draft strategic asset management plan 2020 · and open space, and wastewater. the total replacement...

Draft version 0.3

31 March 2020

2020

2

Contents 1. Message from the CEO ....................................................................................................................... 3

2. Introduction ....................................................................................................................................... 4

3. Our assets: what do we own? ............................................................................................................. 5

4. Condition: how healthy are our assets? .............................................................................................. 7

5. Levels of service: what do we provide and how are we performing? ................................................ 10

6. Future demand: what are we planning for? ...................................................................................... 12

7. Lifecycle management plan: what does it cost us? ........................................................................... 16

8. Financial: how will we pay for these services? .................................................................................. 20

9. Improvement plan: how could we do better? ................................................................................... 22

10. Investment plan: how much are we planning to spend? ................................................................... 24

11. References ........................................................................................................................................ 25

Rev No Date Revision Details Author Reviewer Approver

0.1 10 Jan 2020 Initial draft Adrian Stokes, Stokes Environmental and Editing

Council Infrastructure Planning

0.2 14 Jan 2020 Second draft, incorporating changes from comments received

Adrian Stokes Council Infrastructure Planning, Economic Development and Sustainable Futures

0.3 26 March 2020

Third draft, incorporating feedback from MD and PB

1.0 13 July 2020 Fourth Draft, incorporating feedback from community consultation

Council Infrastructure Planning

General Manager Infrastructure

Council 7 September 2020

3

1. Message from the CEO

The Mount Barker district provides a special balance of rural

and urban living, with scenic landscapes, picturesque

townships and easy freeway access to Adelaide.

Council has a vital role in providing services to enable this

exceptional lifestyle. The key to providing many of these

services is our diverse suite of assets, which has a collective

replacement value of more than half a billion dollars. We must

manage these existing assets prudently, while also planning for

new or upgraded assets as the population of our district grows

and changes.

This Strategic Asset Management Plan identifies the

maintenance and renewal needs of our current assets and

considers our budget allocations. It also analyses likely growth

and demand trends and identifies how Council will respond to

those demands.

Importantly, this plan shows that our ten‐year budget

allocations are sufficient to maintain our existing assets at the

current levels of service. We will continue to show prudence in

our asset management as we carefully plan for the services

and assets of the future.

We are becoming increasingly affected by climate change,

most poignantly shown by the devastating impacts to our

community in the recent bushfires. This and other impacts of

climate change lead to increased risks to our services and we must continue working to

understand and respond to these.

4

2. Introduction

At Mount Barker District Council, we have a vision to be recognised as being highly liveable,

prosperous and safe, built from a foundation of community spirit and energy, quality of

lifestyle and unique heritage, environment and landscape1.

We provide a wide range of services to our community, in urban and rural areas. To deliver

these services and enable us to strive towards our vision, we own and manage many assets.

These assets are categorised in five classes: buildings, stormwater, transport, recreational

and open space, and wastewater. The total replacement value of these assets (excluding

plant & equipment) is approximately $552 million.

It is essential that we manage these assets responsibly, to maximise the value and services

that we get from them. For this reason, we prepare ten‐year asset management plans,

following international best‐practice2, which assess the condition of our assets and

determine the expenditure needed to operate, maintain, and renew or replace them. This

also meets our obligations under the Local Government Act 1999 to prepare infrastructure

asset management plans.

Our asset management plans define the lifecycle costs of our assets, analyse risks associated

with assets and their management, and establish funding strategies for providing agreed

services and assets. Importantly, the plans identify any actions that can be taken to improve

how we manage assets. These are infrastructure assets providing services to the

community.

Our asset management plans also look ahead, analysing future demand and planning the

new assets that will be required or those that we no longer need. This way we are confident

that our current assets are well managed and that our budget is sufficient for their

operations and maintenance, and that future budgets are also ready for the major changes

that are occurring in our district.

A rapidly changing climate is another significant factor that we must consider when

managing and planning our assets. In November 2019, Council declared a climate

emergency that requires urgent action from all levels of government. Council is committed

to identifying and addressing climate risks across its governance and operations, and

recognises that climate change is likely to affect asset life, resilience and functionality. As

such, we will incorporate climate risk assessment into our asset management planning. We

will also consider what role asset management will have in reaching Council’s emissions

reduction goals and targets.

This Strategic Asset Management Plan (SAMP) summarises the detailed asset management

planning that has been undertaken for the five asset classes and presents the overall

investment plan for the next ten years.

