramps Unrated

Pathways Unrated

Drainage Unrated


Transport and Drainage Condition Assessment

• Kerbs raw score;• Local defects raw score;• Rutting raw score;• Stone condition raw score; and• Stripping raw score.

The assessments for unsealed roads include:

• Crossfall condition raw score; and• Formation condition raw score.

The raw scores are assessed against criteria set out in the Road Data Collection Manual.

Section Nine


The identified service gaps for transport and drainage assets are outlined in the following table.

Asset Category

Asset Type Suggested Improvements

Sealed Roads

Sealed Roads Bring all roads up to service level 3 or better in order to improve service delivery and reduce risk.

Road signs Have assets rated

Street lighting Have assets rated

Unsealed Roads

Unsealed Roads Bring all roads up to service level 3 or better in order to improve service delivery and reduce risk.

Bridges Have assets rated

Boat Ramps Have assets rated

Pathways Have assets rated

Drainage Have assets rated

Asset Class As at 30 June 2011 $

Roads Infrastructure Assets at Cost 65,954,092

Less Accumulated Depreciation (44,635,126)


Footpaths Infrastructure Assets at Cost 6,670,233



Bridges & Culverts Infrastructure Assets at Cost 5,141,229



Drainage Infrastructure Assets at Cost 1,209,325

Less Accumulated Depreciation (499,124)

Book Value 710,201

Boat Ramps & Jetties Infrastructure Assets at Cost 2,415,002


Book Value 984,323



Service Gaps

The Shire is already considering undertaking an engineering asset revaluation exercise which would give a baseline set of condition ratings for the transport and drainage assets.

The Shire s currently under the process of developing condition data assessment regime.

Asset Valuations

Asset valuations are on a historical cost basis as an engineering valuation has not taken place. The value of the assets recorded in the Annual Report 2010-2011 was:

Section Nine



Risk Management:

The only explicit risk management practice the Shire has in place is to close unsealed roads in preparation for cyclones. The Shire is considering the appointment of a full-time assessor to inspect infrastructure assets.


Maintenance work is not carried out on assets which are planned for any type of renewal, upgrade or expansion work in the near future.

Upon inspection, if the asset is identified as not sustainable to maintain, it will be referred to the Shire’s future budgeted works and until then all reasonable steps will be taken in order to make it safe as far as possible.

The Shire is in the process of establishing proactive inspection regime and reactive maintenance regime.


Refer to the Shires annual renewal, upgrade and expansion schedule for all works other than maintenance.


The Shire is currently developing a creation/acquisition/upgrade plan.

Disposal Plan:

No assets in this transport and drainage Asset Management Plan are identified for disposal.



• Roads and Streets,• Community Safety (Transport),• Depots (Transport),• Footpaths and Bike Paths,• Ranger Services (Transport),• Town Beautification (Transport), and• Drainage.


2012-2013 2013-2014 2014-2015 2015-2016 2016-2017

Repairs and Maintenance $0 $0 $0 $0 $0

Insurance $0 $0 $0 $0 $0

Finance Costs – Loans $0 $0 $0 $0 $0

Depreciation $3,122,550 $3,169,388 $3,216,929 $3,265,183 $3,314,161



2012-2013 2013-2014 2014-2015 2015-2016 2016-2017

Renewals $1,713,172 $3,150,970 $3,499,909 $3,887,553 $4,318,311

New Assets $100,161 $0 $0 $0 $0

Asset Expansion $2,162,333 $1,890,401 $2,076,939 $2,282,797 $2,510,084


Loans Repayments $0 $0 $0 $0 $0


Funded by:

General Revenue $359,372 $1,901,099 $2,660,345 $3,169,214 $3,734,584

Grants and Subsidies $1,255,690 $636,977 $707,516 $785,879 $872,958

Developer Contributions $0 $0 $0 $0 $0



$998,604 $0 $0 $0 $0

Other Reserves $1,164,050 $2,300,000 $2,000,000 $2,000,000 $2,000,000


Other Funding $197,950 $203,295 $208,987 $215,257 $220,853

Total Funding $3,975,666 $5,041,371 $5,576,848 $6,170,350 $6,828,395



Roads and Roads Related Asset Operational Expenditure

Roads and Roads Related Asset Operational Expenditure

Section Nine


Funding Strategy

The current funding strategy is to use rates and grants to fund:

• Road gravel resheet/reconstruction;• Road reconstruction;• Asphalt reseals;• Chip seal;• Regional road works;• Improvement program for footpaths;• Major tree planting; and • Streetscape improvement.

Reserves will mainly be used to fund:

• Entry statements; and • Some footpaths.


Asset Management Process

The asset management process is reliant on the operational knowledge of the staff. Work is done on a settlement area by area basis in order to minimise costs. Those areas needing the most work are prioritised. Major projects are contracted out with the council doing minor works and routine maintenance on the dirt road network.

Standards and Guidelines

The Shire and its contractors comply with the Guide to Road Design.

Key AssumptionsThe key assumptions of this asset management plan are:

• That the Shire will continue to use the MyData asset management package; and

• That a ‘fair value’ asset valuation and audit will occur in 2012-13.

Improvement PlanThe actions required to improve the Asset Management Plan – Transport and Drainage are:

Transport and Drainage: Asset Type Suggested Improvements

Action Plan Recommendation When Responsibility

Review the asset hierarchy and data fields captured in MyData to allow for effective asset management moving forward


Develop a complete asset register following a ‘fair value’ asset valuation and audit


Establish cost centres and project costing to capture operational, maintenance, renewals and new capital expenditure

June 2014 Finance Manager

Bridges Have assets rated

Boat Ramps Have assets rated

Pathways Have assets rated

Drainage Have assets ratedSource:ShireofRoebourne

Improvement Plan – Transport and Drainage

Section Ten


Services Asset Class Key Assets

Buildings Staff Housing 64 staff houses owned by the Shire

2 Leased houses

Buildings 2 Shire Administration Offices

Karratha and Roebourne Depot

Emergency Service Buildings

15 Heritage Buildings

Water Buildings

Shelters

Community Facilities (excluding and including buildings)

Recreation and Sport

Bulgarra Sporting Precinct

Gus Jager Oval

Karratha Bowling Club

Karratha Indoor Cricket Facility

Kevin Richards Memorial Oval

Pegs Creek Oval

Roebourne Golf Club

Roebourne Racecourse

Roebourne Youth Precinct

Aquatic and Leisure Centres

Roebourne Aquatic Centre

Karratha Aquatic Centre

Karratha Leisure Centre

Amenities 12 toilets

Health Care Karratha Child Health Clinic

Millars Well Child Health Clinic

Roebourne Community Health Clinic

Wickham Child Health Clinic

Basset Road Units

Building and Community Facilities AssetsSECTION TENBuildings and Community Facilities

Introduction

Background

The Shire is the owner and custodian of a substantial portfolio of buildings that provide the community with the ability to recreate and interact, and for the staff to carry out the functions of the council in the most effective manner.

The council’s buildings play a vital role in making the Shire of Roebourne a special place to live and work, and it is important that these built assets meet a Level of Service acceptable to the community, staff and other key stakeholders now and into the future.

This Asset Management Plan also covers the building assets that are utilised for the delivery of community services, including facilities for community, recreational, commercial and council operational use. These buildings and facilities are held under a number of differing tenures including freehold, trustee, state and federal government agreements, and leased arrangements.


The following table provides a high level summary of council buildings and community facilities.

Section Ten


Community Facilities (excluding and including buildings) cont.

Social/Cultural Karratha Entertainment Centre

Karratha Library

Roebourne Library

Roebourne Community Centre

Wickham Library

Dampier Library

Frank Butler Community Centre

Pam Buchanan Family Centre

The Youth Shed

Services Asset Class Key Assets


The Karratha Leisure Centre is a large multi-purpose Recreation Centre due to become operational in 2012. It will cater for a wide range of programs in the following areas:

• Fitness Centre;• Indoor Sports Courts;• Gymnastics Club;• Dance Groups;• Group Fitness Activities (Aerobics);• Children’s / youth programs; and• Crèche and Holiday Activity Programs.

The Aquatic Centres both provide for the aquatic, fitness, social and health needs of the residents and visitors to the Shire. In addition to the provision of aquatic pool space, the Centres offer the following programs:

• Swimming Club;• Water Polo Club;• Triathlon Club;

• Learn to Swim school;• Children’s / youth programs (Flippa Ball,

etc.); and• Educational Programs (Bronze

Medallion, etc.).

Karratha Youth and Family Centre is an integrated family centre focuses largely on children and youth development and includes:

• Youth Centre with fitted out sound and lighting equipment for stage shows;

• Indoor Play area for children under the age of 12yrs;

• Commercial Café; and• Skate Park.

Frank Butler Community Centre is a multi-purpose community facility which includes:

• Change rooms;• community hall with seating capacity for

120 people;

• Meeting Space; and• Commercial Kitchen.

Pam Buchanan Family Centre is a new facility, targeted at being a contemporary, innovative ‘one stop’ family centre incorporating purpose-specific facilities to meet the functional needs of families, support best practice child development, family support programs & services and opportunities that foster neighbourhood identity, and encourage community participation and liveability. It incorporates:

• Child care;• Family services;• Infant health clinic;• Playgroup facilities;• Commercial Café; and• Meeting Spaces.

Sport is very popular in the Shire of Roebourne, with almost every sport being

represented and catered for. The Karratha Entertainment Centre (KEC) manages bookings for the following ovals: Bulgarra East & West, KEC, Pegs Creek, Kevin Richards Memorial (formally Millars Well Oval), Tambrey and Roebourne School.

