Agenda of Sustainable Napier Committee - Thursday, 25 March 2021

Sustainable Napier Committee - 25 March 2021 - Open Agenda Item 2

2. Chlorine Free Review

Type of Report:	Information
Legal Reference:	Enter Legal Reference
Document ID:	1293086
Reporting Officer/s & Unit:	Catherine Bayly, Manager Asset Strategy

2.1 Purpose of Report

The purpose of this report is to introduce the report - Chlorine-Free Drinking Water Review – Options for the Provision of Safe Drinking Water to Council and to seek approval of the proposed way forward around engaging with the community.

Officer’s Recommendation

The Sustainable Napier Committee:

a. Endorse this Chlorine free review paper and the Final Draft Chlorine Free Drinking Water Review

b. Approve the proposed high level Communications and Engagement Plan for the Chlorine Free Review

2.2 Background Summary

Rationale for the Review

In 2017 Council experienced a number of E. coli readings in the water network. Given the post Havelock North environment and a national push regarding water safety, Council agreed with the Drinking Water assessor to add emergency chlorination to the Water Supply network.

Napier, like all water networks, has experienced dirty water in the past but the addition of chlorine exacerbated this situation given the water chemistry of some of our bores and the way that the network is designed. Napier has levels of manganese and iron in its source water that can cause dirty water.

The addition of chlorine and ongoing issues with dirty water has resulted in a local movement towards removing chlorine from Napier’s supply. This has been evident in the strong support for the two de-chlorination stations installed in 2019 and 2020.

In December 2019, Council resolved to proceed with a review to consider the options for the future of Napier’s water supply, comparing the option of an enhanced system with chlorine disinfection compared with a safe chlorine free alternative. Council decided prior to the procurement process that the consultant used for the review would be chosen by Council.

Council also confirmed around this time that Water was Council’s number one priority.

Required Review Outcomes

The Chlorine Free Review project’s main outcome was to outline the following two options:

1. Maintaining our current planned service delivery, with residual Chlorine disinfection as our main safety barrier, and implementing a safe supply that aligns with the 2018 Water Safety Plan framework and;

2. Develop the water network to a standard where residual disinfection can be removed with no negative impact on water quality or public safety and which meets regulatory requirements

In developing the business case the consultant was required to deliver the following requirements:

The business case will include the technical considerations of both options, the risks, benefits and likely costs to deliver each option. These options will then form the basis of consultation with our community on the way forward for our drinking water supply.

Engagement with key stakeholders will be used to inform the review and this includes the Ministry of Health (MoH) in their current role as a water regulator. This reflects the need for the water regulator to be supportive of any proposed alternative to residual disinfection.

The output of the review will be two fully costed options for the delivery of safe water supplies in Napier. The two options will be based around the requirements of the new Water Safety Plan Framework and the chlorine free option will be developed with guidance from the Ministry of Health to ensure that any future chlorine free option would be acceptable to them.

The recommended chlorine free solution will be based on an assessment of a range of inputs such as the quality of the ground water source, network design and operation, water quality issues, demand etc. and proposing a solution that represents the best fit in providing a safe chlorine free water supply that will work within the Napier water supply environment. The consultant will provide details of alternative options that have been considered but were not preferred and the reasons for this.

The business case will determine the quantum of work and the funding that will be required to develop the two options and clarity around future staffing requirements and operational costs for both options. It is anticipated that the costs will be developed at a “comparative” level between the two options. The review does not include any system or treatment design, therefore it is not possible for the costs to be exact but they will provide sufficient detail to understand the quantum of work and the comparative costs between the options.

The business case will be subject to a peer review of the financial modelling and of the technical solutions to confirm that the scope is adequate and that risks are appropriately identified and addressed with each option.

Procurement Process

Council wanted to enable a wide range of businesses to be able to submit to undertake the review. This lead to a robust two Stage Procurement Process, which included a Registration of Interest (ROI) followed by a shortlisted subgroup providing a proposal to Council.

The tender documents were downloaded by around13 different parties and 7 different groups provided information on their team and relevant experience in the first ROI stage.

To judge the submissions, a tender evaluation team was established and Councilor Nigel Simpson was brought into the process as an observer. In addition, a probity advisor, McHale Group were involved in the process and they provided guidance and commentary throughout.

Following the tender panel review of submissions, four consultants were shortlisted to proceed to the second stage to provide a cost and their methodology for the review. This occurred at the same time as the first Covid-19 lockdown and all consultants requested a time extension. This delayed the tender process by around a month.

The tender evaluation panel agreed to put forward Prattle Delatorre Partners to complete the review due to the international team put forward, the collective experience in water quality management and the relationship with Waternet in the Netherlands. This recommendation was put forward to Council on the 20^th May 2020 at an extraordinary Meeting. Council approved the recommendation.

Review Process

The review started in June 2020 and began with site visits to key assets in the network, meetings with three waters and operations staff to understand the network, the risks and how it is operated. A review of the Water Master Plan and LTP was undertaken as well, to understand the direction that Council is heading in. A detailed assessment of the source water, the source water risks and the details around the condition and operation of the network are provided in the body of the report. This was also compared with the process used by Waternet and other chlorine free systems around the world including the Netherlands, Denmark, Germany, Austria, Switzerland as well as Canada and the United States to understand the differences between Napier’s supply and well-established, safe chlorine free systems.

The team have established that the following attributes are in common across chlorine-free systems;

· Low levels of non-revenue water (NRW)

· Proactive mains replacement (in older pipe networks) programme (>3% of total pipe length per annum)

· Proactive or SMART network operation and maintenance

· Active pressure management

· Active NRW management

· District Metering Areas (DMAs)

· Universal household water metering

· Universal backflow prevention

· Enhanced water hygiene procedures

· Source water protection

· Effective water treatment

· Biologically stable water

· Enhanced water quality standards - chemical and microbiological

· Enhanced water quality monitoring programme

· Trained and motivated workforce

· Clear public health policies and procedures

· Advanced asset management practices

In addition to understanding chlorine free supplies overseas, the team worked closely with a number of stakeholders to understand the industry context. The main stakeholders included the Ministry of Health, HBDHB Public Health unit, senior government officials related to the set of the new regulator, The Guardians of the Aquifer.

Following the discovery phase, the Pattle Delamore team worked with colleagues across four countries to determine the evaluation criteria under which various options and chlorine free options could be compared. Thirteen criteria were chosen which fell into four main categories:

- Financial – Capex and Opex

- Technical – construction complexity, operational complexity, water security, time to implement

- Health and Environment – health and safety, public health risks, environmental risks

- Social and Political – cultural acceptance, legal and compliance risk, public acceptability, Dirty Water Customer Complaints (DWCC)

On Thursday 9th July 2020 a workshop was held with Councillors to go through the chosen criteria and to discuss the 11 options that had been put forward. Following the workshop, Council instructed the team to consider a 12^th option – Pre 2017 with new service reservoirs, acoustic sensors and enhanced water hygiene practices. They also directed the team to engage an external peer reviewer to review the final document and to further engage with previous council staff.

Once all of the options had been assessed against the assessment criteria a short list of four top scoring options was developed. These options included:

1. Dutch model (Chlorine Free)

2. Status Quo plus (Chlorine based)

3. Status Quo including Manganese removal and Ultra Violet treatment (Chlorine based)

4. Status Quo plus with optional point of use.(Chlorine Free Optional)

The last option involved filters on all houses including granular activated carbon filters and ultra violet systems treating the full flow to a property. The staffing requirements to service all of the 23,000 or so devices and monitoring is significant and the annual opex cost could equate to around $12m. The cost of this (around $521 per property per year) would be added onto the water bill for each property. The legal responsibility for the water quality of the point of use system is not clear under the DWSNZ and therefore this option was not deemed possible.

It was recognised that The Status Quo Plus option – which is essentially implementing Council’s Water Master Plan and addressing leakage, improving asset management practices and having a resilient network with Chlorine, forms the basis of a robust chlorine free network. Therefore the review team moved forward with a phased approach, moving from the current position to Status Quo Plus then on to Chlorine Free. This way there would be a hold point prior to deciding to go Chlorine Free whilst ensuring that work undertaken in the short to medium term supports the longer term vision and is not redundant.