1 Mount Barker 2035 District Strategic Plan. 2 International Infrastructure Management Manual (IIMM) 5th Edition (IPWEA, 2015)

5

3. Our Assets: what do we own?

The following is a snapshot of the assets that we own so that we can provide services to the

community.

Buildings and other structures

We have 303 buildings and structures, which provide the community with spaces to meet,

socialise, play sport or do business, and to conduct Council’s business and provide other

services.

Our buildings are diverse, and include 123 sports and recreation facilities, 46 parks and

gardens buildings, 30 public conveniences, 27 Council facilities, and 23 halls and institutes.

Council has a commitment to preserve the built heritage of the district for the benefit of the

community. We consider a heritage asset to be an asset with cultural, artistic, geographical

or environmental qualities. We will apply best practices to preserve our heritage.

Stormwater

We have assets that provide stormwater drainage and flood mitigation services to the

community. They include 157 km of stormwater pipes, 5,908 stormwater pits, 51 gross

pollutant traps, nearly 16 km of open drains, and 108 detention basins.

6

Transport

We have an extensive suite of assets that provide the community with safe and accessible

transport. This includes 368 km of sealed roads, 455 km of unsealed roads, 159 km of

footpaths, 320 km of kerb and channel, and 268 bridges, floodways and culverts. In

addition, the district contains approximately 159 km of roads that are owned and

maintained by the Government of South Australia.

Recreation and open space

We own a wide variety of assets that provide active and passive recreation and open space

services to the community, including 82 playing fields (tennis / netball courts, cricket nets /

pitches, ovals, etc.), 35 playgrounds, over 200 ha of parks and linear reserves, 166 ha of

sports‐related open space, and about 160 ha of natural area reserves. This also includes 79

monuments and substantial works of art (such as sculptures), and more than 20,000 street

trees.

7

Wastewater

Council operates four wastewater schemes across the townships of Mount Barker,

Littlehampton, Nairne, Brukunga, Echunga, Meadows and Macclesfield but excluding

Hahndorf which is serviced via SA Water and provides non‐potable water for residential and

non‐residential use. Assets used to provide these services include three treatment facilities,

more than 10,000 connections, over 250 km of gravity mains and about 26 km of rising

mains, 105 pumps, the award‐winning Laratinga Wetlands and several lagoons.

4. Condition: how healthy are our assets?

To keep track of the health of our assets and effectively plan their management, we

regularly assess their condition. Different techniques are used for the different types of

assets. For example, sometimes a formal visual inspection is conducted, and sometimes it is

simply based on the known age of the asset. We typically use a 1 to 5 condition rating:

1 Very good: only normal maintenance required

2 Good: planned to minor maintenance required

3 Fair: maintenance required to return to acceptable level of service

4 Poor: major maintenance required over next 3–5 years

5 Very poor: beyond maintenance and should be renewed or replaced in next 3 years

Figure 1: Condition of all classes of assets

8


98% of our building assets are considered in fair condition or better. This remains

unchanged because we are still using condition assessment data from 2014; an updated

condition assessment will be completed in 2020 and will be reflected in future revisions of

this plan.

Stormwater

All of our stormwater assets are in fair condition or better. This is because they are long‐

lived assets and most were constructed in the 1960s and 1970s. Targeted condition

assessments will be carried out in 2020/21.

Transport

Transport assets are monitored every 4 years through a scheduled condition assessment

program. 97% of our sealed roads are in fair condition or better. However, the unsealed

road assets are not performing as well: 41% are in poor or very poor condition; this is a

slight improvement from 2018, when 43% were in poor or very poor condition. 95% of

footpaths and 91% of bridges and culverts are in fair condition or better.

Recreation and open space

The condition of recreation and open

space assets is presented according to the

age of the assets. 76% are in very good or

good condition based on age, however a

condition assessment will be completed in

2020/21 to provide a more accurate report

for a future revision of this plan.

Wastewater

The condition of our wastewater assets was last

assessed in age, using a combination of visual

assessments. 96% of our wastewater assets are in

fair condition or better. This condition audit has

not been included, as it is not yet finalised, and

will be reflected in future revisions of this plan.

9

Valuations

Table 1 provides the replacement cost and the depreciated replacement cost for each asset

class. The depreciated replacement cost is the current replacement cost less accumulated

depreciation. This is represented differently in Figure 2, which shows how much of each

asset class has been consumed/depreciated.

