Notice is hereby given that an Ordinary Meeting of Southland District Council will be held on:

 

Date:

Time:

Meeting Room:

Venue:

 

Wednesday, 20 June 2018

9am

Council Chambers
15 Forth Street
Invercargill

 

Council Agenda

OPEN

 

MEMBERSHIP

 

Mayor

Mayor Gary Tong

 

Deputy Mayor

Paul Duffy

 

Councillors

Stuart Baird

 

 

Brian Dillon

 

 

John Douglas

 

 

Bruce Ford

 

 

Darren Frazer

 

 

George Harpur

 

 

Julie Keast

 

 

Ebel Kremer

 

 

Gavin Macpherson

 

 

Neil Paterson

 

 

Nick Perham

 

 

IN ATTENDANCE

 

Chief Executive

Steve Ruru

Committee Advisor

Fiona Dunlop

 

 

Contact Telephone: 0800 732 732

Postal Address: PO Box 903, Invercargill 9840

Email: emailsdc@southlanddc.govt.nz

Website: www.southlanddc.govt.nz

 

Full agendas are available on Council’s Website

www.southlanddc.govt.nz

 

 

 


 


Council

20 June 2018

 

TABLE OF CONTENTS

ITEM                                                                                                                                                                                  PAGE

Procedural

1             Apologies                                                                                                                                                                7

2             Leave of absence                                                                                                                                                7

3             Conflict of Interest                                                                                                                                             7

4             Public Forum                                                                                                                                                         7

5             Extraordinary/Urgent Items                                                                                                                        7

6             Confirmation of Council Minutes                                                                                                             7

Reports - Policy and Strategy

7.1         Policy on Development and Financial Contributions for Adoption                                    9

7.2         Revenue and Financing Policy - for Adoption                                                                                53

7.3         Draft Dangerous, Affected and Insanitary Buildings Policy - Consultation              135

7.4         Trade Waste Bylaw 2018 for Adoption                                                                                             159

7.5         Adoption of Long Term Plan (LTP) 2018-2028                                                                             201

7.6         Report on the Audit of the Long Term Plan (LTP) 2018-2028                                             559

7.7         Rates Resolution - Setting of Rates for the Financial Year 1 July 2018 to 30 June 2019                                                                                                                                                                                  567

Reports - Operational Matters

8.1         Bridge Weight Restriction Postings 2017/2018                                                                          579

8.2         18/19 Forestry Harvesting Activities                                                                                                 593

8.3         Management Report                                                                                                                                   595

Reports - Governance

9.1         Minutes of the Community and Policy Committee Meeting dated 8 February 2018 621

9.2         Minutes of the Finance and Audit Committee Meeting dated 16 November 2017 623

9.3         Minutes of the Finance and Audit Committee Meeting dated 11 December 2017 625

9.4         Minutes of the Services and Assets Committee Meeting dated 15 November 2017 627

9.5         Minutes of the Services and Assets Committee Meeting dated 8 February 2018  629

9.6         Minutes of the Around the Mountains Cycle Trail Project Subcommittee Meeting dated 3 May 2017                                                                                                                                                         631

9.7         Minutes of the Edendale-Wyndham Community Board Meeting dated 20 November 2017                                                                                                                                                                       633

9.8         Minutes of the Edendale-Wyndham Community Board Meeting dated 27 February 2018                                                                                                                                                                                  635

9.9         Minutes of the Edendale-Wyndham Community Board Meeting dated 24 April 2018 637

9.10       Minutes of the Otautau Community Board Meeting dated 5 April 2018                     639

9.11       Minutes of the Riverton/Aparima Community Board Meeting dated 9 April 2018 641

9.12       Minutes of the Tuatapere Community Board Meeting dated 10 April 2018              643

9.13       Minutes of the Wallacetown Community Board Meeting dated 22 February 2018 645

9.14       Minutes of the Winton Community Board Meeting dated 16 April 2018                    647

9.15       Minutes of the Winton Community Board Meeting dated 30 April 2018                    649

9.16       Minutes of the Winton Community Board Meeting dated 28 May 2018                      651

9.17       Minutes of the Athol Community Development Area Subcommittee Meeting dated 16 October 2017                                                                                                                                                   653

9.18       Minutes of the Balfour Community Development Area Subcommittee Meeting dated 19 February 2018                                                                                                                                                 655

9.19       Minutes of the Browns Community Development Area Subcommittee Meeting dated 15 March 2018                                                                                                                                                 657

9.20       Minutes of the Dipton Community Development Area Subcommittee Meeting dated 31 October 2017                                                                                                                                                   659

9.21       Minutes of the Dipton Community Development Area Subcommittee Meeting dated 21 March 2018                                                                                                                                                        661

9.22       Minutes of the Garston Community Development Area Subcommittee Meeting dated 16 October 2017                                                                                                                                             663

9.23       Minutes of the Gorge Road and Districts Community Development Area Subcommittee Meeting dated 17 October 2017                                                                                                           665

9.24       Minutes of the Gorge Road and Districts Community Development Area Subcommittee Meeting dated 12 March 2018                                                                                                               667

9.25       Minutes of the Limehills/Centre Bush Community Development Area Subcommittee Meeting dated 15 March 2018                                                                                                               669

9.26       Minutes of the Lumsden Community Development Area Subcommittee Meeting dated 12 February 2018                                                                                                                                           671

9.27       Minutes of the Lumsden Community Development Area Subcommittee Meeting dated 16 April 2018                                                                                                                                                     673

9.28       Minutes of the Nightcaps Community Development Area Subcommittee Meeting dated 20 March 2018                                                                                                                                                 675

9.29       Minutes of the Ohai Community Development Area Subcommittee Meeting dated 20 March 2018                                                                                                                                                        677

9.30       Minutes of the Orepuki Community Development Area Subcommittee Meeting dated 6 March 2018                                                                                                                                                        679

9.31       Minutes of the Riversdale Community Development Area Subcommittee Meeting dated 19 February 2018                                                                                                                                           681

9.32       Minutes of the Thornbury Community Development Area Subcommittee Meeting dated 8 March 2018                                                                                                                                      683

9.33       Minutes of the Tokanui Community Development Area Subcommittee Meeting dated 24 October 2017                                                                                                                                             685

9.34       Minutes of the Waikaia Community Development Area Subcommittee Meeting dated 25 October 2017                                                                                                                                             687

9.35       Minutes of the Woodlands Community Development Area Subcommittee Meeting dated 19 March 2018                                                                                                                                   689   

Public Excluded

Procedural motion to exclude the public                                                                                                       691

C10.1    Golden Bay Wharf

C10.2    Core Services Review - CAMMS Solution - Project, Strategy and Risk

C10.3    Public Excluded Minutes of the Finance and Audit Committee Meeting dated 11 December 2017

C10.4    Public Excluded Minutes of the Services and Assets Committee Meeting dated 15 November 2017

C10.5    Public Excluded Minutes of the Community and Policy Committee Meeting dated 8 February 2018

C10.6    Public Excluded Minutes of the Tuatapere Community Board Meeting dated 10 April 2018

 


Council

20 June 2018

 

1             Apologies

 

At the close of the agenda no apologies had been received.

 

2             Leave of absence

 

At the close of the agenda no requests for leave of absence had been received.

 

3             Conflict of Interest

 

Councillors are reminded of the need to be vigilant to stand aside from decision-making when a conflict arises between their role as a councillor and any private or other external interest they might have.

 

4             Public Forum

 

Notification to speak is required by 5pm at least two days before the meeting. Further information is available on www.southlanddc.govt.nz or phoning 0800 732 732.

 

5             Extraordinary/Urgent Items

To consider, and if thought fit, to pass a resolution to permit the Council to consider any further items which do not appear on the Agenda of this meeting and/or the meeting to be held with the public excluded.

Such resolution is required to be made pursuant to Section 46A(7) of the Local Government Official Information and Meetings Act 1987, and the Chairperson must advise:

(i)        The reason why the item was not on the Agenda, and

(ii)       The reason why the discussion of this item cannot be delayed until a subsequent meeting.

Section 46A(7A) of the Local Government Official Information and Meetings Act 1987 (as amended) states:

“Where an item is not on the agenda for a meeting,-

(a)       that item may be discussed at that meeting if-

(i)         that item is a minor matter relating to the general business of the local authority; and

(ii)       the presiding member explains at the beginning of the meeting, at a time when it is open to the public, that the item will be discussed at the meeting; but

(b)       no resolution, decision or recommendation may be made in respect of that item except to refer that item to a subsequent meeting of the local authority for further discussion.”

 

6             Confirmation of Council Minutes

There are no minutes to confirm.


Council

20 June 2018

 

Policy on Development and Financial Contributions for Adoption

Record No:             R/18/5/12008

Author:                      Robyn Rout, Policy Analyst

Approved by:         Anne Robson, Chief Financial Officer

 

  Decision                                        Recommendation                                  Information

 

 

 

Purpose

1        This report presents the draft Policy on Development and Financial Contributions 2018-28 (the draft Policy) for adoption. The draft Policy is included as Attachment A.

Executive Summary

2        In the draft Policy, the development contributions (DCs) part of the Policy, which allow councils to apportion the costs associated with additional demand to those creating the demand, has been kept in remission. This means that Council will not collect contributions for water, wastewater and community facilities. The Financial contributions part of the policy (FCs), which sets out to mitigate the environmental effects of development would continue to be collected through the Southland District Plan.  FC’s are proposed to be collected on roading and reserves.

3        The draft Policy and an associated Statement of Proposal were endorsed for consultation by Council last year, and the draft Policy was consulted on through a consultation process that was run in parallel to the consultation undertaken on the Long Term Plan 2018-28. The majority of respondents (49%) supported Council’s policy approach.

4        Council received the submissions obtained on the draft Policy on 18 April, and deliberated on the draft Policy on 2 May. As a result of the deliberations Council endorsed the draft Policy, subject to some minor amendments which have been made to the Schedules.

5        The Finance and Audit Committee (the Committee) have also been given this policy for review and recommendation to Council.  As the committee is meeting on the 14 June staff will update Council at the meeting as to their discussion and recommendation.

 

Recommendation

That the Council:

a)            Receives the report titled “Policy on Development and Financial Contributions for Adoption” dated 12 June 2018.

 

b)           Determines that this matter or decision be recognised as not significant in terms of Section 76 of the Local Government Act 2002.

 

c)            Determines that it has complied with the decision-making provisions of the Local Government Act 2002 to the extent necessary in relation to this decision; and in accordance with Section 79 of the Act determines that it does not require further information, further assessment of options or further analysis of costs and benefits or advantages and disadvantages prior to making a decision on this matter.

 

d)           Accepts all updates and amendments to the Policy on Development and Financial Contributions 2018-28.

 

e)            Adopts the Policy on Development and Financial Contributions 2018-28.

 

Background

6        Council currently has a combined policy on development and financial contributions. For the 2015-25 LTP, the DCs part of the Policy was put into remission, so no DCs are currently being collected. FC are covered by the current policy and are currently being collected, but they are set through the Southland District Plan.

7        Development contributions are established under the Local Government Act 2002 (the Act) and allow councils to apportion the costs associated with additional demand to those creating the demand.  Financial contributions are established under the Resource Management Act 1991 to mitigate the environmental effects of development. 

8        DCs and FCs have not been a significant revenue stream for Council. Approximately, $389,000 of FCs and DCs have been collected between 2012 and 2017. While contributions do have the potential to be a useful funding source for some specific projects, the ability to realise that revenue is dependent on the economic cycle and trends in development and also what demand-related capital expenditure is carried out.

9        In the LTP Workshop in September 2017, Councillors outlined that they were keen to continue with the current approach of having the DC part of the Policy in remission in order to encourage growth. Councillors were keen to continue to have FCs covered in the draft Policy collected through the Southland District Plan.

10      The draft Policy and an associated Statement of Proposal were presented to and endorsed by Council in 2017. A summary of the Statement of Proposal was included in the LTP Consultation Document as a way to make the Proposal as widely available as was reasonably practicable. Submissions were invited on the draft Policy from 7 March to 9 April 2018. Forty eight submissions were received that related to the draft Policy. The majority of respondents (49%) supported Council’s policy approach.

11      On May 2 Council deliberated on the feedback received on the draft Policy, and endorsed the draft Policy subject to some minor amendments. The Finance and Audit Committee will also consider the report as part of its 14 June committee meeting, with staff reporting back to Council the discussion and recommendations made.

Issues

12     The draft Policy is very similar to Council’s current Development and Financial Contributions Policy, but minor updates and amendments have been made. These are:

·        amending population projection data

·        clarify that the DC part of the Policy is being placed in remission on the basis that Council would like to encourage growth

·        amending financial data

·        making a minor change to ensure that the description of the contributions Council uses to collect contributions, is completely accurate

·        amending growth assumptions

·        updating the projects being undertaken

·        amending dates

·        amending catchments

·        including in Schedule 3 when a DC is required to be paid.

13      As was indicated at the Council meeting held on 2 May, staff have also included in Schedule 3, the event that gives rise to the requirement to pay a DC. This was previously outlined in the body of the draft Policy, and has now also been included in Schedule 3 to satisfy a legal requirement.

14      Since the deliberations meeting on 2 May, staff have updated Schedules 1 and 2 of the draft Policy, to reflect adjustments to costs and projects that have fed through from the LTP deliberations.

Factors to Consider

Legal and Statutory Requirements

15      Section 102 of the Act requires that Council have a policy on DCs or FCs. Section 106 of the Act sets out the requirements of the policy. Sections 197-211 and Schedule 13 cover the application and calculation methodology related to contributions.

16      Council may review its position on contributions at any time, but is required to do so at least once every 3 years. If Council wants to make changes to the Policy after it is adopted, it would have to undertake a consultation process providing information on the proposed change to people interested in or affected by the matter, and encourage people to present their views to Council.

17      There is no legislative requirement for this Policy to be included in the LTP. The draft Policy was required to be released for public consultation in compliance with Section 82 of the Act, however Council decided to undertake consultation in parallel to the consultation process for LTP, so a more thorough process (the Special Consultative Procedure) was used.

18      It should also be noted that any DCs and FCs collected under the draft policy, which are not used for the specified purposes for which they were collected, must be returned within 10 years. For FCs, this only includes FC collected under the provisions of the current District Plan. Under the previous District Plan, not all FCs included a time limit for return.

19      In relation to FCs, there is an impending legislative change that will remove Council’s ability to collect FCs through the RMA in 2022. Councillors have previously outlined that Council should continue collecting FCs as it is currently, and that a review should be undertaken on how to deal with the RMA changes, in preparation for the 2021-31 LTP.

Community Views

20      The consultation document on the LTP, which included information about the draft Policy, was made available for public consultation during the period 7 March 2018 to 9 April 2018. Council received 48 submissions related to the draft Policy.

21      The consultation process undertaken has allowed Council to capture and consider community views on the content of the draft Policy. Council was presented with a copy of all the written submissions that were received, and heard all the people wanting to speak to their submission, on 18 April. The majority of respondents (49%) supported Council’s policy approach.

Costs and Funding

22     As the draft Policy has the same approach (to both DC and FC) as the current Policy, the funding obtained through FCs is likely to be reasonably similar to what is currently collected. The revenue collected will be dependent on the economic cycle and trends in development.

Policy/Risk Implications

23      The draft Policy would continue to have DCs in remission. This means that if the draft policy is adopted, DCs will not be assessed when development takes place.

24      Continuing to have the DC part of the draft Policy in remission would mean that the costs associated with demand are borne by ratepayers (and by those who have paid previous DCs). However, Council has taken an approach to encourage development in the Southland District, recognising that this would benefit the community as a whole.

25      At the September workshop, Councillors recognised that there is a risk that if the DC part of the Policy is in remission, Council will not be able to assess DCs if there is a new substantial development or further development of properties in the Kepler Block in Te Anau.

26      The draft Policy allows DCs to be taken for water supply, sewerage and community facilities. 

27      In the draft Policy, FC, which are collected through resource consents under the Southland District Plan, apply to development in the Southland District and will be taken for roading and reserves.

Analysis

Options Considered

28      Two reasonably practicable options have been identified regarding how Council could proceed. These are:

·        Option 1:  That Council adopts the draft Policy.

·        Option 2: That Council adopts the draft Policy with minor amendments.

Analysis of Options

Option 1 – That Council adopts the draft Policy.

Advantages

Disadvantages

·        The draft Policy complies with the Act and was prepared by an external consultant (prior to being adopted in 2015), who is a subject matter expert.

·        May encourage growth and development in the Southland District, which would have wide public benefit.

·        Consistent with the Southland Regional Development Strategy, which aims to promote ease of doing business in Southland and have 10,000 more people living in Southland by 2025.

·        There is a legal requirement to review the policy.

·        By having the DC part of the Policy in remission, it may frustrate some developers who have already paid DCs.

·        Council may miss assessing DCs on a large scale development or further development.

·        Rate payers may not like bearing the cost of demand related expenditure.

Option 2 – That Council adopts the draft Policy with minor amendments

Advantages

Disadvantages

·        Would give further clarity on Council’s view regarding the Policy.

·        There is a legal requirement to review the Policy.

·        If Council would like to recommend changes to the draft Policy (that are more than minor wording changes), it may jeopardise auditor approval and completing the LTP within the required timeframe.

·        Any proposed changes would need to be minor and require no additional steps to be undertaken by Council, as there is a legal requirement for the Policy to be reviewed.

 

Assessment of Significance

29      The decisions Council are being asked to make in this report have been assessed as not significant in relation to the Council’s Significance and Engagement Policy and the Act. The draft policy would impact a small number of residents and ratepayers, and does not involve a significant amount of money.  Having said this the process has gone through consultation in parallel to the LTP.

30      It has been recognised, however, that the draft Policy has broad effects because of its potential impacts on development activity, as well as economic and population growth.  It also raises issues of equity and affordability in funding assets and infrastructure.

Recommended Option

31      It is recommended that Council adopt the draft Policy (Option 1).

Next Steps

32      If Council adopts the Policy, staff will publically notify the adoption of the Policy by placing an advertisement in the Advocate, and by having the Policy accessible on Council’s website.

