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Milford
Community Trust
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07 December 2016
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Milford Community Trust
STATEMENT OF INTENT
1. Introduction
The Milford Community Trust was established in 2007 by the
Southland District Council and the Department of Conservation with the
assistance of Environment Southland for the purposes of providing leadership
and governance for the Milford community.
The Trust Deed defines Milford as the developed area of land
and adjacent coastal marine area at the end of State Highway 94 at the head of
Milford Sound. It defines the Milford community as being the residents of
Milford, the holders of concessions from the Crown operating at Milford and
Iwi.
The purpose of this Statement of Intent (SOI) is to:
§ Set
out the proposed activities of the Trust.
§ Provide
an opportunity for stakeholders to influence the direction of the organisation.
§ Provide a basis for
accountability of the Trustees to their stakeholders for the performance of the
organisation.
This Statement of Intent covers the three years from 1 July
2017 to 30 June 2020. The statement is updated annually.
2. Objectives
of the Trust
The objectives of the Trust are:
(a) To
manage and carry out services and undertake leadership, planning and advocacy
for the general benefit of the Milford community so as to ensure as far as
possible that the infrastructure of the community and its sense of identity,
viability and wellbeing are maintained and enhanced.
(b) To
liaise with and communicate with all individuals, organisations, groups and
other parties with interests in the Milford community for all purposes which
are beneficial to the community.
(c) To
represent the interests of the Milford community to ensure that the natural
environments and outstanding values of the Milford Sound area are safeguarded
and protected for all residents and visitors to the area.
(d) To
monitor and maintain an overview of all activities and services provided within
the Milford community.
(e) To
consider and report on all matters either referred to and/or delegated to it
from time to time by the Department of Conservation and the Southland District
Council and on any matter of interest or concern to the Milford
community.
(f) To
access, use or invest funds and enter into arrangements, contracts and other
agreements upon such securities or in such manner and upon such terms and
conditions that the Trustees deem suitable for the purpose of furthering the
objects and purposes of the Trust.
(g) To
carry out such other lawful activities which are incidental or conducive to
attaining the objects and purposes of the Trust.
3. Statement
on the Trust’s Approach to Governance
Establishment
The Milford Community Trust was
established in 2007 following a process of consultation with residents,
agencies and businesses with interests in Milford in accordance with the
special consultation process set out in the Local Government Act 2002.
The inaugural meeting of the Trust was held on 18 April 2007.
In terms of the Local Government Act, the Trust is defined
as a Council Organisation reporting to the Southland District Council.
The Trust was incorporated under the Charitable Trusts Act 1957 on 18 May
2007. The Charities Commission has approved the Trust as being exempt for
tax purposes.
Trust Structure
In accordance with Section 9 of the Trust Deed, the Trust is
governed by a board of seven Trustees. Current representatives from
stakeholder groups are shown in the table below:
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Designation
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Name
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Term Expires
30 June
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Independent Chair
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Michael Schuck
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2017
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Mararoa-Waimea
Ward Councillor, ex-officio appointment
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Ebel Kremer
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Oct
2019
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Milford Community Association
elected representative
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Brad Johnstone
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2017
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Milford Community appointee
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Tim Holland
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2020
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Milford Community appointee
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Jason Steele
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2018
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Milford Community appointee
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Mike McConachie
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2018
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Milford Community appointee
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Rosco Gaudin
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2019
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Trust Operations
The Trust Deed sets out the way in which business of the
Trust is to be conducted. A strong driver is that the local Milford
community should determine its own priorities and agree on the funding for
these. The Trust strives to regularly review its performance and to be
open and accountable to the community through public meetings. The
Trustees also undertake to meet the regulatory and stakeholder requirements for
governance, reporting and planning, particularly the local government reporting
requirements and recognition of the National Park and World Heritage Area
status of the Milford Sound Piopiotahi area.
Resources Available to the Trust
Standing Orders, a Code of Conduct for Trustees and
administrative support is available from Southland District Council.
