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AGENDA
Ordinary Council Meeting Wednesday, 8 March 2023
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Date: |
Wednesday, 8 March 2023 |
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Time: |
10.30 am |
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Location: |
Ngā Hau e Whā, William Fraser Building, 1 Dunorling Street, Alexandra
(A link to the live stream will be available on the Central Otago District Council's website.)
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Sanchia Jacobs Chief Executive Officer |
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8 March 2023 |
Notice is hereby given that a Council Meeting will be held in Ngā Hau e Whā, William Fraser Building, 1 Dunorling Street, Alexandra and live streamed via Microsoft Teams on Wednesday, 8 March 2023 at 10.30 am. The link to the live stream will be available on the Central Otago District Council’s website.
Order Of Business
Ordinary Council Meeting - 25 January 2023
23.2.1 Declarations of Interest Register
23.2.2 Presentation from Local Government New Zealand
23.2.3 Otago Museum's Draft Annual Plan 2023-2024
23.2.4 Update on the District Funding Model for Museum Investment
23.2.5 Request for an Easement over Section 111 Block III Cromwell Survey District (PRO: 3009-E1)
23.2.6 Request for an Easement over Section 1 SO 396407 (PRO: 3030-E1)
23.2.7 Offer to purchase private wastewater infrastructure.
23.2.8 Wilding Conifer Control Policy
23.2.9 Draft 2023-24 Annual Plan Budget
23.2.10 Financial Report for the Period Ending 31 December 2022
23.2.11 Adoption of the Local Governance Statement
23.2.13 March 2023 Governance Report
23.2.14 Minutes of the Vincent Community Board Meeting held on 31 January 2023
23.2.15 Minutes of the Teviot Valley Community Board Meeting held on 2 February 2023
23.2.16 Minutes of the Cromwell Community Board Meeting held on 9 February 2023
10 Resolution to Exclude the Public
23.2.17 Strategic Risk Register Report
23.2.18 Offer to purchase 5 Holloway Street
23.2.19 March 2023 Confidential Governance Report
23.2.20 Confidential Minutes of the Vincent Community Board Meeting held on 31 January 2023
23.2.21 Confidential Minutes of the Teviot Valley Community Board Meeting held on 2 February 2023
23.2.22 Confidential Minutes of the Cromwell Community Board Meeting held on 9 February 2023
Members His Worship the Mayor T Cadogan (Chairperson), Cr N Gillespie, Cr T Alley, Cr S Browne, Cr L Claridge, Cr I Cooney, Cr S Duncan, Cr S Feinerman, Cr C Laws, Cr N McKinlay, Cr M McPherson, Cr T Paterson
In Attendence S Jacobs (Chief Executive Officer), L Fleck (General Manager - People and Culture), S Righarts (Group Manager - Business Support), D Rushbrook (Group Manager - Community Vision), D Scoones (Group Manager - Community Experience), L van der Voort (Group Manager - Planning and Infrastructure), M De Cort (Communications Coordinator), W McEnteer (Governance Manager)
1 Apologies
2 Public Forum
Ordinary Council Meeting - 25 January 2023
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Council Meeting Agenda |
8 March 2023 |
MINUTES
OF A Council Meeting
OF THE Central Otago District
Council
HELD AT Ngā Hau e
Whā, William Fraser Building, 1 Dunorling Street, Alexandra
AND LIVE STREAMED VIA MICROSOFT TEAMS ON Wednesday, 25 January 2023 COMMENCING AT
10.31 am
PRESENT: His Worship the Mayor T Cadogan (Chairperson), Cr N Gillespie, Cr T Alley, Cr S Browne, Cr L Claridge, Cr I Cooney, Cr S Duncan, Cr S Feinerman, Cr C Laws, Cr N McKinlay, Cr M McPherson, Cr T Paterson
IN ATTENDANCE: S Jacobs (Chief Executive Officer), S Righarts (Group Manager - Business Support), D Rushbrook (Group Manager - Community Vision), D Scoones (Group Manager - Community Experience), L van der Voort (Group Manager - Planning and Infrastructure), J Muir (Three Waters Director), Q Penniall (Infrastructure Manager), R Williams (Community Development Advisor), G Bailey (Parks and Recreation Manager), C Green (Water Services Accountant), A Crosbie (Senior Policy Advisor), M De Cort (Communications Coordinator) and W McEnteer (Governance Manager)
Note: Cr Alley started the meeting with a karakia.
1 Apologies
There were no apologies.
2 Public Forum
There was no public forum.
3 Confirmation of Minutes
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Resolution Moved: Cadogan Seconded: Paterson That the public minutes of the Ordinary Council Meeting held on 21 December 2022 be confirmed as a true and correct record. Carried |
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
Note: Cr Alley assumed the Chair as the Community Vision and Experience portfolio lead.
Note: Jan Bean and Rebekah de Jong from Central Otago District Arts Trust and Maggie Hope and David Ritchie from Central Otago Heritage Trust joined the meeting for item 23.1.2.
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23.1.2 Council Community Grant Accountability Reports 2021/22 |
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To provide a report on the activity of the Central Otago District Arts Trust and the Central Otago Heritage Trust over the 2021/22 financial year. |
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Resolution Moved: Gillespie Seconded: Feinerman That the report be received. Carried |
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23.1.3 Draft Memorials Policy 2023 |
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To approve the draft Central Otago District Council Memorials Policy. After discussion two changes to the draft were noted. On page 42 of the agenda, referring to two memorials in the same ward, the words “or where appropriate it will be referred to the relevant decision making body” and on page 43 of the agenda, changing the word tree to “living memorial”. |
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Moved: Paterson Seconded: Browne That the Council A. Receives the report and accepts the level of significance. B. Adopts the draft Central Otago District Council Memorials Policy 2023, with noted amendments. Carried |
Note: Cr McKinlay assumed the Chair as the Three Waters and Waste portfolio lead.
Note: Cr Duncan arrived at 11.11 am.
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23.1.4 Three Waters Forward Works Program to 30 June 2024 |
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To consider the Three Waters forward works program to 30 June 2024 and procurement of the remaining capital works program. |
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Resolution Moved: McPherson Seconded: Cooney That the Council A. Receives the report and accepts the level of significance. B. Approves the following Three Waters capital works program to 30 June 2024:
C. Notes that council staff will reprogram capital work into 1 July 2024 and beyond that is not expected to be completed prior to 30 June 2024. D. Authorises bringing forward $500,000 of the wastewater sludge operational budget to remove the sludge at the Roxburgh Wastewater Treatment Plant ponds. E. Approves the procurement of the following projects by tender: (a) Wastewater Generators (b) Water Pipe Renewals (c) Cromwell Water Rising Main (d) Lake Roxburgh Village Wastewater Treatment Plant Upgrade (e) Wastewater Pipe Renewals (f) Bridge Hill Water Main (g) Cromwell Water Treatment Plant (h) Supply and Installation of Continuous Monitoring Devices (i) Roxburgh Wastewater Treatment Plant Sludge Removal F. Authorises the Project Governance Group to continue to provide oversight of the capital works program until 30 June 2024. G. Authorises the Chief Executive to do all that is necessary to give effect to the resolution. Carried |
Note: Cr Duncan assumed the Chair as the Roading portfolio lead.
Note: Cr Cooney left the meeting at 11:30 am and returned at 11.32 am.
Note: Cr McKinlay left the meeting at 11.35 am.
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23.1.5 Roading Bylaw Update |
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To consider proposed amendments to the Roading Bylaw and approve public consultation of the bylaw. |
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Resolution Moved: Paterson Seconded: Feinerman That the Council A. Receives the report and accepts the level of significance. B. Notes the proposed addition of restrictions relating to parking of vehicles on footpaths and cycle paths. C. Notes the proposed amendments to the Roading Bylaw parking infringement fees. D. Approves the proposed updates to the Roading Bylaw and Statement of Proposal for public consultation. Carried |
Note: Cr McKinlay returned to the meeting at 11.38 am.
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23.1.6 Bridge 93 - Emergency Works Funding |
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To consider funding options for emergency works on Bridge 93 (St Bathans Loop Road). |
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Resolution Moved: Paterson Seconded: Alley That the Council A. Receives the report and accepts the level of significance. B. Approves $103,986 of funding from the Emergency Event Reserve (1750264028) for repair of Bridge 93 following the rainfall event. Carried |
Note: His Worship the Mayor resumed the Chair.
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23.1.7 Policies Policy |
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To consider adopting the Policies Policy. |
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Resolution Moved: McKinlay Seconded: Alley That the Council A. Receives the report and accepts the level of significance. B. Adopts the Policies Policy for a three-year period. Carried |
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Attachments 1 Draft Policies Policy |
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23.1.8 Fraud, Bribery and Corruption Policy |
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To consider readopting the updated Fraud, Bribery and Corruption Policy. After discussion it was noted on page 179 of the agenda that there should be provision in the chain of reporting to address an instance where the Chief Executive Officer was the subject of the complaint. |
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Resolution Moved: Cadogan Seconded: Alley That the Council A. Receives the report and accepts the level of significance. B. Adopts, subject to amendment, the updated Fraud, Bribery and Corruption Policy for an additional two years, with a review to take place in January 2024. Carried |
Note: Cr McPherson left the meeting at 11.53 am and returned at 11.54 am.
Note: Cr Duncan left the meeting at 11.55 am and returned at 11.56 am.
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23.1.9 Closed Circuit Television Policy |
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To consider adopting the Closed-Circuit Television Policy. After discussion two changes to the draft were noted. On pages 188-9 the sentence that discussed serious misconduct should change to “treated very seriously” and page 190 of the agenda should delete “All recorded footage is used only for the purpose which it is collected”. |
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Resolution Moved: McPherson Seconded: Alley That the Council A. Receives the report and accepts the level of significance. B. Adopts, subject to amendments, the Closed-Circuit Television Policy. C. Authorises the Chief Executive to develop and manage a Memorandum of Understanding with the New Zealand Police relating to CCTV footage access and use. Carried |
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23.1.10 Elected Member Attendance at Two Day Training Session |
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To consider authorising an overspend in order for up to five elected members to attend a two-day good governance course. |
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Resolution Moved: Cadogan Seconded: McPherson That the Council A. Receives the report and accepts the level of significance. B. Agrees to allow up to five places for elected members to attend governance training. C. Approves those attending to be Crs Alley, Feinerman, Paterson and Mr Dalley. D. Approves an overspend up to $10,500 excluding GST to come from district reserves. Carried |
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23.1.18 Ratifying the Otago Local Authorities' Triennial Agreement 2023-25 |
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To consider ratification of the Otago Local Authorities’ Triennial Agreement (the Agreement) 2023–25. |
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Resolution Moved: Gillespie Seconded: McPherson That the Council A. Receives the report and accepts the level of significance. B. Approves attached Otago Local Authorities’ Triennial Agreement 2023–25. C. Authorises His Worship the Mayor to sign the Otago Local Authorities’ Triennial Agreement 2023–25 on behalf of Central Otago District Council. Carried |
6 Mayor’s Report
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23.1.11 Mayor's Report His Worship the Mayor gave an update on his recent activities before responding to questions. Noted the passing of Judy Hall. |
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Resolution Moved: Cadogan Seconded: Gillespie That the Council receives the report. Carried |
7 Status Reports
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23.1.12 January 2023 Governance Report |
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To report on items of general interest, receive minutes and updates from key organisations, consider Council’s forward work programme, business plan and status report updates. |
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Resolution Moved: Cadogan Seconded: Alley That the Council receives the report. Carried |
8 Community Board Minutes
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23.1.13 Minutes of the Maniototo Community Board Meeting held on 1 December 2022 |
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Resolution Moved: Duncan Seconded: McPherson That the unconfirmed Minutes of the Maniototo Community Board Meeting held on 1 December 2022 be noted. Carried |
9 Committee Minutes
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23.1.14 Minutes of the Audit and Risk Committee Meeting held on 15 December 2022 |
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Resolution Moved: Duncan Seconded: McPherson That the unconfirmed Minutes of the Audit and Risk Committee Meeting held on 15 December 2022 be noted. Carried |
10 Date of Next Meeting
The date of the next scheduled meeting is 8 March 2023.
11 Resolution to Exclude the Public
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Resolution Moved: Cadogan Seconded: Paterson 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:
Carried |
The public were excluded at 12.09 pm and the meeting closed at 12.50 pm.
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23.2.1 Declarations of Interest Register
Doc ID: 620024
1. Purpose
Members are reminded of the need to be vigilant to stand aside from decision making when a conflict arises between their role as a member and any private or other external interest they might have.
Appendix 1 - Council Declarations of Interest ⇩
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23.2.2 Presentation from Local Government New Zealand
Doc ID: 617590
1. Purpose
Susan Freeman-Greene will present on CouncilMARK and Local Government New Zealand.
Nil
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23.2.3 Otago Museum's Draft Annual Plan 2023-2024
Doc ID: 616059
1. Purpose of Report
To present the 2023/2024 Draft Annual Plan from the Otago Museum Trust Board for review and feedback, and to consider their request for a seven percent increase on the annual levy charged to Central Otago District Council.
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That the Council A. Receives the report and accepts the level of significance. B. Considers the request to fund a proposed levy increase of seven percent in 2023/24 for the Otago Museum (an additional $2,249, which will increase the payment from $32,132 to $34,381). C. Notes that the existing budget allows for two percent increase of $642. D. Decides how to fund the additional five percent increase in the levy of $1,607, if the seven percent increase is accepted. |
2. Background
The Central Otago District Council is levied annually, alongside all other local authorities in the Otago region, to contribute towards the running of the Otago Museum. The levy recognises and acknowledges the regional importance of the Otago Museum. In addition to the opportunity for Central Otago families and schools to visit the Otago Museum in Dunedin, this levy contributes towards 40 hours per annum of technical support which our local museums receive from Otago Museum staff. Central Otago District Council’s contribution for 2022/23 was $32,132[1].
The Otago Museum Trust Board is seeking feedback on the 2023-2024 Draft Annual Plan (appendix 1) from contributing local authorities. No relevant feedback is noted aside from the proposed a levy increase of seven percent for 2023/24.
The proposed levy for the next two years, at this stage, compared to the existing levy is as follows:
Central Otago
2022/23 $32,132
2023/24 $34,381
2023/24 $35,412
3. Discussion
The 2023-2024 Draft Annual Plan provides a financial overview of the Otago Museum, with a breakdown of financial pressures that the museum is currently facing. The plan notes the reduced trading activity from its business units coupled with rising costs and increasing inflationary pressures.
The draft plan discusses the Museum’s intent to address the underlying challenges of its current business model and how it is actively seeking new sources of funding. It also discusses the collaboration with Canterbury and Auckland Museums in making a case to Government for national funding.
The draft plan notes that the Museum is budgeting for a net loss of $1,129,519 in 2023 and is signalling an eight percent increase being sought for in the levy for the 2024-25 year, with three percent increases each following year, to keep pace with inflation.
The Otago Museum continues to support the museums in the Central Otago district and has been involved in Council’s work on investment in the sector. Their support and advice has been a valuable contribution as the sector beds in the new Central Otago Museums Trust and Council works through the various investment options.
Otago Museum provides quarterly updates to the Council on their work, which includes the activities held in the Central Otago district. Some of those activities are highlighted below:
Tū Tono Project
Otago Museum has been involved with the Ministry for Culture and Heritage funded ‘Tū Tono’ project, which aims to understand the needs of regional museums. The Tū Tono project continues to have a very positive impact in the district. Some of the activities undertaken include:
o The Conservation Manager has visited Cromwell Museum to discuss ongoing conservation support and met with the Chair and Administrator of the new Central Otago Museum Trust. The Conservation Manager and Curator Māori also met with the Trust’s Administrator to discuss a possible funding bid by the Central Otago Museum Trust to develop mana whenua stories in Central Otago.
o Several workshops and training sessions have been held covering topics as diverse as governance, fund raising, Kāi Tahu perspective on working with taoka (treasures), retail and oral history.
Exhibitions and creative services
o Installing the Otago Museum Photography Awards at Cromwell Museum
o Installing Mighty Small, Mighty Bright at Cromwell Museum
Science engagement
o Supported Naseby Vision Matariki
o Delivered a star science programme to students in Alexandra during Winterstellar
Conservation and professional services
o Otago Museum’s Conservation Manager remotely attends the Vallance Cottage Working group meetings to provide conservation and collection care advice.