 

Attachments

a             Draft Policy on Development and Financial Contributions 2018-28    

 


Council

20 June 2018

 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


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20 June 2018

 


 


 


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20 June 2018

 


 


 


 


 


 


 


 


 


 


Council

20 June 2018

 

Revenue and Financing Policy - for Adoption

Record No:             R/18/5/11744

Author:                      Robyn Rout, Policy Analyst

Approved by:         Anne Robson, Chief Financial Officer

 

  Decision                                        Recommendation                                  Information

 

 

 

Purpose

1        This report presents the draft Revenue and Financing Policy (the draft Policy) for adoption by Council. The draft Policy is included with this report as Attachment A. The Revenue and Financing Policy will be included in the Long Term Plan 2018-2028 (the LTP).

Executive Summary

2        The draft Policy gives an overview of Council’s intended funding sources and expenditure for each activity. The draft Policy also outlines all intended sources of funding.

3        The draft Policy, an associated Statement of Proposal and the draft Activity Needs Funding Analysis were presented to and endorsed by Council on 13 December. The draft Policy was consulted on through a consultation process that was run in parallel to the consultation undertaken on the LTP.

4        Sixty submissions were received on the draft Policy. On 2 May, Council considered and deliberated on the feedback. Council then endorsed a number of proposals to include in the draft Policy.

5        The draft Policy will also be presented to the Finance and Audit Committee on 14 June.  Staff will update Council on the discussion and recommendations from the committee at the meeting.

6        If Council adopt the draft Policy, it will be included in the LTP. 

Recommendation

That the Council:

a)            Receives the report titled “Revenue and Financing Policy - for Adoption” dated 12 June 2018.

 

b)           Determines that this matter or decision be recognised as significant in terms of Section 76 of the Local Government Act 2002.

 

c)            Determines that it has complied with the decision-making provisions of the Local Government Act 2002 to the extent necessary in relation to this decision; and in accordance with Section 79 of the Act determines that it does not require further information, further assessment of options or further analysis of costs and benefits or advantages and disadvantages prior to making a decision on this matter.

 

d)           Adopts the Revenue and Financing Policy and associated Activity Funding Needs Analysis.

 

Background

7        The draft Policy summarises Council’s intended funding sources and explains operating expenses and capital expenditure for each activity. The draft Policy also covers all intended sources of funding including rates, lump sum contributions, fees and charges, financial contributions and grants and subsidies.

8        In preparation for the LTP, staff reviewed the funding impact statement for rates in full, and identified the areas needing updated. These various changes were discussed at Council workshops held on 26 September and 19 October. A formal report and associated recommendations for inclusion in the proposed documents supporting the LTP consultation document were approved at Council on 23 November 2017.

9        The draft Policy, an associated Statement of Proposal, and the draft Activity Needs Funding Analysis were then presented to and endorsed by Council on 13 December. Council endorsed the Statement of Proposal as the basis for public consultation and agreed that a summary of the Proposal should be included in the LTP Consultation Document (as it was an appropriate way to ensure the proposal was released as widely as reasonably practicable in accordance with the provisions of section 83(1)(c) of the Local Government Act 2002 (the Act)).

10      The draft Policy was written to align with the draft Development and Financial Contributions Policy.  It assumes that development contributions will remain in remission.

11      The consultation document on the LTP, which included information about the draft Policy, was made available for public consultation during the period 7 March 2018 to 9 April 2018. Sixty submissions were received that related to the draft Policy.

12      On 2 May Council considered the feedback received and deliberated on the draft Policy. The submissions were analysed and used to inform the identification of issues for proposed changes to the draft Policy. Options on how to proceed were presented, and Council endorsed options on what to include in the draft Policy.

13      The draft Policy will be presented to the Finance and Audit Committee on 14 June.  Staff will update Council on the discussion and recommendations of the Committee at the meeting.

Issues

14      On 2 May, Council resolved to include the following proposals in the draft Policy and supporting documentation as part of the LTP process. The proposals outlined below include the key changes to the current Revenue and Financing Policy that will be made if the draft Policy is adopted.

·                 Revise the current Separately Used or Inhabited Part (SUIP) definition to include all property types so that a SUIP is defined as:

A separately used or inhabited part of a rating unit includes any portion inhabited or used by the owner/a person other than the owner, and who has the right to use or inhabit that portion by virtue of a tenancy, lease, licence, or other agreement”.

·                 Agree to assess the Stewart Island Waste Management Targeted Rate as a service rate.

·                 Accept proposed boundary changes for Athol Hall, Browns Hall, Waianiwa Hall, Edendale-Wyndham Hall, Tokanui-Quarry Hills Hall and Te Anau Community Board Rating boundaries as per Attachment D, remove Edendale Pool rate and further investigate funding approach for halls and pools for the 2021-2031 Long Term Plan.

·                 Set and assess all Community Board/Community Development Area Subcommittee rates as a Uniform Targeted Rate (UTR), with differentials as required by the individual Community Board/Community Development Area Subcommittee.

·                 Fund 100% of all library services across the district from the Uniform Annual General Charge (UAGC).

·                 Introduce rates funding for Health Licensing activity to 10% of total costs.

·                 Fund the loan repayments for the Around the Mountain Cycle Trail (AMCT) from the UAGC as proposed in the 2018-2028 LTP consultation document.

·                 Endorse the proposed roading rate model (where the uniform targeted rate is fixed at $80.00 (GST exclusive) per rating unit, heavy use rate is $1.10 (GST exclusive) per tonne, minimum tonnage applied to each relevant sector is 230,000 tonnes and other use factors are 1.15 (dairy), 1.2 (forestry) and 1.15 (farming non-dairy)) as per section 5 of the attachment to this report.

·                 Revise the categories and share of categories between General rate and UAGC as per the table below, including retain funding of work schemes 85% general rate and 15% UAGC:


Activities

General Rate

UAGC

Building Control

100%

 

Civil Defence & Emergency Management

100%

 

Community Housing

85%

15%

Council Facilities

85%

15%

Community Futures

25%

75%

District Support

85%

15%

Animal Control

 

100%

Environmental Health

 

100%

Grants & Donations

 

100%

Library Services

 

100%

Parks & Reserves

85%

15%

Public Toilets

 

100%

Representation & Advocacy

25%

75%

Resource Management

90%

10%

Strategy & Communications

90%

10%

Work Schemes

85%

15%

Roads & Footpaths (Around The Mountains Cycle Trail loan repayments only)

 

100%

·                 Make no changes to the current approach for water supply rates for properties on restricted supply.

·                 Make no change to the current approach for rating stormwater/wastewater discharge.

·                 Retain the status quo and not apply a differential to the general rate for Meridian Energy.

Factors to Consider

Legal and Statutory Requirements

15      Council is required by legislation to adopt and include a Revenue and Financing Policy in its final adopted LTP. This is to provide predictability and certainty about sources and levels of funding of Council’s activities. The draft Policy must be adopted before the LTP.

16      The statutory provisions relating to the review of a Revenue and Financing Policy are detailed in Part 6 of the Act. Council’s draft Policy meets the requirements of Section 102(2)(a) of the Act. Sources of funding listed in the draft Policy are listed in Section 103(2) of the Act. Council’s analysis of section 101(3) is outlined in the draft Activity Funding Needs Analysis that was endorsed by Council on 13 December.

17      The Act requires local authorities to consider set factors and follow a particular process in developing a Revenue and Financing Policy, and this was outlined to Councillors at the Council meeting in November.

18      Due to the importance of the draft Policy, Council has undertaken consultation in accordance with the Special Consultative Procedure outlined in the Act.

Community Views

19      The consultation document on the LTP, which included information about the draft Policy, was made available for public consultation during the period 7 March 2018 to 9 April 2018.

20      Council received 60 submissions relating to the draft Policy.

21      The consultation process undertaken has allowed Council to capture and consider community views on the content of the draft Policy. Council was presented with a copy of all the written submissions that were received, and heard all the people wanting to speak to their submission, on 18 April. A summary of the feedback received and excerpts of feedback were also included with the report presented to Council on 2 May.

Costs and Funding

22      As has been outlined to Council previously, the draft Policy would impact both the selection of funding mechanisms and the quantum to be funded from each tool, for each activity.

23      Information on the impacts of the selection of funding mechanisms and the quantum to be funded from each tool, was presented to Council on 2 May. The financial impact of each of the recommendations was also included in the Consultation Document and supporting information that was provided to Council when the draft Policy went out for consultation.

Policy/Risk Implications

24      Policy implications have been discussed with Council a number of times throughout the course of the policy review. On 2 May and 23 November, when Council endorsed proposals to include in the draft Policy, the implications of the proposals (including the impact the decisions had on ratepayers in the community), were clearly outlined.

25      The main risk associated with this policy is that Council do not actually fund or collect revenue in accordance with the policy.  In order to mitigate this risk, Council staff monitor compliance of actual revenue and funding streams against the policy.  Additionally, the operational funding contributions are expressed as percentage ranges (low 0-33%, medium 34-66% or high 67-100%) rather than specific amounts.

Analysis

Options Considered

26      Council could choose to:

·                 Option 1:   Adopt the draft Policy (as attached to this report); or

·                 Option 2:   Adopt a different form of Revenue and Financing Policy. 

Analysis of Options

Option 1 – Adopt the draft Policy

Advantages

Disadvantages

·        The draft Policy considers efficiency and equity and shows that Council is operating in a financially prudent manner.  It is also legislatively compliant and aligns with good practice in the local government sector.

·        While there are a number of options available to fund Council activities, no significant disadvantages to the overall approach proposed in the draft Policy have been identified.

·        Some ratepayers have raised issues through their submissions regarding various aspects of Council’s proposed funding methodology.  However, the funding methods identified within the draft Policy have been identified as the most equitable funding mechanisms for the community overall.

Option 2 – Adopt a different form of Revenue and Financing Policy

Advantages

Disadvantages

·        No advantages have been identified.

·        Key amendments to the draft Policy have been carefully considered by staff and elected members. Due to the requirement in Clause 10 of the Act to include the draft Policy in the LTP, Council has very little ability to make amendments to the draft Policy at this time.

Assessment of Significance

27      The draft Policy is a fundamental policy of Council. It determines how Council will collect revenue and fund activities, services and assets. The draft Policy will affect all ratepayers and raises issues of equity and affordability.

28      In relation to Council’s Significance and Engagement Policy, the decision Council is being asked to make in this report is likely to have an impact on all ratepayers in the District. This decision has less impact on the other factors that Council must consider when assessing significance.

29      The significance of the decision being made is heightened as this is the point that Council actually adopts the draft Policy, and confirms its policy approach. Staff see it as appropriate that Council consider this decision to be significant as it is deciding on how its activities should be funded in the future.

30      Council has undertaken a thorough review of its Revenue and Financing Policy. In relation to the proposed changes to the draft Policy, Council has identified all reasonably practicable options and assessed the options in terms of their advantages, disadvantages, and financial implications.

Recommended Option

31      It is recommended that Council proceed with Option 1 and adopt the draft Policy.

Next Steps

32      If Council adopts the draft Policy, it will be included in the LTP and it will determine how Council collects revenue and funds activities, services and assets.

33      An advertisement will be placed in the Advocate notifying the public that the Policy has been adopted, and the Policy will be made available on the Council’s website.

 

 

Attachments

a             Draft Revenue and Financing Policy

b             Activity Needs Funding Analysis    

 


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20 June 2018

 


 


 


 


 


 


 


 


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20 June 2018

 


 


 


 


 


 


 


 


 


 


 


 


 


 


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20 June 2018

 


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Council

20 June 2018

 

Draft Dangerous, Affected and Insanitary Buildings Policy - Consultation

Record No:             R/18/5/11273

Author:                      Jane Edwards, Policy Analyst

Approved by:         Bruce Halligan, Group Manager Environmental Services

 

  Decision                                        Recommendation                                  Information

 

 

 

Purpose

1        The purpose of this report is to seek Council endorsement of a draft Dangerous, Affected and Insanitary Buildings Policy (the draft Policy) and an associated Statement of Proposal. The Statement of Proposal, which includes a copy of the draft Policy, is included with this report as Attachment A. Staff are recommending that Council approve these documents for release for public consultation.

Executive Summary

2        Council currently has an Earthquake-Prone, Dangerous and Insanitary Buildings Policy (see Attachment B).  The new draft policy is being presented due to changes introduced by the Buildings (Earthquake-prone Buildings) Amendment Act in May 2016.  The new legislation overrides the parts of the current Policy that relate to Earthquake-prone buildings, and renders those parts of the current Policy obsolete.

3        The overall objective of this policy to ensure that people who use buildings can do so safely and without endangering their health.

This policy fulfils Council’s responsibilities under the Act, with respect to dangerous, affected, and insanitary buildings. Council’s responsibility is to ensure that when:

·   dangerous and affected buildings are found, that the danger is appropriately reduced or removed in an acceptable timeframe.

·   insanitary conditions are found, that appropriate measures are undertaken to remedy the conditions within an acceptable timeframe.

4        In March this year the draft Policy was presented to the Regulatory and Consents Committee (the Committee) for feedback.  The Committee recommended that Council adopts the draft Policy for consultation.

5        This report recommends that Council endorse the draft Policy and Statement of Proposal for public consultation. Consultation on the draft Policy has to be run in accordance with the Special Consultative Procedure (SCP) outlined in section 83 and 87 of the Local Government Act 2002 (the LGA).

 

Recommendation

That the Council:

a)            Receives the report titled “Draft Dangerous, Affected and Insanitary Buildings Policy - Consultation” dated 8 June 2018.

 

b)           Determines that this matter or decision be recognised as not significant in terms of Section 76 of the Local Government Act 2002.

 

c)            Determines that it has complied with the decision-making provisions of the Local Government Act 2002 to the extent necessary in relation to this decision; and in accordance with Section 79 of the Act determines that it does not require further information, further assessment of options or further analysis of costs and benefits or advantages and disadvantages prior to making a decision on this matter.

 

d)           Endorses the draft Dangerous, Affected and Insanitary Buildings Policy.

 

e)            Endorses the Statement of Proposal for the draft Dangerous, Affected and Insanitary Buildings Policy.

 

f)             Releases the Statement of Proposal and draft Dangerous, Affected and insanitary Buildings Policy for public consultation, in accordance with the Special Consultative Procedure outlined in sections 83 and 86 of the Local Government Act 2002, from 8am on 28 June 2018 to 5pm on 30 July 2018.

 

g)           Considers publicising the Statement of Proposal by:

 

·     Placing a newspaper advertisement in the Advocate;

·     Giving notice to Te Ao Marama;

·     Having the draft Policy accessible on Council’s website; and

·     Having copies of the draft Policy available from all Council offices

 

constitutes making the draft Policy as widely available as is reasonably practicable in accordance with section 83 and 87 of the Local Government Act 2002.

 

 

Background

6        In May 2016, Parliament passed the Buildings (Earthquake-prone Buildings) Amendment Act 2016, which changed a number of provisions in the Building Act 2004 (the Act). The amendments introduce a nationally consistent approach to the assessment and management of earthquake-prone buildings, along with a standardised notice and national public register of earthquake-prone buildings.

7        Council currently has a policy which outlines how Council will identify and manage earthquake prone, dangerous and insanitary buildings, called the Earthquake-prone, Dangerous and Insanitary Building Policy 2011. The new legislation overrides the parts of the current Policy that relate to Earthquake-prone buildings, and renders this content of the current Policy obsolete.

8        Council is meeting its new legislative obligations in relation to earthquake-prone buildings flowing from the 2016 amendments to the Act, through an Action Plan that has been presented to and endorsed by Council. This is a separate work stream to progressing and endorsing this draft Policy.

9        In May 2018, the draft Policy was passed to the Committee for feedback. The Committee recommended that Council adopts the draft Policy for consultation.

Issues

10      Staff are proposing that a draft Policy is endorsed for consultation, which will outline Council’s position on dangerous, affected and insanitary buildings.

11      A legislative change was made in 2013 that inserted section 132A into the Act. This section now requires that “a territorial authority must amend an existing policy to take into account affected buildings”.

12      An ‘affected building; is defined in the Act as a building that is “adjacent to, adjoining or nearby a dangerous building”. The Act also gave Council powers in relation to affected buildings. The draft Policy states how Council will both identify and assess, and take action on, dangerous and affected buildings.

13      The draft Policy resembles the current Policy as it states that when a dangerous building (which is not immediately dangerous) or an insanitary building is identified, before Council takes action under the Act (or the Health Act 1956 (the Health Act) if it is a insanitary building), it will liaise and consult with the owner of the relevant building to try to get the owner to produce a mutually acceptable formal proposal on how the problem will be rectified.

14      If, after a reasonable period of time, a mutually acceptable proposal has not been achieved, or if a building is considered to be immediately dangerous, Council will take steps in accordance with the Act (or the Health Act).  The Act has specific provisions that state how Council must assess buildings, give notice requiring work or restricting entry, and also as to when Council can step in and carry out work.

15      The draft Policy continues to assess insanitary buildings in accordance with Section 123 of the Building Act or section 39 of the Health Act. Both Acts are aligned in this area and provide the means to ensure insanitary buildings are identified and remedied or the hazard mitigated by removal. The power of entry under the Health Act is greater than that of the Building Act. Therefore, based on the evidence provided in an insanitary complaint, Sections 39, 41 and 42 of the Health Act may be used with greater effect.

16      The draft Policy does apply to heritage buildings, but provides greater protection to these buildings. The policy approach includes recognising the value of heritage buildings, facilitating their preservation, and seeking to avoid demolition where possible. However, if a heritage building is dangerous, affected, or is insanitary, Council would be able to take the steps necessary to ensure public safety and to rectify the problem.

17      The draft Policy does not propose a significant change in policy content – it is quite similar to the current Policy.

Factors to Consider

Legal and Statutory Requirements

18      Section 131 of the Act requires Council to have a dangerous and insanitary buildings policy.  Council is required to state the approach that it will take in performing its function, its priority in performing those functions, and how the policy will apply to heritage buildings.

19      A dangerous and insanitary buildings policy must be adopted, amended or replaced in accordance with the SCP outlined in section 83 of the LGA. Under section 87 of the LGA, the Statement of Proposal must include a statement of the reasons for the proposal and an analysis of all reasonably practicable options considered by Council. After a dangerous and insanitary buildings policy is adopted it must be reviewed at intervals of not more than 5 years, but it does not cease to have effect because it is due for review.

20      The requirements to consult in accordance with the SCP include that Council prepares and adopts a formal Statement of Proposal, has a consultation period of not less than one month, and that the Council allows people to present their views in a manner that enables spoken interaction, such as by having a hearing.

