Notice is hereby given that a Meeting of the Stewart Island/Rakiura Community Board will be held on:

 

Date:

Time:

Meeting Room:

Venue:

 

Monday, 10 December 2018

9.30am

Stewart Island Pavilion
Ayr St, Stewart Island

 

Stewart Island/Rakiura Community Board Agenda

OPEN

 

 

MEMBERSHIP

 

Chairperson

Jon Spraggon

 

Deputy Chairperson

Steve Lawrence

 

Members

Dale Chittenden

 

 

Aaron Conner

 

 

Greg Everest

 

 

Anita Geeson

 

 

Councillor Bruce Ford

 

 

IN ATTENDANCE

 

Committee Advisor

Kirsten Hicks

Community Partnership Leader

Karen Purdue

 

 

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

 

 

 


Terms of Reference – Community Boards

 

Community Boards are bodies established by statute.  Their responsibilities and powers are as delegated by the Southland District Council which are to:

·                      Represent and act as an advocate for the interest of its community.

·                      Consider and report on all matters referred to it by the Southland District Council, or any matter of interest or concern to the Community Board.

·                      Maintain an overview of services provided by the Southland District Council within the community.

·                      Consider annual estimates for expenditure within the community and recommend these to Council.

·                      Communicate with community organisations and special interest groups within the community.

·                      Undertake any other responsibilities that are delegated to it by the Southland District Council.

 

In addition to these activities, Community Boards will consider how best to provide for their communities, and the people who live there, into the future.

 

Community Board members will provide leadership by:

·                Positively representing their community and the Southland District

·                Identifying key issues that will affect their community’s future and work with Council staff and other local representatives to facilitate multi-agency collaborative opportunities.

·                Promote a shared vision for the wider community of interest area and develop ways to work with others to achieve positive outcomes

 

·                Community Boards will adopt a strategic focus that will enable members to:

·                Provide local representation and guidance on wider community issues, initiatives and projects.

·                Contribute to the development and promotion of community cohesion, by developing and supporting relationships across a range of stakeholders at a local, regional and national level.

·                Take part in local community forums, meetings and workshops.

·                Inform local residents and ratepayers on issues that affect them.

 

Community Boards shall have the following delegated powers and be accountable to Council for the exercising of these powers

 

Engagement and representation by:

·                Facilitating the Council’s consultation with local residents and community groups on local issues and local aspects of district wide issues including input into the Long-term Plan, Annual Plan, and policies that impact on the Board’s area.

·                Engaging with council officers on local issues and levels of service, including infrastructural, recreational, community services and parks, reserves and cemetery matters.

·                Representing the interests of the community at Council, Committee or Subcommittee meetings when a motion under debate relates to a matter that the Board considers to be of particular interest to the residents within its community.

·                Monitoring and keeping the Council informed of community aspirations and the level of satisfaction with services provided.

 

Financial by:

·                Approving expenditure within the limits of annual estimates.

·                Approving unbudgeted expenditure for locally funded activities up to the value of $10,000.

 

Rentals and leases

·                In relation to all leases of land and buildings within their own area, on behalf of Council;

§    Accepting the highest tenders for rentals of $10,000; or less per annum.

§    Approving the preferential allocation of leases where the rental is $10,000 or less per annum.

 


 

Local assets and facilities by

·                Overseeing the management of local halls and community centres which are owned by Council and where no management committee exists.  This will occur by way of relationship with officers of Southland District Council. 

·                Appoint a local liaison person responsible for community housing.

 

Some Community Boards have specific delegations in addition to the broad delegations above:

 

Stewart Island/Rakiura Community Board

·                Contributing to the development of policy relating to the governance of the Stewart Island Electrical Supply Authority (SIESA). 

·                Overseeing the management of SIESA by way of relationship with officers of Southland District Council. 

 

Te Anau Community Board

·                Overseeing the management of the Te Anau/Manapouri Airport by way of relationship with officers of Southland District Council.

 

The Community Boards can make recommendations to Council on:

 

Assets and Facilities

·                Annually providing feedback on any asset management plans or community services strategies applicable to the community for which the Community Board is responsible.

 

Rentals and leases

·                In relation to all leases of land and buildings within their own area, on behalf of Council;

§    Recommending rentals in excess of $10,000 per annum to the Group Manager Services and Assets

§    Recommending the preferential allocation of leases where the rental is in excess of $10,000 per annum to the Group Manager Services and Assets.

 

Contracts/Tenders

·                Recommending tenders less than $200,000 to the Group Manager Services and Assets.

·                Recommending tenders in excess of $200,000 to the Services and Assets Committee.

·                Recommending tenders to the Services and Assets Committee where preference is not for acceptance of the highest tenderer,

 

Financial

·                Recommending annual estimates to Council.

·                Recommending unbudgeted expenditure in excess of $10,000 to the Services and Assets Committee.

 

Local Policy

·                Considering matters referred to it by officers, the Council, its committees or subcommittees, including reports and policy and bylaw proposals relating to the provision of council services within the Board’s area; and

·                Making submissions or recommendations in response to those matters as appropriate.

 

The Chairperson of each Community Board is delegated with the following additional responsibilities:

·                 Approval of leases, rental agreements and the rollover of existing contracts under $1,000;

·                 Engaging with Community Board members to make submissions to the Council on behalf of the Community Board where a submission period is outside of the Community Board meeting cycle.  Where a Chairperson is unable to base a submission on a consensus among Community Board members, a Community Board meeting must be held.

 


Stewart Island/Rakiura Community Board

10 December 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 Minutes                                                                                                                               7

Reports for Recommendation

7.1         Stewart Island/Rakiura Service Sustainability Review                                                              13

Reports

8.1         Council Report                                                                                                                                                   27

8.2         SIESA - Financial Report to 31 October 2018                                                                                   45

8.3         Direction-setting for Annual Plan 2019/2020                                                                                 49

8.4         Investigating a user-pays system for jetty usage                                                                        61

8.5         Schedule of Meetings up to October 2019                                                                                       69  

CHAIRPERSON’S REPORT

Councillor's Report  


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

 

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

 

4             Public Forum

·         Senior Constable Tracey Bransgrove (NZ Police)

·         Bridgit Carter (Pest Free Rakiura)

 

5             Extraordinary/Urgent Items

To consider, and if thought fit, to pass a resolution to permit the committee 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 Minutes

6.1             Meeting minutes of Stewart Island/Rakiura Community Board, 01 November 2018


 

Stewart Island/Rakiura Community Board

 

OPEN MINUTES

 

UNCONFIRMED

 

Minutes of a meeting of Stewart Island/Rakiura Community Board held in the Stewart Island Library, Ayr St, Oban on Thursday, 1 November 2018 at 4.30pm.

 

present

 

Chairperson

Jon Spraggon

 

Deputy Chairperson

Steve Lawrence

 

Members

Dale Chittenden

 

 

Aaron Conner

 

 

Anita Geeson

 

 

APOLOGIES

 

Councillor Bruce Ford

 

Greg Everest

 

 

 

 

 

IN ATTENDANCE

 

Committee Advisor – Kirsten Hicks


1             Apologies

 

Apologies were received from Councillor Ford and Member Everest

 

Moved Member Conner, seconded Member Chittenden and resolved:

 

That the Stewart Island/Rakiura Community Board accepts the apologies.

 

 

2             Leave of absence

 

There were no requests for leave of absence.

 

 

3             Conflict of Interest

 

There were no conflicts of interest declared.

 

 

4             Public Forum

 

There was no public forum.

 

 

5             Extraordinary/Urgent Items

 

There were no Extraordinary/Urgent items.

 

 

6             Confirmation of Minutes

 

Resolution

Moved Member Geeson, seconded Deputy Chairperson Lawrence and resolved: 

That the Stewart Island/Rakiura Community Board confirms the minutes of the held on 8 October 2018 as a true and correct record of that meeting.

 

Reports

 

 

7.1

Draft Submission from the Stewart Island/Rakiura Community Board on proposed changes to the Stewart Island Rakiura Visitor Levy

Record No: R/18/10/24803

 

Discussion took place on the wording and implications of this submission to the Stewart Island Visitor Levy.

 

 

Resolution

Moved Deputy Chairperson Lawrence, seconded Member Conner 

That the Stewart Island/Rakiura Community Board:

a)            Receives the report titled “Draft Submission from the Stewart Island/Rakiura Community Board on proposed changes to the Stewart Island Rakiura Visitor Levy ” dated 25 October 2018.

 

b)           Approves the draft submission to the Stewart Island Rakiura Visitor Levy review            as amended and attached to the minutes as appendix 1.

 

 

 Members Geeson and Chittenden disagreed with the exclusion of applications for wages, and wish for this to be recorded.

 

 


 

Appendix 1

 

 

Stewart Island/Rakiura Community Board

 

Stewart Island Rakiura Visitor Levy Submission

 

 

 

 

 

 


 

 

 

The meeting concluded at 4.50pm                       CONFIRMED AS A TRUE AND CORRECT RECORD AT A MEETING OF THE Stewart Island/Rakiura Community Board HELD ON 1 NOVEMBER 2018

 

 

 

DATE:............................................................................................