Ovals can be used for various sporting events and private or work functions. Bulgarra East and West, Pegs Creek, Kevin Richards Memorial and Roebourne School Oval are equipped with lighting. Many of these ovals have established Pavilions and Clubroom facilities which are maintained and booked by the Shire staff.

The Shire of Roebourne has four libraries at Karratha, Dampier, Roebourne and Wickham. The Karratha Community Library is situated at the Pilbara TAFE and is a joint use library serving the public as well as the staff and students of the educational facility. The Karratha Community Library

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has many resources including Aboriginal, Pilbara and language learning collections. It also houses the Shire’s local history collection.

Cossack is a local town listed by the Heritage Council of Western Australia. The Shire of Roebourne provides the services of Caretaker and Assistant Caretaker to ensure the operation of the historic town. Services include low cost accommodation, venue hire, maintaining historic buildings and the museum, cultural events and the provision of kiosk/refreshment facilities.

The council manages and operates over 20 playgrounds throughout all of the towns in the Shire of Roebourne. Each playground site is inspected, maintained and audited (if necessary) on a regular basis to provide a safe play environment.

The council also manages four skate parks or like facilities. The Nickol West Skate Park, Dampier Skate Park and Wickham Skate Park are solely maintained by the Shire, while the Point Samson Skate Ramp is managed via a MOU in place between the Shire and Point Samson Community Association.

Community Facilities is responsible for maintaining and negotiating formal agreements with local community sporting groups and associations either through a lease or MOU to develop and maintain community sporting facilities. For example, existing leases include those with the

Karratha BMX Club, Karratha Kart Club and the Shooting club for the land upon which their club facilities are located.

Buildings are classified by the building function and the significance of the building. The following table outlines this classification.

Building Hierarchy Building Function Significance

Amenities & Structures Independent structure providing service or storage, shed or shelter, e.g. garden shed, coaches’ box. Toilet box etc.

Low – Level 1

Recreation Buildings These buildings are mainly associated with the recreation activities used by general public, e.g. Pavilion etc

Medium – Level 2

Community Buildings Buildings mainly used by community and used for the purpose of community activities like community centre, family centre and any building or structure within the property boundaries of such buildings.

High – Level 3

Corporate & Premium Buildings

Multi functional buildings mainly used by general public or staff, e.g. airport terminal, shire administration building, Pam Buchanan Family Centre, Karratha Leisure Center, SES building etc.

Very High – Level 4


Building Classification

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Strategic Goals

The Shire’s strategic goals for Buildings and Community Facilities are laid out in the Shire’s Strategic Community Plan: 2012–2022 as per the following table:

Our Programs Our Services 2012-13 2013-14 2014-15 2015-16 2016-17

1.a.2.6

Operate Community Facilities 1.a.2.6.1 Provide Community Facilities

1.a.2.6.2 Deliver Community Infrastructure Improvements

1.a.3.2

Maintained public open spaces to the highest standard

1.a.3.2.2 Improvement of Open Space as per community nee

1.b.5.1

Review and Implement changes to Community Business Plans

1.b.5.1.1 Implement Community Facility Business Plans

1.d.1.2

Provide a contemporary, innovative family facilities that provide a variety of family oriented services

1.d.1.2.1 Ensure Shire facilities are managed and operated effectively.

1.d.2.1

Support sporting community groups to develop and grow

1.d.2.1.1 Deliver the Club Development Scheme

1.f.1.2

Extend community use of school facilities for youth activities.

1.f.1.2.1 Undertake discussions with school principals to identify facilities that can be hired or used for after hour use to support child and youth projects or programs

1.f.1.3

Support young people to take ownership of places and spaces by delivering activities and programs for youth.

1.f.1.3.1 Maintain the skate parks and investigate provision for additional skate parks

1.f.1.5

Extend community use of school facilities for youth activities.

1.f.1.5.1 Undertake discussions with school principals to identify facilities that can be hired or used for after hour use to support child and youth projects or programs

1.f.1.6

Identify potential sponsorship and grant funding opportunities

1.f.1.6.2 Apply for grants to support activities that assist community facilities

Building Classification

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1.f.2.7

Make the most of our Natural and Public Environment.

1.f.2.7.1 Present REAF. Events should utilise a variety of venues including outdoor amphitheatres and community halls. Local artists and performers and well known international and national acts can feature in the program with a variety of events to appeal to the Shire of Roebourne’s diverse community.

1.f.4.3

Encourage community engagement

1.f.4.3.1 Provide a range of community events and festivals

3.c.1.1

Community parks conform to health and safety standards

3.c.1.1.1 Provide permanent shades at community parks

4.a.1.1

Manage and maintain corporate lease records on arrangements in place for use of public property either owned or vested with the Shire and/or property owned privately but leased by the Shire

4.a.1.1.2 Liaise with community groups regarding leases and lease conditions

4.b.2.1

Provide and maintain high quality playgrounds, skate parks and public open space

4.b.2.1.1 Improve community play spaces Community Facility

4.b.2.1.2 Manage bookings and usage of active and public open space Community Facility

Our Programs Our Services 2012-13 2013-14 2014-15 2015-16 2016-17

Source:ShireofRoebourneStrategicCommunityPlan:2012-2022

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The Shire’s Works and Technical Services will play a critical role with regards to contributing to the outcomes and activities of the above goals and objectives. These outcomes include the following key activities:

• Maintenance of Council Buildings;• Integrated Building Design;• Integrated Urban Planning;• Integrated Building Management;• Sustainability and Environmental

Management; and• Operational Support.

They will be supported by the Community Services team who will operate the community facilities and provide feedback on their performance against Service Levels.

Key Stakeholders

Key Stakeholders include:

• Local residents; • Local businesses;• Visitors; and• Industry including, mining, oil and gas,

transport and processing.

Levels of Service


The Shire of Roebourne undertook a Community Needs and Satisfaction Survey in June 2011. The survey did not specifically identify buildings as a specific service, rather the facility buildings would have been incorporated within an assessment of the service provided from that particular facility.

Child Care Facilities

• 7% of respondents indicated that family services and child care was a top three priority concern, with 1% stating it was the number one priority concern;

• However, 47% of respondents indicated that child care facilities were an extremely important service provided by the Shire (ranked 3rd of all service areas);

• Child care facilities were considered amongst the worst performing council areas, relatively speaking; and

• Overall, child care facilities were ranked as of high importance but not of high performance.

Recreational and Sport Facilities

• 11% of respondents indicated that recreational and sport facilities were a top three priority concern, with 3% stating it was the number one priority concern;

• However, 45% of respondents indicated that recreational and sport facilities were an extremely important service provided by the Shire (ranked 5th of all service areas);

• Recreational and sport facilities were considered amongst the best performing council areas, relatively speaking; and

• Overall, recreational and sport facilities were ranked as of high importance and of reasonable performance.

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Public Swimming Pools

• 6% of respondents indicated that aquatic facilities was a top three priority concern, with 2% stating it was the number one priority concern;

• However, 43% of respondents indicated that aquatic facilities were an extremely important service provided by the Shire (ranked 6th of all service areas);

• Public swimming pools were considered amongst the best performing council areas, relatively speaking; and

• Overall, however, public swimming pools were ranked as of high importance but not of high performance.

Leisure/Entertainment Centres

• 21% of respondents indicated that entertainment and leisure was a top three priority concern, with 7% stating it was the number one priority concern;

• Further, 41% of respondents indicated that leisure/entertainment facilities were an extremely important service provided by the Shire (ranked 8th of all service areas);

• Leisure/entertainment facilities were considered amongst the worst performing council areas, relatively speaking; and

• Overall, leisure/entertainment facilities were ranked as of high importance but of low performance.

Libraries and Information Services

• Libraries and information services were not considered a top priority concern by respondents;

• However, 28% of respondents indicated that libraries and information services were an extremely important service provided by the Shire (ranked 16th of all service areas);

• Libraries and information services were considered amongst the best performing council areas, relatively speaking; and

• Overall, libraries and information services were ranked as of low importance but of high performance.

Health Care

• Hospital and medical services were considered the top priority concern, with 34% of respondents indicating such services as a top three priority concern and 22% indicating such services as the number one priority concern.

Youth Activities/Facilities

• 11% of respondents indicated that youth activities/facilities were a top three priority concern, with 3% stating it was the number one priority concern;

• However, 46% of respondents indicated that youth services and activities were an extremely important service provided by the Shire (ranked 4th of all service areas);

• Youth services and activities were considered amongst the worst

Section Ten


performing council areas, relatively speaking; and

• Overall, youth services and activities were ranked as of high importance but of low performance.

Community Events and Activities

• 5% of respondents indicated that community events and activities were a top three priority concern, with 1% stating it was the number one priority concern;

• 21% of respondents indicated that cultural and community events were an extremely important service provided by the Shire (ranked 20th of all service areas);

• Cultural and community events were considered amongst the best performing council areas, relatively speaking; and

• Overall, cultural and community events were ranked as of low importance but of high performance.


The Shire of Roebourne has to meet many legislative requirements which are listed in Appendix B. In addition, the following specific significant legislation impacting on the Buildings class has been identified as:

• AS 1668-1991 - The use of mechanical ventilation and air-conditioning in buildings.

• AS 1670 – Fire Alarm Standards.

• AS 1682. 2-1990 – Fire Dampers Installation.

• AS 1851.1-1851.8 Series – Maintenance of Fire Protection Systems and Equipment.

• AS 1905.1-2005 Components for the protection of openings in fire-resistant walls.

• AS 2118 – SAA Code for Automatic Fire Sprinkler Systems.

• AS 2220 - Acoustics Audible Emergency Evacuation Signal.

• AS 2419.1- Fire Hydrants.

• AS 2444-2001 Portable Fire Extinguishers & Fire Blankets.

• AS 2293.1-2 Series – Emergency Lighting.

