Late Items Agenda of Council Members' Agenda Briefing

CITY OF WANNEROO Late Items Agenda OF Council Members' Agenda Briefing 10 June, 2025 1

Item 6 Late Reports

6.1 Development of Public Open Space - Lot 2 Driver Road Darch - Funding Arrangements with Parcel Darch Pty. Ltd.

File Ref: SD159221 – 25/159291

Responsible Officer: Director Planning & Sustainability

Attachments: 2

Changes to Report and Additional Information Arising from Agenda Briefing

Notes will be added if changes are made to this report.

Issue

To consider Parcel Darch Pty. Ltd.’s offer in relation to the development and pre-funding of the Public Open Space development in Lot 2 Driver Road, Darch.

Background

Structure Plan and Subdivision

Lot 2 (26) Driver Road, Darch is located within the East Wanneroo Cell 6 Approved Local Structure Plan No. 8 (LSP 8), comprising a total development area of 24.71 Ha, which includes 4.8 Ha for district-level Public Open Space (POS) (refer Attachment 1).

The site was previously zoned Landfill Precinct in LSP 8 and has previously been a sand quarry and the resultant quarry void was approved for landfill operations in 1997; and between 1997 and 2015 the site was licensed to accept clean fill and building materials from building sites.

On 9 December 2019, the developer Parcel Darch Pty. Ltd. (Parcel) requested the City of Wanneroo (the City) to consider an amendment to the LSP 8 to rezone Lot 2 from Landfill Precinct to Residential Precinct. Council on 22 September 2020 resolved to recommend support to the Western Australian Planning Commission (WAPC) for the amendment, subject to modifications. The amendment was approved by the WAPC on 17 February 2021.

Parcel has subsequently obtained two subdivision approvals for the land (WAPC 159221 and WAPC 159333). WAPC 159221 created the POS site only and WAPC 159333 proposed to create the POS as well as the residential and business zone lots. Although the City recommended in both subdivision referrals a condition for the proponent to develop the POS site, the WAPC did not impose this condition.

As the land is contaminated due to its previous use, conditions have been imposed in the subdivisions for the land to be remediated by the developer. In this regard, Parcel has acknowledged that the City will not clear the conditions of subdivision for the creation of the POS until such time as the site is classified by the Department of Water and Environmental Regulation (DWER) as suitable for the POS use and there is no ongoing management plan obligations, such as contamination monitoring or mitigation measures, to the satisfaction of the City. The matter of site reclassification is currently with DWER for assessment.

Parcel has completed the remediation, earthworks and civil works, with the completion of 15 display homes. The development of the POS to a basic standard (i.e. turfed playing field, planting, mulching, furniture, play equipment, nature play, sports facilities and irrigation) is anticipated on or before June 2026 and is subject to funding arrangements between the City and Parcel.

Provision of POS

In areas where there is not a DCP in place, developers are required to provide 10% of their landholding as POS free of cost as well as develop the POS at their cost to satisfy conditions of subdivision approval and comply with the City’s Local Planning Policy 4.3 – Public Open Space. 10% of Lot 2 Driver Road is 2.471 hectares. In this case there is no condition of subdivision requiring development of the 10% POS and the land for the POS is to be acquired through the Developer Contribution Plan (DCP) for East Wanneroo Cell 6.

The DCP (Cell 6) is acquiring approximately 20% (4.8 hectares) of land for POS from Parcel’s landholding using DCP funds. The DCP does not fund the POS development, and it would be unreasonable to require the landowner to develop more than 10% of their landholding as POS (i.e. 2.471 Ha of the 24.71 Ha landholding). The cost of the development of the additional area should be covered by the City, to enable the full 4.8 hectares to be developed. The development of the POS in terms of LPP 4.3 is to a minimum standard. As this is a district-level POS, the additional costs associated with the higher standard of sports facilities must also be covered by the City.

The development of the POS is reflected in the draft Long-Term Financial Plan (LTFP) for delivery in Year 3, 4 & 5; as the City did not anticipate this land to be developed for many years due to the significant long-standing contamination issues on the site. As the structure plan and relevant subdivisions have now been approved, and the first few stages of residential development have been delivered by Parcel, the City needs to consider the timing of the development of the POS.

The purpose of the report is to seek Council consideration for Parcel’s offer (refer Attachment 2) to develop the POS which requires an allocation of funds in the 2025/26 Budget to cover the City’s contribution towards the development of the Lot 2 POS; and to authorise the CEO to enter into a Deed of Agreement with Parcel to formalise the arrangement.