Significant Policies
The Trust has a comprehensive Communications Policy in
relation to its activities. Where appropriate, other policy guidance is
obtained from relevant council and other statutory authority policy. It
is expected that a full set of all relevant policies will be developed within
the period covered by this Statement.
4. The
Nature and Scope of the Activities to be Under-taken
Vision
The Trust’s vision is:
The long-term sustainability of Milford Sound Piopiotahi.
Strategic Goals
The primary goals of the Trust
are to:
§ Provide
leadership and governance for the Milford community
in Milford Sound Piopiotahi.
§ Monitor
the adequacy of all arrangements to ensure sustainability.
§ Advocate
for the general benefit of the Milford community.
§ Coordinate and
communicate with all parties having interests in Milford Sound Piopiotahi.
§ Undertake formal
consultation on behalf of the Department of Conservation in relation to their
services and facilities to be provided for the benefit of the Milford
community.
Within the over-arching vision and strategic goals, the more
specific focus areas for
2017-2020 are:
Planning:
§ Planning
to address specific issues: highway safety, control of illegal camping, toilet
facilities, community facilities, and coordinated emergency response.
Communication:
§ Communicate
the roles of the Trust and other authorities more clearly to the Milford
community.
§ Communicate
the World Heritage Area status and relevance of this to Milford.
§ Affirm
the Trust role as a voice for the Milford community.
§ Maintain
closer relationships with Milford infrastructure providers.
§ Provide
clear information to concessionaires regarding intentions and implementation of
Trust policies.
§ Communicate with concessionaires
and enquire of any planned activities they desire for the next three years and
to adopt the SOI which is to be sent to all Concessionaires.
Advocacy:
§ Advocate on behalf of
the Milford community to central government, Environment Southland, Department
of Conservation, Southland District Council, Iwi and other authorities.
Planned Activities/Services
2017/18:
§ Advocate
and assist with other organisations for improvements in the public facilities
at Deepwater Basin through the Concept Plan for this area. Recommend this be deleted.
§ Advocate with other
organisations for public toilets and shelter at the airport and completion of
the walking track to the Lodge. Recommend retention
noting that the Trust is operating in an advocacy role and funding options need
to be investigated.
§ Assist
the Milford Community Association with the development of the Cleddau Village Recreation
area which is to accommodate the village green/community
centre. Recommend this be given priority.
§ Provide
funding for medical support, services and facilities for Milford ERT station. Recommend this be retained.
§ Funding
of the Team Leader Emergency Services Recommend the
following be added - ‘together with engaging the role of the Fiordland
Medical Services.’
§ Assist
with the redevelopment of the Bowen Falls walkway if this project is to proceed
Recommend this be deleted.
§ Implement
changes to any charging mechanism with all stakeholders in regard to the way
fees are apportioned this includes undertaking a Review of the Trust and
charging mechanism with stakeholders including concessionaires. Recommend retention.
§ Engage
with NZTA for the development of the walking track from the airport to
Deepwater Basin Road, car parking at the rock climbing area etc. Recommend retention.
§ Advocate
the continuation of maintaining beautification and roading within the village. Recommend retention.
2018/19:
§ Facilitate
on-going Development of a future focused plan for the Milford ERT station
including medical support and services. Recommend
this concept be reviewed.
§ Provide
funding for medical support, services and facilities for Milford ERT station. Recommend this be retained.
§ Purchase
of emergency response equipment as required. Recommend
retention.
§ Promote
progressive development of Deepwater Basin area in conjunction with DOC and
commercial operators. Recommend this be deleted.
§ Advocate
and monitor camping ground facilities with affected organisations on western Milford
side of Homer Tunnel. Retain - Trust to
consider, is this the role of the Trust.
§ Advocate the
continuation of maintaining beautification and roading issues within the
village. Recommend retention.
§ Review of the
requirements and funding of the Team Leader Emergency Services. Recommend this be retain but reviewed.