Peer Review

The peer review team consisted of a collaboration between GHD NZ, Royal Haskoning (Netherlands) and the Principal Water Quality Manger from Evides Water Company (Netherlands).

The findings of the peer review are summarised below:

Summary of our Peer review assessment

- Overall the team were in agreement with the direction taken by PDP and the conclusions made regarding achieving a chlorine free water supply

- PDP provided a thorough assessment of the options, risks, and a possible pathway forward to becoming chlorine free

- The report identified the risks and ability to gain approval from Taumata Arowai

- It is clear that being chlorine free is possible, but is a long term goal that requires a shift in mindset of all those involved in the water supply system

Our Initial Peer review assessment

A collaborative approach between the GHD team and the Review team allowed early input and discussions for the peer review assessment. Points raised by the GHD team that were discussed and then addressed in subsequent revisions included:

- Clarity was needed on how the options were presented and what is involved

- Some concern that the water quality data used was based on sampling from both online and offline bores

- Discussion on understanding bore security and current drawdown effects seen in NCC bores

- The Dutch decision to go chlorine free is on the basis of biologically stable water. No comment was made on biological stability of Napier water

- Dutch networks have branched networks whereas NZ networks are often looped, partly due to firefighting requirements

- The effects of earthquakes and resilience of materials

- Initially there was not enough detail in the initial report for GHD to review the cost data and the pathway to chlorine free was not communicated well enough to understand the key decision points within the strategy.

Final Peer Review comments

- more work is required to confirm the reason for the occasional poor water quality results from the bores before labelling bores as insecure

- there is a risk that the iron and manganese problem may partially continue despite treatment in the short term as problems are partially historic

- Current water losses are high, but very uncertain

- > 30% non-revenue water is likely overstated

- Improvements are needed in metering to know what real losses are and therefore the renewal investment level needed

- A leakage target of 5% or perhaps a higher target could be used if online network loss monitoring is implemented

- A pipe renewals programme of 3% per year is ambitious and may not be achievable or required

- A greater understanding of leakage and network water quality risk is required as a more targeted approach is needed

- Regarding cost of renewals and water quality measures, generally we are in agreement with PDP although we believe more understanding of leakage and usage and risk potential for a poor water quality event is needed before a renewal programme level of expenditure is possible.

2.3 Issues

The main issues relating to the review include:

- The Water Services Bill directs that all supplies have disinfectant residuals (ie chlorine) and that there is an exemption pathway to provide a water supply without chlorine, however this pathway has not been defined.

- The cost estimates are +/- 50% as the reviewers were not asked to design or cost specific solutions, this is a basis on which further work could be undertaken.

- Risks have been identified regarding potential contamination pathways impacting our source water and more investigation is required to better understand these risks.

- Unaccounted for Water is up around 30% and leakage levels are expected to be higher than originally thought. Additional leakage detection work (already underway) would be required and the set-up of District Monitored Areas (DMAs) or mini networks would be required to assist with leakage reduction and therefore reducing the risk of contaminants entering the network. This understanding will also assist with water conservation and understanding the extent of pipe renewals required to get to a low level of leakage.

- The reviewers met with many stakeholders including the Ministry of Health, public health experts, Bill Bayfield (CEO of the new water regulator Taumata Arowai), previous Council staff, the Drinking Water Assessor, local drilling experts, The Guardians of the Aquifer, Elected members and Council staff.

- The resultant outcome of the stakeholder engagement indicated that there is no quick-fix that would enable Napier to return to a chorine free water supply in the short term. The current changing regulatory environment is only increasing the “height of the bar” for water suppliers to legally operate systems free of chlorine.

- The exemption pathway is not clear and it looks like this won’t be set by Taumata Arowai, rather a supplier will need to put forward a proposal. However, senior government officials involved in the industry reform have indicated that they would expect a stringent system such as that used in the Netherlands and Denmark including universal metering and very low levels of leakage.

- The ability of the Council and the industry to implement the full Status Quo Plus and Chlorine Free network in the example timeframe of 22 years is questionable. There are also affordability issues around delivery over this short timeframe.

2.4 Significance and Engagement

The Chlorine Free Drinking Water Review Report will be discussed in the Consultation Document and the Long Term Plan so that they community can have their say.

The attached paper outlines the communications and engagement plan suggested for the chlorine free review. The team proposes to directly respond to those stakeholders that have already been engaged. For the community of Napier a mixture of facebook live, a community meeting, a technical session with Q&A with the review team and various print media and facebook posts are proposed.

2.5 Implications

Financial

The Review team looked at the two main scenarios, following moving from the long list of options to the most practical options and plotted these over a 20 year time period to be able to compare the costs of the options against each other. This is shown in Table One. The Status Quo scenario shown is essentially the Water Master Plan projects that have been itemised in the Long Term Plan and delivered over a 20 year period. These figures are not inflated.

The Status Quo option will cost approximately $180 million

The Status Quo Plus option will cost approximately $220million

The chlorine Free option will cost approximately $300 million

Table One: Outline of the 20 Year cost Scenarios

Table 25: Outline of three 20-year cost scenarios
STATUS QUO	STATUS QUO PLUS	ROAD TO CHLORINE-FREE
Investment as per the NCC Long Term Plan (and WS Network Master Plan) which is cash constrained with slow incremental improvement in renewals.	Investment as per the NCC long-term plan (and WS Network Master Plan), plus aggressively replace cast iron pipe by 2030, then ongoing investment at 2% of network per annum.	Total investment as per the NCC long-term plan (and WS Network Master Plan) but accelerated timing, plus aggressively replace cast iron pipe by 2030, then ongoing aggressive investment at 3.5% of network per annum.
Maintain AM practices at the “core” level.	Lift AM practices to “intermediate” level by 2030.	Lift AM practices to “advanced” (ISO 55000) by 2030.
New staff (three) limited to operation of new bore fields and treatment plant.	New staff (three ops and three AM).	New staff (three ops and four AM).
Acoustic leak detection of entire network on a 3-year cycle as per current levels, establish DMAs, universal metering, backflow prevention, upgrade SCADA.	Reduce leakage to 22% by 2030 and 18% by 2040 through cast iron mains replacement, aggressive leak detection, formation of DMAs, enhanced backflow prevention.	Reduce leakage to 15% by 2030 and 10% by 2040 through SMART water network / automation, leak detection, DMAs, universal metering, and backflow prevention.
This level of investment is unlikely to ever achieve the level of network integrity required to go chlorine-free as pipeline replacement rates are initially too low to get on top of deterioration.	Unlikely to get regulatory approval to go to chlorine-free but deterioration of network under control.	Likely to be in a strong position to get approval from Taumata Arowai to operate chlorine-free.
The total cost of this scenario is estimated at $178 million over 20 years.	The total cost of this scenario is $216 million over 20 years.	The total cost of this scenario is $295 Million over 20 years.

Social & Policy

N/A

Risk

- The ability for the Council and Industry to deliver the required work in a timely manner

- The community’s ability to afford to pay for a status quo plus and/or chlorine free system and over what time frame.

- The exemption pathway is unclear and although options have been chosen that have the greatest chance of success, this is not guaranteed.

- The exposure drafts for the new Drinking Water Standards NZ may force Council to deliver temporary measures e.g. treatment, to meet compliance which may defer the long term development of the network.

2.6 Options

The options available to Council are as follows:

a. Status Quo – Water Masterplan, basic level of leak detection, renewal rates below required, basic leak detection, core level of asset management practice

b. Status Quo Plus – Water master plan, leakage reduction to reasonable level, mini networks and backflow detection, Intermediate level of asset management

c. Chlorine Free – All of the above plus aggressive leak reduction targets, sophisticated monitoring of water quality and network operation, advance level of asset management, universal metering, universal backflow, smart network.

2.7 Development of Preferred Option

The report has not identified a preferred option, rather has outlined the costs of each and shown that the work needed in the first LTP would be a stepping stone to moving towards chlorine free and that work undertaken to achieve status quo plus would not be redundant if Napier were to continue with the next stage of the process and go chlorine free.

Council is already on this pathway and the question for Council and the community is how far and how fast to proceed on the journey.

