Finance and Performance Committee

 

OPEN MINUTES

 

 

 

Minutes of a meeting of the Finance and Performance Committee held in the Reception Lounge, Auckland Town Hall, 301-305 Queen Street, Auckland on Friday, 13 May 2016 at 9:35am.

 

present

 

Chairperson

Cr Penny Webster

 

Deputy Chairperson

Cr Ross Clow

 

Members

Cr Anae Arthur Anae

 

 

Cr Cameron Brewer

 

 

Mayor Len Brown, JP

 

 

Cr Dr Cathy Casey

 

 

Cr Bill Cashmore

 

 

Cr Linda Cooper, JP

 

 

Cr Chris Darby

 

 

Cr Alf Filipaina

 

 

Cr Hon Christine Fletcher, QSO

 

 

Deputy Mayor Penny Hulse

 

 

Cr Denise Krum

 

 

Cr Mike Lee

From 9.50am, Item 10

 

Cr Calum Penrose

 

 

Cr Dick Quax

 

 

Cr Sharon Stewart, QSM

 

 

Member David Taipari

 

 

Member John Tamihere

From 10.11am, Item 12

 

Cr Sir John Walker, KNZM, CBE

 

 

Cr Wayne Walker

 

 

Cr John Watson

 

 

Cr George Wood, CNZM

 

 

 


Finance and Performance Committee

13 May 2016

 

 

1††††††††† Apologies

Resolution number FIN/2016/50

MOVED by Deputy Chairperson R Clow, seconded by Cr LA Cooper:

That the Finance and Performance Committee:

a)         accept the apology from Member John Tamihere for lateness.

CARRIED

 

 

2††††††††† Declaration of Interest

 

There were no declarations of interest.

 

 

3††††††††† Confirmation of Minutes

Resolution number FIN/2016/51

MOVED by Deputy Chairperson R Clow, seconded by Cr CM Penrose:

That the Finance and Performance Committee:

a)         confirm the ordinary minutes of its meeting, held on Tuesday, 12 April 2016, including the confidential section, as a true and correct record.

CARRIED

 

 

4††††††††† Petitions

 

There were no petitions.

 

 

5††††††††† Public Input

 

There was no public input.

 

 

6††††††††† Local Board Input

 

There was no local board input.

 

 

7††††††††† Extraordinary Business

 

There was no extraordinary business.

 

 

8††††††††† Notices of Motion

 

There were no notices of motion.

 


 

 

9

Annual Budget 2016/2017 - Overview to decision-making

 

Resolution number FIN/2016/52

MOVED by Chairperson MP Webster, seconded by Cr LA Cooper:

That the Finance and Performance Committee:

a)††††† recommend to the Governing Body that it agree the Tūpuna Maunga Authority Operational Plan 2016/17 (Attachment A to the agenda report) and Summary of the Tūpuna Maunga Authority Operational Plan 2016/17 (Attachment B to the agenda report) for inclusion in the Annual Plan 2016/2017.

b)††††† note that other decisions required to finalise the Annual Plan 2016/2017 are set out in separate reports on this agenda.

CARRIED

 

 

 

 

10

Annual Budget 2016/2017 - local board feedback

 

Cr ME Lee joined the meeting at 9.50 am.

 

Resolution number FIN/2016/53

MOVED by Cr CE Fletcher, seconded by Chairperson MP Webster:

That, when agreeing 2016/2017 budgets, the Finance and Performance Committee:

a)††††† consider feedback from local boards on regional financial policy issues, advocacy and proposals for Business Improvement District targeted rates and local targeted rates.

CARRIED

 

 

 

 

11

Local Board budget update

 

Resolution number FIN/2016/54

MOVED by Chairperson MP Webster, seconded by Cr C Darby:

That the Finance and Performance Committee recommend that the Governing Body:

a)††††† release reserve funds of $1,384,237 held from legacy councils.

b)††††† approve $3.9 million of capital funding for Locally Driven Initiatives opex to capex conversion which will be sourced through local discretionary budgets.

c)††††† approve a Locally Driven Initiatives increase of $57,230 for Great Barrier Local Board and $29,472 for Waiheke Local Board, who have the option to negotiate their Locally Driven Initiatives funding annually with the governing body as part of the Local Board Funding Policy.

b)††††† approve the operating budget amount of $2,096,600 in Attachment A to the agenda report to be deferred from 2015/2016 to 2016/2017.

