Agenda of Finance Committee

Finance Committee – 02 August 2017 – Open Agenda

Agenda Items

1. Cato Road Accessway

*Type of Report:*	Legal
*Legal Reference:*	Public Works Act 1981
*Document ID:*	377905
*Reporting Officer/s & Unit:*	Debra Stewart, Team Leader Parks, Reserves, Sportsgrounds

1.1 Purpose of Report

To gain Council approval for a Licence to Occupy. The proposed Licence to Occupy relates to a piece of land which forms part of the Wharerangi Cemetery and a portion of Council’s Paper Road.

The purpose of the Licence is for a road to access a commercial childcare centre that is proposed on an adjoining site. The childcare centre is subject to Resource Consent which is currently being considered by Council’s Planning Team.

Officer’s Recommendation

That Council

a. Receive the report titled Cato Road Accessway.

b. Consider the information provided, including the issues and options outlined in this report

and either

c. Approve the Licence to Occupy for the part of the cemetery and paper road as shown in Attachment A

d. Decline the request for a Licence to Occupy for the part of the cemetery and paper road as shown in Attachment A.

CHAIRPERSON’S RECOMMENDATION

That the Council resolve that the officer’s recommendation be adopted.

1.2 Background Summary

A Resource Consent (RM170045) application has been received for a childcare centre at 49 Oak Road (being Lot 5 DP 19237 CT: HBL2/958) as shown below within the red border:

Figure 1 – Area outlined in red is the site to be occupied by the childcare centre

The application is for a childcare centre to be known as “The Den”. The childcare centre is reliant on access being provided partially across the paper road and partially across the adjoining Wharerangi Cemetery land (Refer Attachment A) being the land subject to this Licence to Occupy.

The Resource Consent application is currently being assessed by Council’s Planning and Regulatory Team. The application is on hold pending a decision on the Licence to Occupy.

Matters of reverse sensitivity and noise have been considered and will be addressed as part of the resource consent process. The Planning and Regulatory Team have confirmed that the application is being considered on a non-notified basis which means that affected persons and public notification are not required.

Following the lodgement of the Resource Consent with Council, numerous Council officers have in conjunction with the applicant, reviewed the options for providing the access solely within the paper road. There are a number of physical constraints including topography and the presence of overhead power lines which mean that this option is physically difficult and would be hard to achieve without considerable investment.

Councils Traffic and Safety Engineer has reviewed a revised design for the road and access through the Cemetery and Paper Road and has agreed that the design shown in Attachment A is appropriate.

1.3 Issues

Legal Considerations

The portion of land subject to the Licence to Occupy forms part of the Wharerangi Cemetery, which was transferred to the Napier Borough Council for the purpose of Cemetery in 1943.

Licences to occupy are not normally reported to Council for approval however this situation is considered unique given that part of the land required for the access is set aside as part of the cemetery.

Legal advice has been obtained which confirms that a Licence to Occupy can legally be issued for the stated purpose should Council consider this appropriate. Council is able to issue a Licence to Occupy for this area under the Public Works Act 1981.

Termination of Licence

Licences to Occupy are usually issued subject to a one-month termination notice. This means that Council may choose to terminate the Licence to Occupy should the land be required for another purpose giving the occupier one months notice. This also means that the applicant can terminate the Licence to Occupy giving one months notice.

The Licence to Occupy is not transferable and should the Licensees land or business be sold, then the Licence to Occupy would terminate.

The applicant has however requested a 12-month termination clause on the basis this is a more appropriate term given the commercial nature of the activity and would also allow Council more time to plan if the area was required for alternative use. The 12 month termination request can be legally added to the notice and is considered appropriate by Infrastructure Services team.

Roading, Access and Traffic Safety

The proposed access and road alignment are within the Cemetery and Council’s Paper Road. Councils Traffic and Safety Engineer has reviewed the proposal with the applicant and has agreed that design (shown in Attachment A) is appropriate; subject to conditions should Resource Consent be granted.

Public Pedestrian Access and Vehicle Access

In considering the approval of the Licence to Occupy, it is of upmost importance to ensure that public and pedestrian access through the Cemetery to Fryer Road is maintained and in fact enhanced.

The existing pedestrian access is well utilised by the local community. Discussions with the applicant have been undertaken to ensure the final design of the road and access takes into consideration pedestrian and public access. An alternative pedestrian access is shown in Attachment A.

Maintenance vehicle access is currently provided along the existing formed pathway and it is unlikely that this will be able to be provided over the proposed pedestrian pathway because the new path will weave through the trees. The applicant has agreed that a gate will be provided at the top end of the new vehicle access suitable for maintenance vehicle entry if required.

Resource Consent

The Resource Consent is currently on hold pending the decision from Council on the Licence to Occupy.