 

 

 

CHAIRPERSON:........................................................................

 


Stewart Island/Rakiura Community Board

10 December 2018

 

Stewart Island/Rakiura Service Sustainability Review

Record No:             R/18/10/24774

Author:                      Steve Ruru, Chief Executive

Approved by:         Steve Ruru, Chief Executive

 

  Decision                                        Recommendation                                  Information

 

 

 

Purpose

1        To seek community board endorsement of the proposed terms of reference for the Stewart Island/Rakiura Service Sustainability Review.

Executive Summary

2        At its meeting on 5 September 2018, Council considered and approved a report requesting unbudgeted expenditure, to be funded from the district operations reserve, to allow for urgent maintenance repairs to the Ulva Island and Millers Beach jetties.

3        In approving the request Council asked staff to develop terms of reference for a proposed service sustainability review. The request reflected an underlying concern about the need to better understand the financial and service sustainability issues associated with delivering services to the Stewart Island/Rakiura community.

4        This report seeks community board endorsement of the review and its proposed terms of reference prior to them being submitted to Council for formal approval.

 

Recommendation

That the Stewart Island/Rakiura Community Board:

a)            Receives the report titled “Stewart Island/Rakiura Service Sustainability Review” dated 21 November 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)           Recommend to Council that it approve the terms of reference for the Stewart/Island Rakiura Service Sustainability Review.  

 


 

Background

5        At its meeting on 5 September 2018, Council considered and approved a report requesting that unbudgeted expenditure, to be funded from the district operations reserve, be approved to allow for urgent maintenance repairs to the Ulva Island and Millers Beach jetties.

6        The Council report followed on from an earlier decision of the Stewart Island/Rakiura Community Board to decline to fund the maintenance works from their local reserves.  This decision, and the lack of a structured funding plan to ensure that all jetties are able to be operated and maintained to an appropriate standard is indicative of a number of local activity funding challenges that exist on the Island. There, is for example, work currently being progressed to review the Stewart Island Electrical Supply Authority activity. This follows on from concerns being raised over a number of years about the cost of supplying electricity on the Island.

7        Given the broad range of funding issues that appear to exist, Council asked that staff develop terms of reference for a proposed review of the service sustainability challenges that might exist in relation to the delivery of Council activities (services) to the Stewart Island/Rakiura community. The review is focussed on the sustainability of Council delivered activities and does not include services that might be provided by the community and/or other service providers.

Issues

8        There is an opportunity for the community board to comment on the proposed terms of reference for the Stewart Island/Rakiura service sustainability review prior to them being presented to Council for formal approval.

Factors to Consider

Legal and Statutory Requirements

9        Section 17A of the Local Government Act 2002 contains provisions which require that local authorities review the cost effectiveness of the service delivery methods that they use for delivering service at least once every six years.

10      Section 17A(4) requires that any such review should “…consider options for the governance, funding and delivery of infrastructure services…”. Hence, the requirement is for the review process to be comprehensive and consider internal as well as external governance, management and service delivery arrangements.

11      While the section 17A provisions do not explicitly require the completion of a review that is as broad as that proposed for the Stewart Island/Rakiura Service Sustainability Review they are of relevance given that parts of the review could be seen as meeting this legislative requirement for services delivered to the Stewart Island/Rakiura community.

Community Views

12      The community expects Council to set realistic levels of service so that agreed services can be delivered in a financially sustainable and affordable way. At present adequate provision is not being made within the Long Term Plan to deliver the agreed levels of service. It is important that these gaps are identified so that an informed decision can be made in consultation with the community.

Costs and Funding

13      Completion of the review will require significant input from staff, which is currently not allowed for in current work programmes. As a result there will need to be some reprioritisation of work to ensure that the project can be supported in an appropriate manner.

14      The question of whether Council should also employ an external resource to assist with the project is an issue to be considered further once the scope of the project and timeframes within which it needs to be completed has been finalised.

Policy Implications

15      Council has specified its current levels of service and performance measures in its 2018 Long Term Plan and associated Activity Management Plans.

Analysis

Options Considered

16      The options considered are for the community board to either endorse the proposed terms of reference, with any suggested changes, (option 1) or not endorse the review (option 2).

17      Under option 1 the community board will have the opportunity to have input to the scope of the review and in that way ensure that it takes into account any particular aspects that they see as important. It would not have this opportunity under option 2. 

Analysis of Options

Option 1 – Endorse the terms of reference

Advantages

Disadvantages

·        Will enable Council and the community to develop a clear understanding of the challenges associated with delivering services to Stewart Island/Rakiura.

·        The outputs from the review will support improved long term decision making and ensure that the desired levels of service can be delivered in a sustainable manner.

·        The outputs from the review can be used to inform development of the 2021 LTP.

·        Is consistent with community planning work completed in 2017. Will allow the review to proceed in a manner that takes account of the community board views.

·        Completion of the project will require a reprioritisation of existing work programmes.

 


 

 

Option 2 – Not endorse the review

Advantages

Disadvantages

·        Would be appropriate if the community board did not support the need for such a review.

·        Will mean that there is continued uncertainty about the sustainability of Council services delivered to the Stewart Island community.

·        If Council does not proceed with the review then there will be a lack of information about the extent of the challenges faced and how they might best be addressed.

·        Challenges will not be able to be addressed as part of the 2021 LTP.

 

Assessment of Significance

18      In this report the community board is simply being asked to endorse the terms of reference for the proposed service sustainability review. The final decision will be made by Council.

19      A decision in accordance with the recommendation is not seen as being significant.

Recommended Option

20      It is recommended that the community board endorse the proposed terms of reference
(option 1).

Next Steps

21      The terms of reference will be submitted to Council for their consideration and endorsement of the review proceeding in early 2019.

 

Attachments

a             Terms of Reference and Summary Activity Profile    

 


Stewart Island/Rakiura Community Board

10 December 2018

 


 


 


 


 


 


 


 


 

 


Stewart Island/Rakiura Community Board

10 December 2018

 

Council Report

Record No:             R/18/11/27000

Author:                      Karen Purdue, Community Partnership Leader

Approved by:         Rex Capil, Group Manager Community and Futures

 

  Decision                                        Recommendation                                  Information

 

 

 

Chief Executive

Three Waters

1.       Work is continuing with the government’s Three Waters Review.

2.       In September the minister of local government, Hon Nanaia Mahuta, spoke at the Water NZ conference about the current Three Waters Review process and the need for change to the way in which water services are currently regulated and delivered.

3.       In her speech (www.beehive.govt.nz/speech/speech-water-nz-conference-three-waters-and-case-change) the minister made a number of strong comments about the need for widespread reform to the way in which water services are regulated, funded and delivered.

4.       The Local Government NZ vice president, Stuart Crosby also spoke at the Water NZ conference and delivered the following key messages:

·      the water system is not broken

·      a proper evidence base is required to develop change

·      regulatory failings need addressing first

·      aggregation may be a tool, but should not be mandatory.

5.       An initial report on the progress being made through the three waters review programme is due to be taken back to cabinet in October 2018. There will likely be further announcements about the range of options being considered and the timelines for final decisions in November. At this stage it is anticipated that decisions on the final shape of any new regulatory regimes will not be known until mid-2019.

6.       The Office of the Auditor-General (OAG) recently audited three district councils (Horowhenua District Council, Kāpiti Coast District Council and Manawatu District Council) and one city council (Palmerston North City Council) to understand the challenges they face in supplying drinking water to their communities.  The audit found, for all four councils, that some things had been done well and that other aspects could be improved.

7.       The OAG expects the Department of Internal Affairs to consider its findings as part of the Three Waters Review that is in progress.  It also considers that its report has relevance for the provision of drinking water beyond the review and it is likely that other councils are facing similar challenges and funding constraints to the four councils audited.

8.       A copy of the report is available on the OAG website (www.oag.govt.nz/2018/drinking-water).

Freshwater Reform

9.       On 8 October the government released their “Essential Freshwater” publication (http://www.mfe.govt.nz/sites/default/files/media/Fresh%20water/essential-freshwater.pdf), which provides a blueprint for the changes that they wish to make to the way in which freshwater is managed. 

10.     The government have set the following three objectives for their work in this area. These are: 

·      stopping further degradation as soon as possible, so that material improvements are made in water quality within 5 years.

·      reversing past damage so as to restore freshwater ecosystems to a healthy state within a generation.

·      addressing water allocation issues to achieve efficient and fair allocation of freshwater abstraction and nutrient discharges, having regard to all interests including Maori. 