MBIE/NZ Space Agency: Tūhura Tuarangi – Aotearoa in Space Science Showcase
The Tūhura Tuarangi – Aotearoa in Space showcase was officially opened by NASA Astronaut, Dr Shannon Walker, who shared her experiences in space with showcase visitors before heading on a public speaking tour of Southland and Otago. The presence of an astronaut to open the showcase caught the attention of many media outlets, resulting in lots of fantastic publicity for the showcase and the Museum. Media coverage included pieces on radio (RNZ, Hokonui, Newstalk ZB, The Hits, RadioOne), TV (Breakfast, One News, Seven Sharp, Ngāi Tahu News), and print (Otago Daily Times, Southland Times, Stuff). The visit to Poolburn School featured on One News. Since the roadshow launch, the showcase has reached a further 2,115 people through school visits and community sessions in Invercargill, Oamaru, Cromwell, and Wānaka, receiving excellent feedback.
4. Financial Considerations
$32,774 has been budgeted for the 2023/2024 Otago Museum levy, which includes a two percent increase from the 2022/2023 budgeted amount.
Schedule Two of the Otago Museum Trust Board Act 1996[2] provides a formula for apportioning annual contributions from contributing authorities (see appendix 2). The schedule states that if the authorities fail to reach agreement on a change to their collective contribution, the levy increase will be adjusted in accordance with that year’s Consumer Price Index (CPI). Over the past few years Council has adjusted its levy payment in line with current CPI rates. The CPI rate as at December 2022 was 7.2%[3].
The increase being proposed by Otago Museum is seven percent, which is $34,381, an additional $1,607 to what has been budgeted.
If Council was of a mind to fund the increase requested there are two options to fund it, either through rates funding or by potentially decreasing the grants budget.
When considering the potential of reducing the grant budget it is worth noting that the annual district wide grants budget is $151,000. In the past, just over $133,000 of this budget has been allocated to organisations such as Sport Otago, the Central Otago Heritage Trust and Central Otago District Arts Trust amongst others. If Council were to fund those organisations at the same level as they were funded in the 2022/23 year, there would be $17,888 left in the grants budget for other district wide community grants to be considered. In the 2022/23 financial year demand was such that Council fully committed its community grants budget in the first funding round.
5. Options
Option 1
That Council approves the requested seven percent levy increase which would increase the annual levy to Otago Museum from $32,132 to $34,381, with the additional expenditure to be funded through a rates increase in the Annual Plan.
Advantages:
· The Otago Museum continues to provide support and expertise to our heritage organisations in Central Otago.
· A number of Central Otago residents visit and make use of the Otago Museum when visiting Dunedin.
· Continuing to build the district’s relationship with the Otago Museum allows for future opportunities to gain local access to technical expertise and ongoing training.
· The Museum’s budgetary constraints are acknowledged and Central Otago District Council contributes its share to the required increase.
· Council is compliant with Otago Museum Trust Board Act 1996, Schedule 2[4] (appendix 2).
Disadvantages:
· An increase in expenditure is required, resulting in a rates increase.
Option 2
That Council approves the requested seven percent levy increase, which would increase the annual levy to Otago Museum from $32,132 to $34,381, and that the increase is funded through a decrease in the district wide grants budget.
Advantages:
· The Otago Museum continues to provide support and expertise to our heritage organisations in Central Otago.
· A number of Central Otago residents visit and make use of the Otago Museum when visiting Dunedin.
· Continuing to build the district’s relationship with the Otago Museum allows for future opportunities to gain local access to technical expertise and ongoing training.
· The Museum’s budgetary constraints are acknowledged and Central Otago District Council contributes its share to the required increase.
· Council is compliant with Otago Museum Trust Board Act 1996, Schedule 2.
Disadvantages:
· An increase in expenditure is required.
· The district wide grants budget was fully expended in round one of the contestable grants process in the 2022/23 financial year, and any decrease could negatively impact other community projects.
Option 3
That Council approves either no increase or a lesser increase for 2023/24.
Advantages:
· Less impact on budget.
Disadvantages:
· Not meeting the expectations of the Otago Museum
· Otago Museum may need to consider the services they can provide to the District.
6. Compliance
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Local Government Act 2002 Purpose Provisions |
This decision promotes the social and cultural wellbeing of communities, in the present and for the future by supporting the Otago Museum as a place of cultural importance in the Otago region.
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Financial implications – Is this decision consistent with proposed activities and budgets in long term plan/annual plan? |
Yes, the recommended option requires an additional $1607 of unbudgeted expenditure.
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Decision consistent with other Council plans and policies? Such as the District Plan, Economic Development Strategy etc. |
Yes – this decision is consistent with Council plans and polices, particularly the Central Otago District Museum Strategy.
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Considerations as to sustainability, the environment and climate change impacts |
There are no specific implications as a result of this decision, however the future sustainability of Otago Museum will need to be considered in future years.
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Risks Analysis |
There is a risk that the Otago Museum will continue to require ongoing levy increases.
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Significance, Consultation and Engagement (internal and external) |
This decision does not meet the threshold of the Significance and Engagement Policy. |
7. Next Steps
Any feedback on the draft annual plan needs to be submitted by 31 May 2023. Once agreed, this will be communicated to the Otago Museum.
Appendix 1 - Otago Museum's Draft Annual Plan 2023-2024 ⇩
Appendix 2 - Schedule 2 - Otago Museum Trust Board Act ⇩
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Report author: |
Reviewed and authorised by: |
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Rebecca Williams |
Dylan Rushbrook |
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Community Development Advisor |
Group Manager - Community Vision |
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9/02/2023 |
21/02/2023 |
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23.2.4 Update on the District Funding Model for Museum Investment
Doc ID: 613731
1. Purpose
To provide an update on the development of a District Funding Model for museum investment.
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That the report be received.
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2. Discussion
Background
Museums are primarily funded for their social and cultural wellbeing benefits to the wider community. Research undertaken by Council in the past 18 months shows museums are not a driver of visitation to Central Otago, but the history and heritage sector does add positively to the overall visitor experience.
Council and Community Boards have provided funding towards the delivery of museum functions in Central Otago. This support has been developed on a case-by-case basis related to the needs of each museum.
The support offered by Council and Community Boards includes direct financial contribution such as grants, the provision of property and maintenance of that property, and access to staff and resources.
The museum sector - locally, nationally and internationally – faces significant challenges with ongoing funding constraints and often a reliance on a declining volunteer workforce.
Review progress
Council began a review into the museum sector in late 2019 to understand and improve how the sector could best deliver museum functions across the district.
The review looked at several aspects of how museums functions are delivered, including funding. Some of these aspects have already been introduced, or milestones reached;
· The development of a community-owned Museum Strategy for the Central Otago network.
o The Strategy sets a preference for a ‘network approach’ to tell a united Central Otago story weaved through multiple participating museums, as opposed to a singular model where one museum is funded to carry out a ‘district function’.
· Community consultation on the Council approach to the museum network took place through the last long-term plan. The consultation asked the communities preference between several options for funding a District Museum Function: in-house museum function, status quo, no funding, or an expanded heritage/museum role.
o The in-house museum function had the highest level of support in consultation feedback.
o An alternate arrangement was proposed by the network through the consultation process. This alternate arrangement, a network-led trust, was later developed into the Central Otago Museum Trust and funded on a trial basis.
· The Central Otago Museum Trust are operational and have employed a coordinator.
o The sector and staff have found this model to be mutually beneficial. The Trust are delivering positive outcomes for the community and museum sector.
A series of workshops were held with councillors throughout 2022. A report summarising the workshops was presented to the 6 July 2022 meeting. Direction given through these workshops includes:
· A clear direction to work closely with museum network representatives and align with the Central Otago Museum Strategy.
· An initial focus on how Council will fund museum activity, rather than the level of funding.
· A need to provide longer term funding and certainty, with a caveat that a Council-led funding model will not exceed the three-year Long-term plan cycle.
· An understanding that the challenges facing the local museum sector are being felt both nationally and internationally. Council will seek to represent the community in national conversations on sector funding.
· Council is unable to provide the level of funding museums require and a shortfall will remain.
Funding
The review aims to ensure the right funding arrangements are in place to meet Council’s objectives for investment, financial prudence obligations, and support the community-led sector.
The current structure for funding museums is complex. It has developed over time to suit needs as they arose. Museum activities are funded from different sources, both drawn from ward and district funds, and cover a mix of operational and property costs. Ratepayers in each ward area pay different levels of funding toward museums based on these factors.
Funding districtisation, in this context, involves sharing identified museum expenses across all Central Otago ratepayers.
A districtised funding option was discussed with Council in a workshop on 17 April 2022. At that workshop Councillors unanimously indicated a preference toward a districtised funding model to enable more effective and efficient outcomes.
In response to Councillor concerns about the affordability and equity for all ratepayers, Council approved financial modelling be carried out on district funding models. [Res. 22.5.11 6/7/2022]
Rationale was commissioned to undertake the financial modelling in August 2022.
Update
A report was received with financial modelling and recommendations from Rationale in late November 2022.
The report provided analysis of the rating impact of three options:
Option 1 - Status quo
Option 2 - The districtisation of all museum expenses (property & grants)
Option 3 - The districtisation of grants funding only, property decisions to remain within existing ward delegation
The report also identified different rating methodologies that might be applied.
The report is attached and provides an overview of the impact on each ward, with further ‘rating examples’ attached to illustrate how different types of rateable units within each ward may be impacted.
The report has some numerical errors, however staff are comfortable it provides enough accuracy for indicative modelling at this stage.
Further analysis is required to correctly understand the financial impacts of different models which staff will present in April.
Analysis
Following receipt of the report, staff have begun analysing the requirements to enact the options provided. There are advantages and disadvantages of all three options.
Option One
Option one is most aligned with the status quo. This option has not historically fostered a cohesive sector and is not financially sustainable under its current format. The formation of the Central Otago Museum Trust – and their strategic planning – can mitigate these concerns and risks with longer term funding certainty.
This option is being developed further for consideration.
Option Two
Option two involves the full districtisation of both property and grants. It provides significant challenges in the redistribution of property that is partially leased to museums. There are also significant engagement and consultative requirements to implement. The challenges relating to these circumstances are likely to outweigh the potential benefits.
Option Three
Option three involves districtising grants funding, whilst property remains within existing ward delegation. A building under ward delegation can house a district function, with operational aspects falling under Council control.
The Central Otago Museum Trust would be expected to provide sector expertise to Council, helping guide the enhancement of a cohesive network.
This would enable the benefits of Option Two, without the related challenges. The option is being developed further for consideration.
Additional factors
The options for districtisation are being analysed against other relevant factors, including practical considerations around how funding would be distributed under either model.
Some form of ongoing staff resource is likely required to manage relationships, grant applications, and provide accountability.
Next steps
Staff will bring a report to Council in April for decision with detail and practical considerations.
Appendix 1 - Rationale Report ⇩
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Report author: |
Reviewed and authorised by: |
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Alix Crosbie |
Dylan Rushbrook |
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Senior Strategy Advisor |
Group Manager - Community Vision |
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13/02/2023 |
23/02/2023
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23.2.5 Request for an Easement over Section 111 Block III Cromwell Survey District (PRO: 3009-E1)
Doc ID: 616006
1. Purpose of Report
To consider granting an easement in gross, in favour of Aurora Energy Limited, over Section 111 Block III Cromwell Survey District, to facilitate the construction of a new water treatment plant at the Cromwell Water Reservoir.
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That the Council A. Receives the report and accepts the level of significance. B. Agrees to grant an easement (in gross) to Aurora Energy Limited, for the purpose of conveying electricity over Section 111 Block III Cromwell Survey District, for $1, subject to: - Aurora Energy Limited (or their agents) obtaining all consents, permits, and other rights associated with installing the transformer and cable as shown in figure 2. - The final easement plan being approved by the Chief Executive Officer. C. Authorises the Chief Executive to do all that is necessary to give effect to the resolution.
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2. Background
The Cromwell Water Reservoir is located on Section 111 Block III Cromwell Survey District (Section 111).
Section 111 was acquired by the Cromwell Borough Council in 1983 pursuant to the provisions of the Public Works Act 1981. The associated gazette notice records the land as being acquired for water supply purposes.
Section 111 is held by the Central Otago District Council (Council) in fee simple record of title OT19C/141.
A plan of the Water Reservoir on Section 111, which is situated on McNab Road, is shown below in figure 1.
Figure 1 – Overview of the Cromwell Water Reservoir Site.
A new treatment plant is to be constructed on Section 111 adjacent to the Water Reservoir. The new treatment plant will replace the existing treatment plant which is located on the Alpha Street Reserve beside the Mata-Au Clutha River.
The Water Reservoir is currently powered by an onsite solar system. While the solar system works well when the sun is shining, the system is not particularly reliable during winter or capable of powering a new treatment plant.
To facilitate the construction of the new treatment plant, it is now proposed that the Water Reservoir be connected to the electricity network in McNab Road. Connecting the site to the electricity network will make the existing Water Reservoir more resilient. It will also simplify the ongoing management of the site and will provide for future maintenance and or upgrades.
3. Discussion
Electrical Network and Points of Supply
Aurora Energy Limited (Aurora) own the electricity network in McNab Road.
A point of supply, in terms of Electricity Act 1992, means the point or points on the boundary at which exclusive fittings enter the subject property. Exclusive fittings are fittings associated with the subject property’s power supply and usage. In this instance, the point of supply would normally be the boundary of Section 111, however.
Aurora have advised that to bring power to the site, a new ground mounted transformer will need to be installed on Section 111 to the northwest of the Water Reservoir. The new transformer will then be connected to the electricity network in McNab Road via an 11kV cable.
This means that the point of supply will be after the transformer as Aurora will own it and the 11kV cable. It also means that Aurora will require an easement over Section 111. The purpose of the easement is to protect the transformer and the11kV cable, and to provide for their ongoing maintenance.
A plan of the proposed works is shown below in figure 2.
Figure 2 – Plan of the Proposed Works.
Council Policy
Section 111 is identified on District Plan Map 44 of Council’s Operative District Plan. It is designated as being for “Water Reservoir Purposes”. The underlying zoning is Rural Resource Area.
The proposed works are permitted under rule 13.7.7 of the Operational District Plan as shown 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.
Power Solutions Limited (Power Solutions), as contractors to Aurora, will be responsible for obtaining, and complying with, all consents and permits associated with the installation of the proposed cable.
4. Financial Considerations
Historically, easements of this nature are exchanged for a nominal rate of $1, with all costs associated with preparing and registering the easement being payable by the grantee.
As the easement is required for Council purposes, it is proposed that a fee of $1 is levied in this in this instance also.
All costs associated with the project will be paid from the Water Supply Capital Upgrades Budget.
The works are part of a planned upgrade which was consulted upon and approved as outlined in the 2018 – 2028 Long-term Plan.
5. Options
Option 1 – (Recommended)
To agree to grant an easement (in gross) to Aurora Energy Limited, for the purpose of conveying electricity over Section 111 Block III Cromwell Survey District, for $1, subject to:
- Aurora Energy Limited (or their agents) obtaining all consents, permits, and other rights associated with installing the transformer and cable as shown in figure 2.
- The final easement plan being approved by the Chief Executive Officer.
Advantages:
· Will improve current and future operational capabilities of the Cromwell Water Reservoir.
· Will facilitate the (future) construction of an onsite water treatment plant.
· The proposed works are consistent with the designation of the land and are permitted under Council’s Operational District Plan.
· Will resolve seasonal power issues.
Disadvantages:
· None.
Option 2
To not grant Aurora Energy Limited an easement over Section 111 Block III Cromwell Survey District.
Advantages:
· None.
·
Disadvantages:
· Will not improve current and future operational capabilities of the Cromwell Water Reservoir.
· Will not facilitate the (future) construction of an onsite water treatment plant.
· Will not resolve seasonal power issues.
6. Compliance
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Local Government Act 2002 Purpose Provisions |
This decision promotes the wellbeing of the community by facilitating an upgrade of the Cromwell Water Reservoir, which will improve existing monitoring capabilities and enable the (future) construction of a new water treatment plant.
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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 Operative District Plan, with the recommended option also being consistent with the Electricity Act 1992.
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Considerations as to sustainability, the environment and climate change impacts |
There is no sustainability, environmental, or climate change impacts related to the recommendation.
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Risks Analysis |
There are no risks to Council associated with the recommended option, however.
Should the easement not be granted, the seasonal power issues would not be resolved.
It would also mean that the new water treatment plant would not be able to be constructed as outlined in the 2018 – 2028 Long-term Plan.
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Significance, Consultation and Engagement (internal and external) |
The Significance and Engagement Policy has been considered, with none of the criteria being met or exceeded.