• AS 3500-2003 – Plumbing & Drainage.

• AS 3660:2000 – Termite Management.

• AS 3666 - Air-handling and water systems of buildings.

• Disability Discrimination Act.

• Health Act.

• Local Government Act.

• Building Code of Australia and associated codes of practice.

• Essential Services regulations.

• Occupational Health and Safety Act.

• Water Authority & Electrical Authority Regulations.

The Shire’s management of Community Facilities is guided by, but not restricted to, the following Acts, legislation & other non-negotiable considerations:

• Health Act (swimming pools code of Practice 2009) - Covers required operations of Group 1 standard public swimming pools.

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• Local Government Officers Award – To be serviced and adhered via established Human Resource and payroll systems.

• Local Government Act (1995) - As applied to major facility provision owned and operated by the Shire of Roebourne.

• Department of Minerals & Energy WA, license to store dangerous goods – Includes usage and storage of swimming pool.

• Chemicals and cleaning products.

• Occupational Health and Safety Act (1994) - To be undertaken following established Shire of Roebourne procedures.

• Health (Food Hygiene) Regulations (1993) - Kiosk operations to be registered with Council’s Health

Department to ensure compliance with hygiene regulations.

• Fitness Industry Code of Practice Regulations (2004) – Governs the operation of fitness centre and subsequent.

• Membership requirements.

• Shire of Roebourne annual staff reviews - To be undertaken following established Human Resource timetables.

• AS 4685: 2004 Australian Playground Standards, AS/NZS 4422: 1996 Playground Surfaces: Specifications, requirements and test methods, AS/NZS 4486.1: 1997 – governs playgrounds and playground development, installation, inspection, maintenance and operations.

• Framework Agreement between State and Local Government for the provision of Public Library Services in Western Australia, 10 June 2010.

• Funding Arrangement between the Minister for Culture and the Arts (on behalf of the State of Western Australia) and the President of the Western Australia Local Government Association Regarding Funding for Public Libraries (Funding Agreements).

The Shire’s activities are also guided by:

• Royal Life Saving Society Guidelines for safe pool operations (1997) - Covers suggested operations of public swimming pools.

• Royal Life Saving Society safety assessment and improvement plan – Assessment completed against above guidelines.

• Royal Life Saving Society endorsed swim school audit - Assessment completed against above guidelines.


Currently, Shire of Roebourne does not have levels of service established but it is in the process of developing Operational levels of service for Buildings. Technical levels of service and community levels of service are not yet developed and the development of these levels of service is highlighted as an improvement opportunity for the Shire of Roebourne to achieve robustness in the Asset Management Process and to head towards a service centric approach.

Section Ten


Desired Levels of Service and Service Gap

Although the community surveys indicate that the community is generally pleased with the provision of sport and recreational assets, the Shire acknowledges that it is not currently achieving its performance targets in how it manages building and community facility assets.

In order to meet its performance targets, the Shire is considering undertaking an engineering asset revaluation exercise which would give a baseline set of condition ratings for the assets. Following the engineering asset revaluation, the Shire would like to adopt as a guide the following principles:

• All assets with the Condition Rating of Level 5 and that present the highest risk to the community are dealt with in the first six months after the engineering asset revaluation. The overall goal will be to avoid assets reaching Condition Rating Level 5 but if they do reach this Level they should be dealt with promptly;

• Assets with a Condition Rating Level of 4 should be assessed on a six monthly basis with plans put in place to either renew, decommission or transfer the assets as soon as feasible, preferably within the current planning cycle. If the assets should degrade to a Condition Rating of 5, then they should be acted upon within six months.

• For assets with a Condition Rating Level of 3 or above, a randomised sampling procedure should be put in place depending on the type of asset and its current Condition Rating Level.

By regularly and systematically assessing the Condition Ratings of assets it will be possible for the Shire to move from a reactive position where assets are dealt with in crisis management mode to being dealt with well in advance of them creating a potential risk to the community and not providing a reasonable Level of Service.

Future Demand

Demand Forecast

The major factors impacting upon building and community facilities demand include population growth, changes in population demographics and the establishment of new development areas within the Shire. The demand and usage of the Shire’s building and community facilities assets is going to increase proportionally with predicted population growth and predicted demographic changes.


Population 25,000 residents 36,000 residents Increasing demand for buildings (housing, council depot/s, administration) and community facilities



Increasing demand on all council’s buildings and community facilities from a growing population


Demand Factors and Impact – Buildings and Community Facilities

Section Ten


Changes from Technology

Perhaps the single most important technological change for the management of Buildings and Community Facilities in the Shire will be the rollout of the National Broadband Network (NBN). The Shire is hoping to explore alternative delivery models with the NBN, to overcome some of the key issues in attracting and retaining staff, deliver higher quality health services and improve resources at libraries and community centres.


At this stage, the Shire does not have a formal demand management plan for buildings. For Community Facilities, a demand management plan was developed and provided in the Community Facilities Plan.


The Shire is investing $12 million in new staff housing and portable accommodation has been built for Shire administration.

From the Community Facilities Plan, the following Community Facilities were developed and are now operational:

• Pam Buchanan Family Centre; and

• Youth shed.

The following have only recently been, or are in the process of being completed:

• Karratha Leisure Centre;

• Frank Butler Community centre;

• Bulgarra sporting precinct (redevelopment); and

• Shading for playgrounds.



The asset data for Buildings and Community Facilities are kept separately on the asset management database MyData, with financial data maintained on loose spreadsheets and on the financial database SynergySoft.


The graph below illustrates that many buildings and community facilities are a fair way through their designed lives and will require renewal/replacement moving forward.


0

5

10

15

20

25

30Useful Life

Average Age

Was

te

Stor

age

Shelt

er

Recre

ation

Publi

c Ame

nity

Libra

ry

Herita

ge

Healt

h

Emer

gnec

y Ser

vices

Efflu

ent R

euse

Depo

t

Comm

unity

Comm

unica

tions

Child

care

Aqua

tic

Aged

Car

e

Admi

nistra

tion


Section Ten


The Shire has some asset condition data in the MyData database and also some data from the Community Facilities Plan that was carried out by Syme Marmion & Co.

Asset Type Asset Overall Condition Index

Number of Houses

Rating Date

Rater

Staff Housing Staff Housing 1 Brand new 14 Shire of Roebourne

2 Slight damage 0 Shire of Roebourne

3 Moderate damage


4 Severe damage


5 Extreme damage


Unrated 47

Buildings Shire Administration Offices

2

Karratha and Roebourne Depot

4

5 Emergency Service Buildings

3

15 Heritage Buildings

1 Brand new Shire of Roebourne


3 Moderate damage


4 Severe damage


5 Extreme damage


Unrated 2

5 Water Buildings

4

10 Shelters 3


Buildings and Staff Housing – Levels of Service

Section Ten



Number Rating Date

Rater

Recreation and Sport

Bulgarra Sporting Precinct

5 2011 Syme Marmion & Co.

Gus Jager Oval 5 2011 Syme Marmion & Co.

Karratha Bowling Club

Unrated

Karratha Indoor Cricket Facility

1 2010 Shire of Roebourne

Kevin Richards Memorial Oval


Pegs Creek Oval


Roebourne Golf Club

Unrated

Roebourne Racecourse


Roebourne Youth Precinct


Aquatic and Leisure Centres

Roebourne Aquatic Centre


Karratha Leisure Centre


Amenities 15 toilets 1 Brand new 2 2010 Shire of Roebourne

2 Slight damage 1 2010 Shire of Roebourne

3 Moderate damage


4 Severe damage


5 Extreme damage

0 2010 Shire of Roebourne Source:ShireofRoebourne

Community Facilities Condition Ratings

Health Care Karratha Child Health Clinic


Millars Well Child Health Clinic


Roebourne Community Health Clinic


Wickham Child Health Clinic


Basset Road Units


Social/Cultural

Karratha Entertainment Centre


Karratha Library 3 2010 Shire of Roebourne

Roebourne Library


Roebourne Community Centre


Wickham Library


Dampier Library 3 2010 Shire of Roebourne

Point Samson Community Hall


Pam Buchanan Family Centre


The Youth Shed 1 2010 Shire of Roebourne


Number Rating Date

Rater

Section Ten


The Shire is under the process of developing a Condition Data Assessment Regime. Asset Valuations

The value of building assets is contained in the Shire’s Finance Asset Register. The values in the asset register have been determined through the analysis of works in progress. The items and values contained in the asset register will need to be reconciled once the stocktake and condition audit have been completed. The cost of council buildings recorded in the audit done for the Finance Department by Australia Valuation Partners in 2008 is outlined in the following table.

Asset Cost

Council Buildings $195,425,500

Source:ShireofRoebourne,

Building Asset Value


Buildings Buildings at Cost 70,321,544



Miscellaneous Structures

Infrastructure Assets at Cost 6,182,696




The value of the assets recorded in the Annual Report 2010-2011 was: The current dataset in the Asset Management System contains around 30% more assets than were captured during the previously mentioned financial audit. Ideally, as more data becomes available the two systems will be aligned to give a true indication of the current value of the building asset portfolio.

Asset Management Strategies:

Risk Management:

The Shire currently has a service agreement in place for the inspection of staff housing but this is the only formalised inspection that currently takes place. The Shire has identified the risk levels for Building assets which have been taken into account in developing the service levels and maintenance regimes.

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Risk Level Description of risk

Low – Level 1 These are usually low level of risk to general user and can be included as part of the preventative maintenance or works designed to extend the longevity or durability of the asset.

Medium – Level 2 These are medium level risk and can be isolated, and do not cause disruptions to day to day functionality of the assets. They can usually be included in the preventative works to prevent further damage or disruption.