Asset Class Replacement Cost $,000

Depreciated Replacement Cost

$,000 Buildings 52,080 43,848

Recreation and Open Space 18,998 12,379

Transport 316,090 235,624

Stormwater 60,458 47,188

Wastewater 104,778 80,083

Total 552,404 419,122 Table 1: Replacement cost and depreciated replacement cost for all assets in each asset class as at 30/06/2019

Figure 2: Percentage of each asset category has been consumed/depreciated

KEY FINDING

Our assets are overall in reasonable condition. The investments to date

have been largely sufficient to keep assets in this condition. Some current

and future shortfalls in conditions have been identified and additional

investment has been recommended in these areas.

A key contributor to overall condition is the addition of new assets

through growth and development. Although a small addition compared to

the size of each asset base, the brand new condition of these assets can

mask underlying issues in an asset class. Additionally, there will be an

increase in expenditure on these assets in future years to operate and

maintain them.

10

5. Levels of service: what do we provide and how are we performing?

We manage our assets to deliver services to our community. It is important that we

establish expectations and performance measures around these services. We do this in two

ways: customer levels of service and technical levels of service.

Customer levels of service: A measure how the customer receives a service and address

quality (how good is the service?), function (is it the right service?) and capacity/use (do we

need more or less of these assets?). We currently measure customer satisfaction through

surveys, monitoring customer requests and community engagement through processes such

as township planning.

Through careful planning we identify the needs of vulnerable or disadvantaged people in

our community. Customer levels of service seek to address the needs of these groups. By

way of example we recognise that improving access for people living with a disability also

improves access for parents with young children and enhances safety for all asset users.

Technical levels of service: Performance measures relating to how assets are managed to

deliver customer services. They are linked to activities covering the operation, maintenance

and renewal of existing assets, and the upgrade or acquisition of new assets to deliver new

services.

Technical levels of service are established using relevant technical requirements, such as the

Disability Discrimination Act 1992 (Commonwealth) and the Disability (Access to Premises ‐

Buildings) Standards 2010. There are also a number of other Australian Standards and codes

of practice that apply.

11

Where are we going well?

In response to the finding in the 2018 Summary Asset Management Plan (SAMP) that

unsealed roads were not meeting our levels of service targets, we have undertaken

an audit and assessment of unsealed roads and increased our financial allocation to

these assets.

In response to the finding in the 2018 SAMP that some footpaths in townships were

not meeting our levels of service targets, we have undertaken assessment of

footpaths and increased our financial allocation to these assets.

Construction of the regional sports hub has commenced.

Following Council’s endorsement of the 2015 Aquatic Needs Analysis, no major

repairs are recommended for the existing Mountain Pool, in favour of investment

into a new, primarily indoor facility on Bald Hills Road. Subject to securing the

necessary funding, the development of a new facility would trigger the

decommissioning of the existing Mountain Pool facility upon completion of the new

facility.

The Environmental Services Centre has been delivered to help maintain our district’s

assets, including environmental assets, with a volunteer shed, depot and new office

facilities.

Where can we improve?

Develop comprehensive building renewal programs based on the new building

condition data that is being collected.

The condition of the stormwater assets is generally good and indicative of an asset at

its half‐life; however, at times some drains are found to be in worse condition than

their age would suggest. An assessment of how climate change might necessitate

changes to how stormwater assets are maintained and upgraded has not yet been

undertaken.

Some footpaths do not meet our desired level of service to provide good access and

mobility opportunity between locations that attract pedestrians (and cyclists where

possible); for example, there are known gaps present, and at some locations in

highly urban environments a gravel path is present rather than a sealed path.

9% of bridges and culverts are in poor or very poor condition, which will be

addressed through a prioritised renewal program.

Wastewater treatment in Mount Barker is reaching capacity and improvements need

to be made to meet the endorsed Environmental Improvement Plan with the EPA.

What are our major proposed works?

Undertake an audit of the condition of stormwater assets, identify critical drainage

systems and carry out more detailed inspections.

Review Hahndorf stormwater assets and undertake a Stormwater Management Plan

(SMP).

Increase investment in footpath renewal by $0.2M to $0.6M annually over the

period of the SAMP with a future aim on filling footpath gaps and a consistent

surface finish.