Resource Consents cannot be issued with conditions that are subject to third party approval and therefore it is necessary to have the Licence to Occupy approved prior to approving and issuing a Resource Consent.

Resource Consents can however be issued subject to conditions and should consent to the application be granted, conditions of consent have been recommended to the Planning Team which cover the following matters:

· requiring the applicant to provide pedestrian access adjacent to the road through the cemetery and linking to the existing access to Freyer Road.

· This is a particularly low lying part of the cemetery and drainage will be a key consideration when forming both the vehicle and pedestrian access.

· There are two large Swamp Cypress trees that are close to the proposed road and will need to be protected from both short term and long-term damage that may occur as a result of the road formation, use and maintenance.

1.4 Significance and Consultation

There has been considerable consultation with the applicant and the relevant teams of Council.

There has been no consultation with the wider community on the matter of the Licence to Occupy. A Licence to occupy can be issued for land held for a Public Work pursuant to Section 45 of the Public Works Act without the need for consultation. A Licence to occupy can also be issued for a paper road without consultation.

Consultation, affected parties and notification considerations under the Resource Management Act 1991 are separate to this process. Council’s Planning and Regulatory Team have confirmed that the application is being considered on a non-notified basis, which means that consultation, affected persons and public notification are not required.

Should the Council consider that consultation with the wider community (on matters pertaining to the Licence to Occupy for the area of Cemetery) was desirable (albeit not mandatory) this would need to be discussed and agreed to with the applicant. This would result in the applicant’s consent being placed on hold until such time as consultation was completed.

1.5 Implications

Financial

The applicant would be responsible for forming and maintaining the vehicle access. The applicant would be responsible for forming the new pedestrian access but Council would be responsible for the ongoing maintenance. This is consistent with the current situation.

The applicant would be charged an annual fee of $500.00 for the Licence to Occupy.

Social & Policy

N/A

Risk

No consultation has been undertaken with the community in respect of this matter and users of the areas may have concerns around changes to the amenity values as a result of the introduction of the vehicle access to this area.

1.6 Development of Options

Option 1

The area of cemetery over which the applicant requires a Licence to Occupy is highly unlikely to ever be used for the cemetery purposes. In the event that it is required for cemetery purposes the Licence to Occupy could be terminated giving 12 months notice.

It does however provide an important public access link between Cato Road and Fryer Road and has some passive recreation and amenity values. The applicant has agreed to providing a replacement pathway to ensure that the public access link between Cato Road and Fryer Road is maintained, this would be secured by way of a condition of resource consent.

Option 2

Cemeteries are sensitive sites. There has not been any wider community consultation undertaken on this matter. In addition the access through this area is an important link for the wider community and the users and the realignment of the path and the introduction of the vehicles to this area may be of concern to the users of this area.

1.7 Attachments

a Plan showing accessway ⇩

Finance Committee – 02 August 2017 – Open Agenda

2. Community Outcome, Activities and Activity Groups

*Type of Report:*	Legal and Operational
*Legal Reference:*	Local Government Act 2002
*Document ID:*	371697
*Reporting Officer/s & Unit:*	Elaine Cooper, Corporate Planner

2.1 Purpose of Report

In preparation for the 2018–2028 Long Term Plan (LTP) a number of Policies, Strategies and building blocks are required to be adopted by Council. This report outlines the first set of building blocks to define Council’s overall direction for this LTP: Council’s Mission, Vision, Community Outcomes, Activities and Activity Groups through which Council will deliver on its outcomes. The report also identifies the community outcome to which each activity primarily contributes.

These statements provide the strategic direction for the preparation of activity and asset management plans and in the preparation of required policies and strategies.

Officer’s Recommendation

a. That Council adopt the Mission, Vision, Community Outcomes and Council’s Activities and Activity Groups to be used for the preparation of the 2018 – 2028 LTP and supporting plans, policies and strategies.

MAYOR’S/CHAIRPERSON’S RECOMMENDATION

That the Council resolve that the officer’s recommendation be adopted.

2.2 Background Summary

Council’s Mission defines its purpose and the Vision describes its desired future position. The community outcomes are the outcomes through which Council aims to achieve the Mission and Vision and the activities are the means by which Council delivers on the Community Outcomes.

For disclosure in the LTP, activities are consolidated into Activity Groups. These statements and structures define how Council will meet the current and future needs of the community for good-quality local infrastructure, local public services, and performance of regulatory functions, as required in the LGA.

Council has reviewed the 2012-25 LTP Mission, Vision, Community Outcomes and Activities in a series of working seminars to ensure these encompass the desired strategic direction for the 2018-28 LTP.

The Mission Statement remains unchanged from the 2015-2025 LTP. The Vision, Community Outcomes and Council’s Activities and Activity Groups have been amended to reflect Council’s desired direction of Sustainability, Excellence and Vibrancy. The activities are aligned to the Council’s structure for service delivery.