High – Level 3 These types of risks are difficult to isolate and cause disruption to day to day functionality. If left unattended, the fault or damage has the potential to escalate risk and cause harm.

Very High – Level 4 These are high level risks or damages that have a high potential of causing serious harm if left unattended. The usually are already affecting the day to day function of the asset.

BUILDING HIERARCHY LEVEL OF RISK

RISK LEVEL 1

RISK LEVEL 2

RISK LEVEL 3

RISK LEVEL 4

LEVEL 1 – AMENITIES AND STRUCTURES 1 2 3 4

LEVEL 2 – RECREATIONAL BUILDINGS 2 4 6 8

LEVEL 3 – COMMUNITY BUILDINGS 3 6 9 12

LEVEL 4 – PREMIUM BUILDINGS 4 8 12 16

CATEGORY PRIORITY FOR WORKS

RESPONSE TIME PERFORMANCE TARGET

RISK LEVEL 4

RED Priority 1 Make safe within 2 hours upon notification

95% 4

BLUE Priority 2 Make safe within 5 hours upon notification

90% 8

YELLOW Priority 3 Make safe within 5 working days upon notification

80% 12

GREEN Priority 4 Include in the assessment for programmed works

70% 16



Building Risk Hierarchy Building Risk Hierarchy

Building Risk Hierarchy

The risk assessment used for Building assets to assign the priority for request, inspection or works is as follows:

Section Ten




Upon inspection, if the asset is identified as not sustainable to maintain, it will be referred to the Shire’s future budgeted works and until then all reasonable steps will be taken in order to make it safe as far as possible.

The Shire is currently developing a proactive inspection and reactive maintenance regime.

The development of the Building Asset Management Strategy highlighted that reactive maintenance is by far the predominant maintenance performed throughout the Shire. This has led to the accelerated deterioration of the Shire’s building assets and will take some effort and funding to address to allow for the desired proactive position and strategic management of council’s facilities.


The Shire has seen a rapid rate of development with tens of billions of dollars being invested in new oil and gas, mining, processing and transport infrastructure. This is in turn attracting new workers and their families which will dilute the Level of Service from current facilities. Although

the Shire has begun to refresh many of its original facilities built in the 1960s and 1970s, it is acknowledged that more needs to be done, particularly in new development areas.

This is the most extensive form of works that can be undertaken on assets. Typically, it involves the replacement of worn out surfaces or old or malfunctioning building components. It also forms part of the Shire’s upgrade component during building rehabilitation. Some of the building assets may be retained, which will work to minimise costs where possible.


The creation of new assets involves two distinct processes – design and construction. With current development trends and the recent City of the North initiative, more new facilities are being constructed than has been seen for some time. These are occurring at Tambrey, Nickol West and Baynton West, with extensive plans for developments in the Bulgarra Oval region and the Learning and Leisure Precinct in the Baynton East region.

In addition to the various Australian Standards which apply to buildings, the Shire sets the design standards for these assets within these developments, so that the proposed new assets take into account the functionality and capacity requirements to ensure that they are fit for purpose and use.

The Shire has recognised that it cannot provide the same Level of Service for all of its building assets and has developed the following rating hierarchy that is based on the usage of the building, building importance to the community and type of building.

Hierarchy Asset Function Usage RISK LEVEL 4

TYPE A Active showpiece facilities with intensive maintenance regimes (e.g. Karratha Entertainment Centre, Administration Office)

High 4

TYPE B Regular use facilities with medium to high maintenance regimes

Medium 8

TYPE C Minor facilities with low utilisation Low 12

Priority 4 Include in the assessment for programmed works 70% 16


Building and Community Facility Asset Hierarchy

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All new building assets constructed for new developments are approved by the Shire and are built by the developers and their contractors. When works are completed, and after a 12-24 month maintenance period, the developer hands over the assets to the Shire for ownership and maintenance for the remainder of their useful lives. These assets are added to the Shire’s asset management system from their inception but are not recognised as assets until their management becomes the responsibility of the Shire

Disposal Plan:

Due to the nature of the buildings and community facilities asset group, there are no disposal plans for the assets, as an asset will normally be repaired, replaced and/or upgraded to extend its life.



• Law, Order and Public Safety Buildings,• Health Buildings,• Education and Welfare Buildings,• Housing Buildings,• Other Property and Services,• Community Amenities Buildings, • Economic Services Buildings, and• Recreation and Culture Buildings.

Long Term Financial Plan 2012-2013 2013-2014 2014-2015 2015-2016 2016-2017

Repairs and Maintenance $417,727 $42,809 $45,291 $48,009 $50,697

Insurance $47,185 $48,459 $49,816 $51,310 $52,644

Finance Costs – Loans $357,256 $316,546 $277,655 $238,329 $207,503

Depreciation $1,613,020 $3,394,824 $4,071,764 $4,772,167 $5,071,837


Long Term Financial Plan 2012-2013 2013-2014 2014-2015 2015-2016 2016-2017

Renewals $295,100 $48,954 $45,001 $53,019 $48,598

New Assets $41,060,958 $17,106,268 $37,415,649 $26,302,129 $334,556

Asset Expansion $1,930,430 $1,868,921 $12,776,380 $1,632,188 $1,822,009

Land Purchase $- $- $- $- $-

Loans Repayments $338,691 $541,552 $576,986 $479,293 $511,494


Funded by:

General Revenue $1,341,230 -$198,024 $3,568,613 $3,497,438 $2,224,228

Grants and Subsidies $17,177,620 $15,483,498 $47,202,064 $24,924,553 $446,629

Developer Contributions $- $- $- $- $-

Depreciation $- $- $- $- $-

Royalties for Regions Reserves $13,878,790 $3,958,063 $- $- $-

Other Reserves $3,746,489 $280,000 $- $- $-

Loan Funding $7,440,000 $- $- $- $-

Other Funding $41,050 $42,158 $43,339 $44,639 $45,800

Total Funding $43,625,179 $19,565,695 $50,814,016 $28,466,630 $2,716,657



Buildings, Community Facilities and Related Asset’s Operational Expenditure

Buildings, Community Facilities and Related Asset’s Capital Expenditure and Funding

Section Ten



Governance

The asset management process is reliant on the operational knowledge of the staff. The Development, Regulatory and Infrastructure Directorate carries out planning, development and renewal of the assets. They are supported on the database systems by the Asset Management Coordinator and the Expenditure Accountant. The Building Maintenance team maintains the Shire Buildings and the Community Facilities team operates the Community Facilities.

Key Supporting Documents

The Buildings Asset Management Strategy (BAMS) and Community Facilities Plan (CFP) were developed in 2011 to provide clear courses of action for managing community and staff-utilised buildings within the Shire of Roebourne. These plans essentially support this Asset Management Plan and outline the following:

• The Shire’s current position with respect to Buildings and Community Facilities;

• The Shire’s future needs with respect to Buildings and Community Facilities;

• A current maturity level with respect to the Shire’s position to manage Buildings and Community Facilities;

• A series of strategies on how the Shire intends to achieve future needs; and

• A performance monitoring process.


• That the Shire will continue to use the MyData asset management package;

• That a ‘fair value’ asset valuation and audit will occur in 2012-13;

• That the buildings currently budgeted for will be built; and

• That any buildings related to the Karratha City of the North Plan are unbudgeted for and will not be built until further funds are forthcoming.

Improvement PlanThe actions required to improve the Asset Management Plan – Buildings and Community Facilities are

Buildings and Community Facilities:Action Plan Recommendation

When Responsibility

Introduce regular inspections to ensure that Buildings and Community Facilities meet Technical Service Level performance

December 2013 Asset Co-ordinator

Introduce specific questions into its Staff and Community Surveys to assess service level performance


Appoint a full-time assessor to carry out assessments on Shire assets

June 2014 CEO


Improvement Plan – Buildings and Community Facilities

Section Eleven


Services Key Assets

Parks and Reserves 1,460.5 hectares of Parks, Recreation & Drainage Reserves

3,674.4 hectares of Conservation & Recreation Reserves

900 pieces of park furniture

Approximately 1500 sprinklers

Playgrounds 29 playgrounds

62 pieces of play equipment

Shade structures

Cemetery Cemetery

Crematorium

Carpark

Parks and Open Spaces

Function Significance

5 Star Active showpiece parks and sporting facilities with intensive maintenance regimes

Extreme

4 Star Major Parks and Open Space which contain reticulation, infrastructure, play equipment, tree/shrub plantings, mulched gardens and manicured areas

High

3 Star Local Parks and Foreshore Reserves which contain tree/shrub plantings, lawn areas, mulched gardens, reticulation and may contain playground equipment

Medium

Reserve Active open space or non active open space which does not have extensive infrastructure or public use other than walkways or pathways (e.g. Drainage Reserve, road side linear reserve or connecting link reserves between active open spaces and parks)

Low

Bush Land Bush Land Very Low

Note:ShadestructureshavebeenattachedtoParksandGardensratherthancommunityfacilitiesSource:ShireofRoebourne


Parks, Gardens and Open Spaces Asset Summary

Parks, Gardens and Open Spaces Asset Summary

SECTION ELEVENParks, Gardens and Open Spaces

Introduction

Background

The Shire is the owner and custodian of a substantial portfolio of parks, playgrounds and reserves. These public open spaces can be used by a wide variety of people living and working in urban areas and contributes significantly to the quality of life.

This Asset Management Plan covers the parks, playgrounds, reserves and cemetery. This includes the associated infrastructure including irrigation, play equipment and furniture.


The following table provides a high level summary of council parks, gardens and open spaces.

Parks and Open Spaces are classified by the function and the significance of the space. The following table outlines this classification.

