Agenda of Cromwell Community Board meeting

Cromwell Community Board Agenda

18 January 2021

CENTRAL OTAGO DISTRICT COUNCIL

CROMWELL COMMUNITY BOARD

MINUTES of a meeting of the Cromwell Community Board that was held in Cromwell Service Centre, 42 The Mall, Cromwell on Monday, 9 November 2020, commencing at 2.02 pm.

PRESENT: W Murray (Deputy Chair), T Buchanan, R Dicey, N Gillespie, C Laws and N McKinlay

APOLOGIES: An apology was received from A Harrison.

It was moved (Murray/Buchanan):

That the apology be accepted.

Motion carried

IN ATTENDANCE: His Worship the Mayor T Cadogan, S Jacobs (Chief Executive Officer), L Macdonald (Executive Manager – Corporate Services), L van der Voort (Executive Manager – Planning and Environment), S Righarts (Chief Advisor), J McCallum (Roading Manager), B McLeay (Consultant Development Manager), G Bailey (Parks and Recreation Manager), D Shaw (Property and Facilities Officer – Cromwell), L Stronach (Property Officer – Statutory), F Somerville (Roading Administration Assistant), R Williams (Governance Manager) and W McEnteer (Governance Support Officer)

20.8.1 Public Forum

Pierre Leyser (Cromwell Bike Park):

Mr Leyser outlined the plans underway for further development of the bike park. He Unconfirmed commented that the bike park is a great asset for the community and that it was a well-used facility. He mentioned that the track had secured the South Island Titles in 2022, but that this work would need to be carried out beforehand. Mr Leyser then responded to questions from the Board.

Julie Howard (Stakeholder Engagement Manager), Roy Noble (Project Director) and Kate Mandis (Environmental Planner) (Transpower - Clutha / Upper Waitaki Project):

Representatives from Transpower gave an update of the current lines project which involves upgrading existing power lines from Cromwell to Twizel. This part of the project is scheduled to be completed this year. There was also comment about the second part of the project, which is upgrades to lines from Roxburgh to Livingstone. They then responded to questions from the Board.

20.8.2 Confirmation of Minutes

It was moved (Gillespie/Laws):

That the Board confirms and receives the minutes of the meeting of the Cromwell Community Board held on 23 October 2020 as a true and correct record.

Motion carried

20.8.3 Declaration of Interest

Members were reminded of their obligations in respect of declaring any interests. There were no declarations of interest and no changes to the interests noted in the agenda were declared.

Note: Mr Phil Alison from Cherri Global Limited joined the meeting for item 20.8.4.

20.8.4 Application for Road Name Approval – unnamed road off Thomson Gorge Road, Bendigo (Doc ID 511459)

A report from the Roading Manager to consider a request to name a public road off Thomson Gorge Road had been circulated.

This report was left on the table at the 22 September 2020 meeting. Mr Alison gave justification to his road naming choices as outlined in the report. The Roading Manager noted that comment about a proposed airport at Tarras was in the report in error. After discussion it was decided that Matilda Rise was a suitable name for the road, to be named after the Matilda battery.

Unconfirmed It was moved (McKinlay/Gillespie):

That the Board:

A. Receives the report and accepts the level of significance.

B. Agree that the road off Thomson Gorge Road be named Matilda Rise.

Motion carried with Mr Buchanan and Mr Dicey voting against the motion

20.8.5 Application for Easement over Sugarloaf Scenic Reserve (PRO: 62 - 3006-00)

A report from the Property Officer - Statutory to provide further information relating to the prior application for an easement over the Sugarloaf Scenic Reserve had been circulated.

The item was left on the table at the 22 September 2020 meeting. Staff met with the applicants to request the further information required by the Board. The bores will now be located on the Lake Dunstan side of the road, on land owned by Land Information New Zealand.

It was moved (Dicey/Buchanan):

That the Board:

A. Receives the report and accepts the level of significance.

B. Agrees to grant an easement for the purpose of conveying water over Lots 6 – 7 DP 433991 and Lot 206 DP 404040 being the Sugarloaf Scenic Reserve, to Swann Road Farm Limited, subject to:

i. The applicant obtaining all permits, resource and other consents necessary for the purpose of locating the bores and electrical cabinetry on either Section 71 Block IV Wakefield Survey District or Part Section 4 SO 1988.

ii. The applicant obtaining easements for all other infrastructure required between the bore site and the applicant’s property.

iii. The applicant obtaining approval to place infrastructure within road reserve (where required).

iv. The construction of the new pipeline not interfering or causing damage to the existing pipelines.

v. The Chief Executive being satisfied with all remediation works within the reserve.

vi. The consent of the Minister of Conservation.

vii. The applicant paying all costs associated with the preparing and registering the (Council approved) easement document.

viii. The Chief Executive having the authority to determine any other conditions deemed appropriate which may include a bond for completion of all remediation works.

C. Authorises the Chief Executive to do all that is necessary to give effect to the resolution.

Motion carried

Note: Unconfirmed It was agreed that item 20.8.7 would be brought forward.

Note: Ms Michelle O’Connor and Ms Sheryl Kernahan from the Bannockburn Recreation Reserve Committee joined the meeting for item 20.8.7.

20.8.7 Issue of a New Lease over the Bannockburn Recreation Reserve (Doc ID 510836)

A report from the Parks and Recreation Manager to consider two new leases for the Bannockburn Recreation Reserve to replace leases which expired on 30 June 2020 had been circulated.

After discussion it was agreed that finer detail about reporting times, minimum contributions from surplus income and the drafting of the development plan would be stated in the formal lease.

It was moved (McKinlay/Buchanan):

That the Board:

A. Receives the report and accepts the level of significance.

B. Approve a new lease for the Bannockburn Recreation Reserve Committee Incorporated for an area of approximately 3.3530 hectares including:

· Term: 20 years

· Annual Rent: $1.00

· Rent Reviews: Five-yearly

· Regular reporting to the Board on financial situation and camper numbers.

· Consider donating a portion of surplus income to local Bannockburn community groups through an application process.

· Development of a business plan for the camp.

· In partnership with Council, preparation of a development plan for the reserve.

· Council assuming maintenance responsibility for the playground and tennis court.

· Allowing the Committee to operate a commercial camping ground within the reserve.

· Future rent being adjusted by CPI or determined as per any Council rent or leasing policy.

C. Approve a new lease for the Bannockburn Bowling Club Incorporated for an area of approximately 1831m², being within the existing boundary fence, on similar terms and conditions as the expired lease including:

· Term: 20 years

· Annual Rent: $20.00

· Rent Reviews: Five-yearly

· Future rent reviews be adjusted by CPI or determined as per any Council rent or leasing policy.