Detail

Need for District Public Open Space

To consider the timing of the delivery of the POS, a key consideration for the City is to determine whether there is a need for a district-level POS in the area, considering the population growth as well as the current and projected use of existing POS and sporting facilities in the area. In this regard, a preliminary analysis indicates that the provision of sporting spaces within the area, and in Darch and Landsdale demonstrates a high level of usage and that the use of the current facilities is at a premium. This is reflected in the fact that 9 out of 16 ovals within the area have above the recommended 25 hours of usage, with a number of these significantly over, which suggests that additional capacity is required to help manage the capacity of the existing ovals.

As per the Parks and Leisure WA Guidelines for Community Infrastructure (2020) (Guidelines), the population catchment for a district POS is 2 km and 1:15,000 – 25:000, with 800m and 1:5,000 for Neighbourhood level facility. With the current Darch and Landsdale population at 29,248, which is projected to grow by 11.65% or 32,303 by 2031; and taking into consideration the current levels of usage at the nearby Kingsway Regional Sporting Complex and Warradale Park facilities, there is a need for an additional sports space. Warradale Park is limited to a single senior AFL playing field, whilst the two other nearby facilities, Ashdale and Fragola Parks (being shared with the Department of Education), are not suitable as sport spaces other than for junior training due to their restrictive oval layouts. Works are also required at a number of other facilities to bring these up to contemporary standards.

Facilities to be provided at 2 Driver Road

As a district-level facility, the estimated cost of delivering the POS is $7,690,000 which comprises of Stage 1 and 2 works.

The Stage 1 development cost of the POS is estimated to be $4,004,101 which could include the following:

· turfed playing field;

· planting;

· mulching;

· furniture;

· play equipment;

· nature play;

· sports facilities;

· irrigation; and

· Car parking.

The Stage 2 development cost of the POS is estimated to be $3,690,000 which would include the following:

· Sports amenity building ($3,150,000 or $2,150,000 with CSRFF grants); and

· Floodlighting ($540,000 or $370,000 with CSRFF grants).

Some of these costs, such as the sports amenities building and floodlighting, would be eligible for funding from the State Government’s Community Sport and Recreation Facilities Fund program (CSRFF).

Consideration should be given to staging the development of the POS. In this regard, the POS development, car park and floodlighting would need to be completed as a single package, as user groups will require these elements from the beginning; whilst the sports amenities building and passive park infrastructure could potentially be completed later. The $540,000 identified for floodlighting in Stage 2 should therefore be brought forward in the LTFP and be included in the Stage 1 works. Temporary facilities could also be used for the toilets, change rooms and storage, noting that toilets would need to be connected when the POS is constructed. However, with a staged approach, it should be noted that once the oval and facilities are in place and the community start to use it, there will inevitably be increased demand from the community for the City to provide permanent sports amenities.

The purchase of the POS land will be funded through the East Wanneroo Cell 6 Developer Contribution Plan (DCP), which has sufficient funds available to facilitate this. In this regard and based on the proposed area of POS of 4.8142 Ha, the compensation payable by the DCP equates to $12,140,452 (current value $2,521,800 per hectare). It should also be noted that Cell 6 is substantially developed at approximately 90%. The acquisition of the land is supported in relation to the impact of the DCP, as it will assist in the finalisation of significant outstanding infrastructure required to be provided by the DCP and will enable the progression towards the ultimate closure of East Wanneroo Cell 6.

Parcel’s Offer

The City received correspondence from Parcel in May 2025 in relation to the development and pre-funding of the POS development in Lot 2 (refer Attachment 2). The primary focus of this correspondence was to outline Parcel’s proposed contribution and conditions in relation to the development of the POS.

There is no requirement under the WAPC subdivision approvals for Parcel to construct, maintain or contribute cash in lieu to Public Open Space infrastructure. Parcel understands the importance of the provision of the POS and financial impost of the delivery of such infrastructure by the City. As such, they have offered to provide a financial contribution towards its construction. This contribution is not required under the WAPC approvals and is done so outside of the approvals in good faith and for the enjoyment of the community.

The total cost of the Stage 1 POS development is estimated to be $4,544,101. As outlined in Parcel’s Letter of Offer, their contribution amount is $1,704,101 + GST. This contribution is subject to the following conditions from Parcel:

1. Confirmation from the City that the full extent of works will be constructed as per designs lodged with the City (which excludes changing rooms, carpark and floodlights etc).