2.8 Attachments

a High Level Engagement Plan – Chlorine Free Review ⇩

b Chlorine-Free Drinking Water Review – Options for the Provision of Safe Drinking Water to Napier City (Under Separate Cover). ⇨ Also at the following website link: https://www.napier.govt.nz/napier/projects/chlorine-free-review/

Sustainable Napier Committee - 25 March 2021 - Open Agenda Item 3

3. Projects Update

Type of Report:	Information
Legal Reference:	N/A
Document ID:	1294960
Reporting Officer/s & Unit:	James Mear, Manager Design and Projects

3.1 Purpose of Report

To provide Council with information on Capital Programme Delivery.

Officer’s Recommendation

The Sustainable Napier Committee:

a. Receive this report.

3.2 Background Summary

The successful delivery of projects is an important part of Council Success. Council projects and programmes of work consist of multiple phases and often span multiple years, starting with the development of strategies and often concluding with construction works. A large portion of projects are not initially capital funded projects however such work may eventually lead to capital projects.

The successful delivery of projects has an important part to play to enable democratic local decision-making which intern promote social, economic, environmental, and cultural well-beings for the Napier community now and for the future.

NCC has implemented an enterprise workflow system called Sycle, used in parallel with financial reporting and document management, to report on project management requirements. Sycle connects community outcomes, strategic goals, strategies and actions with projects; and is also used to manage individual and organisational performance metrics, and strategic and operational risks. Council are seeking to integrate the functionality of Sycle with the Long Term Plan cycle to improve the way in which needs/problems are identified and considered in line with the Long Term Plan and Annual plan processes.

Council’s Project Management Framework has been developed within Sycle to provide for the management and reporting of Council Projects. This initiative is still in development phase, with training of council officers on both the project management framework and its use within Sycle required to enable Council wide use of Sycle.

Further uptake and use of Sycle will improve the quality of information within Sycle and the ability to report on project delivery. This report is consistent with the first iteration of the Project Delivery Progress Report and will be improved over time.

Project Status Summary:

Initiate

Programme

Plan & Execute

Transfer & Close

Total projects

All of Council

539

620

The large number of projects in the Initiate phase include projects identified as part of our long term planning. The progression these projects by phase may occur over a longer period of time and may be dependent on other factors such as funding availability.

The Infrastructure Directorate accounts for 70% of the quantity and value of the total capital programme and is summarised in the following table:

Infrastructure Directorate	Initiate	Programme	Plan & Execute	Transfer & Close	Totals by Phase
3 Waters	290	2	15	6	313
Building Assets	4	0	2	0	6
Parklands	4	1	3	0	8
Reserves	50	2	6	5	63
Transportation	24	4	17	3	48
Total Number of Projects					438

Please refer to Appendix A for a status report on pre-selected projects. Projects have been identified for either value, visibility or political awareness. Projects in this summary are monitored for performance.

3.3 Issues

Adopting a Council wide project based reporting approach is new to Council and will take time to develop and embed. Council have further work to do to inform and train people involved in project delivery across the organisation.

While we are developing our project based reporting the actual spend for this annual plan against baseline budget for all of council is tracking behind baseline. Council baseline budget spend for the 20/21 period is circa $99.1M. The annual plan spend to date at February 2021 month end was circa $28.8M.

3.4 Significance and Engagement

N/A

3.5 Implications

Financial

The financial performance of individual projects does not form part of this report.

Social & Policy

N/A

Risk

Significant project risks are reported to Council separately via the Audit and Risk Committee.

3.6 Options

N/A

3.7 Development of Preferred Option

N/A

3.8 Attachments

a 2021 March Infrastructure Reporting Status Summary ⇩

PROJECT NAME	ASSET DISCLIPINE	PROJECT UPDATE	PROJECT PHASE	% OF PROJECT PHASE	FINANCIALS	SCHEDULE	REASON FOR RED OR AMBER STATUS
SCADA & Telemetry Upgrade	3 Waters	The progress has not been clearly visible to the wider Council as the 4 financial line items do not reflect the complexity of this project and its tasks. This programme looks to provide this transparency.	Plan & Execute	37%			Documenting changes in schedule for project
National Aquarium of NZ - Chiller Replacement	Aquarium	Walk over with Tech Mechanical 22.12.2020. Suppliers carrying out some remedial works mid 2021	Contract Maintenance Period	84%
Conference Centre Odour Hinuera	City Services	Practical completion issued Oct 2020	Contract Maintenance Period	90%			In Contract Maintenance Period
Municipal Theatre BMS Replacement	Community Services	Physical works targeting completion March 21, however some comisions works may be completed in April	Construction	75%			March date includes AOM Manuals.
Kennedy Park Ablutions Block	Kennedy Park	Complex is open to the public. Working through domestic hot water issue with Contractor	Contract Maintenance Period	89%			Domestic hot water not to standard. Working with contractor to correct
MTG Sprinkler System	MTG	Facility closed (23-12-2020) by rec to CE, Scope now covers full rehanging of sprinkler system	Construction	50%			Closure of building required due to H&S Risks. Staged opening of services is planned as various parts of the building are made safe.
Ocean Spa Upgrades (Sauna and Steam Room)	Parade Pools	Working towards 90% procurement. Aiming to tender in the first quarter of 2021	Procurement	62%			Sauna & Steam room estimated costs Circa $250,000
Parklands 6 & 7	Parklands	Stage 6 complete, Stage 7 works completed pending Asbuilt information, next steps are release of titles	Construction	95%			Covid variation - pending
Parklands Area 3 Stages 8, 9, 10	Parklands	Tendering April construction starting late June '21 and completion of works March 2022	Design	55%			Targetting a staged construction June '21 and Titles available in December '22
Park Island HBRU Site	Reserves	Field complete, Initial Ligthing tender was non conforming, re tendering in progress.	Tender	50%			Multiple contracts under one project each delviered sequentially.
Roberts Terrace Playground Renewals	Reserves	Use of playground supplier panel for delivery targetting construction period mid year.	Design	47%
Te Awa Playground / Urban Growth	Reserves	Construction underway, targetting compeltion in April '21	Construction	63%
Westshore Playground Renewal	Reserves	On hold	Initiate	0%			Shovel Ready project taking priority
Westshore Reserve & Playground Pathway (Shovel Ready Project)	Reserves	Awaiting consultation feedback. Construction targeting April 2021	Design	34%
Whakarire Ave Coastal	Reserves	Construction rescheduled till Feb 2022 due to additional engagement and the penguin nesting period.	Consultation	42%			The project timeline has been deferd to allow appropriate timing and sequencing of re engagement with Iwi, penguin breeding season ( June - Feb ) and Construction stage Tendering. Construction now planned February 2022
Bluff Hill Safety Fence	Reserves	Contract Maintenance Period	Contract Maintenance Period	73%
HBRU Game Field	Sportsgrounds	Practical completion issued Dec 2020	Contract Maintenance Period	30%
Ahuriri Masterplan scope projects for stormwater study and improvements	Storm Water	Completed month 12 & first year of monitoring. Awaiting meeting with Asset Manager at HBRC. Continuing with year 2, round 1 monitoring early December.	Sampling	33%
Pandora Catchment Stormwater Quality System(Study only project)	Storm Water	Sediment core collection planned mid November 2020	Plan & Execute	44%
Cross Country Drain Pathway	Transportation	Physical works 98% completed, aiming to issue practical completion early 2021	Construction	98%
Ellision St to Marine Parade Walking & Cycling Improvements	Transportation	After consultation with Te Awa school the layout has been revised and include in the design. 30% consultation circulated for comments. Targeting construction period June-December 2021.	Design	20%			Consultation with residents and adjoining schools ongoing. Additional design required for the Te Awa school area.
Eriksen / Kenny Rd Intersection Upgrade	Transportation	Contract awarded to Higgins Contractors. Construction January - September 2021	Construction	5%
Marewa Shops Improvements	Transportation	Cost to complete exceeding available budget. Project Manager working with sponsor to confirm way forward. Budget increase required to deliver current scope. Project estimate $1.9M, budget $1.1	Design	56%			Cost to complete exceeding available budget. Project Manager working with sponsor to confirm way forward. Budget increase required to deliver current scope. Project estimate $1.9M, budget $1.1
Marine Parade - Raised Crossing	Transportation	Tender awarded contract completion due	Construction	5%
Meeanee Quay Traffic Calming	Transportation	Design complete, reviewing	Tender	60%			Tendering in March & Targetting April Construction start
Poraiti Road Corridor Improvements	Transportation	Project deferred. With Sponsor.	Programme	29%			With Sponsor - to confirm new timeframes