Unconfirmed Motion carried

20.8.6 Cromwell Golf Club Inc – Request for Funding to Assist with the Cost of a New Mower (PRO 62-3048-L1)

A report from the Property and Facilities Officer - Cromwell to consider a request from the Cromwell Golf Club for funding from the Club’s Fund Account to assist with the purchase of a new commercial mower had been circulated.

It was moved (Gillespie/McKinlay):

That the Board:

A. Receives the report and accepts the level of significance.

B. Agrees funding $10,000 from the Cromwell Golf Club fund be provided to assist with the cost of a new commercial mower.

C. Direct that this funding be subject to the provision of a copy of the invoice for the new mower.

Motion carried

20.8.8 2021 Meeting Schedule (Doc ID 510873)

A report from the Governance Manager to approve a schedule of Cromwell Community Board meetings for 2021 had been circulated.

It was moved (Laws/Buchanan):

That the Board:

A. Receives the report and accepts the level of significance.

B. Adopts the proposed 2021 meeting schedule for the Cromwell Community Board.

Motion carried

Note: Councillor McKinlay left the meeting at 3.26 pm.

20.8.9 Financial Report - Period Ending 30 September 2020 (Doc ID 510210)

A report from the Accountant to provide the financial performance overview as at 30 September 2020 had been circulated.

It was moved (Gillespie/Laws):

That the Board receives the report.

Unconfirmed Motion carried

Note: Councillor McKinlay returned to the meeting at 3.30 pm.

20.8.10 Mayor’s Report

His Worship the Mayor spoke to his report.

It was moved (Murray/Dicey):

That the Board receives the report.

Motion carried

20.8.11 Chair’s Report

Mr Murray reported on the following:

· Gave an update on the museum, the Museum Board will be meeting with staff in mid-November, there is a new exhibition from Anne Marie Hope-Cross that has been well received. Also reported that school visits will start again in November.

· Gave an update on Cromwell Districts Community Trust. Mentioned that the draft community plan is almost completed.

· Attended a play of the Fine Thyme Theatre Company. Reported that it has been well received.

· Noted that the final hearing for Plan Change 14 had occurred and that is now adjourned.

It was moved (Murray/Buchanan):

That the Board receives the report.

Motion carried

20.8.12 Members’ Reports

Mr Buchanan reported on the following:

· Mentioned a phone call he had received about the smell around the Lowburn Hall. He queried whether the pumping station there was in need of repair, but it was reported that the smell was not there over the past weekend.

· Had fielded calls about the future of the golf club.

Councillor Gillespie reported on the following:

· Attended several meetings of the Hearings Panel. Included were hearings in Cromwell and Alexandra and a site visit to Tarras Downs.

· Attended an Audit and Risk Committee meeting.

· Attended the long-term Plan workshop for Council.

· Attended a Council meeting on 7 October.

· Attended the Fire and Emergency Local Advisory Committee meeting in Dunedin.

· Gave several on air interviews at Radio Central.

· Attended a Governance Group meeting.

· Attended the reconvened Plan Change 14 Hearing.

· Reported that the District Licencing Committee had been reconvened and that Linda Robertson will continue as the Chair for the Audit and Risk Committee.

Mr Dicey reported on the following:

Unconfirmed · Enquired about planting around the sewage treatment ponds. Staff mentioned that an external party would do that work.

· Enquired about an update to the speedway. There was a halt on progress due to Plan Change 13 and the Cromwell Masterplan.

Councillor Laws reported on the following:

· Attended Long-term Plan sessions as part of Council.

· Attended a Council meeting

· Attended the Historical Precinct meeting.

· Attended Council pre-agenda meetings.

· Attended the Project Governance meeting.

Councillor McKinlay reported on the following:

· Attended the Long-term Plan meeting as part of Council.

· Attended a Council meeting.

· Attended a meeting of the Central Stories committee, as a liaison for Council.

· Attended the Governance Group meeting on major water projects.

· Attended the Tourism Reference Group meeting.

It was moved (Dicey/Laws):

That the Board receives the reports.

Motion carried

20.8.13 Governance Report (Doc ID 511449)

A report from the Governance Support Officer to provide updates on ongoing projects not captured in status reports had been circulated.

It was moved (Buchanan/McKinlay):

That the Board receives the report.

Motion carried

20.8.14 Status Report on Resolutions

A report from the Governance Support Officer to provide an update on resolutions Unconfirmed had been circulated.

It was moved (Gillespie/McKinlay):

That the Board receives the report.

Motion carried

20.8.15 Date of the Next Meeting

The date of the next scheduled meeting is Monday, 18 January 2021.

THE BOARD IN CLOSED MEETING

In accordance with section 48(1) of the Local Government Official Information and Meetings Act 1987 and the particular interest or interests protected by section 6 or section 7 of that Act (or sections 6, 7 or 9 of the Official Information Act 1982, as the case may be), it is

It was moved (Laws/Buchanan):

A. That the public be excluded from:

· The following parts of the proceedings of this meeting, namely: items 20.8.16-20.8.19

The general subject of the matters to be considered while the public is excluded, the reason for passing this resolution in relation to each matter, and the specific grounds for excluding the public, as specified by s 48(1) of the Local Government Official Information and Meetings Act 1987, are set out below:

Meeting Item No. and subject	Reason for excluding the public	Grounds for excluding the public
20.8.16 Appointment of Cromwell Community Board Representative on the Central Otago Sports Turf Trust Board	To protect the privacy of natural persons	The withholding of the information is necessary to protect the privacy of natural persons, including that of deceased natural persons (s 7(2)(a)).
20.8.17 Boundary Adjustment and Alteration to Cromwell Cemetery Shelter Belt.	The premature disclosure of the financial information would detrimentally affect the Council’s position in the negotiations.	To carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations) (s 7(2)(i)).
20.8.18 Gair Avenue, Cromwell – Consider the Sale or the Development of Land.	The premature disclosure of the financial information would detrimentally affect the Council’s position in the negotiations. It includes financial details submitted by another party. If the financial details were made public prior to the proposed actions being completed, it would prejudice that party’s position.	To carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations) (s 7(2)(i)). The withholding of the information is necessary to protect information where the making available of the information would be likely unreasonably to prejudice the commercial position of the person who supplied or who is the subject of the information. (s 7(2)(b)(ii))
20.8.19 Status Report	The premature disclosure of the financial information would detrimentally affect the Council’s position in the negotiations.	To carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations) (s 7(2)(i)).

B That Brad McLeay is permitted to remain at this meeting after the public has been excluded as the Consultant Development Manager.

Motion carried

The public were excluded at 3.53 pm.

