Our Financial Future

A one-off financial contribution of $2 million was made in 2018 to the construction of the Kempsey cinema and Council has no ongoing ownership, operating or maintenance responsibility for the facility.

Bringing a cinema to Kempsey CBD was debated and reviewed by Council many times where they weighed up the economic impact, the proposed benefits and the very mixed community feedback.

Investing in the cinema aligned with strategic plans in place and benefits the Kempsey economy by making it a more appealing place to live and invest through:

• Offering attractive and contemporary social experiences, on par with neighbouring regions.
• Providing additional incentives for both locals and tourists to explore and spend in Kempsey.
• Cultivating an environment beneficial to the growth and establishment of other businesses within Kempsey.
• Providing the opportunity for social and cultural enrichment for community through a modern entertainment complex.

The survey is based on the experiences of many councils that either are currently or have previously investigated a Special Rate Variation.

In question 6 ‘If Council was to apply for a Special Rate Variation which of the options is your preference?’, the "Other" choice allows ratepayers the chance to express their opposition towards all three proposed scenarios.

Additionally, you have the option to voice your opposition in the comments fields or submit a separate formal response specifically opposing the Special Rate Variation.

Please see below video.

The Unimproved Capital Value (also referred to as unimproved land value), or UCV is the estimated value of the underlying land which a property is built upon, excluding any improvements on the land such as the dwelling itself and other structures. In summary, it is the same as the “Land value” that you find on your rates notice.

Please see below video on calculating rates.

Please see below video on calculating rates.

As per the IP&R legislation, all Fees and Charges, including base rates and the ad valorem component are documented in the Schedule of Fees and Charges which must be publicly exhibited and adopted by Council prior to June 30 each year. 

Corporate planning, performance and budget - Kempsey Shire Council working with the Macleay Valley community (nsw.gov.au)

Property rates are subject to rate peg and the Local Government Act in terms of how they are calculated. See below video on calculating rates. 

All other charges are outlined in the Schedule of Fees and Charges, which indicates those that are legislated either through multiple sections of the Local Government Act, Public Health Act, Environment Offences Act, EP&A Act or other legislative requirements. 

The Schedule of Fees and Charges contains codes and explanations for each fee or charge as to calculation basis. 

Fees and charges where Council has discretion are reviewed by staff each year as part of the budget development process. Principles of cost recovery, affordability and collection practicality are applied in consideration of any changes, ahead of the draft document being publicly exhibited and adopted by Council. 

Council’s total headcount, as reported in Part B of its published Annual Report, have increased from 287 as of 30 June 2018 to 361 as of 30 June 2022. 

The composition of these staff numbers is detailed in the table below. It should be noted that these numbers include all functions (such as Water, Sewer and Waste) and not just those functions to which general fund rates apply.

The majority of the increased staffing numbers over this 5-year period relate to temporary full-time positions. These are not permanent positions but rather positions which are for a defined period of time (i.e. project based roles).

There are a number of factors which explain the increase as noted below:

• The 2018 figure includes a significant number of unfilled vacant positions that coincided with Council’s management change and impending restructure. Vacant positions were left open during this transition period to create maximum flexibility for the new management team. 
• These carried over vacancies were in many cases filled in the first year of the new structure, which explains the increase in full-time positions in the first year from 2018 to 2019.
• In line with the principles of the Financial Sustainability Program and Council’s Workforce Management Plan a reliance on external staff (labour hire, contractors) has been addressed with the employment of qualified staff. This has increased the overall headcount but reduced external costs associated with contractors and labour hire.
• Some of these newly created internal technical positions are in Water and Sewer, which does not impact the General Fund. 
• Council has received grant funding for almost four years to employ temporary fulltime staff focused on disaster preparedness and recovery. 
• As per Initiative 13 of the Financial Sustainability Program Council has established a Project Management Office to improve project efficiency and delivery standards for major capital works programs, many of which are grant funded for disaster recovery, or funded through holiday park revenue. This initiative has resulted in time and budget efficiencies particularly in comparison to outsourcing project management to consultants and contractors.
• Council have taken advantage of State and Federal Government employment schemes offering rebates for trainee and apprentice positions. This creates career paths targeted predominantly at young people, offering benefits to the wider Kempsey community.  
• A number of regulatory changes have legislated additional local government positions, such as an Internal Auditor, Integrated Planning and Reporting Officer 
•  Additional resources have been added to emerging fields that aim to manage risk and increase professionalism compared to previous staffing structures. For example roles have been added in IT Support, Cyber Security, Asset Management and WH&S.
• Increased Rangers has responded to community calls for greater compliance and regulation, particularly in regard to parking and dog management. 
• Acquisition of the Slim Dusty Centre has increased the workforce. 
• Significant increases in the size of the capital works program being delivered, much of which has been grant funded, has resulted in staffing increases in operational and support staff such as finance, engagement and human resources. 

Please see below.

Various scenarios can be undertaken by simply entering different land values into the rates calculator.

Also, see page 4 of Revenue Policy 2023-24 for more detail. 

This breakdown forms part of the data set that is being independently analysed to help determine if our community has capacity to pay additional rates. 

* Data does not include casuals, but does include temporary staff, trainees and cadets. 

All Council staff, from the Directors through all staffing levels, undertake Annual Performance reviews that are a crucial tool for managing and developing the Council’s workforce. When conducted effectively, they can contribute to improved employee engagement, productivity, and long-term success for both individuals and the whole organisation. 

These reviews involve:

• Assessment of employee performance against agreed Key Performance Indicators (KPIs)
• Goal setting in line with the Council’s values and strategic plan including current projects and budgets
• Development and training
• Motivation and morale
• Improvement and accountability
• Succession planning

A mid-year review is conducted as part of the ongoing process of performance management. Compliance and outcome reporting is provided to the Executive Leadership Team with all data recorded in Council’s People and Culture systems.