Sustainable Napier Committee - 25 March 2021 - Attachments

Item 3

Attachment a

Puketitiri Road Upgrade	Transportation	Improvement works, including realignment and widening to improve user safety and journey time reliability. Puketitiri Road - Poraiti Rd to Quarry Ridge Stage 2 (safety and resilience) $2,500,000 Puketitiri Road - Poraiti Rd to Quarry Ridge Stage 3 (safety and resilience) $2,500,000 Puketitiri Road - Poraiti Rd to Quarry Ridge Stage 1 (safety and resilience) $2,800,000	Initiate	0%	Pending direction from Transportation Team.
Thames/Pandora Roundabout Improvements	Transportation	Construction 11 January 2021 to July 2021. Collaboration with NCC and NZTA in place for community engagement. Underground utilites have caused some challenges for the supplier	Construction	65%
Tironui Drive Pathway	Transportation	Pathway has been reinstated for use over Christmas. Last 20% of physical works being completed in January 2021.	Construction	99%	Partly funded by Rotary Club $230,000 - Budget $430,000
Tom Parker Ave Traffic Calming	Transportation	Tender complete and contracts awarded. Construction commencing March	Construction	10%	Some last minute design changes and delay in tendering.
Westshore to Ahuriri Walking & Cycling Connectivity	Transportation	Rescope design approved. Working towards 90% design and engineers estimate. Tender targeting April 2021	Design	57%	Scope change and competing design rescource
York Ave/Auckland Rd Intersection	Transportation	Road safety aAudit and 90 EA approval completed, additional budget needed to take accound of road safety requirements. Tender January 2021. Construction March - June 2021.	Design	70%	Additional scope and Road Safety requriements need additioanl funding to implement. With Sponsor to confirm.
Airport Sewer Pump Station Renewal	Waste Water	Pending EA approval January. Tendering March with construction April 2021.	Design	80%	Scope has singificantly increased and additioanl budget required to complete project with sponsor for approval. Consenting activities initiaited, Design is completed pending final EA approval, Procurement plan approved. Ready to tender once decision on budget received.
Lagoon Farm Diversion	Waste Water	Raised in December's Sustainable Meeting	LTP	0%
Latham Street Rising Main Valve Renewal	Waste Water	New project manager assigned to project in December. Project Plan being updated to reflect new PM and timing of project. Materials procurement is causing some challenges, and this may impact construction start date.	Plan & Execute	50%	This is a project that involves significant shut downs on assetts that have quastionable integrity. Targetting a low flow period to complete these works. Material procurement is underway and construction sequencing is being reviewed.
Pandora Industrial Wastewater Main - Rehabilitation	Waste Water	Investigative works are looking at rehabilitation options for this pipeline to provide a cost effective solution.	Initiate	20%	Consultant report has been received and work is being detailed to provide instruction to a contractor to install cleaning points.
Trade Waste Bylaw	Waste Water	Raised in December's Sustainable Meeting - Consultant briefing document is being drafted for pricing.	Initiate	5%
WWTP Outfall Repair	Waste Water	Works completed, monitoring outfall	Complete	n/a
WWTP Outfall Replacement	Waste Water	Briefing phase - Concept planning is underway with Beca Consulting	Initiate	56%
A1 Pigging Points 300mm	Water Supply	Physical works will be undertaken when A1 is shut down to have low flow - winter 2021	Construction / Depot	65%
A1 Pigging Points 450mm	Water Supply	Physical works will be undertaken when A1 is shut down to have low flow - winter 2021	Construction / Depot	62%
Chlorine Free Review	Water Supply	Draft report has been delivered	Plan & Execute	90%
Enfield Reservoir Replacement	Water Supply	Land purchase complete - work is progressing to develop a stakeholder engagement working group to assist with developing inputs into a concept design.	Initiate	31%
FW2 Fire Flow Network Upgrades	Water Supply	Site walkovers completed. Meeting held to determine the depot priority with respect to resources. Forward ordering of material to be placed early 2021	Plan & Execute	58%
Meeanee Bore Treatment Upgrade	Water Supply	Project put on hold - pending change in drinking water standard, reviewing the costs of alternate option of piping from Napier Supply.	Tender	73%	Pending Drinking water assessor decision and sponsors direction the project may need some redesign.
Tamatea & Parklands DMA	Water Supply	Communication strategy requires changes to reflect changes to the public announcements. Targeting completion April 2021	Construction	61%	Revised schedule of works, targeting April completion.
Trial Bore No.1 Exploratory and Production Bore	Water Supply	Project completed	Contract Maintenance Period	100%	Project completed. Bore secured and land in use.

Sustainable Napier Committee - 25 March 2021 - Open Agenda Item 4

4. Project Update: Pandora Industrial Waterways (Thames & Tyne Waterways) Sediment Quality Assessment

Type of Report:	Information
Legal Reference:	Resource Management Act 1991
Document ID:	1295425
Reporting Officer/s & Unit:	Cameron Burton, Manager Environmental Solutions Hannah Ludlow, Environmental Management Officer

4.1 Purpose of Report

The purpose of this paper is to summarise to the Sustainable Napier Committee the purpose of, and the results to date, of the Pandora Sediment Assessment project.

Officer’s Recommendation

The Sustainable Napier Committee:

a. Note the goal of the Pandora Sediment Assessment project, the stage of the project, and the implications of the project’s current results.

b. Acknowledge the purpose of the Pandora Sediment Assessment project in building knowledge of the quality of the Thames and Tyne waterways, allowing Council to make informed decisions on the best practicable option for ecological enhancement of the poor-quality drainage channels.

4.2 Background Summary

The Ahuriri Estuary and Coastal Edge Masterplan was the basis for allocating funding to a series of projects dedicated to the prevention of further degradation of Te Whanganui-a-Orotu Ahuriri Estuary. Project 1F of the masterplan lists a ‘Pandora Catchment Stormwater Quality System’. This project has been allocated $1.248m through the Ahuriri Estuary and Coastal Edge Masterplan to investigate the quality of the Thames and Tyne waterways in the Pandora Industrial area, evaluate options for the improvement of those waterways, and implement preferred improvement options.

To date, environmental quality monitoring within the Thames and Tyne waterways has involved:

· Monitoring stormwater outfall discharges into the Thames and Tyne waterways;

· Resource consent-driven monitoring of spatial water quality in the Thames and Tyne waterways on receding tides;

· Resource consent-driven monitoring of water quality in the Thames and Tyne waterways on both incoming and receding tides;

· Monthly monitoring of the water quality at the discharge point of the waterways into the estuary;

· Annual ecological sampling on the southern mudflats of central Te Whanganui-a-Orotu; and

· Surficial sediment quality monitoring (to a depth of 20mm) on the southern mudflats of central Te Whanganui-a-Orotu.

Despite extensive water quality monitoring in the Thames and Tyne waterways, and regular ecological and sediment monitoring in the southern Ahuriri Estuary, the quality of the sediment within the Thames-Tyne network is poorly understood.

Profiling the quality of sediment at different depths beneath the surface of the Thames and Tyne waterway beds will contribute vital information in assessing the true ecological state of the waterways. This will add confidence in determining the best option(s) for the improvement of the Thames and Tyne industrial waterways.

15 sediment core samples have been collected using a ‘vibracoring’ sampling technique, where a 1.25m long aluminium pipe was driven into the sediment using a generator and a pneumatic concrete vibrator.

Following advice from NIWA, thirteen sample sites were selected in the Thames-Tyne network alongside two in Ahuriri Estuary proper for referencing to background sediment quality levels.

Figure 1: Sediment core sample retrieval sites: Thames waterway, Tyne waterway, and Ahuriri Estuary.

Each sample barrel was split lengthways and visually analysed for changes in grain size, gravel inclusions, and fossil densities. One half was sent to Hill Laboratories for sediment grain size analysis, pesticide concentrations, and hydrocarbon testing. The other half was shrink wrapped and sent refrigerated to Otago University for scanning to quantify metal content.