The public were readmitted at 5.02 pm and the meeting closed.

...................................................

CHAIRPERSON

Unconfirmed

18 January 2021

5 Reports for Decisions

21.1.2 Application for easement in favour of Aurora Energy Limited over Sugarloaf Scenic Reserve

Doc ID: 519888

1. Purpose of Report

To consider an application for an easement (in gross) over the Sugarloaf Scenic Reserve, being Lot 16 Deposited Plan 418764, in favour of Aurora Energy Limited.

Recommendations

That the Cromwell Community Board

A. Receives the report and accepts the level of significance.

B. Agrees to grant an easement (in gross) to Aurora Energy Limited for $1, over Lot 16 Deposited Plan 418764 (being part of the Sugarloaf Scenic Reserve), to provide for the upgrading and reinforcement of the existing network, subject to:

· The applicant meeting all costs associated with preparing and registering the easement agreement.

· The Minister of Conservation’s consent.

C. Authorises the Chief Executive to do all that is necessary to give effect to the resolution.

2. Background

Aurora Energy Limited (Aurora) is planning to upgrade and reinforce its existing 66kV and 11kV overhead network which feeds the Lowburn area. While most of the works relate to assets that are located in road reserve, some of the assets are located in the southern end of Lot 16 Deposited Plan (DP) 418764.

Lot 16 DP 418764 is part of the Sugarloaf Scenic Reserve. The reserve is owned by Council and is held subject to the Reserves Act 1977. The land is zoned Rural Resource Area in the District Plan with an “Outstanding Natural Feature” notation.

In total, the reserve consists of six parcels of land being Lots 6 – 7 Deposited Plan 433991, Lots 15 – 16 DP 418764, Lot 206 DP 404040, and Section 1 Survey Office Plan (SO) 24210. The reserve, which has an area of just over 147 hectares, is shown outlined in red below in Figure 1.

Figure 1 – Plan of the Sugarloaf Scenic Reserve

Aurora has three poles in the southern end of Lot 16 DP 418764. The poles are shown below in Figure 2 as poles 10550, 10552, and 10520.

Figure 2 – Existing Aurora owned infrastructure in the southern end of Lot 16 DP 418764

The proposed network upgrades and reinforcement works include:

• Replacing pole number 10552 with new twin poles; and,

• Installing a set of three voltage regulators (auto transformers) with associated cabling on the new twin poles.

The existing pole as viewable from the Luggate – Cromwell Road is shown below in Figure 3. An example of the replacement twin poles, with three voltage regulators and associated cabling, is shown in Figure 4.

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Figure 3 – Existing pole number 10552 Figure 4 – Example dual poles with
voltage regulators

As the proposed works are to upgrade to the existing infrastructure Aurora have applied to for an easement (in gross) over Lot 16 DP 418764.

3. Discussion

Legal

Section 48 of the Reserves Act 1977 states that in the case of reserves vested in an administering body, the administering body, may with the consent of the Minister (of Conservation) and on such conditions as the Minister thinks fit, grant easements over any part of a reserve for an electrical installation or work, as defined in section 2 of the Electricity Act 1992.

Section 2 of the Electricity Act 1992 defines an electrical installation as “all fittings beyond the point of supply that form part of a system that is used to convey electricity to a point of consumption”. The poles, voltage regulators, transformers and cables meet this definition.

The purpose of the Reserves Act 1977 is to provide for and to protect reserves for the benefit of the community. Therefore, the issuing of rights over a reserve is generally accepted as being a last resort in the absence of other practical alternatives, particularly where there is likely to be a material effect on the reserve.

The granting of an easement to provide for the upgrading and reinforcement of the existing network will not materially alter the land, nor compromise its use.

Policy

The land is identified on District Plan Map 19 of Council’s Operative District Plan. It is zoned Rural Resource Area.

The upgrading of the electrical network is permitted under rule 13.7.7 of the District Plan as shown in the extract below:

13.7.7 Operation, maintenance, repair, upgrading and removal of network utilities

(i) The operation, maintenance, repair, replacement, reconstruction and upgrading of network utilities including the transmission network (including existing network utilities and earthworks to maintain the utility’s function) is a permitted activity.

Effect on the Land

Poles 10550, 10552, and 10520 are located in the southern most corner of Lot 16 DP 418764 adjacent to the Luggate – Cromwell Road. While the poles are on scenic reserve, as can be seen in Figure 4, they are on the flat land outside the boundary of the area designated an outstanding natural feature in the District Plan.

Accordingly, the effect of the upgrade on the reserve will be minimal.

Figure 4 – Reserve boundary versus Outstanding Landscape Feature designation.

Financial

Historically, easements of this nature have been exchanged at the nominal rate of $1. As the easement will provide for upgrade and reinforcement of the existing network it is not proposed that a charge be levied in this instance.

All costs associated with the works, and with the preparation and registration of the easement agreement will be paid by the applicant.

4. Options

Option 1 – (Recommended)

To grant an easement (in gross) to Aurora Energy Limited for $1, over Lot 16 Deposited Plan 418764 (being part of the Sugarloaf Scenic Reserve), to provide for the upgrading and reinforcement of the existing network, subject to:

· The applicant meeting all costs associated with preparing and registering the easement agreement.

· The Minister of Conservation’s consent.

Advantages:

· Aurora will be able to upgrade and reinforce their network.

· The Lowburn electricity network will be enhanced.

· The work will not materially alter the land or compromise the road.

Disadvantages:

· None.

Option 2

To not grant an easement (in gross) to Aurora Energy Limited for the purpose of upgrading

and reinforcing their network.

Advantages:

· None.

Disadvantages:

· Aurora Energy will not be able to upgrade or reinforce their network.

· The Lowburn electricity network will not be enhanced.

· Does not recognise the provisions of the Section 48 of the Reserves Act 1977.

5. Compliance

Local Government Act 2002 Purpose Provisions	This decision promotes the economic wellbeing of communities, in the present and for the future by by enabling Aurora Energy Limited to upgrade their energy network which will ensure the ongoing provision of electrical services to customers in the Lowburn area.
Financial implications – Is this decision consistent with proposed activities and budgets in long term plan/annual plan?	There are no financial implications for Council relating to this decision as all costs associated with the works and the creation of the easement will be met by Aurora Energy Limited.
Decision consistent with other Council plans and policies? Such as the District Plan, Economic Development Strategy etc.	The electrical works are a permitted activity under rule 13.7.7 of Council’s Operation District Plan, with the recommended option also being consistent with the Electricity Act 1992.
Considerations as to sustainability, the environment and climate change impacts	No sustainability, environmental or climate change impacts are related to the decision as the associated works will have no material effect on the land.
Risks Analysis	If the easement is not granted, Aurora will not be able to upgrade their network.
Significance, Consultation and Engagement (internal and external)	The Significance and Engagement Policy has been considered, with none of the criteria being met or exceeded.

