AGENDA

 

 

Council Meeting

I hereby give notice that a Meeting of the Kapiti Coast District Council will be held on:

Date:

Thursday, 28 May 2020

Time:

9.30am

Location:

Online and livestreamed on YouTube

Wayne Maxwell

Chief Executive

 


Council Meeting Agenda

28 May 2020

 

Kapiti Coast District Council

Notice is hereby given that a meeting of the Kapiti Coast District Council will be held online via Zoom and livestreamed on YouTube, on Thursday 28 May 2020, 9.30am.

Council Members

Mayor K Gurunathan

Chair

Deputy Mayor Janet Holborow

Deputy

Cr Angela Buswell

Member

Cr James Cootes

Member

Cr Jackie Elliott

Member

Cr Gwynn Compton

Member

Cr Jocelyn Prvanov

Member

Cr Martin Halliday

Member

Cr Sophie Handford

Member

Cr Robert McCann

Member

Cr Bernie Randall

Member

 


Council Meeting Agenda

28 May 2020

 

Order Of Business

1         Welcome. 5

2         Council Blessing. 5

3         Apologies. 5

4         Declarations of Interest Relating to Items on the Agenda. 5

5         Public Speaking Time for Items Relating to the Agenda. 5

6         Members’ Business. 5

7         Mayor's Report 5

Nil

8         Reports. 6

8.1           Adoption of fees and charges. 6

8.2           Kapiti Gateway. 43

8.3           Sustainable Transport Strategy. 59

8.4           Finance Report as at 31 March 2020. 95

8.5           Contracts Under Delegated Authority. 115

8.6           Possible Voting in Electra Trust Election 2020. 117

8.7           Reports and Recommendations from Standing Committees and Community Boards. 119

9         Confirmation of Minutes. 124

9.1           Confirmation of minutes. 124

10       Public Speaking Time. 131

11       Confirmation of Public Excluded Minutes. 131

Nil

12       Public Excluded Reports. 132

Resolution to Exclude the Public. 132

12.1         Air Service Restart in Kapiti 132

 

 


1          Welcome

2          Council Blessing

“As we deliberate on the issues before us, we trust that we will reflect positively on the  communities we serve. Let us all seek to be effective and just, so that with courage, vision and energy, we provide positive leadership in a spirit of harmony and compassion.”

I a mātou e whiriwhiri ana i ngā take kei mua i ō mātou aroaro, e pono ana mātou ka kaha tonu ki te whakapau mahara huapai mō ngā hapori e mahi nei mātou.  Me kaha hoki mātou katoa kia whaihua, kia tōtika tā mātou mahi, ā, mā te māia, te tiro whakamua me te hihiri ka taea te arahi i roto i te kotahitanga me te aroha.

3          Apologies

4          Declarations of Interest Relating to Items on the Agenda

Notification from Elected Members of:

4.1 – any interests that may create a conflict with their role as an elected member relating to the items of business for this meeting, and

4.2 – any interests in items in which they have a direct or indirect pecuniary interest as provided for in the Local Authorities (Members’ Interests) Act 1968

5          Public Speaking Time for Items Relating to the Agenda

Members of the public wishing to speak to an agenda item must book ahead.  Please see https://www.kapiticoast.govt.nz/your-council/meetings/meeting-process/public-participation-at-meetings/#COVID19speaking for details.

Speakers must book by emailing Democracy.Services@kapiticoast.govt.nz by 12.00 noon Wednesday 27 May 2020.

6          Members’ Business

(a)        Public Speaking Time Responses

(b)        Leave of Absence

(c)        Matters of an Urgent Nature (advice to be provided to the Chair prior to the commencement of the meeting)

7          Mayor's Report

Nil


Council Meeting Agenda

28 May 2020

 

8          Reports

8.1         Adoption of fees and charges

Author:                    Chris Pearce, Manager, Corporate Planning & Reporting

Authoriser:              Mark de Haast, Group Manager Corporate Services

 

Purpose of Report

1        This report provides for the Council to note and approve the full schedule of fees and charges for 2020/21, which take effect from 1 July 2021.

Delegation

2        The Council has not delegated the authority to approve the Annual Plan fees and charges to any Committee or subcommittee of the Council.

Background

3        As part of the Council’s ongoing commitment to improve customer service, the Council has approved the following year’s fees and charges in late May or early June over the last six years to allow for invoicing in June prior to the start of the new financial year. 

4        The early approval of the fees and charges in Regulatory Services has resulted in benefits for both customers and the Council. Early communication of fees provides flexibility for customers and the ability to make early payment arrangements before the invoice due date.

5        For the 2020/21 financial year however, due to the impacts of COVID-19, Council is proposing to maintain most of the fees and charges at current (2019/20) levels to help the district withstand the economic and social challenges expected, with some small exceptions. The exceptions are where:

·        A fee increase is mandated by legislation, or

·        Minor amendments have been made to fees for increased clarity to the public, or

·        Fees are added or adjusted to more accurately reflect the cost of service provision, and therefore assist with cost recovery.

Issues and Options

Issues

6        Only those exceptions considered absolutely necessary to the proposed 2020/21 fees and charges have been included in the draft 2020/21 Annual Plan. Amendments to these exceptions would result in a change to the draft 2020/21 Annual Plan financials.

7        Exceptions to the 2020/21 fees and charges are listed below:

Type

Current Fee

Proposed Fee

Comment

Building consent standard inspection fees

$117

$157

Cost recovery - The proposed fee is preferred as it more accurately reflects the time spent on inspections (1hr rather than 45min). The hourly rate has not increased.

Building consent fees (other charges) - Infrastructure Inspection Fee

-

$157 per hour

Minor Amendment - Clarification of existing fee. Currently charging as damage deposit.

PIM – Multi-residential and commercial (cross lease and unit titled)

-

$784

Amendment – include the current fee that is erroneously not included in the 2019/20 fee schedule

MBIE Levy per $1000 or part of project value

$2.01

$1.75

Legislation changes commencing 1 July 20

Removal of Section 77 (1) certificate

-

$157 plus disbursements

Minor Amendment - include the current fee that is erroneously not included in the 2019/20 fee schedule

Food Control Plan (FCP)

$614

$614 deposit
(covers first four hours including administration and processing time)

Minor Amendment – further clarification of current fee.

Deemed (FCP)

$614

-

Minor Amendment – This fee is being removed as deemed FCPs were transitional and are no longer applicable.

Manager’s certificate application or renewal

$324

$316.25

Minor Amendment – fee schedule corrections.

Temporary authority

$304

$296.70

Temporary licence

$304

$296.70

Extract of register (ARLA or DLC)

$59

$57.50

Hairdressers

home occupation $214 and commercial premises $256

$214

Minor Amendment – Combine and charge at the lower rate.

Removal of overhanging trees/vegetation

-

Cost incurred for removal of  obstruction

Minor Amendment – clarification of existing fee for better transparency when working through vegetation issues with landowners.

Learn to swim private lessons

 

-

20 minute lesson $20.00

30 minute lesson $30.00

Special Needs $15.00

Private lesson (2 students)

2 on 1, 20 minute lesson $27.00

2 on 1, 30 minute lesson $37.00

 

Minor Amendment – further clarity to the public for current private learn to swim lessons.

 

Normal learn to swim lesson is $12.80 per lesson which is unchanged for 2020-21.

 

Aquatic (small Group) programmes

 

-

10 week term $65.00

Casual Visit $7.50

 

Minor Amendment - include the current fee that is erroneously not included in the 2019/20 fee schedule

Waikanae Pool BBQ hire

 

-

BBQ Hire per hour $10.00

BBQ Bond $20.00

Minor Amendment - include the current fee that is erroneously not included in the 2019/20 fee schedule

Interloans

$15.30 each

$15.00 each

Minor Amendment - Library fees are kept to the nearest dollar for customer convenience when paying in cash.

 

Membership cards (replacement)

$3.80

$4.00

Replacement of lost or damaged library items

Price varies depending on publication
$5.10 administration fee
also charged per item

Price varies depending on publication $5.00 administration fee
also charged per item.

Bore depth

-

$6.60

Minor Amendment - include the current fee that is erroneously not included in the 2019/20 fee schedule

cBOD g/M3

-

$33.30

Legislation change - now required to run this test for consent work

E.Coli no/100ml (m Tec River monitoring only)

-

$22.50

Minor Amendment - include the current fee that is erroneously not included in the 2019/20 fee schedule

Presence/absence coliform

-

$22.50

Staff collection (2 people)

-

$109

Total Coliforms and Ecoli (Colilert)

-

$35.80

Travel (per KM)

-

$0.77

 

8        The full proposed fees and charges schedule for 2020/21 is attached at appendix 1 to this report.

Considerations

Policy considerations

9        There are no policy considerations relating to this report.

Legal considerations

10      The Local Government Act 2002 (LGA) Section150 allows fees and charges to be imposed by a local authority.

Financial considerations

11      The financial considerations and impacts of fees and charges on the draft 2020/21 Annual Plan have been discussed during the public Annual Plan workshops and in previous Council reports.  All fees and user charges proposed for 2020/21 are compliant with the Council’s Revenue and Financing Policy.

12      2020/21 fees and charges take effect from 1 July 2020 and are inclusive of GST.

Tāngata whenua considerations

13      There are no tāngata whenua considerations arising directly from this report.

Strategic considerations

14      By approving the 2020/21 fees and charges early, the Council is able to notify dog owners of next year’s dog registration fees in advance of invoices being issued and falling due for payment either on or before the 31 July 2020. This provides more certainty for customers and contributes to Council’s three-year priority outcome of improving accessibility of Council services.

Significance and Engagement

Significance policy

15      This matter has a low level of significance under Council’s Significance and Engagement Policy.

Consultation already undertaken

16      The Council has complied with the Local Government Act 2002 in respect of consulting on these fees and charges previously as part of the 2018-38 Long Term Plan. There are no significant changes proposed to the 2020/21 fees and charges that require public consultation.

Engagement planning

17      An engagement plan is not needed to implement this decision. 

Publicity

18      A media release will be prepared regarding the Council’s early approval of the 2020/21 fees and charges. Council customers will receive, as appropriate, an explanation of the new fees and charges as they relate to them.

19      A public notice, as required by Section 37(6) of the Dog Control Act 1996, will be published in a local newspaper at least once during the month preceding the start of the 2020/21 registration year.

 

Recommendations

20      That the Council receives and notes this report, including Appendix 1 to this report.

 

21      That Council approves the exceptions to the 2020/21 Fees and Charges as detailed in paragraph 7 of this report.

 

22      That Council approves under Section 150 of the Local Government Act 2002, the 2020/21 Fees and Charges, attached as Appendix 1 to this report.

 

23      That Council notes that any changes occurring as a result of the decisions made at this Council meeting of 28 May 2020, will be incorporated into the final 2020/21 Annual Plan to be adopted on 25 June 2020.

 

Appendices

1.       Fees and Charges Schedule 2020/21  

 


Council Meeting Agenda

28 May 2020

 

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Council Meeting Agenda

28 May 2020

 

8.2         Kapiti Gateway

Author:                    Darryn Grant, Economic Development Manager

Authoriser:              Alison Law, Acting Group Manager Place and Space

 

Purpose of Report

1        This report seeks Council’s approval to make an application to the Provincial Growth Fund for fifty percent of the total development costs for the Kapiti Gateway Project based on the recommended concept design from Athfield Architects.