12

Increase investment in unsealed roads renewal to $1.5M annually.

Implement a trails program to enable safe movement of pedestrians and cyclists

within and between townships.

Implement a program of shoulder strengthening and sealing on collector roads.

Implement or program of heavy structural patching on sealed collector roads.

Deliver new wastewater trunk mains and upgraded treatment facilities.

Deliver wastewater asset renewals that include a manhole restoration program,

Meadows bore water supply renewal, and a pump renewal program.

6. Future demand: what are we planning for?

Demand Drivers

Because of our peaceful semi‐rural environment, easy freeway access to Adelaide and

relatively affordable housing (refer to Mount Barker District Housing Strategy), our district

has seen significant population growth in recent years.

This growth is set to continue, with the district population expected to exceed 56,000 by

20363, an increase of about 23,000 over 20 years. This will see the town of Mount Barker

become the second biggest city in South Australia.

Table 2 provides some key statistics of this projected growth.

Mount Barker District Council Forecast year

Summary 2016 2021 2026 2031 2036

Population 33,809 38,523 44,390 50,490 56,710

Change in population (5yrs) 4,714 5,867 6,101 6,220

Dwellings 13,723 15,754 18,217 20,765 23,337

Table 2: Key forecast population metrics for the Mount Barker District Council4

3 https://forecast.id.com.au/mount‐barker 4 https://forecast.id.com.au/mount‐barker/Population‐households‐dwellings

KEY FINDING

Our ability to meet current service levels across a majority of the

assets is very good. A further refinement of how we measure our

performance is an opportunity for improvement.

As a rapidly changing district, we are challenged with a more

urbanised township and also preserving the rural nature of other

townships.

13

We have a complex demographic make‐up, and we use information on current demography

and on forecast changes to inform our service delivery and asset planning. For example, in

2016:

there were many young families, with 20% of our population aged 14 or under and

21% categorised as ‘parents and homebuilders’

15% of our population was aged over 65

nearly 5% of our population was living with a disability and required daily assistance

more than 11% of our population provided unpaid assistance to a person living with

a disability, long‐term illness and/or old age.

To direct where the development to

accommodate this population growth occurs,

the Mount Barker district was rezoned in 2010

through a Ministerial Development Plan

Amendment (DPA); this zoning is shown in

Figure 3. Since 2010, significant developments

have occurred in accordance with this zoning: in

the purple‐shaded Residential Neighbourhood

Zone, several developments have now been

completed and several others are due for

completion in the next few years. The

development within these zones is not staged or

phased in any controlled manner, which results

in Council providing services to a broad area

regardless of the population density. The

infrastructure facilitating these services must be

built with enough capacity for the end goal.

Figure 3: Mount Barker Ministerial Development Plan Amendment (DPA) zoning

Clearly, these population changes and associated developments have significant

implications for the demand for services and the assets required to deliver those services,

which is why we are planning for them now.

Some of the major drivers of demand are:

Population growth and expansion of townships will place strain on existing assets

(buildings, stormwater, roads etc) and will require new assets.

Community expectations will influence service delivery, especially with new

residents expecting similar services to metropolitan Adelaide (including stormwater,

wastewater and recycled water, all‐season road access, recreation and open space

facilities, and technology in community buildings); also, increasing environmental

awareness in the community may result in changes in maintenance practices.

Most population growth will be in new developments, which means that Council is

acquiring new assets with new asset management needs.

14

A changing climate will influence how we plan and manage our assets and develop

new or upgraded assets. As our climate becomes warmer and drier, with increasing

heatwaves and more intense rainfall events that may lead to elevated flooding risk,

we will have to be responsive in how we provide services and in how we plan and

manage existing and new infrastructure. Climate change will have an effect on the

useful life of existing assets, and this may require us to modify some maintenance

and renewal approaches and scheduling. Climate change will also have impacts on

Council’s natural assets.

Climate change is also leading to elevated bushfire risk, with the number of severe

fire danger days predicted to increase, leading to increased risk to biological,

ecological and built assets.

Higher density developments may lead to more impervious areas which may place

demands on stormwater drainage infrastructure.

There will be environmental impacts, such as more sediment and other pollutants in

stormwater run‐off.

There will be an increased volume of wastewater, and higher treated wastewater

quality standards (from both customer demands and regulatory standards).

There will be an increasing number of people who are remaining in our community

as they age.

