Agenda of Cromwell Community Board meeting

Cromwell Community Board Agenda

8 March 2021

MINUTES OF A mEETING OF THE
Cromwell Community Board
HELD IN THE Cromwell Service Centre, 42 The Mall, Cromwell
ON Monday, 18 January 2021 COMMENCING AT 2.03 pm

PRESENT: Ms A Harrison (Chair), Mr W Murray (Deputy Chair), Mr T Buchanan, Mr R Dicey, Cr N Gillespie, Cr C Laws, Cr N McKinlay

IN ATTENDANCE: T Cadogan (Mayor), L Macdonald (Executive Manager - Corporate Services), L van der Voort (Executive Manager - Planning and Environment), S Righarts (Chief Advisor), J Kasibante (Finance Manager), G Robinson (Property and Facilities Manager), L Stronach (Property Officer – Statutory), F Somerville (Roading Administration Assistant), M Adamson (Policy Advisor) and W McEnteer (Governance Support Officer)

1 Apologies

There were no apologies for this meeting.

2 Public Forum

Robin Pieper – (Project Manager, Wilding Pines Control Group)

Ms Pieper noted that there were currently less pine trees at higher elevations and that the focus had now turned to finding where the seed was coming from. It was noted that despite there being less trees at the moment, it could easily get away without vigilance. With the assistance of council funding, there would be work done north of Cromwell on land owned by the council. The group was looking to remove trees from around the Collie Club and a few harder to reach areas around the Sugarloaf. Ms Pieper then responded to questions from the Board.

Note: Mr Dicey left the meeting at 2.17 pm.

3 Confirmation of Minutes

Committee Resolution

Moved: Buchanan

Seconded: McKinlay

That the public minutes of the Cromwell Community Board meeting held on 9 November 2020 be confirmed as a true and correct record.

Carried

Note: Mr Dicey returned to the meeting at 2.18 pm.

4 Declaration of Interest

Members were reminded of their obligations in respect of declaring any interests. There were no further declarations of interest.

5 Reports for Decisions

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

A report from the Property Officer – Statutory 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 had been circulated.

Committee Resolution

Moved: Murray

Seconded: McKinlay

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.

Carried

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

A report from the Property Officer - Statutory 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 had been circulated.

Committee Resolution

Moved: McKinlay

Seconded: Murray

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.

Carried

Note: Councillor Gillespie declared an interest in item 21.1.4 as Patron of the Cromwell Bowling Club and did not take part in discussions.

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

A report from the Property and Facilities Officer – Cromwell 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 had been circulated.

Committee Resolution

Moved: Dicey

Seconded: Laws

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.

Carried

Note: Councillor Laws declared an interest in item 21.1.5 as an employee of Wooing Tree and did not take part in discussions.

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

A report from the Roading Administration Assistant to consider a request to name three public roads in the Wooing Tree Estate development had been circulated.

Committee Resolution

Moved: Buchanan

Seconded: Dicey

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.

Carried

21.1.6 Local Government New Zealand Community Board Conference 2021

A report from the Governance Support Officer 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 had been circulated.

Committee Resolution

Moved: Gillespie

Seconded: Dicey

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 Cheryl Laws and Werner Murray to attend.

Carried

21.1.7 Grants Programme 2021-22

A report from the Policy Advisor 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 had been circulated.

Committee Resolution

Moved: McKinlay

Seconded: Laws

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.

Carried

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

A report from the Executive Manager – Corporate Services to approve the draft budgets for inclusion in Council’s 2021/31 Long-term Plan Consultation Document and supporting documentation had been circulated.

After discussion it was decided that only the interest generated from the Cromwell reserves should be used to offset rates.

Committee Resolution

Moved: McKinlay

Seconded: Laws

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 noting that interest from the Cromwell rates reserves be used to subsidise rates.

Carried

6 Reports for Information

21.1.9 Governance Report

A report from the Governance Support Officer to provide updates on ongoing projects and legacy status reports had been circulated.

Committee Resolution

Moved: Murray

Seconded: Dicey

A. That the report be received.

B. That the changes to the 2021 Meeting Schedule be noted.

Carried

7 Mayor’s Report

21.1.10 Mayor's Report

His Worship the Mayor spoke to his report.

Committee Resolution

Moved: Murray

Seconded: Buchanan

That the Cromwell Community Board receives the report.

Carried

8 Chair's Report

21.1.11 Chair's Report

Ms Harrison reported in the following:

· Attended a meeting on the Cromwell Masterplan.

· Attended the Annual Social and Honours event for Cromwell Volunteer Fire Brigade. Acknowledged the death of David Bolch who had passed away just prior to the event.

· Noted that the Goldfields school hall has been named after the previous principle Sharon Booth. Acknowledged the Kaumatua that attended.

· Attended a Community of Learning management meeting.

· Attended the Elected Members Christmas lunch.

· Attended an elderly citizens Christmas lunch hosted by the Lions Club.

· Reflected on the break over the Christmas period.

Committee Resolution

Moved: Murray

Seconded: Dicey

That the report be received.

Carried

9 Members' Reports

21.1.12 Members' Reports

Mr Murray reported on the following:

· Attended the Commerce Commission meeting regarding Aurora

· Attended the Guardians of Lake Dunstan AGM

· Attended meetings of Connect Cromwell, Cromwell Promotions Group and Highlands.