Section Eleven


Strategic Goals

The Shire’s first strategic theme ‘Our Community – Diverse and Balanced’ has as its goal:

Wewillfurtherdevelopandmaintaintheinfrastructureandfacilitiestocreateaestheticallyattractive,safeandliveabletownswhichwilldevelopintomorediverseandbalancedcommunities.

The third strategic theme ‘Our Natural Environment – Thriving and Sustainable’ has as its goal:

Wewillstrivetoensureourcommunitylivessustainablyinathrivingnaturalenvironment.

Relevant outcomes from these goals include:

• Infrastructure that meets the needs of the cities, and allows for growth;

• Planned cities that responds to the environmental conditions of the Pilbara and exhibits a strong sense of place;

• An environmentally responsible and sustainable organisation; and

• A sustainable and thriving natural environment.

The Karratha Open Space Strategy was drafted in 2008 to provide a framework for the provision of public open space in the urban areas of the Karratha town site. The strategy’s secondary purpose was to assist the council to rationalise its open space system within the context of overall need, function and operation.

Shire of Roebourne Town Planning Scheme No. 8 provides overarching planning objectives for major localities and outlines a definition of allowable land uses by zoning category. The plan provides for a total of 5,134 hectares of conservation and recreation, together with parks open space and drainage reserves, which account for 43.8% of the Karratha town site. Parks, recreation and drainage reserves account for 1,460.5 hectares, or 12.5% of the town site area. This Asset Management Plan draws heavily on these documents.

Key Stakeholders

Key stakeholders include:

• Department of State Development;

• Local residents;

• Industry including, mining, oil and gas, transport and processing;

• Contractors;

• Visitors; and

• Tourists.

Section Eleven


Levels of Service


The Shire of Roebourne undertook a Community Needs and Satisfaction Survey in June 2011. The survey identified the following key issues regarding parks and gardens:

• Parks, gardens and open spaces as a service area was not identified as a top priority concern by respondents;

• However, 41% of respondents indicated that parks, gardens and open spaces were an extremely important service provided by the Shire (ranked 7th of all service areas);

• Parks, garden and open spaces were considered amongst the worst performing council areas; and

• Overall, parks, garden and open spaces were ranked as of high importance but of low performance.


The Shire of Roebourne has to meet many legislative requirements which are listed in Appendix B.

Specific legislative requirements related to the Parks, Gardens and Open Spaces asset class include:

• Civil Liability Act 2002;

• Land Administration (Land Management) Regulations 2006;

• Land Administration Act 1997;

• Land Administration Regulations 1998;

• Land Drainage Act 1925;

• Land Drainage By-Laws 1986;

• Land Drainage Regulations 1978;

• Parks and Reserves Act 1895; and

• Parks and Reserves By-Laws.


Currently Shire of Roebourne does not have levels of service established but it is in the process of developing operational level of service for Parks and Open Spaces. Technical levels of service and community levels of service are not yet developed and the development of these levels of service is highlighted as an improvement opportunity for the Shire of Roebourne to achieve the robustness in the Asset Management Process and head towards a service centric approach.

Future Demand

Demand Forecast

The major factors impacting upon park, garden and open space demand include population growth, changes in population demographics and the establishment of new development areas within the Shire. The demand and usage of the Shire’s open space assets is going to increase proportionally with predicted population growth and predicted demographic changes.

Section Eleven



Population 25,000 residents 36,000 residents Increasing demand for open spaces





Demand Factors and Impact – Parks, Gardens and Open Spaces Changes in Technology

The Shire does not expect that changes in technology will impact the management of parks, gardens and open spaces.


Shire of Roebourne Town Planning Scheme No. 8 and the related maps provide the framework for areas that are currently reserved for parks, gardens and open spaces. The Karratha Open Space Strategy provides some planning for future demand but is mainly concerned with open space rationalisation. The Karratha City of the North Plan provides planning for open spaces particularly in new developments and in the redevelopment of the Karratha City Centre.


New parks, gardens and open spaces included in the Karratha City of the North Plan include:

• Mulataga;

• City Centre; and

• Mangroves.

The Shire is also considering a substantial program to replace playground equipment and install shade structures.


Asset Data and Information

The asset data for parks, gardens and open spaces are incomplete and kept separately on:

• The asset management database MyData;

• Shire of Roebourne Town Planning Scheme No. 8 maps; and

• The financial data is kept on loose spreadsheets and on the financial database SynergySoft.

Section Eleven



Parks and Gardens Infrastructure Assets at Cost

8,894,810


(900,913)


Hardcourt Facilities Infrastructure Assets at Cost

3,426,938


(914,343)


Amenity Asset Overall Condition Index

Number Rating Date

Rater

Parks and Reserves

900 pieces of park furniture

1 Brand new 19 Shire of Roebourne


3 Moderate damage 781 Shire of Roebourne

4 Severe damage 50 Shire of Roebourne

5 Extreme damage 1 Shire of Roebourne

Unrated 2 Shire of Roebourne

Approximately 1500 sprinklers

Unrated

Playgrounds Playgrounds 1 Brand new 7 Shire of Roebourne

2 Slight damage Shire of Roebourne


4 Severe damage Shire of Roebourne

5 Extreme damage Shire of Roebourne

Unrated

62 pieces of play equipment

1 Brand new 27 Shire of Roebourne



4 Severe damage 8 Shire of Roebourne

5 Extreme damage Shire of Roebourne

Unrated 2

Shade structures


Cemetery Cemetery Unrated

Crematorium Unrated

Carpark Unrated



Demand Factors and Impact – Parks, Gardens and Open Spaces The Shire is currently under process of developing a Condition Data Assessment Regime. Asset Valuations

Asset valuations are done on a historical cost basis for irrigation, drainage infrastructure, play equipment and other land improvements. The value of the assets recorded in the Annual Report 2010-2011 was:


Risk Management:

The Shire has appointed a full-time playground inspector to comply with legislation. The Shire is considering appointing an asset assessor for the other assets.



Upon inspection, if the asset is identified as not sustainable to maintain, it will be

Section Eleven


Long Term Financial Plan 2012-2013

2013-2014

2014-2015

2015-2016

2016-2017


Insurance $0 $0 $0 $0 $0

Finance Costs – Loans $0 $0 $0 $0 $0

Depreciation $723,410 $734,261 $745,275 $756,454 $767,801



2013-2014

2014-2015

2015-2016

2016-2017

Renewals $1,031,570 $392,677 $438,519 $489,657 $546,602

New Assets $621,000 $0 $0 $0 $0

Asset Expansion $0 $0 $0 $0 $0


Loans Repayments $0 $0 $0 $0 $0

Total Expenditure $1,652,570 $392,677 $438,519 $489,657 $546,602Funded by:General Revenue $44,720 $190,369 $227,390 $269,066 $315,950

Grants and Subsidies $152,000 $187,570 $195,979 $204,986 $214,642

Developer Contributions $0 $0 $0 $0 $0


Royalties for Regions Reserves $200,000 $0 $0 $0 $0

Other Reserves $1,241,500 $0 $0 $0 $0


Other Funding $14,350 $14,737 $15,150 $15,605 $16,010

Total Funding $1,652,570 $392,677 $438,519 $489,657 $546,602


Source:ShireofRoebourneLongTermFinancialPlanParks and Open Spaces and Related Asset’s Operational Expenditure

Parks and Open Spaces and Related Asset’s Capital Expenditure and Funding

referred to the Shire’s future budgeted works and until then all reasonable steps will be taken in order to make it safe as far as possible.

The Shire is under process of developing proactive inspection regime and reactive maintenance regime.


The Shire does not currently have a renewal/replacement plan in place.


The Karratha City of the North Plan provides planning for the creation of new open spaces particularly in new developments and in the redevelopment of the Karratha City Centre.

Disposal Plan:

The Karratha Open Space Strategy provides the framework for the rationalisation of some open space areas in:

• Bulgarra;• Pegs Creek;• Millars Well; and• Nickol.



• Beaches,• Playgrounds,• Ovals and Hardcourts,• Recreation Projects,• Parks and Gardens, • Cemeteries, and• Town Beautification.

Section Eleven



Governance and Asset Management Processes

The Asset Management process is reliant on the operational knowledge of the staff. The Development, Regulatory and Infrastructure Directorate carries out planning, development and renewal of the assets. They are supported on the database systems by the Asset Management Coordinator and the Expenditure Accountant. The Parks and Gardens team maintains the parks, gardens and related infrastructure.


The relevant guidelines for asset management are:

• AS 4685:2004 Playground Equipment parts 1-6;

• AS/NZS 4422:1996 Playground Surfacing - Specifications, Requirements & Test Methods;

• AS/NZS 4486.1:1997 Playgrounds and Playground Equipment - Part 1: Development, Installation, Inspection, Maintenance and Operation;

• AS 2155:1982 Playgrounds: Guide to Siting and to Installation and Maintenance of Equipment;

• AS 2555: 1982 Supervised Adventure Playgrounds - Guide to Establishment and Administration;

• AS 1428.3: 1992 Design for Access and Mobility - Requirements for Children and Adolescents with Physical Disabilities;

• AS 4989: 2006 Trampolines - Safety Aspects

• International Infrastructure Management Manual; and

• Australian Infrastructure Financial Management Guidelines.

Key AssumptionsThe key assumptions of this asset management plan are:

• That the Shire will continue to use the MyData asset management package; and

• Parks and Gardens will be responsible for inspecting assets and Technical Services will be responsible for replacement and maintenance of assets.

Improvement PlanThe actions required to improve the Asset Management Plan – Parks, Gardens and Open Space are:

Parks, Gardens and Open SpaceAction Plan Recommendation

When Responsibility

Introduce regular inspections to ensure that parks, gardens and open space facilities meet Technical Service Level performance

December 2013

Parks and Gardens

Introduce specific questions into its Staff and Community Surveys to assess service level performance

June 2014 Parks and Gardens

Draft and ratify Routine Maintenance and Renewal/Replacement Plan based on information in asset management database.