It is important that the outcomes and activity structure are confirmed for Council management to continue with the next steps of preparation for the LTP. Asset and Activity Management Plans are being prepared based on this structure and these plans will determine the detailed requirements for service delivery included in the LTP.

2.3 Issues

No issues

2.4 Significance and Consultation

Not applicable

2.5 Implications

Financial

Not applicable

Social & Policy

Not applicable

Risk

Not applicable

2.6 Attachments

a Council Community Outcomes and Activities ⇩

Finance Committee – 02 August 2017 – Open Agenda

3. Civic and Library Building

*Type of Report:*	Legal and Operational
*Legal Reference:*	Building Act 2004
*Document ID:*	378350
*Reporting Officer/s & Unit:*	Adele Henderson, Director Corporate Services

3.1 Purpose of Report

To formally receive the Detailed Seismic Assessment (DSA) undertaken on the Civic and Library buildings and to approve the decanting of staff into alternative locations until such time a fit for purpose Council building is available.

Officer’s Recommendation

That Council:

a. Receive the Detailed Seismic Assessment report undertaken by Strata Group.

b. Approve the relocation of staff to alternative locations within Napier that meet the due diligence requirements.

c. Approve the capitalisation of improvement and lease costs associated with alternative premises to be funded from the building upgrade budget.

d. Seek any variance in funding through the Long Term Plan 2018-28.

e. Note that Council will undertake a Special Consultative Procedure on the proposed options for the Civic Building and potential Commercial development opportunities approximately October 2017. A separate consultation on Library options will be undertaken once the Library Strategy has been completed.

MAYOR’S/CHAIRPERSON’S RECOMMENDATION

That the Council resolve that the officer’s recommendation be adopted.

3.2 Background Summary

As part of the Long Term Plan 2015-25, Council signalled that the Civic Building in Hastings Street required an upgrade and that seismic work was required to strengthen the Council Chambers (based on the report that was completed 2011)

As part of the due diligence process for the proposed upgrade, a Detailed Seismic Assessment was commissioned. The Christchurch and Kaikoura earthquake has resulted in significant changes in building requirements and standards which resulted in changes to methodology to assess buildings.

Strata Group Consulting Engineers Limited (SGL) was engaged by Napier City

Council to undertake a Detailed Seismic Assessment of both buildings. Following this assessment the building seismic ratings were identified as follows:

a. Library Building, with Importance level 3 was identified at 15% New Building Standard (based on 1 in 1000 year event)

b. Civic Building, with Importance level 3 was identified at 10% New Building Standard (based on 1 in 1000 year event)

Under current legislation, building owners have seven years to consider the findings and then years to improve and strengthen the building. However as a territorial authority it is recommended that we take a leadership position on this which we hope will give our staff and our community a sense of comfort. We want our public to be able to continue to access democracy in a building that is safe for them to visit and for our staff to feel confident and secure while at work.

Until strengthening work is undertaken and given the seismic rating of the buildings, it is recommended that staff be decanted to alternative accommodation within Napier.

There are three sites being considered to decant Councils administration staff to. A site for a temporary Library Service centre (a substantially reduced service offering than the current library) is also being considered and due diligence work on the proposed site is currently being carried out. The Library will remain open while this due diligence work is being undertaken, however, Council may need to consider whether a timeframe is made for the closure of the library in the short term until suitable alternative arrangements are made.

Cost estimates are currently being compiled on strengthening and upgrades of both buildings and will be presented to council in the near future.

It is proposed that Consultation will be undertaken through a Special Consultative Procedure (approximately October 2017). The preferred option will be approved via the consultation for the Long Term Plan.

Council staff who are uncomfortable working from the current premises have been provided with alternative Council owned sites until the temporary office accommodation is established.

3.3 Issues

1. Civic Administration Site

Cost estimates prior to the receipt of the seismic information indicated that it would not be cost effective to upgrade the building. Quantity surveyor costs are currently being prepared to ascertain the full cost of the building including seismic works however, it is unlikely to be cost effective to upgrade and remedy.

Opportunities exist for alternative commercial development options for the site. A Business case on the Civic Building is currently being developed and will require a Special Consultative procedure for the options available.

2. Staff

The proposed scenario of housing staff in three locations is not ideal. The proposed fitouts of the sites will provide for collaborative areas so that staff can move between the buildings and continue to work across the business. Reducing the current footprint of staff from two buildings is likely to require new desks so that they can be accomodated in smaller work spaces. These costs were not planned as part of the upgrade project.

3. Library Building and services

The seismic report will mean that Napier main library will close and a temporary premise will be required until an alternative site is developed. Council officers are currently undertaking due diligence on temporary locations. A Library strategy underway to determine the future needs and requirements for a library. A business case will be developed including site options. A special consultative procedure will be undertaken with the public to determine a preferred option.

