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151 Agenda – Finance & Administration Committee 18/11/09 - #2330600 FINANCE AND ADMINISTRATION COMMITTEE 18 NOVEMBER 2009 10 CAIRNS REGIONAL COUNCIL PROPOSED TRUSTEE LEASE TO DJARRAGUN COLLEGE LTD TRADING THROUGH THE WANGETTI TECHNICAL AND VOCATIONAL COLLEGE OVER PART OF LOT 39 ON SP129117, CAPTAIN COOK HIGHWAY WANGETTI – DIVISION 10 K Richardson : 19/3/3-84: #2347623 RECOMMENDATION: That Council offers Djarragun College Ltd trading through the Wangetti Technical and Vocational College (Lessee) a trustee lease over part (about 1.134 hectares) of Lot 39 on SP129117, Captain Cook Highway Wangetti, subject, but not limited to the following terms and conditions: for a term of ten (10) years from a date to be determined; rental for the first year of the term to be $632.50 (GST inclusive) and subject to annual review in accordance with the Brisbane All Groups Consumer Price Index (CPI); lessee to be responsible for all rates and charges, including any costs of water usage on the premises; lessee being responsible for all reasonable costs associated with the preparation, execution, and registration of the lease; in accordance with Council’s “Tenures Policy For Not For Profit Recreation, Sporting and Community Groups - No.1:02:45”; in accordance with the State’s (represented by the Department of Environment and Resource Management “DERM”) registered mandatory standard terms for a trustee lease document dealing no. 711932933; ‘in-principle’ approval being obtained from the Minister for Environment and Resource Management; lessee to comply with the terms and conditions of the DERM ERA 15 (a) approval for the on-site treatment and disposal facility; and

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FINANCE AND ADMINISTRATION COMMITTEE

18 NOVEMBER 2009

10 CAIRNS REGIONAL COUNCIL PROPOSED TRUSTEE LEASE TO DJARRAGUN COLLEGE LTD TRADING THROUGH THE WANGETTI TECHNICAL AND VOCATIONAL COLLEGE OVER PART OF LOT 39 ON SP129117, CAPTAIN COOK HIGHWAY WANGETTI – DIVISION 10 K Richardson : 19/3/3-84: #2347623

RECOMMENDATION: That Council offers Djarragun College Ltd trading through the Wangetti Technical and Vocational College (Lessee) a trustee lease over part (about 1.134 hectares) of Lot 39 on SP129117, Captain Cook Highway Wangetti, subject, but not limited to the following terms and conditions: • for a term of ten (10) years from a date to be determined; • rental for the first year of the term to be $632.50 (GST inclusive) and subject to annual review in accordance with the Brisbane All Groups Consumer Price Index (CPI); • lessee to be responsible for all rates and charges, including any costs of water usage on the premises; • lessee being responsible for all reasonable costs associated with the preparation, execution, and registration of the lease; • in accordance with Council’s “Tenures Policy For Not For Profit Recreation, Sporting and Community Groups - No.1:02:45”; • in accordance with the State’s (represented by the Department of Environment and Resource Management “DERM”) registered mandatory standard terms for a trustee lease document dealing no. 711932933; • ‘in-principle’ approval being obtained from the Minister for Environment and Resource Management; • lessee to comply with the terms and conditions of the DERM ERA 15 (a) approval for the on-site treatment and disposal facility; and

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• lessee to provide an as-constructed survey plan prepared by a licensed surveyor in accordance with the FNQROC Development Standards and to the satisfaction of Council within 6 months of the formation date of the trustee lease at the lessee’s cost. The plan must document the effluent disposal facility including the highway crossing and existing and future disposal areas. Furthermore, Council delegate authority to the Mayor and Chief Executive Officer in accordance with Section 472 of the Local Government Act 1993 to: • negotiate, determine and approve any and all matters, including execution associated with the proposed trustee lease and the required as constructed survey plan; • amending and approving any and all matters associated with the land management plan; and • negotiate, determine and approve any and all matters, including execution associated with any required trustee permit.

INTRODUCTION: Djarragun College Ltd, trading through the Wangetti Technical and Vocational College, has requested that it formalise its existing use of part of Lot 39 on SP129117 with Council, by entering into a trustee lease.

BACKGROUND: Lot 39 on SP129117, Captain Cook Highway, with an area of 277 ha, is a Reserve for Recreation purposes under trusteeship of Council. Djarragun College Ltd (Lessee) has recently taken over management of the Wangetti College Campus located on Lot 21 on NR5583, Captain Cook Highway Wangetti and is across the road from the subject area which is being operated as the Wangetti Technical and Vocational College (Wangetti TAVEC). The area subject of the proposed lease has an existing sports oval that is currently in a run down and poor condition due to damage caused by wild pigs, “hooning” and other damage caused by vehicles. It is adjacent to an area currently leased to the State of Queensland represented by the Department of Emergency Services for use as a Rural Fire Brigade site.

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The current use of the land by the Wangetti TAVEC is for the safe disposal of treated waste water from the TAVEC as well as recreational use by the students. The waste water treatment system is currently operational and licensed and is being regularly tested and maintained. It is licensed to operate between 6pm and 6am daily, however, the TAVEC is trying to restrict the disposal to early evening, thereby allowing the waste water to properly disperse and be absorbed into the soil. In the longer term it is envisaged that the TAVEC will develop this area as an outdoor area for school activities. It is understood that the former management of the Wangetti College had an agreement with the former Douglas Shire Council for use of the subject land for the disposal of treated waste water and recreational purposes. No evidence of any formal agreement can be located and it is assumed this agreement was verbal only. The lessee is now seeking to formalise this arrangement by way of a trustee lease. The proposed lessee has advised Council that it is confident that the site is safe and there is no health risk to the students or anyone else accessing the site. Further, it is advised that the disposal system is well maintained and in sound working order. Copies of the Certificate of Registration for operating a sewage treatment works from the Environmental Protection branch of the Department of Environment and Resource Management (DERM) and a Permit for Road Crossing and Irrigation Pipe from the Department of Transport and Main Roads (DTMR) have been provided and are attached to this report. Access to the subject site for passive recreational activities will continue.