CARRIED

 

 


 

 

12

Final Annual Plan 2016/17 - Mayoral Proposal

 

Cr W Cashmore declared an interest in clause a) iii) Ė general rate differential for farm and lifestyle properties and took no part in discussion or voting on this matter.

 

 

 

Member J Tamihere joined the meeting at 10.11 am.

 

 

 

MOVED by Mayor LCM Brown, seconded by Chairperson MP Webster:

That the Finance and Performance Committee:

a)††††† recommend that the Governing Body adopt the following rates policy decisions for the Annual Plan 2016/2017:

i)††††††† that the UAGC be set at $394

ii)†††††† that the Interim Transport Levy (targeted rate) be set to retain the status quo of a fixed charge of $113.85 (including GST) for non-business ratepayers and $182.85 (including GST) for business ratepayers

iii)††††† that the general rate differential for farm and lifestyle properties be retained at its present level of 80 per cent of the urban residential rate

iv)††††† that the Māori Freehold Land rates remission and postponement policy be amended to include remissions:

1)†† to adjust rates to the equivalent of those that would have been charged, had the property been valued excluding any potential use that is unlikely to be achieved within Māori ownership

2)†† to adjust rates to the equivalent of those that would have been charged, had the rateable value of the property been adjusted by 10 per cent; where properties have significant barriers to development such as owners being deceased or not succeeded to

3)†† for marae and urupā land in excess of the two hectare limit for non-rateability

4)†† for land returned under treaty settlement for commercial redress where the land is set aside and protected for cultural, historic or natural conservation purposes or because it is wahi tapu, or used for a marae or urupā.

v)††††† that the Rates remission and postponement policy be amended to remit fixed charges on Māori Freehold Land on multiple titles used as single property

vi)††††† that a two year pilot programme providing financial assistance of up to $35,000 per property to eligible homeowners in Piha, Te Henga, Karekare and Little Oneroa catchments to replace or upgrade their failing septic tank systems be established. This will be funded by a targeted rate set from 1 July 2017

vii)†††† that a targeted rate be set (at two thirds of the level set regionally for a full year recycling service) to fund a fortnightly kerbside fully commingled recycling collection in rural Franklin

viii)††† that the Brownís Bay, Glen Eden and North Harbour BIDs are extended

b)††††† recommend to the Governing Body that the budget for the final Annual Plan 2016/2017 be based on year two of the Long-term Plan 2015-2025, adjusted for the updates set out in the staff reports, and to incorporate the following changes and specific decisions:

i)††††††† Auckland Council continue its existing public transport concessions for the 2016/2017 financial year

 

ii)†††††† additional funding to Auckland Transport of $1.5 million noting that the remaining $1.5 million estimated cost of the discontinued government subsidy to come from internal savings in Auckland Transport

iii)††††† additional capital funding of $30 million in 2016/2017 and $20 million in 2017/2018 to Auckland Transport to support the early acquisition of land for future capital projects excluding light rail

iv)††††† request Auckland Transport to work with  NZTA and Kiwirail to retain the land at the Waterview Tunnel construction site until the decision on the light rail project has been progressed

v)†††††† Additional operating expenditure of $150,000 to deliver town and local centre clean-ups across the region.

c)††††† request Auckland Transport to collect data on the usage of the SuperGoldcard and Senior Citizens card during peak periods over the next 12 months and report this back to council for further consideration of the current subsidy

d)††††† request the Mayor write to the Minister of Transport regarding the withdrawal of public transport subsidy for SuperGold card holders in the afternoon peak and Auckland Senior Citizen card holders expressing councilís disappointment in this decision, particularly in light of the work that has been undertaken jointly to increase public transport usage

e)††††† recommend to the Governing Body that the Group Financial Officer be authorised to draw down up to $100 million per annum of the Diversified Financial Asset portfolio for the 2016/2017 and 2017/2018 financial years in order to manage the debt ratios within prudent limits.