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7. Next Steps
The following steps will be undertaken in association with having the easement registered:
1. Council Approval 08 March 2023
2. Applicant advised works approved March 2023
Nil
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Report author: |
Reviewed and authorised by: |
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Linda Stronach |
Louise van der Voort |
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Team Leader – Statutory Property |
Group Manager - Planning and Infrastructure |
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30/01/2023 |
21/02/2023
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23.2.6 Request for an Easement over Section 1 SO 396407 (PRO: 3030-E1)
Doc ID: 614885
1. Purpose of Report
To consider granting an easement in gross, in favour of Aurora Energy Limited, over Lot 1 Deposited Plan 25036, to facilitate an upgrade of the Bannockburn Water Reservoir.
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That the Council A. Receives the report and accepts the level of significance. B. Agrees to grant an easement (in gross) over the area hatched pink in figure 3, to Aurora Energy Limited, for the purpose of conveying electricity over Section 1 SO 396407, for $1, subject to: - Aurora Energy Limited (or their agents) obtaining all consents, permits, and other rights associated with installing the cable in the area hatched pink in figure 3. - The final easement plan being approved by the Chief Executive Officer. C. Authorises the Chief Executive to do all that is necessary to give effect to the resolution.
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2. Background
The Bannockburn Water Reservoir is located on Lot 1 Deposited Plan (DP) 25036 (Lot 1). Lot 1 is held by Council in fee simple record of title OT17A/316.
Access to Lot 1 is gained via Section 1 Survey Office Plan (SO) 396407 (Section 1).
Section 1 was acquired by Council pursuant to the provisions of the Public Works Act 1981. It is held by Council in fee simple record of title 414056.
The associated gazette notice shows that Section 1 was taken for access purposes with the land vesting in Council subject to a right of way created by easement instrument 625318.5, in 2008.
The Water Reservoir on Lot 1 is currently powered by an onsite solar system. While the solar system works well when the sun is shining, the system is not particularly reliable in winter.
It is now proposed that the Water Reservoir be connected to the electricity network in Hall Road. Connecting the Water Reservoir to the electricity network will make the existing Water Reservoir more resilient. It will also simplify the ongoing management of the site and will provide for future maintenance and or upgrades.
A plan of Section 1 and the Water Reservoir on Lot 1, which are located off Hall Road, is shown below in figure 1.
Figure 1 – Overview of the Bannockburn Water Reservoir Site.
3. Discussion
Electrical Network and Points of Supply
Aurora Energy Limited (Aurora) own the electricity network in Hall Road.
As Lot 1 and Section 1 are held in separate records of title, Aurora will require an easement over Section 1 to enable them to install and supply power to the Water Reservoir. This is because the new power cables will need to run through Section 1 to Lot 1, which is the point of supply.
The point of supply, in terms of Electricity Act 1992, means the point or points on the boundary at which exclusive fittings enter the subject property. The subject property in this instance is Lot 1. Exclusive fittings are fittings associated with the subject property’s power supply and usage.
Council Policy
Lot 1 and Section 1 are identified on District Plan Map 7 of Council’s Operative District Plan. Both parcels of land designated as being for “Water Reservoir and Access Purposes”. The underlying zoning is Rural Resource Area.
The proposed works are permitted under rule 13.7.7 of the Operational District Plan as shown 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.
Power Solutions Limited (Power Solutions), as contractors to Aurora, will be responsible for obtaining, and complying with, all consents and permits associated with the installation of the proposed cable.
Legal
As noted previously, Section 1 vested in Council subject to a right of way created by easement instrument 625318.5. The easement was registered over the land now described as Section 1 prior to the 2008 taking.
The right of way is in favour of Lot 1 DP 336259. Lot 1 DP 336259 is a privately owned property. It is located behind the properties that front Hall Road, to the east of the Water Reservoir, as shown above in figure 1.
A plan of the right of way, which is identified as the areas marked ‘A’ and ‘B’, is shown in the extract of DP 310369, below in figure 2. The area marked ‘A’ is part of Section 1.
Figure 2 – (Edited) Extract of DP 310369
Power Solutions have provided Council with a plan of the proposed works. The plan shows the proposed 3 metre wide easement running down the western boundary of Section 1, well clear of the area marked ‘A’, meaning it will have no effect on the right of way.
Figure 3 – Extract of Draft Plan of the Proposed Works
4. Financial Considerations
Historically, easements of this nature are exchanged for a nominal rate of $1, with all costs associated with preparing and registering the easement being payable by the grantee.
As the easement is required for Council purposes, it is proposed that a fee of $1 is levied in this in this instance also.
All costs associated with the project will be paid from the Water Supply Capital Upgrades Budget.
The works are part of a planned upgrade which was consulted upon and approved as outlined in the 2018 – 2028 Long-term Plan.
5. Options
Option 1 – (Recommended)
To agree to grant an easement (in gross) over the area hatched pink in figure 3, to Aurora Energy Limited, for the purpose of conveying electricity over Section 1 SO 396407, for $1, subject to:
- Aurora Energy Limited (or their agents) obtaining all consents, permits, and other rights associated with installing the cable in the area hatched pink in figure 3.
- The final easement plan being approved by the Chief Executive Officer.
· Advantages:
· Will facilitate a planned upgrade of the Bannockburn Water Reservoir which will improve current and future operational capabilities.
· The proposed works are consistent with the designation of the land and are permitted under Council’s Operational District Plan.
· Will resolve seasonal power issues.
Disadvantages:
· None.
Option 2
To not grant Aurora Energy Limited an easement over Section 1 SO 396407.
Advantages:
· None.
·
Disadvantages:
· Will not facilitate a planned upgrade of the Bannockburn Water Reservoir or improve current and future operational capabilities.
· Will not resolve the existing seasonal power issues.
6. Compliance
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Local Government Act 2002 Purpose Provisions |
This decision promotes the wellbeing of the community by facilitating an upgrade of the Bannockburn Water Reservoir, which will improve existing monitoring capabilities.
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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 Operative District Plan, with the recommended option also being consistent with the Electricity Act 1992.
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Considerations as to sustainability, the environment and climate change impacts |
There is no sustainability, environmental, or climate change impacts related to the recommendation.
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Risks Analysis
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There are no risks to Council associated with the recommended option, however.
Should the easement not be granted, the power supply at the Bannockburn Water Reservoir would not be able to be upgraded as outlined in the 2018 – 2028 Long-term Plan.
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Significance, Consultation and Engagement (internal and external) |
The Significance and Engagement Policy has been considered, with none of the criteria being met or exceeded.
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7. Next Steps
The following steps will be undertaken in association with having the easement registered:
1. Council Approval 08 March 2023
2. Applicant advised works approved March 2023
Nil
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Report author: |
Reviewed and authorised by: |
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Linda Stronach |
Louise van der Voort |
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Team Leader – Statutory Property |
Group Manager - Planning and Infrastructure |
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20/01/2023 |
21/02/2023
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23.2.7 Offer to purchase private wastewater infrastructure.
Doc ID: 619904
1. Purpose of Report
To consider an offer to purchase and or take over the private wastewater infrastructure that services the development known as the Clyde Claim, from Clyde Claim Services Limited.
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That the Council A. Receives the report and accepts the level of significance. B. Agrees to take over the ownership of the sewerage reticulation system (drain in common), as identified in pink and yellow in figure 3, (excluding the treatment plan on Lot 1), along with the associated easements which currently belong to Clyde Services Limited, subject to: - The sewerage reticulation system (drain in common) and all associated easements transferring to Council ownership at no cost. - Clyde Claim Services Limited agreeing to Council connecting additional properties to the system as and when required at its own discretion. - Clyde Claim Services Limited agreeing to connect to the lateral identified in figure 6. - Each party paying its own costs as the relate to that transfer. C. Authorises the Chief Executive to do all that is necessary to give effect to the resolution. |
2. Background
In October 2006, Clyde Claim Limited (Clyde Claim) applied for resource consent to subdivide Part Lot 2, and Lot 1, Deposited Plan (DP) 26835 into 16 new lots.
A plan of the two lots as they were at that time, is shown below in figure 1.
Figure 1 – Part Lot 2, and Lot 1, DP 26835 (Historic Parcel Data).
In December 2006, the application for resource consent was approved subject to a private wastewater treatment disposal facility and sewerage reticulation system (drain in common) being constructed to service the properties in the wider development.
The conditions of the resource consent as they relate to the provision and management of that wastewater infrastructure is shown in extract below.
Wastewater
15. The consent holder shall install a sewerage reticulation system [drain in common] within the subdivision in accordance with NZS 4404:2004 and the CODC Addendum.
16. The reticulation referred to in condition 15 shall carry wastewater to Lot 1 where primary and secondary treatment will take place with disposal to ground on Lot 1 and Lots 3-7 and 15. Lot 1 shall be landscaped to mitigate any visual effects of the proposed security fencing within that allotment.
17. A legal entity shall be established to manage the wastewater treatment disposal facility and details of the management structure for the legal entity and operation and maintenance manual shall be supplied to the Chief Executive prior to section 224(c) certification. The manual shall include a maintenance schedule and an as built plan of the system, dimensioned in relation to legal property boundaries.
18. The consent holder shall be responsible for providing connections from the sewer reticulation (which shall be private drains) to the boundaries of Lots 2 – 10, 12, 13 and 15.
A plan of the development, which has since been completed, is shown below in figure 2.
Figure 2 – Plan of the wastewater treatment disposal facility on Lot 1, and the properties the facility services.
A plan of the sewerage reticulation system referred to in condition 15 above is shown in pink below in figure 3.
Lot 1, which contains the treatment plant referred to condition 16 above, can be seen in the upper left hand corner of the same plan.
Figure 3 – Plan of the Clyde Claim’s sewerage reticulation system.
A plan of the infrastructure contained in Lot 1 is shown below in figure 4.
Figure 4 – Plan of the Infrastructure contained in Lot 1.
Council does not appear to have received the manual or maintenance schedule referred to above in condition 18 of the resource consent.
Clyde Wastewater Reticulation Project
The Clyde Wastewater Reticulation Project was approved in the 2018-28 Long Term Plan with construction of the three stage project commencing in 2021.
Stage 1 of the project, which covers the majority of the Clyde historic precinct, was completed in December 2022.
A plan of the development, which is included in Stage 1 of the project, is shown circled in red below in figure 5.
A full size copy of the plan is attached as Appendix 1.
Figure 5 – Extract of plan of Stage 1 of the Clyde Wastewater Reticulation Project.
With Stage 1 of the project since completed, the properties in the wider development can now be connected to the new wastewater network, and the wastewater treatment disposal facility on Lot 1, decommissioned.
Ownership of Lot 1 and the Associated Wastewater Reticulation System
On completion of the subdivision, the ownership of Lot 1 was transferred to Clyde Claim Services Limited as the legal entity identified in condition 17.
The ownership of the sewerage reticulation system referred to in condition 16, which is protected by easements in favour of the company, was also transferred to the same entity.
Registration of Interest
In August 2020, a letter was sent to Clyde Claim Services Limited to register Council’s interest in purchasing Lot 1.
The letter advised that Lot 1 had been identified as being near to the area marked for redevelopment and that it may be suitable for developing into car parking post construction of Stage 1 of the Clyde Wastewater Reticulation Project and the decommissioning of the private wastewater treatment disposal facility.
In March 2022, Clyde Claim Services Limited responded to Council’s registration of interest with a non-binding indicative offer to sell Lot 1 and the associated infrastructure contained in the wider development, to Council, for $800,000 plus GST, if any.
In May 2022, the company was advised that the Project Governance Group (which consists of senior staff and councillors who provide strategic oversight for Council’s large capital projects) had considered but agreed, to decline the offer.
While the company has since asked for that offer to be (re)considered by the Council, this report will only address the matters relating to the proposal that Council purchases and or takes over the sewerage reticulation system that services the wider development.
Matters relating to the offer of purchase of Lot 1 will be dealt with in a separate report.
3. Discussion
Clyde Claim Services Limited
Clyde Claim Services Limited is a body corporate company which was incorporated in August 2008. The company is managed by three directors on behalf of 16 shareholders.
The 16 shareholders are the owners of the properties in the wider development. The shareholdings, which range from 10,000 to 62,500 (2.56% to 16.03%), total 390,000.
Connecting the Clyde Claim Development to the Clyde Wastewater Network
As noted previously, the first stage of the Clyde wastewater network became operational in December 2022. The network now services approximately 170 properties being all of those identified in Stage 1, minus the development known as the Clyde Claim.
This is because Clyde Claim Services Limited are yet to consent to Council contractors connecting the development to the new wastewater network as the two parties:
- Cannot agree who will own the existing private sewerage reticulation system post connection, or
- What the value of that reticulation system is, if any, and to which party.
In terms of physically connecting the development to the wastewater network, a new lateral (connection point) has been installed to the boundary of Lot 1 as shown below in figure 6.
Figure 6 – New lateral/connection point.
As an aside, design investigations indicate that an existing pipe (represented in yellow, but not recorded in GIS) runs between the two (pink) pipelines. Should that not be the case, a pipe would need to be installed to connect the two (pink) pipelines to the new wastewater network in Holloway Street.
Additionally, while the system was installed in 2008, it is assumed that the reticulation system is in good repair and order, however. No inspection of the system has been undertaken by Council at this time.
4. Financial Considerations
Non-Binding Indicative Offer
While the non-binding indicative offer does not attribute separate values to the land (Lot 1) or to the privately owned sewerage reticulation system, assuming the rateable value of Lot 1 is reasonably accurate at $400,000 including GST, it does suggest that the reticulation system carries a value of around $550,000 plus GST.
The offer is silent as to who would be responsible for decommissioning the wastewater treatment plant and the reinstatement of Lot 1 but does refer to purchase price being the value of the land post remediation.
Associated Benefits
Should Council agree to take over the privately owned reticulation system, it would be mutually beneficial to both parties for several reasons.
For example, based on the current design for Stage 2 of the project, the wastewater from the properties at the western end of Hazlett Street would have to pumped to the new wastewater main which runs down Holloway Street.
If Council took over the existing private owned reticulation, those properties could be connected to the section of the reticulation system which runs along the mutual boundary, which would allow the wastewater from those properties to drain by gravity instead. This would be comparable to properties in more historic parts of Cromwell, where most wastewater mains run along mutual boundaries as shown below in figure 7.
Figure 7 – Example of Wastewater Networks Running along Mutual Boundaries.
The benefits to Clyde Claim Services Limited would include disposing of their responsibilities as they relate to the ongoing repair and maintenance of the reticulation system (drain in common) and would relieve the shareholders of the intricacies associated with depreciation and future planning.
If the ownership of the system was transferred to Council, it could also increase the development potential of the properties in the wider development by simplifying the consent process.
On that basis, it is recommended that if the Council agrees to take over the ownership of the sewerage reticulation system and the associated easements, it should be a cost neutral agreement in recognition of that mutual benefit.
It is also recommended that any agreement to take over the reticulation system provides for Council to connect additional properties to the system as and when required at its own discretion.
5. Options
Option 1 – (Recommended)
To agree to take over the ownership of the sewerage reticulation system (drain in common), as identified in pink and yellow in figure 3, (excluding the treatment plan on Lot 1), along with the associated easements which currently belong to Clyde Services Limited, subject to:
- The sewerage reticulation system (drain in common) and all associated easements transferring to Council ownership at no cost.
- Clyde Claim Services Limited agreeing to Council connecting additional properties to the system as and when required at its own discretion.
- Clyde Claim Services Limited agreeing to connect to the lateral identified in figure 6.
- Each party paying its own costs as the relate to that transfer.
Advantages:
· Recognises that there is no budget available for the acquisition of the infrastructure.
· The properties at the western end of Hazlett Street could be connected to Stage of the Clyde Wastewater Reticulation Project.
· Council would have the ability to connect additional properties to the reticulation as and when required at their discretion.
· Would be a cost neutral (physical) acquisition.
Disadvantages:
· Council would be responsible for all costs associated with the ongoing management and maintenance of the reticulation system.
· Depreciation of the infrastructure, which is approximately 15 years old, will become Council’s responsibility.
· As the lines have not been inspected, it is only assumed that they are in good order and repair.
· Drain in common can be problematic as they usually belong to multiple, or as in this instance numerous, parties.
Option 2
To not agree to take over the ownership of the sewerage reticulation system (drain in common), as identified in figure 3, along with the associated easements which currently belong to Clyde Services Limited.
Advantages:
· Council would not be responsible for the ongoing management and maintenance of a reticulation system which is approximately 15 years old.
· The budgetary impacts have not been analysed.
· Council would not take on ownership of a drain in common.
Disadvantages:
· The properties at the western end of Hazlett Street will not be able to be connected to Stage 1 of the project.