Delegation

2        Council has the authority to make this decision.

Background

1        A gateway building has been discussed for at least 28 years within the Kapiti community. For the main purpose of promoting and enhancing Kapiti Island as a tourist activity; to provide a focus for Kapiti as a tourist destination and to promote other attractions and activities in the region.  In 1992 the proposal was to leverage the attraction of Kāpiti Island as a tourist destination and to drive further economic benefit to the broader Kāpiti Coast community, which still remains a key focus of the project today.

2        Tourism to Kapiti Island (day and overnight trips) has been steadily increasing over recent years, and in 2019 totalled nearly 16,000 visits.  Approximately 78% of visitors to Kapiti Island are from New Zealand. There is significant opportunity for further growth, with an annual capacity of 58,000 visits. 


Figure 1. Kapiti Island Annual Visitation 2013-2019.  Source: DoC concession data.

3        A survey of some 2,000 recent visitors to the island show that the trips are a strong catalyst for visits to the district; with nearly eighty percent of visitors to Kapiti Island from outside of the Kapiti district, and forty percent of those staying overnight (average two nights) as part of their visit.

4        In 2013, a feasibility study was completed by Tourism Research Consultants Limited (TRC) for Council. The feasibility study was commissioned in order to confirm a suitable location for a Gateway facility and to confirm its function. The report recommended that a facility was developed at the Paraparaumu Boat Club site at Paraparaumu Beach and included an interactive visitor centre. The estimated cost for the proposed facility was $13m. The recommendations from this study did not proceed any further.

5        More recently, calls for a Gateway came through strongly in the Maclean Park Management Plan community consultation discussions in 2017. The Management and Development Plan process included three rounds of public consultation, and was completed in partnership with Iwi. Numerous submissions were received in support of a Gateway facility within the park.  The sentiment from the community was for a small building, on the south side of the Tikotu Stream.  As a result, the development plan for the park includes the south side of the stream in the area identified for a potential Gateway development.

6        In 2018, the Kapiti District became eligible for the Provincial Growth Fund (PGF). Following confirmation of the district’s eligibility, community meetings were held to identify suitable projects for submission to the fund. The Gateway project was identified through this process and Council submitted an Expression of Interest to the Provincial Development Unit (PDU).  Council was encouraged to progress to an application for up to 50% of costs. As part of the application for the PGF, it is important that the applicant is able to demonstrate employment creation and operating viability, how the remaining projects costs will be funded and that the project is able to quickly get started if funding is confirmed.

7        In order to have the greatest chance of success in receiving funding from the PGF, Council has been advised that it needs to submit an application as soon as possible. The application should include a business case for the project and confirmation about how the remaining fifty percent of development costs will be funded and confirmation that the consenting process is well progressed. At the time of submitting this report, the Giblin Group were in the process of finalising the business case.

8        In order to move the Gateway project forward and enable an application to be made to the PGF, it was decided in June 2019 to update the TRC feasibility study completed in 2013. TRC were requested to include the area identified in the Maclean Park Development Plan as part of this process.

9        TRC engaged directly with Iwi, key stakeholders and community representatives and were requested to:
- Clarify the role, location and purpose of the Gateway
- Consider the tourism impact of the Gateway
- Consider a financial assessment of the sustainability
- Assess community acceptance. 

10      It was important to reach a consensus with key partners, stakeholders and community groups about the potential Gateway facility as part of the feasibility study update.
Stakeholders included Kapiti Boating Club, Coastguard Kapiti, Underwater Club Kapiti, Kāpiti Island Eco Tours, Kāpiti Island Nature Tours, Kāpiti Coast Chamber of Commerce, Guardians of the Kāpiti Marine Reserve, Kāpiti Economic Development Agency (KEDA), Paraparaumu Beach Business Association, WellingtonNZ and Victoria University of Wellington (Architecture School).

11      The 2019 TRC feasibility study, finalised and released in March 2020, concluded that the preferred site was on the south side of the Tikotu stream. That it’s purpose should be to:
- include a booking office for Kapiti Island tours,
- build awareness of conservation programmes,
- provide the biosecurity facility for Kapiti Island,
- be designed sympathetically to the natural environment,
- include interpretive space to tell the area’s rich and diverse history,
- provide visitor information for the entire Kapiti Coast

12      TRC also indicated a size of some 435m2 for the building and an estimated budget to build of $3.5m.  However, this budget did not include site works, design, professional fees and consents. 

 

 

Issues and Options

Issues

13      Following the completion of the feasibility assessment by TRC and confirmation that Council officers would progress the proposal to an application to the PGF, it has been necessary to work through the requirements of the Gateway facility and how they relate to the proposed site. This also needs to take into consideration that the proposed site is part of the Maclean Park reserve, is of significant cultural importance and is in a coastal location.  There was little evidence in TRC’s report to substantiate a particular building size, so this was not included in the brief to designers, but rather, a budget and outcomes desired.

14      It was also important that the requirements of the PGF were taken into consideration to ensure the greatest level of success in this process. This included ensuring that the steps were in place to enable the development to proceed if PGF funding was approved.

 

Process Followed

15      The first step in this process was to establish governance for the project to include partners, key stakeholders and community representatives.  A project governance group and advisory group were formed:

15.1  Governance Group members: Representatives from Te Ātiawa ki Kāpiti, Ngāti Toa Rangatira, Department of Conservation and Council officers. George Hickton (former CE of Tourism NZ) was appointed as the independent chair of the Governance Group.

15.2  Advisory Group members: Representatives from Kapiti Boating Club, Coastguard Kapiti, Underwater Club Kapiti, Kāpiti Island Eco Tours, Kāpiti Island Nature Tours, Kāpiti Coast Chamber of Commerce, Guardians of the Kāpiti Marine Reserve, WellingtonNZ, Kāpiti Economic Development Agency (KEDA), Paraparaumu Beach Business Association, Victoria University of Wellington (Architecture School).

16      The two current tour operators have been engaged with frequently during the process and development of the concept design.  Whilst their views may sometimes differ, we have worked constructively together and their input has been vital in the preparation of the concept thus far. 

17      The second step in the process was to ensure that all the feedback and information received through the various forms of consultation and engagement about the Gateway was gathered and understood. This information provided a solid foundation to begin with and included the importance of the biosecurity function of the building. This includes a requirement that the facility is in immediate proximity to the Kapiti Island boat loading in order to provide the most effective biosecurity. Also consultation with the Department of Conservation made it clear that for the biosecurity area to function effectively it needed to be designed with specific requirements.

18      Based on this information a list of objectives for the project was developed in consultation with the Governance Group for the Gateway facility, to ensure that there was clarity of the various outcomes that would be important from the facility. These are outlined below:

a.    To provide interpretation and education about Kāpiti Island (on the mainland)

b.    To improve biosecurity measures to protect Kāpiti Island

c.    To encourage visitation to Kāpiti island (increase numbers of visitors)

d.    To tell the stories and history of the Te Uhiri area, Kāpiti Island and the Kāpiti Marine Reserve.

e.    To encourage increased visitor duration and spend in the Kāpiti district

f.     To create a multi-purpose, dynamic facility for the community

19      These objectives along with the specific requirements for the site and the facility were then used to develop a detailed design brief for the facility. The values for Maclean Park established in the Management Plan were noted as the principles underpinning the design.
Key designed requirements included:

-     Coastal site - including wind, no-build set-backs and fragile dune environment

-     Public site - including crime prevention through environmental design

-     Ecological values - recognising the stream and dune restoration, and valuing water

-     Cultural values - the significance of the site and importance to mana whenua

-     Visitor needs - island visitors, park visitors and visitors to the Kapiti region

-     Biosecurity requirements - supplied by DoC

-     Best practice build - including relocatable, storm water, rain water and materials used

-     Tour operators needs, including check-in, process, briefing areas, boat loading

-     Future proof – how can it be expanded in future.

20      In order to meet the PGF timeframes, complete a fair procurement process and enable maximum creative input a design competition was organised.  Five architecture firms from Kapiti and Wellington with proven coastal / iconic building expertise were asked to supply concept designs as part of this process.  Four architects accepted the invitation, two from Wellington and two from Kapiti.

21      Each architect was supplied with an indicative total project budget of $4m plus the detailed design brief along with necessary site and pre-design surveys.  The concept designs were then assessed by a panel made up of the Governance Group plus two independent architects, with specialist input in relation to the Park, Resource consent and biosecurity requirements. 

22      After the first review by the selection panel, two preferred designs emerged. In order to assist the panel with the final selection, both architects were asked for further clarification on the same elements of their concepts. Based on the responses to these questions and the panel’s overall assessment of the concept, the proposal submitted by Athfield Architects was selected as the preferred option.

23      The Athfield Architects design was identified as the preferred concept because it best met the design brief.  The selection panel provided the following feedback in support of the proposed concept:

•        Contemporary, beach weathered timber asthetic in keeping with the location

•        Ecological / sustainable design

•        The building is used to tell the history and stories unique to the area

•        Good inspection room, briefing & holding areas for biosecurity requirements

•        Low-risk construction

•        Allows for future expansion

•        Best multi-use / flexible space

•        Best connection with park, town & landscape

•        Relocatable

•        Weaves the culture into the building and landscape

An artist impression of the Athfield Architect concept design is shown below. Further artist impressions of the concept design are attached as Appendix 1.

 

24      Following the selection of the preferred architect it was necessary to understand whether the proposed design could be built within the estimated project budget and also the likelihood of obtaining a resource consent for the design. The costs were reviewed by Quantity Surveyors, Rawlinsons Ltd, who confirmed an estimated cost for the building of $4.06m. This included a total contingency of 20%.  This was in line with the project budget and is outlined in more detail below.  The $4.06 million estimate was received during the COVID-19 lockdown. As part of our due diligence process we asked Rawlinsons to review the estimated project costs again, noting that as a result of COVID-19 there is a degree of uncertainty in the building and construction sector. The project budget has subsequently been revised to $4.46 million.

25      It’s important to note that this figure will be checked again as we move to the detailed design phase. The final costs won’t be known until we put out a tender for the construction of the building.

 

Project Budget

 

 

Buildings, finishes, FFE, containers

1,660,961

 

External works, decks, bridge, landscaping, site services, carvings

1,254,416

 

 

 

2,915,377

Construction Contingency @ 20%

583,075

 

 

 

3,498,452

COVID19 contingency @ 15%

437,307

 

 

 

3,935,759

Other fees, consents, design, project mgmnt @15%

524,768

 

 

 

 

GRAND TOTAL

 

4,460,527

 

26      An independent planner, Cuttriss Consultants Ltd, has been contracted to prepare the resource consent applications for Kapiti Coast District Council and Greater Wellington Regional Council. These included an initial review of the proposed design to ensure there were no significant issues from a resource consent perspective. In Cuttriss’s opinion, any effects from a resource consent perspective are minor.