4. Council committee meetings

Council committee meetings will be held within the community including Napier Conference Centre, School Halls, and the Taradale Town Hall until such time a Council facility is available. Although this is not ideal, it will provide an opportunity for meetings to be within the community and to provide democracy differently in the short term.

3.4 Significance and Consultation

A Special Consultative procedure will be undertaken October 2017 on the Civic building and commercial opportunities options. Consultation on the Library options will be undertaken on completion of the Library Strategy .

3.5 Implications

Financial

Costs associated with the lease and fitout will be capitalised to the project. Once a full understanding of the seismic upgrade related costs and upgrade costs are known, any funding variance will be included in the Long Term Plan 2018-28

Social & Policy

N/A

Risk

That the current provision for funding allocated in the 2015-25 will be insufficient to meet the needs of the upgrade

3.6 Options

The options available to Council are as follows:

1. Close offices and library effective immediately – not a viable option as it would significantly impact upon service delivery, difficult in terms of IT needs and meeting customer service requirements

2. Negotiate leases for alternative locations that meet the following requirements and move staff as soon as practicable once fitouts, and building consent requirements are met:

i. Seismic Performance

ii. Fire Safety

iii. Toxins

iv. Accessibility

3.7 Development of Preferred Option

Option 2. Move staff as soon as practicable once leases, fitout and regulatory requirements are met. Legislation only requires the completion of seismic strengthening works to be undertaken within ten years. The proposed timeline is a low risk approach for a Territorial Authority. Any staff who are uncomfortable with working in the earthquake prone buildings have been provided with alternative Council sites from which to work from.

3.8 Attachments

Nil

Finance Committee – 02 August 2017 – Open Agenda

4. Remuneration of Elected Members

*Type of Report:*	Operational and Procedural
*Legal Reference:*	Local Government Act 2002
*Document ID:*	378660
*Reporting Officer/s & Unit:*	Adele Henderson, Director Corporate Services

4.1 Purpose of Report

To advise Council of the proposed remuneration levels to apply for the 2017/2018 year, as received from the Remuneration Authority, and to seek Council approval of these.

Officer’s Recommendation

a. That the remuneration levels proposed by the Remuneration Authority for the 2017/18 year be adopted.

b. That confirmation be sent to the Remuneration Authority that the adopted remuneration levels will be implemented from 1 July 2017.

CHAIRPERSON’S RECOMMENDATION

That the Council resolve that the officer’s recommendation be adopted.

4.2 Background Summary

The Remuneration Authority has set base remuneration (Local Government Act 2002, clause 7 of Schedule 7) for Councillor and community board remuneration, and provided for a remuneration increase of 1.7% which reflects the increase in the Labour Market Statistics across the board for the public sector in the year ending March 2017. All councils have had their confirmed structures and allocation of additional duties gazetted by the Authority and it is the intention of the Authority to automatically gazette and approve increases to without any requirement for submissions or information by councils.

The proposed annual remuneration levels for the period 1 July 2017 to 30 June 2018 year advised by the Authority are:

	Current	2017/18
Mayor	$123,872 pa	$125,978 pa
Deputy Mayor	$47,300 pa	$48,104 pa
Committee Chair	$45,101 pa	$45,868 pa
Deputy Committee Chair	$42,000 pa	$42,714 pa
Councillor	$39,270 pa	$39,938 pa

4.3 Significance and Consultation

Not applicable.

4.4 Implications

Financial

Not applicable.

Social & Policy

Not applicable.

Risk

Not applicable.

4.5 Attachments

Nil

Finance Committee – 02 August 2017 – Open Agenda

5. Electoral Systems for Elections

*Type of Report:*	Legal
*Legal Reference:*	Local Electoral Act 1991
*Document ID:*	377703
*Reporting Officer/s & Unit:*	Jane McLoughlin, Team Leader Governance

5.1 Purpose of Report

To outline the process for making any changes to the electoral system to be used for the 2019 elections.

Officer’s Recommendation

That Council

a. Receive the report titled Electoral Systems for Elections.

b. Note that if Council wishes to make a decision to change the electoral system to STV for the 2019 elections, a decision will need to be made by 12 September 2017.

c. Note that staff will undertake an education campaign and consultation process and report back to Council on the community’s views to inform Council’s decision-making. A report back will be provided at the Strategy and Infrastructure Committee meeting on 30 August for Council to make a decision on the electoral system.

MAYOR’S/CHAIRPERSON’S RECOMMENDATION

That the Council resolve that the officer’s recommendation be adopted.

5.2 Background Summary

In accordance with the Local Electoral Act 1991, Council has an opportunity to change the electoral system to be used in the 2019 election. An electoral system is the system used for voting at a local authority election.

A decision on which electoral systems to use is a precursor to a wider Representation Review that is required to be carried out by Napier City Council ahead of the 2019 local election.

