I hereby give notice that an ordinary meeting of the Budget Committee will be held on:

 

Date:                      

Time:

Meeting Room:

Venue:

 

Thursday, 21 November 2013

9.30am

Reception Lounge
Auckland Town Hall
301-305 Queen Street
Auckland

 

Budget Committee

 

OPEN ADDENDUM AGENDA

 

 

 

MEMBERSHIP

 

Chairperson

Mayor Len Brown, JP

 

Deputy Chairperson

Cr Penny Webster

 

Members

Cr Anae Arthur Anae

Cr Calum Penrose

 

Cr Cameron Brewer

Cr Dick Quax

 

Cr Dr Cathy Casey

Cr Sharon Stewart, QSM

 

Cr Bill Cashmore

Member David Taipari

 

Cr Ross Clow

Member John Tamihere

 

Cr Linda Cooper, JP

Cr Sir John Walker, KNZM, CBE

 

Cr Chris Darby

Cr Wayne Walker

 

Cr Alf Filipaina

Cr John Watson

 

Cr Hon Chris Fletcher, QSO

Cr George Wood, CNZM

 

Cr Penny Hulse

 

 

Cr Denise Krum

 

 

Cr Mike Lee

 

 

(Quorum 11 members)

 

 

 

Mike Giddey

Democracy Advisor

 

20 November 2013

 

Contact Telephone: (09) 307 7565

Email: mike.giddey@aucklandcouncil.govt.nz

Website: www.aucklandcouncil.govt.nz

 

 

 


Budget Committee

21 November 2013

 

 

ITEM   TABLE OF CONTENTS                                                                                        PAGE

    

9          Annual Plan 2014/2015 - Overview and performance measures and targets - Replacement Report                                                                                                                             5

10        Update on Māori priority project areas                                                                     21

 

      


Budget Committee

21 November 2013

 

 

Annual Plan 2014/2015 - Overview and performance measures and targets - Replacement Report

 

File No.: CP2013/26446

 

  

 

Purpose

 

1.    This report provides an overview of the process to develop the Annual Plan 2014/2015 and seeks decisions on proposed changes to performance measures and targets for the annual plan.

2.    This report is an updated version of the previous report circulated on the open agenda.  It has been updated to include a new Māori measure and target and a revised target for another Māori measure.  The changes from the earlier report are:

Measure

Target

Change

Number of sites and places of value to mana whenua formally protected or scheduled in council regional and district plans or the unitary plan

3,600

Previously reported as a proposed wording change to a previous LTP measure.

Revised recommendation is that the original LTP measure be retained and this measure be added as a new measure and target.

Number of sites of Māori significance including waahi tapu formally protected or scheduled in council regional and district plans or the unitary plan

61

Recommended target included.

 

3.    These revisions are also reflected in updated Attachments B and C (blue text).    

Executive Summary

 

4.    The Council’s Long-term Plan (LTP) 2012-2022 set the first budget for delivering on the aspirations of the Auckland Plan. An annual plan is produced for each year in between long-term plans.  It provides an opportunity to refresh the information for the coming year and consult with the community on any changes that are proposed.   The annual plan includes 21 local board agreements that are agreed between each local board and the governing body as part of the annual planning process.

 

5.    The mayoral proposal announced on 7 November 2013 set out the mayors proposed budget for the draft Annual Plan 2014/2015.  At today’s meeting, the Budget Committee will consider that proposal and make decisions for the draft Annual Plan.  The Governing Body will then meet to adopt the draft annual plan on 19 December 2013, in order for public consultation to begin in late January 2014.

 

6.    An overview of the process to develop the Annual Plan 2014/2015 is set out in Attachment A.

 

7.    Officers have reviewed performance measures and targets to improve the quality of the measures and ensure targets are based on the most up to date information available. As a result of the review, officers are recommending that a number of changes are made to performance measures and targets across regional, local and CCO measures.   