· Council would not have the ability to connect additional properties to the reticulation as and when required.
· Does not recognise the advantages of a cost neutral (physical) acquisition.
6. Compliance
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Local Government Act 2002 Purpose Provisions |
This decision enables democratic local decision making and action by, and on behalf of communities by assisting with the connection of multiple properties to the new wastewater network.
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Decision consistent with other Council plans and policies? Such as the District Plan, Economic Development Strategy etc. |
The recommendation is consistent with the objectives of the Clyde Wastewater Reticulation Project which did not provide for the acquisition of any land in conjunction the construction of the network.
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Considerations as to sustainability, the environment and climate change impacts |
There are no sustainability, environment or climate change impacts associated with the recommendation.
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Risks Analysis |
There are no risks associate with the recommendation.
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Significance, Consultation and Engagement (internal and external) |
The Significance and Engagement Policy has been considered with none of the criteria being met or exceeded.
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7. Next Steps
Clyde Claim Services Limited to be notified of the outcome.
Nil
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Report author: |
Reviewed and authorised by: |
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Linda Stronach |
Saskia Righarts |
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Team Leader - Statutory Property |
Group Manager – Business Support |
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2/03/2023 |
2/03/2023
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23.2.8 Wilding Conifer Control Policy
Doc ID: 618640
1. Purpose of Report
To consider whether a staged approach to the removal of wilding conifers from Council owned or managed land is consistent with Council’s Wilding Conifer Control Policy.
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That the Council A. Receives the report and accepts the level of significance. B. Agrees the Wilding Conifer Control Policy does not permit staging the removal of wilding conifers from Council owned or managed land. C. Agrees to amend the Council Wilding Conifer Control Policy as required to reflect the Council’s decision.
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2. Background
The issue of wilding conifers has been known for a number of years, with increasing awareness of the threat of wildings to landscapes, rural productivity, water yield, indigenous biodiversity and dangerous wildfire. Whilst the matter at its broadest sense sits within a regional council mandate, Central Otago District Council has committed to addressing the issue on its own land through the 2021-2031 Long-term Plan.
A total of $150,000 was allocated at $50,000 per year for the first three years of the plan.
The funding was at a ward level and allocated based on priority sites from advice provided by the Central Otago Wilding Confer Control Group (the Group). Priority sites include:
- Half Mile Recreation Reserve
- Boot Hill
- Alexandra Airport
- Sugar Loaf Scenic Reserve (work completed 2022)
- Lower Manorburn Dam reserve (minor works completed)
The areas identified were considered significant seed take off sites that acted as a seed bank for spreading seed onto neighbouring property thus perpetuating the spread of wilding conifers.
Of the more than 2500 non-native plant species naturalised in New Zealand, “wilding conifers” (invasive trees) are amongst the most problematic. In the absence of management, some estimates suggest that wilding conifers could spread to 7.46 million hectares over the next 15 - 30-year period, or approximately 28% of New Zealand's land area, albeit at variable densities.
Wilding conifer invasions particularly threaten tussock grasslands, forest flats, and alpine areas* where the invasion of fast-growing trees into treeless or low-statured vegetation causes fundamental shifts in almost every aspect of these ecosystems.
To ensure it was meeting its own landowner responsibilities in combatting the spread of wilding conifers in Central Otago, the Council adopted the Wilding Conifer Control Policy (the Policy) in July 2022.
The policy is consistent with regional and national strategies and direction. The Vincent Community Board is seeking clarification from Council on whether the policy allows for staging the removal of wildings as part of its consideration for the removal of pines from the Half Mile Recreation Reserve.
National Context
Wilding conifer management first began in the 1960s but has accelerated over the past 15 years. In 2020, Central Government announced a four-year investment of $100 million to accelerate wilding control. Substantial additional control costs are borne by landowners, industry, and local community groups. Economic analysis suggests the high level of investment is worthwhile, achieving an outstanding benefit: cost ratio of 38:1. * This reflects the relatively high potential cost of wilding conifer impacts on water resources and grazing land if invasions are not controlled.
Biodiversity is also under a high level of threat from wilding conifers but is more difficult to quantify in monetary terms.
In 2014, a cross-sector collaboration of government, researchers, environmentalists, landowners, and industry created the National Wilding Conifer Management Strategy 2015-2030. It set a goal to contain and eradicate wilding infestations by 2030, and proposed a collaborative approach, combining and coordinating efforts around the country to increase the effectiveness of wilding conifer control.
In 2016 Government funding saw the launch of the National Wilding Conifer Control Programme, with Biosecurity New Zealand as the lead agency, to work towards the outcomes of the strategy, by helping to coordinate, prioritise and support local efforts around the country. It was established with $16 million funding for three years, for a partnership between central and local government agencies with the farming and forestry industries, researchers, community groups, Iwi/Runanga and landowners to protect local landscapes and places of significance.
Wilding conifers cost New Zealand millions of dollars every year in lost primary production, reduced water availability in sensitive catchments (affecting irrigation and hydrogeneration), increased intensity of wildfires.
Prior to the National Wilding Conifer Control Programme, even with control efforts, spread was estimated at 90,000 hectares annually.
The cost of control increases 30% every year control work is delayed, in addition to the economic impacts.
An independent report commissioned by the Ministry for Primary Industries (MPI) on behalf of the New Zealand Wilding Conifer Management Group, addressed the status of wilding conifers in New Zealand. As a result of the independent report ‘The right tree in the right place: New Zealand Wilding Conifer Management Strategy 2015-2030’ (the national strategy) was developed. The strategy identifies that wilding conifers are a serious and pressing established pest in New Zealand, and that they reduce the productivity of primary industry, and damage the environmental values that New Zealand is renowned for.
Under the strategy, key participants in wilding conifer management governance are identified as MPI, regional councils, the Department of Conservation, territorial authorities, the Ministry of Defence, Land Information New Zealand, land occupiers, and voluntary initiatives. The national strategy clarifies roles and responsibilities of central government, regional councils and territorial local authorities. These roles include leadership, wilding conifer control and management along with developing appropriate wilding conifer control rules. It also references land occupier’s roles in the management of wilding conifers.
For reference the National Wilding Conifer Management Strategy can be found on the following website: www.wildingconifers.org.nz.
The strategy has objectives of gaining funding for early intervention for both Crown and private land occupiers in wilding conifer control, and for fair allocation of costs through cost sharing.
The 2020 budget allocation of $100m from the Government dramatically expanded the area that could be controlled and enabled follow up monitoring and maintenance on many areas that had been previously treated.
This money was allocated through regional councils to distribute towards the control of wilding conifers. A typical application of this funding is an 80/20 funding split, where the Government, via the regional council, contributes 80% and the landowner contributes 20% of the cost.
This funding was front loaded and the amount available for control work higher during the first two years of the fund. This has been decreasing significantly over the last two years of the fund. The last year the fund is available is the 2022/23 financial year.
The National Wilding Conifer Control Programme provides the framework for stakeholders to work together to reduce the negative impacts of wilding conifers. The National Wilding Conifer Control Programme can be found on the following website: www.wildingconifers.org.nz.
*Source – National Wilding Conifer Control Programme Communications guide. (Brandt et al., 2021 and Wyatt, 2018, Campbell, 1984; Smale, 1990).
Otago Regional Council
The national strategy and control programmes are supported by the Otago Regional Council (ORC) where wilding conifers are identified as plant pest species in the Regional Pest Management Plan 2019 – 2029, (the Plan).
Under the Plan the ORC strongly supports activities that align with their progressive containment objectives for wilding conifers. The Plan provides the framework for stakeholders to work together to reduce the negative impacts of wilding conifers upon the landscape.
Some of these negative effects include:
· Loss of landscape and aesthetic values.
· Impacts on conservation values, including loss of indigenous biodiversity unique to the Central Otago area.
· Loss of productive land.
· Impacts on hydrological values.
· Dangerous wildfires.
Modelling by the ORC and others* shows that wilding conifer seed, depending on the species has been recorded to be dispersed 40kms from the seed source but are primarily recorded up to 10kms from the parent trees. Eliminating seed sources would protect the investment spent on neighbouring properties undertaking conifer control, minimise any wilding establishing on new sites and begin to control effects on landscape, rural productivity, indigenous biodiversity and water yield.
*Source (Ledgard 2001, Nathan 2006)
Central Otago District Council
Planting of wilding conifers is not a permitted activity in the Central Otago District Plan, and rules require that resource consent must be applied for and granted, to permit planting of a number of conifer species including Douglas Fir, European Larch, Ponderosa Pine, Bishops Pine, Maritime Pine, Radiata Pine, and Corsican Pine. The reason cited in the district plan is that tree planting with species that have spreading vigour has the potential for adverse effects upon amenity and ecological values in terms of wilding spread.
The Central Otago District Tree Policy 2022 contains an objective of avoiding planting trees on Council land that have the potential for invasive growth, or planting any plants designated as “pests” by the Otago Regional Council, or with propensity to become a wilding tree.
Parliamentary Commissioner for the Environment
In November 2021, the Parliamentary Commissioner for the Environment, Simon Upton, released a report titled “Space Invaders, a Review on how New Zealand Manages Weeds that Threaten Native Ecosystems”.
The report references the cost of wilding conifers to the economy and states that if not managed is estimated to be more than $5 billion. It sites negative effects of wilding conifers, including farmers losing grazing land, houses threatened by wildfire, and habitats and water yield being lost. The report cites the Ohau fire where 50 homes were lost and 1600 hectares of DOC land were burnt, and the Twizel fire where 3500 hectares of land containing wilding pines and scrub was burned. The Commissioner notes in the report that whilst $100 million is being set aside by the Government, he believes it will cost significantly more to get the problem of wilding pines under control. He also noted that not unsurprisingly it is no longer possible to get carbon credits for wilding trees.
Iwi
The Kāi Tahu ki Otago Natural Resource Management Plan 2005 specifies the spread of exotic wilding trees and other woody weeds as an issue that adversely affects cultural landscapes.
Aukaha has advised that Kāi Tahu are supportive of wilding pine removal for a number of reasons, including their effects on water yield and water quality; effects on indigenous biodiversity; and their adverse effects on landscapes, particularly where this affects cultural sites and landscapes (wāhi tūpuna).
The Vincent Community Board
The Vincent Community Board (the Board) oversees several reserve areas identified by the Group as significant wilding conifer take off sites, including the Half Mile Recreation Reserve and the Lower Manorburn Dam reserve.
Removal of wilding conifers from the Half Mile Recreation reserve was scheduled to take place in October 2021. Following concerns from some neighbouring properties, the proposal to fell the trees was put on hold until further public engagement was undertaken.
At its March 2022 meeting the Board considered a report to fell the trees within the Half Mile reserve. The Board resolved - to leave the item on the table until a development plan for the area has been consulted on and brought back to the Board for its consideration. (McPherson, Stirling-Lindsay).
A development plan was subsequently prepared that proposed a natural central Otago landscape that would highlight the natural rock formations found within the reserve. The plan includes areas of native plantings with provision for shelter plantings along the western boundary. It should be noted that it is not Council’s responsibility to provide shelter to neighbouring properties.
At its 31 January 2023 meeting the Board considered a report that outlined the results of a survey undertaken to gauge the communities view on the proposed development plan for the reserve. The Board resolved.
Moved: Paterson
Seconded: Hammington
A. That the Vincent Community Board
Receives the report and accepts the level of significance.
Carried
Moved: Paterson
Seconded: Cromb
B. Supports the removal of all wilding conifers from the Half Mile Recreation Reserve
LOST
Moved: McPherson
Seconded: Browne
B. Agrees to the staging of the removal of the wilding conifers on the Half Mile Recreation Reserve.
CARRIED
with Cr Paterson and Mr Cromb recording their vote against.
After discussion it was agreed that although the resolution B had been carried it might contravene the Wilding Conifer Control Policy. It was decided that Council should first be consulted to determine whether a staged approach over a set period of time would be in breach of the Wilding Conifer Control Policy.
Resolution B was altered by the meeting in accordance with Standing Order 24.5.
Moved: McPherson
Seconded: Hammington
B. Asks Council to determine whether a staged approach to the removal of pines is a breach of the Wilding Pines Policy. After discussion it was agreed the remaining items should be left on the table until Council could determine any potential breach.
CARRIED
Moved: Cromb
Seconded: Hammington
C. Agrees to leave the remaining recommendations on the table until a determination from Council was known.
CARRIED
3. Discussion
The Vincent Community Board is seeking a determination from Council to ascertain whether a staged approach to the removal of wilding conifers is a breach of the Policy attached as Appendix 1.
If staging is determined to be a breach of the policy, then all Community Boards would need to comply with that determination in future decision making around wilding conifer removal.
If staging is not a breach, the Council should clarify what staged removal looks like and over what length of time staging would be appropriate.
Councils Wilding Conifer Control Policy
The purpose of the Policy is to provide guidance for managing wilding conifers on Council-owned land. The principle objective of the Policy is that Council recognises its responsibilities as a landowner and to proactively manage the spread and eradicate wilding conifers.
The policy recognises Council’s leadership role in the control of wilding conifers while acknowledging that wilding conifers on Council land are contributing to the spread of wilding conifers to nearby land.
Operationally the Policy recognises the New Zealand Wilding Conifer Management Strategy 2015-2030 which identifies that wilding conifers are a serious and pressing established pest in New Zealand.
The Policy also recognises the Otago Regional Pest Management Plan 2019 which classifies wilding conifers as a pest. In this context a pest means any introduced conifer species that is capable of contributing toward the establishment and spread of wilding conifers and is not contained within a plantation forest.
It is well known that once established, wilding conifers aggressively spread further afield. As a result, delays in deploying effective controls are associated with significant increased costs.
The Central Otago District Plan acknowledges the threat of wilding conifers and provides a framework for controlling the spread of wilding conifers. It encourages land use practices to ensure that adverse effects on the open space, landscape, and natural character and amenity values within the rural environment are avoided, remedied, or mitigated.
The Policy has several key policy elements to ensure Council land is not contributing to wilding spread, including.
Council will pro-actively work to eradicate wilding conifers on council owned or managed land.
Wilding Conifers - What we know.
The graph below provides an indication of the rate of increasing area of New Zealand known to have wilding conifers present (spread and density estimates by DOC, based on published and unpublished data). The graph shows the cumulative spread of the six species most problematic in wilding conifer spread. (graph from New Zealand Wilding Conifer Management Strategy 2015-2030)
Pinus radiata cones contain between 50 and 100 seeds. * Mature trees can produce up to approximately 100 cones annually. As the cones open the winged seed is caught by the wind and dispersed away from the parent tree. The below table shows the number of seeds produced from 100 trees over different time periods.
|
Cones per Tree |
Years |
Seeds Produced |
|
100 |
1 |
10,000 |
|
100 |
5 |
50,000 |
|
100 |
10 |
100,000 |
A handful of wilding conifers left uncontrolled can produce thousands of seeds, which can spread significant distances on the wind. They overwhelm native landscapes and the habitats of native birds, lizards, insects, and plants. Wilding conifers affect farmland, recreational land, unique New Zealand landscapes and places of historic and cultural significance. Dispersal events happen when weather and wind events coincide with seed dispersal in late summer/autumn.
Removing all wildings at the same time is the most effective way of controlling the spread and any delay will increase the cost of maintaining wilding spread.
There will likely be regeneration of wildings at the control site, even if all trees are removed at once. However, leaving trees in a staged removal will increase the abundance of seedlings that will continue to replenish the seedbank in the soil.
Research by MPI show the cost of control increases 30% every year control work is delayed.
Peter Berg, 'Radiata pine', Te Ara - the Encyclopedia of New Zealand,
Staging
The Vincent Community Board have asked Council whether staging the removal of wilding conifers from the Half Mile Recreation Reserve would constitute a breach of Council’s Wilding Conifer Control Policy. The decision made by Council will set a precedent that will apply to any future removal of wilding conifers from Council owned land. Legal advice has been sought to assist Council with its decision on this matter and has been incorporated into this report.
Within the policy there is nothing that specifically prohibits or prevents the staged removal of wilding conifers from Council land.
The authors of the policy did not have in mind that the removal of wilding conifers would ever occur in a staged manner given its objective is eradication.
In making its decision and applying the policy, Council should carefully consider the purpose/intent of the Wilding Conifer Control Policy on the basis that the Policy provides the appropriate framework for making a decision about whether staging the removal of the wilding conifers is appropriate or not. The answer to the staging question should simply flow from the proper application of the appropriate framework (i.e., the Wilding Conifer Control Policy). This framework is outlined below.