21      In accordance with section 83 of the LGA, Council must make its Statement of Proposal as widely available as is reasonably practical as a basis for consultation. To this end, copies of the Statement of Proposal will be available from Council offices and staff will be placing an advert about the draft Policy in the Advocate. This advert will refer people to Council’s website where they will be able to view the whole Statement of Proposal and make a submission. Staff will also give written notice to, and seek feedback from, Te Ao Marama. 

22      Staff can take additional steps to make the Statement of Proposal more widely available, if Council believes it is required/appropriate.

Community Views

23      Staff are proposing to consult on draft Policy from 28 June to 30 July 2018, in accordance with the SCP. People who would like to speak to their submissions will also have the opportunity to do so. This process will give Council the opportunity to ascertain community views on this matter.

Cost and Funding

24      There would only be minor costs associated with endorsing the draft Policy, including the costs associated with staff time and advertising. These costs would be met within current budgets.

Policy Implications

25      As only minor amendments have been made to Council’s policy approach to dangerous and insanitary buildings, if the draft Policy is adopted in its current form, it would not substantially alter the way Council identifies and manages dangerous and insanitary buildings.

26      The draft policy is quite closely aligned with the policies adopted by Invercargill City Council., Queenstown Lakes District Council and the Gore District Council. This has been done to help ensure there is a consistent approach throughout the southern region, which should make implementation easier and more consistent.

27      If Council was to adopt the draft Policy in its current form, there would be no impact on fees as the draft Policy would not impact the day-to-day actions of Council.

Analysis

Options Considered

The following reasonably practicable options have been considered regarding how Council could proceed:

Option 1 – Endorse the draft Policy (with any desired amendments) for public consultation; or

Option 2 – Consider the draft Policy and propose a different way forward. 

Analysis of Options

Option 1 – Endorse the draft Policy and associated Statement of Proposal (with any desired amendments) for public consultation

Advantages

Disadvantages

·        Replacing the current Policy with the draft Policy would prevent Council having an operative policy that is, in part, obsolete.

·        The draft Policy is legally compliant.

·        Feedback would still be obtained on the draft Policy, through the public consultation process.

·        The draft Policy allows Council to work with relevant owners to rectify dangerous and insanitary buildings, which is a more collaborative approach.

·        The draft Policy provides a level of protection to heritage buildings but still allows Council to act to keep the public safe.

·        No known disadvantages.

 

Option 2 – Consider the draft Policy and propose a different way forward

Advantages

Disadvantages

·        Would provide clarity on Council’s desired approach

·        Council would still be legally required to have a dangerous, affected and insanitary Buildings Policy.

·        A change in approach may mean it takes longer for Council to adopt a new policy and replace the current policy that is, in part, obsolete.

 

Assessment of Significance

28      It has been identified that this matter has a lower level of significance, in relation to Council’s Significance and Engagement Policy and the LGA.

Recommended Option

29      It is recommended that Council proceed with Option 1 and endorse the draft Policy (with any desired amendments) for public consultation.

Next Steps

30      If Council approves the draft Policy and Statement of Proposal for release for public consultation, the public will be able to submit on the draft Policy from 28 June to 30 July 2018.  People will be able to make submissions through Council’s website. The people wanting to give an oral submission to Council may do so at a hearing that is likely to be held on 19 September. 

 

Attachments

a             Statement of Proposal including the Draft Dangerous, Affected and Insanitary Buildings Policy 2018

b             Earthquake-prone, Dangerous and Insanitary Buildings Policy 2011    

 


Council

20 June 2018

 

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Council

20 June 2018

 

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Council

20 June 2018

 

Trade Waste Bylaw 2018 for Adoption

Record No:             R/18/5/11735

Author:                      Rebecca McElrea, Policy and Planning Consultant

Approved by:         Matt Russell, Group Manager Services and Assets

 

  Decision                                        Recommendation                                  Information

 

 

 

Purpose

1        The purpose of this report is to recommend adoption of the Southland District Council Trade Waste Bylaw 2018.

Executive Summary

2        On 22 February 2018, Council approved a Statement of Proposal, incorporating a draft Trade Waste Bylaw (the draft bylaw), for consultation. The draft bylaw was based on the current Trade Waste Bylaw 2008 and provides for the acceptance of long term, intermittent or temporary discharge of trade waste to the Council’s wastewater reticulated system.

3        Public notice was given on 1 March 2018 and submissions were sought on the draft bylaw. The two month period for public submissions closed on 2 May 2018. Council received one formal submission to the draft bylaw and informal comments from the Minister of Health and Public Health South.

4        After considering staff recommendations, the formal submission and informal comments at its meeting on 16 May 2018, Council endorsed the draft bylaw, with minor amendments, for final adoption at its next meeting. Council also recommended that a minor change be made to the draft bylaw to reflect the Minister of Health’s comments in relation to placing controls on liquid antibiotics. The draft bylaw is included with this report as Attachment A.

 

Recommendation

That the Council:

a)            Receives the report titled “Trade Waste Bylaw 2018 for Adoption” dated 11 June 2018.

 

b)           Determines that this matter or decision be recognised as not significant in terms of Section 76 of the Local Government Act 2002.

 

c)            Determines that it has complied with the decision-making provisions of the Local Government Act 2002 to the extent necessary in relation to this decision; and in accordance with Section 79 of the Act determines that it does not require further information, further assessment of options or further analysis of costs and benefits or advantages and disadvantages prior to making a decision on this matter.

 

d)           Revokes the current Trade Waste Bylaw 2008 on 29 June 2018.

 

e)            Confirms and makes the Southland District Council Trade Waste Bylaw 2018.

 

f)             Resolves that the Southland District Council Trade Waste Bylaw 2018 will come into force on 29 June 2018.

 

g)           Ensures as many copies of the bylaw, as so made and confirmed, be executed under seal by the Council, as required from time to time.

 

h)           Ensures that in accordance with Section 157 of the Local Government Act 2002, public notice be given of the making of the Southland District Council Trade Waste Bylaw 2018, advising:

 

             (i)           That the bylaw will come into force on 29 June 2018.

 

             (ii)          That copies of the bylaw may be inspected, without fee, at all Council offices.

 

             (iii)        That copies of the bylaw can be obtained upon payment of a reasonable charge.

 

 

Background

5        Council, at its meeting of 22 February 2018 resolved to:

“Release the draft Trade Waste Bylaw 2018 and the Statement of Proposal for public consultation, in accordance with the Special Consultative Procedure outlined in sections 83 and 86 of the Local Government Act 2002 (the LGA), from 1 March 2018 to 5pm on 2 May 2018.”

6        The draft bylaw was advertised during March and April 2018, and submissions closed on 2 May 2018. A copy of the draft bylaw was also sent to the Minister of Health for his comments.

7        One formal submission was received along with informal comments from the Minister of Health and Public Health South. No submitters wished to speak to their submissions.

8        Council deliberated on submissions and comments received at its meeting on 16 May 2018 and agreed to endorse the draft bylaw with the minor amendments recommended by staff. Council also required a minor change to be made to the draft bylaw in regards to placing controls on liquid antibiotics.

 Issues

9        This report is recommending that Council adopt the draft bylaw. The draft bylaw presented at this meeting incorporates some minor changes that were discussed at the Council meeting on 16 May.

10      In the draft bylaw presented to Council in May, the disposal of liquid antibiotics was prohibited. Staff alerted Council at that meeting, that a minor amendment needed to be made to the draft bylaw to better align it with the suggestion made by officials from the Ministry of Health, to place ‘controls’ on the disposal of liquid antibiotics. Staff have updated the Appendices to the draft bylaw to bring the draft bylaw into alignment with the suggestion made by the officials.

11      In Appendix A, liquid pharmaceutical waste has been updated to include the following restrictions, which effectively place ‘controls’ on liquid antibiotics.

Appendix A - 3.4   Pharmaceutical Waste

3.4.1    These are generally products, including liquid antibiotics, returned by customers in accordance with the Health and Disability Services Standards – Pharmacy Services Standard NZS 8134.7:2010. Pharmacies must not discharge more liquid pharmaceutical waste per month than the volumes listed below. The volume limit is based on the concentration of active ingredients in the product.

 

Table 4 – Liquid Waste from Pharmacies

Volume Limit

Active Concentration

10 Litres

125mg/5ml

5 Litres

250mg/5ml

3 Litres

Above 250mg/5ml

 

Any discharge above these limits should be a controlled discharge and require a trade waste consent. No waste may contain cytotoxic waste which is prohibited. Refer Appendix B – 2.13 (h).

12      In Appendix B, liquid antibiotics has been removed from being a prohibited trade waste.

13      In the feedback received through consultation, it was highlighted that forms should be included with the Bylaw. Staff have included an application form as Attachment B to this report, for Councillors information.

14      Staff are also proposing a minor amendment to paragraph 3.2.1.1 of the draft bylaw, to make it clear that when a premises discharges trade waste from more than one area, they should complete a separate application form for trade waste consent for each area (the section previously required that a “Description of Trade Waste and Premises” form be completed, which would not align with the form staff have created). The paragraph in the draft bylaw has been amended as follows. 

3.2.1.1    Trade waste produced from multiple areas

Where the trade premises produces trade waste from more than one area, a separate copy of the application form shall be included for trade waste discharge, for each area. This applies whether or not the separate areas are part of a single or separate trade process.

 

Factors to Consider

Legal and Statutory Requirements

15      The decision-making provisions in sections 77-82 of the LGA are relevant to all decisions of local authorities. Under section 77, a local authority is required to identify all of the reasonably practicable options and assess those options by considering the criteria in section 77.

16      Council has the ability under sections 145 and 146 to make bylaws for its district, specifically for the purposes of regulating trade wastes.

17      Council, at its meeting on 22 February 2018, considered the options that were available to manage and protect the infrastructure associated with trade waste and decided that a bylaw was the most appropriate way to retain a system of control over the trade wastes entering its wastewater system.  Council also agreed that the draft bylaw was the most appropriate form of bylaw and that it did not give rise to any implications under the New Zealand Bill of Rights Act 1990 pursuant to section 155(2)(b) of the LGA.

18      The special consultative procedure required to make a trade waste bylaw has been undertaken by Council and completed. Council has also completed the requirements outlined in section 148 of the LGA, which are specific to developing a trade waste bylaw.

19      To confirm and make the Bylaw, Council must pass a resolution to that effect.

20      As soon as practicable after making the Bylaw, the Council is obliged to give public notice of the fact confirming that the Bylaw will be effective on and from 29 June 2018 and that a copy of the Bylaw can be inspected and obtained from all Council offices.

Community Views

21      Consultation on the draft bylaw has been undertaken in accordance with the Special Consultative Procedure. A Statement of Proposal was approved for consultation at the Council meeting on 22 February 2018. The Statement of Proposal and draft bylaw were publicly advertised and the public were asked for submissions.

22      There was a two month consultation period. One formal submission was received along with informal comments from the Minister of Health and Public Health South. Following consideration of submissions and comments received at its meeting on 22 May 2018, Council made minor changes to the draft bylaw.

Costs and Funding

23      The costs of consultation have been met from existing budgets. There are no additional financial implications for Council rates funding.

24      If adopted, the draft bylaw should assist with the conservation of Council’s wastewater assets by allowing for the control of trade waste discharges. Trade waste charges will be “user pays”. This means that trade waste charges to industry will reflect the actual treatment and disposal costs of receiving trade waste discharges.

Policy Implications

25      No policy or plan implications have been identified. The draft policy is similar to the current policy.

Analysis

Options Considered

26      Council has two options available to them:

(a)  Revoke the provisions of the current Trade Waste Bylaw 2008 and make a new Trade Waste Bylaw 2018

(b)  Reject the recommendation to revoke the provisions of the current Trade Waste Bylaw 2008 and make a new Trade Waste Bylaw 2018

Analysis of Options

Option 1 – resolves to revoke the provisions of the current Trade Waste Bylaw 2008 and make a new Trade Waste Bylaw 2018 as attached in Appendix 1

 

Advantages

Disadvantages

·        Option 1 is in line with current legislative requirements. This option should ensure conservation and protection of Council’s wastewater assets and the environment by having formal controls in place with which to control trade waste discharges.

·        This option would minimise the cost to the community of treating trade waste sourced wastewater by ensuring operational and maintenance costs are equitably spread.

·        It has taken into account, through the formal consultation process, the concerns of the community with regard to trade waste.

·        There are no obvious disadvantages.

 


 

Option 2 – Reject the recommendation to revoke the provisions of the current Trade Waste Bylaw 2008 and make a new Trade Waste Bylaw 2018

Advantages

Disadvantages

·        No obvious advantages

·        This option would rely on the current Trade Waste Bylaw 2008, until it is no longer enforceable.

·        Section 196 of the LGA requires trade waste discharges to have consent from the territorial authority in order to discharge trade wastes, or without consent if the discharge is permitted by a trade waste bylaw. If there is no trade waste bylaw in place all trade waste discharges will be required to gain consent from Council. Requiring consent in each case would be an inefficient way of managing trade waste discharges.

 

Assessment of Significance

27      A significant decision is one that has a high degree of significance in terms of its impact on:

·    the current and future social, economic, environmental or cultural wellbeing of the district or region;

·    people who are likely to be particularly affected by or interested in, the issue, proposal decision or matter;

·    the capacity of Council to performs its role, and the financial and other costs of doing so;

·    the ownership or function of a strategic asset.

28      In this report Council is being asked to revoke the provisions of the current Trade Waste Bylaw 2008 and make a new Trade Waste Bylaw 2018. Based on the criteria above, staff have assessed this decision as of lower significance.

Recommended Option

29      That Council resolve to revoke the provisions of the current Trade Waste Bylaw 2008 and make a new Trade Waste Bylaw 2018.


 

Next Steps

30      The following table is a proposed timetable for the process of revoking the provisions of the current Trade Waste Bylaw 2008 and the making of the proposed Trade Waste Bylaw 2018.

Task

Timeframe

Monday, 18 June 2018

Council confirms its decision to approve the revocation of the provisions of the current Trade Waste Bylaw 2008 and the making of the proposed Trade Waste Bylaw 2018.

Thursday, 28 June 2018

Public Notice in Advocate published giving notice revoking the provisions of the current Trade Waste Bylaw 2008 and of the making of the proposed Trade Waste Bylaw 2018 on 29 June 2018.

Friday, 29 June 2018

The Southland District Council Trade Waste Bylaw 2018 comes into effect.

 

Attachments

a             Draft Trade Waste Bylaw 2018

b             Application Form for Trade Waste Consent 2018    

 


Council

20 June 2018

 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


Council

20 June 2018

 

Application for Trade Waste Discharge

 

please print clearly

NOTE: If a premises produces trade waste from multiple areas, a separate copy of the form should be completed for each area.

Trade name and physical address of trade premises

 

 

 

Contact person

 

Phone

 

Fax:

 

Email

 

After hours contact (if different from above)

 

Phone

 

Fax:

 

Email

 

Postal address for trade premises (if different from above)

 

 

 

 

Owner of premises (if different from above)

 

Term of consent sought (up to 5 years)

 

 

Address of service for further enquiries concerning this application

 

 

 

This application relates to (please select)

Proposed new discharge

Renewal of a consent

Existing discharge for which no consent exists

Variation to an existing consent

 

Property Information

Valuation number(s)

 

Lot number(s)

 

DP number(s)

 

Water billing number(s)

 

Are the Premises already connected to the public sewer?

Yes

No

Description of trade activity

 

 

 

 

Description of the trade waste

 

 

Average daily volume m3

 

Maximum daily volume m3

 

Maximum instantaneous flow l/s

 

Temperature of waste (range)

 

BOD5 of waste (mg/l range)

 

Suspended solids of waste (mg/l range)

 

pH (range)

 

Other contaminants

 

 

Process water source

Southland District Council

m 3

Other

m 3

Waste contain condensing water

Yes

 

No

 

Trade and domestic waste to same discharge

Yes

 

No

 

Flow meter

Yes

No

Other

 

SDC water use

Yes

No

 

Substances contained in Appendix A and B of Bylaw produced/stored on premises

 

 

 

 

 

Mitigation measures to prevent accidental spills entering the sewer or stormwater system

 

 

 

 

 

Site plans - attach site plans which clearly identify the location of the following (tick that apply)

Process area

Flow measuring device

Domestic drains

Stormwater drains

Areas falling to drains

Spill contaminant

Screens

pH control

Grease traps

Chemical treatment

Biological treatment

Sampling points

Other

 

 

 

Independent site audit carried out?

Yes

No

Discharge management plan attached?

Yes

No

Health and safety requirements for SDC staff entering premises

 

 

 

 

Type of product processed

 

 

Description of the process/es that generate trade waste

 

 

 

 

Characteristics of trade waste likely to exceed schedules in Appendix A and B

 

 

 

 

Steps taken/to be taken to improve trade process as a strategy for cleaner production

 

 

 

 

Scheduled date for improvements

 

Signature block

Full name

 

Position

 

I am duly authorised to make this application and believe that all the information contained in the application is true and correct

Signature

 

Date

 

 

For office use only

Application number

 

Date application received

 

Application received and checked by

 

Permitted

Conditional

Temporary

Prohibited

Trade waste consent approval date

 

Trade waste consent approved by

 

Trade waste consent number

 

Trade waste consent expiry date

 

 

Application fee

Fee

$

GST

$

Total

$

Cash receipt

 

File number

 

 


Council

20 June 2018

 

Adoption of Long Term Plan (LTP) 2018-2028

Record No:             R/18/5/12102

Author:                      Nicole Taylor, Project Co-ordinator Corporate Planning

Approved by:         Rex Capil, Group Manager Community and Futures

 

  Decision                                        Recommendation                                  Information

 

 

 

Purpose

1        This report presents the Long Term Plan (LTP) 2018 - 2028 for adoption by Council. The draft of the final LTP is included with this report as Attachment A.

Executive Summary

2        Council is required to adopt an LTP by 30 June 2018.  The LTP is Council’s key future planning document. It outlines the Council work programme and financial implications in detail for the next three years and summary for the following seven years. The 2018-28 LTP also includes Council’s Infrastructure Strategy, which plans out for 30 years and Financial Strategy. The LTP has been developed over the past two years.

3        The 2018-2028 LTP consultation document “We’re just getting started, Southland” and draft LTP supporting information was adopted by Council on 27 February 2018.