f)†††††† request a report be brought back to the Finance and Performance Committee exploring the opportunity to:

i)          set-up a Trust structure to secure funding for, and oversee, the restoration of Whare building at Monte Cecilia park

ii)         re-allocate $300,000 to the Whare from the budget for a functions facility at the Pah homestead site.

g)        request that the Puketapapa Local Boardís planning options for Liston Village be presented to the Auckland Development Committee for further consideration.

h)        recommend to the Governing Board that a report be brought back to the Regional Strategy and Policy Committee on the options for managing damaged headstones in closed and open cemeteries, particularly those of historic value, and that in the meantime a budget of $50,000 be provided for 2016/17 for immediate maintenance issues.

i)          request a report be brought back to the Finance and Performance Committee on the operations of the Local Board capex fund and the concerns that have been raised by Local Boards in relation to the barriers to using this fund in a similar way to the previous Community Facilities Partnership fund, so that this can inform the next Annual Plan.

j)          request staff to expedite the work on coastal erosion so that implementation of the highest priority projects can start as soon as possible and that identified funding shortfalls be part of the consideration for the next LTP.

 

Member DE Taipari left the meeting at 10.50 am.

Member DE Taipari returned to the meeting at 10.57 am.

 

 

 

The meeting adjourned at 12.01pm.

 

 

 

 

 

 

 

The meeting reconvened at12.10pm

 

 

 

 

 

MOVED by Cr GS Wood, seconded by Cr SL Stewart, as an amendment to clause a) i):

i)          that the UAGC be set at $500

A division was called for, voting on which was as follows:

For

Cr C Brewer

Cr C Darby

Cr CE Fletcher

Cr DA Krum

Cr D Quax

Cr SL Stewart

Cr GS Wood

Against

Cr AJ Anae

Mayor LCM Brown

Cr C Casey

Cr W Cashmore

Deputy Chairperson R Clow

Cr LA Cooper

Cr AM Filipaina

Deputy Mayor PA Hulse

Cr ME Lee

Cr CM Penrose

Member DE Taipari

Member J Tamihere

Cr JG Walker

Cr WD Walker

Cr J Watson

Chairperson MP Webster

Abstained

 

The motion was declared lost by 7 votes to 16.

 

 

 

 

 

 

 

MOVED by Cr C Brewer, seconded by Cr DA Krum, as an amendment to clause a) i):

i)      that the UAGC be set at $450

A division was called for, voting on which was as follows:

For

Cr C Brewer

Cr C Darby

Cr CE Fletcher

Cr DA Krum

Cr D Quax

Cr SL Stewart

Cr GS Wood

Against

Cr AJ Anae

Mayor LCM Brown

Cr C Casey

Cr W Cashmore

Deputy Chairperson R Clow

Cr LA Cooper

Cr AM Filipaina

Deputy Mayor PA Hulse

Cr ME Lee

Cr CM Penrose

Member DE Taipari

Member J Tamihere

Cr JG Walker

Cr WD Walker

Cr J Watson

Chairperson MP Webster

Abstained

 

The motion was declared lost by 7 votes to 16.

 

 

 

 

 

 

 

MOVED by Cr C Casey, seconded by Cr AJ Anae, as an amendment to clause a) i):

i)          that the UAGC be set at $350

A division was called for, voting on which was as follows:

For

Cr AJ Anae

Cr C Casey

Member DE Taipari

Member J Tamihere

Against

Cr C Brewer

Mayor LCM Brown

Cr W Cashmore

Deputy Chairperson R Clow

Cr LA Cooper

Cr C Darby

Cr AM Filipaina

Cr CE Fletcher

Deputy Mayor PA Hulse

Cr DA Krum

Cr ME Lee

Cr CM Penrose

Cr D Quax

Cr SL Stewart

Cr JG Walker

Cr WD Walker

Cr J Watson

Chairperson MP Webster

Cr GS Wood

Abstained

 

The motion was declared lost by 4 votes to 19.