11.     To determine how they might achieve these objectives and lead the implementation of proposed strategies the government have established the following six workstreams:

·      at-risk catchments – work will be undertaken to review current high risk catchments and report to Ministers with recommendations on what additional actions might be needed by the end of 2018

·      National Policy Statement (NPS) for Freshwater Management amendments – consultation on proposed amendments will occur in 2019 with an amended NPS taking effect in 2020

·      National Environmental Standard (NES) for Freshwater Management – a new NES is proposed to provide stronger direction on the environmental standards to be achieved, particularly in at risk catchments

·      Resource Management Act 1991 amendments – the proposed amendments, which will be introduced to Parliament late this year or in early 2019, will require regional councils to implement water quality and quantity limits more quickly than proposed currently.  They will include giving regional councils additional powers to review resource consent conditions part way through the term of a consent

·      allocation of freshwater resources – this workstream will cover the both the discharge of contaminants and water take decisions. There will be a consultation process on possible changes in these areas during 2019

·      future framework – this workstream will look at what components need to be developed to create a sustainable long term freshwater management framework.

12.     The proposed changes are being supported by the regional council sector, who see it as giving them additional tools to drive improvements in this area. From a territorial local authority perspective it will be important for Council to continue to monitor proposed changes in this area given that they will likely lead to a rise in the environmental standards that need to be met for wastewater and stormwater discharges.

Infrastructure Commission

13.     The government is currently consulting on the shape and responsibilities of the proposed new Infrastructure Commission. The decision to create the new commission follows on from a Treasury review which identified a number of weaknesses with the way in which infrastructure is currently managed. These include:

·      investment decisions are not well integrated. For the market, this means there is a lack of visible projects at sufficient scale

·      the focus is on building new assets, rather than focusing on outcomes

·      infrastructure investment decisions are not always informed by evidence

·      central and local government procurement capability is at times lacking

·      there are gaps in the information and data available to inform decision-making

·      skills shortages are one of the greatest challenges faced by industry.

14.     It is proposed that the functions of the new commission would include:

·      to gather and publish evidence on the state of infrastructure assets and networks

·      develop a long-term vision and strategy for infrastructure planning and delivery

·      identify New Zealand’s highest priority infrastructure investment needs

·      publicly identify and socialise regulatory and market barriers to better infrastructure outcomes

·      coordinate and publish capital intentions plans and pipeline information

·      provide best practice guidance on infrastructure delivery and procurement

·      act as a first point of contact for the market in relation to upcoming infrastructure investment and delivery opportunities.

Zero Carbon Bill

15.     The Ministry for the Environment has released a summary of the submissions received during its consultation on the Zero Carbon Bill.

16.     Key themes of the submissions and matters of note for the local government sector included:

·      91 per cent of respondents said they want a target of net zero emissions across all greenhouse gases by 2050 set in legislation now

·      local government and business/industry groups were more divided about what target New Zealand should adopt.  A number of local government submissions indicated preference for a target of net zero long-lived gases and stabilised short-lived gases by 2050

·      the majority of submissions (96 per cent) recommended that the Climate Change Commission should have an advisory and monitoring role only, on the basis that it should be politically independent, and the democratically elected government should make decisions.  Many submissions did, however, highlight the importance of having mechanisms to hold the government to account

·      many local government submissions believed it would be essential for the commission to include experts on adaptation.  A similar view was shared in a number of submissions made by business

·      92 per cent of submissions agreed that the Bill should cover climate change adaptation

·      most submitters agreed with the proposed functions of a national risk assessment and national adaptation plan.  However, views diverged on who should have responsibility for adaptation, including whether it should be the responsibility of the commission or the government, and whether there should be an adaptation sub-committee if responsibly lay with the Commission

·      many submitters expressed the need for further information on what the proposed adaptation reporting power would entail and cover.   

17.     The Zero Carbon Bill is expected to be introduced to Parliament in mid-2019.

Community and Futures

Governance

Representation Review

18.     At the time of writing, no date has been set for the next stage of the process being conducted by the Local Government Commission.  The final date for the representation review decision is 10 April 2019.

Local Authority Elections 2019

19.     It is now less than a year out from the local authority elections.  Election Day is 12 October 2019.  It is now timely to remind new people to the district or people who have moved in in the last couple of years to check that their details are up to date as the elections are conducted by postal voting.  There will be further information about this and standing as a candidate at a later date.  Planning has begun for this project.

Community Partnership Leaders

Shared Services

20.     The Edendale/Wyndham shared services pilot project is progressing with a person having been recently appointed to carry out the role.  This person has now met with all the groups involved in the pilot and has started attending their meetings in order to begin the shared service role.  All participating groups have also completed the first of several evaluation surveys which will benchmark where the group are in terms of need and their current situation. 

21.     Participating groups and the person working in the shared service role will complete regular evaluations over the duration of the pilot so that progress can be monitored and an indication of how successful the pilot has been and other learnings that can be gathered. 

Stewart Island Dark Sky Application

22.     An official application has been submitted to the International Dark Sky Association (IDA) for Stewart Island/ Rakiura. If successful, the island would gain accreditation as an International Dark Sky Sanctuary. This would make Rakiura the 5th such sanctuary worldwide and the second in New Zealand, along with Great Barrier Island.  The submission deadline was the 24th September 2018 and a decision is expected in December 2018.

23.     Southland District Council recently upgraded all street lights on the island so these comply with the requirements of the International Dark Sky Association.  Successful Dark Sky Sanctuary accreditation would bring many benefits to Stewart Island/Rakiura and to the Southland region. It would boost tourism to the island, allowing it gain international recognition for the quality of its night skies.

24.     The idea of Rakiura becoming a dark sky ‘sanctuary’ also enhances the reputation of the island as an eco-tourism destination.  Night sky viewing is a natural extension of this and has low impact on the island’s sensitive natural environment. It also complements the nocturnal nature of the island’s most famous resident – the Stewart Island Brown Kiwi. As night sky viewing is best in the winter months, accreditation will also help to draw visitors to the island in this traditionally slower season.

25.     A report has been prepared for Council recommending that it resolves to initiate a plan change to establish some stronger lighting controls on Rakiura to support the Dark Skies Sanctuary application that is currently being processed by the Dark Skies Association. One of the key requirements of achieving “sanctuary status” is having a level of lighting controls within the sanctuary area.

Strategy and Policy

Corporate Performance Framework

26.     The corporate performance framework aligns Council’s high level direction to its activities and outcomes, and its purpose is to streamline Council planning and reporting functions. 

27.     CAMMS has now been introduced to activity managers within Council, and those who will be inputting the information needed to complete the interim performance reporting.  Strategy and Policy staff, alongside the chief information officer and staff from Services and Assets are running a series of training sessions as we progress this stage of the implementation process. This will be a work in progress as we shift reporting tools for the organisation and seek a more efficient and effective way of working.

Annual Report 2017/18

28.     The Annual Report 2017 2018 was adopted on Tuesday 25 September after being recommended for adoption by the Finance and Audit committee on Monday 24 September.  The report tells the community and Council how well we did against what we said we were going to do in the Long Term Plan and Annual Plan, how much it cost to do this and how we paid for it. 

29.     The Local Government Act 2002 requires Council to prepare and adopt an Annual Report within four months of the end of each financial year.  This is the second year that Council has adopted its Annual Report within three months and the first year that the majority of the document has been graphically designed, which has significantly enhanced the readability of the report, and feedback has been very positive.

Risk Management Framework

30.     Council continues to identify the need to invest in and develop its risk management processes and approach. In developing the Risk Management Framework the objective is to create a framework to effectively understand, plan for, and mitigate risk across all levels and activities within the organisation. 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 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 managed effectively.

31.     The first Risk Management Framework project meeting was held on 16 August 2018, to agree the objectives, thresholds and management approaches for the overall framework. In October we held a two day workshop for Council chairs and Finance and Audit committee members, the Executive Leadership Team, and all senior managers that further developed the profile of significant organisational risk.  This two-day workshop identified how Council approaches risk, identifies risk and how we prioritise this.  We also determined responsibility for the highest priority risks to Council and community.  A draft framework will be developed for consideration following this workshop.

BERL Stage 3 – Working Towards Positive Southland Community Futures

32.     Business and Economic Research Limited (BERL) was commissioned to undertake research to assist with the development of the District’s 2031 Long Term Plan.

33.     The research is based on the idea that the District can passively accept the future that fate will provide for its communities, or work strategically to shape the future it wants to achieve.

The research is in three stages, each of which is designed to answer a specific question:

·      stage 1 asked “where we are now?”  This involved collecting and analysing data to show the state of wellbeing in the District as a whole and in seven defined communities.  This stage has been completed.

·      stage 2 asked “where we are heading?”  This involved some forecasting to examine how the population and the level of employment in the District and each of the communities would change, if past trends were left to continue.  This stage has also been completed.