4        Public consultation occurred from 7 March 2018 to 9 April 2018. 162 submissions were received (including one late submission) on the LTP, Draft Revenue and Financing Policy and Draft Development and Financial Contributions Policy. Hearings were held on 18 and 19 April 2018 with the late submission heard on 2 May 2018. 26 submitter’s presented in total.

5        A draft of the final LTP 2018 - 2028 document (Attachment A) has now been prepared including information on the submission and hearing process and incorporating the changes from Council’s deliberations meeting on 2 May 2018. The draft also includes changes from staff and Council’s auditors.

6        A copy of the draft LTP has also been presented to the Finance and Audit Committee on
14 June 2018. Staff will update the Council on the Committee’s discussion regarding the LTP at the meeting.

7        The document is also required to include a report from the Auditor-General on whether the plan gives effect to the purpose of an LTP and the quality of the information and assumptions underlying the forecast information provided in the plan. Audit New Zealand have completed their review of the final LTP and have drafted an unmodified audit opinion (included in the LTP on pages 62-63). The audit opinion will be signed once Council has adopted the LTP.

8        This report asks Council to review and adopt the final LTP. The adoption brings to a close the deliberations on the 2018 - 2028 LTP.

 

Recommendation

That the Council:

a)            Receives the report titled “Adoption of Long Term Plan (LTP) 2018-2028” dated 11 June 2018.

 

b)           Determines that this matter or decision be recognised as significant in terms of Section 76 of the Local Government Act 2002.

 

c)            Determines that it has complied with the decision-making provisions of the Local Government Act 2002 to the extent necessary in relation to this decision; and in accordance with Section 79 of the Act determines that it does not require further information, further assessment of options or further analysis of costs and benefits or advantages and disadvantages prior to making a decision on this matter.

 

d)           Adopts the Schedule of Fees and Charges as detailed in the Long Term Plan
2018-2028 (page 173-196).

 

e)            Confirms in accordance with section 100 of the Local Government Act 2002, it is financially prudent for the Council to project operating deficits in the first five years of the plan. This principally reflects Council’s policy to move towards fully funding depreciation by 2024/2025.

 

f)             Adopts the Long Term Plan 2018 – 2028 including the audit report.

 

g)           Delegates authority to the Chief Executive to approve any final minor edits required to the Long Term Plan in order to finalise the document for distribution. 

 

Background

9        The LTP is the Council’s key strategic planning document. The plan brings together an array of information about how the Council will work towards its strategic direction including community outcomes through the provision of its activities. It represents the Council’s contract with the community and presents the blueprint for the delivery of its services over the next ten years. The document includes:

·          Council’s strategic framework, including the vision, community outcomes and strategic priorities;

·          Council’s groups of activity information including levels of service, work programme and overall budget;

·          an overview of the plan (section one), setting out the key parts of the plan as well as consultation feedback;

·          the Infrastructure Strategy and Financial Strategy;

·          various policies and disclosures required by statute;

·          financial disclosures, including the Council’s Funding Impact Statement which describes how the Council proposes to set rates for the 2018/19 financial year;

·          a report from Audit New Zealand, on behalf of the Auditor General, on how well the Council LTP complies with the requirements of the Local Government Act 2002 (the Act).

10      This is sixth LTP produced by the Southland District Council under the Act. The LTP includes the Annual Plan for 2018/19 and the budget for the ten year period – 2018/19 to 2028/29. The 2019/20 and 2020/21 Annual Plans will be based on the 2018-28 LTP.

11      The LTP is founded on Activity Management Plans that outline the levels of service that will be provided for each activity, issues impacting on the Council, detailed asset information, and financial data.

12      A copy of the draft plan has also been presented to the Finance and Audit Committee on 14 June. Subject to any changes requested by the Committee and further review by Audit New Zealand, it is expected that the Committee will recommend that Council adopt the plan. Given the timing of meetings and agenda’s, any changes that have been requested by the Committee will most likely be circulated to Council separately or tabled on the day.

13      As required, the plan has been through a comprehensive audit process by Audit New Zealand and the Office of the Auditor General (OAG) at three stages (in November 2017, January/February 2018 and May 2018). Feedback from Audit New Zealand and the OAG has been reflected in the documentation that has been prepared at each of these stages. A draft of their final audit opinion is included in the plan (pages 62-63). This will be signed by the Audit Director following Council’s adoption of the plan.

14      In addition, Audit New Zealand have prepared a report on the audit of the LTP. A separate report regarding the management report is included in the 20 June 2018 Council agenda.

 

Issues

15      The following is a summary of the decisions on the key issues outlined in the LTP Consultation Document that have been included in the final LTP:

-     Investing in Community Future Planning: Option 1- providing additional $150,000 in year 1 increasing to $250,000 a year by year 4;

-     Improving the Around the Mountains Cycle Trail experience: Option 1 – providing $126,000 for Centre Hill Road Connection option;

-     Funding of the Around the Mountains Cycle Trail: Option 1 – via 100% Loans;

-     Investing in Open Spaces: Option 1 – provide annual provision of $150,000 for open space design and planning and $5.5 million capital expenditure from years 4-10 (inflation adjusted);

-     Other Rating Changes: Confirms the change to the SUIP definition to include all property types; confirms the boundary changes for Athol Hall, Browns Hall, Waianiwa Hall, Edendale-Wyndham Hall, Tokanui-Quarry Hills Hall and Te Anau Community Board Rating boundaries and removal of the Edendale Pool rate.


 

16      The following is a summary of the changes to the Consultation Document budgets that have been approved for inclusion in the final LTP:

-     Provide funding to the Loss and Grief centre of $15,000 in 2018/19 funded from District Operations reserve;

-     Removal of grant funding of $10,000 set aside for Biodiversity co-ordinator and $10,000 Winton Wallacetown ward grant to Central Southland Swimming Pool;

-     Increase in capital cost and funding of the Winton stormwater pipe replacement with an additional $876,518 in year 2. Total project cost is $1,875,518 with the project to be carried out in year 1 and 2;

-     Additional water tank replacements in Ohai ($90,000) and Kakapo ($40,000) in year 1;

-     Additional operating costs - $295,000 in years 1, 2 and 2 (staffing changes); $25,000 in year 1 (Finance and Audit Committee independent representative); $30,000 in year 1 (Risk Management Framework);

-     Changes to the timing of projects - $263,136 for RFID purchase and Winton building work moved from year 1 to year 2; refurbishment of Millars Beach Jetty moved from year 9 to year 1 and refurbishment of Little Glory Jetty deferred from year 3 to year 9;

-     Adjustments to budgets from February 2018 forecasting to reflect a number of 2017/18 projects now expected to be completed in year 1 of the project changes.

17      In addition, at its meeting 2 May 2018, Council also confirmed its intention to proceed with plans to carry out a feasibility study into a Te Anau community hub (relating to the Te Anau library/office), programmed for 2019/20.

 

18      These decisions have been reflected in the final LTP which is attached for review. The plan includes the updated:

-     Infrastructure Strategy (from page 217)

-     Financial Strategy (from page 211)

-     Prospective Financial Statements (from page 143)

-     Financial Prudence Benchmarks (from page 56)

-     Funding Impact Statement – Rates (from page 149), new Rating Boundaries (from page 166)

-     Significant Forecasting Assumptions (from page 251)

-     Accounting Policies (from page 308)

-     Activity Information incorporating Performance Management Framework (from page 65)

-     Revenue and Financing Policy (from page 262)

-     Development and Financial Contributions Policy (from page 276)

-     Significance and Engagement Policy (from page 300)

-     Schedule of Capital Projects (from page 330)

-     Schedule of Community Assistance Funding (from page 80)

-     Schedule of Fees and Charges (from page 173)

-     Schedule of Reserves (from page 197)

19      The plan (page 322) also includes a summary of the Statements of Intent for Council Controlled Organisations (Milford Community Trust and Southland Museum and Art Gallery). With the recent closure of the Southland Museum and Art Gallery due to earthquake risks, the Trust Board may change the Statement of Intent at a future date.

20      The various Activity Management Plans have also been updated for the changes as well some additional wording changes to reflect decisions on submissions.

Factors to Consider

Legal and Statutory Requirements

21      The LTP is a statutory requirement under the Local Government Act 2002 (section 93).

22      The purpose of the LTP is to:

-    Describe the activities of the local authority

-    Describe the community outcomes of the local authority

-    Provide integrated decision-making and coordination of the resources of the local authority and provide a long term focus for the decisions and activities of the local authority

-    Provide a basis for accountability of the local authority to the community.

23      A LTP must cover a period of not less than 10 consecutive financial years, and include the information required by Part 1 of Schedule 10 of the Local Government Act 2002.  It must also include in the plan such detail as the local authority considers on reasonable grounds to be appropriate. 

24      The LTP must also include a report from the Auditor-General. A draft of their final audit opinion is included in the plan (pages 62-63). This will be signed by the Audit Director following Council’s adoption of the plan.

Community Views

25      Council released its consultation document “We’re just getting started, Southland” on 7 March 2018. The consultation document was distributed to all households in the District and advertised by newspaper, radio and facebook.  The consultation document and associated supporting information was available on Council’s website, at Council’s offices and community libraries.  Individual letters were also sent to key stakeholders with the submission period closing on 9 April 2018.

26      The consultation document identified a number of key issues that Council wished to receive feedback on as well as seeking feedback on the draft Revenue and Financing Policy and Development and Financial Contributions Policy.  These issues were:

·          Investing in community future planning;

·          Improving the Around the Mountains Cycle Trail experience and funding the costs;

·          Investing in open space experiences.


 

27      The consultation document also highlighted to the community:

·          The increased environmental standards impacting on water and stormwater discharges;

·          Drinking water quality projects as a result of the Havelock North inquiry;

·          The approach being taken to road pavements, replacing bridges and Council facilities;

·          The financial and infrastructure strategies and changes to key policies.

28      162 submissions were received (including one late submission) on the LTP, Draft Revenue and Financing Policy and Draft Development and Financial Contributions Policy. Hearings were held on 18 and 19 April 2018 with the late submission heard on 2 May 2018. 26 submitter’s spoke to Council about their submission.

29      Council worked through the issues raised on 2 May 2018 and made decisions on the submissions received. Staff have now amended the draft LTP supporting document adopted on 27 February 2018 to reflect the decisions made and outline the submissions that were received.

Costs and Funding

Rating implications

30      The rating effect of the LTP budget for 2018/19 is an overall rates increase of 3.9% with an average rate increase over the 10 years of 3.06% per annum.

31      The 2018/19 rates increase has increased from 3.19% as proposed in the draft 2018-2028 LTP budgets as a result of the following amendments (rounded):

 

 

Rates ($)

Rates (%)

2018/19 total rates as per draft LTP

32 

$46,193,379

3.19%

Operational changes from staff amendments

$295,000

0.66%

Reduction in grants/increase consultants per staff amendments

$15,000

0.03%

Changes to loan repayments

$(9,489)

(0.02)%

Amendments as a result of rating database changes etc

$15,797

0.04%

2018/19 total rates as per final LTP attached

$46,509,687

3.9%

33      This does not mean that every property in the district will see a 3.9% increase for 18/19 as it is dependent on valuation, location and the nature of services received.

34      A summary of the indicative rates movements for different property types is included on page 165 of the LTP.

35      The prospective financial statements reflect the position reached following review of the budgets for the next 10 years and the decisions made as a result of submissions.  Rates have been calculated to increase annually as indicated below:

Rate

2017/18

(excl GST

2018/19

(excl GST

2019/20

(excl GST

2020/21

(excl GST

2021/22

(excl GST

2022/23

(excl GST

2023/24

(excl GST

2024/25

(excl GST

2025/26

(excl GST

2026/27

(excl GST

2027/28

(excl GST

Total Rates $

44,764,752

46,509,687

48,065,118

49,637,306

50,387,866

51,788,980

53,288,586

55,502,000

57,155,550

59,117,672

60,491,328

Rate Increase $

1,607,619

1,744,934

1,555,432

1,572,187

750,560

1,401,114

1,499,607

2,213,413

1,653,550

1,962,123

1,373,656

 

 

 

 

 

 

 

 

 

 

 

 

Rate Increase %

3.73%

3.90%

3.34%

3.27%

1.51%

2.78%

2.90%

4.15%

2.98%

3.43%

2.32%

BERL

 

2.00%

2.20%

2.20%

2.20%

2.30%

2.30%

2.40%

2.50%

2.60%

2.70%

Financial Benchmark

4.00%

4.20%

4.20%

4.20%

4.30%

4.30%

4.40%

4.50%

4.60%

4.70%

Debt implications

36      There is minimal projected external debt over the 10 years of the plan with a forecast balance of $14.71 million at 30 June 2028.

Balanced budget

37      As stated above, section 100 of the Local Government Act 2002 requires that local authorities must ensure that each year’s projected operating revenues are set at a level sufficient to meet that year’s projected operating expenses OR resolve that is it financially prudent to set projected operating revenues at a different level.

38      Council is projecting the following operating results for the next 10 years:

 

2018/19

2019/20

2020/21

2021/22

2022/23

2023/24

2024/25

2025/26

2026/27

2027/28

Surplus/(Deficit)

(4,360)

(4,264)

(3,138)

(2,770)

(1,465)

126

114

414

3,254

3,103

39      Therefore it is not operating a balanced budget in five of the ten years. There are four areas contributing to Council not having a balanced budget.  These are:

·     Phasing in the funding of depreciation on key district assets.

·     Council’s decision not to fund depreciation on some buildings and all local assets.

·     Forestry Operations, which in some years are incurring costs that are funded from previous years surpluses put to reserves. This combines with the accounting entry to revalue the forestry assets. During the period of the plan the first three years are devaluations, with the quantity of trees harvested is greater than any expected growth, and the remaining seven are revaluations.

·     Council’s partial use of depreciation reserves to fund interest repayments on loans borrowed to fund capital renewals in principally water and wastewater projects.

40      If the impact of these was to be removed Council’s surplus/(deficit) would look as follows:

Phasing in the funding of depreciation on key district assets

41      In 2015 Council agreed to start to fund depreciation to ensure that those using our assets such as roads, water and wastewater systems are contributing towards their renewal. It is important to Council that each generation contributes fairly to the cost of the assets it uses.  Previous to 2015, Council’s asset management policies meant that it was investing more into replacement and new assets than what residents were consuming in a year.  In 2015, Council changed the way it prioritises its roading expenditure (80/20 policy) and recognised that no additional water or waste schemes will be implemented with central government funding.  As such Council agreed to start to fund depreciation.

42      In deciding to fund depreciation, Council recognised that rates would increase significantly if it were to fully fund depreciation in year one.  As such it decided to phase it in over 10 years starting in 2015/16, increasing each year by 10% until it was fully funding the annual cost in 2024/25.  The Council also decided to only collect depreciation for district funded activities of roading, water, wastewater, council buildings, information technology, wheelie bins and solid waste. 

Council’s decision not to fund depreciation on some buildings and all local assets

43      Given Council’s approach not to automatically replace local halls or community housing when they reach the end of their useful lives, Council also decided it was not appropriate to collect depreciation funds for their replacement.  Instead Council has signalled that any funding decisions on replacements for these types of assets would be made at the time. 

44      Taking into account considerations around affordability of rates in some local communities, Council has also chosen not to fund the depreciation on locally rated infrastructure assets such as footpaths, stormwater and playground equipment at this time.  Council will continue to review this policy as part of its LTP decision making process.

Forestry Operations

45      Council’s Forestry operations are run as a commercial operation with surpluses available to offset rates.  In 2021/22, 2024/25, 2025/26 and 2026/27, the costs of land preparation are higher than any revenue being received from harvesting.  To fund the costs, monies are drawn down from reserves (previous years’ surpluses). However the additional costs in these years contribute to the unbalanced budgets.

46      There is an expected devaluation of the forestry assets in 2018/19, 2019/20 (both $1.5 million) and 2020/21 ($321 thousand). For the remainder of the Long Term Plan revaluations are expected between $594 thousand and $1.0 million.

Council’s partial use of depreciation reserves to fund interest repayments

47      Council believes that all generations should contribute a fair and equitable share of the costs of using Council’s assets.

48      To ensure that Council does not collect for asset replacement twice, Council uses the funding collected for depreciation in any year to contribute to any capital renewal projects planned and to fund the principal and interest repayments on loans taken out to fund the balance of renewal projects in the year.

49      Because the interest expense is included in the operational expenditure, but the revenue source is from reserves, this contributes to the unbalanced budget position.

Overall

50      As such, in considering intergenerational equity, Council’s policies and ongoing consideration of affordability for its communities, it is considered financially prudent that Council operates financial deficits in the years indicated.

Policy Implications

51      The LTP is Council’s major mechanism to strategically manage and develop the District.  A number of policies have informed the preparation of the LTP and have been previously adopted by Council or been subject to a public consultation process.  Separate reports have been included on the meeting agenda regarding the development and Financial Contributions Policy and Revenue and Financing Policy.

Analysis

Options Considered

-    Option 1:        Adopt the Long Term Plan 2018-2028 (as attached to this report); or

-    Option 2:        Adopt the Long Term Plan 2018-2028 with changes.

Analysis of Options

Option 1 –Adopt the Long Term Plan 2018-2028

Advantages

Disadvantages

·     The LTP reflects Council’s deliberations over the past 22 months and set the budgets, levels of service and work programme that Council will deliver.

·     Adoption of the LTP will enable staff to move forwards work on delivery.

·     Meets the legislative requirements to adopt a LTP.

·        None

Option 2 – Adopt the Long Term Plan 2018-2028 with changes.

Advantages

Disadvantages

·        The final LTP would reflect any final changes requested by Council.

·      The budgets/levels of service/work programme proposed for the LTP 2018-2028 have been carefully considered by staff and elected members over the past 18 months. Significant or material changes to at this stage would be able to be given due consideration or debate or consultation due to time constraints required to adopt the LTP and have the changes reviewed by audit.

·      Any proposed changes would need to be minor and require no additional steps to be undertaken by Council.

·      As the LTP has a high level of significance, it is not recommended that changes are made without adequate community consultation.

 

Assessment of Significance

52      This matter is significant under the Council’s Significance and Engagement Policy and has been consulted on using the Special Consultative Procedure under Section 83 and 84 of the LGA.