· Attended a meeting of the Lake Dunstan Charitable Trust.

Mr Buchanan reported on the following:

· Attended a Carrick water scheme meeting.

Councillor Gillespie reported on the following:

· Attended a number of Hearings Panel meetings.

· Attended the 18 November Council meeting and gave an update of the topics discussed.

· Attended the 9 December Council meeting and gave an update of the topics discussed.

· Gave an update from the last Audit and Risk Committee meeting.

Councillor Laws reported on the following

· Mentioned the rubbish bins in the historical precinct and mentioned that they are often full to overflowing.

· Attended a workshop regarding future used for McNaulty House

· Attended the Emergency Control Point Workshop.

· Attended the 9 December Council meeting.

· Attended a workshop on the Long-term Plan.

Mr Dicey reported on the following:

· Attended the Commerce Commission meeting regarding Aurora

· Inspected the plantings at the sewage ponds.

· Attended a seminar regarding the Lake Onslow project.

· Met with Kevin O’Neill regarding the accommodation block at Cemetery Road.

Councillor McKinlay reported on the following:

· Attended the 9 December Council meeting.

· Attended a seminar regarding the Lake Onslow project.

Committee Resolution

Moved: Murray

Seconded: Buchanan

That the report be received.

Carried

10 Date of The Next Meeting

The date of the next scheduled meeting is 8 March 2021.

11 Resolution to Exclude the Public

Committee Resolution

Moved: Laws

Seconded: Dicey

A. That the public be excluded from the following parts of the proceedings of this meeting.

The general subject matter of each matter to be considered while the public is excluded, the reason for passing this resolution in relation to each matter, and the specific grounds under section 48 of the Local Government Official Information and Meetings Act 1987 for the passing of this resolution are as follows:

General subject of each matter to be considered	Reason for passing this resolution in relation to each matter	Ground(s) under section 48 for the passing of this resolution
Confirmation of Confidential Minutes of Ordinary Board Meeting	To protect the privacy of natural persons. The premature disclosure of the financial information would detrimentally affect the Council’s position in the negotiations. 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. The premature disclosure of the financial information would detrimentally affect the Council’s position in the negotiations.	The withholding of the information is necessary to protect the privacy of natural persons, including that of deceased natural persons (s 7(2)(a)). To carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations) (s 7(2)(i)). 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)) To carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations) (s 7(2)(i)).
21.1.13 - Central Speedway Club Cromwell Incorporated	s7(2)(i) - the withholding of the information is necessary to enable Council to carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations)	s48(1)(a)(i) - the public conduct of the relevant part of the proceedings of the meeting would be likely to result in the disclosure of information for which good reason for withholding would exist under section 6 or section 7
21.1.14 - Confidential Governance Report	s7(2)(i) - the withholding of the information is necessary to enable Council to carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations)	s48(1)(a)(i) - the public conduct of the relevant part of the proceedings of the meeting would be likely to result in the disclosure of information for which good reason for withholding would exist under section 6 or section 7

B. That Andy Erskine from Cromwell Motor Speedway Incorporated be permitted to remain at this meeting after the public have been excluded to respond to questions from the Board on item 21.1.13.

Carried

The public were excluded at 3.23pm

The Meeting closed at 4.09pm.

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

CHAIRPERSON

8 March 2021

5 Reports for Decisions

21.2.2 Cromwell Fees and Charges 2021/22 Schedule

Doc ID: 523845

1. Purpose of Report

To approve the draft fees and charges schedule for the Cromwell Community Board and recommend that Council include these fees and charges in the 2021-31 Long-term Plan.

Recommendations

That the Cromwell Community Board

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

B. Recommends to Council to accept the changes for the Cromwell Ward to the Fees and Charges Schedule for 2021-22 as detailed and highlighted in Appendix 1.

C. Recommends Council adopt the fees and charges related to the Cromwell Ward as part of the Council’s annual fees and charges for the 2021-22 financial year.

2. Background

Each year the fees and charges are reviewed by staff. Required changes are put to the relevant Community Board or Council. Approved changes are updated in the Fees and Charges Schedule, which in turn will be included in the current Annual Plan.

3. Discussion

A review of the Fees and Charges Schedule has been completed, with a number of changes being identified for 2021-22 and detailed in Appendix 1. Once approved by the Community Board, the Fees and Charges Schedule will be updated and adopted as part of the long-term plan process for implementation from 1 July 2021.

The attached is a complete copy of the fees and charges schedule, with the highlighted area being specific for the Cromwell Community Board. Of note, there are some changes to the Cromwell Parks schedule for approval by the Board.

4. Options

Option 1 – (Recommended)

Accept the recommended changes to the Fees and Charges Schedule

Advantages:

· Allows changes to reflect current practices and cost recoveries.

· May lead to additional revenue and/or reduced rate burden on the rate-payer.

Disadvantages:

· Some members of the community may feel disadvantaged paying increased fees.

Option 2

Do not accept changes to the Fees and Charges Schedule.

Advantages:

· Status quo remains and users of the services do not incur increased fees.

Disadvantages:

· May not reflect a fair sharing of costs to the end user.

· Loss in revenue or a greater reliance on the rate-payer.