27      In order to inform and support the proposal the following assessments have also been contracted for the project:

-        archaeological survey
-        topographic survey
-        traffic impact assessment
-        structural engineering assessment of the proposed building and bridge

-        verification that the building is relocatable
-        geotechnical assessment of the site
-        environmental impact assessment
-        cultural impact assessments (from Te Āti Awa and Ngāti Toa)
-        ecological impact assessment
-        visual effects assessment

 

Parking

28      Part of the proposed site for the Gateway is currently a public carpark within Maclean Park, holding 32 carparks, including two mobility parks.  The reconfigured carpark following the development of the Gateway will hold 15 carparks, including two mobility parks and a drop off/pick-up only park.  A customer survey of recent visitors to Kapiti Island showed that 85% of them park in “off-road carparks by the beach”, which includes both the proposed site and the Boating Club carpark.  Tours to the island are an existing activity, but the Visitor centre activity would be new, and as such, the district plan indicates that a further three parks would be required to service the building activity.  

29      Based on the removal of 17 carparks and the requirement for the provision of 3 carparks for the new facility, there will technically be an impact of 20 carparks from the development of the Gateway.

30      In order to offset this impact, Council have signed a Letter of Understanding with the Paraparaumu Beach Golf Club for 30 carparks to be used by island tour visitors.  The Golf Club would develop the carpark at their cost and charge users for the carparks. Both tour operators are willing to create an add-on (build into overnights) to their ticket prices for the Golf Club carparking. Both operators believe many of their customers will prefer to use these parks than park by the beach.  This is further substantiated by a customer survey of recent island visitors, where 48% of respondents indicated that they would be willing to pay for an off-site carpark rather than take up a public carpark for the day.

31      Other options such as introducing time restricted parking may also need to be explored.  In addition, further work will be undertaken by the Access and Transport team regarding parking as a whole in the Paraparaumu beach area. 

Provincial Growth Fund

32      Throughout this project we have been in regular contact with the Provincial Development Unit (PDU), and they have encouraged us to submit the project forward to the PGF for up to 50% funding.  Initially, a deadline of early May 2020 was advised.  However, since the COVID19 crisis, the PDU have clarified their priority as being for projects which are able to commence groundworks within 6 months and provide new employment.  They are awaiting an application for the Gateway.  We would work towards submitting an application in June 2020, if approved construction is forecasted to commence in December 2020. 

33      If the PGF application is not submitted very swiftly, it is unlikely to be successful.  The fund will close soon for the coming General Election. It is also possible that the fund may become fully subscribed.  There are no other immediate sources of funding identified.

34      If the PGF application is not submitted, or is submitted but is unsuccessful, Council will need to decide whether to proceed with building a Gateway Centre as part of the Long Term Planning process.

COVID-19

35      As part of the recovery response to COVID-19, construction projects have been considered to be an area of significant focus for government in order to provide employment opportunities. It is estimated that the project will create at least 14 jobs over the 9 month construction period.  There will also be employment created for professional service providers and suppliers.

36      The Gateway is considered to be a significant asset for local tourism sector, along with supporting sectors such as hospitality and retail. The project will help create awareness of the Kapiti region amongst its key market, domestic travellers. The Gateway will not be ready to open until October 2021, by which point NZ’s borders are expected/hoped to be re-opened and the Gateway would help to firmly position Kapiti as a tourism destination for international visitors. 

Visitation Growth Potential                        

37      The potential to increase visitation to Kapiti Island is significant.  By working with partners it may be possible to implement changes which would enable and/or stimulate growth such as:

- converting the daily limit to an island limit (which would enable Dawn Chorus and Twilight   Chorus tours, for which there is strong demand)
- introducing different types of tours which do not require landing on the island (such as glass-bottomed boat, snorkel with seahorses, and seal-pup nursery boat trips)
- improving tracks on the island
- improved marketing, for example, if the Wilkinson Track (summit track) was made into a Great Walk, the awareness of Kapiti Island would grow significantly – on par with the Tongariro Alpine Crossing.
- the Gateway building is likely to be the catalyst for shore-based tourism also, for example bike, kayak or waka hire.

38      Tourism growth for the Kāpiti Coast has averaged 6.5 percent annually over the last decade compared to 8.1 percent across the whole of New Zealand. The tourism industry employed an average of 1,199 people, or 6.8 percent of the Kāpiti Coast’s workforce in 2019. Employment growth in the tourism sector has averaged 2.1 percent per annum since 2000.

Economic Impacts

39      An Economic Impact Assessment (EIA) has been undertaken by Sean Bevin, Economic Solutions Ltd (ESL).  The specific aspects of the proposed development covered in the analysis include the construction period, initial operation, and future growth. 

40      The economic impacts of the construction period to the Kapiti economy is estimated in the table below:


         Economic Impact Components

Economic Impact Measures

Revenue ($M)

Net Household Income ($M)

Employment (Persons)

Value Added/ GRP ($M)

Initiating Expenditure

4.00

 

 

 

Total Direct Economic Impacts

4.00

0.53

6

0.84

Total Flow-on Production and Consumption Economic Impacts

3.70

0.52

8

1.13

TOTAL KĀPITI COAST DISTRICT ECONOMIC IMPACTS

7.70

1.05

14

1.97

 

41      The economic impacts of the Kāpiti Gateway Visitor Operation and Annual Visitation to Kapiti is estimated in the table below:

   Economic Impact Components

Economic Impact Measures

Revenue ($M)

Net Household Income ($M)

Employment (Persons)

Value Added/ GRP ($M)

Initiating Total Expenditure

3.15

 

 

 

Total Direct Economic Impacts

3.15

0.80

20

1.39

Total Flow-on Production and Consumption Economic Impacts

2.76

0.33

7

0.85

TOTAL KĀPITI COAST DISTRICT ECONOMIC IMPACTS

5.91

1.13

27

2.24

 

42       Forecast Kāpiti Coast District Visitor Spending Economic Impact Scenarios
(not including Gateway operations impacts)

Visitor Scenarios

(# of Visitors

Total Annual

Revenue

 $M

Economic Impacts

Net Household

Income

$M

Employment

(Persons)

Value Added/GRP

$M

30,000 (Yr 2025)

10.84

1.96

48

4.16

45,000 (Yr 2030)

16.26

2.94

72

6.24

58,000 (Maximum)

20.98

3.79

93

8.05

 

Considerations

Policy considerations

43      Given the proposed Gateway Facility is to be located within Maclean Park, this proposal has been considered in relation to the 2017 Maclean Park Management and Development Plan. It is noted that the Development Plan enables the Gateway to be located within a specified area of the park. The proposal is within this area.

Legal considerations

44      The development and operation of the Gateway facility in Maclean Park needs to be in accordance with 2017 Maclean Park Development and Management Plan. Representatives of the Parks Team have been involved in the development of this proposal and this has included a review of the proposed design and the resource consent requirements.

45      The Council’s legal team have advised on aspects of the procurement process and will be requested to provide further support if the proposal progresses. 

46      There are no additional legal considerations at this stage.

Financial considerations

Development Budget

47      The feasibility study completed by TRC indicated a build cost of approximately $3.5m for the Gateway Centre, however this did not include allowances for consents, fees and business case development. This preliminary figure provided the basis for the $4m budget that informed the architects along with the design brief.

48      As noted above, an additional “COVID19” contingency has been applied, given there is a degree of uncertainty in the building and construction sector.

49      Based on the above QS reviewed budget the total funding required for development of the Gateway facility is $4.46m. As outlined previously it is proposed to request funding of 50% or $2.23m from the PGF. This would require a funding contribution of $2.23m from Council in order to confirm in the PGF application that the remaining funding requirement is approved. This is a key consideration for the PGF in order to guarantee that the project will commence and be completed.

Operational Budget

50      An indicative operational budget for the Gateway facility has been prepared by Council officers, after engagement with the Governance Group and tour operators about key operating model assumptions.  The operating model will be further refined with partners in the next stage of the project. 

 

Kapiti Gateway

20/21

21/22

22/23

23/24

24/25

25/26

26/27

27/28

Revenue

0

256,050

315,400

332,750

350,950

370,050

$389,155

$408,571

Total Revenue

0

256,050

315,400

332,750

350,950

370,050

$389,155

$408,571

Personnel Costs

0

90,000

120,000

120,000

120,000

120,000

$120,000

$120,000

Other Operating Expenses

0

48,719

64,958

64,958

64,958

64,958

$64,958

$64,958

Depreciation

0

76,032

101,376

101,376

101,376

101,376

$101,376

$101,376

Finance Expense

23,569

70,793

107,053

107,053

107,053

107,053

$107,053

$107,053

Total Expenses

23,569

285,544

393,386

393,386

393,386

393,386

$393,386

$393,386

Net Operating Profit/(Loss)

(23,569)

(29,494)

(77,986)

(60,636)

(42,436)

(23,336)

($4,231)

$15,184

 

51      The operational budget is based on what is considered to be realistic and achievable based on current known information.  It includes estimated personnel and operating costs, as well as allowing for depreciation and interest (on the increased total budget due to the COVID19 contingency). The operating model is yet to be confirmed. For the purpose of this indicative budget, the personnel cost includes two staff working in the facility. This will be reviewed further as detailed design is undertaken and the operating model is developed. A desired outcome is to develop a self-sustainable model as soon as possible.

52      The operational budget shows the facility becoming break even in its 6th full year of operation, 2027/28. There is a shortfall in the years leading up to this, with a peak operational shortfall of $78k in 2022/23. The total budgeted operational shortfall is $262k over the seven year period from 2020 to 2026.

53      Council officers will continue to look at options to further offset the operating shortfall such as corporate partners, fundraising initiatives and seeking grants specific to educational, cultural and environmental programmes. There may also be some opportunities to off-set the capital costs, such as grants for artworks and carvings, landscape or plantings, etc.

Tāngata whenua considerations

54      Maclean Park is situated in an area of great historical significance to the people of Te Ātiawa and Ngāti Toarangtira. The wider area was originally occupied by the settlement know as Te Uruhi Pā, which was located in the vicinity of Te Uruhi Lake and the Tikotu Stream which flowed from the lake out to sea. Traditionally, the Tikotu provided for mahinga kai (gathering of food) to support the community living there.

55      The Maclean Park Management Plan states that Te Uruhi Pā and its shoreline have particular significance as a tauranga waka, or boat landing. Oral history tells of this point being one of the first key landing sites of Te Ātiawa and Ngāti Toarangatira as they arrived on their series of migrations down to settle the Kāpiti Coast and Porirua areas from 1822. Te Uruhi was initially settled by Ngāti Toarangatira chief Te Rangihaeata and his followers for a few months, before they moved to Kāpiti Island, where it became the strategic centre of their rohe. It was then allocated to the Ngāti Puketapu hapū of Te Ātiawa who became the permanent occupants of the pā. The land is recorded as being owned by the chief of Ngāti Puketapu, Ihakara Te Ngarara.

56      Both Te Ātiawa and Ngāti Toarangtira have been engaged at all stages of conversation around Maclean Park and the Kapiti Gateway proposal.  Both Iwi have been actively represented as part of the project’s Governance Group and have played a key part in the development of this proposal.  As part of the resource consenting process, Cultural Impact Assessments have been commissioned from both Iwi.