 

 

 

Resolution number FIN/2016/55

MOVED by Mayor LCM Brown, seconded by Chairperson MP Webster:

That the Finance and Performance Committee:

a)††††† recommend that the Governing Body adopt the following rates policy decisions for the Annual Plan 2016/2017:

i)†††† that the UAGC be set at $394

A division was called for, voting on which was as follows:

For

Cr AJ Anae

Mayor LCM Brown

Cr C Casey

Cr W Cashmore

Deputy Chairperson R Clow

Cr LA Cooper

Cr AM Filipaina

Deputy Mayor PA Hulse

Cr ME Lee

Cr CM Penrose

Member DE Taipari

Member J Tamihere

Cr JG Walker

Cr WD Walker

Cr J Watson

Chairperson MP Webster

Against

Cr C Brewer

Cr C Darby

Cr CE Fletcher

Cr DA Krum

Cr D Quax

Cr SL Stewart

Cr GS Wood

Abstained

 

The motion was declared carried by 16 votes to 7.

CARRIED

 

 

 

 

 

 

 

MOVED by Deputy Chairperson R Clow, seconded by Cr C Casey, as an amendment to clause a) ii):

ii)         that the interim Transport Levy (targeted rate) be set to collect 32.7 per cent of the revenue requirement from the business sector and 67.3 per cent from the non-business sector (to align with the formula for the general rates) with a fixed charge $90 (including GST) for non-business ratepayers and based on capital value for business ratepayers.

 

A division was called for, voting on which was as follows:

For

Cr C Casey

Deputy Chairperson R Clow

Cr ME Lee

Against

Cr AJ Anae

Cr C Brewer

Mayor LCM Brown

Cr W Cashmore

Cr LA Cooper

Cr C Darby

Cr AM Filipaina

Cr CE Fletcher

Deputy Mayor PA Hulse

Cr DA Krum

Cr CM Penrose

Cr D Quax

Cr SL Stewart

Member DE Taipari

Member J Tamihere

Cr JG Walker

Cr WD Walker

Cr J Watson

Chairperson MP Webster

Cr GS Wood

Abstained

 

The motion was declared lost by 3 votes to 20.

 

 

 

 

 

 

 

Resolution number FIN/2016/56

MOVED by Mayor LCM Brown, seconded by Chairperson MP Webster:

That the Finance and Performance Committee:

a)††††† recommend that the Governing Body adopt the following rates policy decisions for the Annual Plan 2016/2017:

ii)††††† that the Interim Transport Levy (targeted rate) be set to retain the status quo of a fixed charge of $113.85 (including GST) for non-business ratepayers and $182.85 (including GST) for business ratepayers

 

 

 

 

 

 

 

 

 

A division was called for, voting on which was as follows:

For

Cr AJ Anae

Mayor LCM Brown

Cr W Cashmore

Cr LA Cooper

Cr C Darby

Cr AM Filipaina

Cr CE Fletcher

Deputy Mayor PA Hulse

Cr CM Penrose

Member DE Taipari

Member J Tamihere

Cr JG Walker

Cr WD Walker

Cr J Watson

Chairperson MP Webster

Against

Cr C Brewer

Cr C Casey

Deputy Chairperson R Clow

Cr DA Krum

Cr ME Lee

Cr D Quax

Cr SL Stewart

Cr GS Wood

Abstained

 

The motion was declared carried by 15 votes to 8.

CARRIED

 

 

 

 

The meeting adjourned at 1.39pm

 

The meeting reconvened at 2.17pm

 

 

 

 

Resolution number FIN/2016/57

MOVED by Cr CE Fletcher, seconded by Member DE Taipari:

That the Finance and Performance Committee:

a)    agree to an extension of time to allow the business of the meeting to be completed.