Recommended Option

53      That the Council proceed with option 1 and adopt the Long Term Plan 2018-2028 (as attached to this report).

Next Steps

54      If Council adopts the plan, it will be used to set the basis for the Council’s activities and work over the next three years and accountability reporting for 2018/2019.

55      Once adopted, copies will made available online with hard copies also distributed to those on the Council’s mailing list. An advertisement will be placed in the Advocate notifying the public that the LTP has been adopted.

56      Staff will also write to submitters to thank them for their submission and explaining the outcome of their submission using the information in the decisions section of LTP and 2 May deliberations report as the basis.

 

Attachments

a             Draft of final Long Term Plan 2018-2028    

 


Council

20 June 2018

 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


Council

20 June 2018

 

Report on the Audit of the Long Term Plan (LTP) 2018-2028

Record No:             R/18/5/12313

Author:                      Nicole Taylor, Project Co-ordinator Corporate Planning

Approved by:         Rex Capil, Group Manager Community and Futures

 

  Decision                                        Recommendation                                  Information

 

 

 

Summary of Report

1        As part of the audit process, Audit New Zealand provides Council with a report at the end of its audit outlining the work that was performed and any recommended areas for improvement.

2        Attached is the management report received from Audit New Zealand in relation to the audit of the 2018-2028 Long Term Plan (LTP) (Attachment A). The report does not contain any recommendations for Council’s consideration.

3        Audit New Zealand have issued a draft unmodified opinion on the 2018-2028 LTP document  with the final signed opinion to be provided following Council’s adoption of the plan on 20 June 2018.

4        This means that Council’s LTP meets its statutory purpose in describing the Council’s activities and community outcomes; providing a reasonable basis for integrated decision-making and co-ordination of Council’s resources; providing a long-term focus for decisions and activities and providing a basis for accountability to the community.

5        It also means that the underlying information and assumptions used to prepare the 2018-2028 LTP were reasonable and supported the preparation of the plan.

6        In doing so Audit NZ found the LTP had no uncorrected misstatements with any issues resolved prior to adoption.

7        A copy of the management report on the 2018-2028 LTP will also be circulated to the Council’s Finance and Committee meeting 30 August 2018.

 

 

Recommendation

That the Council:

a)            Receives the report titled “Report on the Audit of the Long Term Plan (LTP) 2018-2028” dated 14 June 2018.

 

 

Attachments

a             Report to the Council on the audit of Southland District Council's Long Term Plan for the period 1 July 2018 to 30 June 2028    

 


Council

20 June 2018

 

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Council

20 June 2018

 

Rates Resolution - Setting of Rates for the Financial Year 1 July 2018 to 30 June 2019

Record No:             R/17/11/27427

Author:                      Shelley Dela Llana, Accountant

Approved by:         Anne Robson, Chief Financial Officer

 

  Decision                                        Recommendation                                  Information

 

 

 

Purpose

1        The Local Government (Rating) Act 2002 (the Act) requires Council to adopt, by Council resolution, the rates it intends to set for the financial year. The rates for 2018/2019 can only be set once Council has adopted its Long Term Plan 2018-2028, including the Funding Impact Statement (Rates Section) for 2018/2019.

2        The resolution must also include (instalment) due dates for payment. The Act permits Council to apply penalties of up to 10% for payments not received by the due dates and for any arrears of previous year’s rates. The penalty amount and dates must also be set by Council resolution.

3        The Act also requires Council to send a copy of the adopted resolution within 20 working days to the Secretary of Local Government.

Executive Summary

4        This report lists the various rates that have been calculated for the financial year 1 July 2018 to
30 June 2019. These rates are included in the Council’s Long Term Plan 2018-2028 in the Funding Impact Statement (Rates Section).

 

Recommendation

That the Council:

a)            Receives the report titled “Rates Resolution - Setting of Rates for the Financial Year 1 July 2018 to 30 June 2019” dated 8 June 2018.

b)           Determines that this matter or decision be recognised as significant in terms of Section 76 of the Local Government Act 2002.

c)            Determines that it has complied with the decision-making provisions of the Local Government Act 2002 to the extent necessary in relation to this decision; and in accordance with Section 79 of the Act determines that it does not require further information, further assessment of options or further analysis of costs and benefits or advantages and disadvantages prior to making a decision on this matter.

d)           Sets the rates detailed below for the financial year commencing 1 July 2018 and ending on 30 June 2019. All rates and amounts are GST inclusive.

                Uniform Annual General Charge

                Pursuant to Section 15(1)(a) of the Act, a uniform annual general charge of $530.16 per rating unit on every rateable rating unit within the Southland District.

                General Rate

Pursuant to Section 13(2)(a) of the Act, a general rate of $0.00051727 in the dollar on the capital value of all rateable rating units within the Southland District.

                Targeted Rates

                Community Facilities Rates

Pursuant to Sections 16(3)(b) and 16(4)(a) of the Act, the following uniform targeted rates set per separately used or inhabited part of a rateable rating unit situated in the following Community Facility Areas:

Community Facility Areas

Charge

Community Facility Areas

Charge

Aparima Hall

$47.12

Mossburn Hall

$66.65

Athol Memorial Hall

$60.00

Myross Bush Hall

$30.28

Balfour Hall

$38.61

Nightcaps Hall

$80.27

Blackmount Hall

$56.33

Ohai Hall

$59.74

Browns Hall

$21.47

Orawia Hall

$58.77

Brydone Hall

$51.31

Orepuki Hall

$65.33

Clifden Hall

$49.62

Oreti Plains Hall

$72.00

Colac Bay Hall

$55.03

Otahuti Hall

$30.94

Dacre Hall

$43.00

Otapiri-Lora Gorge Hall

$155.25

Dipton Hall

$48.69

Riversdale Hall

$54.07

Eastern Bush Hall

$78.89

Ryal Bush Hall

$41.23

Edendale-Wyndham Hall

$15.40

Seaward Downs Hall

$43.30

Fiordland Community Event Centre

$38.19

Stewart Island Hall

$68.21

Five Rivers Hall

$56.68

Thornbury Hall

$69.40

Fortrose Domain

$28.75

Tokanui-Quarry Hills Hall

$54.31

Glenham Hall

$48.38

Tuatapere Hall

$38.72

Gorge Road Hall

$50.28

Tussock Creek Hall

$55.20

Heddon Bush Hall

$69.00

Tuturau Hall

$46.12

Hedgehope-Glencoe Hall

$69.00

Waianiwa Hall

$69.00

Limehills Hall

$60.93

Waikaia Recreation Hall

$54.09

Lochiel Hall

$36.31

Waikawa Community Centre

$29.48

Lumsden Hall

$36.00

Waimahaka Hall

$69.00

Mabel Bush Hall

$50.14

Waimatuku Hall

$36.58

Manapouri Hall

$36.02

Wairio Community Centre

$39.27

Mandeville Hall

$47.41

Wallacetown Hall

$50.00

Mataura Island Hall

$27.25

Winton Hall

$17.03

Menzies Ferry Hall

$40.25

Wreys Bush Hall

$81.35

Mimihau Hall

$55.00

Wrights Bush Hall

$30.68

Mokoreta-Redan Hall

$70.74

 

 

Roading Targeted Rate

Pursuant to Sections 16(3)(a) and 16(4)(a) of the Act, a uniform targeted rate of $92.00 per rateable rating unit within the Southland District; and

Pursuant to Sections 16(3)(a) and 16(4)(b) of the Act, a differential rate in the dollar of capital value for all rateable rating units:

Roading Differentials

Charge

Commercial

$0.00147516

Dairy

$0.00092354

Farming non-dairy

$0.00055846

Forestry

$0.00684201

Industrial

$0.00138178

Lifestyle

$0.00048980

Mining

$0.01906424

Other

$0.00014694

Residential

$0.00048980

 

Regional Heritage Targeted Rate

Pursuant to Sections 16(3)(a) and 16(4)(a) of the Act, a uniform targeted rate of $41.28 set per separately used or inhabited part of a rateable rating unit within the Southland District.

Waste Management Targeted Rate

Pursuant to Sections 16(3)(b) and 16(4)(a) of the Act, a uniform targeted rate of $87.73 per rating unit on every rating unit within the Southland District including Stewart Island; and

Pursuant to Sections 16(3)(b) and 16(4)(a) of the Act, a rate of $0.00003680 in the dollar of capital value across all rating units within the Southland District including Stewart Island.

Local Targeted Rates (Ward, Community Board, Community Development Area, Town)

Pursuant to Sections 16(3)(b), 16(4)(a) or 16(4)(b) of the Act, the following rates per rateable rating unit/rate in the dollar on the land value of all rateable rating units within the below areas:

Local Targeted Rates

Targeted Rate per rating unit

Rate in the dollar on land value

Mararoa Waimea Ward 

 

$0.00002634

Waiau Aparima Ward 

 

$0.00005312

Waihopai Toetoes Ward 

 

$0.00003215

Winton Wallacetown Ward 

 

$0.00001378

Edendale-Wyndham Community Board 

$148.64

 

Otautau Community Board

$303.30

 

Riverton/Aparima Community Board

$338.02

 

Stewart Island/Rakiura Community Board

$185.70

 

Te Anau Community Board Residential 

$291.03

 

Te Anau Community Board Commercial 

$582.06

 

Te Anau Community Board Rural 

$72.76

 

Tuatapere Community Board Residential

$215.05

 

Tuatapere Community Board Commercial

$215.05

 

Tuatapere Community Board Rural 

$43.01

 

Wallacetown Community Board 

$159.65

 

Winton Community Board 

$223.75

 

Athol Community Development Area

$71.04

 

Balfour Community Development Area

$240.48

 

Browns Community Development Area

$219.83

 

Colac Bay Community Development Area

$102.99

 

Dipton Community Development Area

$95.69

 

Garston Community Development Area

$38.60

 

Gorge Road Community Development Area

$36.15

 

Limehills Community Development Area

$89.38

 

Lumsden Community Development Area

$311.66

 

Manapouri Community Development Area

$274.33

 

Mossburn Community Development Area

$355.99

 

Nightcaps Community Development Area

$169.83

 

Ohai Community Development Area

$231.43

 

Orepuki Community Development Area

$113.56

 

Riversdale Community Development Area

$185.61

 

Thornbury Community Development Area

$110.52

 

Tokanui Community Development Area

$224.18

 

Waikaia Community Development Area

$162.90

 

Woodlands Community Development Area

$209.26

 

Drummond Village Local 

$54.57

 

Swimming Pool Targeted Rates

Pursuant to Sections 16(3)(b) and 16(4)(a) of the Act, the following uniform targeted rates set per separately used or inhabited part of a rateable rating unit situated in the following Swimming Pool Areas:

Swimming Pool Area

Charge

Swimming Pool Area

Charge

Fiordland

$16.14

Takitimu

$23.46

Otautau

$21.67

Tuatapere Ward

$15.00

Riverton/Aparima

$22.30

Winton

$13.47

Te Anau Airport Manapouri Targeted Rate

Pursuant to Sections 16(3)(b) and 16(4)(a) of the Act, a uniform targeted rate of $128.00 per rateable rating unit within the Te Anau Manapouri Airport Area.

Stewart Island Waste Management Targeted Rate

Pursuant to Sections 16(3)(b) and 16(4)(a) of the Act, a uniform targeted rate of $343.88 per unit of service situated in the Stewart Island Waste Management Area.

Rubbish Bin Collection Targeted Rate

Pursuant to Sections 16(3)(b) and 16(4)(a) of the Act, a uniform targeted rate of $152.69 per unit of service where the collection service is actually provided.

Recycling Bin Collection Targeted Rate

Pursuant to Sections 16(3)(b) and 16(4)(a) of the Act, a uniform targeted rate of $152.69 per unit of service where the collection service is actually provided.

Te Anau Rural Water Scheme Targeted Rates

Pursuant to Sections 16(3)(b) and 16(4)(a) and (b) of the Act, the rates as outlined below:

An annual charge by way of a uniform targeted rate of $566.74 per restricted connection.

In regards to the supply of water, the following rates or combination of below will apply to each rating unit:

•        Pursuant to Section 19(2)(b), a uniform targeted rate of $377.83 for each unit supplied to the rating unit.

•        For rating units with an allocation of multiples of 7.7 units, a uniform targeted rate of $2,909.27 for every 7.7 units allocated.

•        For rating units allocated half a unit, a uniform targeted rate of 50% of a unit being $188.91  For this to apply, the rating unit must already receive at least 1 unit.

Matuku Rural Water Scheme Targeted Rate

Pursuant to Sections 16(3)(b) and 16(4)(a) of the Act, a uniform targeted rate of $283.55 for each unit made available to the rating unit. 

Metered Property Water Supply Targeted Rate

Pursuant to Section 19 of the Act, a rate for actual water consumption of $1.10 per cubic metre.

Pursuant to Sections 16(3)(b) and 16(4)(b) of the Act, a fixed charge of $196.00 per meter.

District Water Targeted Rate

Pursuant to Sections 16(3)(b) and 16(4)(b) of the Act, the rates are assessed on a differential basis:

•        For all rating units without meters that are connected to a water supply scheme or are within the scheme rating boundary but are not connected, a uniform targeted rate of $447.35 for each separately used or inhabited part of the rating unit for residential properties and for each rating unit for non-residential properties.

•        For rating units with water troughs with direct feed from Council’s water mains, a uniform targeted rate of $89.47 per trough.

•        For vacant non-contiguous rating units within the scheme rating boundary(which are not connected but able to be connected), a uniform targeted rate of $223.68 being half of one unit rate for the provision of the service due to the ability to connect to the scheme. 

District Wastewater Targeted Rates

Pursuant to Sections 16(3)(b) and 16(4)(b) of the Act, the following rates:

•        For all residential rating units either connected or are within the scheme rating boundary and able to be connected, a uniform targeted rate of $449.25 for each separately used or inhabited part of the rating unit.

•        For vacant non-contiguous rating units within the scheme rating boundary, a uniform targeted rate of $224.62 being half of one unit rate for the provision of the service due to the ability to connect to the scheme. 

•        All other properties either connected or able to be connected, a uniform targeted rate of $449.25 for each pan/urinal.

Woodlands Septic Tank Cleaning Targeted Rate

Pursuant to Sections 16(3)(b) and 16(4)(a) of the Act, a uniform targeted rate of $48.01 in respect of each separately used or inhabited part of a rating within the Woodlands Septic Tank Cleaning Area.

Water Supply Loan Targeted Rates

Pursuant to Sections 16(3)(b) and 16(4)(b) of the Act, a uniform targeted rate per rating unit on the option that the ratepayer has previously chosen to pay either a one-off capital contribution for a new scheme or pay it over a selected period as below:

Water Supply Loan Rates

Charge

Edendale Water Loan Charge - 10 years

$274.80

Edendale Water Loan Charge - 15 years

$227.80

Edendale Water Loan Charge - 25 years

$150.14

Wyndham Water Loan Charge - 10 years

$271.13

Wyndham Water Loan Charge - 15 years

$199.59

Wyndham Water Loan Charge - 25 years

$144.19

Sewerage Supply Loan Targeted Rates

Pursuant to Sections 16(3)(b) and 16(4)(a) and (b) of the Act, a uniform targeted rate per unit on the option that the ratepayer has previously chosen to pay either a one-off capital contribution for a new scheme or pay it over a selected period as below:

Sewerage Supply Loan Rates

Charge

Edendale Sewerage Loan - 10 years (incl connection cost)

$1,195.39

Edendale Sewerage Loan - 15 years (incl connection cost)

$878.51

Edendale Sewerage Loan - 25 years (incl connection cost)

$632.89

Edendale Sewerage Loan - 10 years (excl connection cost)

$989.29

Edendale Sewerage Loan - 25 years (excl connection cost)

$523.79

Gorge Road Sewerage Loan - 15 years

$475.53

Oban Sewerage  Loan Charge Extension - 15 years

$725.18

Tuatapere Sewerage Loan Charge - 15 years

$404.63

Tuatapere Sewerage Loan Charge - 25 years

$363.84

Wallacetown Sewerage Loan Charge - 15 years

$465.13

Wallacetown Sewerage Loan Charge - 25 years

$333.34

Wyndham Sewerage Loan - 10 years (incl connection cost)

$1,084.53

Wyndham Sewerage Loan - 15 years (incl connection cost)

$798.25

Wyndham Sewerage Loan - 25 years (incl connection cost)

$576.68

Wyndham Sewerage Loan - 10 years (excl connection cost)

$881.18

Wyndham Sewerage Loan - 15 years (excl connection cost)

$648.61

Wyndham Sewerage Loan - 25 years (excl connection cost)

$468.58

 

 

Sandy Brown Road Utility Loan Targeted Rate

Pursuant to Sections 16(3)(b) and 16(4)(a) of the Act, a uniform targeted rate of $119.37 per rating unit.

e)            Resolves under Section 24 of the Act that all rates (excluding metered water targeted rates) will be payable in four equal instalments with the due dates for payment being:

•        Instalment One - 24 August 2018.

•        Instalment Two   - 23 November 2018.

•        Instalment Three - 22 February 2019.

•        Instalment Four - 24 May 2019.

The due date for payment of metered water targeted rates will be

•        Instalment One - 20 July 2018.

•        Instalment Two- 19 October 2018.

•        Instalment Three - 18 January 2019.

•        Instalment Four – 19 April 2019.

f)             Resolves under Sections 57 and 58 of the Act to apply penalties to unpaid rates as follows:

•        A penalty of 10% will be added to the amount of any instalment remaining unpaid after the relevant due date in recommendation (e) above, as shown in the table below:

Instalment

Date Penalty Added

1

27 August 2018

2

26 November 2018

3

25 February 2019

4

27 May 2019

 

•        A further penalty of 10% will be added to any amount of rates that are unpaid from previous years and remains unpaid at 1 July 2018. The penalty will be added on 2 July 2018.

g)           Delegates’ authority to remit penalties above $100 to the Chief Financial Officer and Finance Manager.

h)           Resolves that under Section 88 of the Act where a postponement fee may be added to postponed rates, Council charges $200 GST inclusive for an administration fee to cover the cost of registering a Statutory Land Charge and interest annually at Council’s internal borrowing interest rate as prescribed in the Long Term Plan 2018-2028.

i)             Resolves that under Section 54 of the Act, where rates charged on a rating unit are less than or equal to $10 (GST incl), Council will not collect these as it believes it to be uneconomic.

j)             Agrees that valuation roll and rate records for the District of Southland are open for inspection by ratepayers at all District offices (as listed below), during normal office hours:

-      Invercargill Office

        15 Forth Street, Invercargill 9810

-                                                Oban Office

                                                                               10 Ayr Street, Oban, Stewart Island 9846

-      Lumsden Office

        18 Diana Street, Lumsden 9730

-      Te Anau Office

        116 Town Centre, Te Anau 9600

24 Milford Crescent, Te Anau 9600

-      Otautau Office

        176 Main Street, Otautau 9610

-      Winton Office

        1 Wemyss Street, Winton 9720

-      Riverton Office

        117 Palmerston Street, Riverton 9822

-      Wyndham Library

        41 Balaclava Street, Wyndham 9831

k)            Agrees the following options be available for payment of rates:

•        Direct Debit.