5. Compliance

Local Government Act 2002 Purpose Provisions	This decision enables democratic local decision making and action by, and on behalf of communities through oversight by the elected members, and forms part of long-term plans and annual plans.
Financial implications – Is this decision consistent with proposed activities and budgets in long term plan/annual plan?	This is consistent with budgets and policies contained within long-term plans and annual plans as these fees and charges increase income and reduce the burden on the rate-payer.
Decision consistent with other Council plans and policies? Such as the District Plan, Economic Development Strategy etc.	Yes as the majority of fees and charges are identified as a source of income under the Revenue and Financing Policy, or the Development and Financial Contributions Policy.
Considerations as to sustainability, the environment and climate change impacts	No considerations as to sustainability environment and climate change required.
Risks Analysis	This decision carries little to no risk to Council.
Significance, Consultation and Engagement (internal and external)	This report is not considered significant. The fees and charges schedule is included in the supporting document for the long-term plan consultation document and public awareness will be raise via this mechanism.

6. Next Steps

A complete schedule of the fees and charges will be submitted to each of the relevant community boards for approval. Once approved, the total suite of fees and charges will be presented to Council with the recommendation that Council adopt the proposed fees and charges as part of the adoption process when adopting the 2021-31 Long-term Plan.

7. Attachments

Appendix 1 - Fees and Charges - CCB.pdf ⇩

Report author:	Reviewed and authorised by:

Leanne Macdonald	Sanchia Jacobs
Executive Manager - Corporate Services	Chief Executive Officer
16/02/2021	19/02/2021

8 March 2021

21.2.3 Cromwell Financial Report - period ending 31 December 2020

Doc ID: 521663

1. Purpose

To consider the financial performance overview as at 31 December 2020.

Recommendations

That the report be received.

2. Background

The operating statement for the six months ending 31 December 2020 shows a favourable variance of $612k against the revised budget.

	AS AT 31 DECEMBER 2020				2020/21	2020/21
	YTD	YTD	YTD			Full Year
	Actual	Revised Budget	Variance		Annual Plan	Revised Budget
	$000	$000	$000		$000	$000
Income:
Internal Interest Revenue	215	342	(127)	˜	740	686
Land Sale Proceeds	3,786	2,500	1,286	˜	4,015	4,000
User Fees & Other	275	237	38	˜	471	475
Reserves Contributions	58	-	58	˜	-	-
External Interest & Dividends	3	-	3	˜	-	-
Rates	1,449	1,449	-	˜	2,412	2,733
Other Capital Contributions	17	-	17	˜	-	-
Total Income	5,803	4,528	1,275	˜	7,638	7,894

Expenditure
Rates Expense	104	60	(44)	˜	120	120
Cost of Sale of Land	1,903	1,250	(653)	˜	-	2,000
Professional Fees	124	57	(67)	˜	11	115
Cost Allocations	397	400	3	˜	687	791
Fuel & Energy	145	128	(17)	˜	227	255
Grants	124	113	(11)	˜	189	181
Other Costs	161	184	23	˜	340	325
Contracts	202	224	22	˜	299	452
Internal Interest Expense	-	59	59	˜	121	120
Building Repairs and Mtce.	69	76	7	˜	198	153
Staff	355	367	12	˜	694	735
Members Remuneration	18	21	3	˜	42	43
Depreciation	307	307	-	˜	659	613
Total Expenses	3,909	3,246	(663)	˜	3,587	5,903
Operating Surplus / (Deficit)	1,894	1,282	612	˜	4,051	1,991

Income for period ending 31 December 2020:

Operating income reflects a favourable variance to the budget of $1,275k. This is primarily due to the Gair Avenue development land sales.

· Internal interest revenue has an unfavourable variance of ($127k). This is predominately due to low market interest rates.

· Gair Avenue development land sales are tracking ahead of budget with a favourable variance of $1,286k, due to strong demand in property nationwide.

· User fees and other has a favourable variance of $38k. Rentals and hires are $32k higher than budget, this is due to the timing of annual lease payments on endowment land.

· Reserve contributions have a favourable variance of $58k. These are difficult to gauge when setting budgets and are dependent on developers’ timeframe.

· A capital contribution of $17k has been received from the Ministry of Business Innovation and Employment (MBIE) towards the Tarras community hall.

	User Fees and Other Income				2020/21	2020/21
	YTD	YTD	YTD			Full Yr
	Actual	Revised Budget	Variance		Annual Plan	Revised Budget
	$000	$000	$000		$000	$000
Other Misc. Income	60	57	3	˜	114	114
Rentals & Hires	79	47	32	˜	99	94
Cromwell Pool / Swim School	128	125	3	˜	240	250
Cemeteries	8	8	-	˜	17	16
Total User Fees Income	275	237	38		471	474

Expenditure for period ending 31 December 2020:

Expenditure has an unfavourable variance of ($663k). These variances are detailed below:

· Rates expense shows an unfavourable variance due to the spread of the budget, this will be corrected in the February forecast. Rates are paid in full at the beginning of the financial year.

· Cost of Sale of Land has an unfavourable variance of ($653k). The cost of sales is driven by the Gair Avenue land sales, these costs are offset by land sales.

· Professional fees are unfavourable against budget by ($67k). This is mainly due to ongoing legal fees relating to the Thyme Care claim.

