Strategy and Planning Committee Agenda 13 August 2008 3.2.7 MALENY COMMUNITY PRECINCT File No: 20-14-017 Author: Senior Strategic Planner (Major Projects – South), Leah Bancroft Attachments: Attachment 1 - Maleny Community Precinct Approved Concept Plan Attachment 2 - Previous Resolutions Attachment 3 - Cost Estimates PURPOSE The purpose of this report is to seek direction from Council in relation to the future use of the Maleny Community Precinct. EXECUTIVE SUMMARY At the Ordinary Meeting of 29 May 2008, it was resolved in part, that Council: (a) undertake a review within the next three months of the documentation in relation to the Maleny Community Precinct local structure planning process to confirm Council’s direction for the future planning of the site; (b) take no further action on implementation until such time as Council determines its position on this matter. Council has now had the opportunity to review the extensive documentation compiled during the local structure planning process for the Maleny Community Precinct. Council has also received a briefing on the planning and consultation processes undertaken to inform the Approved Concept Plan and Development Intent Statement for the Maleny Community Precinct. Now that Council is in a more informed position, confirmation of a preferred direction for the precinct is sought. OFFICER RECOMMENDATION: That Council: (a) commence a Master Planning process for the Maleny Community Precinct using the Approved Concept Plan and Development Intent Statement (Attachment 1 to this report) as a basis for further detailed investigation and technical assessment(s), particularly with regard to location and need for sporting fields and determining appropriately sized and located buffers to ecologically significant areas. (b) delegate to the Chief Executive Officer the allocation of the following actions to appropriate areas of Council to progress:- (i) the allocation of staff resources to work with the Maleny community to undertake more detailed investigations and technical assessments within areas 4, 6, 7 and 7a of the Approved Concept Plan and report the findings back to Council for consideration. (ii) continuation of actions to meet outstanding contractual obligations (Strategic Property Unit); (iii) preparation of Planning Scheme Amendments (Strategic Planning Unit); Page 144 Strategy and Planning Committee Agenda 13 August 2008 (iv) Master Planning for site (Environment, Landscape & Recreation Unit (South) with input from an Integrated Team established for this project); (v) determine and action appropriate management arrangements across the site (Strategic Property and Community Services); and (vi) progress actions for the sale of the rural residential and rural area(s) identified on the Approved Concept Plan (Strategic Property Unit); (c) identify $350,000 in the first quarter review of the 2008/2009 Annual Financial Plan for the upgrade to Porters Lane, in order to meet contractual obligations, to later be recouped through the sale of the two rural residential lots on the precinct. FINANCE AND RESOURCING Project Costs The remaining budget for the Maleny Community Precinct Local Structure Plan project is $118,000. $6,000 has been committed to existing orders associated with the development application for the two contractual lots which are required to fulfil one of the contractual obligations for the purchase of the Porter Farm (northern portion of the precinct), leaving a total of $112,000. These funds will be required to resource the development and implementation of the Master Plan for the site. An amount of $200,000 was proposed to be allocated in the 2008/2009 Annual Financial Plan to the Maleny Community Precinct from the sale of Corbould Park (refer to Attachment 2 resolution number 08/59). These funds were proposed to be established within a sub program for ‘sport development’ within the Recreation Infrastructure Program and it may be appropriate to use these funds for the purposes of assisting with the implementation of sport and recreation uses identified for the site. Funds will also need to be allocated in the 2008/2009 Annual Financial Plan to implement the contractual obligation requiring the sealing of Porters Lane with concrete kerb and channelling and appropriate stormwater drainage by no later than 30 July 2009. Engineering Services have estimated the cost of these works to be in the order of $285,000 (+ or – 25%) for a length of approximately 300m. Recoupment of Council Expenditure Council’s resolution of 5 July 2007 sought sufficient revenue from the sale of residential development to recoup a return on the cost of the land, including interest on the loan and purchase costs and all project costs to-date. Depending on market strength, the economic environment over the development and sales time period, it is estimated that the profit from the sale of 53 residential lots on the Maleny Community Precinct site (assuming the development of 55 lots accommodated in the approved Concept Plan)at $250,000 each will offset all of Council’s purchase and development costs and outlays. It is also estimated that profit from residential land sales will offset the proposed $3M allocation towards community facilities within Maleny. Refer to Attachment 3 for a more detailed breakdown. Page 145 Strategy and Planning Committee Agenda 13 August 2008 CORPORATE PLAN References in this section relate to the former Caloundra City Council Corporate Plan. Corporate Plan Theme: Strategy & Planning Goal: Strategy & Planning: Clear and prioritised planning and strategies concerning the economic, environmental and social needs of our community. CONSULTATION External Extensive consultation has been undertaken since the commencement of the Maleny Community Precinct local structure planning process in December 2006. The process and the outcomes of the consultation undertaken are documented in the Maleny Community Precinct Community Involvement Outcomes Report (November 2007) which has been provided to Council previously. With the exception of a meeting with Barung Landcare, to discuss their relocation, no further consultation has been undertaken with the community since Council’s resolution on the 29 May 2008. It was not intended that any further community consultation would be undertaken prior to briefing Council on the outcomes to date, to enable Council to make an informed decision on the way forward. Internal At the Ordinary Meeting of 29 May 2008, Council was provided with all the background information, analysis, planning and consultation documentation on the Maleny Community Precinct for their information. Council also received a briefing on the planning and consultation processes undertaken to inform the Approved Concept Plan and Development