6. Next Steps

The following steps will be undertaken in association with having the easement registered:

1. Community Board Approval 18 January 2021

2. Minister of Conservation’s Approval 03 February 2021

3. Applicant advised and works authorised Mid-February 2021

7. Attachments

Nil

Report author:	Reviewed and authorised by:

Linda Stronach	Louise van der Voort
Property Officer - Statutory	Executive Manager - Planning and Environment
8/12/2020	5/01/2021

18 January 2021

21.1.3 Application for easement in favour of Aurora Energy Limited over part Cromwell Golf Course

Doc ID: 519869

1. Purpose of Report

To consider an application for an easement (in gross) over part of the Cromwell Golf Course, being Section 4 Block XCII Town of Cromwell, in favour of Aurora Energy Limited.

Recommendations

That the Cromwell Community Board

A. Receives the report and accepts the level of significance.

B. Agrees to grant an easement (in gross) to Aurora Energy Limited for $1, over Section 4 Block XCII Town of Cromwell (Golf Park Recreation Reserve), to provide for the supply of power to path lighting, subject to:

· CHP Developments Limited meeting all costs associated with preparing and registering the easement agreement.

· The Minister of Conservation’s consent.

C. Authorises the Chief Executive to do all that is necessary to give effect to the resolution.

2. Background

The Cromwell Top 10 Holiday Park land is being developed into a residential subdivision by CHP Developments Limited. On its western boundary the development backs onto The Dunes. The southern boundary the development backs onto the Cromwell Golf Club.

In conjunction with Stage 4 of the subdivision, CHP Developments Limited are constructing a path to connect the subdivision to The Dunes. This will provide a pedestrian connection from the new Wallis Drive out to Neplusultra Street. The path is shown below on an extract of the subdivision landscaping plan.

Figure 1 – Extract of subdivision landscaping plan with path through Golf Club

The Wallis Drive end of the path will be constructed on New Lot 200 as shown in Figure 1. New Lot 200 will vest in Council as reserve on deposit. The greater portion of the path will be constructed on Section 4 Block XCII Town of Cromwell. The construction details and a plan of the path (over laid into GIS) are shown below in Figure 2.

Figure 2 – Construction details and map of path overlaid into GIS.

Section 4 Block XCII Town of Cromwell is recreation reserve. It is leased to the Cromwell Golf Club. The Cromwell Golf Club have agreed to the construction of the path as it will direct people through the course safely and will not affect the playable area.

Bollards with lights will be constructed along the sides of the path. The lights will form part of the wider street lighting network. Aurora Energy Limited (Aurora) have been engaged by CHP Developments Limited to install the electrical infrastructure required for the lights.

As these are new works, Aurora will require an easement (in gross) over Section 4 Block XCII Town of Cromwell. This will enable Aurora to install, repair and maintain power to the lights. A plan of the easement area is shown in red below in Figure 3.

Figure 3 – Easement Plan

Accordingly, CHP Developments Limited have now applied to Council for an easement (in gross), over Section 4 Block XCII Town of Cromwell, in favour of Aurora.

3. Discussion

Legal

Effect on the Land

The path and associated lighting will be an enhancement to the reserve. The path will direct the public safely through the golf course. The path will improve connectivity and will add to the recreational value of the land. Therefore, the granting of an easement to convey power for the purposes of lighting the path will not materially alter the land, nor compromise its use.

Policy

The land is identified on District Plan Map 14 of Council’s Operative District Plan. It is designated “Recreation Purposes” - Cromwell Golf Course Recreation Reserve.

The upgrading of the electrical network is permitted under rule 13.7.7 of the District Plan as shown in the extract below:

13.7.7 Operation, maintenance, repair, upgrading and removal of network utilities

Financial

Historically, easements of this nature have been exchanged at the nominal rate of $1. As the easement will provide for the installation of power to a path that is being constructed over recreational reserve it is not proposed that a charge be levied in this instance.

All costs associated with the works, and with the preparation and registration of the easement agreement will be paid by CHP Developments Limited.

4. Options

Option 1 – (Recommended)

To grant an easement (in gross) to Aurora Energy Limited for $1, over Section 4 Block XCII Town of Cromwell (Golf Park Recreation Reserve), to provide for the supply of power to path lighting, subject to:

· CHP Developments Limited meeting all costs associated with preparing and registering the easement agreement.

· The Minister of Conservation’s consent.

Advantages:

· Aurora will be able to install power to the lighting bollards.

· The path will be able to be used safely during the hours of darkness.

· The reserve will be enhanced.

· The work will not materially alter the land or compromise the road.

Disadvantages:

· None.

Option 2

To not grant an easement (in gross) to Aurora Energy Limited over Section 4 Block XCII

Town of Cromwell (Golf Park Recreation Reserve), to provide for the supply of power to path lighting.

Advantages:

· None.

Disadvantages:

· Aurora will not be able to install power to the lighting bollards.

· The path will not be able to be used safely during the hours of darkness.

· The reserve will not be enhanced.

· Does not recognise the provisions of the Section 48 of the Reserves Act 1977.

5. Compliance

Local Government Act 2002 Purpose Provisions	This decision promotes the social wellbeing of communities, in the present and for the future by enabling power to be supplied to light a path through a Council reserve.
Financial implications – Is this decision consistent with proposed activities and budgets in long term plan/annual plan?	There are no financial implications for Council relating to this decision as all costs associated with the works and the creation of the easement will be met by CHP Developments Limited.
Decision consistent with other Council plans and policies? Such as the District Plan, Economic Development Strategy etc.	The electrical works are a permitted activity under rule 13.7.7 of Council’s Operation District Plan, with the recommended option also being consistent with the Electricity Act 1992.
Considerations as to sustainability, the environment and climate change impacts	No sustainability, environmental or climate change impacts are foreseen.
Risks Analysis	If the easement is not granted, the path will be unlit during the hours of darkness. This could pose a threat to health and safety of the public.
Significance, Consultation and Engagement (internal and external)	The Significance and Engagement Policy has been considered, with none of the criteria being met or exceeded.