Visual analysis has revealed sharp zones of grain size changes at various depths between 45 - 70cm depth from the surface. These findings are generally consistent with radioisotope analyses undertaken on the sediment of Ahuriri Estuary in a study by Chague-Goff et al. (1998), inferring that this zone is likely the visual record of the 1931 Napier Earthquake (yellow line in following image).

Figure 2: Base of core sample from Ahuriri Estuary South Mudflat.

Laboratory analysis is underway. Once laboratory analysis is complete, concentrations of heavy metals, hydrocarbons and pesticides relating to different depths will provide a fuller understanding of the whole Pandora waterway system, highlighting any potential zones of concentrated contamination. An example of the data is shown in the following graph of zinc ‘counts’ (concentration) throughout core depth, from a similar 2021 core sampling project in the Ahuriri Estuary:

units

Figure 3: Zinc counts over core depth: Taipo discharge zone, Ahuriri Estuary (2021).

Sediment quality data will be collated in-house. This data will be provided to an expert on contaminated marine sediment to investigate appropriate next steps for the Thames and Tyne waterways. Depending on the overall sediment quality, improvements for the Thames and Tyne waterways may include options such as meandering the waterways, treating the receding-tide water quality, dredging, or avoiding sediment disturbance all together.

4.3 Issues

Issues identified from the monitoring to date include:

· Upper sections of many of the sediment core samples have a high density of fine-grained sediment. This is a commonly-occurring urban issue in New Zealand. Heavy metals in run-off from urban/industrial zones can bind to fine-grained sediment. This means that finer-grained sediment in areas generating heavy metal-rich run-off can restrict biodiversity in waterways, with native aquatic species among some of the more sensitive to these metal concentrations.

· Low biodiversity in the upper sections of the sediment cores versus lower sections as indicated by gastropod and bivalve fossils. This reflects the gradual decline in the quality of sediment input into the Thames and Tyne over the previous decades.

4.4 Significance and Engagement

The overall goal of the project is to investigate the best-practicable option(s) for the improvement of the Pandora waterway network quality. Doing so will generate a series of associated benefits, such as;

· Encouragement of the Thames and Tyne waterways as ecologically-valuable extensions to Te Whanganui-a-Orotu.

· Placing greater importance on, and encouraging the improvement of the waterway ecosystems themselves rather than just their discharge into Ahuriri Estuary;

· Reducing degradation of Te Whanganui-a-Orotu by association;

· Enable public communication of the true state of the Thames and Tyne waterways, and of action planned to rehabilitate these waterways;

· Reducing risk of non-compliance against Napier City Council’s resource consent for discharge of the Thames and Tyne waterways;

…and more.

4.5 Implications

Financial

This project is utilising funding made available in the 2018 LTP for the delivery of the Ahuriri Estuary and Coastal Edge Masterplan projects. Improvement in the quality of the Thames and Tyne waterway system may reduce instances of catchment-based pollution and associated compliance issues with Napier City Council’s resource consent for discharge of the Thames-Tyne network into Te Whanganui-a-Orotu. Each instance of non-compliance can lead to potential fines or prosecution (up to $600,000 per event).

Social & Policy

Considering the proximity of the Thames-Tyne network to Ahuriri Estuary, and the history of the water quality within the Thames and Tyne waterways, this project is essential in ensuring the sustainable improvement of the socially and ecologically important, yet delicate Ahuriri Estuary.

Continued degradation of the Ahuriri Estuary could result in the system reaching an ecological point of no return.

This project aligns with the motives of, and pre-empts the implementation of, the regional TANK plan change, in attempting to gain a sound awareness of the behaviour of the Thames and Tyne waterways in order to make informed, targeted and biologically-beneficial improvements.

Risk

Continued degradation of the Ahuriri Estuary could result in the system reaching an ecological point of no return. There is a need to implement chemical or physical waterway treatment in the Thames-Tyne network, alongside current management changes affecting surface and storm water. To do so requires an understanding of the quality of each aspect of the waterways themselves, in order to avoid the unnecessary risk of implementing a treatment option which may not be appropriate.

There is a risk that the expertise required for evaluating the data and providing appropriate options based on the quality of the sediment is limited. However, similar contaminated harbour dredging and remediation projects have been carried out successfully in New Zealand, such as Port Nelson’s Calwell Slipway cleanup (completed in 2018).

After project completion, spills and pollution from the heavy, wet Pandora industrial zone may still occur. To mitigate this as far as possible, Napier City Council run an annual stormwater education campaign, frequently liaise with ‘high risk’ and ‘medium risk’ industries in the catchment through a stormwater working group, and utilise the 2020 Napier City Stormwater Bylaw where appropriate. In addition, it is foreseen that in-situ water quality measurement tools will be deployed in the Thames-Tyne network to allow live tracking of changes in water quality parameters such as dissolved oxygen and pH.

4.6 Options

The options available to Council are as follows:

a. Note the goal of the Pandora Sediment Assessment project.

b. Note that the project is in the laboratory analysis stage.

c. Note the importance of the Pandora Sediment Assessment project in informing appropriate next steps to encourage better ecological habitat within the Thames-Tyne network, subsequently reducing degradation of the Ahuriri Estuary.

4.7 Development of Preferred Option

N/A

4.8 Attachments

Nil

Sustainable Napier Committee - 25 March 2021 - Open Agenda Item 6

6. Stormwater Compliance Monitoring Reports - 1 July 2019 - 30 June 2020

Type of Report:	Information
Legal Reference:	Resource Management Act 1991
Document ID:	1295670
Reporting Officer/s & Unit:	Cameron Burton, Manager Environmental Solutions

6.1 Purpose of Report

This report is to inform the Sustainable Napier Committee about the four major stormwater discharge consents’ Compliance Monitoring Reports and their associated grading’s noting the level of compliance achieved for the period ending 30 June 2020, as received from Hawke’s Bay Regional Council (HBRC).

Officer’s Recommendation

The Sustainable Napier Committee:

a. Note the compliance monitoring report for the discharge of stormwater from the Central Business District (CBD) was graded Full Compliance for the 2019-2020 monitoring period.

b. Note the compliance monitoring report for the discharge of stormwater from the Cross Country Drain was graded Full Compliance for the 2019-2020 monitoring period.

c. Note the compliance monitoring report for the discharge of stormwater from the Westshore Tidal Gates was graded Low Risk Non-Compliance for the 2019-2020 monitoring period.

d. Note the compliance monitoring report for the discharge of stormwater from the Thames Tyne was graded Low Risk Non-Compliance for the 2019-2020 monitoring period.

6.2 Background Summary

Napier City Council hold four major Resource Consents conditionally permitting the discharge of stormwater to the Coastal Marine Area. Two of these (Thames & Tyne Street and Westshore Tidal Gates) relate to discharges into Te Whanganui-a-Orotu (Ahuriri Estuary), the other two discharges (CBD and Cross Country Drain) being onto the Marine Parade beach gravels.

HBRC monitor these Resource Consents by way of information provided to them by Napier City Council (typically monitoring results, provision of Annual Reports and incident reporting), undertaking site inspections of the receiving environment, audits of NCC’s monitoring and by responding to pollution related incidents.

Upon receipt of all relevant information, and typically at the conclusion of a monitoring year (1 July-30 June) HBRC will compile a Compliance Monitoring Report documenting the level of compliance the consent holder has achieved against their Resource Consent.

Napier City Council has received Compliance Monitoring reports for the period 1 July 2019 – 30 June 2020 for the following resource consents:

· AUTH-119686-02: “To divert and discharge stormwater collected from a part of the Napier Hill and the Napier Central Business District (CBD) from any open drain system or piped stormwater drainage system, including discharges to land in a manner that subsequently results in the stormwater entering water, via the Browning Street, Tennyson Street and Dalton Street outfalls, to the coastal marine area (CMA) at Marine Parade Beach”,

· AUTH-108618-04: “To discharge stormwater from the Cross Country Drain into the Coastal Marine Area”,

· AUTH-110512-02: “To discharge stormwater from part of the Napier City urban area and surrounding rural land into the Ahuriri Estuary via the Westshore Tidal Gates”,

· AUTH-119680-01: “To divert and discharge stormwater, excluding runoff that is not a consequence of rain, from any open drain system or piped stormwater drainage system to water, including discharges from land in a manner that subsequently results in the stormwater entering water (Thames and Tyne waterways), within the catchments as shown in Attachment A”.