2. Evidence of contract award with a suitably qualified contractor.

3. Completion of works on or before June 2026.

Parcel’s offer is to project manage the delivery of the POS to the minimum standard. Ideally, they would pre-fund the construction and then invoice the City for its percentage share of costs. The details of any agreed arrangement would be captured in a Deed of Agreement between the City and Parcel.

Deed of Agreement

The general terms within the Deed of Agreement will include operative provisions relating to the Stage 1 development of the POS and will cover matters such as construction standards, costs of the development and payment arrangements, default, expert determination and dispute resolution, GST, notices and general provisions.

Long Term Financial Plan

The City’s draft Long Term Financial Plan currently identifies total costs of $4,004,101 for the Driver Road District POS split across Year 3, 4 and 5 (Table 1).

Table 1: Draft LTFP funding of Lot 2 Driver Road District Public Open Space (Stage 1)

Year	Asset Location	Project Detail	Total Cost	Council (Muni)	Contribution (Parcel)
3	Driver Road POS	Stage 1 – Development of POS2027/28 Detailed Design	$100,000	$100,000
4	Driver Road POS	Stage 1 – Development of POS2027/28 Detailed Design	$2,000,000	$1,000,000	$1,000,000
5	Driver Road POS	Stage 1 – Development of POS2027/28 Detailed Design	$1,904,101	$1,200,000	$704.101
		Total	$4,004,101	$2,300,000	$1,704,101

The City’s costs in relation to the Stage 1 development of the POS will be approximately $2,300,000 plus the additional $540,000 for flood lighting (i.e. a total City cost of $2,840,000); which would be prefunded by Parcel and then repaid by the City monthly (in line with the monthly construction progress claims within 2025/26 financial year) or in accordance with the terms in the Deed of Agreement.

Consultation

No formal consultation has been undertaken in relation to this report. Administration has had several informal discussions and negotiations with Parcel.

Comment

The provision of additional sports space within Darch and Landsdale areas is an appropriate response to deal with the demand in the area and will accommodate existing utilisation and future growth in the area. The POS will provide a local passive park amenity for residents; and this will assist in managing the load on existing nearby sport spaces such as Kingsway and Warradale Park.

Council has two options to consider:

Option 1 – Refuse the offer from Parcel and fully fund the POS delivery at a higher cost with municipal and grant funding in future years as part of the City’s Long-Term Financial Plan.

Option 2 – Accept the offer from Parcel and authorise the Chief Executive Officer to enter into a Deed of Agreement with Parcel Darch Pty. Ltd. to formalise the funding arrangements for the development of the Public Open Space at Lot 2 (26) Driver Road, Darch. List suitable funds towards the development of the Public Open Space as part of the 2025/26 Budget.

The offer provided by Parcel is considered to be a good outcome deal for the City as it will provide a $1,704,101 saving for the City, which would otherwise have to be funded through the City’s own funds and provide a facility to meet the community needs. Parcel will likely finish their development of Lot 2 Driver Road within the next couple of years and there is a possibility that they will withdraw the offer once their subdivision is complete.

It is therefore recommended that Council support Option 2.

Statutory Compliance

The administration of the City’s developer contribution arrangements are regulated by the City’s DPS2. In terms of DPS2, landowners as part of the East Wanneroo Cell 6 DCP must fund the purchasing of POS within Cell 6.

Subdivision and development are governed by the Planning and Development Act 2005 and the Planning and Development (Local Planning Schemes) Regulations 2015.

Financial expenditure by the City is regulated by the Local Government Act 1995 and the Local Government (Financial Management) Regulations 1996.

Strategic Implications

The proposal aligns with the following objective within the Strategic Community Plan 2021 – 2031:

1 ~ An inclusive and accessible City with places and spaces that embrace all

1.2 - Valued public places and spaces

Risk Appetite Statement

In pursuit of strategic objective goal 1, we will accept a Medium level of risk. The recent pandemic has challenged our previous event delivery, place activation and community connection processes, and the City accepts that meeting community expectations in a more restrictive environment needs flexibility and innovation if community connection is to develop and grow in contrast to social and individual isolation.

