Practical asset management leadership - case study, Cassowary Coast Regional Council

Abstract

Cassowary Coast Regional Council in Far North Queensland is an asset-rich Council. The region is home to some of the world’s most pristine natural assets and $1.8 billion of infrastructure assets service the relatively small population of 30,000. Council’s ratepayers pay high rates reflecting the ownership costs associated with owning numerous many community assets of which some bring no or very little value to the current community. In 2015, the Queensland Treasury Corporation identified the need for Council to rationalise its asset base to improve its financial sustainability. While previous Councils had made some progress, the current Council has demonstrated a significant appetite to progress with the difficult and potentially unpopular decision to make the hard calls on some old assets that are simply not contributing to the community. Council has worked with its Community Consultative Group and many User Groups to make these decisions which to date are expected to save its community $739,000 per annum. Council has also recognised the need for greater transparency and accountability and oversight of its numerous community groups to support them while managing the financial burden and risk to ratepayers. Through numerous courageous conversations, working with facts and the use of sound principles and processes, Council is well on its way to generating substantial savings which can be passed on to ratepayers.