City of Fremantle Minutes – SMRC RRRC WCF Odour Issue – 22 June 2011
SGS1106-10 INFORMATION REPORT FOR JUNE 2011
(The following item number SGS1106-10 was moved and carried en bloc earlier in the meeting.)
SOUTHERN METROPOLITAN REGIONAL COUNCIL DRAFT BUDGET PARAMETERS 2011/12
DataWorks Reference: 038/012
Author: Glen Dougall, Director Corporate Services
Agenda Attachments: Attachment 1 – SMRC Proposed Budget Advice
The Southern Metropolitan Regional Council have provided their draft budget parameters for 2011/12, which are attached. Generally, there is between a 4% to 6% increase in costs associated with the various operations of the facility with the following gate fees being proposed;
WCF Gate Fee: $193.75/t (ex GST) (up from $182.75)
MRF Gate Fee: $82.00/t (ex GST) (currently $85.00 with external contractor)
Greenwaste Fee: $67.50/t (ex GST) (up from $64.60)
City of Fremantle contributions for loans and programs are as follows;
Loan Repayments for RRRC Capital: $470,008
Climatewise Program: $ 25,023
Governance: $ 25,686
Research & Development Contribution: $ 6,432
Communication & Education: $ 16,273
RRRC Education: $ 27,721
TOTAL: $571,143
All these parameters have been allowed for in the draft 2011/12 City of Fremantle Budget.
The new Materials Recovery Facility (MRF) is proposed to be operational by April, 2012. The proposed MRF budget does include overheads, such as loan repayments, which will see a $1 million loss in this program. Reserves will be transferred to support this loss. If the facility does not open in April, 2012 these losses will increase at $200,000 per month
minimum.
The SMRC is proposing to receive an insurance payout of $16 million for the MRF and will raise an additional $3 million in new loans to cover the build costs for the new facility. The loan repayments for the MRF are covered in the gate fee. The City of Rockingham has indicated it is withdrawing from the MRF contract when it expires on 30 June, 2012. The City of Kwinana is yet to advise its position on its MRF contract which also expires on 30 June, 2012.
Officers have advised the SMRC that the proposed budget parameters are satisfactory.