Strategic considerations

57      The Gateway Project sits within the framework of the Council’s 2018-38 Long-Term Plan and was noted as a project to be investigated in the first three years of the LTP.

Significance and Engagement

Significance policy

58      This matter has a low level of significance under Council’s Significance and Engagement Policy.

Consultation already undertaken

59      As outlined above, there has been various forms of consultation with the community, including iwi, stakeholders and community representatives over several years.

60      Following the feasibility report by TRC undertaken in 2013 there have been a number of key steps that have informed this project:

·    Development of the Maclean Park Management and Development Plan in 2017 (significant consultation over an 18 month period)

·    Community engagement on potential Provincial Growth Fund projects in 2018

·    Completion of an updated project feasibility report by TRC in 2019/20.

61      The 2019/20 TRC feasibility report provided significant consultation (independent of Council) with a wide range of partners, stakeholders and key community representatives.  A key outcome from the feasibility report being a consensus between all parties on the location and functions of the Gateway facility.

62      In order to continue this engagement and involve partners and stakeholders in the development of the project, a Governance Group and Advisory Group were formed and Terms of Reference were developed. 

63      The purpose of the Governance Group is to provide project oversight and to make a recommendation to Council. The purpose of the Advisory Group was to enable communication between key stakeholders and key community representatives and to provide advice to the Council’s Project Manager.  The representatives within the Governance Group and Advisory Group are outlined above.

64      Elected members have been briefed on the project:
- March 7 2020; regarding the project strategy and concept procurement plan
- April 28 2020; for a project update and preferred concept
- May 14 2020; to review all concepts received and selection process

65      A letter of support has been received from the Paraparaumu Raumati Community Board, noting that three members of the community board do not support the PGF application.

Engagement planning and publicity

66      A communications and engagement plan has been developed for the Kapiti Gateway project.  Whilst, necessarily, communications were limited during the lockdown period, there has been a Gateway section of the Council website since early March.

67      The preferred design, selection criteria, Council decision, PGF funding application, and benefits to the wider community of the proposal will be communicated. 

68      Neighbouring residents of the site, though contacted in earlier stages of the project, will also be invited to a site visit, where the concept plans and effects will be discussed.

69      Should the PGF application be successful, a significant community engagement and communications plan will be implemented.  This will include, but is not limited to, public “drop-in” workshops with the project team (e.g. a stall at the Saturday morning Paraparaumu Beach market), signage at the site, regular Advisory Group meetings, updates of the Gateway page on the Council website and updates via the usual Council channels.

70      The Athfield concept is currently at the preliminary/early developed design stage.  If the project progresses, the next stages - developed and detailed design - will require significant input from iwi, users, stakeholders and community representatives.  Including artists, carvers, weavers etc, to ensure that the stories to be “heroed” through the building and landscape are appropriate.  Tāngata whenua will need to be at the heart of these conversations and decisions.

 

Recommendations

71      That the Council approves an application being made to the Provincial Growth Fund for fifty percent ($2.23m) of the total development costs for the Kapiti Gateway Project and delegates to the Chief Executive the authority to sign off the final application and support material in general accordance with this report.

72      That the Council notes that officers will provide reprioritised capex budgets for the council share of development costs, once the PGF application is approved and detailed design is confirmed – including construction timelines.

 

 

Appendices

1.       Kapiti Gateway Artist Impressions  

 


Council Meeting Agenda

28 May 2020

 

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Council Meeting Agenda

28 May 2020

 

8.3         Sustainable Transport Strategy

Author:                    Suzanne Rushmere, Roading Network Planner

Authoriser:              Sean Mallon, Group Manager Infrastructure Services

 

Purpose of Report

1        To obtain Council approval to undertake public consultation on the Draft Sustainable Transport Strategy.

Delegation

2        Council has the authority to make this decision under section A2 of the Governance Structure.

Background

3        Our existing Sustainable Transport Strategy was adopted in 2008. Whilst many of the principles remain relevant, there have been changes to the transport network in Kāpiti and legislative amendments that have necessitated a review.

4        Changes to the transport network have included the Roads of National Significance Projects, double tracking to Waikanae and the implementation of the Stride and Ride programme.

5        From a legislative perspective there has been

·    changes to the Land Transport Act;

·    the Ministry of Transport has developed the Transport Outcomes Framework; and

·    the Government Policy Statement on Land Transport has increased the importance of safety and a no one mode takes priority approach.

6        The Draft Sustainable Transport take account of these changes and identifies our key challenges, vision and objectives and key actions to achieve a sustainable transport network. Its purpose to provide a framework that:

·    guides decision making;

·    enables a relationship with other strategies (such as the Development Management Strategy); and

·    forms the basis of discussions with key transport stakeholders and investors.

Issues

Issues

7        The key challenges for transport include:

·    The level of growth anticipated in Kāpiti;

·    A network under pressure as a result of congestion, lack of mode choice and parking issues;

·    Service provision and lack of access related to public transport options;

·    Reliance on the private car as a result of lack of mode choice and land use choices;

·    Demographic change;

·    Safety, particularly for our vulnerable road users;

·    Resilience and responding to unexpected events;

·    Environment and amenity including the impacts of climate change, transport as a contributor to climate change and how amenity can impact travel choice; and

·    Affordability relating to infrastructure provision and ability to access transport opportunities.

8        The Draft Sustainable Transport Strategy addresses these through the development of five outcomes and eight focus areas. The focus areas will not identify specific schemes as this will quickly become out of date, and a particular scheme may not be the only means of achieving the same outcome.

9        Instead the Draft Sustainable Transport Strategy will identify key principles that will be applied in developing our transport programmes.

10      It is proposed to publically consult on the Draft Sustainable Transport Strategy from 3 April until 15 May, if Council approves the current draft.

Next Steps

11      It is proposed that the outcomes of the consultation will be incorporated into the Draft Sustainable Transport Strategy, and the draft final strategy will be reported to Council on 26 June 2020.

Considerations

Policy considerations

12      There are no policy considerations at this stage of the strategy.

Legal considerations

13      There are no policy considerations at this stage of the strategy, and the strategy is not required to follow the special consultative procedure set out in the Local Government Act.

Financial considerations

14      The development of the strategy will be funded from existing budgets. Whilst the strategy guides programme development, specific schemes will be consulted on as part of a future Annual Plan or Long Term plan process.

Tāngata whenua considerations

15      Te Whakaminenga o Kāpiti received a briefing on the review the Draft Sustainable Transport Strategy on 4 February 2020 and were invited to the Council workshop on 18 February 2020.

16      In developing the Draft Sustainable Transport Strategy consideration has been given to the principles of

·    Manaakitanga – which is concerned with the wellbeing of families and communities;

·    Te Reto – it is fundamental that the language is treasured;

·    Kotahitanga – working in partnership to build strength; and

·    Tino Rangatiratanga – self-determination, control and decision-making, including a strong role for kaitiakitanga.

 

17      The new iwi relationships team have had some opportunity to input into the development of the Draft Sustainable Transport Strategy. However, further work will be required to ensure that the Māori World View is captured through the consultation process and appropriately reflected in the strategy.

Strategic considerations

18      The outcomes and focus areas in the Draft Sustainable Transport Strategy have a high level of consistency with the outcomes and goals in the Long Term Plan. These are identified in detail in the attached Draft Sustainable Transport Strategy in detail but fall within the following themes:

·    The transport network;

·    Integrating transport and land use;

·    Resilience;

·    Environment and Amenity; and

·    Affordability.

19      They will contribute to the following outcomes and goals in the Long Term Plan:

·    infrastructure investment that supports growth;

·    improved accessibility to Council Services;

·    an effective response to climate change;

·    wise management of public resources;

·    a community that is more resilient; and

·    improved biodiversity and environment and through sustainable practices.

 

Significance and Engagement

Significance policy

20      This matter has a low level of significance under Council’s Significance and Engagement Policy. The strategy does not affect a strategic asset, is not required by legislation, does not incur capital expenditure and is consistent with the Long Term Plan.

Consultation already undertaken

21      The briefing on the review of the Sustainable Transport Strategy was presented to Council on 28 January 2020 and Te Whakaminenga o Kāpiti on 4 February 2020.

22      Council, Te Whakaminenga o Kāpiti and the Community Boards were invited to a workshop on 18 February 2020. The outcomes from this workshop were presented to Council on 17 March 2020 and have informed the development of the strategy.

23      Since then officers have met with some interest groups to increase awareness of the review, begin early engagement, and encourage further involvement through the public consultation process. These included including the Cycleway Walkway Bridleway Advisory Group and the Disability Advisory Group.

24      Officers will continue to meet with other interest groups such as the Youth Council and Older Persons Council in the coming weeks.

Engagement planning

25      An engagement plan is not needed to implement this decision, however, a communications plan is currently being finalised to inform the public consultation process. Consultation will seek feedback on the Draft Sustainable Transport Strategy to inform the final document.

Publicity

26      A communications plan is currently being finalised. This will include details on how and when the Strategy will be made publicly available and how interested partied can make submissions.

Recommendations

27      That Council approves the Draft Sustainable Transport Strategy for formal public consultation.

 

 

Appendices

1.       Draft Sustainable Transport Strategy  

 


Council Meeting Agenda

28 May 2020

 

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Council Meeting Agenda

28 May 2020

 

8.4         Finance Report as at 31 March 2020

Author:                    Anelise Horn, Manager Financial Accounting

Authoriser:              Mark de Haast, Group Manager Corporate Services

 

Purpose of Report

1        This report sets out Kāpiti Coast District Council’s (Council) financial performance and position for nine months ended 31 March 2020 including the full year forecasts with explanations of key results and variances.

Delegation

2        The Council has delegated authority to consider this report.

Background

3        The report sets out the Council’s financial information across nine broad areas:

Part A:        Statement of Comprehensive Revenue and Expense

Part B:        Statement of Financial Position

Part C:        Statement of Cash Flows

Part D:        Summary of Rates Funding

Part E:        Water Account Statement

Part F:        Capital Spending Programme

Part G:       Outstanding Rates Debt

Part H:        Treasury Management

Part I:         Asset Revaluation

 

4        New Zealand moved to Alert Level 4 in response to COVID-19 on Wednesday 25 March 2020. The Council closed its customer service centres, libraries, aquatic centres, community centre and halls from 5.30am on Monday 23 March 2020. Reduced fees and charges estimates from closing these facilities as well as likely impacts on planned work programmes for 2019/20 are included in this report.

5        Council publicly released its multi-stage community support package on the 9 April 2020 and retrospectively approved Stage 1 – Sustain Community Support Package on the 30 April 2020. The current costs of the community support package is not included in this report but will be reported in future Finance Update Reports to the Council.


 


Part A: Statement of Comprehensive Revenue and Expense

 

6        The statement of comprehensive revenue and expense covers all of the Council's revenue and expenditure for the reporting period.

7        The net position of revenue less expenditure provides the operating surplus or deficit for the reporting period.

8        Table 1 below outlines the Council’s actual revenue and expenses for the nine months ended 31 March 2020, including the full year budget and forecast for 2019/20.