There are two kinds of electoral systems available: First Past the Post (FPP) and Single Transferable Vote (STV) – Note: It is mandatory for elections for District Health Boards to use STV.

To start building interest and involvement in the wider Representation Review process, Napier City Council intends to undertake a joint media “education and feedback” campaign on the electoral system in conjunction with Hawke’s Bay Regional Council.

We are undertaking the education and feedback campaign for the following reasons:

· The decision of which electoral system is to be used is a decision which affects the whole community

· It is important that Council take all opportunities to consult with the community

· Council has not consulted on this decision since 2003 via a poll.

What is FPP and STV

FPP has traditionally been the only option for local authorities. In 2004, STV was introduced as an option as well. In 2003, Napier City Council held a poll on the electoral system and the result of the poll was to retain FPP. Since then, Council has resolved to continue with FPP each election. In the 2016 elections, eight councils used STV, the rest remained with FPP.

The First Past the Post electoral system will be used in the 2019 election unless a decision is made to change it to STV. This decision will hold for two general elections 2019 and 2022, including any bi-elections. There are three main ways the electoral system for the 2019 elections can be changed:

1) Council may resolve to change the electoral system to take effect for the next two elections (no later than 12 September 2017). Council must then issue a public notice by 19 September 2017 of the right for electors to demand an electoral system poll.

2) 5% of electors may demand a poll on a proposal that a specified electoral system be used at the election of a local authority before 21 February 2018. Any poll must be held no later than 21 May 2018.

3) Council may resolve to hold an electoral system poll – no later than 21 February 2018.

If Council retains FPP for the 2019 election the next opportunity to change the electoral system is prior to the 2022 election.

FPP and STV have different ways of casting a vote: counting votes, and announcing results. No electoral system is perfect, both FPP and STV have advantages and disadvantages. Outlined below are some of the key differences between the two systems and some of the main advantages and disadvantages as referenced by academics (Janine Hayward, Senior Lecturer, Department of Politics, University of Otago. For more detailed information refer to Attachments A and B on Choosing Electoral Systems in Local Government in New Zealand, and The Local Government Electoral Option.

How do the two electoral systems work?

	FPP	STV
Casting a vote	You place ticks equal to the number of vacancies next to the candidate(s) you wish to vote for. In multi-member wards/constituencies you cast one vote for each vacancy to be filled, as above. In single-member wards/constituencies you cast one vote.	You cast one single vote regardless of the number of vacancies. You cast this single vote by consecutively ‘ranking’ your preferred candidates beginning with your most preference candidate (‘1’) your next preferred candidates (‘2’) and so on. In multi-member wards/constituencies you cast a single vote by ranking as few or as many candidate as you wish, as above. In single-member wards/constituencies you case a single vote by ranking as few or as many candidates as you wish.
Counting votes	The candidate (s) with the most votes win(s). Each winning candidates is unlikely to have a majority of votes, just the largest number of votes cast.	The candidate(s) are elected by reaching the ‘quota’ (the number of votes required to be elected. (The quote is calculated using the total number of valid votes cast and the number of vacancies). Vote counting is carried out by computer. First preference votes (‘1s) are counted. Candidates who reach the quote are elected. The surplus votes for elected candidates are transferred according to voters’ second preferences. Candidates who reach the quote by including second preferences are elected. This process repeats until the required number of candidates is elected. In multi-member constituencies, despite voters casting only a single vote, a voter may influence the election of more than one representative (if their vote can be transferred to other candidates according to voters’ preferences).
Announcing results	FPP results can usually be announced soon after voting ends. Results are announced and published showing the total votes received by each candidate.	Because vote counting is multi-part, it is likely to take longer than for FPP election results. Results are announced and published showing elected candidates in the order they reached the quota and unsuccessful candidates in the reverse order they were excluded. All elected candidates will have the same share of the vote.

What are the advantages and disadvantages of each system?

Advantages

Disadvantages

FPP

Simplicity of process in ways votes are cast, counted and announced.

- The results of the election, including the generally ‘less representative’ nature of FPP councils.

- The obstacles to minority candidate election.

- The number of wasted votes.

- A ‘block’ of like-minded voters can determine the election of multiple candidates in multi-member wards/constituencies, without having a majority of the votes, thereby ‘over-representing’ themselves.

- ‘Tactical’ voting is possible; votes can be used with a view to preventing a candidate from wining in certain circumstances.

STV

- STV may achieve broader proportionality (in multi-member wards/constituencies)

- Majority outcomes in single-member elections

- More equitable minority representation

- A reduction in the number of wasted votes.

- It is virtually impossible to case a ‘tactical’ vote under STV. As a result, voters are encouraged to express their true preferences.