· in the principles and objectives section the policy records that “Council recognises its obligations as a landowner to pro-actively manage the spread and eradicate wilding pines, and to give effect to the Otago Regional Pest Management Plan 2019. This recognition reflects: That Council displays leadership to control the spread of wilding conifers.”
· under the heading “Operational context” there is a key paragraph as follows:
“Within Central Otago wind is the main vector of spread with seed generally being blown in strong Norwest winds up to 25km from source plantations. Once established wilding conifers aggressively spread further afield. As a result, delays in deploying effective controls are associated with significant increased costs”
Under key policy elements in the policy,
· Council will pro-actively work to eradicate wilding conifers on council owned or managed land.
This recognition reflects:
An acknowledgment that wilding conifers on Council owned or managed land are
contributing to the spread of wilding conifers on nearby properties (which in turn hinders the
ability of those landowners to control the spread of wilding conifers).
When taking into account the purpose and intent of the policy (to pro-actively eradicate wilding conifers in a cost-effective manner) together with several sites being identified as significant “take-off” sites, it becomes difficult to see how a staged approach to the removal of wilding conifers is consistent with Council’s policy. To summarise the key aspects of the policy -
· Wilding conifers are recognised as a pest and ought to be eradicated.
· Council has accepted and acknowledged responsibility for taking a proactive leadership role in the removal and eradication of wilding conifers from Council land. The Wilding Conifer Control Policy is intended to reflect those objectives and provides a framework for decision making when considering removal of wildings from Council land.
· The Policy identifies that within Central Otago wind is the main vector of spread.
· The Policy further identifies that delays in deploying effective controls are associated with significant increased cost.
· A number of sites have been identified as priority sites for eradicating wilding conifers due to them being significant “take-off” sites.
· Delays to eradicating wilding conifers on Council land will lead to significant increased costs (from both an operational perspective and a wider environmental context).
Staging by its nature will allow any remaining wildings to spread and infest both the area cleared and onto neighbouring properties. Research indicates that long distance spread is possible, especially from “take-off” sites exposed to strong/prevalent wind.
Staging suggests that at some point in the future the balance of tree removal will be
undertaken. The time period of when this should occur will vary depending on factors
including,
- Budget
- Replanting
- Log prices
- Contractor availability
- Community consultation
- Access to site to remove removing trees without disturbing and potential restoration works
In considering staging as an option there would need to be some parameters around the timing of the removal of remaining wildings. Staging timeframes should consider what the end goal of a staging programme is attempting to achieve. Who will benefit from the staging and who will be impacted.
Conifers tend to exhibit allelopathic traits – that is they inhibit other plants from growing and competing. Leaving some trees on a site may impact on any restoration of the site.
Staging removal of wildings will result in the need for staging of any restoration which could impact on the visual amenity of the site over an extended period of time.
Timing of staging is likely to be site specific and depend on what if any restoration work is envisaged.
The cost to remove wilding conifers is most efficiently undertaken once, as fixed costs such as plant, machinery, traffic management and site tidy up would apply each time work was undertaken.
The longer the staging intervals are the greater the risk of future stages not being completed become. Factors such as change in direction, budget changes, neighbours, the wider community and staff changes can all impact on completion.
Restoration depends to some degree on what form the restoration takes, i.e., complete replanting with a non-spreading species, selective planting on site or mixed landscaping.
Most replanting is effective when the plants have been planted at a similar time to enable only one period of more intensive maintenance to assist the plants establish rather than drawing it out over the staging period.
For staging to occur, then a maximum of three years to complete any staging phases is recommended based on budget, maintenance costs and restoration as discussed above.
4. Financial Considerations
There is no financial implication to amending the policy itself, however multiple visits to a site will result in cost implications that would have a rating impact upwards of $60,000 per visit.
Using the Half Mile reserve as an example this could institute 1.8% Vincent ward rate increase for this work alone.
The Council has for a number of years contributed an annual grant of $20,000 to the Central Otago Wilding Conifer Control Group to assist the group in its overall administration.
5. Options
Option 1 (recommended)
That the Councils Wilding Conifer Control Policy does not permit staging the removal of wilding conifers from Council owned or managed land.
Advantages:
· Council is seen as a good neighbour and showing leadership in sustainable land management.
· Lower cost impact to ratepayers.
· Eradication of wilding conifers is consistent with both the National Wilding Conifer strategy and the Regional Pest Plan.
· Restoration can begin at the same time rather than being spread out over a period of years.
· Identified wilding conifer sites or seed take off sites have the wildings removed so they do not spread seed onto neighbouring property.
· Wilding conifers on Council owned or managed land will be cleared.
Disadvantages:
· Some sites may provide very close neighbours with shelter which will be removed (noting that it is a property owners own responsibility to provide for shelter).
· When felled the amenity and recreational nature of the site may change.
Option 2
That the Councils Wilding Conifer Control Policy does permit staging the removal of wilding conifers from Council owned or managed land. And that staging is completed at the discretion of a Community Board to the maximum of three years.
Advantages:
· Staging times are set and the community are aware of this.
Disadvantages:
· Remaining trees will continue to produce seed that can spread to nearby land.
· Higher cost to ratepayers.
· Less control of contractor and budget management given the extended time period to complete the work and multiple site visits required.
6. Compliance
|
Local Government Act 2002 Purpose Provisions |
This decision enables democratic local decision making and action by, and on behalf of communities by ensuring Council policy is clear.
|
|
Decision consistent with other Council plans and policies? Such as the District Plan, Economic Development Strategy etc. |
Council Tree Policy 2022. Council Wilding Conifer Control Policy. Long-term Plan 2021-2031.
|
|
Considerations as to sustainability, the environment and climate change impacts |
Wilding conifers are an identified pest and impact the environment, biodiversity, water yield and productivity.
|
|
Risks Analysis |
There is no risk in making this decision that triggers Councils risk register.
|
|
Significance, Consultation and Engagement (internal and external) |
Consultation is not required for this decision.
|
7. Next Steps
Advise all Community Boards of the Councils decision.
Appendix 1 - Wilding Conifer Control Policy ⇩
|
Report author: |
Reviewed and authorised by: |
|
|
|
|
Gordon Bailey |
David Scoones |
|
Parks and Recreation Manager |
Group Manager - Community Experience |
|
24/02/2023 |
27/02/2023
|
|
|
23.2.9 Draft 2023-24 Annual Plan Budget
Doc ID: 619926
1. Purpose of Report
To approve the draft Council specific budgets for inclusion in the Council’s draft Annual Plan 2023-24 process.
|
That the Council A. Receives the report and accepts the level of significance. B. Agrees in principle, subject to further work, (around the phasing of rate funding the increase in Council waste management asset depreciation) that the Council specific budgets be included in the 2023-24 Annual Plan. C. Notes Appendix 1,2 & 3. D. Notes the community boards recommendations of budgets and fees and charges will be presented with the full draft 2023-24 annual plan and consultation document for approval by Council on 30 March 2023.
|
2. Background
The 2023-24 draft specific budgets for Council have been prepared on Council’s request to keep the Long-term Plan (year three) budgets relatively unchanged, with the exception of known un-manageable inflationary increases.
The year three budgets proposed an average rate increase across the district of 7.6%. This is including the impact of growth which was anticipated to be 1.9%. The cost of inflation on the budgets mean the current average increase across the district is 10.4%, after adjusting for the projected growth factor of 1.9%.
3. Discussion
Draft budgets will be presented to each community board for consideration at their upcoming March meetings. Those budgets will then be provided to Council to consider for inclusion in the draft 2023-24 Annual Plan at the meeting on the 30 March 2023.
For Council specific budgets, the rates funding of depreciation for the three waters and roading network (as a result of annual revaluations) have been adjusted to match the renewals /capital works program for the 2023-24 year, as resolved in December 2022.
Insurance has been adjusted as an unmanageable inflationary increase following Councils resolution to approve an increase in budget for the 2022-23 financial year. This is to accommodate increases in insurance renewal premiums.
Elected member remuneration has increased upon instruction from the Remuneration Authority.
The cost of the waste management activity has increased due to the Emission Trading Scheme and the increased level of service with the additional organic bin.
Known increases in overhead expenses are presently being managed internally via savings through timing lags.
Community board and Council property has been subjected to the three yearly revaluation.
The increases in the revaluations on our buildings reflect as increases in the depreciation expense and therefore rate funding for the depreciation. In the case of community boards some of these increases have been offset by the removal of passive parks depreciation, a community board offset only.
The revaluation of waste management assets has also affected Council budgets.
The increase in depreciation as a result of the revaluation is approximately $100K. The draft budgets currently have this depreciation increase fully rate funded in the 2023-24 year. This is inconsistent with our other infrastructure asset types and Council could consider phasing the rate funding which could bring the overall rates rise under 10%.
During the compilation of the 2023-24 budgets council staff have identified the need to reconsider elements of the financial strategy ready for the compilation of the 2024-34 LTP to ensure appropriate repayment of both external debt and reserve deficits occur.
4. Financial Considerations
Currently the average increase across the district is 10.4%, after adjusting for the projected growth factor of 1.9%, noting community boards have not yet reviewed their ward budgets.
Council could consider phasing the rate funding for the increase in depreciation related to the waste management assets which could bring the overall rates rise under 10%.
5. Options
Option 1 - (recommended)
Accept the draft 2023-24 Council specific budgets for inclusion in the Council 2023-24 Annual Plan subject to considering whether to phase the rate funding for the increase in depreciation related to the waste management assets.
Advantages:
· Meets statutory requirements
· Provides transparent expenditure management
· The Council specific budgets will feed into Council’s Annual Plan budget for 2023-24
· Meets the ratepayers’ expectations
· Allows changes to reflect prior Council decisions post setting of the 2021-31 Long-term Plan
· Allows for Fees and Charges to be updated to reflect the most accurate charges.
Disadvantages:
· Some members of the community may feel disadvantaged paying increased rates.
Option 2
Decline the draft 2023-24 Council specific budgets for inclusion in the 2023-24 Annual Plan.
Advantages:
· Status quo remains and rate payers do not incur increased rates.
Disadvantages:
· Delay in the annual plan process or the 2023-24 Annual Plan may not accurately reflect the Councils prior decisions.
· Run the risk of delaying the annual plan process and therefore potentially miss the legislative deadlines
· May not reflect a fair distribution of costs to the rate payer
· Does not reflect the intention of the 2021-31 Long-term Plan (year three)
6. 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 elected members in robust and transparent financial decision making.
AND/OR
This decision promotes the (social/cultural/economic/environmental) wellbeing of communities, in the present and for the future by
|
|
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 |
No implications, as this has been factored in the 2021-31 Long-term Plan and there have been no changes to these considerations and assumptions used to prepare the 2021-31 Long-term Plan. |
|
Risks Analysis |
The risk of not accepting this report is that Council will lose the ability to adopt the 2023-24 Annual Plan and set the rates for the income required to meet the activities Council is required to carry out. Council will not meet legislative requirements and may be exposed to legal challenges. |
|
Significance, Consultation and Engagement (internal and external) |
This is a significant step in the annual plan process, as it ensures the Council is across its specific budget to feed into Council’s overall 2023-24 Annual Plan which will be consulted upon. |
7. Next Steps
Once this report is accepted and changes made where necessary, it will be included in the draft 2023-24 Annual Plan, which is planned to be adopted for consultation on 30 March 2023.
Appendix 1 - Draft 2023-24 Annual Plan Budget - Income and Expenditure.docx ⇩
Appendix 2 - Draft Annual Plan 2023-24 Budget - Capital Expenditure.docx ⇩
Appendix 3 - Draft Annual Plan 2023-24 Budget - Sample Rates.docx ⇩
|
Report author: |
Reviewed and authorised by: |
|
|
|
|
Susan Finlay |
Saskia Righarts |
|
Chief Financial Officer |
Group Manager - Business Support |
|
|
|
|
8 March 2023 |
23.2.10 Financial Report for the Period Ending 31 December 2022
Doc ID: 603742
1. Purpose
To consider the financial performance for the period ending 31 December 2022.
|
That the report be received.
|
2. Discussion
The presentation of the financials includes two variance analysis reports against both the financial statement and against the activities. This ensures Council can sight the variances against the ledger, and against the activities at a surplus/(deficit) value. The reason for the second variance analysis is to demonstrate the overall relationship between the income and expenditure at an activity level.
The third report details the expenditure of the capital works programme across activities. This helps track key capital projects across the year and ensures the progress of these projects remains transparent to Council.
The fourth and fifth reports detail the internal and external loans balances. The internal loans report forecasts the balance as at 30 June 2023, whereas the external loans show the year-to-date current balances due to payments throughout the year.
This report uses the below key to identify the favourable or unfavourable variances.
Abbreviation key for report
F = Favourable
U = Unfavourable
I. Statement of Financial Performance for the period ending 31 December 2022
|
2022/23 |
6 MONTHS ENDING 31 DECEMBER 2022 |
|
2022/23 |
|||
|
|
|
YTD |
YTD |
YTD |
|
|
|
Annual Plan |
|
Actual |
Revised Budget |
Variance |
|
Revised Budget |
|
$000 |
|
$000 |
$000 |
$000 |
|
$000 |
|
|
Income |
|
|
|
|
|
|
36,238 |
Rates |
18,138 |
18,022 |
116 |
˜ |
36,238 |
|
6,062 |
Govt Grants & Subsidies |
2,718 |
3,276 |
(558) |
˜ |
6,552 |
|
8,161 |
User Fees & Other |
3,622 |
4,363 |
(741) |
˜ |
8,729 |
|
14,930 |
Land Sales |
- |
1,000 |
(1,000) |
˜ |
14,930 |
|
2,233 |
Regulatory Fees |
1,509 |
1,117 |
392 |
˜ |
2,233 |
|
2,192 |
Development Contributions |
3,246 |
1,096 |
2,150 |
˜ |
2,192 |
|
500 |
Interest & Dividends |
91 |
250 |
(159) |
˜ |
500 |
|
- |
Reserves Contributions |
405 |
- |
405 |
˜ |
- |
|
- |
Profit on Sale of Assets |
169 |
- |
169 |
˜ |
- |
|
40 |
Other Capital Contributions |
95 |
15 |
80 |
˜ |
41 |
|
70,356 |
Total Income |
29,993 |
29,139 |
854 |
˜ |
71,415 |
|
|
|
|
|
|
|
|
|
|
Expenditure |
|
|
|
|
|
|
13,876 |
Staff |
6,780 |
7,033 |
253 |
˜ |
14,207 |
|
603 |
Members Remuneration |
273 |
301 |
28 |
˜ |
603 |
|
8,918 |
Contracts |
5,306 |
4,512 |
(794) |
˜ |
9,185 |
|
2,735 |
Professional Fees |
1,440 |
1,609 |
169 |
˜ |
3,304 |
|
10,857 |
Depreciation |
8,283 |
5,429 |
(2,854) |
˜ |
10,857 |
|
11,232 |
Costs of Sales |
108 |
2,581 |
2,473 |
˜ |
11,232 |
|
4,182 |
Refuse & Recycling Costs |
1,826 |
2,091 |
265 |
˜ |
4,182 |
|
- |
Cost Allocations |
(2) |
- |
2 |
˜ |
- |
|
1,799 |
Repairs & Maintenance |
959 |
957 |
(2) |
˜ |
1,911 |
|
1,433 |
Electricity & Fuel |
583 |
709 |
126 |
˜ |
1,421 |
|
- |
Loss on Sale of Asset |
146 |
- |
(146) |
˜ |
- |
|
636 |
Grants |
1,188 |
425 |
(763) |
˜ |
763 |
|
1,118 |
Technology Costs |
574 |
550 |
(24) |
˜ |
1,095 |
|
378 |
Projects |
364 |
656 |
292 |
˜ |
1,289 |
|
658 |
Rates Expense |
599 |
329 |
(270) |
˜ |
658 |
|
474 |
Insurance |
604 |
237 |
(367) |
˜ |
474 |
|
1,635 |
Interest Expense |
133 |
723 |
590 |
˜ |
1,635 |
|
2,133 |
Other Costs |
813 |
1,120 |
307 |
˜ |
2,243 |
|
62,667 |
Total Expenses |
29,977 |
29,262 |
(715) |
˜ |
65,059 |
|
|
|
|
|
|
|
|
|
7,689 |
Operating Surplus / (Deficit) |
16 |
(123) |
139 |
|
6,356 |
This table has rounding (+/- 1)
|
8 March 2023 |
|
Income of $29.993M against the year-to-date budget of $29.139M
Overall, income has a favourable variance against the revised budget by $854k.This is being driven by the timing of development contributions with a variance of $2.150M (F), offset by the timing of Waka Kotahi subsidies (U), metered water charges (U) and land sales (U).