Increasing demand for recycled water to provide greater resilience in drought

conditions.

Demand Management

We are well prepared to manage these demands, through a combination of managing

existing assets, upgrading existing assets, and planning for new assets. We will also put in

place demand management other than asset management, solutions such as managing

community expectations and influencing peoples’ behaviour.

Some of the measures identified in our demand management planning are:

Ensure that maintenance of existing Council buildings is up to date and seek to

increase buildings versatility during upgrades.

Undertake flood mapping and stormwater management planning, including for new

developments.

Continue to assess community expectations and development policy for the

unsealed road network, especially with respect to condition, dust and winter access.

Work with developers during the planning and implementation phases of

developments to enable a proactive approach to planning levels of service,

new/upgraded assets and maintenance requirements (including considering the

capacity of the wastewater infrastructure downstream of the development); and to

ensure that opportunities are maximised and appropriate infrastructure standards

and development controls are met.

Design and construct new major reticulation trunk mains and extend the sewer

network.

15

Investigate upgrading the Mount Barker Wastewater Treatment Plant to increase

capacity and quality of treated water.

Use a variety of financing mechanisms to enable the upgrade of roads to meet the

demands placed upon the road network by higher traffic volumes due to population

growth.

Create infrastructure deeds with developers to provide appropriate infrastructure

for their development to fit in with the district’s infrastructure needs.

Seek lower speed limits where appropriate, collaborating with DPTI and other

agencies.

Pursue grant funding, consulting to ensure we make the right decisions.

Better education and community engagement in regards to infrastructure e.g. social

media.

Build resilience through fire prevention and offering other programs like HACC, etc.

Develop trade waste monitoring and charging to mitigate impacts on wastewater

treatment.

Support public transport e.g KeoRide.

Increase stormwater basin maintenance, etc.

Develop guidelines for new developments, using best practice techniques and

materials.

Council’s approach to responding to climate change is defined in our Environment

Strategy 2018–2023 and Climate Change Action Plan 2019. We will also refer to

Practice Note 12.1 ‘Climate Change Impacts on the Useful Life of Infrastructure’,

issued by the Institute of Public Works Engineering Australasia (IPWEA)5. Climate

change is also addressed as a critical risk under Section 9 below.

Another consequence of the substantial development that is occurring in our district is the

creation of new assets to meet the needs and expectations of residents and other

stakeholders. Council assumes ownership and management responsibility for many such

new assets, which creates maintenance responsibilities. We are well prepared for this: we

plan for the demand, growth and asset creation, and undertake our annual and long‐term

financial planning accordingly.

5 https://www.ipwea.org/publications/ipweabookshop/pn12‐1

KEY FINDING

Although growth presents many challenges, we are able to forecast the

demand and put in place initiatives to solve future challenges.

In order to allow current and future service levels to be met, together with

changing responses to the environment, our strategy is one of constant

improvement.

16

7. Lifecycle management plan: what does it cost us?

In planning and allocating resources for managing our assets, we consider three categories

of activities:

1. Operations/Maintenance: regular activities to provide services such as public health,

safety and amenity (e.g. cleaning, street sweeping, stormwater pit cleaning); these

have no direct effect on asset condition. Also regular ongoing work to keep assets

operating at required service levels, including repairs when portions of an asset fail

(e.g. road patching, scheduled plant servicing).

2. Renewal/replacement: major work to restore, rehabilitate, replace or renew an

existing asset to its required service level; renewal does not increase an asset’s

design capacity.

3. Upgrades / new works: works that create a new asset for providing services, or that

improve an existing asset to have greater capacity to provide services. New and

upgraded assets create a new requirement for operations and maintenance that

must be planned and budgeted for, regardless of whether Council pays for the build

or acquires it via some other means.

We aim to allocate sufficient budget in our ten‐year Long Term Financial Plan (LTFP) for the

operation, maintenance and renewal of our existing assets. Funding for some upgrades and

new works may not be budgeted for in the LTFP and may require different funding

strategies.

Figures 4 to 8 provide a chart for each of the five asset classes showing the estimated

expenditure over the next ten years on operations, maintenance, renewal and

upgrade/new. The charts also show the amounts that have been budgeted over the ten‐

year period in the draft LTFP.