 

Financial performance summary

March Year to Date

9        The Council is $5.6 million favourable to budget as at 31 March 2020. Revenue is $3.6 million favourable to budget, mainly due to $2 million of assets vested to Council in March 2020. Similarly, operating expenditure is $1.9 million favourable to budget, mainly due to less spending in areas such as personnel, maintenance and operations and interest expenses are less than planned due to less debt then planned and lower interest rates.  

10      Council’s across New Zealand use financial derivatives to “fix” their interest rates rather than relying on floating interest rates, so as to provide more certainty over cash flows and protection against adverse movements in market rates.

11      The unrealised loss on revaluation of financial derivatives of $5.5 million reflects continued softening of market interest rates since 30 June 2019, compared to the Council’s committed financial derivatives.  This revaluation needs to be shown in our financial statements but it is not a real loss as there is no intention to prematurely terminate these commitments.

Full Year Forecast

12      The Council is forecasting to be $2.3 million favourable to budget at year end. This is mainly due to stronger revenue from additional NZTA subsidies received from projects being completed earlier than planned and high value vested assets and development contributions being received from several Waikanae developments.

Revenue performance - commentary

13      Fees and charges

Description

Fees and charges includes all non-rates revenue earned by the Council for providing services to the community. This also includes fines and penalties charged.

Year to date:

Generally in line with budget.

Full Year Forecast:

New Zealand moved to Alert Level 4 in response to COVID-19 on Wednesday 25 March 2020. The Council facilities including service centres, libraries, aquatic centres, community centre, halls and venues were closed from 5.30am on Monday 23 March 2020.

$1.5 million unfavourable to budget as a result of Council facility closures due to COVID-19.

 

14      Grants and subsidies

Description

Includes grants received by the Council for operating and capital spending. The majority of grants revenue is received from NZ Transport Agency (NZTA) for their share of our roading maintenance and capital investment.

Year to date:

$323,000 favourable to budget due to additional NZTA funding received from the completion of the Mazengarb & Tasman road shared path projects (Stride N Ride) & road resealing starting earlier than planned.

Full Year Forecast:

$583,000 favourable to budget mainly due to several NZTA projects being done earlier than planned (i.e. the Ratanui roundabout and the Kāpiti Road widening).

 

M2PP also agreed to pay the Council $100,000 in lieu of undertaking lining works on several stormwater pipes they installed as part of the overall project. This was not included in the 2019/20 Annual Plan.

 

In the previous triennium, the Council authorised the Chief Executive to reassign this unbudgeted revenue of $100,000 to help fund the costs of the unbudgeted independent organisational review.

 

 

15      Development and financial contributions

Description

Development contributions are levied under the Local Government Act 2002 and cover all key activities except reserves and are also levied on developers at the time of subdivision. Developers’ contributions to the Council works are treated as revenue. 

 

Financial contributions are levied under the Resource Management Act and cover reserves contributions levied on developers at the time of subdivision.

Year to date:

$938,000 favourable to budget mainly due to the following:

·    Hudson Place & Manu Heights Stage 1 developments applied for their S224C in February 2020 and a total of $1.2 million was invoiced.

·    47 of the 75 lots for the Kohe Kohe development were invoiced in March 2020, totalling $521,000.

·    Offsetting this is a credit of $300,000 following Council approval to accept the development and provision of a pocket park in the Ngarara Waimeha Development in lieu of reserve contributions as originally planned.

Full Year Forecast:

$1 million favourable to budget at year end as explained above.

 

16      Other operating revenue

Description

Includes assets vested to the Council, local government petrol tax, donations and/or sponsorship and realised gains on asset disposals. Note also, that the value of land vested to the Council as part of subdivision activity in any year is recorded as revenue in that year.

Year to date:

$2.4 million favourable to budget mainly due to $2 million of assets vested to the Council in March 2020 ($1.8 million for Manu Park Stage 1, Waikanae and $170,000 for 206 Ngarara Road, Waikanae).

Full Year Forecast:

2.4 million favourable to budget at year end as explained above.

 

17      Interest income

Description

Interest income represents the Council’s earnings on its term deposits, overnight cash deposits and borrower notes held by the Local Government Funding Agency.

Year to date:

$80,000 unfavourable to budget mainly due to lower deposit rates.

Full Year Forecast:

$290,000 unfavourable to budget at year end as explained above.

 

Expenditure performance - commentary

18      Personnel, maintenance and operations

Description

Includes personnel expenses, maintenance, business-as-usual Council operating expenses, internal recoveries, grants and other sundry expenses.

Year to date:

$1.7 million unfavourable to budget mainly due to less spend than anticipated. This does not reflect savings in operating expenditure but instead, it represents temporary timing differences of planned expenditure.

Full Year Forecast:

$331,000 unfavourable to budget at year end  mainly due to increased spending expected on the following activities:

·    Council’s property asset management improvement programme, including condition assessments of Council buildings;

·    increased remuneration for elected members in line with recommendations from the remuneration authority;

·    work to understand the housing issues in the district;

·    the unbudgeted independent organisational review. This is partially offset by additional unbudgeted revenue from the M2PP projects of $100,000 as discussed above;

·    meeting current resourcing needs across many areas of the Council; and

·    Council’s Phase 1 – Sustain Community Support package costs.

 

19      Depreciation and amortisation

Description

Depreciation reflects the use of our property, plant and equipment and intangible assets currently owned by the Council.

Year to date:

$145,000 unfavourable to budget mainly due to the following:

·    Unbudgeted additional deprecation from NZTA connector roads (i.e.  Hadfield Road) originally planned for 2021/22 was vested to Council from NZTA during 2018/19.

·    The final revaluation of roading assets as at 30 June 2019 was higher than planned, resulting in higher depreciation.

Full Year Forecast:

$346,000 unfavourable at year end as explained above.

 

20      Finance expense

Description

Interest is incurred on borrowings.

Year to date:

$379,000 favourable to budget mainly because the Council had less net debt as at 1 July 2020 than planned and the Councils weighted average cost of borrowings is lower than planned.

Full Year Forecast:

$633,000 favourable to budget at year end as explained above.

 

21      Unrealised gain / (loss) on revaluation of derivatives

Description:

1.   The Council recognises its interest rate swaps at fair value on a monthly basis.

2.   The change in fair value between 30 June 2019 and 31 March 2020 is treated as either an unrealised gain (fair value has decreased) or an unrealised loss (fair value has increased).

Year to date:

5.5 million unfavourable to budget mainly due softening of market interest rates compared to the Council’s committed financial derivatives.  This revaluation needs to be shown in our financial statements but it is not a real loss as there is no intention to prematurely terminate these commitments.

Full Year Forecast:

Due to the high volatility of market interest rates, the full year forecast is set to the year to date actual variance.

 


 




Part B: Statement of Financial Position

 

22      The Council’s financial position as at 31 March 2020 and full year forecast and budget are set out in Table 2, followed by a summary of the key variances.

 

Year to date summary

23      The Council’s only material changes to its financial position since 30 June 2019 were in respect to other financial assets and gross borrowings.

24      During the third quarter, the Council issued $10 million of new debt. $5 million was towards the current year’s capital works programme and $5 million towards the prefunding of the May 2021 debt maturity. The total amount of new debt issued since 30 June 2019 is $35 million. The funds that are placed on term deposit, as part of the Council’s prefunding programme are placed at the most favourable rates available in the market at the time (see part H: Treasury management).

25      $20 million of long term debt matured during September 2019 that was fully funded through the prefunding programme and repaid from term deposits maturing on the same day.

Full year forecast summary

26      Officers’ have reviewed Council’s 2019/20 capital works programme and expect to spend $12 million less than planned on renewing and upgrading Council’s  assets (See part F: Capital Spending Programme for further information). Consequently, net borrowings are forecast to be lower than budget at year end.

27      Derivative financial instruments are currently forecast to be $13.9 million higher than budget. This is mainly due to the fall in fixed interest rate swap rates since the setting the 2019/20 Annual Plan budget in March 2019.





Part C: Statement of Cash Flows

 

28      The Council’s cash flow for nine months ended 31 March 2020 and the full year forecast and budget are set out in Table 3, followed by a summary of key variances.

 

 

Year to Date Summary

29      The Council’s material changes to its cash flow management for the nine months ending 31 March 2020 were:

·        $20 million of long term debt matured during September 2019.

·        $35 million of new debt was issued year to date. $30 million was placed on term deposit towards the prefunding the April 2020, October 2020 and May 2021 debt maturities and $5 million was used for the current year capital works programme.

·        $25 million of term deposits matured ($20 million was prefunded for the repayment of the September 2019 debt maturity and $5 million of surplus cash that was placed on fixed deposit for final payment of the 2018/19 capital works programme).

·        $17.56 million was paid towards the Council’s capital expenditure programme.






Part D: Summary of Rates Funding

 

30      The summary of rates funding covers the Council’s revenue and expenses that are funded by rates. It is a sub-set of the statement of comprehensive revenue and expense on page 2 which covers all of the Council’s operating revenue and expenses. 

31      Table 4 below details the actual rates funding deficit forecast for the year ending 30 June 2020:

 

32      A $1.4 million rates funding deficit is currently forecast for 2019/20 mainly due to reduced fees and charges as a result of Council facility closures in response to COVID-19.


 



Part E: Water Account Statement

 

33      Since water meters were introduced in 2014, the total operational cost of supplying potable water, which includes reticulation and treatment, and the rates we have received, has been tracked as part of the water account.  The water account is a closed account. This means that any surpluses will be held within the account to fund future costs of providing water. Conversely, any deficits need to be recovered from future water charges.

34      Water usage has taken a number of years to normalise since districtwide water meter charging for all residential properties commenced from July 2014. Therefore, the Council has carefully monitored usage trends to best determine what charges are necessary to fully recover the total costs of providing a treated water supply over a rolling 5-year period.

35      The Council’s water revenue year to date is tracking to budget.

 

36      The table below outlines the water account position. As shown, we are planning to reduce the overall water account deficit from $0.5 million to $0.2 million by the end of the financial year. Further work is being done during the development of the 2020/21 Annual Plan and the following 2021-41 Long Term Plan to assess when the water account is likely to be fully funded.

 


 




Part F: Capital Spending Programme

 

37      A summary of our capital spending programme for 2019/20 is shown by activity against the full year forecast and full year budget in Table 6 below.


38      For the nine month period to 31 March 2020, the Council has completed $18.39 million of capital works to either renew or upgrade the Council’s assets.

39      During 2018/19, the Council committed to review the 2019/20 capital works programme to ensure it was deliverable and Officers’ are currently forecasting to spend $23.35 million for the year, which is $12 million less than originally planned.

40      In the economic development activity, the majority of the additional spending relates to work on Kāpiti Road for the completion of the shared path and widening of the road which has received additional funding from NZTA.

41      In the recreation and leisure activity, the unfavourable variance relates to the Mahara Gallery Trust funded project $3.47 million carried over from 2018/19 financial year.

42      The majority of this reduction is due to the intention to move $6.4 million of the funding for the drinking water safety and resilience project (DWSRP) to future years. This was due to delays in the establishment of the Water Professional Services Panel in 2018/19 to allow for a strategic procurement review. Those delays held back the awarding of the contract for the DWSRP and although the design work is progressing well the construction work is now planned to start in 2020/21. Other projects are also being put on hold due to COVID-19 such as work on Paraparaumu/Raumati Playgrounds, and swimming pools.