The main variances are:
· Government grants and subsidies ($558k) U - Waka Kotahi New Zealand Transport Agency (Waka Kotahi) roading subsidy contribution has an unfavourable variance of ($970k). Subsidies are claimed for both the operational and capital roading work programmes and fluctuate based on the work programme. This is offset by favourable variances for Strategic Tourism Assets Protection programme funding $161k, funding for the freedom camping programme $110k and Three Waters transition support funding $95k.
· User fees and other ($741k) U – Metered water charges has a variance of ($781k). The second read round will take place in March, April, and May 2023. This will bring them in line with the budget.
· Land sales ($1M) U – Land sales have not occurred during this half year of the financial year. Titles are expected to be ready for the Dunstan Park subdivision stage 3 in March 2023.
· Regulatory fees $392k F – Building permit fees are higher than budget by $246k, along with dog registration fees of $101k. The dog registrations income is received predominately in July, while the budget spreads the income over 12 months.
· Development Contributions $2.150M F – This variance relates to the timing of development contributions which are dependent on the resource consent process and developer timeframes. Cromwell development contributions in roading, water and wastewater are higher than budget.
· Interest and dividends revenue ($159k) U - Large projects are being predominately managed within cashflows, minimising the level of loan funding uplifted. This includes subdivision developments which are held on the balance sheet. This results in less cash available to be invested. There are currently no term deposits.
· Reserves contributions $405k F – These are difficult to gauge when setting budgets and are dependent on developers’ timeframes. As with development contributions above, these are mainly for the Cromwell area.
Expenditure of $29.977M against the year-to-date budget of $29.262M
Expenditure has an unfavourable variance of ($715k). The main drivers behind this are depreciation, contracts, grants, insurance and rates expense. Offsetting this favourable variance is cost of sales, staff, refuse and recycling costs and interest expense.
The main variances are:
· Staff $253k F – This is due to the lag between staff movements and the replacement of new staff, plus the relevant recruitment costs.
· Contracts ($794k) U – Contract expenditure is determined by workflow and the time of the contract. The outcome of this is that the phased budgets will not necessarily align with actual expenditures, meaning some work appears favourable and some contracts spend year-to- date appear unfavourable. Planned maintenance $247k, contract $40k, physical works contract ($678k), roading contract ($402k) are the key timing variances year-to-date. The physical works contracts variance relates to wastewater operations ($250k) and water supply operations ($492k). The water supply operations have seen an increase in service requests and re-active repairs. The wastewater operations variance is due to the July 2022 flooding events where the Omakau treatment pond was flooded. $165k of the repair cost is being funded through the emergency works funds.
· Costs of sales $2.473M F – Cost of sales is linked to the land sales mentioned earlier and reflect the development costs for subdivisions. The subdivision costs are held on the balance sheet in ‘property and intended for sales’ until each stage is complete and land sales are received. There have been no sales in the first half of the financial year to allocate out development costs to the cost of sales.
· Refuse and recycling costs $265k F – The waste management activity can fluctuate depending on the amount of waste being processed. Emissions trading scheme has a favourable variance of $168k. The emission trading scheme charges fall due in March 2023.
· Depreciation ($2.854M) U – The 30 June 2022 revaluation of assets created a significant increase to the value of the assets held on the fixed asset register. As a result, the depreciation costs for the assets have also increased. Revaluations included: land and buildings, waste assets, water, wastewater, stormwater and roading. Due to the timing of the revaluations this additional depreciation cost has not been collected through rated depreciation. Therefore, this increase can be treated as a non-cash increase in expenditure.
· Grants ($763k) U –This is predominately due to the Roxburgh Pool grant of $500k. This grant was brought forward from last financial year. The remaining variance is due to district grants of $10k to Central Otago Goldfield Trust funded from general reserves (resolution 22.7.9), Vincent grant of $26k to Alexandra District Museum Incorporated funded from general reserves (resolution 22.2.4) and Cromwell grant of $49k to Cromwell Bike Park funded from Cromwell reserves contribution fund (resolution 22.4.7).
· Projects $292k F -This is due to the phasing schedule of Tourism Central Otago projects and the costs incurred for the Southland Otago Three Waters Director position. The Southland Otago Three Waters Director position is a cost share arrangement with other councils in the area to assist with the Three Waters reform.
· Rates Expense ($270k) U – Central Otago rates expenses for 2022/23 on council owned property has been paid in full during the first quarter of this financial year, while the budget has been recognised over a 12 month period.
· Other costs $307k F - A detailed breakdown for other costs is tabled below.
Other costs breakdown
|
2022/23 |
|
YTD Actual |
YTD Revised Budget |
YTD Variance |
2022/23 |
|
|
Annual Plan |
Other Costs breakdown |
Revised Budget |
||||
|
$000 |
|
$000 |
$000 |
$000 |
$000 |
|
|
678 |
Administrative Costs |
210 |
343 |
133 |
˜ |
678 |
|
662 |
Office Expenses |
300 |
337 |
37 |
˜ |
662 |
|
229 |
Operating Expenses |
109 |
114 |
5 |
˜ |
229 |
|
415 |
Advertising |
62 |
195 |
133 |
˜ |
415 |
|
178 |
Valuation Services |
96 |
89 |
(7) |
˜ |
178 |
|
81 |
Retail |
35 |
42 |
7 |
˜ |
81 |
|
2,243 |
Total Other Costs |
813 |
1,120 |
307 |
|
2,243 |
This table has rounding (+/- 1)
· Other costs include only need based expenses which fluctuate against budget from time-to-time. There is no significant variance of note to report on at present.
II. Profit and Loss by Activity for the period ending 31 December 2022
This table has rounding (+/- 1)
* The funding activity has been removed as this is not an operational activity.
· Infrastructure $2.476M F – Income has a favourable variance of $2.357M. This is due to the timing of development contribution revenue. Cromwell development contributions in water, roading and wastewater are higher than budgeted. Expenditure has a favourable variance of $119k. This variance is due to the Southland Otago Three Waters Director position. This expenditure is a shared arrangement with other councils in the areas to assist with the Three Waters reform.
· Roading ($2.968Mk) U – Income has an unfavourable variance of $807k. This is due to the Waka Kotahi subsidy. This subsidy moves in conjunction with the subsidised roading operating and capital work programme. Expenditure has an unfavourable variance of $2.161M. This is mainly due to depreciation ($2.190M), professional fees of ($39k) and loss on sale of assets ($145k).
· Waste Management $82k F – Income has an unfavourable variance of ($43k). This is due to less general waste being disposed of and less payable green waste being disposed of. Expenditure shows a favourable variance by $125k. This is mainly driven by the Emissions Trading scheme charges which fall due in March 2023.
· Parks and Recreation ($282k) U – Income has an unfavourable variance ($144k). This variance is being driven by a GST error of ($172k) for pool income. The implementation of a new point of sale system two years ago resulted in the council needing to voluntarily disclose to the Inland Revenue Department that the pools had not returned GST on most pool income received during this time. Expenditure has an unfavourable variance by ($138k). This is being largely driven by swimming pools of ($678k). The Roxburgh Pool grant of $500k, depreciation ($197k) and pools chemical budgets are ($35k) overspent due to increase in chemical price and freight charges. This is offset by parks and reserves with a favourable variance of $526k. Parks and reserves depreciation is lower than expected by $421k.
· Corporate Services ($378k) U – Income has a favourable variance of $4k. Expenditure shows an unfavourable variance of ($382k). This is due to insurance premium being higher than expected. Council has approved this increase as per resolution number 22.10.7.
· People and Culture $7k U – Income has an unfavourable variance of ($7k). User fees and other is ($14k) behind budget. This is due to budget being allocated to Otago Regional Council shared service income, which has not been provided to their customers since June 2021. Expenditure shows a favourable variance of $14k. Main drivers to this variance are office expenses $15k, staff remuneration $25k and electricity $6k. This is offset by professional fees ($16k) and depreciation ($7k).
· CEO $448k F – Income has an unfavourable variance of ($8k). Expenditure shows a favourable variance of $456k. This is predominately due to the favourable variance for professional fees $99k, staff $283k, other costs $25k and strategic planning $43k.
· Property $1.505M F – Income shows an unfavourable variance of ($847k). This is mainly due to the timing of land sales for the Dunstan subdivision stage 3. This subdivision is waiting for land titles which should be available in March 2023. Expenditure has a favourable variance of $2.352M. This is due to cost of sales which relate to the timing of subdivisions. These includes $508k for Dunstan Park stage 3 and Cemetery Road industrial land $1.936M related to land sales as mentioned earlier.
· Governance and Community Engagement $168k F – Income has a favourable variance of $244k. This is predominately due to the Strategic Tourism Assets Protection Programme funding that was brought forward from last financial year. Expenditure shows an unfavourable variance of ($76k). This is due to annual grant payment made to Central Otago District Arts Trust amounting to $45k and Central Heritage Trust $45k paid in the first half of the financial year as against the budget which is evenly over 12 months periods.
· Planning (Regulatory) $738k F – Income has a favourable variance of $380k. This is due to majority of dog registration fees received in July 2022 to cover the entire 12-months period, along with building permit fees of $245k. Expenditure has a favourable variance of $358k. This is primarily due to professional fees of $200k. This is due to the timing and need of planning consultants $236k, recoverable professional fees ($43k) and legal fees $15k.
· Three Waters ($2.014M) U – Income has an unfavourable
variance of ($627k). This is predominately due to the timing of metered water
sales ($781k). The next meter reads are due in March, April, and May 2023. The
second read is usually higher due to summer months water usage being higher.
Expenditure has an unfavourable variance of ($1.387M). The main drivers include
depreciation of ($1.077M), physical works contract on water supply operations
($492k) and wastewater operations ($250k). The water supply operations have
seen an increase in service requests and re-active repairs. The wastewater
operations variance is due to the July 2022 flooding events where the Omakau
treatment pond was flooded. The repair cost of $165k is being funded through
the emergency works funds.
III. Capital Expenditure
|
|
|
|
|
|
2022/23 |
Progress to date against revised budget |
|
|
Annual Plan |
CAPITAL EXPENDITURE |
YTD Actual |
YTD Revised Budget |
YTD Variance |
|
Revised Budget |
|
|
$000 |
|
$000 |
$000 |
$000 |
|
$000 |
|
|
|
|
|
|
|
|
|
|
|
16,190 |
Council Property and Facilities |
1,575 |
10,114 |
8,539 |
˜ |
24,516 |
6% |
|
400 |
Waste Management |
53 |
453 |
400 |
˜ |
905 |
6% |
|
50 |
Customer Services and Administration |
29 |
47 |
18 |
˜ |
95 |
31% |
|
481 |
Vehicle Fleet |
- |
205 |
205 |
˜ |
597 |
0% |
|
58 |
Planning |
4 |
203 |
199 |
˜ |
407 |
1% |
|
260 |
Information Services |
153 |
709 |
556 |
˜ |
1,493 |
10% |
|
165 |
Libraries |
71 |
237 |
166 |
˜ |
492 |
14% |
|
1,482 |
Parks and Recreation |
483 |
1,131 |
648 |
˜ |
2,551 |
19% |
|
7,205 |
Roading |
1,473 |
4,968 |
3,495 |
˜ |
9,937 |
15% |
|
23,987 |
Three Waters |
14,142 |
17,167 |
3,025 |
˜ |
34,334 |
41% |
|
|
|
|
|
|
|
|
|
|
50,278 |
Grand Total |
17,983 |
35,234 |
17,251 |
|
75,327 |
24% |
This table has rounding (+/- 1)
Waste Management $400k F – The green waste processing project along with the Cromwell transfer station upgrade project have not yet started.
Vehicle Fleet $205k F – Vehicle renewals and purchases are under budget. The vehicle renewals programme is still ongoing, however there are expected delays due to global supply constraints.
Planning $199k F – The dog pound project is at the final drawings stage and is expected to start building towards May/June with the completion in the next financial year. The dog registration software project which was carried over to this financial year has not yet started.
Information Services $556k F – Information service projects are behind budget. Projects include internet and network $104k, people information system $27k, geographic information systems $84k, financial performance improvement $107k, enterprise resource planning information systems $85k, enhanced customer enterprise digital services $39k, enhanced user experience ICT $40K and cyber security $13k.
Libraries $166k F – The Alexandra library building upgrade is behind budget by $138k, with the project in the design stage.
Parks and Recreation $648k F – This is driven by a mixture of the timing of project budgets, work programmes and contractors’ availability to perform the work. Parks and reserves have a favourable variance by $404k, with major projects including Alexandra town centre $167k, Anderson Park $29k, Clyde Fraser Domain $40k, Omakau recreational reserve $96k, Pioneer Park $26k and other reserves Alexandra $35k. The Alexandra town centre includes the Alexandra River Park project which received the required resource consents at the end of December to start the design works. Cemeteries shows a favourable variance of $68k. The Alexandra cemetery landscaping and planting project has been delayed due to the need to install power cables before continuing with this project. Swimming pools has a favourable variance of $130k, including Cromwell Pool $101k and Alexandra Pool $27k.
Roading $3.495M F – This is due to the timing of the work programme and budget. Roading projects includes drainage renewal roading ($91k), grave road renewals $304k, sealed road renewals $568k, minor improvements ($95k), district wide footpath renewals $182k, Clyde Heritage precinct – stage 2 $799k.
Three Waters $3.025 F – This is predominately due to timing of construction works, these can be ahead of budget or behind due to the work programme. The main driver to this variance includes Lake Dunstan water supply ($4.588M). Cromwell water treatment plant has a favourable variance of $2.349M. The project is expected to go into design stage later this financial year and start construction part-way through next financial year. Investigation works have been completed for Bridge Hill falling main with a variance of $239k, design is underway and tender anticipated later in this financial year. Construction is scheduled to begin next financial year. Lake Roxburgh village wastewater treatment plant upgrade has a favourable variance of $397k. The initial scoping and design work is underway. The tender process is likely to occur later this financial year with construction during this financial year.
IV. Internal Loans
Forecast closing balance for 30 June 2023 is $4.14M.
|
OWED BY |
Original Loan |
1 July 2022 |
30 June 2023 Forecast |
|
Opening Balance |
Closing Balance |
||
|
Public Toilets |
670,000 |
468,048 |
443,899 |
|
Tarbert St Bldg |
25,868 |
11,574 |
10,019 |
|
Alex Town Centre |
94,420 |
44,545 |
39,117 |
|
Alex Town Centre |
186,398 |
79,921 |
68,342 |
|
Alex Town Centre |
290,600 |
139,137 |
122,048 |
|
Centennial Milkbar |
47,821 |
18,192 |
14,973 |
|
Vincent Grants |
95,000 |
9,500 |
- |
|
Pioneer Store Naseby |
21,589 |
9,609 |
8,213 |
|
Water |
867,000 |
691,212 |
663,496 |
|
ANZ Bank Seismic Strengthening |
180,000 |
143,504 |
137,750 |
|
Molyneux Pool |
650,000 |
563,650 |
531,150 |
|
Maniototo Hospital |
1,873,000 |
1,723,630 |
1,670,314 |
|
Alexandra Airport |
218,000 |
197,216 |
189,584 |
|
Roxburgh Community Pool Upgrade* |
250,000 |
- |
241,384 |
|
Total |
5,469,695 |
4,099,738 |
4,140,288 |
This table has rounding (+/- 1)
*The Roxburgh Pool loan has no opening balance as it has been uplifted in the 2022/23 financial year.
V. External Loans
|
Owed By |
Original Loan |
1 July 2022 Opening Balance |
Principal |
Interest |
31 December 2022 |
|
Cromwell College |
400,000 |
95,351 |
18,498 |
2,560 |
76,853 |
|
Maniototo Curling |
160,000 |
21,910 |
7,136 |
474 |
14,774 |
|
Oturehua Water |
46,471 |
16,844 |
4,017 |
518 |
12,827 |
|
|
606,471 |
134,105 |
29,651 |
3,552 |
104,424 |
This table has rounding (+/- 1)
Reserve Funds table
· As at 30 June 2022 the Council had an audited closing reserve funds balance of $281k. This reflects the whole district’s reserves and factors in the district-wide reserves which are in deficit at ($27.814M). Refer to Appendix 1.
· Taking the 2021-22 audited Annual Report closing balance and adding 2022-23 income and expenditure, carry forwards and resolutions, the whole district is projected to end the 2022-23 financial year with a closing deficit of ($60.242M). This is dependent of all capital funding being expensed, and based on year-to-date and current comments, this is not a realistic expectation, meaning the reserves should finish with a more favourable result than currently forecast.