8.    Advice on targets for local performance measures has been provided to local boards for their consideration as they develop their draft local board agreements. 

 

9.    Recommended changes to performance measures and targets for the Annual Plan 2014/2015 for Budget Committee consideration are set out in Attachments B, C and D and include:

·  one new measure and target

·  removing three performance measures that are no longer required   

·  making minor adjustments to the wording of three regional and six local performance measures

·  setting targets for 25 regional performance measures and 3 CCO measures that were introduced in the LTP (as data is now available), and

·  revising targets for 16 regional performance measures and 19 CCO measures to reflect improved data now available from historical performance.

 

10.  As part of the LTP 2015-2025 process, officers will review the performance management framework with a view to improving the quality and alignment of the measures and, where appropriate, reducing the number of measures whilst also ensuring they are relevant and provide the community with meaningful information.

 

 

Recommendation/s

That the Budget Committee:

a)      agree the proposed changes to performance measures set out in Attachment B to the agenda report.

b)      agree the proposed targets for regional and CCO performance measures (as set out in Attachments C and D to the agenda report).

c)      note that officer advice has been provided to local boards on performance targets for 2014/2015 and that local boards are considering this advice as part of developing their draft local board agreements.

 

 

 

Discussion

 

Annual Plan 2014/2015 process

 

11.  The Council’s Long-term Plan (LTP) 2012-2022 set the first budget for delivering on the aspirations of the Auckland Plan. It also set the council’s first financial strategy that enables the significant investment required to deliver on the Auckland Plan, while also maintaining affordability for current and future rate payers.

 

12.  An annual plan is produced for each year in between long-term plans.  It provides an opportunity to refresh the information for the coming year and consult with the community on any changes that are proposed.   The annual plan includes 21 local board agreements that are agreed between each local board and the governing body as part of the annual planning process.

 

13.  The mayoral proposal announced on 7 November 2013 set out the mayors proposed budget for the draft Annual Plan 2014/2015.  At today’s meeting the Budget Committee will consider that proposal and make decisions for the draft annual plan.

 

14.  Following decisions made today, the text and budgets for the draft annual plan will be updated and council will meet to adopt the draft annual plan on 19 December 2013 for consultation.

 

15.  An overview of the end to end process is set out in Attachment A.  The key dates are:

 

·    7 November          Mayoral proposal announced 

·    11 November        Governing Body workshop to discuss the mayoral proposal

·    21 November        Budget Committee meets to make decisions for draft annual plan

·    9 – 13 December Local boards meet to adopt draft local board agreements

·    19 December        Governing body meets to adopt the draft Annual Plan 2014/2015

·    23 Jan – 24 Feb    Submission period

·    17 – 28 March       Hearings (local and regional)

·    24 April – 5 May    Governing body discussions with local boards and CCOs

·    8 May                    Budget Committee meets to make decisions for final annual plan

·    9-19 June              Local boards meet to adopt local board agreements

·    26 June                 Governing body meets to adopt Annual Plan 2014/2015

 

 

Proposed changes to performance measures and targets for the Annual Plan 2014/2015

 

16.  Following the Annual Report 2013/2014, officers have reviewed the performance measures and targets reported in the LTP 2012-2022 and Annual Plan 2013/2014 with a view to:

·  ensuring continuous improvement of performance measurement processes to improve the quality of the measure by making them more meaningful and relevant

·  updating targets based on current performance or budget movements, and

·  setting targets for LTP measures where data is now available.

 

17.  As a result of the review, officers recommend that a number of changes are made to performance measures and targets across regional, local and CCO measures.   

18.  The recommended changes for Budget Committee consideration are set out in Attachments B, C and D.  In summary, it is recommended that:

·    a new Māori measure is included for the Annual Plan 2014/2015

·    one regional measure and two local measures are removed for the Annual Plan 2014/2015

·    minor adjustments are made to the wording of three regional and six local performance measures

·    targets are set for 25 regional performance measures and 3 CCO measures that were introduced in the LTP (as data is now available), and

·    targets are revised for 16 regional performance measures and 19 CCO measures to reflect improved data now available from historical performance.