*Note: the Westshore Tidal Gate resource consent is jointly held by HBRC.

6.3 Issues

No issues have been raised in the CBD and Cross Country Compliance Monitoring Reports for the 2019-20 period.

The Westshore Tidal Gates Compliance Monitoring Report had a Low Risk Non-Compliance grading due to a discharge of hydrocarbons from an industrial site via the NCC stormwater network to Saltwater Creek and subsequently into the Ahuriri Estuary. It is stated this discharge was non-complying with condition 5, stating the discharge shall not cause any conspicuous oil or grease films within the receiving waters.

The actual source of the hydrocarbons has not been identified. While HBRC consider the source may have originated from the Onekawa Industrial Area, NCC investigation does not confirm this. However, increasing focus is being placed on the Onekawa Industrial Area and where stormwater contamination risk is identified, measures or strategies to reduce or mitigate the risk are being put in place. These may be in the form of Environmental Management Plans, site audits in line with the Stormwater Bylaw or, if required and warranted, enforcement action.

The Compliance Monitoring Report for the Thames & Tyne Street resource consent was graded Low-Risk Non-Compliance. The grading related to Condition 7, requiring “resource consent documents/packs to include information relating to stormwater management not being met”. Conditions 25 – 27 were not assessed due to Covid19 restrictions and HBRC will report on these in the 2020/21 monitoring period.

6.4 Significance and Engagement

The CBD and Cross Country Drain Compliance Reports were graded Full Compliance for the 2019-2020 monitoring period.

The Thames & Tyne Street Resource Consent Low Risk Non-Compliance grading is being addressed in the 2020/21 monitoring period. Educational material will be included with application documents for NCC Resource and Building Consents.

6.5 Implications

Financial

Non-compliance with a Resource Consent can result in enforcement action being taken by HBRC resulting in potential fines or prosecution (up to $600,000 per event).

Social & Policy

N/A

Risk

Continued non-compliance with a Resource Consent may result in enforcement action by HBRC. Not only would this affect NCC’s reputation, but would have financial, social and cultural implications also.

Further environmental degradation of not only the receiving environments (being Te Whanganui-a-Orotu and the nearshore coastal waters along Marine Parade Beach), but the urban waterways in their own rights may prove the tipping balance for some of these ecological systems. The Ahuriri Estuary in particular is already under increasing pressure ecologically and may not sustain further adverse environmental effects.

6.6 Options

The options available to Council are as follows:

a. Note the Compliance Monitoring Reports as received for the four Stormwater discharge consents as received for the 2019-2020 monitoring period.

6.7 Development of Preferred Option

N/A

6.8 Attachments

Nil

7. Update on 3 Waters Reform Programme

Type of Report:	Operational
Legal Reference:	N/A
Document ID:	1296267
Reporting Officer/s & Unit:	Catherine Bayly, Manager, 3 Waters Reform

7.1 Purpose of Report

To inform the Council on the progress of the 3Waters Reform Programme within Napier.

Officer’s Recommendation

The Sustainable Napier Committee:

a. Receive the update report on 3Waters Reform Programme dated 25 March 2021.

7.2 Background Summary

In July 2020, the Government launched the Three Waters Reform Programme - a three-year programme to reform local government three waters (3W) service delivery arrangements. (Water Supply, Wastewater and Stormwater). The reform is an outcome of the Havelock North Enquiry and covers aspects of delivery and regulation of water services to communities. On 1 July 2021 a new regulator, Taumata Arowai, will come into existence. This Crown Entity will be responsible for administering and enforcing a new regulatory system for drinking water. Water supply will be the initial focus with wastewater and stormwater to follow.

The Government’s starting intention is to reform local government’s three waters services into a small number of multi-regional entities, which will remain in public ownership, to improve access to safe water and to manage affordability issues around meeting required standards. The exact size, shape and design of these entities is still being worked through and is due to be consulted on in early- mid 2021.

The Water Service Bill proposes the removal of the reasonableness provisions of the Health Act, which places the emphasis on service providers to meet the Drinking Water Standards, with affordability issues no longer being a valid reason for not undertaking required work. In addition, the Bill outlines powers of the regulator and mechanisms for enforcement.

Participation in the initial stage of the reform is voluntary, with local Councils given the opportunity to receive funding to deliver three waters projects. To this end, Napier signed an MOU with the government and has $12.51 million to deliver projects that are additional to Council’s current Annual Plan. A number of the projects agreed upon look to streamline the delivery of 3 Waters services and address some of the key issues identified in this Infrastructure Strategy around data management, processes and systems used for decision making.

The key principles of Napier City Council’s programme are:

· Improved capacity and capability to accelerate infrastructure projects

· Preparation of the team and local industry for upcoming standards as part of reform process

· Improving safety and quality of drinking water by fast tracking delivery of low manganese water to reduce dirty water events and address fire-flow issues

· Improving community and Māori/iwi engagement

· Upgrades to our three waters asset management system and maintenance management transformation programme

A proportion of the programme covers the improvement of information capture and management for three waters, the upskilling of our in-house operations team to be better prepared for the proposed water reform implementation and the delivery of key Fire flow and water conservation and water quality projects.

Council has a large programme of work ahead ($405m over ten years) with the recently completed Three Waters Masterplans, leading to the need for additional resource required to scope projects ready for delivery.

The goal for Council over this timeframe is to catch up on operational work that has not been prioritised in the past and to ensure that the assets, services, the data and the people are in the best state possible moving forward through the reform.

7.3 Issues

N/A

7.4 Significance and Engagement

This programme is engaging with mana whenua through the Iwi engagement on Three Waters and Cultural Values Assessments programme of work. This piece of work aims to extend the Council’s capacity and capability for engaging with Māori, including development of a cultural values assessment.

Council consulted with residents during the 2020/2021 summer break around what the community saw as key issues. 3 Waters concerns were highlighted by this consultation, with some of the projects in this programme going some way to addressing these concerns in cobination with BAU work.

7.5 Implications

Financial

Council has been given $12.5m by the DIA to facilitate this as a piece of work separate from business as usual programmes, and therefore has a separate budget line. Detailed financial reporting on this spend is required quarterly to the DIA as part of the MOU including hours spent by staff on each activity.

The projects and associated spend are as follows:

The attached report indicates current progress on the programme of work. Note that the finances are based to end of January and some charges have not been resolved against this cost centre yet.

COUNCIL	PROJECT	VALUE
Napier Total - $12.51m	Capital Projects: • Alternative Water Supply – address dirty water issues • Water Safety Plan - delivery of improvement items • Fire Flow Network Upgrades to meet levels of service • Scoping Three Waters Master Plan Projects – additional resources to assist with the delivery of the current and reform capital plan • Te Awa Structure Plan – Three Waters - additional funding to develop water infrastructure in Te Awa • Industrial Waste – works associated with tradewaste and understanding flow and composition • Review of private water supplies – provide upgraded supply for the Meeanee School hall	$8.45m
	Planning and Asset Management Projects: • Parks Water Bores Investigation and Implementation – assessment of bores and commence consenting process for water conservation • Essential Service Planning and Contributions Policy – ensure that three waters programmes are funded appropriately to develop the networks • Maintenance Management Practices - Develop maintenance management practices and workflows and integrate these into the Asset Management System • Delivery Improvement Review – systems and process development • Asset Management Systems & Data Collection • Three Water Models & Masterplans – peer review of models, additional calibration, and peer review of master plans	$3.16m
	Collaborative Projects: • Iwi engagement on Three Waters and Cultural Values Assessments – extending the capacity and capability for engaging with Māori, including development of a cultural values assessment • Regional Water Projects	$900k

The progress on the programme is largely in the scoping phase and just under $0.5M has been spent to date. The key capital projects are more advanced than the operational projects and there are no concerns currently about programme.

Council is working with other TLAs in the Region to work on the regional projects. One of these – the DIA Request for Information project is 99% complete.