The adequacy of the LTFP allocation can be assessed in these graphs by comparing the

budgeted amount (solid line) with the anticipated expenditure (bars). If the solid line is near

or above the ‘Renewal’ category, then our budget allocations are sufficient for our existing

assets. These charts inform discussions about the adequacy of funding and finding a balance

between services, costs and risks to achieve the best value outcome.

KEY FINDING

Importantly, there is little divergence between the ten‐year budgets and

predicted expenditure needs for our existing assets. This indicates that our

ten‐year budget allocations are sufficient to maintain our existing assets at

appropriate levels of service.

Additional opportunities will be pursued to consider finance strategies for

upgrades and new assets and to respond to changing service needs from

managing demand.

17


Figure 4: Estimated expenditure over the next ten years on management and upgrade/new works for building

assets, and budgeted amounts in 2020‐30 LTFP

There are sufficient funds budgeted to maintain the building assets at their current

reasonable level of service. There is currently no new capital planned beyond 2021,

however this is likely to change in future revisions of this plan.

Stormwater

Figure 5: Estimated expenditure over the next ten years on management and upgrade/new works for

stormwater assets, and budgeted amounts in 2020‐30 LTFP

There are sufficient funds budgeted to maintain the stormwater assets at their current level

of service. The total expenditure in 2021 is $1.33M.

18

Transport

Figure 6: Estimated expenditure over the next ten years on management and upgrade/new works for transport

assets, and budgeted amounts in 2020‐30 LTFP

The cost to maintain our current transport assets is sustainable over 5–10 years. Gifted

assets may create additional operations and maintenance demands, which will be

addressed in later versions of this plan.

Recreation and open space assets


recreation and open space assets, and budgeted amounts in 2020‐30 LTFP

There are sufficient funds to maintain current assets at a reasonable level of service. A large

amount of expenditure is planned between 2019 and 2024, including a regional

aquatic/indoor facility and regional level sporting hub. Note that not all of this expenditure

is funded, therefore a funding strategy will be developed.

19

Wastewater


wastewater assets, and budgeted amounts in 2020‐30 LTFP

There are sufficient funds to maintain current wastewater assets at a reasonable level of

service. Significant expenditure will be required to upgrade the Mount Barker Wastewater

Treatment Plant, provide trunk mains to growth areas and construct storage facilities to

support increased recycled water use. Future projections exclude the augmentation of

services to Nairne and the Mount Barker CBD at this point in time which are currently being

investigated.

Disposals

There are usually costs associated with disposing of assets when they reach their end of life

and can no longer efficiently provide services. Major disposals proposed are:

Field services depot, Alexandrina Road

Callington Oval clubroom

Mount Barker Mountain Pool.

During the 2019 wastewater asset condition assessment, some assets were identified as

decommissioned and selected for possible disposal; these are components of the Mount

Barker Wastewater Treatment Plant and two redundant pump stations. An operational

review during 2020/21 will confirm whether these will be disposed.

No significant disposals are proposed from the transport or stormwater asset classes.

20

8. Financial: how will we pay for these services?

This section contains the financial requirements resulting from all the information presented

in the previous sections.

Our annual budget and LTFP determine how much funding will be provided to asset

management, and the aim is to allocate sufficient funds for the continued provision of

services from existing assets. This SAMP, informed by detailed asset management plans for

different asset classes, communicates how and when this investment will occur, along with

the service and risk consequences of differing options.

We have several funding options which we actively pursue to seek value for money for our

ratepayers. These include developer contributions and gifting, grants, separate rates,

partnerships, and commercial approaches.

Funding and the Sustainability of Service Delivery

The Asset Renewal Funding Ratio is the most important indicator and measures the

percentage of the funds required for the optimal renewal and replacement of assets. Shown

below are planned vs actual renewal expenditure for the last 4 years. Our performance to

deliver on planned asset renewals over the last 4 years on average has been on 88% of

target. Our optimal sustainability ratio target is 100% on average over 5 years.

Table 3: Asset renewal planned funding to net actual spend

It is critical that we continue to deliver on the planned renewal targets in this SAMP.

21

Risks: what do we need to closely manage?

It is important that we identify risks associated with delivering services from infrastructure

and respond where needed. These risks can be in many forms, including risks related to

operating the assets, risks to Council business, and risks associated with the failure of

important assets.

Council’s Risk Management Policy establishes a logical process for risk assessment that is

based on international standards. Using this process, we identify credible risks, assess the

likelihood of the risk event occurring and the consequences should the event occur, develop

a risk rating, evaluate the risk, and develop a risk treatment plan for non‐acceptable risks.