•        Credit card (Visa or Mastercard).

•        Internet banking, telephone.

•        By cash, cheque or Eftpos.

 

 

Background

5       Council has adopted the Long Term Plan 2018-2028.  This paper provides for Council to set rates for the year commencing on 1 July 2018 and ending on 30 June 2019.

6       Rates for the 2018/2019 year are set out on a GST inclusive basis. This differs from prior years where the report has set rates on a GST exclusive basis. This change is a result of legal advice received from Simpson Grierson, following on from the recent Kaipara District Council and Northland Council case. One of the points raised in this case was that the number used in the rates-setting resolution should be the actual amount that the Council will receive from the ratepayer, rather than the amount to which GST will be added. Council staff have actioned the advice of Simpson Grierson and changed this report, as well as the Funding Impact Statement (Rates Section) in the 2018-2028 Long Term Plan, to be GST inclusive.

7       Where a targeted rate applies to a particular area, reference is made within the
Funding Impact Statement (Rates Section) of Council’s Long Term Plan 2018-2028 to the land map detailing this.  These maps can be viewed at
www.southlanddc.govt.nz/my-southland/maps

8       Definitions of rating terminology and applicability are explained at the beginning of the Funding Impact Statement (Rates Section) of Council’s Long Term Plan 2018-2028.

9        Under Section 54 of the Local Government (Rating) Act 2002 9the Act), Council has the option to not collect small amounts. It is recommended that Council not continue to collect rates where the individual assessment totals less than $10 (GST inclusive), as has been done for the last two years. As it is uneconomical to do so. 

10      We note that as part of our annual process, Council engage a legal advisor to undertake a review of this rates resolution report and the associated Funding Impact Statement (Rates Section).  The recommendations raised through this process have been actioned and incorporated into this report and Funding Impact Statement (Rates Section).

Factors to Consider

Legal and Statutory Requirements

11     Under Section 23(1) and (2) of the Act the Council is required to set its rates by resolution.

12     Section 24 of the Act requires that the Council state the financial year for which the rates relate and the due date for payment of the rates in its resolution setting rates.

13     Section 57 of the Act states that a local authority may, by resolution, authorise penalties to be added to rates that are not paid by the due date.  The resolution must state how the penalty is calculated and the date the penalty is to be added to the amount of unpaid rates. Section 58 of the Act sets out the penalties that may be imposed.

14     Pursuant to Section 23(5) of the Act, a copy of this rates resolution will be sent to the Secretary of Local Government within 20 working days from this resolution being approved.

Community Views

15      Members of the community have been provided with the opportunity to express their views in relation to Council’s proposed rates for the 2018/2019 financial year via the Long Term Plan 2018-2028 consultation process.

Costs and Funding

16      The rates proposed to be set through the recommendations in this report are consistent with the financial forecasts included in the Long Term Plan 2018-2028, to be considered for adoption by Council prior to its consideration of this report.

Policy Implications

17      The rates resolution is to set the rates as detailed in the Funding Impact Statement (Rates Section) from Council’s Long Term Plan 2018-2028 that has been the subject of public consultation.

Analysis

Options Considered

18      Considered all options as part of the preparation of the Long Term Plan 2018-2028 and revised during the submission process.

Analysis of Options

Option 1 - Set the rates, penalties and due dates as recommended

Advantages

Disadvantages

·        Adhering to the Act and LGA requirements

·        The rates have been consulted on as part of the Long Term Plan 2018-2028

·        The rates are consistent with the financial forecasts included in the Long Term Plan 2018-2028.

·        None.

Option 2 - Set different rates as required by Council

Advantages

Disadvantages

·        None.

·        Will not be consistent with financial forecasts in the Long Term Plan 2018-2028

·        Council may not be able to fund its activities.

Assessment of Significance

19      In accordance with Council’s Significant and Engagement Policy, the resolution to set the rates is considered significant as it has a major effect on the community.

20      Consultation on the Long Term Plan 2018-2028 and the associated proposed rates occurred in March 2018.  The rates are formulated on the basis of the Funding Impact Statement (Rates Section).

Recommended Option

21      The recommended option is option 1 – Set the rates, penalties and due dates as recommended.

Next Steps

22      Rates will be assessed in July in accordance with the recommendations of this report.

 

Attachments

There are no attachments for this report. 

  


Council

20 June 2018

 

Bridge Weight Restriction Postings 2017/2018

Record No:             R/18/6/12491

Author:                      Hartley Hare, Strategic Manager Transport

Approved by:         Matt Russell, Group Manager Services and Assets

 

  Decision                                        Recommendation                                  Information

 

 

 

Purpose

1.      To comply with the Transport Act 1962 and Heavy Motor Vehicle Regulations 1974, the road controlling authority for any territorial area is required to confirm, at a minimum annually, any weight limit postings necessary for bridges on the roading network and to revoke any restrictions which no longer apply.  This report provides the information to be able to fulfil this requirement. Council last confirmed its bridge postings on 21 June 2017.

Executive Summary

2.      This report updates the list of posted bridges within the Southland District.  The posting weight limits are based on recent detailed inspections and follow up analysis. The 2018 inspection and analysis has resulted in a number of additional bridges needing to be restricted and a number of currently posted bridges having their posting further restricted as the bridges continue to deteriorate.

3.      The attached schedule (Appendix A) highlights changes to bridge postings as a result of the recent inspections and analysis as well as bridge upgrade and replacement work carried out in the 2017/2018 financial year, along with specific one off issues that have occurred.

4.      As work is currently being completed on a number of bridges covered by this report, an update on those bridges can be provided at the meeting.

5.      In summary:

·    Recently, Stantec inspected or attempted to inspect all of Southland District Council’s posted bridges, the bulk of which are timber. They also inspected a number of other bridges which may also be getting to the stage that they may need to be restricted.

·    Of the total number of bridges (1088) there are now 93 posted compared to 101 bridges that had posting restrictions advertised in 2017.

·    Of the 93 posted bridges 66 are posted at less than 100% Class I compared to the 65 of 101 posted bridges that were advertised in 2017.

·    Of the bridges identified for posting in 2017, there are 22 that require a revision of the previous posted restriction.

·    Of the total number of timber bridges there are a significant number that have indications of internal defects (i.e. rot/decay) requiring further investigation by either drill coring or non-destructive methods.

·    The lack of objective internal verification such as drilling of the timber components, as a supplement to hammer sounding, exposes Council to significant risk.  Further verification methods are therefore recommended going forward and action is underway on this.

·    The adoption of central loading when setting posting, without consideration of eccentric loading, departs from best practice and exposes Council to additional risk. As discussed and agreed through the 2017 Report on this issue, this approach was considered acceptable on the basis that the posted bridges are single lane and vehicles tend to stay reasonably central as observed by the wheel tracks, as such it is considered that the central on bridge approach has merit.

 

Recommendation

That the Council:

a)        Receives the report titled “Bridge Weight Restriction Postings 2017/2018” dated 14 June 2018.

 

b)        Determines that this matter or decision be recognised as not significant in terms of Section 76 of the Local Government Act 2002.

 

c)         Determines that it has complied with the decision-making provisions of the Local Government Act 2002 to the extent necessary in relation to this decision; and in accordance with Section 79 of the Act determines that it does not require further information, further assessment of options or further analysis of costs and benefits or advantages and disadvantages prior to making a decision on this matter.

 

d)        Confirms that in accordance with the Transport Act 1962 and Heavy Motor Vehicle Regulations 1974, the maximum weight and speed limits for heavy motor vehicles on bridges as listed on the attached schedule (Appendix A) be imposed.

 

e)        Continues to rely on the Central on Bridge (COB) restriction to limit posting restrictions and continues to mitigate this risk through ongoing promotion of posting compliance, particularly in the following areas:

·    For those restrictions which have curved approaches; and

·    Where the posting restriction difference between the central on bridge and eccentrically loaded calculation exceeds 20% and the bridge carries more than two heavy vehicles a day.

 

f)         Confirms there is a commitment to further mitigate the risk associated with the inspection process by incorporating invasive annual testing across all posted bridges which have areas of concern.

 

g)        Notifies the weight limits to the New Zealand Police, New Zealand Transport Agency, Road Transport Forum and by public notice in daily newspapers.

 

h)        Confirms the current closure of the following bridges:

·    1281.001 Mataura Island Titiroa Road until it is replaced.

·    2654.001 Welsh Road East.

 

Content

Inspection Process

6.      In the 2016 round of inspections Stantec initiated a multi-level assessment in order to provide improved understanding and to better address the variable level of risk associated with each type of defect.  For each beam inspected there are three types of defects that are picked up, specifically:

·    External Condition Assessment – determining the condition of the member based on its external visual appearance (i.e. cracking, crack depth, surface tolerance, etc.).  This is typically a value between 100% and 80%.

·    External Defect Assessment – determining any further reduction in capacity resulting from an external visible defect in the beam cross section that can be measured (i.e. external decay, rebates, significant cracking, moisture content, etc.).  This factor is typically applied either as a negative percentage reduction to the external condition assessment, or physical reduction to the member size used in the calculations.

·    Internal Sounding Assessment – determining an “indicative” condition of the member based on sounding (hitting with a hammer).  As this method is highly subjective it requires further verification by drill coring or an alternative objective non-destructive method.  This factor is typically applied as a negative percentage reduction to the external condition assessment and also raises a “red flag”, indicating a higher priority for further internal verification.

7.      It should be noted that this more detailed format of assessment was only partially applied to the 2016 round of inspections in order to retain and identify beams indicated by previous inspectors as having some form of internal defect, while minimising undue and significant changes to the current postings.  The above process has been more intensively applied for the 2018 inspections and postings have been adjusted accordingly.  In addition to the above inspection process, all posted bridge inspections moving forward will also include drilling in areas of potential concern.

8.      It is further recommended that all timber structures whether posted or not, should have some measure of objective internal condition assessment carried out (drilling or non-destructive testing (NDT)) on a periodic basis (i.e. 10 years).  For any bridges that have an internal defect noted via sounding, these structures should be prioritised for further assessment to verify the presence of decayed timber within the member. A programme of drilling beams is being developed currently to follow up the inspections. This will be carried out by Stantec with assistance from the Alliance Maintenance Contractors. As a result of the internal condition assessment a number of restrictions may need to be either increased or relaxed at a later date.

Posting Assessment Process

9.      The posting assessment process used generally aligns with Section 7 of the NZ Transport Agency Bridge Manual – Evaluation of Bridges and Culverts.  Bridge member capacities are typically calculated based on ultimate limit state loading and adopting the following assumptions:

·    Assume all timber is Mixed Australian Hardwood (MAH).

·    Assume strength classification of F17, based on table 2.1 of AS1720.1 (1988), adopting MAH, Structural No. 2, seasoned.

·    Characteristic strengths are given in table 2.4 of AS1720.1 (2010).

10.    It should be noted that the current posting process does depart from full compliance with the NZ Transport Agency Bridge Manual, in that an allowance has been made for posting to be based on a centrally placed vehicle and not an eccentrically placed vehicle (i.e. against the kerb).  The resultant/effect of this is that many of our bridges have as little as 50% of the posted capacity for eccentrically placed vehicles.

11.    As all the posted bridges are single lane bridges and accepting that most vehicles tend to stay reasonably central on bridge as observed by the wheel tracks, the proposed approach has merit.  However, it is a clear departure from best practice and does expose SDC to a higher level of risk and potential litigation in the event of a structural failure occurring as a result of a vehicle straying from its central on bridge position.

12.    It is recommended that Council continue to take further measures to address eccentric loading on bridges and review of their posted capacities to help manage this risk, specifically:

·    Prioritise bridges with the greatest difference between central and eccentric loading.

·    Determine social/economic effects of reduced posting on typical traffic using the route.

·    Consider options for reduced posting, kerb to kerb narrowing, and strengthening of the outer beams.

·    Integrates a more invasive (drilling) investigation regime for all posted bridges.

Background

13.    The 2018 inspection and analysis has resulted in a number of additional bridges needing to be restricted and currently posted bridges having their posting reduce as the bridges continue to deteriorate. The number has been offset by a number of bridges which no longer require posting restrictions for a range of reasons. The net result is that 93 bridges need to have posting restrictions. This is 8 bridges less than the 101 bridges that had posting restrictions in 2017.

14.    Since the 2017 postings were imposed the following bridges have been replaced meaning they no longer need to be restricted.

·    1067.001 Wairata Road was replaced with a concrete box culvert.

·    1528.001 Halcrow Road was replaced with a concrete box culvert.

·    1692.001 Allison Road has been closed as the landowner has built a new section of road and alternative pipe crossing. The bridge will be removed once the road realignment has been formalised.

·    1703.001 Waianiwa Oporo Road was replaced with a concrete box culvert. As there are some level issues with this structure, the road has been left temporarily in gravel until these are resolved.

·    2466.002 Valley Road was replaced with a concrete box culvert.

·    2647.001 Deans Road is currently being replaced with a full span bridge, using precast concrete double T beams, supported on concrete abutments and steel H piles. This will be completed prior to the end of June.

·    2896.002 Dipton Flat Road was replaced with a concrete box culvert.

15.    In addition to the above replacements the following bridges have been structurally upgraded meaning they no longer require posting.

·    1328.001 Wyndham Valley Road has had its superstructure replaced with steel beams and a plywood deck.

·    1733.001 Ross Road will have its superstructure replaced with precast concrete double T beams prior to the end of June.

·    3224.001 McRorie Road has been upgraded with the addition of second hand timber beams and a new deck.

·    3598.003 Dunrobin Valley Road has been upgraded with the addition of second hand timber beams and a new deck.

16.    During the year the following bridges have been closed and therefore can come off the posting list.

·    1281.001 Mataura Island Titiroa Road.  This bridge initially had its posting lowered significantly due to concerns noted relating to excessive movement in the deck and a very suspect pile. Due to major non-compliance with this reduced restriction the bridge had to be fully closed. The tender has been issued to the market with a proposed piped causeway and a design build option. Unfortunately, due to fish passage requirements, work on the causeway cannot start in the backwater until December. As the bridge will have been closed for more than six months by the time it is replaced a formal resolution is required from Council for this closure to continue until the end of March 2019 when the new crossing should be complete.

·    2654.001 Welsh Road East. This bridge has been closed as the recent inspection found the ends of two timber beams were totally rotten and close to collapse. This bridge provides access into some paddocks for two landowners. The logistics of the closure are still being worked through with the landowners and will need a Council resolution once finalised.

17.    SDC had one additional posted bridge, which was bridge number 3302.001 on Riversdale Pyramid Road.  This bridge was shared with Gore District Council (GDC) who take the responsibility for its posting and notification requirements.  As GDC has the formal jurisdiction for this bridge it has not previously been included in the SDC postings. The bridge is currently closed after part of it got washed away. It is due for replacement in the coming year.

18.    The attached schedule (Appendix A) includes 93 bridges for which weight and/or speed restrictions, in terms of the Heavy Motor Vehicle Regulation 1974, are still necessary.  The schedule has eight less weight limit postings than the previous 2017 Bridge Posting Council report. The changes in bridge postings from the 2017 report are shown in the schedule in bold italics including new postings.

19.    It is proposed that the Council accepts the attached schedule of bridge restrictions (Appendix A) and authorises the advertising and notification of the list in accordance with meeting the requirements of the Transport Act 1962 and the Heavy Motor Vehicle Regulations 1974.

20.    This requires that notification of the restricted weight limit posting or speed limits are advertised at least once annually to remain legally enforceable. This requirement is now due as the last public notification was carried out on 5 July 2017.

21.    The objective of the decision is to maintain a suitable level of safety for road users and to limit any further structural damage resulting from unsustainable overloading.

Issues

22.    The restricted bridges can cause a range of difficulties for those people who need them to transport heavy freight. The posted bridge listing continues to be used as a deficiency register to prioritise the bridge upgrading and renewal programmes in the coming years.

23.    Limited by the available funding for this work, only those bridges with restrictions that cause the greatest commercial hardship or present the highest safety risk will be prioritised to be upgraded or replaced initially.  The Economic Network Plan will continue to play a significant part in developing and defining these priorities, as well as feedback from major users such as Fonterra and forestry companies.

24.    Several bridges on the posting list are still being reviewed in terms of their status in relation to the extent of the roading network they provide access to and service. A few of these are not a part of council’s maintained network and council roading is scheduling those to be removed where and when possible. As these are progressed they will be brought to Council with a recommendation to close or dispose of.

25.    Each bridge on the posting list is subject to ongoing consideration of the alternatives which include:

·    Potential upgrading or replacement where this is justified in terms of the level of service that SDC can afford to provide.

·    How to effectively better manage ‘Long Term’ postings where the bridge is low use and the restriction is causing limited problems.

·    Potential removal of the bridge from the network register under Council’s Extent of Network Policy.

26.    The current use of the central on bridge restriction is not a standard restriction covered by the regulations. It is a pragmatic approach that has been used by SDC for a number of years to avoid excessive restrictions and manage the bridge asset to maximise its value and life.

27.    Discussions with the NZ Transport Agency indicate that very few, if any, other RCAs use this central on bridge restriction. This does not mean it is wrong, it is just not a standard practice covered by the regulations. This means that the restriction is not legally enforceable and acts more as an advisory sign.

28.    The Transport Agency will not tell SDC what to do regarding the use of the central on bridge restriction as it sees that it is up to SDC how it manages its network within the various legal requirements governing all RCAs, including the risks on the network. They do support appropriate measures that provide better access for trucks across the network. It needs to be noted that there is a risk that if people fail to comply with the central on bridge condition and this leads to a failure and truck crash, Council could potentially have some liability issues to defend.