6. Next Steps

The following steps will be undertaken in association with having the easement registered:

1. Community Board Approval 18 January 2021

2. Minister of Conservation’s Approval 03 February 2021

3. Applicant advised and works authorised Mid-February 2021

7. Attachments

Nil

Report author:	Reviewed and authorised by:

Linda Stronach	Louise van der Voort
Property Officer - Statutory	Executive Manager - Planning and Environment
16/12/2020	5/01/2021

18 January 2021

21.1.4 Cromwell Bowling Club Inc - Request for funding to assist with the cost of upgrading the Bowling Clubrooms

Doc ID: 519910

1. Purpose of Report

To consider a request from the Cromwell Bowling Club for funding from the Club’s Fund Account to assist with the cost of upgrading the clubrooms.

Recommendations

That the Cromwell Community Board

A. Receives the report and accepts the level of significance.

B. Approves the request for funding from the Cromwell Bowling Club Fund Account to assist with the cost of upgrading the serving facility in the Clubrooms.

C. Approves funding amounting to $10,000 from the Cromwell Bowling Club fund be provided to assist with the cost of upgrading the serving facility, subject to a copy of the invoice being provided at the conclusion of the project.

2. Background

The Cromwell Bowling Club (The Club) currently leases land situated within the Alpha Street Reserve containing 3571 square metres more or less, being part Section 1 Block 89 Town of Cromwell.

The Club Fund Account is funded by the annual rental that the Club pays for the land that they lease from Council.

The purpose of the fund account is to enable the lessee to build up a capital development fund able to be called upon to expend on their particular reserve/facilities for specific projects. Use of the fund for capital development is subject to approval by the Cromwell Community Board (the Board).

The balance of the Club’s Fund Account as at 12/11/2020 is $10,262.

3. Discussion

The Cromwell Bowling Club are requesting $10,000 from the Club’s Fund Account

towards stage two of the refurbishment of the Clubrooms at 50 Alpha Street, Cromwell.

Stage one has been completed already. Stage three will be for minor completion works and further funding will be requested from the Board for this stage.

The $10,000 funding requested is for the upgrade of the bar and service area, in particular removing and rebuilding the serving point. The cost for this item has been estimated at $11,111 exclusive of GST.

Funding for further works itemised in stage two is being sought from organisations such as the Central Lakes Trust and Pub Charity.

Attached as Appendix 1 is a letter from the Club requesting funds towards stage two of the refurbishment, and includes information on the works being carried out.

4. Options

Option 1 – (Recommended)

The Board approves the request for funding from the Club’s Fund Account to assist with the upgrade of the serving point in the Clubrooms.

Advantages:

· The Club can use the funds that have accumulated within its fund account to assist with the upgrade of the Club’s facilities.

· The upgrade of the serving point will enhance the Club’s facilities and will benefit the Club’s future use of the facility.

Disadvantages:

· The Club’s accumulated funds would be depleted.

Option 2

The Board declines the request for funding from the Club’s Fund Account to assist with the upgrade of the serving point.

Advantages:

· The fund remains intact for future projects.

Disadvantages:

· The Club would need to raise additional funding to assist with the costs of redeveloping their facilities.

5. Compliance

Local Government Act 2002 Purpose Provisions	This decision promotes the social wellbeing of communities, in the present and for the future by providing funding towards the Club’s refurbishment that will enable the local Club to ensure their facilities are of a high standard.
Financial implications – Is this decision consistent with proposed activities and budgets in long term plan/annual plan?	The Club’s annual rentals have been accumulating within the account for a number of years. The funding is to be used for specific redevelopment purposes within the leased area. The Club has sufficient money within the account to provide the recommended funding of $10,000.
Decision consistent with other Council plans and policies? Such as the District Plan, Economic Development Strategy etc.	Not applicable in this instance.
Considerations as to sustainability, the environment and climate change impacts	Not applicable in this instance.
Risks Analysis	There are no risks associated with the request for funding from the Club’s account.
Significance, Consultation and Engagement (internal and external)	The proposal does not exceed any of the thresholds nor meet any of the criteria in the Significance and Engagement Policy and public consultation is not required.

6. Next Steps

· Community Board decision.

· Inform Cromwell Bowling Club of the Board’s decision.

· Payment of the $10,000 to be processed on receipt of a copy of the invoice.

7. Attachments

Appendix 1 - Cromwell Bowling Club letter and quotes dated 18 November 2020 ⇩

Report author:	Reviewed and authorised by:

Debbie Shaw	Louise van der Voort
Property and Facilities Officer (Cromwell)	Executive Manager - Planning and Environment
18/12/2020	5/01/2021

18 January 2021

21.1.5 Application for Road Name Approval - unnamed roads in stage one of the Wooing Tree Estate Development, Cromwell

Doc ID: 519807

1. Purpose of Report

To consider a request to name three public roads in the Wooing Tree Estate development.

Recommendations

That the Cromwell Community Board

A. Receives the report and accepts the level of significance.

B. Agree that the roads in the Wooing Tree Estate development be named Vintage Street, Blondie Drive and Magnum Drive.

2. Background

Three roads need to be named in the new sub-division in the Wooing Tree Estate development.

3. Discussion

The plan attached (Appendix 1) shows the roads to be named. The developer would like to establish a theme throughout the whole development using names associated with the Wooing Tree Estate wines.

The final roading layout for the overall development is not yet known but the applicant seeks approval for road names associated with stage one of the development currently under construction. The roads will extend further into the development as construction is progressed.

The only alternative name provided is Nobel.

4. Options

Option 1 – (Recommended)

Approve the names Vintage Street, Blondie Drive and Magnum Drive or alternative name Nobel.

Advantages:

· Names are the preferred names provided by the developer.

· Names are associated with the Wooing Tree winery and wine industry.

· Names meet council policy.

Disadvantages:

· Names are not of historical significance.

Option 2

Decline the name provided by the developer and select a name from the Cromwell Community Board’s approved road names list.

Advantages:

· Names comply with council policy.

Disadvantages:

· The names are not the preference of the developer.

5. Compliance

Local Government Act 2002 Purpose Provisions	This decision enables efficient decision making and action on behalf of the community. The Local Government Act 1974 Section 319A, Initial Naming of Roads, states: “If the council names any road for the first time, or alters the name of a road, the council must as soon as practicable send a copy of the relevant resolution to the Registrar-General of Land and the Surveyor-General”.
Financial implications – Is this decision consistent with proposed activities and budgets in long term plan/annual plan?	Costs for road signs will be met by the developer.
Decision consistent with other Council plans and policies? Such as the District Plan, Economic Development Strategy etc.	The Road Naming Policy contained in the Council’s Roading Policies 2015 governs the naming of new or unnamed roads in the district. Developers are required to suggest a preferred name to the appropriate community board for its consideration and approval. Two alternative names must also be provided by the developer. The process used is consistent with other council policies.
Considerations as to sustainability, the environment and climate change impacts	Managing change while protecting and enhancing our culture, heritage and landscape is one of council’s sustainability goals. Road naming has the ability to celebrate cultural and heritage aspects of the area. Road naming has no environmental or climate change impacts or benefits.
Risks Analysis	Approval of this road names presents no discernible risk.
Significance, Consultation and Engagement (internal and external)	Consultation with the public is not required when naming a new road. The road name suggestions are not derived from the Māori language; therefore, consultation with Aukaha is not required. This decision does not trigger the Significance and Engagement Policy.