Risk Management Considerations

Risk Title	Risk Rating
ST-G09 Long Term Financial Plan	Low
Accountability	Action Planning Option
Director Corporate Strategy & Performance	Manage

Risk Title	Risk Rating
ST-S23 Stakeholder Relationships	Low
Accountability	Action Planning Option
Chief Executive Officer	Manage

Risk Title	Risk Rating
CO-017 Financial Management	Low
Accountability	Action Planning Option
Director Corporate Strategy & Performance	Manage

The above risks relating to the issue contained within this report have been identified and considered within the City’s Strategic/Corporate risk registers. Action plans have been developed to manage these risks.

Policy Implications

POS within the City is required to be developed in accordance with the requirements of the LPP 4.3; within the context of the State Government’s Liveable Neighbourhoods policy.

Financial Implications

It is noted that the East Wanneroo Cell 6 DCP has sufficient funding available that’s required to fund the $12,140,452.50 purchase of the land.

The cost of the Stage 1 development of the POS is estimated to be $4,544,101. Parcel will contribute $1,704,101 and the City will be required to fund the balance of $2,840,000 which will be funded from any remaining Municipal surplus funds from 2025/26 budget. As the project has been brought forward, the deliverable timeline of Stage 2 of the project has not yet been assessed and finalised.

Parcel agrees to pre-fund the works and then the City will be required to repay Parcel monthly (in line with the monthly construction progress claims within 2025/26 financial year) or in accordance with the terms outlined in the proposed Deed of Agreement.

Voting Requirements

Simple Majority

Recommendation

That Council:-

1. ACCEPTS Parcel Darch Pty. Ltd.’s offer of $1,704,101 regarding the funding and development of the Public Open Space at Lot 2 (26) Driver Road, Darch as per Attachment 2;

2. AUTHORISES the Chief Executive Officer to enter into a Deed of Agreement with Parcel Darch Pty. Ltd. to formalise the funding arrangements for the development of the Public Open Space at Lot 2 (26) Driver Road, Darch; and

3. LISTS the amount of $2,840,000 in the draft 2025/26 Capital Budget to be funded from Municipal Funds towards the development of the Public Open Space at Lot 2 (26) Driver Road, Darch as part of the 2025/26 Budget.

Attachments:

1 ⇩.	Attachment 1 - WAPC 159333	21/288243
2 ⇩.	Attachment 2 - Letter of Offer - Parcel Offer for Contribution towards Kinmore Green Public Open Space - Stage 1 - Lot 2 Driver Road, Darch - May 2025.docx	25/194985

CITY OF WANNEROO Late Items Agenda OF Council Members' Agenda Briefing 10 June, 2025 1

6.2 Draft Discover Wanneroo Visitor Economy Strategy 2025 - 2030

File Ref: 5457 – 25/123782

Responsible Officer: Chief Executive Officer

Attachments: 2

Changes to Report and Additional Information Arising from Agenda Briefing

Notes will be added only if changes are made to this report.

Issue

Advocacy and Economic Development have undertaken a comprehensive review of the City’s Tourism Plan 2019 – 2024. The draft Discover Wanneroo Visitor Economy Strategy 2025 – 2030 (draft Strategy) (refer Attachment 1 draft Strategy) has been prepared for Council consideration in close consultation with a range of internal and external stakeholders including a 21-day public consultation.

Background

The City of Wanneroo Tourism Plan 2019 – 2024 was endorsed by Council in June 2019 (CE04-06/19).

The review of the Tourism Plan is a Corporate Business Plan Item for 2024-2025 to be completed by the end of the 2024-25 financial year.

The review process undertaken to develop the draft Strategy has included:

· An evaluation of the Tourism Plan 2019 – 2024 including successes, outstanding items, key learnings;

· External review of key industry strategies and documents;

· Research and analysis of a range of data and information sources;

· Review and alignment to key internal strategies and plans (including Strategic Community Plan, Place Strategy);

· Internal workshop with key service units from across the organisation;

· Business and Tourism Advisory Group (BTAG) workshop with industry representatives, Wanneroo Business Association, Executive representatives and Council Members;

· Targeted surveys to local businesses and key stakeholders including industry organisations and associations, state government departments, local governments and partners/collaborators;

· Development of a draft Strategy document including a peer review of the vision;

· A second meeting with the BTAG to present the draft Strategy, receive direct feedback and seek a recommendation for public consultation;

· Internal socialisation of the draft Strategy to key service units and subject matter experts;

· A briefing note to elected members informing them of the review process and the public consultation;

· 21-day public consultation on the Your Say platform; and

· Feedback collated, analysed and used to inform the final draft Strategy.