·      the current stage, Stage 3, is about asking the question “where we actually want to be?”  Its aim is to define a set of actions that will help to shape positive futures for each of the main communities in the District

34.     Stage 1 of the research found that, compared to New Zealand as a whole, wellbeing in Southland District was high.  Southland District was better particularly in terms of: employment and unemployment rates; incomes; home ownership; and community connectedness. But it was worse in terms of the qualifications of the workforce and economic diversity.  It also found that, in the recent past, incomes in Southland District had grown more rapidly than nationally. However, the District had attracted relatively few migrants, and home ownership in the District had fallen more rapidly than nationally.

35.     Stage 2 indicated that the District’s working age population is likely to increase slightly over the next ten years, but that it is likely to decrease fractionally during the following decade.  Meanwhile, if the District’s economy continues to grow at the same rate, relative to the national economy, as it has in the recent past, the demand for labour will grow.  This means that, because the District’s unemployment rate is already low, there is a real possibility of large and growing labour shortages.  The likelihood is that, unless the District can attract more migrants, incentivise its young people to stay, and encourage older workers to stay in the labour force, economic growth could be stifled.

36.     The specific purpose of the final stage 3 is to engage with individuals, organisations, and businesses in the District to pinpoint what needs to be done to ensure that the District and its communities maintain and increase their levels of wellbeing.  Ultimately, stage 3 will help to inform Council about what it can do itself to increase wellbeing, and how communities, as they strive for overall community wellbeing, can best work with other agencies and Council to achieve the same goal.  This next stage has a focus on what needs to be done to ensure that Southland District maintains and builds on its current position as a place where wellbeing is at a high level – a place in which it is good to live and work. 

37.     BERL staff have met with individuals and groups around the district throughout September, and have been engaging in conversations around the future of the district, and what we need to be focusing on to get where we want to be.  BERL have engaged with a wide range of people and have included discussions on all activities and services where the Council has a role, either by itself or in partnership and support with other Councils, government agencies and communities. The final draft report will be submitted to Council by December. 

Community Futures Research and Analysis Work Programme

38.     Council is undertaking research and analysis work to support its decision making and transitioning from 2018 to 2021 in preparation for the Long Term Plan 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, and identify priorities for investing in community future planning. The executive leadership project team comprising of the chief executive, chief financial officer, group manager services and assets, group manager environmental health and group manager community futures has been established, and is facilitated by the strategy and policy manager. The purpose of this work is to develop project plans based on identified work streams that will help identify what is required to deliver priority projects within the district. 

39.     High level project plans have now been developed for each of the topics above and a report presented to the Community and Policy committee was received at their 5 September meeting.  The executive leadership project team are meeting in mid-October to establish prioritisation for the works scheduled, and identify any additional resources that may be required to undertake priority projects.  A further update report will be provided to the 29 November Community and Policy committee.

40.     The on-going 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 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)

·      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 Council.

Policy and Bylaw Updates

41.     There are a number of Council bylaws and policies currently being reviewed and updated, and a large number of bylaws due for review in the next 12-24 months.  Currently, there is the Stewart Island Visitor Levy Bylaw and Policy out for consultation, with submissions closing 9 November 2018. Council have also completed a Sensitive Expenditure Policy and are currently seeking staff feedback on the Conflict of Interest Policy. Council have also resolved to receive the Roading Bylaw change to Elgin Terrace (Oban, Stewart Island), and the Dangerous, Affected and Insanitary Buildings Policy.  

Customer Support

Libraries

42.     Our Library service has new books each month, these can be viewed online through our catalogue on https://www.southlanddc.govt.nz/my-southland/libraries/.

Venture Updates

Southland Murihiku Destination Strategy

43.     Planning for Southland’s continued tourism growth is underway with the development of the Southland Murihiku Destination Strategy for 2018-28. Venture Southland is facilitating the development of the strategy which was identified as a key priority project in the Southland Regional Development Strategy Action Plan.

 

44.     Stafford Strategy has been appointed as an independent consultant to develop the Strategy and will work alongside Venture Southland and the local Advisory Group to encourage community and key stakeholder engagement. Consultation with major stakeholders is currently underway and will continue into next year. Once complete the strategy will provide a blueprint for Southland’s destination management, assist in attracting people to Southland, ensure visitors have a quality experience, and provide a framework to achieving the goal of $1 billion dollars in tourism revenue, in Southland by 2025

 

Shared Services Pilot

45.     The Shared Service Pilot is well underway in the Wyndham /Edendale area. Meetings have been held with the six community groups involved, and memorandums of understanding put in place to clarify the tasks of the groups. A Wyndham local has been appointed to deliver the shared service role which consists of a range of mainly administration type tasks, for approximately 20hours per group over a six month period.  An initial evaluation survey has been completed as part of an overall evaluation process to assess the effectiveness of the pilot. Venture Southland will continue to monitor the pilot and its effect on the community groups, and look at options of implementing the model in other Southland District communities.

Environmental Services

Group Manager Commentary

46.     The Environmental Services group has been mourning the passing of a long serving and highly valued team member and workmate, Tracy van Veldhuisen, who passed away recently after a short illness. Tracy gave 33 years of excellent service to the Southland District Council, and before that the Southland County Council, working primarily on animal control and alcohol licensing functions. She will be very greatly missed by all her colleagues.

47.     The IANZ reaccreditation project team continues to work on preparatory work for the upcoming reaccreditation audit in March 2019. An area of focus has been looking for the learnings from other recent audits from other councils which the team has been able to assess. A “mock audit” is scheduled for late November. 

48.     Council recently corresponded with the Ministry for the Environment expressing some concerns about the implications of the recently –adopted National Environmental Standard for Plantation Forestry on Council’s roading network. Positive feedback has been received from the ministry that this correspondence will be considered closely.

49.     A work programme to build on process mapping across the group is underway. This will assist with business continuity, customer service and mitigating single points of failure and loss of corporate knowledge.

Building Solutions

50.     The department have issued 60 consents for the month and a number of these have been processed by the Building Solutions Team in Christchurch, this has a neutral effect to the customer, in terms of cost whilst providing our customers with a more efficient service.

51.     While the value of consented work is down on October last year it is in line with 2016-17. The trend appears to indicate that the increase in demand experienced last year will not continue through this year.  There is a noted reduction in the number of commercial consents issued for the month. The areas most affected by the downturn in consent numbers are Mararoa Waimea and Winton Wallacetown however these were both higher than the previous year last month.

Environmental Health

Food Act

52.     Staff have been implementing the Food Act 2014 over the last three years, in accordance with a transition schedule determined by the MPI.  The last group of food businesses to transition are due to do so by 30 November.  Letters will go out shortly to these businesses, and staff will follow up to assist these businesses to transition.

Toxic Algae Signage

53.     Council’s environmental health staff attended the recreational water liaison group, this forum was also attended by staff from ES and Public Health South.  The group will be installing new signs concerning toxic algae, at two sites to start with – Waituna Lagoon and the Thornbury camping area.  The signs will include photos of the toxic algae, and advisory statement to check for toxic algae.

Dog Registration

54.     Council’s dog control officers are working on the next phase of dog registration – following up dog owners that have not renewed registration.  There are about 700 dog owners in this category as at the start of October.

Prosecution

55.     Council is prosecuting the two owners of the Rottweilers that attacked a member of the public in Winton on 10 June 2018. It is very unlikely that the substantive hearing will take place this year.

Resource Management

56.     Council continues to work collaboratively with ES, ICC and GDC on region wide and national consistency, examples are National Planning Standards, landscapes, biodiversity, climate change, and e-plan delivery. There are a number of nationally driven changes coming in 2019 and considering these on a region wide scale is of benefit to all organisations and communities.

57.     Council has limited notified a resource consent application submitted by Greenbriar to extend the existing coal mine in an easterly direction towards Gorge Road. The parties identified were those directly adjoining the site or likely to be affected by the extension.

58.     The number of resource consents being lodged with Council remains steady. There are currently 50 consents in the system (on hold and processing).

People and Capability

59.     Health, safety and wellness continues to be a focus with Council signing of the 2018/19 plan.  The plan contains a review of previous performance and objectives and spells out proposed improvement measures and targets. 

60.     The plan continues the focus on a risk based approach to managing health and safety and has a strong theme of training and development.  E-learning and team activities are continuing. 

61.     Recruitment for a number of senior roles within Council has resulted in the appointment of some fantastic applicants.  Karen Purdue in the role of community partnership leader, Mark Day in the role of community facilities manager, Chantelle Subritzky in the role of corporate performance lead and Mark Fraser in the role of district library manager.

Services and Assets Group

Group Manager’s Update

62.     The new project management system remains on track for ‘go live’ in early December. Internal training programmes commence later this month and change management processes are also being established. Reporting requirements and layouts are in the process of being determined.

63.     We are pleased to advise that Mark Day from the business solutions team has been recruited for the role of community facilities team leader.  Mark brings a wealth of leadership and asset data knowledge with him, which is a key focus area for the group.

64.     The Pyramid Bridge project is progressing with Gore District Council.  Southland District Council staff and Council representation form part of the project governance team.  An updated design estimate has been provided and a cost review has been undertaken by a quantity surveyor. Given the cost escalation that has occurred, further discussion is underway with New Zealand Transport Agency around funding sources and percentages.