- Public less familiar with the system and possibly finding it hard to understand

- Matters of process such as the way votes are cast and counted (for example perceived complexity may discourage some voters, and some voters might not fill out their forms correctly)

- The information conveyed in election results.

5.3 Issues

SOLGM, Electoral Systems, Code of Good Practice, Electoral Systems paper highlights that STV is of most benefit when applied to a constituency of a minimum of 3-9 positions and the Local Government Commission Guidelines for local authorities undertaking representation reviews highlights that between 5-7 positions is where you see the most benefits with a minimum of 3 positions.

Napier’s current representation arrangements are six members elected at large and six members elected in wards. It is likely that the benefits of STV would be seen for the voting of ‘at large’ members, but less so for the wards given traditionally there have been limited number of candidates for wards (sometimes only one) and there is only a maximum of 1 or 2 candidates elected per ward.

The Representation Review which occurs in 2018 may have an unknown impact on any perceived benefits of changing the electoral system. For example, if Napier City moved from a mixed system of “at large” and “wards”, to a ward system, the number of positions available in the wards would increase to some degree, but it is unknown how many positions would be available in each ward and how many candidates there would be.

Conversely, a move to STV may encourage more candidates to apply as the STV system is reported as enabling more minority representation as the votes get distributed.

5.4 Significance and Consultation

As it is felt that the advantages and disadvantages of FPP and STV are not widely known, Communications and Marketing will deliver a small education campaign. There has been some discussion with other councils in the region whether this could be a joint campaign, and Hawke’s Bay Regional Council have agreed to undertake a joint campaign.

Specifically, the following consultation will be undertaken:

· Media release announcing that we are getting ready to take a paper to our Councils and we need the public to have their say.

· A Talk To Us page on the Napier City Council website educating community on the two possible systems and what they mean – the public will be able to nominate which they choose.

· 2 x half or quarter page ads in Napier Mail –9 August/16 August.

· Various social media (Facebook) engagement across the two weeks.

Feedback from these channels will be collated and provided to Councillors to make a decision.

5.5 Implications

Financial

A change to STV would incur a slightly higher election cost (approximately $5,000) to Council due to the complexity of vote counting.

There is currently no budget allocation for a poll. A poll is likely to cost up to $100,000. A cost effective way to hold a poll is to include a question during the vote for 2019 election.

Social & Policy

N/A

Risk

N/A

5.6 Attachments

a Choosing Electoral Systems in Local Government in New Zealand ⇩

b The Local Government Electoral Option 2018 ⇩

Finance Committee – 02 August 2017 – Open Agenda

6. New Year's Eve Event - Funding Applications

*Type of Report:*	Operational
*Legal Reference:*	N/A
*Document ID:*	376879
*Reporting Officer/s & Unit:*	Belinda McLeod, Community Funding Advisor

6.1 Purpose of Report

To seek approval to apply for external funding to support the New Year’s Eve event for 2017-18.

Officer’s Recommendation

a. That the Council apply to external funders as outlined in Table a.

b. That a DECISION OF COUNCIL is required urgently <enter reason for urgency> . This will require the following resolution to be passed before the decision of Council is taken:

That, in terms of Section 82 (3) of the Local Government Act 2002, that the principles set out in that section have been observed in such manner that the Napier City Council considers, in its discretion, is appropriate to make decisions on the recommendation.

CHAIRPERSON’S RECOMMENDATION

That the Officer’s recommendation to apply for external funding as stated in the Table a, is approved.

6.2 Background Summary

The New Year’s Eve event was initiated, in its current form, in 2000 by the Millennium Committee. The event is held at the Soundshell, and is organised by PM Event Management, a preferred provider. This family event is well attended by a range of people in the community, drawing around 23,000 people each year. The event draws a multi-generational crowd, and is promoted as alcohol and smoke free, so behavioural issues are minimal.

6.3 Issues

No Issues

6.4 Significance and Consultation

N/A

6.5 Implications

Financial

Council provides $40,000 for the event and seeks external funding for the remainder. In recent years due to the decline of funding available from external sources, costs have had to be cut back to enable to event to go ahead. The total cost of the event is between $72,000 and $76,000 each year.

Social & Policy

By offering an alcohol and smoke free events to the community and its young people, the New Year’s Eve event contributes to the Council’s Joint Alcohol Strategy, Smoke Free Policy and Youth Policy. It also contributes to the vibrancy of the city utilising an iconic community facility.

Risk

In the past, Community Development Funding has funded a small shortfall. However, should a significant shortfall occur Council reserves the right to cancel the event. Fees of $12,500 are not recoverable if this occurs. Grant applications are made early in order to secure funding well ahead of time. Multiple applications are made to funders if appropriate.

6.6 Options

The options available to Council are as follows:

1. Scale Back –do not apply for external funding, retain Council contribution of $40,000, and reduce the scope of the event.