 

19.  Advice on the targets for local performance measures has been provided to local boards for their consideration as they agree their draft local board agreements for 2014/2015.  Once local boards have agreed their targets they will be included in draft local board agreements for consideration by the Governing Body on 19 December 2013.  The regional targets for these local measures will reflect the average target across local boards. 

20.  As part of the review, officers considered the measures that were unable to be measured against in the Annual Report 2012/2013 to determine whether the measure is appropriate and requires only mechanisms to be put in place to collate data to report, or whether the measure is not appropriate and should be removed.

21.  There were 8 out of 249 regional measures across the Auckland Council group that could not be measured in the Annual Report 2012/2013.  It has been recommended that one of these measures is removed as it was no longer relevant. Officers are confident that the remaining seven measures can be measured for the next annual report.

 

Further work planned 

 

22.  There are currently around 246 regional measures (34 of which are separately reported at the local board level) established as part of the performance management framework that are included in the Annual Plan and reported against in the annual report.  The purpose of these measures is to evaluate how successfully the council group delivers council services and how performance changes over time. 

23.  As part of the LTP 2015-2025 process, officers will review the performance management framework with a view to improving the quality and alignment of the measures and, where appropriate, reducing the number of measures whilst also ensuring they are relevant and provide the community with meaningful information.

24.  The review will also consider the cost-effectiveness of reporting certain measures (e.g. survey measures) and ensure that data reported can be used by the council group to improve services where necessary, thereby ensuring that measures are useful and represent value for money for the activities provided.

Consideration

Local Board Views

25.  All local boards have held a workshop to consider their draft local board agreements and any areas they wish to consult with their community on as part of the draft annual plan.  Local board budgets have been updated to accommodate known cost pressures and efficiency savings, with no impact on service levels.  Officer advice has also been provided to local boards on fees and charges and performance measures and targets.

26.  The draft local board agreements will be finalised over the next week and local boards will meet to adopt their draft agreements between 9-13 December 2013 for consultation as part of the draft annual plan. 

 

Māori Impact Statement

27.     The recommended changes to performance measures and targets include the addition of a new regional Māori measure and target, a minor change to one Māori measure and establishing targets for 17 regional Māori LTP measures.  These recommended changes have been developed in collaboration with Te Waka Angamua and have been provided to the Independent Māori Statutory Board for review at their 18 November 2013 meeting.

28.     These are mostly minor technical changes to set targets for measures that did not have targets or to improve consistency of wording. One measure has a decreased target based on current performance.

Implementation Issues

29.     An overview of the end to end process for the annual plan is set out in Attachment A.

 

 

Attachments

No.

Title

Page

a

Annual Plan 2014/2015 - Process overview

11

b

Recommended changes to performance measures (updated)

13

c

Recommended targets - LTP measures (updated)

15

d

Recommneded changes to targets

17

      

Signatories

Author

Tanya Stocks – Acting Programme Director Annual Plan and Long-term Plan

Authoriser

Matthew Walker - Manager Financial Plan Policy and Budgeting

 


Budget Committee

21 November 2013

 

 



Budget Committee

21 November 2013

 

 



Budget Committee

21 November 2013

 

 


 


Budget Committee

21 November 2013

 

 





Budget Committee

21 November 2013

 

 

Update on Māori priority project areas

 

File No.: CP2013/26043

 

  

 

Purpose

1.       To update the committee on progress over the last four months towards the specific priority areas identified in the Annual Plan 2013/2014.

Executive Summary

2.       This report updates the Budget Committee on progress on projects to enhance contributions to Māori outcomes in six specific priority areas identified in the Annual Plan 2013/2014 as the council’s commitment to Māori. It responds to a Strategy and Finance Committee resolution prior to the commencement of the draft annual plan process for 2014/2015, and covers progress over the four months from July to October.