· Fuel and energy is unfavourable to budget by ($17k). Driving this variance is the gas usage at the Cromwell pool, this will likely remain.

· Other costs are favourable by $23k. Contributing to this is the timing of water billing and slightly lower insurance costs.

· Contracts are favourable to budget by $22k. This is due to the timing of maintenance being carried out.

· Internal interest expense charges show a zero balance. Low market interest rates are driving this variance, this is also reflected above with reduced interest revenue.

Capital Expenditure:

Capital expenditure for the period ending 31 December 2020 reflects an unfavourable variance of ($3,658k). The actual CAPEX spent ended with a 129% of the total revised budget. Managers are currently working on their second forecast for this financial year.

Parks and Reserves:

· Anderson Park projects show a favourable variance of $119k. This is due to a delay in the commencement and resurfacing of the Anderson Park netball courts.

· Cromwell Reserves show an unfavourable variance of ($13k). Relating to the timing of the McNulty Road and Gair Avenue irrigation rollout and budget.

· Cromwell Fencing has an unfavourable variance of ($24k). The fencing project at Birchalls Lane has been completed ahead of the budget allocation.

Cromwell Swimming Pool:

· Machinery and plant show a favourable variance of $81k. The pool filter is yet to be replaced.

· Planned building upgrades have not yet started. More information will be available after forecasting has been completed.

Property:

· The main reason for the unfavourable variance is the purchase of the Murray Terrace land in December 2020, which Council authorised as per resolution 20.4.3 in July 2020. This will be updated as part of the February forecast.

· The unfavourable variance for Endowment land relates to the funding issued for the earthquake strengthening of the McNulty House restoration project, as per Cromwell Community Board resolution of 20.5.4. Again, this will be updated in as part of the forecast.

	AS AT 31 DECEMBER 2020				2020/21	2020/21
	YTD	YTD	YTD			Full Year
	Actual	Revised Budget	Variance		Annual Plan	Revised Budget
	$000	$000	$000		$000	$000
Parks and Reserves:
Anderson Park	32	151	119	˜	244	247
Cromwell Reserves	86	73	(13)	˜	192	313
Cromwell Other	32	44	12	˜	44	54
Cromwell Lighting	6	-	(6)	˜	12	12
Cromwell Cemetery	2	19	17	˜	19	19
Cromwell Fencing	24	-	(24)	˜	-	30
Total Parks and Reserves:	182	287	105	˜	511	675
Cromwell Swimming Pool:
Machinery & Plant	34	115	81	˜	375	650
Recreation Equipment / Furniture & Fittings	-	2	2	˜	2	2
Building Upgrades	2	65	63	˜	8	65
Total Cromwell Swimming Pool	36	182	146	˜	385	717
Property:
Cromwell Front Reserve	-	-	-	˜	500	1,800
Cromwell - Land	3,825	-	(3,825)	˜	-	-
Cromwell - Fencing	-	-	-		-	-
Endowment Land	84	-	(84)	˜	-	-
Cromwell - Building Improvements	7	7	-	˜	-	7
Total Property:	3,916	7	(3,909)	˜	500	1,807
Total Capital Expenditure	4,134	476	(3,658)	˜	1,396	3,199

Reserve Funds table for Cromwell Ward

· As at 30 June 2020 the Cromwell Ward had an audited closing reserve funds balance of $20M. This is the ward specific reserves and does not factor in the districtwide reserves which are in deficit at ($11M). Refer to Appendix 1.

· Taking the 2019-2020 audited Annual Report closing balance and adding 2020-21 income and expenditure, carry forwards and resolutions, the Cromwell Ward is projected to end the 2020-21 financial year with a closing balance of $26.2M. This projection is subject to change once the February forecast is carried out as the forecast may help confirm timing of work programmes which will give staff a better understanding of this year’s activities.

3. Attachments

Appendix 1 - 202012 Cromwell Ward Reserve Funds table.pdf ⇩

Report author:	Reviewed and authorised by:

Donna McKewen	Leanne Macdonald
Accountant	Executive Manager - Corporate Services
12/02/2021	16/02/2021

8 March 2021

21.2.4 Application for easements over Lot 101 DP 490721 and Lot 1 DP 505292

Doc ID: 525944

1. Purpose of Report

To consider an application for easements over Lot 101 Deposited Plan 490721, (Local Purpose (Road) Reserve), and over Lot 1 Deposited Plan 505292.

Recommendations

That the Cromwell Community Board

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

B. Agrees to grant easements for $1:

- over Lot 101 DP 490721 (Local Purpose (Road) Reserve) in favour Lot 1 DP 505292 for the purpose of conveying water, sewage, electricity, and telecommunications.

- (in gross) in favour of Aurora Energy Limited over Lot 101 DP 490721 and Lot 1 DP 505292.

- (in gross) in favour of Chorus NZ Limited over Lot 101 DP 490721 and Lot 1 DP 505292.

Subject to:

· The Minister of Conservation’s consent to the easements being granted over Lot 101 DP 490721.

· The Applicant, AC/JV Holdings Limited, meeting all costs associated with preparing and registering the easement agreements.

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

2. Background

Harvest Road (the Road) runs south off McNulty Road. It is a short road with a legal length of about 210 metres. The Road resulted from an industrial subdivision that was undertaken in 2015. There is a parcel of Local Purpose (Road) Reserve at the southern end of Harvest Road.