Intent Statement for the Maleny Community Precinct. PROPOSAL On the 22 November 2007, the former Caloundra City Council endorsed what is now referred to as the Approved Concept Plan and Approved Development Intent Statement for the Maleny Community Precinct. On the 14 February 2008, the former Caloundra City Council further resolved that it intended to lease certain parts of the Maleny Community Precinct to various user groups, subject to a number of important conditions being met and agreed to by the Sunshine Coast Regional Council. The main prerequisite to any lease being issued, was that a Master Plan for the site be developed. At the Ordinary Meeting of 29 May 2008, the newly formed Sunshine Coast Regional Council resolved in part, that Council: (a) undertake a review within the next three months of the documentation in relation to the Maleny Community Precinct local structure planning process to confirm Council’s direction for the future planning of the site; (b) take no further action on implementation until such time as Council determines its position on this matter. Council has now had the opportunity to review the extensive background documentation and be briefed on the planning and consultation processes undertaken in relation to the Maleny Community Precinct. In order for Council officers to be able to progress with more detailed Master Planning for the site and to enable the determination of appropriate management arrangements, confirmation of Council’s preferred direction for the precinct is required. Page 146 Strategy and Planning Committee Agenda 13 August 2008 LEGAL There are a number of outstanding contractual obligations relating to the purchase of the Porter Farm to be fulfilled, or Council will be potentially liable for compensation. These obligations include: . the creation and provision of two (800-1500m2) lots to the previous owner, Mr Porter, by the 30 July 2008; . a further payment of $1M (indexed); and . the sealing of Porters Lane. The development application for the two contractual lots was lodged in December 2007. At the Ordinary Meeting of the 31 July 2008, Council approved the application for the two lots subject to a number of conditions. Submitters to the development application now have the right of appeal to the Planning and Environment Court. The appeal period is 20 business days. In order to finalise the transfer of the lots, a survey plan for the two lots needs to be registered and the Ministerial exemption under Section 491 of the Local Government Act 1993 needs to be received. The exemption is expected to be processed by August/September 2008. Mr Porter has been advised in writing by the Property Unit that the transfer of the lots is not able to be completed within the timeframe stipulated. The further payment of $1M (increased in accordance with a prescribed formula), is to be paid by Council to Mr Porter by the earlier of any of the following: . 30 July 2009, or . completion of an 18 hole golf course, or . a date agreed to by both parties. The Finance & Corporate Services Department has made provision for this payment. Council, as part of the contract for the purchase of the Porter Farm, is to also provide a sealed road (Porters Lane) with concrete kerb and channelling and appropriate stormwater drainage by no later than 30 July 2009. Funds will need to be allocated in the 2008/2009 Annual Financial Plan to enable this to be actioned. POLICY For the local structure plan (Approved Concept Plan and Development Intent Statement) to take effect, amendments to the Caloundra City Plan (as outlined in Schedule 1 of the Integrated Planning Act) will be required. It should be noted that some uses on the site do not require any planning scheme amendments prior to them being able to commence. Planning Scheme amendments, to change the two lots on North Maleny Road from a Rural Precinct designation to a Rural Residential Precinct designation, have been progressed and have been to the State for the first State Interest Check. In their preliminary response, the State made no changes to the proposed amendments, and they are currently being publicly notified. The public notification period is intended to commence in August 2008. RISK The primary risk to Council is negative community feedback if a decision about the future of the site is not made. Page 147 Strategy and Planning Committee Agenda 13 August 2008 PREVIOUS COUNCIL RESOLUTIONS The most recent Council resolutions in relation to the Maleny Community Precinct include:- 29 May 2008 – Resolution number:- . OM08/47 (regarding Council’s need to review documentation before making any decisions in relation to the site and liaising with Barung Landcare about their relocation.) 19 June 2008 . OM08/69 (regarding the relocation of Barung Landcare to the Maleny Community Precinct.) 31 July 2008 . OM08/147 (regarding approval of the development application for the two contractual lots on the Maleny Community Precinct.) Copies of these resolutions are provided in Attachment 3 to this report. RELATED DOCUMENTATION Documents provided previously to the Sunshine Coast Regional Council for information include: . Maleny Community Precinct Background Report (March 2007) . Maleny Community Precinct Planning Report (July 2007) . Maleny Community Precinct Approved Concept Plan (November 2007) . Maleny Community Precinct Approved Development Intent Statement (November 2007) . Maleny Community Precinct Approved Responses to Key Issues Report . Maleny Community Precinct Community Involvement Outcomes Report (November 2007) CRITICAL DATES Council’s resolution of 29 May 2008 indicated a period of 3 months to undertake a review of the documentation and then confirm Council’s direction in relation to the future of the Maleny Community Precinct. To meet the 3 month timeframe, a decision is required by Council prior to the end of August 2008. IMPLEMENTATION On receiving confirmation of Council’s preferred direction for the Maleny Community Precinct, the following actions can then be progressed:- . Amendments to the Approved Concept Plan and Development Intent Statement as required; . Continuation of the steps to meet the outstanding contractual obligations, namely, progressing the Planning Scheme Amendment and development application for the two contractual lots; . Preparation of Planning Scheme Amendments for the whole site to reflect the confirmed direction for the site; . Development of an overarching Master Plan and Management Plan for the site by Council, which is in accordance with Council’s direction in relation to the amended Approved Concept Plan and Development Intent Statement for the Maleny Community Precinct. . Determination of appropriate management arrangements for the site and the subsequent issuing of leases etc. Page 148