Appendix 1 - Audited CODC - Reserve Funds 2022-23 ⇩
|
Report author: |
Reviewed and authorised by: |
|
|
|
|
Donna McKewen |
Saskia Righarts |
|
Accountant |
Group Manager - Business Support |
|
28/02/2023 |
28/02/2023
|
|
|
23.2.11 Adoption of the Local Governance Statement
Doc ID: 615993
1. Purpose of Report
To consider adoption of the Local Governance Statement for the 2022-25 triennium.
|
That the Council A. Receives the report and accepts the level of significance. B. Adopts the Local Governance Statement for the 2022-25 triennium. |
2. Background
Section 40 of the Local Government Act 2002 (the Act) requires a local authority to prepare and make publicly available a local governance statement within six months of each triennial election.
The Act requires Local Governance Statements to include the following:
(a) the functions, responsibilities, and activities of the local authority; and
(b) any local legislation that confers powers on the local authority; and
(ba) the bylaws of the local authority, including for each bylaw, its title, a general description of it, when it was made, and, if applicable, the date of its last review under section 158 or 159; and
(c) the electoral system and the opportunity to change it; and
(d) representation arrangements, including the option of establishing Māori wards or constituencies, and the opportunity to change them; and
(e) members’ roles and conduct (with specific reference to the applicable statutory requirements and code of conduct); and
(f) governance structures and processes, membership, and delegations; and
(g) meeting processes (with specific reference to the applicable provisions of the Local Government Official Information and Meetings Act 1987 and standing orders); and
(h) consultation policies; and
(i) policies for liaising with, and memoranda or agreements with, Māori; and
(j) the management structure and the relationship between management and elected members; and
(ja) the remuneration and employment policy, if adopted; and
(k) equal employment opportunities policy; and
(l) key approved planning and policy documents and the process for their development and review; and
(m) systems for public access to it and its elected members; and
(n) processes for requests for official information.
The Local Governance Statement from 2016 has been updated to meet the purposes of the Act.
3. Discussion
Council is asked to consider the updated Local Governance Statement and decide whether it wishes to make any amendments to the document. As noted above, this is a requirement of the Local Government Act 2002 and has a requirement to have certain matters addressed in it.
4. Financial Considerations
There are no financial considerations as a result of this decision.
5. Options
Option 1 – (Recommended)
Adopt the Local Governance Statement.
Advantages:
· The document has been updated to reflect changes in the organisation and is in line with legislation.
Disadvantages:
· None.
Option 2
Do not adopt.
Advantages:
· None.
Disadvantages:
· Not in line with legislative requirements and may damage the reputation of Council.
6. Compliance
|
Local Government Act 2002 Purpose Provisions |
This decision enables democratic local decision making and action by, and on behalf of communities by providing a snapshot of local governance activities.
|
|
Decision consistent with other Council plans and policies? Such as the District Plan, Economic Development Strategy etc.
|
Adoption of the Local Governance Statement is required by law.
|
|
Considerations as to sustainability, the environment and climate change impacts
|
There are no impacts identified.
|
|
Risks Analysis |
There are no risks associated with this decision.
|
|
Significance, Consultation and Engagement (internal and external)
|
This does not activate the Significance and Engagement Policy. |
7. Next Steps
The Local Governance Statement will be placed online.
Appendix 1 - Draft Local Governance Statement ⇩
|
Report author: |
Reviewed and authorised by: |
|
|
|
|
Wayne McEnteer |
Saskia Righarts |
|
Governance Manager |
Group Manager - Business Support |
|
16/02/2023 |
17/02/2023
|
|
|
Doc ID: 619731
1. Purpose
To consider an update from His Worship the Mayor.
|
That the Council receives the report.
|
Like the rest of the nation, I have been shocked and saddened by the devastation that has been delivered to large parts of our country by the flooding in the North Island, firstly with the storm that brought unprecedented scenes to Auckland and then only days later by the incredible effects of Cyclone Gabrielle. I am sure all our thoughts and sympathies are with those caught up in these events.
Having said that, there are a few things close to home that we need to have in our minds because of these weather events. I don’t say these things in a selfish manner; but they are considerations this council responsibly needs to have as we move toward our LTP. Firstly, can we anticipate another round of shortages of building supplies and supply chain issues as an effect of what has happened? At this stage, we don’t know, but it would be reasonable to expect so, especially as regards building supplies. Secondly, it is fair to consider that the central government money that will be needed to rebuild up north must have some effect on what we can expect to receive in other parts of the country, especially if the rebuild is to be done with no tax increase? I am particularly concerned about the effect of this on our roading budgets. And thirdly, it would seem reasonable to expect the cost of the rebuild to further increase inflationary pressure, with particular emphasis on building inflation. As we head into LTP discussions, this one is an important consideration for us to keep in mind. And finally, can we expect more people from the north to move down this way because of what has happened?
There is no doubt that the recovery is going to take a great amount of time and that through the months if not years ahead, we need to stand strongly beside those that have had their day-to-day lives turned upside down. LGNZ’s “Adopt a Community” scheme is a part of that thinking, with individual councils teaming up to support effected areas. For us in Central, we have been put alongside Central Hawkes Bay, an area which, as the name suggests, is right in the middle of the maelstrom. At this stage, the scheme is as simple as asking those who want to make a monetary donation but find the scale of the problem so large that they don’t know where to begin to consider donating to the CHB Mayoral relief fund. Events such as the shared lunch we will enjoy with staff today can be used as a fundraiser for that fund too. Hopefully as time progresses other ways of offering support will be dreamt up amongst the 33 councils that have so far signed up in support.
I’ve recently taken a bit of flak for not supporting protests over the proposed cuts to the new Dunedin Hospital, so this is a good opportunity to explain my thinking.
Over the last month, I’ve spent many hours listening to the people who have been involved with the new build over the last 5 years, including members of the Local Advisory Group and the Clinical Transformation Group amongst others.
I want to be very clear; if these people had said there was a fight to be fought, I would be marching down George Street with a placard in my hands, no problem.
But they didn’t say that. What they said was:
- The fight was fought back in August 2022 and they got to a place they can live with.
- The cuts to the original plans “have virtually no impact on services or clinical capacity” (Pete Hodgson, Chair Local Advisory Group, former Minister of Health, former Chair SDHB ODT 28/01/23).
- There won’t be a reversal of this decision, so the priority now must be to just get on with it.
Having been repeatedly given this message by the people in the middle, I think it would be an outstanding act of hubris on my part to think I knew better than them, hence the position I’ve taken.
Uncertainty remains with the Lake Onslow project, with an expected announcement delayed by the suspension of the sitting of Parliament due to the cyclone. It may well be that between the time of writing this and the meeting, the announcement will have been made. This uncertainty has significant impact on the landowners involved but also the Teviot Valley community and the wider district. It needs to be remembered though that, when the announcement comes, it is as to whether to progress to a Business Case being prepared, not as to whether the project will proceed or not. So, in a sense, the announcement might be a red light, meaning the whole show is off, or an amber light meaning it might still proceed. What we won’t be seeing is a green light.
What looks like getting a green light, from the developer’s perspective anyway, is a new gold mine in Central Otago, based near Tarras. This mine, if it goes ahead, will be of significant scale and would create 500 jobs in the construction phase and then 500 jobs in the operations phase. There is a lot of water to go under the bridge yet in terms of consents under the Resource Management Act, or whatever it is replaced with depending on timings. As this council will be, at this stage anyway, the consenting authority hearing any application, I won’t be commenting further on the pro’s and con’s of the idea.
I am scheduled to speak on the second of March to the Select Committee on the latest Three Waters legislation before Parliament and will report verbally on that at our meeting. The thrust of what I am submitting on however will be the lack of security for standardised or harmonised pricing under the latest proposal. To me there was at least a strong implication if not an outright promise of standardised pricing in the rhetoric that came through from the government on these reforms and yet there is no guarantee of such in the Bills before Parliament. All the talk of smaller councils benefiting from economies of scale goes out the window without legislative guarantee, leaving us losing our local control but being at the mercy of the pricing policies of a Board based in Christchurch. This is absolutely unacceptable to me and this council, especially given we are well versed with the reality of this through the Customised Price Path granted to Aurora Energy, giving us roughly double the lines charges costs of Dunedin.
It was good to get some clarity from the National Party with its announcement of its 3 waters policy recently. I won’t go into the pro’s and con’s of that policy at this stage, but the current political situation does leave a major problem for councils around the country. At present, we are legislatively required to draft our Long-term Plan with the three waters not being a part of it from their effective date of 1 July 2024. However, if there is a change of government, that philosophy will no longer apply, and we will need to have an LTP ready that keeps our control of our three Waters infrastructure and budgets for that accordingly. When you are talking a third of your business, the difference between the two different LTP’s will be colossal, and the time frame between knowing the outcome of the election (14 October 2023) and the date the new LTP needs passed by (31 June 2024) is nothing. We are going to have to do some serious thinking about how best we handle this situation.
It is crucial that every person in Central Otago takes part in the census on March 7th. This is especially so for those people who may be here on a temporary basis such as shearers, horticultural workers and holiday-makers, as every person counted counts towards population-based funding the district receives from central government.
It has been an absolute treat to be able to attend A+P Shows again and to enjoy the getting-together with people from far and wide. Other commitments kept me away from the Central Otago Show in Omakau but I hear it was a great success. Praise must be given to the organisers of the Maniototo Show in putting it on during a boil water notice regime and I really enjoyed that show alongside the Mount Benger one later in the week. It is so good to feel things are returning to normal again, at least as far as the pandemic is concerned.
Other happenings since we last met:
20/1 Two zoom meetings re new Dunedin Hospital
25/1 COLAB business breakfast at Industry Lane
26/1 Meeting with Otago Goldfields Heritage Trust re World Gold Panning Championships
27/1 Meeting of South Island Mayors, CE’s and iwi leaders re constitution for new water entity
29/1 Chinese New Year celebration at Lawrence
30/1 Met on site with organiser Clyde Wine and Food Festival
31/1 VCB meeting
2/2 LGNZ National Council meeting
3/2 Spoke to Teviot Valley Friendship Group
3/2 Spoke to Teviot Valley Rest Home residents
6/2 Attended and spoke at Ngaī Tahu Waitangi Day commemorations at Ōtākou marae
7/2 Attended Otago/Southland Te Rōpū Taiao meeting in Dunedin
7/2 Attended combined Otago/Southland Mayoral Forum in Dunedin
8/2 Roxburgh business breakfast
9/2 CCB workshop
13/2 Met with new members of Toursim Advisory Board
15/2 Attended Maniototo A+P Show
15/2 Zoom meeting with Local Advisory Group re Dunedin Hospital build
16/2 Business South Advisory Committee meeting
16/2 Dinner with Contact Energy Board
17/2 Citizenship Ceremony
18/2 Mt Benger A+P Show
21/2 Meeting of Manuherekia Exemplar Project Governance Group.
22/2 In Wellington doing media for “Adopt a Community”
23/2 Meeting with Earl Bardsley re Onslow
23/2 Introduced Lance Burdett at Roxburgh well-being meeting
Nil
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Report author: |
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Tim Cadogan |
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Mayor |
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27/02/2023
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23.2.13 March 2023 Governance Report
Doc ID: 615313
1. Purpose
To report on items of general interest, receive minutes and updates from key organisations, consider Council’s forward work programme, business plan and status report updates.
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That Council A. Receives the report and accepts the level of significance. B. Ratifies the Future for Local Government submission in Appendix 2 of the report. |
2. Discussion
Otago Museum Report to Contributing Local Authorities
Attached is the Otago Museum report to contributing local authorities to December 2022. It was previously sent to Councillors for their information (see appendix 1).
Submission on the Future for Local Government
Attached is the submission from Council for the Future for Local Government review. This finalised version was previously sent to Councillors following the call for feedback on the document (see appendix 2). Councillors are asked to ratify the document.
Status Reports
The status reports have been updated with any actions since the previous meeting (see appendix 3).
Appendix 1 - Otago Museum Report to Contributing Local Authorities ⇩
Appendix 2 - Future for Local Government submission ⇩
Appendix 3 - Council Status Updates ⇩
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Report author: |
Reviewed and authorised by: |
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Wayne McEnteer |
Saskia Righarts |
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Governance Manager |
Group Manager - Business Support |
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24/02/2023 |
28/02/2023
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23.2.14 Minutes of the Vincent Community Board Meeting held on 31 January 2023
Doc ID: 617048
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That the unconfirmed Minutes of the Vincent Community Board Meeting held on 31 January 2023 be noted.
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Appendix 1 - Minutes of the Vincent Community Board Meeting held on 31 January 2023
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Vincent Community Board Minutes |
31 January 2023 |
MINUTES OF A mEETING OF THE Vincent Community Board
HELD IN THE Ngā
Hau e Whā, William Fraser Building, 1 Dunorling Street, Alexandra
AND LIVE STREAMED VIA MICROSOFT TEAMS ON Tuesday, 31 January 2023 COMMENCING AT
2.00 pm
PRESENT: Cr T Alley (Chairperson), Dr R Browne, Cr J Cromb, Mr T Hammington, Mr D Johns, Cr M McPherson, Cr T Paterson
IN ATTENDANCE: T Cadogan (Mayor), S Jacobs (Chief Executive Officer), S Righarts (Group Manager - Business Support), D Rushbrook (Group Manager - Community Vision), D Scoones (Group Manager - Community Experience), L van der Voort (Group Manager - Planning and Infrastructure), G Robinson (Property and Facilities Manager), C Martin (Property and Facilities Officer – Vincent and Teviot Valley), G Bailey (Parks and Recreation Manager), A Rogers (Principal Policy Planner), S Reynolds (Customer Service Officer) and W McEnteer (Governance Manager)
Note: The Chair referred to the death of Judy Elliot-Hall, former Alexandra Community Board member. Members stopped for a moment’s silence as a mark of respect.
1 Apologies
There were no apologies.
2 Public Forum
Anna Robinson – Vallance Cottage Working Group
Ms Robinson gave an overview of recent initiatives by the Vallance Cottage Working Group to increase patronage, including the ability for visitors to access the cottage even when volunteer staff were not on site.
Wayne Harrex – Dunstan Equestrian Centre
Mr Harrex spoke in support of the proposed upgrades at the Dunstan Equestrian Centre, in particular the public toilets at the site.
Lynda Gray – Central Otago Riding for the Disabled
Ms Gray spoke in support of the proposed upgrades at the Dunstan Equestrian Centre and provided an outline of the programme offered by Central Otago Riding for the Disabled. She then responded to questions.
Phil Murray – Central Otago Wilding Conifer Control Group
Mr Murray spoke regarding the work of the Central Otago Conifer Control Group. He then responded to questions.
Ken Churchill – Pines at the Half Mile
Mr Churchill spoke to the removal of pines at the Half Mile. He noted that his preference was a staged removal or to leave the trees.
Chris Winter – Pines at the Half Mile
Mr Winter spoke to the removal of the pines at the Half Mile. He also noted a preference for a staged removal if the trees must be felled. He then spoke to the ecology of the reserve.
Ingrid Mueller - Pines at the Half Mile
Ms Mueller spoke to the removal of the pines at the Half Mile. She noted that the entrance to Alexandra could look messy if the trees were felled at once and that it would take a long time for native trees to establish themselves.
3 Confirmation of Minutes
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Committee Resolution Moved: Browne Seconded: Paterson That the public minutes of the Vincent Community Board Meeting held on 22 November 2022 be confirmed as a true and correct record. Carried |
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
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23.1.2 Half Mile Recreation Reserve Development Plan Survey |
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To consider the results of the survey undertaken by Council seeking feedback on the Half Mile Recreation Reserve development plan and the removal of wilding conifers from the Half Mile Recreation Reserve in Alexandra. After discussion the report was received. A motion was put forward to propose the removal of all the trees at the Half Mile Reserve, but that motion was lost. A further motion was put forward to stage the removal of the trees at the Half Mile Reserve. |
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Committee Resolution Moved: Paterson Seconded: Hammington That the Vincent Community Board A. Receives the report and accepts the level of significance. Carried |
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Committee Recommendation Moved: Paterson Seconded: Cromb B. Supports the removal of all wilding conifers from the Half Mile Recreation Reserve. LOST |
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Committee Resolution Moved: McPherson Seconded: Browne B. Agrees to the staging of the removal of the wilding conifers on the Half Mile Recreation Reserve. CARRIED with Cr Paterson and Mr Cromb recording their vote against. |
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After discussion it was agreed that although the resolution B had been carried it might contravene the Wilding Pines Policy. It was decided that Council should first be consulted to determine whether a staged approach over a set period of time would be in breach of the Wilding Pines Policy.