 

 

 

 

 

 

 

43      Indicative carry forwards are listed below:

Activity

Project

Amount $ to 20/21

Amount $ to 21/22

Comments

Carryovers requests from 2019/20

Access and Transport

Bridges/Culverts

  493,627

Waiting for IWI approval for Resource consent application.

Access and Transport

SH1 Revocation

1,009,000

Carried over to align with NZTA revocation delivery plan

Community Facilities and Community Support

Districtwide Access Control System

 

123,683

Lack of resources to carry out this project

Community Facilities and Community Support

EQP building remediation

60,000

A conversation has started with the Trust on their ongoing tenure.  A paper will be going to the Council in the next few months.  The Trust wishes to remain but the EQ remediation costs are significant and cannot be considered in isolation. This is an LTP issue for the Council to consider.

Community Facilities and Community Support

Otaki Theatre roof/Otaki Museum

  132,467

A more detailed report on the condition of the Theatre is underway following completion of the initial survey.  The extent of renewal / remediation will be determined at that point and is expected to be spent in Q1 2020/21.  This budget will be needed in its entirety for the Theatre. 

Community Facilities and Community Support

Paraparaumu College Sports Hall roof replacement

  255,250

Conversation with the College on deferring roof replacement has started.  $500k funds originally budgeted in 2020-21 is being moved to 2021-22.

Corporate

Health & Safety

65,561

Unspent Health & Safety funds to carry over for future health & safety initiatives in 2020/21

Corporate

Self-insurance Fund

  509,504

0% risk factor accessed for 2019/20 and unspent funds to be carried over.

Recreation and Leisure

Coastlands Aquatic Centre (CAC)

48,000

To be completed under temporary closure in 2021

Recreation and Leisure

Mahara Gallery council fund

 

246,020

To align with trust funded Mahara Gallery funding

Water Management

Drinking water resilience program

313,220

6,410,000

Delays in the establishment of the Water Professional Services Panel in 2018/19 held back the awarding of the contract for the DWSRP and although the design work is progressing well the construction work is now planned to start in 2020/21.

Total Carryovers requests from 2019/20

1,877,629

7,788,703

 

 

 

 

Carryovers requests from 2019/20 (due to Covid-19)

Coastal Management

Beach Accessways

46,314

Project delayed due to Covid19

Coastal Management

Coastal Restoration

19,535

Work couldn't be done in June, some plants purchased and this work needs to continue.

Coastal Management

Coastal Renewals

  100,654

Project delayed due to Covid19

Parks and Open Spaces

Mazengarb Reserve

10,000

This is committed spending but delayed due to Covid19.

Parks and Open Spaces

Paraparaumu /Raumati Playgrounds

85,000

Marere Avenue carried over – work already committed but unlikely to happen in June due to Covid19.

Parks and Open Spaces

Tasman Lakes

13,322

Work committed to residents

Recreation and Leisure

CAC - Cylinder Replacement moveable floor

38,000

Delays due to Covid19 - Technician unable to travel from Netherlands

Recreation and Leisure

CAC - 1 x New Pump, UV Ballast

  6,800

Parts sourced overseas

Recreation and Leisure

CAC - Sauna Seat

  6,200

Parts sourced overseas - Sauna contractor not available

Recreation and Leisure

CAC - ramp refurbishment

  5,000

5 yearly due, delayed due to closure of pool

Recreation and Leisure

Maclean Park art installation

54,000

Art installation is planned to be completed by June 2020 but expect delays due to Covid-19 lockdown. Project management contract is with Mills Albert.

Recreation and Leisure

Waikanae Pool - Hydroslide water treatment

10,000

Water quality in slide not meeting recommended guidelines - public safety at risk. Solution not identified until March – insufficient time to complete.

Recreation and Leisure

Waikanae Pool - Complete planned refurbishment

17,000

Originally planned for May - June but expect delays due to Covid-19 lockdown

Recreation and Leisure

Waikanae Pool - Slurry Tank replace

  2,500

Originally planned for May - June but expect delays due to Covid-19 lockdown

Stormwater Management

Category A - Habitable floor flooding

  236,640

Project delayed due to Covid19

Wastewater Management

Paraparaumu WWTP consent

  602,538

Project delayed due to Covid19

Water Management

Network Upgrades

  164,652

1,200,000

Project delayed due to Covid19

Total Carryovers requests from 2019/20 (due to Covid-19)

1,418,155

1,200,000

Total Carryovers requests from 2019/20

3,295,784

8,988,703

 

 






Part G:  Outstanding Rates Debt as at 31 March 2020

 

44      As part of the wider strategy of continuing to reduce the Council’s debt, we need to ensure that everyone is paying their property and water rates.

45      Like a number of other councils around the country, we are now using the services of a local government shared services agency, Debt Management Central (DMC), to assist our team with collecting outstanding rates debts.

46      This framework for recovery of unpaid rates is set out in the Local Government (Rating) Act 2002. DMC is working within the provisions of our rating policy and following our internal debt collection processes.

Improved collection of outstanding property rates

47      The total property rates outstanding as at 31 March 2020 was $2.05 million, which was a decrease of 7.0% from this time last year (31 March 2019: $2.38 million).

48      DMC and the Council’s debt collection staff have worked with ratepayers to set up workable payment arrangements.  Where a payment arrangement has not been agreed, and provided the property is subject to a mortgage, the Council has issued mortgagee notifications where appropriate.

49      Rate arrears collection by DMC has been put on hold since 25th March 2020 due to COVID-19.

50      The graph below shows a comparison of the $643,000 of rate arrears outstanding as at 31 March 2020 and for the previous three years.

 

51      The graph below details the rates arrears of $643,000 by property use/type. The majority of the total rate arrears are from residential and lifestyle properties.

 

52      The rates arrears from Māori freehold land are rates owed to the Greater Wellington Regional Council.

53      There are a small number of properties with significant outstanding arrears over a number of years. There are processes prescribed in the legislation for collection of this long outstanding debt.  In light of COVID-19, this will be considered very carefully and updates will be provided to the Council over the coming months.

 

Improved collection of outstanding water rates

54      A total of $408,000 of water rates is overdue as at 31 March 2020, which is a 17% reduction from the same time last year ($494,000 as at 31 March 2019). This significant reduction is due to the focus on collection by the Council over the last year in partnership with DMC.

55      Water rates payments received are first applied to water rate arrears. The chart below reflects the overdue and not-yet-due water rates as at 31 March 2020, 31 December 2019 and 31 March 2019.

56      The graph below details the total water rates outstanding by property use/type. The majority of the outstanding water rates are from residential properties.

57      $280,000 or 69% of outstanding water rates relate to individual debtor balances of less than $500.


 

58      Table 7 below details the total rate remissions approved to 31 March 2020 against the full year budget. Applications for rates assistance were posted to eligible property owners in December 2019, and we processed first batch of applications in February 2020.

59      Rates assistance grants are funded by rates and are a unique level of additional support provided by our Council to assist households in need. Further detail on the eligibility criteria can be found in the Council’s rates remission policy.

60      Year to date, central government rates rebates have been granted for 1,974 Kāpiti properties totalling $1.20 million. The Council provides the approved rates rebate (up to $640 per rateable property) to the successful applicants and recovers the costs directly from the Department of Internal Affairs (DIA).

61      The Council actively promotes the Government rates rebate and remissions on radio, Facebook and through advertisements in the local papers and has worked with Grey Power and the Older Persons’ Council to promote remissions and rebates more widely.

62      Kāpiti was one of three councils invited to take part in an online rates rebate trial during June 2019 with the DIA.  The other councils involved in the trial were Tauranga and Hutt City.  The online application was being trialled as an alternative to the current paper form, allowing customers to complete and submit an application at home without the need to provide supporting income information.  Customers were still required to come into the Council to have their application and declaration witnessed. There is a Bill currently before Parliament, the Rates Rebate (Statutory Declarations) Amendment Bill, which proposes to remove the requirement to sign a statutory declaration and have it witnessed.  The Council have submitted in support generally noting that there would need to be an alternative way to verify information provided if the statutory declaration was removed.

 


 


Part H: Treasury Management

 

Summary

63      We talk about our borrowings as gross and net. Gross is the total and net is what we owe less our financial assets – essentially the cash and term deposits we hold to repay borrowings. To make sure we can always cover repayments when they are due, we start to build up funds in advance of the due date and put those funds into term deposits. Our net borrowings therefore reflect the true position of what we owe.

64      The graph below shows how our total borrowings break down into gross and net. It also shows our strategy to keep below 200% of operating income – represented by the green line. Currently our borrowings are forecast to be 190% of our operating income at the end of June. Looking at borrowing against income shows how well an organisation (or even an individual) is placed to handle and repay borrowings in the future.

65      It is one of the key measures used by Standard & Poor’s when they assess our credit rating. While we could borrow more (up to 240% as outlined in our treasury management policy and shown by the orange dotted line), we chose to limit our borrowings to 200% of operating income and that becomes our ‘green line’. This approach is so we can afford to replace significant water and wastewater infrastructure in the future.

66      The table below shows the Council’s net borrowings as at 31 March 2020 against full year budget and the prior year.

 

67      $20 million of long term borrowings matured during September 2019. This was repaid using a term deposit that had been built up over the last 18 months in advance of the maturity.  This ensures there is adequate funding available when borrowings mature. We call this prefunding and it is a key tool used by the Council to manage our liquidity risk or risk that we may not have access to funding when we need it.

68      During the past quarter the Council has issued $35 million of new debt. $30 million was towards prefunding the April 2020, October 2020 and May 2021 debt maturities and $5 million towards the current year capital works programme.


 

69      The table below shows the movement in the Council’s debt balance for the past nine months.

 

70      As at 31 March 2020, the Council had $70.67 million of cash, term deposits and borrower notes on hand. This is broken down as follows:

71      During March 2020, the Reserve Bank of New Zealand reduced the official cash rate (OCR) by 0.75%, from 1.0% to 0.25%, and indicated that it will remain at this level for at least the next 12 months.

72      The Council’s weighted average cost of borrowing for the quarter ended 31 March 2020 was 4.19% compared to the budget of 4.8%.

Treasury policy limits

73      The treasury management policy (Policy) contains three financial ratios with either a maximum or minimum policy limit.

74      The Policy sets the maximum limit for the ratio of net interest expense to total operating revenue of 20%. The following chart shows actual limits achieved for each quarter.


 

75      The Policy sets the minimum limit for the liquidity ratio of 110%. This is a measure of the Council's available financial facilities compared to its current debt levels. The chart below shows actual limits achieved for each quarter.

76      The policy sets the maximum limit for net debt to operating income of 240%. This is a measure of the Council’s ability to repay its debt from the operating revenue it receives during a given financial year. Council’s preference is to be less than 200%.


 


Part I: Asset Revaluation

 

77      The Council’s asset valuations are performed with sufficient regularity to ensure the carrying amounts are maintained at fair value. All valuations are performed by independent qualified valuers.