65.     Southland disAbility Enterprises have submitted a proposal for the extension of the recycling activities within Southland. Wastenet are working with Southland disAbility Enterprises through these negotiations. Once completed, a recommendation to each of the WasteNet’s councils will be forthcoming.

66.     Work is ongoing to provide further clarity and prioritisation of expenditure in association with infrastructure deficits, activities, sub-activities and services.  This work is necessary to adequately inform levels of service discussions and consultation in the lead up to the 2021 Long Term Plan.

67.     Asset information is also an area of focus currently, particularly within the community facilities and 3 waters activities.  For 3 waters this involves establishing a master data specification determining what asset information is required, across the hierarchy of assets within each of the three reticulated services activities.  Once established, it will be necessary to work with our contractors to ensure at the point of install or intervention, the appropriate information is captured in a way that is then easily migrated into IPS, our asset management software.

68.     For community facilities this has involved identifying some priority activities (playgrounds, buildings and toilets) and tapping into support from the New Zealand Recreation Association as the national support body to establish asset information templates for each.  These are currently in draft and being finalised.  Once finalised we will progress to gathering the relevant asset information for these activities.  Concurrently, it will be necessary to review the asset management system to support its function.

69.     It is anticipated that this asset information work will be ongoing for a number of years and will impact all of the activities and services that Council delivers. 

70.     Forestry activity has been dominated by harvesting operations in the Waikaia Forest. With this completed during September, the 2018/19 program is now also completed.

71.     Production for September was 9,000 tonnes, with a total of 30,000 tonnes cut for the year. Financially the results are looking very good and are well above budget.

Strategic Water and Waste

Te Anau Wastewater Discharge Project

72.     At its meeting on 23 October Council decided to approve the sub-surface drip irrigation method for discharging treated wastewater at the Kepler block near Manapouri. This option requires new resource consents to be obtained for the discharge at Kepler and an extension to the current discharge consent from the oxidation ponds to the Upukerora River.

Land and Water Plan Implementation

73.     Environment Southland released their proposed Land and Water Plan earlier this year.

74.     In total 25 appeals were received by Environment Southland of which Council has identified 10 which it will join as a section 274, Resource Management Act 1991 party.  Council has also lodged an appeal to the decision.  The basis of Council’s appeal, is largely around the ‘non-complying’ activity status on wastewater discharges to water.  The latest direction issued from the Environment Court outlines a proposed path, where appeals to objectives will be heard ahead of mediation, by grouped topic on policies and rules.

Review of Solid Waste Contract Arrangements

75.     The WasteNet Southland Waste Management Group has rolled over the Bond contract for waste collection on the same rates and terms and conditions. Further, WasteNet is in the process of working through a negotiation process for the recycling contract with Southland disAbility Enterprises Limited. 

76.     Further information has been requested by the Waste Management Group, which should allow a recommendation to be made to the Waste Advisory Group as to whether to roll the Southland disAbility contracts over, or to go back to the market.

Operations and Community Services

The Southern Scenic Route

77.     The Tourism Infrastructure Fund application is currently sitting with Ministry of Business, Innovation and Employment, to complete the contract to be presented to Council for approval and signing; with a response anticipated within a month.

78.     In the meantime we are forming a works program based on the submitted dates, having discussions with suppliers and looking at design for each location.

Local projects

79.     The 2018-2019 part of the footpath repair and maintenance project in Wyndham and Edendale has been put on hold, pending the implementation of the New Zealand Transport Agency funding of footpath maintenance and renewals.

80.     The community engineer team will be working closely with the roading team to come up with a strategy to deliver footpath projects currently in the 18/19 Long Term Plan and based on the Opus report.

Strategic Roading

Alternative Coastal Route Seal Extension Project

81.     The route down to Waipapa lighthouse has now been sealed. The project is still tracking well, with the final section of sealing along the main route expected to be completed in late October/ November depending on weather condition.

82.     The legal survey for finalising land purchases is continuing.

LED Street Light Conversion

83.     All the standard 70W High Pressure Sodium lights have been replaced in the townships. Focus is now shifting on the remaining higher wattage lights and special/decorative lights and how these get converted to LED.

District Wide Resurfacing

84.     The annual District wide road resurfacing program will be commencing as soon as weather conditions allow. Sealing works take place between 1 October and 31 March.  

Strategic Property

85.     Work has commenced on the 2018/19 projects to be completed this financial year.  The current phase of the projects, is confirming quotes and seeking approval to commence for those under budget. Some projects will be commencing in the near future, whereas others will either need a scope change or additional expenditure approval.

86.     Work has also commenced to identify, plan to commence and complete those improvement processes, as identified in each of the seven activity plans used as the basis of the recently approved Long Term Plan.  For community centres the collection of data regarding each facility’s utilisation.

Finance

87.     Income for the Stewart Island Rakiura Community Board year to date is slightly lower than budget by $1,569. This is mainly due to licence fees (roadline and wharf) being budgeted for and not billed. Income was up for the cemetery due to higher than anticipated interments, and general recoveries from the Moturau Gardens were also higher than budget.

88.     Expenditure for the Stewart Island/Rakuira Community Board is showing lower than expected in the year to date. This is due scheduled and budgeted maintenance not yet required or undertaken. There is higher than budgeted expense against the Moturau Gardens due to insurance costs being higher than budgeted for. Traill Park had internal rates expense higher than budgeted for and waterfront playground maintenance costs were higher than budget.

89.     It is worth noting that the budgets are phased on a monthly basis, and while some budgets appear to be underspent, they can still be on track for maintenance schedules that take place periodically throughout the year.

 

Recommendation

That the Stewart Island/Rakiura Community Board:

a)            Receives the report titled “Council Report” dated 26 November 2018.

 

 

Attachments

There are no attachments for this report.  

 


Stewart Island/Rakiura Community Board

10 December 2018

 

SIESA - Financial Report to 31 October 2018

Record No:             R/18/11/26763

Author:                      Joanie Nel, Management Accountant

Approved by:         Anne Robson, Chief Financial Officer

 

  Decision                                        Recommendation                                  Information

 

 

 

SIESA Electricity Operations

1        SIESA Electricity Generation net deficit for the year to date is $104,464, compared to a budgeted year to date surplus of $50,951.

2        Total income for the period to date is $363,791, $13,834 under budget, this was as a result of the following:

-     Lower SIESA electricity charges income against budget ($12,500).  The budget for the year has been phased on a percentage basis of the amount of days in each month as a percentage over a total of 365 days in the year.  This is not necessarily reflective of the actual electricity generation over the year.

3        Total operating expenditure for the year is $468,256 $79,361 over budget. The following comments apply:

-     Management fees were $83,301 over budget, due to the contract re-negotiation.

-     General Maintenance charges were $5,082 over budget due to a service to generator no 5.

-     Fuel charges are $15,684 over budget due to the increase in the cost of fuel.

-     Depreciation charges are $23,561 under budget.  The budget was set on a number of capital works being undertaken in previous years, as these have not occurred the level of depreciation is less than budgeted.

 

Project List Status

 

Project Name

AP Budget

Actual cost

Comment

Replace Generator/ Turbine

 $110,000

         -  

Investigations are currently being undertaken.  Options being looked at are two types of Gensets, “fixed” (ie mounted in the room) versus “containerised” meaning the Genset can be moved around.

Network upgrade

   $20,000   

         -

Minor upgrade, this is for the replacement of the ceramic insulation, where they are faulty. Expected to be completed in 18/19 year.

Replacement of 2 x 20 000L Fuel tanks

   $85,000

         -

Being investigated through suppliers as to the best value for money. Expected to be completed in 18/19 year.

Exhaust System renewal/service

   $20,000

         -

On hold, not currently required

Service SCADA control system

   $25,000

         -

Not yet required

Upgrade SCADA control system

   $10,000

         -

Not yet required

Ringfeed Project stage 4

   $56,000

         -

Ringfeed projects combined to gain efficiencies, overall the aim is to ensure that when there is a power fault, other properties are not affected (Stage 4 from Miro Crescent to Elgin Terrace)

Ringfeed Project stage 3

   $46,000

         -

As above, Stage 3 is from Mill Creek to Miro Crescent.

Security upgrade for Power station

   $30,000

         -

Current security cameras are functional.  Upgrade on hold.

Replacement of transformer/switch

   $35,000

         -

Timing to be discussed with the contractor as this project involves moving gear “outside” the yard toward the inside.

Replace circuit breakers

   $80,000

         -

On hold- current circuit breakers are still functional.

 

Staff House, Kerbside and WasteNet Operations

4        Overall income for the period to date is $17,242 over budget. 

5        Overall expenditure for the year to date is $10,939 under budget. This is mainly due to actual maintenance needed being less than the monthly budgeted allowance as well as the timing of when other costs are incurred.