2. Increase Council contribution - to enable to event to go ahead in its current form, with no external funding.

3. Status Quo (preferred option) - apply for external funding, to top up Council’s contribution to enable the event to go ahead in its current form.

6.7 Development of Preferred Option

Continue Council support and apply for external funding to enable the event to go ahead in its current form. Apply for external funding as follows in Table a.

Table a

External Funder	Apply for funding up to:
Pub Charity Ltd	23,000
Eastern & Central Community Trust	14,000
Youthtown	6,000
North and South Trust	4,000
First Sovereign Trust	4,000
Infinity Foundation	10,000
Grassroots Trust	9,000
Total	$70,000

6.8 Attachments

Nil

Finance Committee – 02 August 2017 – Open Agenda

Apologies

Nil

CONFLICTS OF INTEREST

Nil

Public forum

Nil

Announcements by the Mayor

A short seminar will be held following this meeting.

Announcements by the Chairperson

Nil

Announcements by the Management

Nil

Confirmation of Minutes

Councillors Brosnan / Wright

That the Minutes of the meeting held on 3 May 2017 were taken as a true and accurate record of the meeting.

CARRIED

Notification and Justification of Matters of Extraordinary Business

(Strictly for information and/or referral purposes only).

Agenda Items

1. Funding Applications

*Type of Report:*	Operational
*Legal Reference:*	Local Government Act 2002
*Document ID:*	351363
*Reporting Officer/s & Unit:*	Belinda McLeod, Community Funding Advisor

1.1 Purpose of Report

To seek approval to apply for external funding to purchase two all-terrain wheelchairs for community use on the foreshore and inline hockey rink boards for Bay Skate.

At the Meeting

There was no discussion on this item.

Committee's Recommendation

Councillors Wright / Brosnan

That Council:

a. Approve that applications for external funding are made to purchase of two all-terrain wheelchairs.

b. Approve that applications for external funding are made to purchase inline hockey rink boards for Bay Skate.

CARRIED

2. Fees & Charges 2017/18

*Type of Report:*	Operational
*Legal Reference:*	Local Government Act 2002
*Reporting Officer/s & Unit:*	Caroline Thomson, Chief Financial Officer

2.1 Purpose of Report

To approve Fees and Charges for the year commencing 1 July 2017.

At the Meeting

In response to questions from Councillors, it was clarified that:

· On page 58 of the agenda, the MTG Film Admission “concession” is for senior citizens and community services card holders; this will be specified in the fees and charges schedule.

It was noted that there is some perception in the community that our facilities are quite expensive for community groups to hire and people are often surprised when they see the actual costs which much lower than they had expected. It was suggested that better communication of pricing be advertised.

ACTION

Officers to advise if the Meanee Quay “living aboard” charge is being monitored, along with any wastewater discharges from the boats.

Committee's Recommendation

Councillors Taylor / Brosnan

That Council

b. Resolve that a DECISION OF COUNCIL is required urgently to allow for notification of the Schedule in advance of it becoming effective on 1 July 2017.

CARRIED

Committee's Recommendation

Councillors Wright / McGrath

c. This will require the following resolution to be passed before the decision of Council is taken: That, in terms of Section 82 (3) of the Local Government Act 2002. That the principles set out in that section have been observed in such manner that the Napier City Council considers, in its discretion, is appropriate to make decisions on the recommendation.

CARRIED

Council Resolution

Councillors Price / Tapine

That Council

a. Adopt the Schedule of Fees and Charges for 2017/18.

Note that once the Schedule of Fees and Charges for 2017/18 has been adopted, it will form part of the supporting information for the 2017/18 Annual Plan.

CARRIED

3. Section 17A Review Work Programme Plan

*Type of Report:*	Legal and Operational
*Legal Reference:*	Local Government Act 2002
*Document ID:*	356245
*Reporting Officer/s & Unit:*	Rachael Horton, Manager Business Excellence & Transformation

3.1 Purpose of Report

The purpose of this paper is to provide Council with an update on the progress of the Local Government Act (2002) Section 17A service delivery reviews

At the Meeting

In response to questions from Councillors, it was clarified that:

· Section 17a reviews are focussed on current services.

· The priority level of reviews incorporates the cost of the activity and any proposed changes to the levels of service.

· Where possible, opportunities to work with other local Councils on reviews will be identified via HBLASS – for example a review of transportation may be undertaken jointly with Hastings District Council.

· The review of security has yet to be scoped but is likely to include items such as uplift of money, alarm monitoring and so on. It would not include community security as this is not a current activity.

· The intention is to take a wider view on the reviews, meeting our legislative requirements as well as aligning our activities with our strategic goals.

Committee's Recommendation

Councillors Hague / White

That Council

a. Note that Local Government Act Section (2002) 17A of the Local Government Act places an obligation on local authorities to routinely review their services for cost effectiveness.

b. Note the timeframe for the reviews Napier City Council will undertake.

c. Endorse the proposed schedule of Section 17A reviews.