78      By maintaining asset values at fair value, the Council ensures that it best achieves intergenerational equity whereby ratepayers pay their fair share, and only their fair share, of the assets they use and benefit from.

79      From 1 July 2015, the Council transitioned to an annual rolling asset revaluation programme as set out below. We have completed asset revaluations as at 30 June each year in and were expecting to move to a 31 March 2020 revaluation date this year.

80      However due to the effects of COVID-19, we have reviewed this and have reverted to 30 June 2020 revaluation date.  This is to ensure that our assets values have included any effect of COVID-19 which may impact on future years’ depreciation charges and rates revenue requirements.

Asset classification

Revaluation date

Subsequent revaluation

Land and buildings (including land under roads revaluations)

30 Jun 2020

Every three years thereafter

Parks and reserves structures

30 Jun 2020

Every three years thereafter

Water, wastewater and stormwater (including seawalls and river control)

30 Jun 2020

Every two years thereafter

Roading and bridges, (excluding land under roads)

31 Mar 2021

Every two years thereafter

 

81      For the 2019/20 revaluation programme we have engaged WSP New Zealand Ltd (formerly Opus) to complete the 3 waters revaluation.  Aon NZ Ltd have also been engaged for the revaluation of the Council’s land, buildings, parks and land under road assets.

82      Both valuers are expected to provide the Council with draft revaluation reports in May 2020 to enable Officers’ to complete their due diligence works on the assumptions underlying the revaluations. The final revaluation will be reported in the next Finance Update Report to the Council.

Considerations

Policy considerations

83      There are no policy implications from this report.

Legal considerations

84      There are no legal considerations arising from this report.

Financial considerations

85      The financial information as detailed in Parts A to I of this report is unaudited. Best endeavours have been made by all Council Officers’ to ensure the accuracy, completeness and robustness of the financial information contained herein as at the time of issuance of this report.

Tāngata whenua considerations

86      There are no specific tāngata whenua considerations arising from this report.

Significance and Engagement

Significance policy

87      This matter has a low level of significance under the Council Policy.

Publicity

88      There are no publicity considerations arising from this report.

 

Recommendations

89      That the Council receives this report.

90      That the Council notes the actual financial performance and position of the Council for the nine months ended 31 March 2020.

91      That the Council notes the forecast financial performance and position of the Council for the year ended 30 June 2020.

 

Appendices

Nil

 


Council Meeting Agenda

28 May 2020

 

8.5         Contracts Under Delegated Authority

Author:                    Jacinta Straker, Chief Financial Officer

Authoriser:              Sean Mallon, Group Manager Infrastructure Services

 

Purpose of Report

1        This report provides an update on any contracts over $250,000 accepted under delegated authority for the period 1 January to 31 March 2020.

Delegation

2        The Council has delegated authority to consider this report

CONTRACTS

3        There were no contracts over $250,000 accepted under delegated authority in this period.

Considerations

4        There are no legal, consultation and publicity considerations arising from this report.

Significance and Engagement

Significance policy

5        The Council’s significance policy is not triggered.

Recommendations

6        That the Council notes there were no contracts accepted under delegated authority over $250,000 for the period 1 January to 31 March 2020.

 

Appendices

1.       Contracts Under Delegated Authority for the 2019/2020 year  

 


Council Meeting Agenda

28 May 2020

 

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Council Meeting Agenda

28 May 2020

 

8.6         Possible Voting in Electra Trust Election 2020

Author:                    Leyanne Belcher, Democracy Services Manager

Authoriser:              Janice McDougall, Group Manager People and Partnerhips

 

Purpose of Report

1        This report seeks the Council’s decision on whether or not to exercise its voting right in the Electra Trust election 2020.

Delegation

2        Only Council may make this decision.

Background

3        Electra is locally owned and controlled. The Trust represents households and businesses in Kāpiti and Horowhenua who are connected to the local Power lines provided by its operating company Electra Ltd. Electra is wholly-owned by its consumers (the beneficiaries) who, in 2020, totalled 45,300 from Paekākāriki in the south to Foxton and Tokomaru in the north. The ‘shares’ are held on behalf of the consumers by a Trust, elected under a Trust Deed to represent the owner’s interests and protect their asset.

4        In accordance with the provisions of the Electra Trust Deed once a year, two of the six Trustees (the longest in office) must on a rotating basis either retire or re-stand for election, thus providing an annual opportunity for change in representation.

5        The Council is invited to consider the question of whether or not to exercise its voting right. Voting will close at noon on 12 June 2020.

6        In 2014, 2015, 2016, 2017, 2018 and 2019 the Council resolved not to vote.

Issues and Options

Issues

7        The Electra Trust has advised the following timetable

21 Feb           Call for nominations
24 April noon Nominations closed
18 May           Voting papers sent out
12 June noon Voting closes
14 June          Results published on Electra Trust website
18 June          Results in local newspapers                                                                                                              24 July           Results announced at Electra Trust AGM

8        The Trustees elect a Chair after each AGM. Sharon Crosbie CNZM OBE of Manakau is the current Chair, and the Trustees are Lindsay Burnell QSM of Ohau, Ray Latham of Paraparaumu, John Yeoman BBS ACA FCIS of Paraparaumu, Brendan Duffy ONZM,JP of Levin. Cr Janet Holborow is also a Trustee having been elected in 2018.

 

9        Lindsay Burnell, Kevin Burrows, Brendan Duffy and Neil Mackay are the nominated candidates standing for election to two trustee positions.

10      For the 2020 election, as the Council has 301 ICPs. For the year ending 30 June 2019 Council spent $2,154,978 including GST on electricity (compared with $2,171,790 in the previous year).

11      If the Council decides not to exercise its right to vote no further action will be required.

12      If the Council decides to exercise its right to vote the vote will be taken at the 11 June Council meeting.

Considerations

Policy considerations

13      There are no policy considerations.

Legal considerations

14      There are no legal considerations.

Financial considerations

15      There are no financial considerations.

Tāngata whenua considerations

16      There are no tāngata whenua considerations.

Significance and Engagement

Significance policy

17      This matter has a low level of significance under Council policy.

Consultation already undertaken

18      No consultation is required.

Engagement planning

19      An engagement plan is not needed to implement this decision.

Publicity

20      There will be public interest in this decision so the decision will be communicated via the Councils regular communication channels.

 

Recommendations

21      That the Council exercise / will not exercise its right to vote in the 2020 Electra Trust election.

 

 

Appendices

Nil

 


Council Meeting Agenda

28 May 2020

 

8.7         Reports and Recommendations from Standing Committees and Community Boards

Author:                    Tanicka Mason, Democracy Services Advisor

Authoriser:              Janice McDougall, Group Manager People and Partnerhips

 

Purpose of Report

1        This report presents reports and recommendations considered by Standing Committees and Community Boards from 30 January 2020 to 14 May 2020.

 

Background

2        Meetings took place on the following dates:

 

Ōtaki Community Board

28 January 2020

Waikanae Community Board

4 February 2020

Paekākāriki Community Board

11 February 2020

Strategy & Operations Committee

13 February 2020

Paraparaumu-Raumati Community Board

18 February 2020

Audit & Risk Subcommittee

20 February 2020

Grants Allocation Subcommittee (Heritage Fund)

20 February 2020

Strategy & Operations Committee

5 March 2020

Ōtaki Community Board

10 March 2020

 

3        In addition, the following meetings took place:

 

Older Person’s Council          29 January 2020, 29 February 2020

Te Whakaminenga o Kāpiti   4 February 2020

Kāpiti Coast Youth Council    2 March 2020

 

Ōtaki Community Board

 

4        The Ōtaki Community Board met on 28 January 2020 to discuss the following:

·    Consideration of Applications for Funding

·    The 2009 Beach Bylaw Review

·    Community – led coastal adaptation programme update

·    WREMO introduction from Renee Corlett

·    Confirmation of minutes

·    Matters Under Action

 

5        The Ōtaki Community Board also met on 10 March 2020 to discuss the following:

Consideration of Applications for Funding

Confirmation of minutes

Matters Under Action

 

Waikanae Community Board

 

6        Waikanae Community Board met on 4 February 2020 to discuss the following:

·    Signage Guidelines

·    The 2009 Beach Bylaw Review Project

·    Community - led coastal adaptation programme update

·    WREMO introduction and role by Renee Corlett

·    Proposed District Plan

·    Confirmation of minutes

·    Matters under action

 

Paekākāriki Community Board

 

7        The Paekākāriki Community Board met on 11 February 2020 to discuss the following:

·    The 2009 Beach Bylaw Review Project

·    Paekākāriki Surf Lifesaving Club, New Clubhouse; Jenny Rowan, Dale Evans and Matt Warren

·    Community–led coastal adaptation programme update

·    Presentation: Introduction to WREMO by Renee Corlett

·    Confirmation of minutes

·    Matters Under Action

 

Strategy & Operations Committee

8        The Strategy & Operations Committee met on 13 February 2020 to discuss the following:

·    Draft submission on the Urban Development Bill

·    National Policy Statement on Urban Development Capacity - Quarter 2 Monitoring Report

·    Recent submission on the Public Service Legislation Bill

 

9        The Strategy & Operations Committee also met on 5 March 2020 to discuss the following:

·    Kāpiti Coast Youth Council Update 2020

·    Kapiti Coast Older Persons' Council update 2020

·    Cycleways Walkways and Bridleways Advisory Group - Terms of Reference Review

·    Finance Report as at 31 December 2019

·    QUARTERLY ACTIVITY REPORT

·    Contracts Under Delegated Authority

·    Food Stall Approvals at Markets, Events and other sites Policy

·    Submission on Draft National Policy Statement on Indigenous Biodiversity

·    Kāpiti Economic Development Strategy: 2020/21 Major Events Fund Process

 

 

Paraparaumu-Raumati Community Board

10      The Paraparaumu-Raumati Community Board met on 18 February 2020 to discuss the following:

·    Consideration of Applications of Funding

·    The 2009 Beach Bylaw Review Project

·    Community – led coastal adaptation programme update

·    Kapiti Community Patrol Update

·    Confirmation of minutes

·    Matters Under Action

 

Audit & Risk Subcommittee

11      The Audit & Risk Subcommittee met on 20 February 2020 to discuss the following:

·    Proposal to conduct the audit of the Council on behalf of the Auditor-General for 2020, 2021 and 2022 financial years

·    Ernst and Young Audit Plan for the year ended 30 June 2020

·    Timetable for the Audit Plan for the year ended 30 June 2020

·    Update on key 2018-19 Audit Findings

·    Quarterly Treasury Compliance Report

·    Ombudsman Investigation into Christchurch City Council LGOIMA Practices

·    Risk Management - Business Assurance Update

·    Health and Safety Quarterly Reports: 1 July 2019 - 30 September 2019; and 1 October 2019 - 31 December 2019

·    Update on Ombudsman and Privacy Commissioner Investigations and Litigation Status Report

·   

 

Grants Allocation Subcommittee (Heritage Fund)

12      The Grants Allocation Subcommittee (Heritage Fund) met on 20 February 2020 to discuss the following:

·    Heritage Fund Grant Allocations 2019-20

 

 