COMMENT: Sport Recreation and Community Development. As Asset Owner of the site, Sport and Recreation has no objections to entering into a trustee lease with the Djarragun College Ltd trading through the Wangetti Technical and Vocational College. Further, rental is to be charged in accordance with Council’s Tenures Policy For Not For Profit Recreation, Sporting and Community Groups - No.1:02:45 - S3. Water and Waste Water and Waste support entering into a trustee lease, subject to the following conditions: 1. The lessee to comply with the terms and conditions of the DERM ERA 15 (a) approval for the on-site treatment and disposal facility. 2. An as-constructed survey plan prepared by a licensed surveyor in accordance with the FNQROC Development and to the satisfaction of Council to be submitted to Council within six (6) months of the formation date of the trustee lease at the lessee’s cost. The plan must document the effluent disposal facility including the highway crossing and existing and future disposal areas.

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Infrastructure Management Infrastructure Management support entering into a trustee lease, subject to the following conditions: 1. Lessee to ensure that all relevant permits are obtained from the relevant authorities for discharging onto the subject site; and 2. A plan that is acceptable to Council is submitted showing the proposed areas for treated waste water and recreational use. IM have advised that the permits and plans submitted by the lessee (and attached to this report) are considered to be acceptable. Property Services In terms of the State’s Secondary Use of Trust Land PUX/901/209, as there is minimal change to the existing use of the trust land, and it is proposed that a new trustee lease will be issued for an existing secondary use of low intensity, Property Services considers that a Land Management Plan will not be necessary for the Reserve. However the State may hold a different view. Native Title considerations will also be addressed with DERM if required.

CONSIDERATIONS: Corporate and Operational Plans: This links to Goal 2 ‘Building Vibrant Communities’ of the 2009/2014 Corporate Plan. Statutory: The issue of any tenure will be in accordance with the requirements of the Land Act 1994. Policy: Council’s “Tenures Policy For Not For Profit Recreation, Sporting and Community Groups - No.1:02:45” will apply to the proposed lease. Financial and Risk: The lessee is responsible for all reasonable costs associated with the preparation, negotiation and registration of the trustee lease, rates and charges, water usage and maintenance.

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Sustainability: In the long term the secondary use of this area will be as an open outdoor area for school recreational activities. The Wangetti TAVEC grounds have limited open spaces for the students’ activities. Access to this site will ensure the wellbeing of the students by ensuring access to an area for physical and recreational activities. Public access and use will continue and be enhanced over time, due to the proposed improvement of the subject area.

CONSULTATION: As per the comments section of this report.

OPTIONS: 1. That Council offers Djarragun College Ltd trading through the Wangetti Technical and Vocational College (“Lessee”) a trustee lease over part (about 1.134 ha) of Lot 39 on SP129117, Captain Cook Highway Wangetti, subject, but not limited to the following terms and conditions:

• for a term of ten (10) years from a date to be determined;

• rental for the first year of the term to be $632.50 (GST inclusive) and subject to annual review in accordance with the Brisbane All Groups Consumer Price Index (CPI);

• lessee to be responsible for all rates and charges, including any costs of water

usage on the premises;

• lessee being responsible for all reasonable costs associated with the preparation, execution, and registration of the lease;

• in accordance with Council’s “Tenures Policy For Not For Profit Recreation,

Sporting and Community Groups - No.1:02:45”;

• in accordance with the State’s (represented by the Department of Environment and Resource Management) registered mandatory standard terms for a trustee lease document dealing no. 711932933;

• ‘in-principle’ approval being obtained from the Minister for Environment and

Resource Management; and

• lessee to comply with the terms and conditions of the DERM ERA 15 (a) approval for the on-site treatment and disposal facility; and

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• lessee to provide an as-constructed survey plan prepared by a licensed

surveyor in accordance with the FNQROC Development standards and to the satisfaction of Council to Council within 6 months of the formation date of the trustee lease at the lessee’s cost. The plan must document the effluent disposal facility including the crossing of the highway and existing and future disposal areas.

Furthermore, Council delegates authority to the Mayor and Chief Executive Officer in accordance with Section 472 of the Local Government Act 1993 to:

• negotiate, determine and approve any and all matters, including execution associated with the proposed trustee lease and the required as constructed survey plan;

• amending and approving any and all matters associated with the land

management plan; and

• negotiate, determine and approve any and all matters, including execution associated with any required trustee permit.

2. That Council not offer Djarragun College Ltd trading through the Wangetti Technical and Vocational College a trustee lease over part Lot 39 on SP129117, Captain Cook Highway Wangetti. Further that Djarragun College Ltd trading through the Wangetti Technical and Vocational College be instructed to remove any and all infrastructure from the subject land to the satisfaction of Council and cease using the site for the disposal of treated waster water. CONCLUSION: That Council concur with the recommendation of this report.

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ATTACHMENTS: Locality Map Aerial Photo Proposed Trustee Lease Plan Certificate of Registration Main Roads permit L GIACOMI Team Leader Property and Administration L KIRCHNER Manager Corporate Performance B GROSSER General Manager Corporate Services

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Locality Map

Lot 39 on SP129117

Subject site

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Aerial Photo

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Proposed Trustee Lease plan

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Certificate of Registration

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Main Roads Permit

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Cont..