6. Next Steps

Following resolution by the Cromwell Community Board, Council will notify Land Information New Zealand of the new road name and the location.

7. Attachments

Appendix 1 - Plan indicating roads to be named ⇩

Appendix 2 - Cromwell Community Board's approved road names list ⇩

Report author:	Reviewed and authorised by:

Faye Somerville	Julie Muir
Roading Administration Assistant	Executive Manager - Infrastructure Services
5/01/2021	5/01/2021

18 January 2021

21.1.6 Local Government New Zealand Community Board Conference 2021

Doc ID: 519586

1. Purpose of Report

To consider whether the Board would like to send representatives to the Local Government New Zealand Community Board conference in Gore, 22 to 24 April 2021.

Recommendations

That the Cromwell Community Board

A. Receives the report and accepts the level of significance.

B. Approves up to two Cromwell Community Board members’ attendance at the Local Government New Zealand Community Board conference in Gore, 22 to 24 April 2021.

C. Nominates up to two Cromwell Community Board members to attend.

2. Background

The New Zealand Community Board Conference takes place every two years. The biennial conference was introduced in 1997 to bring together the community boards of New Zealand to share practice and to help improve the understanding and work of community boards.

The budget for 2020/21 includes up to $2,500 per community board to attend this conference. This will allow up to two representatives from each board to attend. The dates for the 2021 conference are Thursday, 22 April to Saturday, 24 April inclusive.

Annabel Blaikie from Cromwell Community Board, Sally Feinerman from Teviot Valley Community Board and Sharleen Stirling-Lindsay from the Vincent Community Board were nominated to attend the last conference in New Plymouth.

A copy of the programme is attached as appendix one and can be found at www.nzcbconference.nz.

3. Options

Option 1 – (Recommended)

Send up to two community boards members to the conference.

Advantages:

· An opportunity to learn more about the challenges facing community boards now and in the future.

· An opportunity to meet community board members from other parts of New Zealand and share ideas.

Disadvantages:

· None

Option 2

Decline to send up to two community board members to the conference.

Advantages:

· None.

Disadvantages:

· The opportunities to learn and to network would be lost.

4. Compliance

Local Government Act 2002 Purpose Provisions	The LGA purpose provisions (s10) states, “The purpose of local government is to enable democratic local decision-making and action by, and on behalf of, communities”. If attendance at the conference is a useful learning experience, then it will strengthen the ability to perform that role of the community board member who attends. If that member then shares what they learned with the rest of the board, then it will enhance the whole board’s ability to support their communities.
Financial implications – Is this decision consistent with proposed activities and budgets in long term plan/annual plan?	Yes. Attendance at this conference is a budgeted item.
Decision consistent with other Council plans and policies? Such as the District Plan, Economic Development Strategy etc.	There are no plans of policies that relate directly to this topic.
Considerations as to sustainability, the environment and climate change impacts	There are no implications to sustainability, environmental and climate change.
Risks Analysis	There are no risks associated with this decision.
Significance, Consultation and Engagement (internal and external)	In terms of the Council’s Significance and Engagement Policy, this decision does not meet any of the thresholds for consultation identified in item 2.1. Therefore, it is not necessary to consult with the public on this matter.

5. Next Steps

The Governance Support Officer will make the necessary travel arrangements for the nominated Members.

6. Attachments

Appendix 1 - LGNZ Community Board Conference 2021 Programme ⇩

Report author:	Reviewed and authorised by:

Wayne McEnteer	Louise van der Voort
Governance Support Officer	Acting Chief Executive Officer
23/12/2020	8/01/2021

18 January 2021

21.1.7 Grants Programme 2021-22

Doc ID: 519321

1. Purpose of Report

To consider the process for grant applications following the adoption of the 2021-31 Long Term Plan, and to establish a one-off hardship grant.

Recommendations

That the Cromwell Community Board

A. Receives the report and accepts the level of significance.

B. Notes that the Grants Policy 2019 established that grant applications would no longer be accepted as submissions to the long-term plan.

C. Notes that transitioning to a fully contestable process may create a one-off funding gap for some groups, potentially causing financial hardship.

D. Agrees to establish a temporary hardship fund for the first quarter of the 2021-22 financial year, to be funded from the agreed Cromwell allocated grant pot for the 2021-31 Long-term Plan.

2. Background

Council adopted a new grants policy in 2019. This policy had the endorsement of community boards and established a requirement for all grants to be awarded in a contestable manner.

Previously, the long-term plan process had provided an avenue for some groups to apply for funding by way of a submission made during the formal consultation process. Many of the funding arrangements that emerged from this resulted in funds being allocated on a recurring basis for several years.

In an effort to create a more transparent process and align the practices of the Council grants programme with other New Zealand councils, twice yearly contestable funding rounds in April and October were implemented following the policy.

This had the effect of ending the allocation of grants through long-term plan submissions and restricted the long-term plan process to setting the total amount of funding available for contestable grants in a given year.

3. Discussion

Under a fully contestable grants programme, individual applications cannot be heard until after the final amount of funding available is confirmed. This would occur when the 2021-31 Long-Term Plan is adopted in late June 2021.

To allow for grant applications to be called for and processed, decisions on applications for grants cannot reasonably be made until late August.

This may cause some groups, who have been receiving annual grants for critical operating costs such as staff wages, to experience financial hardship. This might occur for those groups who had been uplifting 12 months of funding in July of each year. These groups could see a gap in funding for the first quarter of the 2021-22 financial year (1 July – 30 September).

This issue was discussed with councillors at a workshop on 25 November 2020 where several options were considered. The preferred option was to establish a one-off hardship fund to cover the first quarter of the 2021-22 financial year.

This fund would be open to groups who received a grant from the Council or community boards in the 2020-21 financial year and applied it to critical operating costs such as staff wages. Groups would be expected to be able demonstrate financial hardship which threatens their ability to continue operating. A simple application form has been prepared (Appendix 1).

The fund would be available for costs a group expects to incur in the first quarter of the 2021-22 financial year. The rationale for this is that groups should be able to apply for the first funding round and access funds in September 2021.