CARRIED

 

 

 

 

Resolution number FIN/2016/58

MOVED by Mayor LCM Brown, seconded by Chairperson MP Webster:

That the Finance and Performance Committee:

a)††††† recommend that the Governing Body adopt the following rates policy decisions for the Annual Plan 2016/2017:

iii)†††† that the general rate differential for farm and lifestyle properties be retained at its present level of 80 per cent of the urban residential rate

CARRIED

 

 

 

 

 

 

 

 

 

Resolution number FIN/2016/59

MOVED by Mayor LCM Brown, seconded by Cr CE Fletcher:

That the Finance and Performance Committee:

a)††††† recommend that the Governing Body adopt the following rates policy decisions for the Annual Plan 2016/2017:

iv)†††† that the Māori Freehold Land rates remission and postponement policy be amended to include remissions:

1)†† to adjust rates to the equivalent of those that would have been charged, had the property been valued excluding any potential use that is unlikely to be achieved within Māori ownership

2)†† to adjust rates to the equivalent of those that would have been charged, had the rateable value of the property been adjusted by 10 per cent; where properties have significant barriers to development such as owners being deceased or not succeeded to

3)†† for marae and urupā land in excess of the two hectare limit for non-rateability

and also including:

4)†† for land returned under treaty settlement for commercial redress where the land is set aside and protected for cultural, historic or natural conservation purposes or because it is wahi tapu, or used for a marae or urupā.

CARRIED

 

Note:†† Pursuant to Standing order 1.8.6 Cr C Darby requested his dissenting vote be recorded against clause a) iv) 4).

 

 

 

 

Resolution number FIN/2016/60

MOVED by Mayor LCM Brown, seconded by Chairperson MP Webster:

That the Finance and Performance Committee:

a)††††† recommend that the Governing Body adopt the following rates policy decisions for the Annual Plan 2016/2017:

v)††††† that the Rates remission and postponement policy be amended to remit fixed charges on Māori Freehold Land on multiple titles used as single property

CARRIED

 

 

 

 

Resolution number FIN/2016/61

MOVED by Mayor LCM Brown, seconded by Chairperson MP Webster:

That the Finance and Performance Committee:

a)††††† recommend that the Governing Body adopt the following rates policy decisions for the Annual Plan 2016/2017:

vi)†††† that a two year pilot programme providing financial assistance of up to $35,000 per property to eligible homeowners in Piha, Te Henga, Karekare and Little Oneroa catchments to replace or upgrade their failing septic tank systems be established. This will be funded by a targeted rate set from 1 July 2017

CARRIED

 

 

 

Resolution number FIN/2016/62

MOVED by Mayor LCM Brown, seconded by Chairperson MP Webster:

That the Finance and Performance Committee:

a)††††† recommend that the Governing Body adopt the following rates policy decisions for the Annual Plan 2016/2017:

vii)††† that a targeted rate be set (at two thirds of the level set regionally for a full year recycling service) to fund a fortnightly kerbside fully commingled recycling collection in rural Franklin

CARRIED

 

 

 

Resolution number FIN/2016/63

MOVED by Mayor LCM Brown, seconded by Chairperson MP Webster:

That the Finance and Performance Committee:

a)††††† recommend that the Governing Body adopt the following rates policy decisions for the Annual Plan 2016/2017:

viii)†† that the Brownís Bay, Glen Eden and North Harbour BIDs are extended

CARRIED

 

 

 

Resolution number FIN/2016/64

MOVED by Cr C Darby, seconded by Mayor LCM Brown as an amendment to clause b) iii), as follows:

That the Finance and Performance Committee:

b)††††† recommend to the Governing Body that the budget for the final Annual Plan 2016/2017 be based on year two of the Long-term Plan 2015-2025, adjusted for the updates set out in the staff reports, and to incorporate the following changes and specific decisions:

i)      additional capital funding of up to $30 million in 2016/2017 and up to $20 million in 2017/2018 to Auckland Transport (AT) to support the early acquisition of land for future capital projects, excluding light rail, reminding the AT Board that Councilís highest weighting priority is public transport

A division was called for, voting on which was as follows:

For

Cr AJ Anae

Mayor LCM Brown

Cr W Cashmore

Deputy Chairperson R Clow

Cr C Darby

Cr AM Filipaina

Cr CE Fletcher

Deputy Mayor PA Hulse

Cr CM Penrose

Member DE Taipari

Member J Tamihere

Cr JG Walker

Cr WD Walker

Cr J Watson

Chairperson MP Webster

Against

Cr C Brewer

Cr C Casey

Cr LA Cooper

Cr DA Krum

Cr ME Lee

Cr D Quax

Cr SL Stewart

Cr GS Wood

Abstained

 

The motion was declared carried by 15 votes to 8.