One recurring risk that we are attentive to is the risk that funding will be inadequate to

operate and maintain assets to provide required services. The processes followed in this

SAMP are essential to ensuring that we manage this risk, and accordingly we are confident

that our budgets are sufficient for operating and maintaining our current assets to agreed

service levels.

Critical Risks

As part of the risk assessment, we identify critical risks that will result in significant loss,

financial shock or a reduction in service. The critical risks are those assessed with ‘Very High’

(requiring immediate corrective action) and ‘High’ (requiring corrective action) risk ratings.

Climate change is a critical risk across all asset classes and adaptation to climate change is

vital for local governments. Council’s Environment Strategy 2018–2023 and Climate Change

Action Plan 2019 define our approach to responding to climate change, and include specific

commitments relating to infrastructure and risk assessment. We will build these into our

asset management improvement plan, as outlined in Section 9.

One critical risk has been identified in the recreation and open space asset plan:

regional sports hub: affordability and the ability for Council to fund both the capital

and ongoing operating costs.

A detailed risk assessment for the wastewater assets has identified numerous critical risks,

established a risk treatment plan for each, and assessed the residual risk after the treatment

plan has been applied. A comprehensive wastewater strategy and capital investment

program has been prepared to manage these risks.

There are currently no critical risks identified with the building, stormwater or transport

assets.

Critical Assets

We also identify critical assets: those which have a high consequence of failure in terms of a

significant loss or reduction of services. We can then target our condition inspection

programs and maintenance and capital expenditure plans on these critical areas.

22

Critical assets are:

Environmental Services Centre (includes new field services depot)

Adelaide Hills Recreation Centre

Library

Local Government Centre (Mann Street)

Mount Barker Caravan & Tourist Park

Detention basins

Major flood‐conveyancing waterways

o Western Flat Creek

o Railway Creek

o Mount Barker Creek

o Littlehampton Creek

Bushfire refuge areas

Gawler Street Bridge

Springs Road

Bald Hills Road ‐ Mount Barker Creek crossing

Bald Hills Road from Springs Road to Old Princes Highway.

Waste Transfer Station

A high‐level critical asset analysis has been completed for our wastewater schemes. Given

the nature of the services provided, many components are deemed critical, including

connections, siphons, gravity pipes, rising mains, pump stations, various operational units in

wastewater treatment facilities, switchboard, controller system, lagoons, and treatment

tanks and associated valves. A formalised process to identify critical assets to a lower level

will be developed.

9. Improvement plan: how could we do better?

In every asset management plan, we include an improvement plan that identifies ways in

which we will improve what we are doing.

The following improvement actions will apply across all asset classes and actioned ahead of

the next review of the SAMP:

Continue to implement improved condition assessment methodologies.

Review levels of service in key areas, including surveys of community expectations

and consultation with other stakeholders, and implement monitoring of these where

required.

Review and assess the impact of projected demand on existing assets.

Develop proactive maintenance programs and measure performance using Asset

Maintenance Management System, including using mobile technology.

23

Review risk assessment and redo for some asset classes if required, including a

thorough assessment for critical risks and critical assets, especially for wastewater

assets.

Revalue some assets (including recreational and open space assets).

Develop a DDA (Disability Discrimination Act 1992) plan for Council owned and

operated buildings and facilities, including an audit of compliance and a costed four‐

year schedule of upgrades.

Refer to IPWEA Practice Note 12.1 ‘Climate Change Impacts on the Useful Life of

Infrastructure’6 during asset planning.

Agree on a process by which high priority projects, especially large‐scale

infrastructure projects or new developments, are subject to climate risk assessments

prior to approval.

Ensure future infrastructure (especially roads and stormwater) can function with

increased climate risks and that design and construction consider future climate

conditions.

Assess the impacts of drier conditions, water restrictions, extreme weather and

higher temperatures on existing assets, and trial measures to adapt to these

changes.

Develop a formalised process to identify critical assets.

Additional specific improvement actions are:

Develop conservation management plans for existing heritage stone buildings.

Commission stormwater management plans for Hahndorf (and, in later years, for

Nairne, Macclesfield, Meadows and Echunga).

Continue to implement a tree audit to identify any public risks.

Review renewal strategies for playing surfaces.

Integrate universal design and access guidelines into open space strategy.