The Local Purpose (Road) Reserve vested in Council on deposit of the 2015 industrial subdivision. The associated resource consent notes that the reserve will later become legal road. As legal road, Harvest Road will then provide through access to other industrial land including Lot 1 Deposited Plan (DP) 505292.

AC/JV Holdings Limited (the Applicant) hold building and resource consents over Lot 1 DP 505292. The building consent provides for the construction of a workers’ housing complex on the upper northern corner of Lot 1 DP 505292 as shown below in figure 1.

Figure 1 – Site of Workers’ Accommodation on Lot 1 DP 505292

The resource consent provides the Applicant with approval to subdivide Lot 1 DP 505292 into three lots.

Lot 1 will contain the workers’ housing complex, Lot 3 will vest as legal road, and Lot 2 will contain the balance of land. An extract of the subdivision plan is shown below in figure 2.

Figure 2 – Extract of Subdivision Plan

On 09 February 2021 the subdivision plan was approved by Council. The subdivision plan may now be lodged with Land Information New Zealand (LINZ) for approval. On approval a number of easements will be created. These are shown below in an extract from the Schedule of Easements attached to subdivision.

Figure 3 – Extract of Easements to be created on approval of LT Plan 556781

The Applicants have completed the majority of the works associated with the construction of the workers’ housing complex. It is ready to be connected to the power and other service networks. Once connected to the services the complex will be ready for habitation.

Having a plan approved by LINZ can take approximately 2 months. Until the plan is approved, and the various rights created, Aurora Energy Limited and Chorus NZ Limited cannot install their services to the complex. This would cause significant delays to completion and habitation of the complex.

Alternatively, the Applicants are now applying for private easements over Lot 101 DP 490721, being the access and servicing corridor, in favour of Lot 1 DP 505292. The easement rights requested include the right to convey water, sewage, electricity, and telecommunications.

The Applicants are also applying for easement in gross in favour of Aurora Energy Limited and Chorus NZ Limited over Lot 101 DP 490721 and Lot 1 DP 505292. This would enable the installation of all services and completion of the workers’ accommodation.

3. Discussion

Lot 1 DP 505292

Lot 1 DP 505292 is Council freehold land. It is the land that the worker’s accommodation facility is being constructed on and that will later be subdivided. The Applicants have an agreement to purchase this land. Any easements granted over Lot 1 DP 505292 for the purposes of Lot 1 DP 556781 will carry over on subdivision and apply accordingly.

Lot 101 DP 490721

Lot 101 DP 490721 is a Local Purpose (Road) Reserve. Lot 101 DP 490721 vested in Council on deposit in 2015 and is subject to the Reserves Act 1977, however. It is expected to vest as legal road at a later date.

Utility operators are legally entitled to install services in legal road as a matter of right.

Granting rights to convey water, sewage, electricity, and telecommunications over Lot 101 DP 490721 are consistent reservation of the land. It is also consistent with the future intention to vest the reserve as road. Accordingly, the granting of easement will not materially alter the land, nor compromise its use as a reserve.

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.

Financial

Historically, easements of this nature have been exchanged at the nominal rate of $1. As the easements are provided for on deposit of the subdivision plan, and as Lot 101 DP 490271 is expected to become legal road it is proposed that the nominal rate of $1 also 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 Applicants.

4. Options

Option 1 – (Recommended)

To agree to grant easements for $1:

- over Lot 101 DP 490721 (Local Purpose (Road) Reserve) in favour Lot 1 DP 505292, for the purpose of conveying water, sewage, electricity, and telecommunications.

- (in gross) in favour of Aurora Energy Limited over Lot 101 DP 490721 and Lot 1 DP 505292.

- (in gross) in favour of Chorus NZ Limited over Lot 101 DP 490721 and Lot 1 DP 505292.

Subject to:

· The Minister of Conservation’s consent to the easements being granted over Lot 101 DP 490721.

· The Applicant, AC/JV Holdings Limited, meeting all costs associated with preparing and registering the easement agreements.

Advantages:

· Will enable the Applicant to install services to the workers’ accommodation facility prior to depositing the subdivision plan and applying for the new titles.

· The rights being granted are provided for in in the Schedule of Easements attached to the subdivision plan.

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

· Recognises the provisions of Section 48 of the Reserves Act 1977.

Disadvantages:

· None.

Option 2

To not grant easements over Lot 101 DP 490721 (Local Purpose (Road) Reserve or Lot 1 DP 505292.

Advantages:

· None.

Disadvantages:

· Will not enable the Applicant to install services to the workers’ accommodation facility prior to depositing the subdivision plan and applying for the new records of titles.

· Will delay completion and inhabitation of the workers’ accommodation facility.

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

5. Compliance

Local Government Act 2002 Purpose Provisions	While not relating directly to any Local Government purpose there is a shortage of workers’ accommodation in the district, so completion promotes the economic wellbeing of the district in the present and for the future. 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 AC/JV Holdings 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 Operational 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	There is no risk to Council associated with the recommended option as the rights requested now will be created in due course as part of the resource consent process.
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 08 March 2021

2. Minister of Conservation’s Approval 24 March 2021

3. Applicant advised and works authorised Late March 2021

7. Attachments

Nil

Report author:	Reviewed and authorised by:

Linda Stronach	Louise van der Voort
Property Officer - Statutory	Executive Manager - Planning and Environment
28/02/2021	5/01/2021

8 March 2021

21.2.5 Roundabout Construction - Intersection State Highways 6 and 8B

Doc ID: 523998

1. Purpose

To inform the Board of the Crown’s intention to acquire part of the Sargood Highway Local Purpose (Amenity) Reserve for the purpose of constructing of a roundabout at the intersection of State Highways 6 and 8B.