 

6        As at 31 October SIESA has $1,620,000 in investments.  These are held in terms varying from one month to six months at interest rates between 3.33% and 3.39%.

 

 

 

 

 

 

Recommendation

That the Stewart Island/Rakiura Community Board:

a)            Receives the report titled “SIESA - Financial Report to 31 October 2018” dated 23 November 2018.

 

 

Attachments

There are no attachments for this report.  

 


Stewart Island/Rakiura Community Board

10 December 2018

 

Direction-setting for Annual Plan 2019/2020

Record No:             R/18/10/24251

Author:                      Chantelle Subritzky, Corporate Performance Lead

Approved by:         Rex Capil, Group Manager Community and Futures

 

  Decision                                        Recommendation                                  Information

 

 

 

Purpose

1        The purpose of this report is to confirm the direction determined for the 2nd year of the LTP.

2        This report provides an overview of the forecasted projects and services for the Stewart Island/Rakiura Community Board in 2019/2020.  It includes any variations from what was anticipated in year two of the Long Term Plan 2018-2028 (“LTP”).   

Executive Summary

3        The direction-setting provided by the Stewart Island/Rakiura Community Board will be incorporated into the Council’s Draft Annual Plan for 2019/2020.  If consultation is required, this will occur in February 2019 and March 2019. 

4        Once the plan is finalised (and subject to any changes resulting from submissions), the direction given for 2019/2020 will be used to set rates for the year beginning 1 July 2019.

5        It is recognised that extraordinary projects or changes to the level of service may be needed outside of the LTP process.  The Annual Plan process is an opportunity to raise these extraordinary projects or events, to ensure the on-going needs of the community are being met.

6        Council has streamlined its 2019/2020 Annual Plan process, and all extraordinary projects for the local area that were received by Council in the project plan template prior to 21 September have been included in the 2019/2020 Annual Plan.

7        The Stewart Island/Rakiura Community Board have identified the following minor variances for year two of the LTP for SIESA:

-     Increase in Fuel charges of $55,000

-     Increase in Depreciation – buildings charges of $6,250

-     Increase in Depreciation – improvement of $2,000

-     Increase in Powernet Management charges to $655,726.71

-     Increase in wages charges as advised by the People and Capability department of $145,450.82

8        Staff recommend Option 1 to accept the budgets as proposed in this report.

9        Following the recommendations made to Council, any variances will be summarised in Council’s Draft 2019/2020 Annual Plan.  If there are significant or materially different variances from the LTP, these will be included in a consultation document and released for consultation in February 2019. 

10      The final Annual Plan including changes made as a result of consultation, will be adopted by Council in June 2019.

 

 

1                Recommendation

That the Stewart Island/Rakiura Community Board:

a)            Receives the report titled “Direction-setting for Annual Plan 2019/2020” dated 5 December 2018.

 

b)           Determines that this matter or decision be recognised 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)           Notes that any extraordinary projects for the local area have been included in the 2019/2020 Annual Plan, as identified through Council process in the project plan for extraordinary projects/activities/events project template completed by 21 September 2018.

 

e)            Approves minor variations in the Stewart Island/Rakiura Community Board plan from year two of the Long Term Plan 2018-2028.

 

f)             Agrees that the budget for the year commencing 1 July 2019 be adopted for inclusion in the Council’s Draft 2019/2020 Annual Plan (subject to any minor amendments made at this meeting).

 

g)           Requests the setting of the following rates and charges (including GST) for the year commencing 1 July 2019 based on the approved budgets in (e) above.

 

Rate Description     

Rate (GST Incl)

Stewart Island/Rakiura Community Board Rate

$128,076

 

h)           Request the setting of the hall fees and charges (including GST) for the year

commencing 1 July 2019, as included in Appendix 5, for inclusion in the 2019/2020 Annual Plan.  

 

 

Background

11      The Annual Plan process ensures that planned community projects and rates align with the Long Term Plan (LTP) strategic vision. The LTP community outcomes for Southland district are:

·    proud, connected communities that have an attractive and affordable lifestyle

·    resilient communities that leave a legacy for tomorrow

12      The purpose of this report is to confirm the direction determined for the 2nd year of the LTP. 

13      It is recognised that extraordinary projects or changes to the level of service may be needed outside of the LTP process.  The Annual Plan is an opportunity to raise these extraordinary projects or events, to ensure the on-going needs of the community are being met.

14      The draft budgets for the Stewart Island/Rakiura Community Board for 2019/2020 have been based on forecasted information from year two of the Long Term Plan 2018-2028.

Overview of the process:

 

Issues

15      There are no significant changes from what was originally included in year two of the LTP.

16      No changes to projects have been identified.

17      We note that there was a total rates increase for the Stewart Island Community Board of $31,276 (excluding GST) between year one and two of the LTP. This is predominately due to:

·    An annual contribution of $30,000 going to Stewart Island Jetties for ongoing wharf maintenance.

District Funding of Water and Wastewater

18      Council’s water and wastewater activities are funded by a fixed rate across the district for properties connected or able to be connected to a Council scheme.  Decision making is the responsibility of the Council rather than community boards or community development area subcommittees (CDA’s), however community boards and CDA’s are kept informed of planned projects as well as those in progress.

District Funding of Library Services

19      Council operates 10 libraries across the district which historically were funded by a mix of district and local rates.  In the 2018-2028 LTP Council, with the support of the community, decided to fund 100% of all library services across the district from the Uniform Annual General Charge.  This has resulted in all ratepayers paying the same amount towards library services, irrespective of where they live.

Setting all Community Board/Community Development Area Subcommittee rates as Uniform Targeted Rates (UTRs)

20      In the 2018-2028 LTP, Council with the majority of the community’s support, decided to assess local rates for Riverton/Aparima, Otautau, Stewart Island/Rakiura, Tuatapere, Mossburn and Waikaia as uniform targeted rates, with variances as required.

21      Council made this change because there was no consistent approach to local community board and community development area subcommittee rating, despite the fact that each local rate was being used to fund similar activities and services in their local communities.

22      This has resulted in all ratepayers in each community paying the same amount towards their local services, irrespective of the value of their property.  Te Anau and Tuatapere community boards will continue to apply variances to rural properties (both) and commercial properties (Te Anau only).

Stormwater Consenting Update

23      Council currently has discharge applications lodged with Environment Southland for a number of townships across the District.   It is a requirement from Environment Southland that such discharges are consented in line with other authorities within the region.

24      In late 2017, Council received draft consent conditions for Balfour, Brown, Lumsden, Mossburn, Riversdale, Tokanui and Waikaia and accordingly project and monitoring budgets were reduced in the 2018-2028 LTP.  For all other communities, as at the date of this report Council are still waiting on the draft consents and their associated requirements.

25      Stormwater costs are the responsibility of each local community, and therefore the outcome of any hearing and the subsequent monitoring and capital costs will need to be funded by the relevant community.

Factors to Consider

Legal and Statutory Requirements

26      The Annual Plan 2019/2020 is a requirement of the Local Government Act 2002 and is also closely aligned with the Local Government (2002) Rating Act.

Costs and Funding

27      This report provides an indication of the variances to the Annual Plan 2019/2020, including the cost variances and financial implications.   The below variations to budget is for SIESA.

Business Unit

Account

Proposed budget for Annual Plan 2019/2020

Existing budget for year two of LTP 2018-2028

Budget Variance

Comments

 32000

36911 

$407,000 

$462,000 

$55,000 

Increase in Fuel costs 

 32000

41112

$15,750 

$9,500 

$6,250 

Increase in costs  

 36000

41118 

  $3,000 

$1,000 

$2,000 

Increase in costs 

 32000

31551

$655,726.71

$392,355

$263,391

Increase in charges

 32000

23216

$3,520.58

0

$3,520.58

Increase in taxable allowance

 32000

23512

$4,070.66

0

$4,070.66

Increase in travel

 32000

23113

$137,859.58

0

$145,450.82

Increase in ordinary time

 

Community Views

 

28      Any significant issues affecting local communities may be included in the official consultation document which will be publicly available.  The consultation document will be available to households throughout the District.

29      Consideration should be given to if all or some of the additional costs or projects could be funded from reserves or loans. 

Assumptions made in preparing the Budgets

30      All assumptions that were made when preparing the LTP have been applied in these budgets including the interest rate on borrowings.  The interest rate applicable to community borrowings has been held consistent with the 2018-2028 LTP at 4.65%.  This interest rate is based on the average BNZ three year fixed interest rate at the time of setting the LTP assumptions.   

31      Interest on community reserves (monies held on reserve by the community for various purposes) has been calculated at 3.29% on the average of these balances at year end and is consistent with the 2018-2028 LTP.   

32      Inflation rates have also been kept consistent with BERL rates adopted in the 2018-2028 LTP.

Fees and Charges

33      As part of the 2019/2020 Annual Plan process, Council are required to set all Council related fees and charges.

34      Council has a legislative requirement to publish all fees and charges imposed by Council or Council committees.  This is achieved by way of Council’s annual Fees and Charges booklet. The Fees and Charges booklet is a single document where ratepayers and Council staff can locate all charges in one place for the relevant financial year.  The 2019/2020 Fees and Charges booklet is currently being prepared and will take effect from 1 July 2019.