 

3.       Information on the wider range of expenditure contributions by council departments and CCO’s to Māori outcomes in the Annual Plan 2013/2014 is not presented in this report. This is included in the report ‘Quarterly Update: Business Improvements to identify Auckland Council contributions to Māori Outcomes’ to the Finance and Performance committee on 12 December 2013.

 

4.       The Independent Māori Statutory Board (IMSB) considers that progress made by council departments and CCOs has been modest.

 

 

Recommendation/s

That the Budget Committee:

a)      agree that the regular progress and planning updates on the Māori project priority areas be included in future quarterly updates on Māori Outcomes to the Finance and Performance Committee, noting that the Independent Māori Statutory Board would prefer this reporting to go to the Budget Committee.

 

 

Discussion

 

Strategic context for council’s commitment to Māori

 

5.       The Auckland Plan was adopted by the council in March 2012, and is the 30-year strategy to make Auckland the world’s most liveable city. The Auckland Plan will have a major impact on Aucklanders lives over the next 30 years. The two plans especially critical to implementing the Auckland Plan over the first 10 years of its life are the Unitary Plan (which details how we design, develop and grow the city) and the Long-term Plan (LTP), which prioritises the funding to deliver the plan on a staged basis. The governing body adopted the LTP 2012 - 2022 in June 2012.

6.       The Annual Plan 2013/2014 outlines what the council plans to do, how much it costs and how activities are funded in the 12 months to 30 June 2014.  Included in the Annual Plan 2013/2014 are six priority project areas as the council’s commitment to Māori:

·    Major event – a Māori event

·    Transport, walking and cycling infrastructure – Te Reo signage/narrative, Māori design

and public artworks

·    Southern Initiative – investigate Māori interests

·    Unitary Plan – funding of mana whenua engagement, use of iwi management plans,

sites of significance and other Māori provisions

·    Tāmaki Transformation project – affordable housing, marae and associated education

and cultural facilities

·    Stormwater investment – incorporate Matauranga Māori

 

7.       In May 2013, the Strategy and Finance Committee resolved that officers report back on progress on all six priority project areas prior to the commencement of the draft annual plan process for 2014/2015.  Progress over the four months from July to October against each of these priorities is detailed in Attachment A as provided by the relevant departments and CCOs.

8.       Information on the wider range of expenditure contributions by council departments and CCOs to Māori outcomes in the Annual Plan 2013/2014 is not presented in this report. This is included in the report ‘Quarterly Update: Business Improvements to identify Auckland Council contributions to Māori Outcomes’ to the Finance and Performance committee on 12 December 2013.

Consideration

Local Board Views

9.       Local boards were not involved in the preparation of this report as the relevant budgets are regional.

Māori Impact Statement

10.     As this report is primarily related to Māori outcomes it was given to the IMSB and Te Waka Angamua to comment on prior to this meeting. The IMSB considers that progress made by council has been modest as it seems that there may not be clear accountabilities and funding available to progress these priority projects.  The attached progress update provides general commentary and does not refer previous resources and specific outputs delivered or planned.

Implementation Issues

11.     Given the limited progress the IMSB recommends that officers report back to the Budget Committee in March 2014 on the milestones and funding to deliver on these priority projects as part of Annual Plan 2014-15. Finance supports improved governance and visibility of Māori priority project area, however, officers consider that progress reporting and defining project level information such as milestones, resources and budget reallocations are more appropriately handled as part of the quarterly Māori Outcomes report the Finance and Performance Committee.

 

Attachments

No.

Title

Page

a

Progress update on priority project areas for Maori

23

     

Signatories

Author

Mark Le Comte – Principal Business Planning Advisor

Authoriser

Matthew Walker - Manager Financial Plan Policy and Budgeting

 


Budget Committee

21 November 2013