Recommendations

That the report be received.

2. Discussion

Background

The intersection of State Highway 6 and State Highway 8B is located on the northern edge of the Cromwell township.

Figure 1 – the Intersection of Highways 6 and 8B

State Highway 6 is a major New Zealand state highway. It extends from the north eastern corner of the South Island across the top of the island, then down the length of the island. It is also the main road from Cromwell to Wanaka and Cromwell to Queenstown.

State Highway 8B, which is shown below in figure 2, links State Highway 6 with State Highway 8. State Highway 8 forms an anticlockwise loop through the southern scenic regions of the Mackenzie Basin and Central Otago.

Figure 2 – State Highway 8B

Figure 3 – Overview of State Highway 6 Figure 4 – Overview of State Highway 8

A number of serious injury crashes have occurred at the intersection of State Highway 6 and State Highway 8B. Over recent years the safety record has worsened. Rising tourist numbers noted pre-Covid (which are expected to return) and high levels of growth within the district are also causing increased pressure on the intersection.

Plan to Remedy

Waka Kotahi New Zealand Transport Agency have been working on a project to address the safety risks and improve traffic flows at the intersection. The project is called ‘The SH6 – SH8B Junction Cromwell Intersection Upgrade’. To resolve the safety risks and improve traffic flows Waka Kotahi New Zealand Transport Agency propose to construct a roundabout in the intersection. A concept plan of the roundabout is shown below in figure 5.

Figure 5 – Concept Plan: SH6 – SH8B Junction Cromwell Intersection Upgrade

As the radius of the proposed roundabout is larger than the existing legal road width, Waka Kotahi New Zealand Transport Agency will acquire two small parcels of land from the neighbouring landowners.

The first parcel of land will be taken from Part Section 56 Block III Cromwell Survey District. This parcel of land is privately owned. The second parcel of land will be taken from Lot 202 Deposited Plan (DP) 359519.

Lot 202 DP 359519 is a council freehold reserve. It vested in council on deposit as a Local Purpose (Amenity) Reserve. Waka Kotahi New Zealand Transport Agency plan to acquire a long narrow strip of the reserve being the area between the red line and the existing road boundary as shown in Figure 5 above. The being taken has an area of approximately 670 square metres.

Both parcels of land will be acquired by Waka Kotahi New Zealand Transport Agency, as agents of the Crown, in accordance with the Public Works Act 1991. Formal notice of the Crown’s intention to acquire the land has been received and is attached as Appendix 1.

A plan of the roundabout and the land to be taken is attached as Appendix 2.

Public Works Act 1991

The Public Works Act 1991 (the Act) outlines the process whereby the Crown may acquire land for public works. The Act also outlines:

- how the land will be valued and compensation assessed;

- what costs will be paid to the landowner;

- the rights of the landowner; and,

- the legal process for having the land declared legal road.

Compensation and Costs

The land to be taken will be valued on a ‘before and after’ basis in accordance with the provisions of the Public Works Act 1981. This means the reserve will be valued in its current state and again at the reduced area. Compensation is assessed and paid as the difference between the two values.

An independent valuer will undertake the valuer on behalf of both parties. As the land to be taken is reserve, compensation will be paid into the Cromwell Reserves Contribution Account.

Once the land is valued, it will be resurveyed with new titles then issued. The land taken for road will then be gazetted as legal road and will become State Highway.

All costs associated with the acquisition including the valuation, payment of compensation, survey, gazettal, and legal fees are payable by Waka Kotahi New Zealand Transport Agency.

Effect on the Reserve and Mitigation

Taking approximately 670 square metres of the land for road will have very little impact on the reserve. The reserve has an existing area of 1.6670 hectares meaning just four percent of the land will become legal road. Effectively, the northern boundaries of the reserve will move inward slightly.

Preliminary landscaping plans associated with the project provide for the planting of easy care low growing plants inside the roundabout. It is proposed that these will be watered via a connection to the reserve’s existing irrigation system. The existing irrigation system will be modified to accommodate the new roading layout.

While Waka Kotahi New Zealand Transport Agency will fund the landscaping and modifications to the irrigation system, it is expected that ongoing maintenance of the plantings inside the roundabout will become a function of council’s Parks and Reserves contractors on completion of the project.

Discussions relating to the final landscaping plan and the transfer of responsibility are ongoing at this time.

Timeline for Works

Waka Kotahi New Zealand Transport Agency plan to commence construction of the roundabout in Spring 2021. The works are expected to take approximately four to six months and to be completed in early 2022. The project has an estimated value of $8 million.