Improvement Plan – Parks, Gardens and Open Space

Section Twelve


SECTION TWELVEEquipment, Including Information Technology

Introduction

Background

Information and Communication Technology Services (ICT) has been identified as a major factor contributing to economic growth and increased productivity in the last 50 years. ICT Service Management is the management of all people, processes, and technology that cooperate to ensure the quality of all ICT services, according to the levels of service agreed with the customer (business).

ICT is based on functions such as systems management, network management, application development and on process domains such as change management, service level management and problem management.

The essential concept here is “ICT service” – the delivery of information processing capabilities in a defined quality (for example, capacity, performance, security, and availability), using a combination of hardware, software, networks, people, documentation and facilities. All of these components need to be managed to be able to deliver the ICT service to the end use.

The ICT Department at the Shire provides services that support and underpins the ability of each Directorate to serve the community in a timely, efficient and informed manner, involving:

• Accountability for technology operations;

• Providing the groundwork to drive innovation and support growth;

• Enabling change;

• Providing effective technology solutions that support business activities;

• Business process improvement; and

• Managing technology operations in a cost effective, reliable and secure manner.

This Asset Management Plan covers the ICT assets that allow the above activities to occur.


The services supported by the ICT infrastructure are:

Hardware:

• Purchase and provision of hardware as planned or required:

- workstations\laptops\tablets

- printers\scanners\copiers

- switches\server\Uninterruptable Power Supplies (UPS)\wan links

- phones\mobiles\PDAs

- projectors\video conference equipment

- (Closed Circuit TV) CCTV\security\HVAC;

• Proactively maintain a fleet of IT and Communications hardware; and

• Develop a regular maintenance and replacement regime.

Software:

• Maintain software licensing;

• Purchase and provision of software as planned or required;

• Regularly patch and maintain software;

• Training;

• Provide and coordinate ICT training; and

• Provide regular ongoing professional development for ICT staff.

Web:

• Facilitate provision of Website hosting;

• Manage domain name and internet services.

• Coordinate content updates for internet/intranet.

A summary of the ICT assets are listed below:

Section Twelve


Services Key Assets


Printers and Copiers Approximately 50 printers and faxes

19 photocopiers

Computers 14 servers

Approximately 200 desktops16 laptops10 Tablet ComputersNetwork equipmentUPS

Software MYOBMicrosoft OfficeAssetic MyDataIT Vision SynergySoftesri ArcGIS

Communications Mobile phonesRadio equipment

Note:CoversinformationtechnologyforthewholeShireincludingtheAirportandWasteManagementSource:ShireofRoebourne

ICT Asset Summary Strategic Goals

The Shire’s first strategic theme ‘Our Community – Diverse and Balanced’ has as its goal:

We will further develop and maintain the infrastructure and facilities to create aesthetically attractive, safe and liveable towns which will develop into more diverse and balanced communities.

The fourth strategic theme ‘Our Leadership – Responsive and Accountable’ has as its goal:

We will provide efficient and effective local government service delivery that meets our community’s expectations.

Relevant outcomes from these goals are:

• Infrastructure that meets the needs of the cities, and allows for growth;

• Provision of services at a standard that meets the expectations of the community;

• Applying legislation to maintain the health and wellbeing of our residents;

• Continuous Improvements and Innovations;

• Attraction and retention of quality workforce; and

• Financially sustainable Shire.

Key Stakeholders

Key stakeholders include:

• Shire staff;

• Local residents;

• Contractors; and

• Property developers.

Levels of Service


No specific surveys of customer or staff expectations have been undertaken in relation to the ICT asset class.


The Shire of Roebourne is required to meet many legislative requirements which are listed in Appendix B. Although there likely to be specific legislative requirements related to the ICT asset class, the council has not yet identified these.


The Shire does not currently have ratified Levels of Service in place for equipment assets.

Section Twelve


Desired Levels of Service and Service Gap

At present, the desired Level of Service has not yet been established and therefore any service gaps are unable to be determined at this stage. Despite this, the Shire acknowledges that it needs to improve its implementation and processes for the asset management and financial management databases.

Future Demand

Demand Forecast

The major factor impacting upon demand for equipment assets (including information technology) is population growth and the resulting increase in demand on Shire administration and service provision.


Population 25,000 residents 36,000 residents Increasing demand due to a greater level of service provision (and therefore council staff numbers) to the broader community If the number of Shire staff grows in the same proportion as the population, then the current staff number of 240 will grow to 360 which will create significantly increased internal and external demands on ICT resources



Increasing demand on all aspects of the council’s operation from a growing population and new developments


Demand Factors and Impact – Equipment, Including Information Technology


Increasingly, ICT is becoming more and more embedded in all aspects of the daily operation of facilities management and service provision, from the well-known customer service centric front end to the back-end functions that require ICT input, planning, maintenance and governance such as:

• Facilities management – air conditioning, lighting control and access control;

• Security;

• Airport parking & baggage control; and

• CCTV.

There is also rapidly emerging trend for citizens to deal with government online. As this grows into an expectation, the reliance on ICT services will become even more important. ICT is no longer an optional extra. It is as much a part of Council’s processes as any other resource.

Section Twelve


Specific technological changes that provide challenges/opportunities to the Shire include:

• The rise of smart phones and tablet computers which provides new opportunities for monitoring assets and expectations in communicating with internal and external clients;

• The imbedding of GPS receivers in many consumer products which could allow the Shire to significantly improve its spatial information;

• The use of social media, internet portals and other tools to help the Shire improve its services and responsiveness to community feedback.

• With the rollout of the NBN, the Shire is hoping to explore alternative delivery models to overcome some of the key issues in attracting and retaining staff and delivering services to the community.


The Shire does not currently have a demand management plan in place.


In the next few years, the Shire is planning to spend at least $1 million on:

• Network resources;

• New computers, screens etc;

• New printers;

• Upgrading corporate software; and

• Upgrading servers.


Asset Data and Information

The physical data for the ICT assets are kept separately by Information and Communication Services staff, and the financial data is kept on the financial database SynergySoft. As it stands, the financial data appears to be unreliable as there are assets listed that are over 10 years old.


As discussed above, the Shire does not currently have processes for recording the condition of ICT assets against Service Levels. The Shire is intending

to begin recording all asset data into the asset management database once it has been fully implemented. This will include condition data from regular assessments.

Asset Valuations

Asset valuations are on a historical cost basis, but the values have not been updated to current market prices or depreciated against standard ICT schedules.

Section Twelve


ICT assets are not identified as a separate asset class in the financial statement as they are included in the Equipment asset class. The value of the assets recorded in the Annual Report 2010-2011 was as follows:


Equipment Equipment (External) at Cost 3,226,722


Book Value 418,114


Demand Factors and Impact – Equipment, Including Information Technology


Risk Management:

The Shire currently has procedures in place to ensure that IT Services can recover and continue even after a serious incident occurs. This includes the following activities:

• Perform a Risk Assessment for each of the IT Services to identify the assets, threats, vulnerabilities and countermeasures for each service;

• Evaluate options for recovery;

• Produce a Contingency capability and test, review and revise on a regular basis; and

• Review, update, consolidate and test procedures for IT recovery as a clear section within Council’s Disaster Recovery Plan.


The Shire has plans in place the following maintenance plan:

• Acquisition of appropriate hardware in the first instance, which is then maintained and upgraded to ensure the most effective use of applications;

• All equipment is a Tier 1 platform carrying a minimum of a three year next business day full warranty; and

• There is a focus on minimising the impact of incidents and problems on business caused by errors within the ICT infrastructure, in addition to the prevention of the recurrence of incidents relating to any errors.


The Shire tries to ensure that:

• 95% of staff workstations are <3 years old;

• 95% of printers are < 3 years old;

• 95% of copiers are < 4 years old;

• 95% of servers are < 4 years old; and

• 95% of network equipment are < 4 years old.

• For Software the Shire is aiming to achieve:

• 95% of workstations to have Windows7 installed;

• 95% of workstations to have Office 2010 installed;

• 80% of server operating systems to have Server 2008 R2 installed;

• 50% of server databases to have SQL server 2008 installed; and

• 90% licensing compliance.

Section Twelve



2013-2014

2014-2015

2015-2016

2016-2017


Insurance $- $- $- $- $-

Finance Costs – Loans $86,587 $55,045 $24,239 $- $-

Depreciation $609,430 $618,571 $627,850 $637,268 $646,827



2013-2014

2014-2015

2015-2016

2016-2017

Renewals $458,589 $72,665 $78,983 $85,824 $93,293

New Assets $250,500 $- $- $- $-

Asset Expansion $- $- $- $- $-

Land Purchase $- $- $- $- $-

Loans Repayments $489,929 $519,009 $549,815 $- $-

Total Expenditure $1,199,018 $591,675 $628,799 $85,824 $93,293Funded by:General Revenue $442,589 -$16,946 -$17,420 -$17,943 -$18,409

Grants and Subsidies $- $- $- $- $-

Developer Contributions $- $- $- $- $-

Depreciation $- $- $- $- $-

Royalties for Regions Reserves $- $- $- $- $-

Other Reserves $739,929 $591,675 $628,799 $85,824 $93,293

Loan Funding $- $- $- $- $-

Other Funding $16,500 $16,946 $17,420 $17,943 $18,409

Total Funding $1,199,018 $591,675 $628,799 $85,824 $93,293Source:ShireofRoebourneLongTermFinancialPlan


Equipment, Including Information Technology Operational Expenditure

Equipment, Including Information Technology Capital Expenditure and Funding

Governance and Asset Management PracticesThe Shire does not currently have processes for recording the capacity and performance of ICT assets against Service Levels. The Shire is intending to introduce specific questions in staff and community surveys as well as having incident logging.