Older Person’s Council

13      The Older Person’s Council met on 29 January 2020 to discuss the following:

·    Welcome and safety briefing

·    Apologies

·    Previous Minutes

·    General Business:  OPC structure, Presentation of potential work programme

·    Road Safety Advisory Group Update every second month and items to take to group every other month

·    CWB Advisory Group Update every second month and items to take to group every other month

·    Report back from workgroups, Age Friendly, Events, Policy & Submission

·    Round the table discussion

 

14      The Older Person’s Council also met on 29 February 2020 to discuss the following:

·    Welcome and safety briefing

·    Apologies

·    Previous Minutes

·    KCDC Long Term Plan and Annual Plan submission process

·    Beach Bylaw

·    OPC Work Plan

·    Nominations for Chair and leads of Groups

·    Letter re bylaw

·    CWB Advisory Group Update every second month and items to take to group every other month

·    Road Safety Advisory Group Update every second month and items to take to group every other month

·    Report back from workgroups, Age Friendly, Events, Policy & Submission

·    Round the table discussion

 

Te Whakaminenga o Kāpiti

 

15      Te Whakaminenga o Kāpiti met on 4 February 2020 to discuss the following:

·    Confirmation of minutes

·    NPS-UDC Quarterly Monitoring Report and Annual Update

·    Memorandum of Partnership – Document Review

·    Sustainable Transport Strategy 

 

Kāpiti Coast Youth Council

 

16      The Kāpiti Coast Youth Council met on 2 March 2020 to discuss the following:

·    Councillor’s Update

·    Te Anamata Update

·    Tuia Representative

·    ZEAL Update

·    KYS Update

·    Intergenerational Human Library

·    Youth Week

·    Work Ready Kāpiti Update

·    Secrets of Kāpiti

·    Council Workshop & Presentation

·    Kāpiti Enviro Youth Summit

·    Creative Communities Representative

 

Recommendation

17      That Council receives this report (Reports and Recommendations from Standing Committees and Community Boards).

 

 

Appendices

Nil

  


Council Meeting Agenda

28 May 2020

 

9          Confirmation of Minutes

9.1         Confirmation of minutes

Author:                    Grayson Rowse, Democracy Services Advisor

Authoriser:              Leyanne Belcher, Democracy Services Manager

 

 

 

 

Recommendations

That the minutes of the Council meeting on 14 May 2020 be accepted as a true and accurate record of the meeting.

 

Appendices

1.       Minutes of Council Meeting 14 May 2020  

 


Council Meeting Agenda

28 May 2020

 

   MINUTES OF Kapiti Coast District Council
Council Meeting
HELD VIA ZOOM
ON
Thursday, 14 May 2020 AT 9.30am

 

PRESENT:              Mayor K Gurunathan, Cr Angela Buswell, Cr James Cootes, Cr Jackie Elliott, Cr Gwynn Compton, Cr Jocelyn Prvanov, Cr Martin Halliday, Cr Sophie Handford, Cr Robert McCann, Cr Bernie Randall, Cr Holborow (late)

 

IN ATTENDANCE: Wayne Maxwell, Natasha Tod, Sean Mallon, Janice McDougall, Mark de Haast, James Jefferson, Tim Power, Jacinta Straker, Tanicka Mason, Grayson Rowse, Angela Bell, Alison Law, Jason Holland, Rupene Waka, Ian Clements, Christine Papps, Jill Griggs, Kathy Spiers, Rob Cross

 

APOLOGIES:          Deputy Mayor Janet Holborow

 

LEAVE OF               Nil

ABSENCE:

 

 

1          Welcome

 

2          Council Blessing

The Mayor welcomed everyone to the meeting and Cr Compton read the Council blessing.

3          Apologies

Resolution  2020/3

Moved:       Mayor K Gurunathan

Seconder:  Cr Gwynn Compton

That apologies from Deputy Mayor Janet Holborow be received and accepted.

Carried

 

4          Declarations of Interest Relating to Items on the Agenda

 

5          Public Speaking Time for Items Relating to the Agenda

 

6          Members’ Business

(a)          Public Speaking Time Responses

(b)          Leave of Absence

(c)          Matters of an Urgent Nature (advise to be provided to the Chair prior to the commencement of the meeting)

Matter of an urgent nature

Notification of urgent matter notified to Mayor by Cr McCann.  Councollors McCann, Cootes, Randall. Compton, Prvanov, Halliday,

Resolution  2020/4

Moved:       Cr Robert McCann

Seconder:  Cr James Cootes

a.   That Council directs Martin Jenkins to release the Organisation Review Report within the next 30 days.

b.   That the Report be released at the same time to the Mayor, Councillors, Board Chairs and CEO followed by a briefing of councillors by Report author, Tom Gott.

c.   That the report be released to board members and the public after the briefing of councillors by Mr Gott.

d.   That councillors release a press release following the briefing.

e.   That at an appropriate time, after the release of the Report, the CEO tables a short position paper on the steps needed by management to progress any relevant recommendations made by the Report.

f.    That the Council recognises the uncertainties around the Alert Levels associated with Covid-19 may potentially have a bearing on the above.”

 

Carried

 

Cr Prvanov entered the meeting at 9.48am

Deputy Mayor Janet Holborow returned to the meeting at 9:50 am.

Cr Elliott entered the meeting at 9.52am.

7          Mayor's Report

7.1         Mayors report

Resolution  2020/5

Moved:       Cr Jackie Elliott

Seconder:  Deputy Mayor Janet Holborow

That the Mayor’s report be received

Carried

Appendices

1        Mayor's Report to 14 May 2020

 

7.2         Tabling of Letter

Cr Handofrd tabled letter.  Cr Handford, Holborow, Cootes, McCann, Elliott spoke to the report.  Cr Randall requested the resolution in writing.

Resolution  2020/6

Moved:       Cr Sophie Handford

Seconder:  Mayor K Gurunathan

That “A Green Recovery for Kāpiti' Open Letter’ from Low Carbon Kapiti and the Kapiti Climate Climate Action Group be tabled, with the understanding that staff will report on opportunities and issues raised in this Open Letter, during their regular recovery briefings.

Carried

 

 

8          Reports

 

 

8.1         Decision On Proposed District Plan Variation 3 – County Road Ōtaki Low Density Precinct.

Deputy Mayor Janet Holborow declared an interest in this item and took no part in the discussion or voting on the matter.

Jason Holland presented report and took questions from members.

Resolution  2020/7

Moved:       Cr James Cootes

Seconder:  Cr Angela Buswell

a.   The Variation be accepted as notified (set out in Appendix [2]) and that all submissions on the Variation be accepted or rejected to the extent set out in the Commissioners’ report [Appendix 4]; and

b.   Council give notice of its decision on submissions to Variation 3 under Clause 10 of the First Schedule of the Resource Management Act 1991.

Carried

 

8.2         Submissions and recommendations for proposed Variations 4 (A-H) to the Kapiti Coast District Council Proposed District Plan – Miscellaneous Changes & Corrections

Jason Holland presented report and took questions from members.

Resolution  2020/8

Moved:       Deputy Mayor Janet Holborow

Seconder:  Cr James Cootes

 

a.   Determine that Variation 4F is to be considered and decided without a hearing pursuant to Clause 8C of Schedule 1;

b.   Adopt the recommendations in the section 42A report to accept the submission in part and to amend the provisions of Variation 4F as recommended, and approve all other Variations as notified in accordance with Clause 10 of Schedule 1;

c.   Adopt the section 32AA evaluation which covers the amendment to Variation 4F.

Carried

The meeting adjourned at 11:24 am and resumed at 11.32 am.

8.3         Local Government Funding Agency Amendment to Borrowing Programme

Ian Clements presented the report and answered questions form members.  The Chief Executive replied to questions also.

 

Resolution  2020/9

Moved:       Cr James Cootes

Seconder:  Cr Angela Buswell

 

a.   That the Council receives the report on the proposed amendments to the Local Government Funding Agency’s borrowing programme documentation, including the amended and restated documents attached as Appendices 1, 2 and 3 to the report.

b.   That the Council delegates the Mayor, and the Chair of the Strategy and Operations Committee to execute the following deeds:

i.    Amendment and Restatement Deed (Multi-Issuer Deed)

ii.   Amendment and Restatement Deed (Guarantee and Indemnity)

iii.   Amendment and Restatement Deed (Notes Subscription Agreement)

c.   That the Council delegates the Chief Executive to execute the Chief Executive Certificate and such other documents and take such other steps on behalf of Council as the Chief Executive considers necessary to execute the Amendment and Restatement Deeds given above.

Carried

Division called:

For:                 Crs K Gurunathan, Janet Holborow, Angela Buswell, James Cootes, Gwynn Compton, Jocelyn Prvanov, Martin Halliday, Sophie Handford, Robert McCann and Bernie Randall

Against:           Cr Jackie Elliott

carried 10/1

 

 

8.4         Rates Remission for Conservation Purposes

Resolution  2020/10

Moved:       Cr Jackie Elliott

Seconder:  Deputy Mayor Janet Holborow

That the Council approves the amounts of rates remission to the properties set out in Appendix 2 of this report in accordance with Council’s Policy for Rates Remission for Land Protected for Natural or Cultural Conservation Purposes.

 

Carried

 

8.5         Submissions on the Government Policy Statement for Land Transport 2021 and Draft New Zealand Rail Plan

Resolution  2020/11

Moved:       Cr Gwynn Compton

Seconder:  Cr James Cootes

That the Council approves the submissions on the GPS 2021 and DNZRP.

Carried

 

9          Confirmation of Minutes

9.1         Confirmation of minutes

Resolution  2020/12

Moved:       Cr James Cootes

Seconder:  Deputy Mayor Janet Holborow

 

That the minutes of the Emergency Council meeting on 25 March 2020 be accepted as a true and accurate record of the meeting.

 

Carried

Resolution  2020/13

Moved:       Mayor K Gurunathan

Seconder:  Cr Robert McCann

 

That the minutes of the Council meeting on 30 April 2020 be accepted as a true and correct record of the meeting

 

Carried

 

10        Public Speaking Time

·             Covering other items if required

·             Public Speaking Time responses

11        Confirmation of Public Excluded Minutes

Nil

12        Public Excluded Reports 

Nil

 

The Council meeting closed at 11.57am.

 

 

 

...................................................

CHAIRPERSON

 


Council Meeting Agenda

28 May 2020

 

10        Public Speaking Time

·            Covering other items if required

·            Public Speaking Time responses

11        Confirmation of Public Excluded Minutes

Nil


Council Meeting Agenda

28 May 2020

 

12        Public Excluded Reports  

Resolution to Exclude the Public

PUBLIC EXCLUDED ReSOLUtion

That, pursuant to Section 48 of the Local Government Official Information and Meetings Act 1987, the public now be excluded from the meeting for the reasons given below, while the following matters are considered.

The general subject matter of each matter to be considered while the public is excluded, the reason 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 are 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 for the passing of this resolution

12.1 - Air Service Restart in Kapiti

Section 7(2)(b)(ii) - the withholding of the information is necessary to 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

Section 7(2)(h) - the withholding of the information is necessary to enable Council to carry out, without prejudice or disadvantage, commercial activities

Section 48(1)(a)(i) - the public conduct of 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 under section 6 or section 7