3. Attachments

Appendix 1 - Formal Notice.pdf ⇩

Appendix 2 - Plan.pdf ⇩

Report author:	Reviewed and authorised by:

Linda Stronach	Julie Muir
Property Officer - Statutory	Executive Manager – Infrastructure Services
23/02/2021	1/03/2021

8 March 2021

21.2.6 Cromwell Pool Heating Upgrade

Doc ID: 522244

1. Purpose of Report

To consider allocating additional funding for replacing the existing Cromwell Pool LPG heating system with a water sourced heat pump unit.

Recommendations

That the Cromwell Community Board

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

B. Approves additional funding of up to $162,000 for the Cromwell Pool water sourced heating project from the Cromwell Reserves Contribution cost centre.

2. Background

The current LPG heating plant at Cromwell Pool is nearing the end of its life. It is also a significant contributor to council’s carbon emissions. Two options for replacing the LPG boiler were referred to the Cromwell Community Board (“the Board”) at its June meeting.

The replacement options were a wood chip fired boiler or a water sourced heat pump system that uses the water from council’s water main to provide the heat to the pool.

At that meeting the following was resolved:

That the Community Board:

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

B. Agrees in principle, subject to further work, that confirms the suitability of the Cromwell water supply network, to replace the current Cromwell Swim Centre LPG heat pump with a water sourced heat pump system using the Cromwell water supply network as the heat energy source for heating the pool water.

C. Authorises the deferral of funds allocated for the pool water filter system:

• and that the filter replacement project is reviewed through the 2021/31 Long Term Plan

• and that the funding set aside for the filter project in the 2019/20 and 2020/21 financial years be transferred to the heat pump renewal project.

D. Authorises allocating up to $300,000 from the Cromwell Reserves Contribution account for the heat pump renewal project.

3. Discussion

Since the Board meeting in June 2020, work has progressed to investigate whether the town water supply can provide enough water at the correct pressure and flow rate to heat the pool. Consultants were engaged with experience in this area and have confirmed there is adequate capacity and flow. This information was then peer reviewed to ensure the project was viable.

A quantity surveyor (“QS”) has also been engaged to check the price estimates provided to the Board in the June report. It was considered prudent to check the costs of items to ensure adequate budget had been allocated for the project.

The original estimate was $ 948,150.

The QS estimate is $1,110,000.

Shortfall - $161,850.

Options for funding this shortfall are discussed in the financial implications row of the compliance table.

Should funding be allocated, the next steps would be to engage a contractor with experience in this specialised work via selected tender. A work programme would then be developed for the heating upgrade. While all the pipe work and connections are undertaken, the pool will likely be closed for up to 6 weeks, although the exact timeframe is not yet known. It is envisaged that work would be undertaken during the winter months.

This will impact on the local swimming community, so work planning will be undertaken with the successful contractor to ensure pool closure time is minimised. Also, the Alexandra pool will be promoted as an alternative.

4. Options

Option 1 – (Recommended)

Progress the water source heat pump project with an additional $162,000 funded from the Cromwell Reserves Contribution cost centre.

Advantages:

· The planned project can continue, and council’s carbon emissions and energy costs will be reduced.

Disadvantages:

· Cromwell Reserves Contribution cost centre will be depleted of $162,000.

Option 2

Do not continue the water source heat pump option and do not fund the $162,000 from the Cromwell Reserves Contribution account.

Advantages:

· Cromwell Reserves Contribution account will be not be depleted by $162,000.

Disadvantages:

· An investigation will be required for an alternative to replace the existing aging LPG boiler.

5. Compliance

Local Government Act 2002 Purpose Provisions	This decision promotes the social, economic, and environmental wellbeing of the community, in the present and for the future, by reducing energy usage and emissions (and related costs) for operating the pool.
Financial implications – Is this decision consistent with proposed activities and budgets in long term plan/annual plan?	The Board has allocated $930,000 in the 20/21 annual plan for this work. This is made up of $350,000 new funding, $190,000 carry forward for the boiler, and $90,000 carry forward for the filter from the 2019/20 year, plus $300,000 from the Cromwell Reserves Contribution account. An assessment by a QS on the estimated costs of the project has indicated there is a shortfall of $162,000. The water sourced heat pump option is still the most viable option with a payback period of around 7 years. The wood chip option was originally estimated to cost $1,220,000 with a payback of 18 years. There are two options to consider for funding this shortfall: · Use funds from the Cromwell General Reserve cost centre, balance as at 30 June 2020 - $4,982,222. This cost centre can be used for this activity at the Board’s discretion. · Cromwell Reserves Contributions cost centre, balance, as at 30 June 2020 - $1,555,686. This can be spent on recreational activities.
Decision consistent with other Council plans and policies? Such as the District Plan, Economic Development Strategy etc.	Central Otago District Council’s Sustainability Strategy
Considerations as to sustainability, the environment and climate change impacts	The water sourced heat pump would significantly reduce council’s carbon emissions as well as reducing its energy usage.
Risks Analysis	There are three main risks, - Extended closure of the pool during construction. - Unforeseen technical issues are discovered during construction. - International shipping delays may impact when certain items can arrive for installation.
Significance, Consultation and Engagement (internal and external)	Budget allocation for this project has formed part of the Annual Plan 2020/21 and Long-Term Plan 2018 - 28 consultation process.

6. Next Steps

· Engagement process for preferred contractor commences.

· Timeline for project agreed.

· Ordering of key components from overseas.

· Confirmation of proposed mechanical systems which have been allowed for currently.