The asset management process is reliant on the operational knowledge of the ICT staff. They are supported on the financial management database - SynergySoft by the Expenditure Accountant. The Shire is planning to account for ICT assets on the asset management database.


ICT staff follows best practice service delivery standards as set out by ITIL .


Once the Shire has fully implemented the asset management database and has a clearer understanding of its future needs it will implement a creation/acquisition/upgrade plan.

Disposal Plan:

The disposal plan is consistent with the targets set out in the Renewal/Replacement Plan.



• Governance.

Section Thirteen


SECTION THIRTEENFleet and Small Plant

This Asset Management Plan covers the fleet and small plant assets that support the Shire’s services including the Airport and Waste Services. This includes heavy vehicles, passenger vehicles, front end loaders, etc. in addition to small plant assets such as pumps, generators, mowing equipment and general equipment of a mobile nature.

Council has a Plant and Fleet Asset Management Plan developed by Uniqco International Vehicle Management dated 10/7/12. This plan provides the detailed Asset Management Plan for Fleet and Small Plant.

References


Australian Bureau of Statistics, 2011. 3218.0 Regional Population Growth, Australia, Canberra: Australian Bureau of Statistics.

Bowman & Associates, 2010. Shire of Roebourne Review of Waste Management Services, s.l.: s.n.

Dampier Salt, 2012. History. [Online]

Available at: http://www.dampiersalt.com.au/ENG/whoweare/179_history.asp [Accessed 7 March 2012].

Department of Local Government, 2011a. Advisory Standard for Integrated Planning and Reporting. [Online]

Available at: http://publications.dlg.wa.gov.au/AdvisoryStandard.pdf [Accessed 29 February 2012].

Department of Local Government, 2011. Asset Management Framework and Guidelines. [Online]

Available at: http://integratedplanning.dlg.wa.gov.au/DeliverAssetManagement.aspx [Accessed 27 February 2012].

Department of Local Government, 2011. Policy Paper: Application of Fair Value to WA Local Government Financial Reporting. [Online]

Available at: http://dlg.wa.gov.au/OpenFile.ashx?Mode=446E37686749376A356D684D2B6E6D6D4D6E555273773D3D&ContentID=2B615175712F72674D70673D [Accessed 12 March 2012].

Department of State Development, 2011. Significant resource projects in Western Australia December 2011. [Online]

Available at: http://www.dsd.wa.gov.au/documents/Significant_Resources_Dec_2011.pdf [Accessed 7 March 2012].

Available at: http://www.grattan.edu.au/publications/092_ICCBE_commodities.pdf [Accessed 7 March 2012].

Geografia and CCS Strategic Management, 2009. Karratha 2020 Vision and Community Plan, Karratha, Western Australia: Shire of Roebourne.

id.consulting, 2011. Population and household forecasts: Shire of Roebourne (revised 2011), Collingwood, Victoria: s.n.

Main Roads Western Australia, 2011. Guide to Road Design. [Online]

Available at: http://www2.mainroads.wa.gov.au/NR/mrwa/frames/Standards/standardsr.asp?L=/Internet/Standards/Pavements/default.asp&G={E582C897-FF5E-4C02-8B46-51E88C1E5DD8}&T={1532D87F-C1AC-4386-9968-5E5F4FD002E5} [Accessed 20 January 2012].

National Asset Management Support Group (NAMS), 2011. International Infrastructure Management Manual. Version 4.0 2011 ed. Wellington New Zealand: NAMS.

Available at: http://www.treasury.gov.au/documents/2195/PDF/Goldman_Sachs.pdf [Accessed 7 March 2012].

Pilbara Industry’s Community Council, 2010. Planning for resources growth in the Pilbara: revised employment & population projections to 2020, Melbourne: Pilbara Industry’s Community Council.

realestate.com.au, 2012. Karratha Property Data & Trends. [Online]

Available at: http://www.rs.realestate.com.au/cgi-bin/rsearch?a=sp&s=wa&u=karratha [Accessed 6 March 2012].

Shire of Roebourne and Department of Planning, 2008. Karratha Open Space Strategy, Karratha, Western Australia: Shire of Roebourne.

Shire of Roebourne, 2009. Karratha Airport Master Plan, Karratha, Western Australia: s.n.

Shire of Roebourne, 2010a. Road Data Collection Manual, Karratha, Western Australia: Shire of Roebourne.

Shire of Roebourne, 2010. Asset Management Policy, Karratha: Shire of Roebourne.

Shire of Roebourne, 2010b. Karratha City of the North Plan, Karratha, Western Australia: Shire of Roebourne.

Shire of Roebourne, 2010. Road Data Collection Manual, Karratha, Western Australia: Shire of Roebourne.

Shire of Roebourne, 2011a. Current Operations Overview and Proposed Operational Procedures for 7 Mile Waste Facility , Karratha, Western Australia: Shire of Roebourne.

Shire of Roebourne, 2011b. Karratha Aerodrome Manual, Karratha, Western Australia: Shire of Roebourne.

Shire of Roebourne, 2011. Strategic Community Plan: 2011 - 2021, Karratha: Shire of Roebourne.

The Institute of Public Works Engineering Australia (IPWEA), 2010. Australian Infrastructure Financial Management Guidelines (AIFMG). Version 1.1 2010 ed. Sydney: IPWEA.

WA Department of Finance, 2011. WA Government Fleet Policy and Guidelines, Perth: WA Department of Finance.

Western Australian Planning Commission, 2012. Pilbara Planning and Infrastructure Framework, Perth: Western Australian Planning Commission.

Woodside, 2012. North West Shelf Project. [Online]

Available at: http://www.woodside.com.au/Our-Business/North-West-Shelf/Pages/default.aspx [Accessed 7 March 2012].

References

Appendix A


Insurance Class Sum Insured / Limit of Liability Policy No Excess Insurer

Airport Owners & Operators Liability

Licensed Airports / Airstrips – AUD$200,000,000 each accident/each airport/airstrip Personal Injury - USD$25,000,000 War/Terrorism – not insured

S0653007200PL AUD$5,000 each and every loss except AUD$25,000 in respect of damage to aircraft

Aviation Underwriting Pool through Jardine Lloyd Thompson – Sydney

Bushfire Personal Injury Legal Liability to Bushfire Volunteers and Cadets in accordance with the Bushfire Act 1954 (as amended) - $2,000,000 for all claims arising from any one event during any one policy period. Estimated number of volunteer fire-fighters 17

2600013073 Chartis

Councillors and Officers and Liability

Councillors & Officers limit of liability - $5,000,000 any one claim and in the aggregate during the period of insurance Employment Practices sub-limit of liability - $1,000,000 any one claim and in the aggregate during the period of insurance

05CH005534 Councillors & Officers - $Nil each claim Council Reimbursement - $5,000 each & every claim Employment Practices - $12,500 each & every claim

ACE Insurance Limited

Fidelity Guarantee Limit any one person $100,000 Aggregate Limit any one period of insurance $100,000

05CH005846 $1,000 each & every loss ACE Insurance Limited

Local Govt Business Practices Section 1 – Statutory Liability $1,000,000 Section 2 – Defence Costs Indemnity $1,000,000

BPP06-0135 Statutory Liability – Any one claim brought against the named organisation $2,500 Any one natural person, any one claim $1,000 Defence Costs Indemnity – Any one loss by the named organisation arising from or attributable to any issue involving town planning, development application or land usage $10,000 Any one loss by the named organisation $2,500 Any one natural person, any one loss $1,000

Wesfarmers General Insurance Ltd through Specialist U/W Agencies P/L – Lumley

Pollution Legal Liability B $5,000,000 - Third Party Claims from off-site new pollution conditions

EL0000122810 $10,000 Chartis

Marine Cargo Limit any one conveyance within Australia $100,000 50.CAN.0455253 $100 any one loss of series of losses arising from one event

Zurich Aust Insurance Ltd through Associated Marine Insurers Agents P/L


Appendix A: Insurance Policies

Appendix A


Motor Vehicle Section 1 – Vehicles belonging to the insured – Market value or sum insured, whichever is the lesser. Bushfire Brigade Members Vehicles - $200,000 Maximum Aggregate value of vehicles at any one location at any one time $8,800,000 Section 2 – Third Party Property Damage $30,000,000 Third Party Property Damage in respect of Dangerous Goods carrying vehicles $250,000

63 4011591 VFT The insured will bear the following cost for each & every loss or series of losses arising out of any one event: Bushfire Vehicles $Nil Councillors Vehicles $Nil Volunteer Vehicles $Nil Employees Vehicles $Nil All other vehicles $300

Zurich Aust Insurance Ltd

Personal Accident & Travel Capital Benefits Councillors/Elected Members/Mayor $200,000 All Employees $200,000 Accompanying Spouse/Partner $200,000 Voluntary Workers $200,000 When on Insured Travel $200,000

05P0005535 Various ACE Insurance Limited

LGIS Property Scheme Section 1 – Material Damage $266,654,259 Section 2 – Business Interruption $42,408,000 ($21,204,000 x 2 years)

000327 Standard $1,000 Earthquake 1% or $20,000 whichever is lesser Councillors/Employees Effects whilst on Council premises listed on Schedule $250 Cyclone Excess $50,000

LGIS Property Scheme

LGIS Liability Scheme Section A – Public Liability $100,000,000 any one occurrence Products Liability $100,000,000 any one occurrence and in the aggregate any one Period of Protection Section B – Professional Indemnity $100,000,000 any one occurrence and in the aggregate any Period of Protection