§ Assist the Milford
Community Association with the on-going development of the Cleddau Village
Recreation Area to accommodate the village green/ community
centre. Recommend retention.
§ Assist with the
development of the Bowen Falls walkway if not completed. Recommend this be deleted.
§ Advocate
with other organisations for public toilets and shelter at the airport and
completion of the walking track to the Lodge. Recommend retention noting that the Trust is operating in an
advocacy role and funding options need to be investigated.
2019/20:
§ Provide
funding for medical support, services and facilities for Milford ERT station. Recommend this be retained.
§ Purchase of emergency
response equipment as required. Recommend retention.
§ Advocate maintaining
beautification and roading issues within the village. Recommend
retention.
§ Funding
of the Team Leader Emergency Services. Recommend
outcome of review noted in 18/19 for all medical services is relating to this
activity.
§ Assist
with the redevelopment of the Bowen Falls walkway if not completed. Recommend deletion.
§ Assist the Milford
Community Association with the on-going development of the Cleddau Village
Recreation Area which is to accommodate the village
green/community centre. Recommend its continued retention.
§ Advocate
with other organisations for public toilets and shelter at the airport and
completion of the walking track to the Lodge. Recommend
retention noting that the Trust is operating in an advocacy role and funding
options need to be investigated.
5. Ratio
of Total Assets: Equity
Total assets are defined to include cash, investment and
bank balances, accounts receivable, investments, prepayments, fixed assets (net
of accumulated depreciation), intangible assets (net of accumulated
amortisation), loans (none), etc.
Total equity is defined to include accumulated funds and
retained earnings.
The ratio of total assets to total equity is planned at 1:1.
6. Significant
Accounting Policies
The following accounting policies have been adopted by the
Trust.
Revenue Recognition
Concessionaires Fees
Revenue is recorded when the fee is due to be received.
Donated Assets
Revenue from donated assets is recognised upon receipt of
the asset if the asset has a useful life of 12 months or more, and the value of
the asset is readily obtainable and significant.
Interest
Interest revenue is recorded as it is earned during the
year.
Debtors
Debtors are initially recorded at the amount owed. When it
is likely the amount owed (or some portion) will not be collected, a provision
for impairment and the loss is recorded as a bad debt expense. Debtors are shown as GST inclusive.
Bank Accounts and Cash
Bank accounts and cash comprise cash on hand, cheque or
savings accounts, and deposits held at call with banks.
Creditors and Accrued Expenses
Creditors and accrued expenses are measured at the amount
owed.
Property, Plant and Equipment
Property, plant and equipment is recorded at cost, less
accumulated depreciation and impairment losses.
Donated assets are recognised upon receipt of the asset if the asset has a useful life of 12 months or more, and the
value of the asset is readily obtainable and significant. Significant donated
assets for which current values are not readily obtainable are not recognised.
For an asset to be sold, the asset is impaired if the
market price for an equivalent asset falls below its carrying amount.
For an asset to be used by the Trust, the asset is impaired
if the value to the Trust in using the asset falls below the carrying amount of
the asset.
Depreciation is provided on a diminishing value basis that
will write off the cost of the assets over their useful lives. This is
calculated using the following rates:
Equipment 40% Diminishing Value
Income Tax
The Trust is exempt from income tax as it is a Charitable
Trust registered under the Charities Commission.
Budget Figures
The budget figures are derived from the Statement of Intent
as approved by the Trustees at the beginning of the financial year. The
budget figures have been prepared in accordance with tier 3 standards, using
accounting policies that are consistent with those adopted by the Trustees in
preparing these financial statements.
Changes in Accounting Policies
There
have been no changes to the accounting policies applied in the financial statements
to the prior year.
7. Key
Performance Targets
The Trust has two levels of
indicators:
(a) The first relates to the
achievement of objectives set by the Trust and carried through to the Long Term
Plan (LTP). These are agreed through a public consultation process
undertaken by the Southland District Council. These targets can be
changed only through a formal review of the LTP.