· Confirmation of budget of overall project

7. Attachments

Nil

Report author:	Reviewed and authorised by:

Gordon Bailey	Louise van der Voort
Parks and Recreation Manager	Executive Manager - Planning and Environment
29/01/2021	25/02/2021

8 March 2021

21.2.7 Pool Operating Costs

Doc ID: 523521

1. Purpose

To provide an update on the cost of operating the Cromwell Pool and Alexandra Pool.

Recommendations

That the report be received.

2. Discussion

At the June 2020 meeting of the Board a report was tabled covering the operating costs of both the Alexandra and Cromwell pools. Staff undertook to provide updates on admissions and programming initiatives developed to attract more customers to the pool facilities. This update report is being made by way of a separate report, but future reports will be included in the Governance report.

The following table was provided at that time to show the rates impact of each pool.

Please note that the percentages are compared to ward targeted rates and not the total amount of rates that Cromwell or Vincent ratepayers pay.

Vincent Community Board
Annual Plan	Vincent Targeted Ward Rates	Molyneux Pool Rates	% of Total Rates	% Change
2016/17	2,521,921	897,880	35.6%
2017/18	2,482,644	775,070	31.2%	(13.68%)
2018/19	2,571,861	865,326	33.6%	11.64%
2019/20	2,910,872	943,736	32.4%	9.06%
2020/21	3,243,806	1,121,407	34.6%	18.83%
Cromwell Community Board
Annual Plan	Cromwell Targeted Ward Rates	Cromwell Pool Rates	% of Total Rates	% Change
2016/17	2,383,962	832,332	34.9%
2017/18	2,053,473	813,119	39.6%	(2.31%)
2018/19	2,222,758	892,735	40.2%	9.79%
2019/20	2,411,514	969,762	40.2%	8.63%
2020/21	2,774,603	1,099,150	39.6%	13.34%

Admissions

Between 2011 and 2020, admissions at the pools have ranged between 63,000 and 108,000 people per annum. The collection of this data has been variable, as swim club and private swim school members and schools have not been counted. With the introduction of a new computer system into the pools from 1 July 2020 we are now collecting accurate data monthly.

Appendix 1 – shows pools admissions and pool income in one graph. The August figures were impacted by the COVID-19 Level 2 lockdown. September was a busy month for Cromwell with school holiday programmes and school targeted programmes being offered.

To ensure this increase is sustainable there have been a set of key performance indicators (KPIs) developed for pool staff to achieve. At a high level the goal, over the next three years, is to increase participation by 10% per annum and increase revenue by 5% per annum. The income goal is not the same as the participation goal due to the multiple fee options charged for various categories of pool entry – not everyone pays the same amount e.g. children pay different to adults. The KPIs targets the lower fee-paying categories such as children and schools.

To achieve this the following initiatives have been developed. There will be subtle differences at each pool to reflect the local community requirements.

KPI	Target Group	Programme
Increase participation by 10% per annum	Primary age	Schools programmes After school (Link to Otago Outdoor Education Trust)
	Secondary age	PE programs - high school
	Adult	Event-based Swim squad Mothers (we provide crèche)
	Elderly	Aqua classes
	Learn to Swim	Continuous year-round lessons

KPI	Target Group	Programme
Increase revenue by 5% per annum	Swimming club	Generate realistic income for use of pool
	Pool party	School age children
	Corporate relays	Adult/Firms
	School based	School PE (physical education) and EOTC (Education Outside the Classroom)
	Central Swim School	Continuous lessons

The ability to offer programmes and increase patronage and income is often constrained by lane space at the pools. Generally during school hours there is available space, and we are targeting schools and other groups that can utilise that time period.

Both pools have private lesson suppliers that take up one lane every weekday. Both pools have pressure from the local swimming club to use multiple lanes. Work is commencing to reach agreement with these clubs on a maximum number of lanes they can use, so that the public can also be provided with adequate lane space during club meeting times. Ideally there should be two lanes available to the public.

Learn to swim lessons provide a good service to ensure children can learn to swim. The private lessons compete with council’s learn-to-swim school and is something future thought should be given to.

Expenditure to date is outlined in the table below:

Cromwell Pool Expenditure to end of February 2021	$885,181.00
Cromwell Pool Annual Budget 20/21	$1,499,967.00
Alexandra Pool Expenditure to end of February 2021	$801,674.00
Alexandra Pool Annual Budget 20/21	$1,579,270.00

It is intended that these statistics will be presented to each Board on a quarterly basis.

3. Attachments

Appendix 1 - Pool income/admission statistics Jan 2021. ⇩

Report author:	Reviewed and authorised by:

Gordon Bailey	Louise van der Voort
Parks and Recreation Manager	Executive Manager - Planning and Environment
23/02/2021	23/02/2021


AGENDA Cromwell Community Board Meeting Monday, 8 March 2021
Date:	Monday, 8 March 2021
Time:	2.00 pm
Location:	Cromwell Service Centre, 42 The Mall, Cromwell
(Unless Central Government changes COVID-19 meeting restrictions before then, in which case it will be held electronically using Microsoft Teams and livestreamed) Sanchia Jacobs Chief Executive Officer

Report author:	Reviewed and authorised by:

Wayne McEnteer	Sanchia Jacobs
Governance Support Officer	Chief Executive Officer
17/02/2021