000123 Libel & Slander $5,000 any one claim arising from an occurrence Public Liability $Nil and one claim arising from an occurrence Professional Indemnity $1,500 any one claim arising from an occurrence

LGIS Liability Scheme

LGIS Workcare Worker’s Compensation – cover is granted in accordance with the Workers Compensation and Injury Management Act (1981) including unlimited Common Law. Journey Injury – Aggregate Limit of Liability $1,000,000 any one period of insurance for all councils

000131 $Nil for each and every loss or series of losses LGIS Workcare Scheme

Insurance Class Sum Insured / Limit of Liability Policy No Excess Insurer

Appendix B


The role of Asset Management is addressed in the following pieces of legislation, policy and guidelines:-

• Local Government Act 1995

• Environmental Protection Act 1986

• Residential Design Codes of Western Australia 2008

• Shire of Roebourne - Asset Management Policy 2009 (TE4)

• Shire of Roebourne - Karratha Aerodrome Provision of Apron Area and Aircraft Access to Future Lessees 2007 (TA1)

• Shire of Roebourne - Maintenance of Reserves and Street Verges Adjoining Residential Properties 2007 (TE3)

• Shire of Roebourne - Finance and Investment Strategy 2007 (CF3)

• Shire of Roebourne - Purchasing Policy 2009 (CF6)

• Shire of Roebourne - Employee Housing Policy 2010 (CH4)

• Shire of Roebourne - Council Vehicle Fleet Policy 2010 (CH8)

• Shire of Roebourne - Active Reserve Management Policy 2007 (CS1)

• Shire of Roebourne - Approval of Events Held on Council Managed or Owned

• Property 2007 (CS2)

• Shire of Roebourne - Bulgarra Oval – Future Development 2007 (CS3)

• Shire of Roebourne - Recreation Facilities Fees and Charges 2008 (CS4)

• Shire of Roebourne - Cyclone Action in Regard to Recreation Facilities 2007 (CS5)

• Shire of Roebourne - Donations, Sponsorships and Community Grants 2007 (CS6)

• Shire of Roebourne - Insurance for Sporting Groups Utilising Council Facilities 2007 (CS7)

• Shire of Roebourne - Lighting of Ovals Vested in Council 2007 (CS8)

• Shire of Roebourne - Pegs Creek Oval Ball Sports 2007 (CS10)

• Shire of Roebourne - Percent for Art Policy 2007 (CS11)

• Shire of Roebourne - Public Art Policy 2007 (CS12)

• Shire of Roebourne - Self Supporting Loans 2007 (CS14)

• Shire of Roebourne - Disability Access and Inclusion 2007 (CS15)

• Shire of Roebourne - Variation to Operating Hours at Aquatic Centres 2008 (CS16)

• Shire of Roebourne - Graffiti Management Policy 2009 (CS17)

• Shire of Roebourne - Recreation Facilities Fees and Charges (Bonds) 2010 (CS18)

• Shire of Roebourne - Annual Community Association Development Scheme 2010 (CS19)

• Shire of Roebourne - Karratha City Centre Development Requirements 2010 (DP1)

• Shire of Roebourne - Crane Circle Mixed Business Zone Development Requirements 2009 (DP1)

• Shire of Roebourne - Industrial Zones and Industrial Development Requirements 2009 (DP5)

• Shire of Roebourne – Landscaping Requirements for Industrial and Commercial Areas 2009 (DP6)

• Shire of Roebourne - Residential Frontage 2009 (DP7)

• Shire of Roebourne – Roebourne and Wickham Mixed Business Zone Development Requirements 2009 (DP8)

• Shire of Roebourne - Town Centre Zone Development Requirements 2009 (DP9)

• Shire of Roebourne - Commercial Zone Development Requirements 2009 (DP12)

• Shire of Roebourne - Tourism Zone Development Requirements 2009 (DP13)

• Shire of Roebourne - Point Samson Development Requirements 2009 (DP14)

• Caravan Parks and Camping Grounds and Regulations 1997

• Environmental Protection (Noise) Regulations 1997

• Health (Aquatic Facilities) Regulations 2007

• Health (Food Hygiene) Regulations 1993

• Health (Public Buildings) Regulations 1992

• Health (Treatment of Sewage and Disposal of Effluent and Liquid Waste) Regulations 1974

• Australian Standard AS1158 Lighting for Roads and Public Spaces

• Australian Standard AS2890 Parking Facilities 2004

• Various Australian Standards and codes of practice referred to in Regulation

Appendix B: Legislative Requirements

Appendix C


Appendix C: Review of Corporate Planning Software

Recommendations

• Council should retain its current corporate planning software and fully implement its Asset Management Database – MyData, in order to develop a single complete asset register for asset planning purposes. Financial information derived from MyData’s planning module – myPredictor should then be fed into the Financial Database – SynergySoft.

• Council should allocate funding to fully implement MyData preferably by 30 June 2013.

Supporting Comments

• The two current systems used by the Shire: MyData and SynergSoft are both capable packages that are proven to work individually and in the case of the Shire of Ashburton are proven to integrate in a workable manner.

• The Shire has already fully implemented the SynergySoft system and it is reliably storing customer information, generating rates notices, etc. The vendor of MyData - Assetic, is highly motivated and support is reasonably priced compared to other commonly used Asset Management Databases and not all updates are charged. This makes the implementation of MyData more straightforward and cheaper. For example, Bundaberg Regional Council

estimates that it has spent $60,000 over three years to implement MyData.

• The cost of changing to other corporate planning software would be prohibitive, and it is doubtful whether other systems would better suit the needs of the Shire.

• The Shire has an Asset Management Coordinator that is familiar with MyData and the ICT team is also able to give support to MyData and SynergSoft.

• The MyData package does not require a complete dataset, but the more data it has the better. The myPredictor planning module is able to generate cashflow models based on different scenarios in real time. This would make the Shire less reliant on external consultants and save on planning and compliance costs.

• Ultimately, the two systems would automate the generation of work orders and invoices for the Shire making asset management more efficient and optimising the maintenance of assets.

Background

• The Shire of Roebourne’s Asset Management Database – MyData; and Financial Database – SynergySoft were chosen as part of a group procurement process undertaken by the Pilbara Regional Council during 2007 and 2008.

• There are currently separate asset registers in the Shire’s financial system

SynergySoft and asset management system MyData. The infrastructure, fleet and plant data is stored separately again on loose Excel spreadsheets.

• The physical descriptive data is separate from the financial data related to each asset and none of the asset registers have been audited for accuracy.

• The level of detail varies between the asset classes but the Transport and Drainage data is recorded in the highest detail with position, size and condition data recorded. Only minimal historical asset information is currently kept outside of purchase or build date, historical cost and invoices.

• The assets have not undergone a valuation process for establishing fair value beyond historical cost. The depreciation for the assets is manually carried out on loose spreadsheets.

Further Information


In our experience there are five key council systems. These are effectively Enterprise Resource Planning systems (ERPs) centred on the financial module. This means they apply general principles that need to be tailored to individual organisations. The five systems include:

• Civica’s Authority;

• ITVision’s SynergySoft;

• Infor’s Pathway;

• Technology One’s OneCouncil; and

• LG System Inc’s Local Government Enterprise (LGE).

Authority and SynergySoft have a typical financial view (e.g. depreciation of current and non-current assets) and an asset management module. Infor purchased Pathway and the Asset System is, like Pathway, a separate system from a different background. It has a manufacturing pedigree so is very ‘maintenance’ oriented and is good in generating work orders. TechOne focuses on larger councils and most small councils find the cost prohibitive. TechOne does have an Enterprise Asset Management module that is one of the few that tries to link strategy with implementation. We understand this is one of the better solutions but implementing it has had mixed results. Of the five systems, only LGE does not have an ‘Asset Management’ module.

Many councils have taken a ‘bespoke’ approach and use spreadsheets and MS Access databases linked to their financial systems. In South Australia, the City of Onkaparinga is a good example of a successful approach. Contributed assets (the main way new assets are provisioned) are captured in a Geographical Information System (GIS). This forms their asset register. The GIS is linked to the ‘Operational Management System’, which is a MS Access database that defines the intervention and schedules maintenance. There is also a loose link to Oracle’s JD Edwards ERPs, which is used as the financial system so the things like depreciate and activity based costing can be done.

There are number of dedicated Asset Management Systems. These range from broad solutions down to solution related to specific asset classes that include Pavement Management Systems based on Road Conditional Manual (ROCOND) or Automated Mapping/Facilities Management (AMFM) solutions, for example. Of those, we are aware of:

• Conquest - was a functional system originally developed in MS Access by a civil engineer. Now into its second version and marketed by Conquest Solutions and used by Campbelltown City Council, Hobart City Council and Rockhampton Regional Council.

• Confirm - originally came from the UK and is marketed by Pitney Bowes Software. Ballarat City Council,

Sutherland Shire Council and Townsville City Council amongst others are current users.

• Hansen - quite a comprehensive package originating from the US and marketed by Infor who also provide Pathway, see discussion above about Pathway. Used by Adelaide City Council, Gold Coast City Council and Willoughby City Council.

• Assetic - MyData which is currently used by the Shire of Roebourne and its neighbouring local governments. Also used by Bundaberg Regional Council, City of Stirling and Gosford City Council.

• Maximo - is an IBM tool that is not really suited to Local Government from a cost perspective. We’re only aware of State agencies implementing this system e.g. NT’s Power and Water and Ausgrid in NSW.

• ROMAN – is a WA specific tool for the management of roads and pathways.

Further Information

For further information on the plan, please contact the Manager

Integrated Strategic Planning, Shire of Roebourne at

08 91868655 (landline) or 0408 012 971 (mobile) or

08 9185 1626 (fax)