CARRIED

4. HB LASS Limited - Statement of Intent

*Type of Report:*	Operational and Procedural
*Legal Reference:*	Local Government Act 2002
*Reporting Officer/s & Unit:*	Adele Henderson, Director Corporate Services

41.1 Purpose of Report

To receive the Final Statement of Intent 2017/18 for Hawke’s Bay Local Authority Shared Services Limited (HB LASS Ltd) to Council as part of the reporting requirements for Council-Controlled Organisations.

At the Meeting

There was no discussion on this item.

Committee's Recommendation

Mayor Dalton / Councillor White

That Council:

a. Receive the Final approved Statement of Intent for 2017/18 for HB LASS Limited (HB LASS Ltd).

CARRIED

5. HB Museums Trust Statement of Intent 2017 - 19

*Type of Report:*	Legal
*Legal Reference:*	Local Government Act 2002
*Document ID:*	358905
*Reporting Officer/s & Unit:*	Adele Henderson, Director Corporate Services

5.1 Purpose of Report

To receive the final Statement of Intent 2017 – 19 for the Hawke’s Bay Museums Trust to Council required for reporting requirements for Council-Controlled Organisations.

At the Meeting

There were no major changes made to the Statement of Intent from the previous but was rather a ‘fine tuning’ of the document.

Committee's Recommendation

Councillors White / Wright

That Council:

Receive the final Hawke’s Bay Museums Trust Statement of Intent 2017 – 19.

CARRIED

6. Hawke's Bay Airport Limited - Statement of Intent

*Type of Report:*	Operational and Procedural
*Legal Reference:*	Local Government Act 2002
*Reporting Officer/s & Unit:*	Adele Henderson, Director Corporate Services

61.1 Purpose of Report

To receive the final Statement of Intent 2017/18 for Hawke’s Bay Airport Limited (HBAL) to Council required for reporting requirements for Council-Controlled Organisations.

At the Meeting

There was no discussion on this item.

Committee's Recommendation

Mayor Dalton / Councillor Taylor

That Council:

a. Receive the final Statement of Intent for 2017/18 for Hawke’s Bay Airport Limited (HBAL).

CARRIED

PUBLIC EXCLUDED ITEMS

Councillors Hague / Wright

That the public be excluded from the following parts of the proceedings of this meeting, namely:

1. Hawke's Bay Airport Limited - Report to Shareholders

2. Bad Debt Write Off

CARRIED

The general subject of each matter to be considered while the public was excluded, the reasons for passing this resolution in relation to each matter, and the specific grounds under Section 48(1) of the Local Government Official Information and Meetings Act 1987 for the passing of this resolution were as follows:

GENERAL SUBJECT OF

EACH MATTER TO BE CONSIDERED

REASON FOR PASSING THIS RESOLUTION IN RELATION TO EACH MATTER

GROUND(S) UNDER SECTION 48(1) TO THE PASSING OF THIS RESOLUTION

1. Hawke's Bay Airport Limited - Report to Shareholders

7(2)(h) Enable the local authority to carry out, without prejudice or disadvantage, commercial activities

48(1)A That the public conduct of the whole or the relevant part of the proceedings of the meeting would be likely to result in the disclosure of information for which good reason for withholding would exist:
(i) Where the local authority is named or specified in Schedule 1 of this Act, under Section 6 or 7 (except 7(2)(f)(i)) of the Local Government Official Information and Meetings Act 1987.

2. Bad Debt Write Off

7(2)(a) Protect the privacy of natural persons, including that of a deceased person

7(2)(h) Enable the local authority to carry out, without prejudice or disadvantage, commercial activities

The meeting moved into committee at 4.18pm.

APPROVED AND ADOPTED AS A TRUE AND ACCURATE RECORD OF THE

MEETING

CHAIRPERSON:_____________________________

DATE OF APPROVAL:____________________

Council Members	Councillor Wise (In the Chair), Mayor, Brosnan, Dallimore, Hague, Jeffery, McGrath, Price, Tapine, Taylor, White and Wright
Officer Responsible	Director Corporate Services, Adele Henderson
Administrator	Governance Team

Meeting Date:	Wednesday 14 June 2017
Time:	4.01pm
Venue:	Main Committee Room 3rd floor Civic Building 231 Hastings Street Napier

Present:	Councillor Wise (In the Chair), Mayor Dalton, Councillors Boag, Brosnan, Dallimore, Hague, Jeffery, Mcgrath, Price, Tapine, Taylor, White, Wise and Wright
In Attendance:	Director Corporate Services, Director City Infrastructure, Chief Financial Officer, Manager Business Transformation and Excellence, Corporate Planner
Administration:	Governance Team