Detail

Tourism industry support and development is identified in the City’s Economic Development Strategy 2022 – 2032 (EDS) as one of 6 key focus areas committing to “support the development of this key niche industry through regional collaboration, partnerships, marketing, product development, branding and leadership.”

This draft Strategy builds on this commitment by setting an exciting, refreshed vision for the future of tourism, hospitality and the broader visitor economy in the City of Wanneroo. The draft Strategy acknowledges the significant recent growth of the visitor economy which lays a strong foundation for continued progress whilst also highlighting the City’s pivotal role in enabling and driving future growth.

Consultation

A consultation summary is provided in Attachment 2 and consisted of targeted consultation to develop the draft Strategy followed by public consultation.

Targeted consultation

Targeted consultation was undertaken with a range of internal subject matter experts and externally with members of the Business and Tourism Advisory Group, local tourism and hospitality businesses, key stakeholders, partners and collaborators. The targeted consultation phase covered a broad range of topics and was used as a key input into developing a draft Strategy for public consultation. The targeted consultation included:

· Industry trends;

· Major barriers to growth sustainability or success (regulation, red tape, approvals & strategic planning);

· SWOT analysis;

· Priority projects, actions and initiatives – identification of areas of high opportunity and high influence; and

· Identification of strategic opportunities – such as addressing accommodation supply which is limiting overall visitation, visitor nights and visitor spend.

Through detailed consultation with stakeholders, it was important to clearly articulate the role that local government plays in shaping the visitor economy by defining a vision, streamlining regulations, investing in infrastructure, supporting tourism businesses, and promoting destinations, ultimately driving economic growth and enhancing visitor experiences.

The targeted consultation process led to development of the first draft of the new Discover Wanneroo Visitor Economy Strategy 2025-2030. Figure 1 illustrates the key components of the draft Strategy which incorporates a vision, guiding principles and five core focus areas. Several key actions and projects are provided under each focus area to illustrate how the City will impact each focus areas.

The draft Strategy takes a deliberately more strategic approach, which provides the City with the flexibility to respond proactively to emerging needs, opportunities, and industry trends via existing service unit planning and budgeting processes.

A white card with text and colorful text

AI-generated content may be incorrect.

Figure 1: Key components of the draft Discover Wanneroo Visitor Economy Strategy

Public consultation

Following the recommendation from the BTAG the Advocacy & Economic Development team undertook a public consultation of the draft Strategy including additional activities to create awareness and provide opportunities for the wider industry and interested parties to participate. Activities included:

· 21-day public consultation on the Your Say platform, 17 March – 7 April 2025 inclusive;

· A range of options to provide feedback and/or support via a short feedback form, email, phone or virtual/in-person meetings;

· Web news articles on the Business Wanneroo and Discover Wanneroo websites linking to the Your Say consultation webpage;

· Organic post on Business Wanneroo social media channels;

· Direct contact with key stakeholders, partners and collaborators inviting them to participate in the consultation;

· Wanneroo Business Association e-news article and post in private Facebook group; and

· Posts on the City of Wanneroo social media channels (Facebook, LinkedIn and Instagram), sponsored social media through the City’s Facebook and Instagram.

Comment

The engagement results are provided in Attachment 2 and include social media and Your Say metrics. The social media campaign received over 100,000 views, the Your Say consultation page received 925 views, and the draft Strategy was downloaded 384 times indicating that a high-level of awareness was created through the online campaign.

Feedback was overwhelmingly supportive from across stakeholder groups and results from the survey along with statements of support are provided in Attachment 2.

Feedback was used to refine the draft Strategy and key edits resulting from consultation are also provided in Attachment 2.

The review process has been robust and thorough and engagement with stakeholders has been a key component of each stage of the process. As a result, the draft Strategy is comprehensive, setting a bold new vision for the future of tourism and the visitor economy in the City of Wanneroo.

Note graphic design including image selection has not been finalised and minor updates to graphic design are expected.

Statutory Compliance

Nil

Strategic Implications

The proposal aligns with the following objective within the Strategic Community Plan 2021 – 2031:

2 ~ A City that celebrates rich cultural histories, where people can visit and enjoy unique experiences

2.3 - Tourism opportunities and visitor experiences

Risk Appetite Statement

In pursuit of strategic objective goal 2, we will accept a Medium level of risk. The City accepts this is required to protect priority cultural places, create ‘unique’ experiences and embrace the cultural diversity of our heritage in a way that is inclusive but challenges convention and historical thinking.