It is proposed that this one-off hardship fund be made available from the agreed contestable pot for Cromwell and be available for uplift from 1 July 2021 once the Long-term Plan has been formally endorsed by Council (scheduled for 30 June 2020). This would have the effect of reducing the 2021-22 grants budget pot. It is anticipated that applications for these one-off grants would be called for in April 2021 to be decided before the end of the 2020-21 financial year. It is estimated that a maximum of $30,000 would be required for this fund based on the grants awarded in the 2020-21 financial year.

4. Options

Option 1 (Recommended)

Establish a one-off hardship fund to cover the first quarter of the 2021-22 financial year and fund it through offsetting the 2021-22 contestable grants budgets.

Advantages:

· Reduces the risk of community groups facing financial hardship through changes to the grants programme

· Provides a gesture of good faith for those groups who may have been unaware of the transition to a fully contestable process

· Does not reduce the balance of the Cromwell General Reserves account.

Disadvantages:

· Reduces the amount of contestable grants available in the 2021-22 financial year.

Option 2

Establish a one-off hardship fund to cover the first quarter of the 2021-22 financial year, with any money allocated through this fund to be drawn from Cromwell General Reserves.

Advantages:

• Reduces the risk of community groups facing financial hardship through changes in the grants programme

• Provides a gesture of good faith for those groups who may have been unaware of the transition to a fully contestable process

• Does not reduce the amount of the 2021-22 contestable grant budget.

Disadvantages:

• Reduces the balance of the Cromwell General Reserves account.

Option 3

Automatically extend all 2020-21 grants through the first quarter of the 2021-22 financial year, with the funds to be drawn from Cromwell General Reserves.

Advantages:

· Provides greater financial security to current grant recipients

· Ensures all groups currently receiving a grant have time to respond to the changes in grants following the implementation of the Grants Policy 2019.

· Does not reduce the 2021-22 contestable grants budget.

Disadvantages:

· Reduces the balance of Cromwell General Reserves account.

Option 4

Automatically extend all 2020-21 grants through the first quarter of the 2021-22 financial year and fund it through offsetting the 2021-22 contestable grants budgets.

Advantages:

· Provides greater financial security to current grant recipients

· Ensures all groups currently receiving a grant have time to respond to the changes in grants following the implementation of the Grants Policy 2019.

· Does not reduce the balance of the Cromwell General Reserves account.

Disadvantages:

· Reduces the contestable grants budget in the 2021-22 financial year.

Option 5

Do not offer additional funding to manage the transition.

Advantages:

· Would not reduce the contestable grants budget nor the Cromwell General Reserves account.

Disadvantages:

· May result in some groups facing financial hardship

· Job losses could result for those staff employed through grants.

5. Compliance

Local Government Act 2002 Purpose Provisions	This decision promotes the social and cultural wellbeing of the community, in the present and for the future. It does this by assisting groups who are likely to face financial hardship following the transition to a different way of allocating grants.
Financial implications – Is this decision consistent with proposed activities and budgets in long term plan/annual plan?	Staff estimate that it could require as much as $30,000 to be off-set from the agreed contestable grants pot for the 2021-31 Long-term Plan.
Decision consistent with other Council plans and policies? Such as the District Plan, Economic Development Strategy etc.	Yes. The decision is consistent with the new Grants Policy introduced in 2019 which signalled this change was to occur.
Considerations as to sustainability, the environment and climate change impacts	Nil.
Risks Analysis	There is a reputational risk to Council if groups are allowed to fail or face serious hardship because of this change.
Significance, Consultation and Engagement (internal and external)	This decision is an implication of the Grants Policy 2019. The Significance and Engagement Policy has been considered and the matter does not need further consultation.

6. Next Steps

· February 2021 – Applications called for

· 1 April 2021 – Applications close

· May – June 2021 – Applications decided by Community Board.

7. Attachments

Appendix 1 - Hardship Grant Application ⇩

Report author:	Reviewed and authorised by:

Matthew Adamson	Saskia Righarts
Policy Advisor	Chief Advisor
21/12/2020	7/01/2021

18 January 2021

21.1.8 Draft 2021/31 Long-term Plan Community Board Budgets

Doc ID: 519179

1. Purpose of Report

To approve the draft budgets for inclusion in Council’s 2021/31 Long-term Plan Consultation Document and supporting documentation.

Recommendations

That the Cromwell Community Board

A. Receives the report and accepts the level of significance.

B. Adopts the draft 2021/31 Long-term Plan budgets.

C. Recommends to Council that the draft 2021/31 Long-term Plan budgets be accepted.

2. Background

The 2021/31 draft budgets for the Cromwell Ward have been finalised after council staff met with the Board to present provisional figures in November 2020. Council staff advised the Board of any factors affecting the budgets and made adjustments to the budgets based on the Boards recommendations. The key changes were:

· Reviewing the depreciation calculation for the Cromwell Pool

· Agree to the order of the projects for the Cromwell Masterplan

The 2021/31 Long-term Plan draft budget figures result in a total increase to the Cromwell Ward rates of $339,438 (12.4%).

i. Details of the changes to income and expenditure comparing the current 2020/21 Annual Plan to year one of the proposed Cromwell Community Board 2021/31 Long-term Plan budgets can be found in Appendix One;

ii. Details of the capital expenditure programme can be found in Appendix Two;

iii. Sample rate payers for the Cromwell community can be found in Appendix Three.

3. Discussion

Council staff are presenting draft budgets to each community board for consideration at their January 2021 meetings. Once adopted, the community board budgets will be provided to Council to include in the proposed 2021/31 Consultation Document and supporting documentation for community consultation during March/April 2021.

4. Options

Option 1 – (Recommended)

To accept the draft budget and recommend it to Council for inclusion in the 2021/31 Long-term Plan Consultation Documents and supporting documentation.

Advantages:

· Meets statutory requirements

· Demonstrates financially prudent budgeting to the community

· The Cromwell Ward proposed budget will feed into Council’s proposed 2021/31 Long-term Plan budgets

· Meets the ratepayers’ expectations

Disadvantages:

· None

Option 2

Decline the draft budget and do not recommend it to Council for inclusion in the proposed
2021/31 Long-term Plan budgets.