29.    The risks are greatest where there is a substantial difference between the bridge weight restriction with and without the central on bridge restriction, the bridge approach is curved and there are greater heavy traffic volumes.

30.    In terms of dealing with the risks, Council has the full range of options between fully accepting the risk of continuing with the central on bridge restriction in all cases, in the knowledge that this has worked satisfactorily in the past, and down grading all posting restrictions to those that would apply under full eccentric loading.

31.    The most conservative option would lead to major inconvenience for a significant number of road users and accelerated pressure on the bridge replacement and upgrade budgets.

32.    In between the two extremes, there are a number of options Council could choose to implement, depending on where the balance is struck between risks and associated mitigations. For example, Council could choose to place a limit or cap (i.e. 25%) on the difference between posting restrictions for eccentrically placed loading calculations and central on bridge loading calculations. In the past Council have taken an uncapped central on bridge approach on the basis that the posted bridges are single laned, vehicles tend to stay reasonably central (as evidenced by wheel tracks). At this stage, it is recommended to retain this approach.

33.    There are approximately 47 bridges which gain benefit of more than 10% from a posting upgrade through the use of central on bridge. 36 of these benefit by greater than 20%, 18 by more than 30% and 5 by more than 40%.

34.    At its meeting on 21 June 2017 Council resolved to continue to rely on central on bridge restrictions to limit posting restrictions but to mitigate some of the risk by continuing to take action to promote compliance, particularly for the highest risk cases. The reduction in risk will be further bolstered by the recommendation and intention to undertake further invasive annual inspections of all posted bridges which have areas of concern.

35.    In terms of promoting compliance the best example of this is Benmore Road Bridge 2895.001 where the approaches have been narrowed down to try to keep heavy traffic off the bridge and light traffic down the centre. This is particularly critical on this bridge as the deck planks cantilever significantly past the outside beams with a number of them broken.

36.    With other higher risk bridges the following actions have been taken.

·    3736.001 Hume Road.  The speed has been dropped from 30 km/hr to 10 km/hr to improve central on bridge compliance and reduce the stress on the beams in the event of non-compliance.

·    1281.001 Mataura Island Titiroa Road. This bridge has been closed due to non-compliance with the restrictions and will be replaced.

·    3144.001 Tomogalak Road. The one outside beam most likely to carry a non-compliant COB load was strengthened along with the internal beams.

37.    Others have been accepted with the central on bridge restriction based on indications of vehicle tracking across the bridges.

38.    The risks relating to non-compliance with the central on bridge restrictions are also considered as part of the overall programming priorities for upgrades and replacements.

Factors to Consider

Legal and Statutory Requirements

39.   The annual setting and advertising of weight restrictions is a requirement of the Transport Act 1962 and the Heavy Motor Vehicle Regulations 1974.

Limitation of Liability and Disclaimer

40.   It should be noted that the engineering decisions on the posting requirements for each bridge carried out by Stantec are based on weighing up the available data, unknowns and risks and applying engineering judgement to come up with recommendations. The available information includes what can be seen visually, felt and heard (from hitting beams with a hammer) to try to best estimate their overall condition. In some cases there has also been limited load testing of individual beams to try to help calibrate the engineering judgement.

41.   The unknowns include many critical items, including:

·    The species and strength grade of timber used to build the bridges.

·    As-built plans of the original bridge.

·    Items that cannot be seen because they are either buried or internal to the structural members.

42.   This assessment has included determining the degree of decay within timber members via sounding (hitting with a hammer). As timber is a highly variable material that can have well-hidden and critical defects, it is recommended that further testing be undertaken including a programme of internal verification of the soundness of timber members. This will mitigate some of the risks associated with the above unknowns and align the inspection process with industry practice. It should be noted that programming of this work is underway.

43.   This will involve drilling small holes in the beams to try to identify areas of rot. Testing of the timber beams to determine the species of timber should also be carried out to maximise the available strength from specific species. Council’s Roading Team have decided not to carry out a more extensive programme of non-destructive testing such as ultrasound due to cost and potential reliability concerns.

44.   Where the weight restriction on a bridge impacts heavily on a community or particular road user, the weight restriction can be discussed and economic options considered for strengthening or replacing existing bridges, or options for improving alternative routes can be investigated.

Costs and Funding

45.   The ‘cost of advertising’ in providing notification of council’s bridge postings are minor compared to the asset gains and protection realised.  This is funded by the Roading Network and Asset Management budget.

Policy Implications

46.   The posted bridges generally meet the Land Transport Activity Management Plan requirements, the NZ Transport Agency funding requirement and policies, the Council’s Extent of Network Policy and the Heavy Motor Vehicle Regulations of 1974.

47.   It should be noted that NZ Transport Agency standards expect that posted bridges will be inspected annually to allow the restrictions to be updated and confirmed. In the past SDC have generally only had this done every second year due to the number of bridges involved, but under the new Structural Services Contract this will now be carried out annually.

Analysis

Options Considered

48.   The option of taking no action is not suitable in this case as it would result in ‘unsafe’ structures being used by road users with potentially serious or fatal consequences.

49.   In all cases the suggested weight restrictions have been set to provide a balance between safety and limiting damage to the structures, as well as setting reasonable limits for the type of vehicles using the bridges.

Analysis of Options

Option 1 - Impose Conservative Lower Posting Limits

Advantages

Disadvantages

·        Provides increased protection to bridges, slowing down the rate of degradation of the bridge.

·        Reduces risk of failure if an issue not fully identified during an inspection means the carrying capacity of the bridge is less than estimated.

·        Imposes greater cost on landowners and heavy transport industry when required to either take detours or run more truck movements with lighter loads.

 


 

Option 2 - Avoid Reliance on Central on Bridge Restriction

Advantages

Disadvantages

·        Complies more strictly with NZ Transport Agency procedures.

·        Reduces risk of people ignoring or failing to comply with restrictions, leading to failure of mainly outside beams.

·        Generally more conservative so also has same advantages as Option 1

·        Imposes greater cost on landowners and heavy transport industry when required to either take detours or run more truck movements with lighter loads.

·        Likely to increase pressure to replace and upgrade bridges sooner due to increased restrictions.

·        Fails to maximise the useful life of the asset.

Option 3 - Impose Higher Posting Limits

Advantages

Disadvantages

·      Higher postings mean fewer restrictions such that a lower cost is imposed on the heavy transport industry

·      There is a higher risk of failure as during inspections not all areas of internal rot in timber members can be identified.

·      Higher loads will lead to more rapid deterioration of the marginal bridge structures.  This will lead to the need to replace the structure sooner

50.   This report is based on trying to achieve a reasonable balance of the above options.

Assessment of Significance

51.   It is determined that this matter is not significant in terms of Section 76 of the Local Government Act 2002.

Recommended Option

52.   It is proposed that Council accepts the attached list and authorises the advertising of the list in accordance with the requirements of the Transport Act 1962 and the Heavy Motor Vehicle Regulations 1974.

53.   It is requested that Council confirm that it wishes to continue to rely on the Central on Bridge restriction to limit the posting restrictions. 

54.   The objective of the decision is to maintain a suitable level of safety for road users and to also limit damage to the Council’s bridge asset from unsuitable loads crossing bridges.

Next Steps

55.   Following the Council meeting, the bridge restrictions will be advertised and notified to the
New Zealand Police, the New Zealand Transport Agency and the Heavy Transport Industry.

56.   Work will continue on priority bridge upgrades and replacements as part of an overall bridge strategy.

57.   Internal verification of timber members using objective testing procedures such as drill coring will proceed.  This further assessment will begin with high risk structures, with an indication of some internal defect (from sounding), but will eventually be carried out on all timber beam bridges.

58.   The next round of posting inspections is scheduled to be carried out in 2019 and will continue annually. Stantec will also continue with the major detailed structural inspections of all of SDC’s bridges. This has been programmed to be split over three years with the first third due for completion by 30 June 2018. As a result of these inspections further bridges may be identified which also require postings.

 

Attachments

a             2018 Bridge Posting Data - Appendix A    

 



Council

20 June 2018

 

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Council

20 June 2018

 

18/19 Forestry Harvesting Activities

Record No:             R/18/6/12835

Author:                      Matt Russell, Group Manager Services and Assets

Approved by:         Steve Ruru, Chief Executive

 

  Decision                                        Recommendation                                  Information

 

 

 

Purpose

1        This report seeks to delegate joint authority to the Group Manager Services and Assets, and the Chairman of the Services and Assets Committee to sell or otherwise dispose of any trees, logs, tree seeds, firewood or other forest produce, consistent with the directions of the Forests Management Plan as approved by the Services and Assets Committee in consultation with the Chief Executive. This authority is in line with delegated authority previously resolved through the Forestry Operations Committee.

2        Further, in the absence of the scheduled Services & Assets Committee meeting, to seek approval from Council to harvest a 44.6ha compartment at the SDC Waikaia Forest as per the SDC Forest Estate Long Term Plan.

 

Background

3        The Forestry Committee at its meeting on 26 August 2015 delegated the power to act to the Group Manager Services and Assets and Forestry Committee Chairman jointly - to sell or otherwise dispose of any trees, logs, tree seeds, firewood or other forest produce, consistent with the directions of the Forests Management Plan as approved by the Forestry Committee in consultation with the Chief Executive.

4        The Forestry Committee ceased to be in existence at the end of the 2013/2016 Triennium.  As a result of there being no “Chair of the Forestry Committee” this delegation was no longer valid.

5        The Services and Assets Committee absorbed the functions of the Forestry Committee and as such, this report seeks to delegate joint authority to the Group Manager Services and Assets, and the Chairman of the Services and Assets Committee to sell or otherwise dispose of any trees, logs, tree seeds, firewood or other forest produce, consistent with the directions of the Forests Management Plan as approved by the Services and Assets Committee in consultation with the Chief Executive.

6        Currently, IFS Growth are undertaking harvesting activities at the SDC Waikaia Forest as part of the planned harvest activities for the 2017/2018 financial year. The SDC Forest Estate Long Term Plan identifies another compartment within the Waikaia Forest Block for harvest as part of the 2018/2019 financial year harvesting activities. As such, it is proposed to undertake this activity in July 2018 following completion of current harvesting in the Waikaia block in line with the programme. This would ensure efficiency of harvest costs, removing in large part the mobilisation cost associated with the necessary Contractor plant and equipment.

7        It is anticipated that the harvesting will take approximately 10-weeks to complete. IFS have assessed the block as having a medium to high quality yield, although it is also estimated to be one of the lower productivity compartments in the forest in terms of recoverable volume per hectare. The crop age is 29 y/o and the estimated return tonnage is 21,854t with a forecasted return of approximately $1.2M.

 

 

Recommendation

That the Council:

a)        Receives the report titled “18/19 Forestry Harvesting Activities” dated 14 June 2018.

 

b)        Determines that this matter or decision be recognised as not significant in terms of Section 76 of the Local Government Act 2002.

 

c)         Determines that it has complied with the decision-making provisions of the Local Government Act 2002 to the extent necessary in relation to this decision; and in accordance with Section 79 of the Act determines that it does not require further information, further assessment of options or further analysis of costs and benefits or advantages and disadvantages prior to making a decision on this matter.

 

d)        Delegate the power to act to the Group Manager Services and Assets and Services and Assets Committee Chairman jointly - to sell or otherwise dispose of any trees, logs, tree seeds, firewood or other forest produce, consistent with the directions of the Forests Management Plan as approved by the Services and Assets Committee in consultation with the Chief Executive.

 

e)        Approves the harvesting of a 44.6ha compartment of forestry at the Southland District Council Waikaia Forest as per the Southland District Council Forest Estate Long Term Plan, commencing July 2018.

 

 

Attachments

There are no attachments for this report. 

 


Council

20 June 2018

 

Management Report

Record No:             R/18/6/12554

Author:                      Steve Ruru, Chief Executive

Approved by:         Steve Ruru, Chief Executive

 

  Decision                                        Recommendation                                  Information

 

 

 

Chief Executive

Water Issues

1.       As noted in the May report the Government have released one of the cabinet papers, which identifies the challenges which exist in relation to the management of 3 waters services across NZ and the review process which has been put in place to address these challenges. The paper notes that the relevant Ministers are required to report back to Cabinet with their recommendations on future service delivery options in October 2018. 

2.       Following the conceptual decisions which are expected to be made by Cabinet in October there will obviously be a need for any legislative changes to be drafted and for the detailed implementation planning work to be progressed.

3.       Local Government NZ hosted a national Water Summit on 30/31 May. In her speech to the Summit, the Minister for Local Government, Hon Nanaia Mahuta, highlighted the range of issues and some of the options which are currently being considered by Central Government. Key issues/points to note from the Ministers speech to the summit (www.beehive.govt.nz/speech/water-summit) include:

·      The fact that work completed for the Department of Internal Affairs suggests that Our small towns and provincial areas have fallen behind, and the cost of upgrading their drinking water infrastructure will effectively be unaffordable for many of them”.

·      That three waters services are facing significant environmental challenges and will need to be upgraded in many areas across the country. The need for these upgrades will add to the significant financial challenges already facing many parts of the local government sector.

·      The problems are system-wide, which means that the solutions will also need to be system wide which means that all options need to be ‘on the table’.  In this regard the solutions will look at both the regulatory and service delivery aspects. In this regard the Minister noted:

We need to look at both regulation and service delivery arrangements if we are going to achieve system-wide improvements.  Just targeting one side of the ledger will not be enough.

For regulation, we will be looking at options that improve public health, environment, and economic regulation for each of the three waters.  We are looking overseas for examples of what has worked elsewhere.  The solutions will however need to work for a New Zealand context.  We can learn from other countries, but solutions need to be founded in our own context.

For service delivery, we will be focusing on two key areas – capability and funding.

Capability – will be looking for ways to lift capability and capacity everywhere.  This is one of the biggest challenges facing our country.  One of the key findings of the Three Waters Review was that many communities are struggling to attract and retain the highly specialist technical skills necessary to run water infrastructure and manage assets.

Here we are talking about people – the Drinking Water Assessors, the Council staff, the engineers and others who work “on the ground” throughout New Zealand.  Many of you are here today.  You are our most valuable asset, and I want to acknowledge that.  We want to foster your specialist technical skills, and find ways to deliver you career paths so you have security, collegiality, and progression.  New Zealand is a small country, and water infrastructure skills and technology need to be nurtured and rewarded.

Funding – we will be looking at options to meet the significant funding challenges that exist across the system.  The infrastructure upgrades that are required are significant.  In their 2015 long-term plans, local authorities had planned to spend $12.8 billion of capital on three waters infrastructure.

·      The Government are giving consideration to the establishment of dedicated water suppliers. As part of this process they are also considering whether this should be at a national or regional level.

·      The Minister recognised that removal of water from local authorities would have a significant impact on the role of many local authorities. In this regard she commented:

I recognise that many councils will be concerned about what might happen if they have less of a role in water service delivery. We need to start thinking about what they might do instead. Again, I want us to be talking openly about this over the coming months.

4.       The Minister’s speech (and subsequent media coverage) is very consistent with the messages that have been around for quite some time and with the Government needing to give serious consideration to the recommendations made through the Havelock North Water Inquiry. As a result we should expect to see a significant level of change in the way in which the 3 waters are managed and delivered. As the Minister noted “the biggest question is whether we are brave enough to move away from the status quo and be open to do things differently for the good of the country and all our communities”.

5.       As part of its Water 2050 project Local Government NZ (LGNZ) has recently released its second report/discussion paper, in what will be a series of reports on water management issues. The report titled Water 2050: Quality - Review of the framework for water quality considers the framework for freshwater and drinking water, specifically addressing the management of freshwater through environmental standards and drinking water through health-related standards. It also addresses the opportunities for change which include a co-regulatory regime to agree on priorities and adopting a collaborative approach to address cost issues.

6.       LGNZ will also be releasing a third discussion paper shortly which will be Water 2050: Cost and funding – meeting the costs of water infrastructure.  This paper will inform Government policy development on funding options for three waters infrastructure.

Local Government Funding Inquiry

7.       On 11 May the Government announced that it will be asking the Productivity Commission to conduct an inquiry into local government funding.  

8.       The Productivity Commission (www.productivity.govt.nz) is essentially an independent government ‘think tank’, albeit that it is set up as a Crown entity, that investigates and reports on a wide range of issues that it is requested to consider by the Government of the day.

9.       The Commission does its work via a structured inquiry process that it has used over a number of years. This process normally includes the production of an Issues Paper and Draft Report, which provide for public input, prior to the publication of a final report.

10.     The terms of reference are still being finalised, but should be published in the near future given that the Inquiry is due to start in August 2018 with a final report due in mid-2019.

11.     The review process provides a significant opportunity for the local government sector to influence the development of long term policy in relation to sector funding issues. Staff will give consideration to how this Council might best have input to the Inquiry.

Climate Change

12.     In late May the Government released the Climate Change Adaptation Technical Working Group’s (CCATWG) Adaptation Options Report (ww.mfe.govt.nz/publications/climate-change/adapting-climate-change-new-zealand-recommendations-climate-change).

13.     The report sets out recommendations for how New Zealand can best adapt and build resilience to the impacts of climate change.  It also recommends that New Zealand put in place a national adaptation action plan, regularly update a national climate change risk assessment, review existing legislation and policy to integrate and align climate change adaptation considerations, and investigate who should bear the costs of climate change adaptation and how it can be funded.

14.     The Group recommends that the following principles be used to guide and support climate change adaptation work:

·      anticipate change and focus on preventing future risks from climate change rather than responding as the changes occur;

·      take a long-term perspective when acting;

·      take actions which maximise co-benefits, and minimise actions which hinder adaptation;

·      act together in partnership, ara whakamua, and do this in a way that is based on the principles contained in the Treaty of Waitangi;

·      prioritise action to the most vulnerable communities and sectors;

·      integrate climate change adaptation into decision-making;

·      make decisions based on the best available evidence, including science, data, knowledge, and Mātauranga Māori; and

·      approach adaptation action with flexibility and enable local circumstances to be reflected.

15.     This is the second report from the CCATWG and will be used to inform the wide ranging policy development work that is happening in response to climate change issues at present. This will include the development of a national adaptation plan and review of existing legislative frameworks to support council decision-making.