Policy Implications

35      There are no policy implications in the direction setting for the Annual Plan 2019/2020.

Analysis

Options Considered

36      Council staff have reviewed the original LTP outcomes and revised as necessary.

37      There are two options to be considered in this report:

·    option 1 is to accept the budgets as proposed in this report

·    option 2 is to amend the budgets proposed in this report.

Analysis of Options

Option 1 – Accept the budgets as proposed in this report

Advantages

Disadvantages

·        ensures that community outcomes are met

·        enables an Annual Plan to be compiled in with in the set timeframe.

·        the cost and associated funding for preparing and consulting on the 2019/2020 Annual Plan are included in the organisations approved operational budgets.

·        none identified

 

Option 2 – Amend the budgets proposed in this report

Advantages

Disadvantages

·        allows for any amendments that staff may not have factored in.

·        rates recalculations may be higher than identified in the LTP.

·        may impact the delivery of the Annual Plan within the set timeframe.

 

Assessment of Significance

38      The contents of this report is not deemed significant under the Significance and Engagement Policy.

Recommended Option

39      Through the process of identifying any extraordinary projects/events, and updating any changes to the level of service required, staff recommend Option 1 to accept the budgets as proposed in this report.

Next Steps

40      The recommendations passed in this report will be summarised in Council’s Draft 2019/2020 Annual Plan.  If there are significant or materially different variances from the LTP, these will be included in a consultation document and released for consultation in February 2019. 

41      The final Annual Plan including changes made as a result of consultation, will be adopted by Council in June 2019.

42      This report has the following appendices:

43      Appendix 1: This section is broken into rate types and includes a list of business units that make up the rate type and financial summary statement which shows the expenditure and income and rates calculation.

44      Appendix 2:  A list of projects to be undertaken in the 2019/2020 year.

45      Appendix 3:  A list of reserves with the opening balance and projected closing balance.

46      Appendix 4:  A list of loans that are current and to be uplifted in 2019/2020.

47      Appendix 5:  A list of fees and charges.

 

 

 

 

 

 

 

 

Attachments

There are no attachments for this report.  

 


Stewart Island/Rakiura Community Board

10 December 2018

 

Investigating a user-pays system for jetty usage

Record No:             R/18/11/25516

Author:                      Robyn Rout, Policy Analyst

Approved by:         Rex Capil, Group Manager Community and Futures

 

  Decision                                        Recommendation                                  Information

 

 

 

Purpose

1        The purpose of this report is to request the Stewart Island/Rakiura Community Board endorsement of staff undertaking policy work with the Jetties Subcommittee, to investigate, identify and implement a practical and fair user-pays charging regime for jetty usage on Stewart Island/Rakiura. This report also requests that the board agree to fund $20,000 of unbudgeted expenditure from reserves to contribute towards this work.

Executive Summary

2        Council currently issues licences to non-recreational users of Stewart Island/Rakiura jetties, allowing licensees the non-exclusive use of the jetties for embarkation and disembarkation of passengers and for the loading and unloading of goods. The licence fee is currently $1,350 plus GST, and this is charged annually for each vessel used by the licensee, in accordance with their licence.

3        In 2017, the Stewart Island/Rakiura Jetties Subcommittee outlined that they wanted to change this approach to more of a user-pays regime. It was suggested that when commercial operators use a jetty the operator could be charged a fee of $1.50 for each passenger who has purchased a return fare.

4        Council staff are proposing to begin work with the Jetties Subcommittee, to investigate, identify and implement a practical and fair user-pays charging regime for jetty usage on the Island.

 

Recommendation

That the Stewart Island/Rakiura Community Board:

a)            Receives the report titled “Investigating a user-pays system for jetty usage” dated 23 November 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 Council staff undertaking policy work with the Stewart Island/Rakiura Jetties Subcommittee to investigate, identify and implement a practical and fair user-pays charging regime for non-recreational jetty usage on Stewart Island/Rakiura.

 

e)            Agrees to fund $20,000 of unbudgeted expenditure from Stewart Island/Rakiura Community Board reserves to contribute towards investigating, identifying and implementing a user-pays charging regime for non-recreational jetty usage on Stewart Island/Rakiura.

 

f)             Recommends to Council that it approve unbudgeted expenditure of $20,000 from Stewart Island/Rakiura Community Board reserves to enable the work required to develop and implement a new user pays regime for Stewart Island/Rakiura jetties to be progressed.

 


 

Background

5        On Stewart Island/Rakiura, Council administers Fred’s Camp Jetty, Little Glory Jetty, Millers Beach Jetty, Port William Jetty and Ulva Island Jetty. It is anticipated that the Golden Bay Wharf will also be transferred into Council ownership in the near future. Hereinafter, all of these facilities are collectively referred to as the jetties.

6        Council currently issues licences to non-recreational users of jetties. Eight parties have signed licence agreements which allow the non-exclusive use of the jetties for embarkation and disembarkation of passengers and for the loading and unloading of goods. Vessels cannot be alongside a jetty, unattended, for longer than 30 minutes. The licence agreement contains provisions about not storing goods on jetties, about protecting the environment and about cooperating with other jetty users.

7        The licences currently held were issued in 2014 and the term of the licences is 10 years. The licence agreements can be terminated upon notice. When notice is given, the agreement will expire on 31 October following the giving of notice.

8        The licence fee is currently $1,350 plus GST, and this is charged annually for each vessel used by the licensee, in accordance with their licence. The vehicles used by the licensee are listed in the agreement. The licence fee has to be paid as a lump sum each year. The amount of the fee is set through the annual plan/LTP process. There are provisions in the licence agreement around the substitution of other vessels, vessels no longer being used, and new vessels being introduced.

9        On 30 October 2017, when discussing the Stewart Island/Rakiura jetties budgets for the Long Term Plan 2018-28, the Stewart Island/Rakiura Jetties Subcommittee discussed the current licence fee system. The subcommittee requested a change to more of a user-pays regime and agreed that the licence fee should be removed and replaced with commercial operators being charged $1.50 per passenger (who purchases a return fare), for wharf usage. It was stated that log books kept on vessels record this information, and that the log book could be used to assess the charge payable.

Issues

10      In response to the change suggested by the Stewart Island/Rakiura Jetties Subcommittee, Council are proposing to undertake work with the subcommittee to investigate options and to implement a fair, user-pays charging approach for jetties usage on Stewart Island/Rakiura. An appropriate option will need to be both practical and enforceable.

11      It is timely to commence this work now, with the scheduled rebuild of the Ulva Island jetty. Council will have to include details of any charging regime for the wharf, in the coastal permit.

12      Council staff question whether the current approach of having a licence fee is the most appropriate user-pays regime, as it may not adequately take into account the amount a licensee is using the jetties, the damage the licensee is causing, or the economic benefit to the licensee. Staff also want to ensure that any charging regime implemented is enforceable.

13      This report seeks the boards endorsement to work with the Jetties Subcommittee to identify and implement a practical and fair user-pays charging regime. This would involve:

·   developing a project plan

·   seeking legal and planning advice

·   investigating the jetty infrastructure requirements on the island (including renewals and maintenance) determining the funding that should be generated from non-recreational jetty users

·   establishing charging options that are fair, practical and enforceable

·   identifying a preferred option

·   if the preferred option is to change the charging regime, consulting on the preferred option through the Annual Plan and/or Long Term Plan

·   undertaking any required work to vary resource consents for Council jetties to provide for a user fee regime

·   if a change is proposed, terminating the current licence agreements and implementing the new charging regime (including any ongoing monitoring, reporting and enforcement).

 

14      This report also seeks $20,000 of funding from the Board, which would be used to fund the external costs such as legal fees and resource consent variations that will be associated with this work. Jetties are a local asset so it is appropriate that this work is funded locally. The Board currently has $74,329 in reserve. A reserve balance sheet is included with this report as Attachment A.

15      Prior to this meeting Council staff will be presenting a similar report to the Jetties Subcommittee. Any recommendations to the board made by the Jetties Subcommittee will be presented to the board on the day of its meeting.

Factors to Consider

Legal and Statutory Requirements

16      Council is required to include in its coastal permit for the new Ulva Island jetty, information about any charging regime that will be in place for jetty usage. Legal and planning advice will be sought as part of this work to ensure statutory compliance.

17      Council is also required to state in its Revenue and Financing Policy, its policies on the funding of operating and capital expenditure from fees and charges. Council must also show for its sources of funding (such as fees and charges), how it has complied with section 101(3) of the Local Government Act 2002. This section requires Council to meet its funding needs for each activity following consideration of factors such as who is benefitting, the period over which any benefit will occur, and whether the actions of a particular group contribute towards to need to undertake the activity.