Advantages:

· None

Disadvantages:

· Delay in the 2021/31 Long-term Plan process

· Unable to set rates for 2021/22

· Run the risk of not meeting legislative deadlines

· Potential exposure to legal challenges

5. Compliance

Local Government Act 2002 Purpose Provisions	This decision enables democratic local decision making and action by, and on behalf of the community by involving community board members in robust and transparent financial decision making.
Financial implications – Is this decision consistent with proposed activities and budgets in long term plan/annual plan?	Yes, the community ward budgets, if accepted by Council, will form part of the public consultation. If accepted by the community and adopted into the 2021/31 Long-term Plan in June 2021, it will be used as the basis for financial management during 2021/22 and as a basis to be considered upon the preparation of subsequent annual plans.
Decision consistent with other Council plans and policies? Such as the District Plan, Economic Development Strategy etc.	Yes, consistent with all council plans and policies.
Considerations as to sustainability, the environment and climate change impacts	The community board budgets do not feed into the sustainability and climate change as such. However, the overall 2021/31 Long-term Plan assumptions and strategies consider the impact of climate change.
Risks Analysis	The risk of not accepting this report is that the Council may form a budget and consultation document that does not reflect the views of the community. Council may also lose the ability to adopt the 2021/31 Long-term Plan and set the rates for the income required to meet the activities Council is required to carry out. Furthermore, Council will not meet legislative requirements and may be exposed to legal challenges.
Significance, Consultation and Engagement (internal and external)	As per Council will carry out a one-month consultation period to the public, scheduled to commence in March 2021. This is a significant step in the 2021/31 Long-term Plan process, as it ensures the Community Board is across its ward-specific budget and is part of the consultation process.

6. Next Steps

Once this report is accepted and changes made (if necessary), it will be submitted to Council in January 2021. This will form part of the overall Council proposed budgets for recommendation to agree to go to Audit New Zealand to audit during the month of February 2021. Once an audit opinion has been granted, Council will adopt in March 2021, the proposed Long-term Plan Consultation Document, budgets, and any supporting information to go to the community for consultation.

7. Attachments

Appendix 1 - Draft 2021-31 LTP Budget - Income and Expenditure ⇩

Appendix 2 - Draft 2021-31 LTP Budget – Capital Expenditure ⇩

Appendix 3 - Draft 2021-31 LTP Budget – Sample Rates ⇩

Report author:	Reviewed and authorised by:

Leanne Macdonald	Louise van der Voort
Executive Manager - Corporate Services	Acting Chief Executive Officer
21/12/2020	7/01/2021

18 January 2021

7 Mayor’s Report

21.1.10 Mayor's Report

Doc ID: 520240

1. Purpose

To consider an update from His Worship the Mayor.

Recommendations

That the Cromwell Community Board receives the report.

2021 shapes up to be the biggest and busiest year in recent local government history. It is going to be a challenging time for those of us elected to serve our communities, so I want to start the new year with a personal message to Board members. It’s pretty simple. Please look after yourself. You all have busy lives outside of your Board role and the challenges that this year is going to bring will just add to that. It is crucially important that we all check in with ourselves from time to time to make sure we are going OK and not letting life get on top of us.

So, what do we have in store together this year?

Firstly, the Long-Term Plan. LTP years on their own are big beasts to deal with but this time around, the LTP is just one of a number of big things coming our way. This LTP is going to be a particularly difficult one as elected members wrestle with cost increases we have no control over, the wishes of some in the community and the difficulties others will have to pay in these difficult times. Coupled on to that will be the catch-up that will need to be made for increased costs last year that were covered by using reserves, something that cannot continue.

In Cromwell, the LTP will put budgets in place for significant factors in the Cromwell Masterplan making it arguably the most significant LTP for this Ward ever. All in all; there will need to be difficult decisions made mid-year by us all.

Secondly of course, COVID-19 has not gone away. If anything, the threat has increased with two new, more virulent strains coming to our shores. Frankly, I think it will be a miracle if these strains are able to be contained in our quarantine facilities and at some stage in the not too distant future, they are going to get loose somewhere in New Zealand. Which leads me to something I am extremely passionate (actually “angry” might be the better word) about. When a variant does get out, one of the things that will decide whether we go back into full lock-down or not will be how quickly the health authorities can track down contacts of those affected. And that will come down in large part to people using the tracing app. This is not rocket science and yet I watch every day as the vast majority of people wander in and out of shops and cafes without taking the few seconds required to sign in. This is complacency, laziness and stupidity of the highest order in my view so can I please ask that all of you make sure you use your tracer app every time you go into a public space that requires it. You are all community leaders and we all need to be seen to be leading by example on this. The life of our people and our economy depends on it.

Thirdly we have the 3 waters reforms to guide our community through. This will be a Council, not a Board decision but it is still crucial that all elected members have a good understanding of what is happening in order to be able to assist the community in its understanding.

Under the current timeframe of the Government, at some stage of this year our people are going to be asked whether a significant part of the water infrastructure that they have paid for over generations will go into the hands of some form of conglomeration. There is a huge amount to consider in this decision and at this stage, so much that is unclear. At this time the best I can say in simple terms is that the Government default position will be a that we do join the conglomeration so if we don’t, there will be a deliberate one to not join. It also appears at this stage that the conglomeration in this part of the world will be one that encompasses most of the South Island (excluding the top part). It remains unclear how local communities would retain influence or any form of control under this plan although some concept of shareholding based on value of assets going into the pool is being looked at. Given our small size (asset-value speaking), that would be of little consolation to us in my view.

For many there will be a knee-jerk reaction that handing over these assets would be the wrong thing to do, and that is entirely understandable. Our communities have spent significant sums on these assets so why would we voluntarily divest ourselves of them? Another fair question being asked is how would it possibly benefit small-town Central Otago to have its water assets managed by a big conglomeration based afar, most likely in Christchurch? In relation to that, I have had not unreasonable comparisons made to the debacle we face with our power transmission infrastructure in most of the district being managed out of Dunedin. We have all seen how well that has gone.

On the flipside though is what the consequences will be of not joining the conglomeration, and these are significant and cannot be ignored.

The biggest one of these is currently before Parliament in the form of the Water Services Bill. Under its current form, some failures by drinking water suppliers invoke fines of up to $600,000. Plainly, that is not a small consequence. We also need to consider how difficult and expensive it may be to find and employ suitably qualified and experienced staff if we do not join the conglomeration, especially if we are an outlier with most others going in.

What I have just written is not meant to be a thorough discussion of what might lie ahead in this space; just a “starter for ten” to get everyone thinking about what lies ahead. The state-of-play is a moving feast as discussions continue in Wellington as to what the final makeup of the decision will look like but whatever it is, it will be the biggest one for local government in New Zealand in the modern era.

So, there we have it, 2021 in a nutshell. But of course, if we learnt anything from 2020, it is to expect the unexpected.

2. Attachments

Nil

Report author:

Tim Cadogan

Mayor

11/01/2021


AGENDA Cromwell Community Board Meeting Monday, 18 January 2021
Date:	Monday, 18 January 2021
Time:	2.00 pm
Location:	Cromwell Service Centre 42 The Mall, Cromwell
Sanchia Jacobs Chief Executive Officer