16.     The Government have also just commenced a community consultation process in relation to the proposed Zero Carbon Bill, through which Government will set a net emissions target and a guided pathway to get there.

17.     It is intended that through the Bill the Government will:

·    Set in law the net emissions target for NZ to achieve by 2050

·    Detail the milestones to be achieved along the way to 2050

·    Establishes a new Climate Change Commission

·    Provide a process via which climate change adaptation plans will be developed. These are expected to include a national risk assessment and national adaption plan.

 

Freedom Camping

18.     Following a meeting that some 30 Mayors had with Tourism Minister, Hon Kelvin Davis back in April a Responsible Camping Working Group, consisting of representatives from both local and central government as well as the tourism industry has been formed to provide advice to the Minister on the range of issues and options that could be put in place to better manage freedom camping.

19.     Following on from the first meeting of the Group the Government is considering options for providing support for the piloting of initiatives that might be able to be taken in the upcoming 2018/19 summer season to address freedom camping issues.

20.     The Working Group are also working through a process to complete a comprehensive review of what changes might need to be made to enable better management of freedom camping including the potential need for legislative change to the current Freedom Camping Act.

Southland Regional Development

21.     Work is now well advanced with the development of a project plan for progressing with the formation of the Southland Regional Development Agency following endorsement of the CCO proposal by all four Southland Councils. The key elements to be addressed include:

·           Formation of an MOU with the four Murihiku Runanga to outline how they will each be involved with the new Agency;

·           Development of a Shareholders Agreement;

·           Appointment of the Board;

·           Development of a draft Letter of Expectation and subsequent negotiation of purchase agreements with each of the funders including the four Southland Councils;

·           Development of a draft Statement of Intent;

·           Staff and legal transition arrangements;

·           Development of a new strategic and business plan.

22.     The work needed is being overseen by the Regional CEO forum, under the leadership of the Mayoral Forum.

23.     As part of the Provincial Growth Fund process central Government are seeking a regional endorsement of all applications which might stem from a particular region. In Southland’s case it is seen as appropriate that the decision on whether to endorse a particular application should be made by the Mayoral Forum.

24.     To support the Mayoral Forum in its decision-making process on such applications a Regional Advisory Panel, which is chaired by Penny Simmonds from SIT, has been established. Other members of the Panel have been drawn from the wider Southland business and social enterprise community.

Shared Services Joint Committee

25.     The Independent Chair of the Shared Services Joint Committee and the regional CEO Forum has recently resigned after a long period, in excess of 10 years of service.  

26.     This change creates an opportunity for all four Southland Councils to review the future of the Shared Services Committee and Mayoral Forum. There have been a number of changes to the environment within which the local government sector is now operating meaning that it is timely for a more wide ranging review to be completed.

27.     As part of this review process consideration will be given to strengthening the future role of the Mayoral Forum, as the regional political leadership body. A discussion paper outlining options is being developed and will be discussed by the Mayoral Forum prior to further discussion with all four Councils.

Environmental Services

Group Manager Overview

28.     The first meeting of the Whakamana te Waituna Trust has been held and went well. The strong relationships which were a feature of the Waituna Partnership are continuing to the new Trust.

29.     The next meeting of the Trust is to be held at the Gorge Road Country Club on the 21st June, which will be preceded by a catchment tour for Trustees and followed by an update meeting for the community.

30.     The Predator Free Rakiura Project Leader position has been advertised, with some strong applications received by the closing date at the end of May. Interviews are scheduled for mid-June. As councillors will no doubt recall, the Ministry of Business Innovation and Employment is providing funding via for this position for a one-year period.

Environmental Health

Methamphetamine

31.     The Government has released a scientific report about safe meth levels in dwellings. Staff will develop a procedure for responding to meth contaminated dwelling notifications; there have been none in the last several years.  Staff will incorporate the latest Government information into the procedure and have relevant public information on Council’s website.

 

 

District Regulatory Signage Update

32.     There are a number of District signage updates required, either updated to the new SDC brand style, or with new content.  Examples include new no dogs/camping signs at Curio Bay, ‘no camping zone’ signs at Riverton, update the camping signs at Colac Bay, and updating the Lumsden camping information board. Staff will be discussing signage with the Communications Team, to see whether our signage standardisation/strategy needs any change.

Food Act Transition

33.     Most food businesses that fall under a category of businesses that are required to be registered with Council by 30 June under the Food Act 2014, have done so.  This category includes cafes that do not hold an on licence, and service stations.  Staff are working with those remaining businesses.

Animal Control

Mycoplasma Bovis

34.     Local Authorities across NZ have been considering their procedures for wandering stock callouts, in light of the Mycoplasma Bovis disease.  Clear guidance has not been forthcoming and so staff have proceeded to update the procedure, and propose to obtain feedback from Federated Farmers, Council’s legal advisor, and MPI, prior to presenting to either the Council or the Regulatory and Consents Committee as information, along with public communication.

Curio Bay

35.     Staff are considering concerns raised about dogs endangering protected wildlife at Curio Bay. Options include improved signage, another local communication run, or perhaps even extending the prohibited zone via bylaw amendment (the latter could be incorporated into possible amendments to dog exercise areas in Winton, Te Anau, and Otautau). Staff are meeting with Department of Conservation staff to discuss in mid-June.

Online Registration

36.     As discussed in a report to Council, staff hope to introduce online dog registration for new dogs from 1 July.  This along with the introduction of bank to bank online payments, a new registration form designed to minimise common errors, and a prize draw to encourage dog owners to renew online, are hoped to reduce the administration workload this registration year.

Amnesty

37.     Council ran a dog control amnesty from Monday 12 February 2018 until Friday 13 April 2018.  The amnesty applied to dogs that are ordinarily kept in the District but were not currently registered. 

38.     39 dogs were registered for free under the amnesty, and none of them were menacing breeds.

Resource Management

39.     A resource management commissioner (Allan Cubitt) heard a resource consent application for a RD Petroleum facility in Lumsden on 25 May. The site is at 120 Flora Road on the former Sawmill site. Seven submissions were received in opposition and a decision is expected to be issued in mid-June.

40.     Council has teamed up with Environment Southland, Gore District Council and Invercargill City Council to undertake high level region wide assessments on Climate Change, Biodiversity and Landscapes. These reports are due to be released in the second half of the year.

41.     The Resource Management team have been working on some internal process improvements which look towards gaining efficiency and better reporting on resource consents that are processed. The improvements are looking to be implemented by the start of the new financial year.

42.     On 6 June the Ministry for the Environment released the draft National Planning Standards for consultation. At a broad level the standards set out requirements mainly relating to structure, format or content of policy statements and district plans to get better national consistency. Some of the standards are mandatory and have implementation timeframes.

43.     The consultation period is for 10 weeks. Council along with Environment Southland, Invercargill City Council and Gore District Council have set up a working party to review the draft standards and prepare a joint submission. The submission will largely focus on the implementation of the standards as the various agencies are at different stages of reviewing the necessary planning documents, the effect the templates will have on our southland context and wider implications for our communities.

44.     A report will be prepared for the Regulatory and Consents Committee once a full assessment of the proposed standards has been undertaken.

Business processes

45.     Work has been progressed to look at how we can improve the business processes currently used within the Environmental Services Group.  Top date the following progress has been made:

·     Strategic Alignment – The core functions of each team have been identified and documented within context of the key drivers and activities completed to deliver each function.  This is important for ensuring that work is delivered in a consistent manner and confirm both that the group does not perform un-necessary functions and that the teams’ activities are well aligned to the Long Term Plan deliverables.  Core functions have been visually represented through a honeycomb diagram similar to the example shown below, which has enabled the group to use the output of this activity as a communication tool and identify key activities across the group which are ideal for alignment.

Visual Representation:

 

Definitions:

·    Core Function:  A business function that is critical and makes up the primary activities of the team.  Directly relates to delivery of legislation, strategic delivery, KPI’s or generation of income.

·    Context:  Legislation, circumstances / topics that directly apply to the core function giving the function context.

·    Activity:  Supporting activities carried out by the team in order to permit or to facilitate the core business functions.  Usually an activity description will start with a verb.

 

·     Process Optimisation – The approach to the alignment and optimisation of processes across the group has been defined in a draft project plan which highlights a need to create capacity in technology as a first step.  This plan has identified strong links between this Process Optimisation and the Core Systems Review Projects, enabling the two projects to begin working together to deliver an approach that is relevant for council wide application.

·     Documentation Review – A review of the Promapp documentation within the ES Group has been completed and a strategy developed to fill the gaps in intellectual property currently captured.  This includes both reviewing and refining processes which are out of date and commencing regular process reviews to monitor Promapp documentation going forward.  It is anticipated that this strategy will commence from 1 July 2018.

·     Lessons Learned from Waikato - The Quality Assurance Lead and Building Solutions Team Leader travelled to the Waikato District Council (WDC) to learn key lessons regarding their journey when transitioning from paper based to electronic processing. 

Building Solutions

46.     The value of consented work for May 2018 is above that of May 2017. The number of consents issued for May 2018 is also up on the same period as last year. The 143 consents were issued in an average time of 9 working days this is down from 14 working days for the same period last year.

47.     There is a noted increase in the number of consents associated with new dwellings up from 19 to 28 however the overall value of work is down. The workflows remain high having received 110 building consent applications for the month this is down on the three year average for the previous 3 years.

48.     There are currently 60 building consent applications on hold and 51 additional consents progressing through the system. The department issued 106 CCCs and carried out 221 inspections.

49.     Will Palmer, who joined the Building Solutions team in late 2017 as a Building Solutions Officer, will be relocating to Te Anau in the near future. This will assist in improving efficiency and reducing health and safety risk associated with staff travelling from Invercargill to service Te Anau.

Community and Futures Group

Representation Review

50.     Submissions closed on Wednesday 6 June.  A hearings panel comprising of the full Council and members of the Elected Representative Working Group heard submissions on 18 June.  At the time of writing approximately 150 submissions have been received covering a range of views. 

51.     Council will adopt its final proposal on 11 July.  It will then give public notice of this through which people will be able to lodge an appeal or objection (if relevant).  Once received these will be forwarded to the Local Government Commission who will make the final determination.  The final date for the Commission’s determination is 11 April 2019.  The changes will come into force for the elections to be held in October 2019.

Corporate Performance Framework

52.     The Corporate Performance Framework (CPF) aligns Council’s high level direction to its activities and outcomes. Development of the CPF is complete and the implementation is scheduled for 1 July 2018, in preparation for the 2018-2019 financial year and scheduled work programme. 

53.     The purpose of the CPF project is to streamline Council planning and reporting functions, while not compromising its legislative responsibilities.  It has also been developed to be ‘user friendly’ for staff, minimising duplication of effort and seeks to develop a ‘one source of truth’ performance reporting process.  As part of the CPF, Council will deliver on its legislative requirements – including the LTP, Annual Plan, Annual Report and Activity Management Plans.

54.     Council will no longer be producing a Corporate Performance Report or the Corporate Performance Variance Report. These will be replaced by the Interim Performance Report (IPR) which will be produced three times a year – for the four month periods of July-October, November-February and March-June, the third being produced as the Annual Report.

55.     The CPF will require activity managers to report by exception and provide meaningful explanation of the level of performance compared to what was planned.

Risk Management Framework

56.     Council has identified the need to invest in and further develop its risk management processes and approach. In developing the Risk Management Framework (RMF) the objective is to create a framework to effectively understand, plan for and mitigate risk across all levels and activities within SDC.

57.     Understanding and mitigating risks is central to safeguarding Southland District’s community assets and services and other activities it is responsible for.  In facilitating better decision making practices that support risk informed choices, prioritise actions and determine options, assurance can be provided to Council, the Southland district community and stakeholders that critical risks are identified and are being managed effectively. The first RMF project meeting, facilitated by consultants Structured Conversations Ltd is scheduled for 16 August 2018

Community Futures Research and Analysis Work Programme

58.     Council is committed to undertaking research and analysis work to support its planning and decision making in preparation for the Long Term Plan 2021-2031.  This work will assist in leading the development of Council’s overall approach to the management of change and preparation for what the future might hold for the district and its communities. 

59.     The topics for further research and analysis include:

·      Socio-demographic projects (Where are we now, where are we heading, and where do we want to be)

·      Climate Change and understanding its implications for Southland District (risks and impacts on the district), Service Delivery Framework – District vs Local service provision and levels of service (an assessment and evaluation of council services and determine the most appropriate level of service to meet community needs in the future)

·      Rating affordability planning and implications (to understand income levels in our communities and affordable measures for delivery of activates and services – and implications of decisions on rating affordability for the district)

·      Future infrastructure and asset renewal (what and how will council replace significant infrastructure when it is due for replacement)

·      Land and Water Plan implications (to understand the implications of compliance standards on the future provision of services to local communities)

·      Community Facility Provision Framework (how, what and when are facilities used and needed)

·      Community Partnerships Assistance and Funding Alignment Approach (multi-agency community partnership opportunities, and council’s funding and grant schemes to support community organisations)

·      Technological change impacts on communities and implications for SDC.

Community Organisation and Volunteer Sector Shared Services Pilots

60.     The purpose of this project is to develop and run two pilot projects around the concept of shared services and shared service delivery within two communities in the Southland district. The two communities running this pilot are Winton township and Edendale-Wyndham and surrounds.  Shared services is a concept utilised throughout many groups around the country and beyond, and where there is significant benefit to the efficiency and effectiveness of community organisations and volunteer groups, can work extremely well.

61.     From the Community Organisation and Volunteer Sector Research undertaken in 2017, and anecdotal information here in Southland and across other areas in New Zealand, we know that many community organisations and groups have identified barriers in their administration including attracting and retaining people in skilled governance roles, such as Chairs, Secretaries and Treasurers. 

62.     There have been a number of groups express interest in looking into this further, following 10 one-on-one interviews within each area.  There has been particular interest in looking into shared roles of secretary.  Following these interviews, Venture Southland Community Development staff will now begin running focus groups with interested organisations to identify any opportunities and barriers in moving the pilot to the next stage.  The timeframe for this pilot is throughout the calendar year 2018.   

Community Organisation and Volunteer Sector Service Map

63.     The purpose of this project is to develop a service map of Southland District that identifies the level of service to our communities from Non-Government Organisations and Volunteer groups.  This also includes services delivered via contract for Central Government agencies. 

64.     The service map, once complete, will help Council identify areas where there are opportunities or barriers to future service delivery.  This work is expected to be completed in the calendar year.

Milford Opportunities

65.     The Opus/Xyst team are nearing completion of Phase 1 which is to look at the existing information covering a wide range of issues related to Milford and tourism generally. They are considering where the gaps in that information are and what pieces of further work are needed to be undertaken in Phase 2 to inform the end result, which is the master plan. Those additional pieces of work will have businesses cases prepared for them and either be undertaken by organisations represented on the governance group or Milford Opportunities will be seeking additional funding in order to get them done.

66.     Further work has been undertaken concurrently to prepare a communication and engagement plan for the next phases of the project as this is considered to be a critical part of the project. The next meeting of the Milford Opportunities governance group is at the end of June.

Catchment Group

67.     Staff and elected members attended an Aparima Catchment Group meeting in Otautau on 18 May.  The aim of the meeting was to raise awareness of the project, seek input from those attending on the draft project brief and connect people into the project.

68.     There was good attendance with a wide range of organisations represented such as DairyNZ, Beef + Lamb, Aparima Runanga, Public Health South, Ballance Agri-nutrients, Ravensdown, Alliance, Department of Conservation, Open Country, Fonterra and Ministry for Primary Industries to name a few.

69.     In March 2018 Environment Southland held a meeting with farmers and industry groups to explore the opportunities for working collectively in the Aparima Freshwater Management Unit (FMU). From this initial conversation, a potential project was identified to drive action and change in the Aparima FMU with positive environmental outcomes, which could also serve as a pilot and example to other regions.  

70.     The Aparima FMU covers the Jacobs River Estuary and its tributaries, the Waimatuku Estuary and tributaries and coastal Longwoods tributaries. The Aparima FMU ‘Project’ has been designed as a farmer-led, industry and Regional Council supported action forum to build and support resilience of the Aparima FMU.  The overall approach is positive action to achieve environmental outcomes at a farmer-led catchment group scale.

71.     The project brief has used the word ‘land manager’ instead of farmer to recognize the responsibility of all land users to the Aparima’s environmental and community wellbeing. The project brief, especially the methodology, is intentionally broad and general. This was done to empower catchment and sub catchment groups to find solutions that best fit their unique circumstances or environment.  

72.     A further meeting of the working group is scheduled for June where the next steps will be identified

Southland Museum Consultation

73.     Staff are currently working with a group around the public consultation process for the Southland Museum redevelopment.  This will involve consulting with the people of Southland around what they would like to see in a new museum.  Planning is still in the early stages and a further update will be provided once further details around the consultation process have been confirmed. 

Customer Support

74.     May is a busy month with rate payments and a number of customers moving about the District and needing to change their addresses. 

 

May 2018

Total number of calls to 0800 732 732

5061

Abandonment rate

0.26%

Request for Service received

901

Top three requests types

Address changes, Building Consents and Roading

Processed payments to Council

·      Cash

·      Cheque

·      Direct Credit

·      Direct Debit

·      Eftpos

Total 18398 in total

1.95%

12.54%

54.39%

22.58%

8.54%

Number of visitors to our Libraries and Council Service Centres

*Excludes Invercargill, Stewart Island, Wyndham and Book Bus

10556

75.     It is interesting to note, of the 901 requests loaded from customers, address changes, building consents, roading and rates enquiries accounted for 34.9% of these. 

 

Libraries

76.     Kōtui is now in place with the project implementation causing no issues for customers and we can now provide more detailed reporting and manage our collection more efficiently.  Our new website created by the Communications team is also receiving positive feedback from users.  All of our regular library programs are advertised on the site for the community. 

77.     We currently have 5322 active library users in the District as at 5 June 2018 (this is defined as having used their library card in library or online in the last 12 months).  In May, 2976 people borrowed an item (book, DVD etc) and the most popular items were:

Adult Fiction

Title

Author

Believe In Me

Susan Lewis

Fall From Grace: A Novel

Danielle Steel

The Midnight Line

Lee Child

Still Me

Jojo Moyes

High Country Hero

Holly Ford

 

Adult Non-fiction

Title

Author

The Way It Was: A Farming, Shearing, Hunting Life

Tom Brough

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