Social & Policy

N/A

Risk

There is currently one major risk to the programme:

a) There is a risk that the programme of work will not be completed by 31 March 2022 This is due to other competing priorities for time for key staff such as the Long-Term Plan and a slow start due to a significant flooding event in November. There is also a risk that internal or external resources are not available to deliver parts of the programme, this will be managed by ensuring that suppliers are engaged ahead of time and the programme was set up to engage a variety of resources and not just those related to capital delivery.

7.6 Options

The option available to Council is as follows:

a. To endorse this report on Implementation the 3Waters Reform Project

7.7 Development of Preferred Option

N/A

7.8 Attachments

a 3 Waters Reform Programme 2021 - March 2022 ⇩

Sustainable Napier Committee - 25 March 2021 - Open Agenda

Sustainable Napier Committee

Open Minutes

Meeting Date:

Thursday 11 February 2021

Time:

10.00am and adjourned at 12.11pm.

Reconvened at 12.39pm - 12.47pm

Venue

Large Exhibition Hall

Napier War Memorial Centre

Marine Parade

Napier

Present	Mayor Wise, Councillor Price (In the Chair), Deputy Mayor Brosnan, Councillors Boag, Browne, Chrystal, Crown, Mawson, McGrath, Simpson, Tapine and Wright
In Attendance	Chief Executive (Dr Stephanie Rotorangi), Director Corporate Services (Adele Henderson), Director Community Services (Antoinette Campbell), Director Infrastructure Services (Jon Kingsford), Director City Strategy (Richard Munneke), Manager Communications and Marketing (Craig Ogborn), Acting Pou Whakarae (Mōrehu Te Tomo), Manager Asset Strategy (Debra Stewart). Building Asset Management Lead (Andrew Clibborn), HBLASS Programme Manager (Toni Goodlass), Manager Environmental Solutions (Cameron Burton), Environmental Management Officer (Hannah Ludlow), 3 Waters Programme Manager (Russell Bond), Water Quality Lead (Anze Lencek), Manager Design and Projects (James Mear), Team Leader Policy Planning (Dean Moriarity), Economic Development Manager (Bill Roberts), and Manager Community Strategies (Natasha Mackie)
Administration	Governance Team

Apologies

Councillors Brosnan / Mawson

That the apology from Councillor Taylor be accepted.

Carried

Conflicts of interest

Nil

Public forum

Nil

Announcements by the Mayor

Welcomed new Chief Executive, Dr Stephanie Rotorangi, to Napier City Council.

Announcements by the Chairperson

Nil

Announcements by Management

Director Infrastructure Services spoke about how the Environmental Solutions team worked over the weekend on four different contamination events in Napier’s waterways, with the most significant being an acid spill. The team worked with Hawke’s Bay Regional Council and Fire & Emergency Services to monitor at the Spill Gate and work to extract the polluted water and clean up the large fish kill which resulted from the spill.

In response to questions it was clarified

· Polluters would not be named to avoid compromising an ongoing investigation or potential legal action.

· The ability to recoup costs of spills is difficult despite Council’s ability to prosecute polluters.

· The clean-up will take an undetermined amount of time, but testing to determine the impact of the spill are underway.

· The samples taken and tested after this spill will add to a growing bank of knowledge to help forecast clean-ups after future spills.

Confirmation of minutes

Councillors Simpson / Chrystal

That the Minutes of the meeting held on 3 December 2020 were taken as a true and accurate record of the meeting.

Carried

Agenda Items

1. Rodney Green Centennial Events Centre - Flood Damage Report

Type of Report:	Operational
Legal Reference:	N/A
Document ID:	1273098
Reporting Officer/s & Unit:	Andrew Clibborn, Building Asset Management Lead Debra Stewart, Team Leader Parks, Reserves, Sportsgrounds

1.1 Purpose of Report

To update Council on the remedial work required on the Rodney Green Centennial Events Centre (RGCEC) following the flooding that occurred on the 9^th November 2020. This includes detail on what is and what is not covered by insurance, and the options and costs for remedial work.

To inform Council on seismic and lighting work that could be undertaken while the Centre is closed.

To propose that Council develops a policy for earthquake (EQ) risk acceptance and/or amelioration for buildings owned or occupied by Council.

At the Meeting

Council officers spoke to the report noting:

· The flood repairs in the events centre will replace like for like.

· The repair work should be completed by the end of 2021.

· Additional projects could be carried out alongside the flood repairs whilst the facility is closed, such as replacing the lighting which is noisy and inefficient and seismic and structural improvements.

· The Council has no formally adopted policy on minimum requirements for earthquake rating for Council buildings.

In response to questions from the Committee it was clarified:

· A Council policy for earthquake risk acceptance and/or amelioration for buildings owned or occupied by Council is an important piece of work, but needs to be prioritised against other priority work.

· Any new lighting will need to accommodate the current load capacity of the RGCEC.

· Doing earthquake strengthening of the RGCEC now whilst the facility is closed may save some money but it will not save time.

Committee's recommendation

Councillors Simpson / McGrath

The Sustainable Napier Committee:

a. Endorse the proposal to develop a policy for earthquake (EQ) risk acceptance and or amelioration for buildings owned or occupied by Council.

b. Approve funding for new lighting in Rodney Green Centennial Events Centre from the Sportsground Asset Renewal Fund.

c. Acknowledge that the flooding related remedial work is covered by insurance and funding is not required from Council.

Carried

2. Awatoto Waste Futures Hub Proposal

Type of Report:	Operational
Legal Reference:	Local Government Act 2002
Document ID:	1268502
Reporting Officer/s & Unit:	Cameron Burton, Manager Environmental Solutions

2.1 Purpose of Report

This paper is to communicate the Joint Waste Futures Committee endorsement in principle of the initiative to locate a Waste Futures hub at Awatoto.

Officers now seek an endorsement from Sustainable Napier Committee and Council to commence planning for a Waste Futures Hub based at Awatoto (or such other site deemed suitable), for the purposes of waste processing, resource recovery, waste minimisation and diversion and community engagement.

Before committing resources to conceptualise the initiative for later approval, this paper seeks endorsement in principle of the development of such a facility in this area.

Councillor Browne left the meeting at 11.03am

Councillor Browne returned to the meeting at 11.04am

At the Meeting

The Council officer spoke to the report alongside Michael Quintern, founder of MyNOKE, who delivered a presentation to Council noting:

· Residents could take their waste material to a Waste Futures Hub instead of the landfill. Charity groups could work onsite to redirect recyclable waste, for example timber or fabric.

· MyNOKE could be a potential partner with Council for this project. They use earthworms to compost organic waste such as night soil, algae and weed from waterways, wooden cutlery and compostable packaging.

· Earthworms reduce waste by 80%, whereas normal composting reduces waste by 20%.

· A worm farm can be rotated around a piece of land and crops can be rotated on the same land making use of the rich nutrients which will be produced by the worm farm.

In response to questions the following points were clarified:

· Currently approximately $93,000 per year is being spent on capital renewals at Redclyffe. It is not sustainable in its current state. To bring it up to a sustainable standard a lot more would need to be spent on the site and this would not attract funding from the Waste Minimisation Fund. The business case will include Redclyffe’s current maintenance and operating costs so Council will be able to weigh this up against the cost of a new facility.

· A new facility could attract funding from the Central Government’s Waste Minimisation Fund. Also development could be staged to stay within budget.

· A new facility could be built on the current site, but the size is limiting and there are land stability issues as it is on an old landfill.

· Cost to transfer waste from the proposed new site to the landfill would be higher than from Redclyffe as Awatoto is further away.

· Although the business case has not been costed yet, it is believed there is sufficient budget available to begin the business case and it could be straddled over two financial years to spread the cost out.

· Council officers will consider the ability to have the Wastewater Treatment Plant and the new facility on the same site as they work through the business case process.

· The acquisition of waste for the worm farm and charges for it’s collection can be a flexible model. At other MyNOKE sites there are some businesses who bring the waste to the site, but also worm farm workers can collect the waste from the producer’s site.

· The Council Officer’s and MyNOKE presentation has been given to the joint Waste Futures Committee and there were Hastings District Councillors at that meeting. They were receptive to the idea.