(b) The second set of are
generic internal performance measures:
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Level
of service
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Key
performance indicator
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Actual
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Target
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Confirmation
source
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15/16
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16/17
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17/18
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18/19
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Maintain
a structure that facilitates local decision-making.
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Hold
public forums in Milford each year.
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1
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1
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1
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1
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Agenda/minute
records on file which note meeting location
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Keep
the Milford community informed about Trust plans and outcomes.
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Community
newsletters following MCT meetings.
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Not achieved
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2
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2
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2
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Copies
of Community newsletters
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Provide
leadership and advocacy on major issues.
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Number
of Milford Community Trust meetings held annually.
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4
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4
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4
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4
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Agenda/minute
records on file.
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Response
to issues raised by the community.
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Percentage
of issues raised at Milford Community Association meetings responded to prior
to next meeting.
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100%
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85%
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85%
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85%
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Copies
of Milford Community Association letters/minutes and MCT correspondence in
response
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Milford
Community Association meetings
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To
be reported at MCT meetings.
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Not achieved
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4
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4
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4
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Agenda/minutes
records on file.
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8. Information
to be Reported to Council
In each year the Trust will
comply with all reporting requirements under the Local Government Act 2002
(particularly Sections 66 to 69 of that Act). In particular, it will
provide:
§ A draft
Statement of Intent detailing all matters required under the Local Government
Act 2002 by 1 March each year for consideration prior to commencement of the
new financial year.
§ A half yearly report by
the end of February each year (specific dates as set by Council).
§ An annual
report by the end of September each year (specific dates as set by Council).
Copies of the Trust’s
reports are forwarded to the other major stakeholder authorities, being the
Department of Conservation and Environment Southland.
9. Activities
for which Other Investment is sought
As usual, it is proposed that the
annual concession charged will be increased by 10% plus GST. This
will continue to be reviewed annually. For 2017/18, the total amount
being sought from concessionaires is $124,449 excluding GST. Any surplus
funds will be held by the Trust in its bank account for future project funding.
Included within the Forecast
Expenditure of the Trust is Management and Administration costs of $29,731.
Allowance for Emergency Response
Team (ERT) Plant and Equipment purchase is $2,500.
Additionally grant expenditure
has been included for contributions for;
· The
partial walkway to be developed towards Bowen Falls $20,000
· The
Emergency Service provider $46,920
Funding has also been included
towards a potential Recreation building. This still has to go through a
planning process including consideration of ownership of the building. At
this stage an allowance of $110,000 has been included.
The operational and project costs are those which the
Milford Community Trust considers will provide benefit for all concessionaires
at Milford and should be recovered from the Milford concessionaires through the
Implied Concession Activity Fee, apportioned as per the Department of
Conservation apportionment of cost schedule. The costs indicated above in
the supporting forecasted accounts are funded from the annual implied
concession activity fee and monies held.
Future budgeted costs are indicative only and will be
reviewed annually by the Trustees.
Other Project Funding:
In addition to the above operational and project costs,
there are also costs associated with other significant projects that fall
either directly or indirectly under the influence of the Milford Community
Trust but have all or a majority of proposed funding through means other than
apportioned implied concessionaires fees. There may also be a portion of
public good associated with these projects.
In this Statement of Intent the Trustees are not seeking any
funding from Southland District Council or Environment Southland for the
activities noted.
10. Estimate
of Value of Stakeholders Investment
The net value of the stakeholders
investment in the Trust is estimated to be valued at $100. This value
shall be reassessed by the Trustees on completion of the annual accounts or at
any other time determined by the Trustees. The method of assessment will
use the value of stakeholders funds as determined in the annual accounts as a
guide.
11. Other
Matters
No
distribution is intended within the period of the Statement or succeeding years,
noting the Trust’s status as a charitable organisation.
Any subscription for, purchase or otherwise acquiring
shares in any company or other organisation requires the prior approval of the
Trustees.