Community Views

18      When a desired charging approach is identified, community views on this matter would be sought through a consultation process.

19      Internal feedback from Stewart Island/Rakiura Jetties Subcommittee, which is a subcommittee of the Services and Assets Committee, is that there is a desire to have more of a user-pays charging regime.

20      Research completed on the Stewart Island Wharfing Provision, by consultant Sandra James, investigated community views on jetties on Stewart Island/Rakiura and identified that local users understood the need to pay for their use of the jetties. It was identified that there is a strong sentiment on the island that there was no long term strategic planning or budget considerations for jetties and that this was a vulnerability that led to a reactionary approach. There was unanimous agreement that the wharves should be self-funding and not a burden on rate payers alone. It was identified that a new funding strategy should be investigated, with funding from multiple sources, that was fair and equitable, to allow a more long term strategic approach to maintenance and replacement of jetties on Stewart Island/Rakiura.  It was identified that the new funding strategy should include introducing a more equitable and fair user pays system.

21      The views of particular stakeholders and licensees are not known at this time. It can be anticipated that if a new charging regime requires the current licensees to pay more to use jetties then they would expect that there will be a commensurate improvement in the service that they are receiving. This could include, for example, the implementation of structured maintenance and renewals regime.

22      Council staff are aware that changes are currently proposed to the Stewart Island/Rakiura Visitor Levy Policy and Bylaw, including the proposal to increase the visitor levy/revenue collected from $5.00 to $15.00. The island community have been very interested and vocal about the levy proposal. The proposed levy increase in part relates to the jetty infrastructure requirements that currently exist for visitors to Stewart Island/Rakiura. It may not be well received by the public, to also consider a new charging regime for non-recreational users (another matter that relates to generating funding for jetties), at this time.

23      If under a new charging regime any licensees are required to pay more than they do currently, Council may appear unsympathetic towards escalating costs on the Island, and it may be seen as not facilitating local business. 

Costs and Funding

24      It is proposed that the Board contribute $20,000 of unbudgeted expenditure from reserves towards this work. Any funding not used would be returned to the board. If the cost of this work exceeds $20,000 a further request for funding would be made to the board.

Policy Implications

25      The licence agreement system and allocations from the visitor levy currently contribute towards the funding of jetty activities in Stewart Island/Rakiura. It is important that these two funding sources are considered together.

26      Council is beginning work reviewing the strategic challenges associated with delivering Council services on the island. Quantifying the funding needs for jetties and determining how the jetties activity will be funded will be part of this work, and it can be used to inform work undertaken on an appropriate charging regime.

27      As there is currently no local rating for the renewal and maintenance of jetties on Stewart Island/Rakiura, it is important that the funding of jetties is carefully considered and managed.

Analysis

Options Considered

28      The following options have been identified for how the community board could proceed:

Option 1That the board endorses work being undertaken to investigate an appropriate charging regime for non-recreational jetty usage, and agrees to fund $20,000 towards the work.

Option 2 – That the board doesn’t endorse undertaking work to investigate an appropriate charging regime for non-recreational jetty usage.

Analysis of Options

Option 1 – That the board endorses work being undertaken to investigate an appropriate charging regime for non-recreational jetty usage, and agrees to fund $20,000 towards the work

Advantages

Disadvantages

·        would enable work to be undertaken to identify an appropriate charging regime for jetty usage.

·        advice sought would ensure legal compliance.

·        identifying the desired charging regime for jetty usage could help with wording when the application is made for the coastal permit for the Ulva Island jetty (and other jetties in the future).

·        research has identified that the Stewart Island/Rakiura community are aware of the need to pay for their jetty usage, and the community support strategic planning and a new funding strategy.

·        it may not be the best time to undertake this work (as the visitor levy proposal, which also relates to funding jetties, is currently being reviewed).

·        if the preferred option is to introduce a charging regime that increases costs to non-recreational jetty users, some people may think Council is not considering the economic impacts on the community and that Council is not facilitating local business. 

·        changing the charging regime may not be supported by some stakeholders.  

 

Option 2 – That the board doesn’t endorse work being undertaken to investigate an appropriate charging regime for non-recreational jetty usage

Advantages

Disadvantages

·        No known advantages.

·        Council would ensure legal requirements are met, but it would only have the resource to implement a simple charging regime.

·        this process may not identify the most appropriate non-recreational charging regime for the jetties.

·        jetties are a local asset and if a full review of the non-recreational charging regime is not undertaken, it risks there being inappropriate/insufficient funding to replace/maintain these assets.

 

Assessment of Significance

29      This decision has been assessed as being of lower significance in relation to the Local Government Act 2002 and Council’s Significance and Engagement Policy.

Recommended Option

30      It is recommended that the board proceed with Option 1 and endorses work being undertaken to investigate an appropriate charging regime for non-recreational jetty usage, and agrees to fund $20,000 towards the work.

Next Steps

31      If the Jetties Subcommittee and the board endorse this work being undertaken, and the board agrees to providing funding, Council staff will request Council to approve the unbudgeted expenditure of $20,000 from Stewart Island/Rakiura Community Board reserves. If Council approve the funding, staff will then commence the work outlined in this report.

32      If there is not support or funding is not allocated towards this work, Council staff will ensure legal requirements are met but will not progress work on developing a new user fees regime.

 

Attachments

a             Reserve Balance Sheet    

 


Stewart Island/Rakiura Community Board

10 December 2018

 


Stewart Island/Rakiura Community Board

10 December 2018

 

Schedule of Meetings up to October 2019

Record No:             R/18/11/26118

Author:                      Kirsten Hicks, Committee Advisor/Customer Support Partner

Approved by:         Rex Capil, Group Manager Community and Futures

 

  Decision                                        Recommendation                                  Information

 

 

 

Purpose

1        The purpose of the report is to approve a schedule of meeting dates up to October 2019 so that meetings can be publicly notified in accordance with the requirements set by the Local Government Official Information and Meetings Act 1987.

Executive Summary

2        The adoption of a meeting schedule allows for reasonable public notice preparation and planning for meeting agendas.  The Local Government Official Information and Meetings Act 1987 has requirements for Local Authorities to follow for public notification of meetings.

3        Southland District Council approved the Terms of Reference for the Community Boards at its meeting on 26 October 2016.  In the approved terms of reference was the frequency of meetings.  Community Boards would meet six times a year (February, April, June, August, October and December).

4        Southland District Council, at its meeting on 19 September 2018, adopted a schedule of meetings up to and including 2 October 2019 and now it is appropriate that the Community Board sets its own meetings for the same period.

5        The meeting schedule for the Stewart Island/Rakiura Community Board is being set until the beginning of October 2019 as there are Triennial Elections on Saturday 12 October 2019.  A schedule of meetings for the remainder of 2019 and all of 2020 will be brought to the Board later in 2019.

 

Recommendation

That the Stewart Island/Rakiura Community Board:

a)            Receives the report titled “Schedule of Meetings up to October 2019” dated 5 December 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)           Agrees to meet at the following times and dates in 2019:

 

·    11 February 2019, at 8.45am

·    8 April 2019, at 8.45am

·    10 June 2019, at 9.45am

·    12 August 2019, at 9.45am

 

 

 


 

Background

6        An approved schedule of meeting dates is required so that meetings can be publicly notified in accordance with the Local Government Official Information and Meetings Act 1987.

Issues

7        The Triennial Election for the 2019/2022 Triennium is being held on Saturday 12 October 2019. This will have a minor impact on planning dates for the incoming Community Board

Factors to Consider

Legal and Statutory Requirements

8        The legal and statutory requirements for meetings of Council, Committees and Community Boards are spelt out in the Local Government Act 2002 and the Local Government Official Information and Meetings Act 1987.

Community Views

9        There are no community views

Costs and Funding

10      The only costs for the implementation of the meeting schedule are for public notification via the newspaper once a month in accordance with the Local Government Official Information and Meetings Act 1987.

Policy Implications

11      There are no policy implications.

Analysis

Options Considered

12      Should there be no meeting schedule agreed upon, no meetings of the Stewart Island/Rakiura Community Board could be held. The other option is to adopt a meeting schedule as proposed in the recommendations which enables dialogue between the Community Board and District Council Officers on a regular basis.

Analysis of Options

Option 1 – No meeting schedule

Advantages

Disadvantages

·        There are no advantages

·        Council officers and Community Board unable to achieve work in the Board’s area as no meetings are being held


 

Option 2 –

Advantages

Disadvantages

·        Council officers and Community Board are able to achieve work in the Board’s area as meetings are being held on a regular basis

·        There are no disadvantages

 

Assessment of Significance

13      This is not considered significant as defined in the Local Government Act 2002.

Recommended Option

14      The recommended option is Option 2 – Adoption of a schedule of meetings

Next Steps

15      Once the schedule has been adopted, the next step is to ensure that meetings are publicly notified to enable the Community Board to meet.

 

Attachments

There are no attachments for this report.