· A business case would address the communities opinion of building a Waste Futures hub and where the best site for it would be, along with what the economic outcomes of such a facility would be. The business case process can also be halted at any point if necessary.

· The process of converting organic waste to compost using earthworms is not smelly. The Redclyffe Transfer Station has not had any odour complaints and the proposed operation would be tidier operation than that.

ACTION: A report from Council Officers to be presented at the next Sustainable Committee meeting on the current operation and maintenance costs of Redclyffe Transfer Station.

Committee's recommendation

Councillor Wright / Mayor Wise

The Sustainable Napier Committee:

a. Receive the Joint Waste Futures Committee’s endorsement of this initiative.

b. Endorse in principle, the approach of investigating opportunities and the development of a cross-boundary cost-benefit analysis as part of a Business Case for a bespoke Waste Futures Hub.

c. Approve the commissioning of a business case to investigate the viability of a new diversion station/centre including site recommendations, funding opportunities and ownership structures subject to joint funding being received from the Hastings District Council.

Carried

3. Project update Napier Urban Waterways Investigations

Type of Report:	Information
Legal Reference:	Resource Management Act 1991
Document ID:	1283593
Reporting Officer/s & Unit:	Cameron Burton, Manager Environmental Solutions

3.1 Purpose of Report

The purpose of this paper is to summarise to the Sustainable Napier Committee the purpose of, and results to date of the Napier Urban Waters Investigations project.

At the Meeting

The Council Officer spoke to the report and in answer to questions clarified:

· All Napier urban waterways are monitored, but there are waterways which flow into these which are not monitored.

· One year of monitoring the waterways does not give enough data to act on. Each year’s samples can be different because of changes in weather patterns, and changes in pollutants entering the waterways during rainfall. A picture can be built up over time from samples taken.

· Pollution issues can be addressed alongside the investigation project, such as through education campaigns.

· At the end of the three year project an independent consultant will be engaged to look at the sample results and advise on the way forward.

· A lot of zinc is found in samples, this is carried by rainfall. Phosphorus is another pollutant found in samples. When the 1931 Napier earthquake occurred it pushed up a lot of land which had shells in in. These shells are now breaking down leading to phosphorus entering our waterways. Phosphorus is not highly toxic, but encourages growth of algae in waterways in warmer months; treatment for this is being worked on.

· The number of sites being tested have been reduced as there were too many to collect samples within the first flush of a rainfall event. The sites dropped were not adding much detail to the sample results.

· Hawke’s Bay Regional Council co-fund the sampling work and we share our results with them.

· Council can only use the funding allocated to this project for monitoring; there is funding available through the 3 waters reform which should enable Council to install some floating treatment wetlands. These could go on the Georges Drive section of the old Tutaekuri bed. This would link well with the cultural values assessment being carried out currently.

· The sampling, analysis and subsequent results of Ahuriri Estuary could be leading the way in knowledge around Estuary’s and their care.

· This project is communicated to community groups through Council meetings.

Committee's recommendation

Councillors Brosnan / Simpson

The Sustainable Napier Committee:

a. Note the goals of the Napier Urban Waters Investigations, and the implications of the project’s current results.

b. Note the essential nature of the Napier Urban Waters Investigations in allowing Council to make informed decisions on the best practicable option for improving the quality of fresh water discharging to Te Whanganui-a-Orotū (Ahuriri Estuary).

Carried

4. Report on Napier Water Supply Status End of Q2 2020-2021

Type of Report:	Operational
Legal Reference:	Enter Legal Reference
Document ID:	1282596
Reporting Officer/s & Unit:	Catherine Bayly, Manager Asset Strategy Russell Bond, 3 Waters Programme Manager Anze Lencek, Water Quality Lead

4.1 Purpose of Report

To inform the Council on:

- The status of Napier Water Supply (NAP001) at the end of second quarter (Q2) of 2020-2021 compliance year.

- Report on Compliance with the Drinking-water Standards for NZ 2005 (Revised 2018) and duties under Health Act 1956 (for period 1 July 2019 to 30 June 2020).

At the Meeting

The Council Officers spoke to the report and in response to questions it was noted:

· Once the secure bore status is removed Council will not comply with the protozoa regulations. Officers are looking at options to provide treatment and security at the bores. They are also looking at removing the manganese treatment out of the system at the same time which will speed up resolving water clarity issues. This work shouldn’t cause a significant change in the budget but this is being looked at through the Long Term Plan process.

· Due to the tight compliance timeframe imposed for the installation of UV filters, Local Government New Zealand has said it will be having further discussions about the implications of the change in requirements on water suppliers. LGNZ believes the new requirements will be unachievable for most without significant investment in infrastructure.

· Council officers are looking for a location in Taradale for a new bore field where any investment in treatment is not going to become redundant.

· Residual disinfectant in the network is still mandatory even with the addition of UV treatment and filters. After 1 July 2021 when the Water Services Act and Exposure Drafts come into force it is possible to apply to Taumata Arowai to go Chlorine free.

· There is a dedicated water-take station project underway which will cover the protection requirements for water for commercial users

ACTION: To have the water-take station project on the list of projects at the next Committee meeting.

Committee's recommendation

Councillor Simpson / Mayor Wise

The Sustainable Napier Committee:

a. Recommend Council endorse:

i. The Report on Napier Water Supply Status end of Q2 2020-2021.

ii. The Report on Compliance with the Drinking-water Standards for NZ 2005 (Revised 2018) and duties under Health Act 1956 (for period 1 July 2019 to 30 June 2020).

Carried

Councillors McGrath, Simpson, and Tapine left the meeting 11.48am

Councillors McGrath, Simpson, and Tapine returned to the meeting 11.50am

Councillor Mawson / Mayor Wise

Meeting adjourned at 12.11pm

Carried

Councillor Simpson / Brown

Meeting reconvened at 12.39pm

Carried

5. To provide Council with information on Capital Programme Delivery.

Type of Report:	Information
Legal Reference:	N/A
Document ID:	1283770
Reporting Officer/s & Unit:	James Mear, Manager Design and Projects

5.1 Purpose of Report

To provide Council with information on Capital Programme Delivery.

At the Meeting

In response to questions it was noted:

· There are many more projects in the Project Management Framework which are not shown in the report presented to the Committee. It is possible to provide a summary report of all Council projects at the next Committee meeting.

· The projects that have been included in the report to Committee are high priority, high value, or high risk projects.

· In the Infrastructure Reporting Status Summary if a projects status says it is deferred and with sponsor that is because the project is currently with an external activity manager for action.

· The Marewa Shops Improvements project is on hold due to the latest estimates for work being higher than the available budget. Council Officers are working on a solution to this currently.

Committee's recommendation

Councillors Simpson / Crown

The Sustainable Napier Committee:

a. Note that this report is for information purposes only.

Carried

PUBLIC EXCLUDED ITEMS

Councillors Browne / Mawson

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

1. Council Projects Fund - Application

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. Council Projects Fund - Application	7(2)(b)(ii) Protect information where the making available of the information would be likely unreasonably to prejudice the commercial position of the person who supplied or who is the subject of the information	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.

Approved and adopted as a true and accurate record of the meeting.

Chairperson .............................................................................................................................

Date of approval ......................................................................................................................

Committee Members	Mayor Wise, Councillor Price (In the Chair), Deputy Mayor Brosnan, Councillors Boag, Browne, Chrystal, Crown, Mawson, McGrath, Simpson, Tapine, Taylor and Wright
Officers Responsible	Director Infrastructure Services, Director City Strategy
Administration	Governance Team
	Next Sustainable Napier Committee Meeting Thursday 6 May 2021

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. Lease of Reserve - Meeanee Domain	7(2)(i) Enable the local authority to carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations)	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. Street light column renewals	7(2)(i) Enable the local authority to carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations)	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.
3. Land acquisition & road stopping - Basil Road	7(2)(i) Enable the local authority to carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations)	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.

Meeting Date:	Thursday 25 March 2021
Time:	10.00am
Venue:	Council Chambers Hawke's Bay Regional Council 159 Dalton Street Napier

Type of Report:	Legal
Legal Reference:	Reserves Act 1977
Document ID:	1288626
Reporting Officer/s & Unit:	Bryan Faulknor, Manager Property Jenny Martin, Property and Facilities Officer