Resolution B was altered by the meeting in accordance with Standing Order 24.5. |
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Committee Resolution Moved: McPherson Seconded: Hammington B. Asks Council to determine whether a staged approach to the removal of pines is a breach of the Wilding Pines Policy. Carried |
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After discussion it was agreed the remaining items should be left on the table until Council could determine any potential breach.
Note: Cr McPherson left the meeting at 3.46 pm. |
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Committee Resolution Moved: Cromb Seconded: Hammington C. Agrees to leave the remaining recommendations on the table until a determination from Council was known. Carried |
Note: Cr McPherson returned to the meeting at 3.48 pm.
Note: Mr Cromb left the meeting at 3.49 pm.
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23.1.3 Vallance Cottage Working Group - Update |
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To consider the update provided by the Vallance Cottage Working Group. |
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Committee Resolution Moved: Paterson Seconded: Johns That the report be received. Carried |
Note: Mr Cromb returned to the meeting at 3.51 pm.
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23.1.4 Central Otago Riding for the Disabled and Dunstan Equestrian Centre Development. |
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To consider the Central Otago Group Riding for the Disabled and Dunstan Equestrian Centre proposed development for the Dunstan Recreation Reserve. |
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Committee Resolution Moved: McPherson Seconded: Cromb That the Vincent Community Board A. Receives the report and accepts the level of significance. B. Agrees in principle to support the Central Otago Group Riding for the Disabled and Dunstan Equestrian Centre proposed development for the Dunstan Recreation Reserve. Subject to the Board’s further approval of a feasibility study, concept plans, high level costings, and proposed funding structure. C. Agrees to an extension of the lease held by the Central Otago Riding Group for the Disabled over Section 6 Survey Office 524226, for two years, together with the right for the tenant to give two months’ notice to terminate. The new final expiry date is 30 June 2025. Carried |
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23.1.5 Plan Change 19 Update |
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To update the Community Board on the progress of Plan Change 19 including detailing the process, submissions received, and next stages. |
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Committee Resolution Moved: Alley Seconded: Paterson That the report be received. Carried |
6 Mayor’s Report
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23.1.6 Mayor's Report His Worship the Mayor gave a verbal update of his activities since the last meeting before responding to questions. |
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Committee Resolution Moved: Alley Seconded: McPherson That the Vincent Community Board receives the report. Carried |
7 Chair's Report
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23.1.7 Chair's Report |
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The Chair gave an update on activities and issues since the last meeting: · Attended the first meeting of Tourism Advisory Board. · Attended a governance workshop. · Attended meetings for the Future for Local Government review. · Noted that she had submitted several service requests. · Noted the recent flooding events in Auckland. · Noted the upcoming Vallance Cottage open day. |
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Committee Resolution Moved: Alley Seconded: Browne That the report be received. Carried |
8 Members' Reports
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23.1.8 Members' Reports |
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Members gave an update on activities and issues since the last meeting: Dr Browne reported on the following: · Noted work done on the Lower Manorburn Recreation Reserve. · Attended a meeting of Keep Alexandra / Clyde Beautiful. · Attended a strategic planning day for Central Otago District Arts Trust. Mr Johns reported on the following: · Noted that camping grounds and motels had been very full over the holiday season. · Attended a Vallance Cottage Working Group meeting. · Noted a meeting with the RSA regarding wood that would be delivered to their members. Cr McPherson reported on the following: · Attended the funeral of Judy Elliot-Hall. · Noted several service requests submitted and was happy with the response. · Noted that things looked tidy around Alexandra. Cr Paterson reported on the following: · Noted the upcoming 125th Central Otago A&P Show, which would be held in Omakau. Mr Hammington reported on the following: · Noted the pre-Christmas awards from the Alexandra/Clyde business group. Mr Cromb reported on the following: · Attended a meeting with Phil Murray · Attended the CoLab business breakfast. · Noted that the Alexandra Council for Social Services would meet shortly. · Planned to attend the Young Elected Members Zoom session. |
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Committee Resolution Moved: Alley Seconded: Paterson That the report be received. Carried |
Note: Cr McPherson left the meeting at 4.18 pm and returned at 4.19 pm.
9 Status Reports
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23.1.9 January 2023 Governance Report |
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To report on items of general interest, receive minutes and updates from key organisations and consider the status report updates. |
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Committee Resolution Moved: Browne Seconded: Johns That the report be received. Carried |
10 Date of The Next Meeting
The date of the next scheduled meeting is 21 March 2023.
11 Resolution to Exclude the Public
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Committee Resolution Moved: Cromb Seconded: Alley 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:
Carried |
The public were excluded at 4.20 pm and the meeting closed at 4.21 pm.
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23.2.15 Minutes of the Teviot Valley Community Board Meeting held on 2 February 2023
Doc ID: 617574
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That the unconfirmed Minutes of the Teviot Valley Community Board Meeting held on 2 February 2023 be noted.
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Appendix 1 - Minutes of the Teviot Valley Community Board Meeting held on 2 February 2023
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Teviot Valley Community Board Minutes |
2 February 2023 |
MINUTES OF A mEETING OF THE
Teviot Valley
Community Board
HELD IN THE Roxburgh
Service Centre, 120 Scotland Street, Roxburgh
AND LIVE STREAMED VIA MICROSOFT TEAMS ON Thursday, 2 February 2023 COMMENCING AT
2.02 pm
PRESENT: Cr N Dalley (Chairperson), Mr M Jessop, Cr S Feinerman, Ms G Booth, Mr R Read
IN ATTENDANCE: S Jacobs (Chief Executive Officer), D Rushbrook (Group Manager - Community Vision), L van der Voort (Group Manager - Planning and Infrastructure), W McEnteer (Governance Manager), S Reynolds (Customer Service Officer)
1 Apologies
There were no apologies.
2 Public Forum
There was no public forum.
3 Confirmation of Minutes
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Committee Resolution Moved: Feinerman Seconded: Jessop That the public minutes of the Teviot Valley Community Board Meeting held on 24 November 2022 be confirmed as a true and correct record. Carried |
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
In accordance with item 9.9 of the Standing Orders, the Chief Executive informed the Chair that item 23.1.2 of the agenda had been withdrawn.
6 Mayor’s Report
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23.1.3 Mayor's Report His Worship the Mayor was not present at the meeting. |
7 Chair's Report
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23.1.4 Chair's Report |
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The Chair gave an update and reflected on his first four months in the Chair and his focus for the triennium. In particular he noted that a number of community members did not understand the process for requesting a service from the council and that work needed to be done to improve that. |
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Committee Resolution Moved: Jessop Seconded: Dalley That the report be received. Carried |
8 Members' Reports
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23.1.5 Members' Reports |
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Members gave an update on activities and issues since the last meeting:
Cr Feinerman reported on the following:
· Attended Teviot Prospects meeting. · Attended Walkways meeting. · Attended Teviot Hubs meeting. · Attended Swimming Pool meeting and gave an update to members on current developments. · Noted an issue with rubbish at Three Beaches. Also expressed concern for potential fire hazard at a road closure at Three Brothers Road, Teviot.
Mr Read reported on the following:
· Noted the need for more trees to be planted in the main street of Roxburgh. · Attended a I & H McPhail Charitable Trust meeting. · Noted that the assets of the squash club have been given to the Roxburgh Area School.
Ms Booth reported on the following:
· Attended a LGNZ meeting in Dunedin. · Attended a Medical Services Trust meeting.
Mr Jessop reported on the following:
· Attended a Museum meeting. · Attended a Teviot Prospects meeting. · Attended a CODC Onslow meeting. · Attended Millers Flat Community meeting. · Noted recent enquiries related to the proposed Gold Mine in Millers Flat, and to the forthcoming changes in green waste collection. · Noted that the Cavalcade would finish in Millers Flat on Saturday 4th March.
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Committee Resolution Moved: Dalley Seconded: Feinerman That the report be received. Carried |
9 Status Reports
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23.1.6 February 2023 Governance Report |
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To report on items of general interest, receive minutes and updates from key organisations and consider the legacy and current status report updates. |
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Committee Resolution Moved: Dalley Seconded: Booth That the report be received. Carried |
10 Date of The Next Meeting
The date of the next scheduled meeting is 23 March 2023.
11 Resolution to Exclude the Public
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Committee Resolution Moved: Jessop Seconded: Feinerman 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:
Carried |
The public were excluded at 2.27pm and the meeting closed at 2.36pm
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23.2.16 Minutes of the Cromwell Community Board Meeting held on 9 February 2023
Doc ID: 617875
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That the unconfirmed Minutes of the Cromwell Community Board Meeting held on 9 February 2023 be noted.
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Appendix 1 - Minutes of the Cromwell Community Board Meeting held on 9 February 2023
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Cromwell Community Board Minutes |
9 February 2023 |
MINUTES OF A mEETING OF THE
Cromwell Community
Board
HELD IN THE Cromwell
Service Centre, 42 The Mall, Cromwell
AND LIVE STREAMED VIA MICROSOFT TEAMS ON Thursday, 9 February 2023 COMMENCING AT
2.00 pm
PRESENT: Ms A Harrison (Chair), Mr B Scott, Cr S Browne, Cr N Gillespie, Cr C Laws, Ms M McConnell
IN ATTENDANCE: Q Penniall (Acting Chief Executive Officer), D Rushbrook (Group Manager - Community Vision) (via Teams), G Bailey (Acting Group Manager - Community Experience), L Webster (Acting Group Manager - Planning and Infrastructure), S Finlay (Chief Financial Officer), R Williams (Community Development Advisor), D Beange (Welcoming Communities Officer), G Robinson (Property and Facilities Manager), A Rodgers (Principal Policy Planner), M De Cort (Communications Coordinator), S Reynolds (Customer Services Officer) and W McEnteer (Governance Manager)
1 Apologies
There were no apologies
2 Public Forum
Rosanna Ottaway
Ms Ottaway provided an outline of an idea Connect Cromwell had for funding secure bike locks in Cromwell township. She then responded to questions.
Paula Clark and Mike Driscoll
Ms Clark and Mr Driscoll gave an update on the proposed renovations for the Cromwell Sports Club. They then responded to questions.
3 Confirmation of Minutes
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Committee Resolution Moved: Scott Seconded: Browne That the public minutes of the Cromwell Community Board Meeting held on 28 November 2022 be confirmed as a true and correct record. Carried |
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
Note: Martin Anderson and Jennifer Hay from Cromwell Museum joined the meeting for item 23.1.2.
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23.1.2 Cromwell Museum - Updated Memorandum of Understanding and New Trustee |
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To consider an updated memorandum of understanding with the Cromwell Museum Trust and the endorsement of a new Trustee. |
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Committee Resolution Moved: Gillespie Seconded: Scott That the Cromwell Community Board A. Receives the report and accepts the level of significance. B. Approves the updated memorandum of understanding with the Cromwell Museum Trust, as attached at appendix 1 of the report. C. Endorses Donna Hipkins as the new trustee to the Cromwell Museum Trust. Carried |
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23.1.3 Cromwell Sports Club Request for Funding |
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To consider a request for funding from the Cromwell Sports Club Incorporated to upgrade its facilities on Anderson Park Recreation Reserve. |
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Committee Resolution Moved: Laws Seconded: McConnell That the Cromwell Community Board A. Receives the report and accepts the level of significance for the release of the Cromwell Sports Club Reserve Fund. B. Agrees to release the Cromwell Sports Club Fund reserve (3151) amount of $69,333 to the Cromwell Sports Club towards the upgrade of its facilities. C. Agrees to consider any additional contribution towards the upgrade of the Cromwell Sports Club facilities on Anderson Park Recreation Reserve as part of the 2024-34 Long-term Plan process. D. Agrees that the release of the Cromwell Sports Club Fund reserve (3151) is subject to the Sports Club achieving its fundraising targets from other funders. Carried |
Note: Rebekah de Jong from the Central Otago District Arts Trust joined the meeting for item 23.1.4.
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23.1.4 Multicultural Mural on the Cromwell Football Club on Alpha Street |
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To approve the placement of a multicultural mural that reflects the diversity of the community on the Cromwell Football Club building on Alpha Street in Cromwell. After discussion it was noted that the name of the building was the Alpha Street Pavilion and that this should be recognised in the resolution. |
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Committee Resolution Moved: Browne Seconded: Scott That the Cromwell Community Board A. Receives the report and accepts the level of significance. B. Approves installation of a multicultural mural on the Alpha Street Pavilion building on Alpha Street in Cromwell. C. Agrees to proceeding with installation on either the Southern and Western façade (facing playgrounds) or only Southern façade (facing Alpha Street), depending on upcoming building renovations. Carried |
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23.1.5 Cromwell Memorial Hall/Events Centre Project Update |
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To present update on preliminary design for the Cromwell Memorial Hall/Events Centre. After discussion it was agreed that the Board should endorse both the preliminary design and next steps, rather than just receive an update on them. |
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Committee Resolution Moved: Browne Seconded: McConnell A. Receives the report and accepts the level of significance. B. Endorses the preliminary design of the Cromwell Memorial Hall/ Events Centre for engagements with the community. C. Endorses the next steps as outlined in the report: · Preliminary design information released to public on the Let’s Talk – consultation section of the Central Otago District Council webpage. · Schedule drop-in sessions for public feedback in March. · Meeting with external funders. · Completion of developed design. · Project Advisory Group review in March and April. · Developed design presented to the Board for approval at May meeting. Carried |
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23.1.6 Plan Change 19 Update |
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To update the Community Board on the progress of Plan Change 19 including detailing the process, submissions received, and next stages. |
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Committee Resolution Moved: Browne Seconded: Laws That the report be received. Carried |
6 Mayor’s Report
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23.1.7 Mayor's Report His Worship the Mayor was not present at this meeting. |
7 Chair's Report
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23.1.8 Chair's Report |
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The Chair gave an update on activities and issues since the last meeting: · Attended the By-Election candidates public meeting. · The Chair hoped that everyone has placed their vote for the Cromwell Community Board by-election. |
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Committee Resolution Moved: Harrison Seconded: Browne That the report be received. Carried |
8 Members' Reports
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23.1.9 Members' Reports |
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Members gave an update on activities and issues since the last meeting: Mr Scott reported on the following: · Attended the ‘A Very Central Christmas’ event at McNulty House. · Attended the Cromwell and Districts Promotions Group meeting. · Attended the By-Election candidates public meeting. Cr Browne reported on the following: · Attended the Tarras Community Group meeting. · Attended the inaugural Cromwell Athletics Club meeting. Cr Gillespie reported on the following · Advised of some items of interest from the December Council meeting – Private Plan Change 21 was approved in principal. The Plan Change 22 - Dark Sky was reported on and will be reported back on for approval. · Advised of some items of interest from the January Council meeting - Three Waters Forward Works Program to 30 June 2024. Noted the passing of the following policies: Memorials Policy, Roading Bylaw, Closed Circuit Television Policy, Fraud, Bribery and Corruption Policy and the Policies Policy. · Noted concern around the extreme fire risk in the district. Cr Laws reported on the following · Apologies to the Historic Precinct Meeting · Advised of an item of interest from the January Council meeting – noting that Waitaki District Council are running a training meeting which will be attended by some of the Council and Community Board members Ms McConnell reported on the following: · Attended the Central Otago symposium on the Resource Management Law Reform.
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Committee Resolution Moved: Scott Seconded: Browne That the report be received. Carried |
9 Status Reports
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23.1.10 February 2023 Governance Report |
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To report on items of general interest, receive minutes and updates from key organisations and consider current status report updates. |
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Committee Resolution Moved: Gillespie Seconded: McConnell That the report be received. Carried |
10 Date of The Next Meeting
The date of the next scheduled meeting is 22 March 2023.
11 Resolution to Exclude the Public
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Committee Resolution Moved: Gillespie Seconded: Browne 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:
Carried |
Note: The public were excluded at 3.45 pm and the meeting closed at 5.19 pm.
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8 March 2023 |
The date of the next scheduled meeting is 30 March 2023.
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8 March 2023 |
10 Resolution to Exclude the Public
[1] As invoiced by the Otago Museum for the 2022/23 financial year. Please note this figure varies slightly from the amount quoted by Otago Museum in the attached Annual Plan ($32,732)
[2] Otago Museum Trust Board Act 1996, s. 17 Otago Museum Trust Board Act 1996 No 1 (as at 30 January 2021), Local Act Contents – New Zealand Legislation
[4] Otago Museum Trust Board Act 1996, s. 17 Otago Museum Trust Board Act 1996 No 1 (as at 30 January 2021), Local Act Contents – New Zealand Legislation