Initiate a review and upgrade schedule of playgrounds to increase access to children

and families living with a disability.

Continue building linear trail network aligned with draft trails masterplan.

Initiate a major projects review process that includes scrutiny from a Disability

Access and Inclusion Panel (to be established by Council) during the planning phase.

This will include a review and update of design guidelines and standards to ensure

access and inclusion outcomes for Main Street projects

Investigate and determine the wastewater infrastructure resilience approach,

including type of threats and hazards, resilience assessment and identified

improvements and/or interventions.

6 https://www.ipwea.org/publications/ipweabookshop/pn12‐1

24

10. Investment plan: how much are we planning to spend?

Table 4 provides the ten‐year projected expenditures across all asset classes in the following

categories operations and maintenance, renewal, upgrade/new, and disposal.

Financial Year Operations / Maintenance

$,000

Renewal Upgrade/

NewDisposals $,000

$,000 $,000

2021 12,263 12,824 25,141 ‐

2022 12,526 13,280 14,544 ‐

2023 12,797 18,089 19,998 200

2024 13,076 17,920 30,693 ‐

2025 13,363 8,160 2,606 ‐

2026 13,630 9,370 1,524 ‐

2027 13,964 7,630 1,065 ‐

2028 14,278 8,035 400 ‐

2029 14,601 7,669 575 ‐

2030 14,934 7,776 6,200 ‐

Totals 135,430 110,753 102,745 200

Table 4: Projected expenditures (in 2019/20 real values) across all asset classes for the 2020‐30 LTFP.

Detailed works programs for each asset class have been developed for inclusion in Council’s

Annual Business Plan and Budget year on year and specific projects can be found on

Council’s eMapping site:

https://maps.mountbarker.sa.gov.au/connect/analyst/mobile/#/main?mapcfg=Council%20Infrastructure%20P

rojects

25

11. References

IPWEA, 2008, ‘NAMS.PLUS Asset Management’, Institute of Public Works Engineering Australasia, Sydney, www.ipwea.org/namsplus.

IPWEA, 2015, 2nd ed, ‘Australian Infrastructure Financial Management Manual’, Institute of Public Works Engineering Australasia, Sydney, www.ipwea.org/AIFMM.

IPWEA, 2015, 5th ed, ‘International Infrastructure Management Manual’, Institute of Public Works Engineering Australasia, Sydney, www.ipwea.org/IIMM.

IPWEA Practice Note 12.1 Climate Change Impacts on the Useful Life of Infrastructure https://www.ipwea.org/publications/ipweabookshop/pn12‐1.

Mount Barker District Council Open Space Recreation and Public Realm Strategy 2014, https://www.mountbarker.sa.gov.au/council/plans/recplan.

Mount Barker District Council Biodiversity Strategy 2016, https://www.mountbarker.sa.gov.au/biodiversity.

Mount Barker 2035 District Strategic Plan, https://www.mountbarker.sa.gov.au/strategicplan.

Mount Barker District Council Annual Business Plan, https://www.mountbarker.sa.gov.au/council/plans/finance.

Mount Barker District Council 2020 Long Term Financial Plan, https://www.mountbarker.sa.gov.au/council/plans/finance.

Mount Barker District Council Risk Management Policy, https://www.mountbarker.sa.gov.au/council/governance/policiesandby‐laws

Mount Barker District Council population data, https://forecast.id.com.au/mount‐barker.

Mount Barker District Council stormwater management planning, https://www.mountbarker.sa.gov.au/infrastructure/water/stormwatermanagementplan.

Mount Barker District Council Trails Plan, https://www.mountbarker.sa.gov.au/__data/assets/pdf_file/0023/114449/26‐July‐11‐Trails‐Plan_Report_Final‐final‐v61‐26‐jul‐11.pdf.

Mount Barker District Council Transport Management Master Plan, https://www.mountbarker.sa.gov.au/council/plans/transportmanagementmasterplan.

Climate Change Action Plan https://www.mountbarker.sa.gov.au/__data/assets/pdf_file/0026/449810/Mount‐Barker‐District‐Climate‐Change‐Action‐Plan‐2019.pdf

Disability Access and Inclusion Plan https://yoursay.mountbarker.sa.gov.au/draft‐disability‐access‐and‐inclusion‐plan

draft strategic asset management plan 2020 · and open space, and wastewater. the total replacement...

Documents