CARRIED

 

 

 

 

 

 

Resolution number FIN/2016/65

MOVED by Mayor LCM Brown, seconded by Chairperson MP Webster:

That the Finance and Performance Committee:

b)††††† recommend to the Governing Body that the budget for the final Annual Plan 2016/2017 be based on year two of the Long-term Plan 2015-2025, adjusted for the updates set out in the staff reports, and to incorporate the following changes and specific decisions:

i)†††††† Auckland Council continue its existing public transport concessions for the 2016/2017 financial year

ii)††††† additional funding to Auckland Transport of $1.5 million noting that the remaining $1.5 million estimated cost of the discontinued government subsidy to come from internal savings in Auckland Transport

iii)†††† additional capital funding of up to $30 million in 2016/2017 and up to $20 million in 2017/2018 to Auckland Transport (AT) to support the early acquisition of land for future capital projects, excluding light rail, reminding the AT Board that Councilís highest weighting priority is public transport

iii)       request Auckland Transport to work with  NZTA and Kiwirail to retain the land at the Waterview Tunnel construction site until the decision on the light rail project has been progressed

v)††††† additional operating expenditure of $150,000 to deliver town and local centre clean-ups across the region.

c)††††† request Auckland Transport to collect data on the usage of the SuperGoldcard and Senior Citizens card during peak periods over the next 12 months and report this back to council for further consideration of the current subsidy

d)††††† request the Mayor write to the Minister of Transport regarding the withdrawal of public transport subsidy for SuperGold card holders in the afternoon peak and Auckland Senior Citizen card holders expressing councilís disappointment in this decision, particularly in light of the work that has been undertaken jointly to increase public transport usage

CARRIED

 

 

 

 

 

Resolution number FIN/2016/66

MOVED by Deputy Chairperson R Clow, seconded by Member J Tamihere as an amendment to clause e) as follows:

That the Finance and Performance Committee:

e)†††††††† recommend to the Governing Body that the Chief Executive, Group Chief Financial Officer and chair of the Finance and Performance Committee be authorised to draw down, if required, up to $100 million per annum of the Diversified Financial Asset portfolio for the 2016/2017 and 2017/2018 financial years in order to manage the debt ratios within prudent limits.

 

 

 

 

 

A division was called for, voting on which was as follows:

For

Cr AJ Anae

Mayor LCM Brown

Cr W Cashmore

Deputy Chairperson R Clow

Cr LA Cooper

Cr C Darby

Cr AM Filipaina

Cr CE Fletcher

Deputy Mayor PA Hulse

Cr CM Penrose

Cr D Quax

Cr SL Stewart

Member DE Taipari

Member J Tamihere

Cr JG Walker

Chairperson MP Webster

Against

Cr C Brewer

Cr C Casey

Cr DA Krum

Cr ME Lee

Cr WD Walker

Cr J Watson

Cr GS Wood

Abstained

 

The motion was declared carried by 16 votes to 7.

CARRIED

 

 

 

The Substantive motion was put.

 

 

 

 

 

Resolution number FIN/2016/67

MOVED by Mayor LCM Brown, seconded by Chairperson MP Webster:

That the Finance and Performance Committee:

e)††††† recommend to the Governing Body that the Chief Executive, Group Chief Financial Officer and chair of the Finance and Performance Committee be authorised to draw down, if required, up to $100 million per annum of the Diversified Financial Asset portfolio for the 2016/2017 and 2017/2018 financial years in order to manage the debt ratios within prudent limits.

CARRIED

 

 

 

 

 

MOVED by Cr C Brewer, seconded by Cr D Quax, an amendment by way of addition:

That the Finance and Performance Committee:

make available an additional $50,000 of opex in 2016/2017 to complete the necessary early development work (including some public consultation to inform the design) and make $200,000 of capex available in 2016/2017 to commence design, consenting and procurement for the new Meadowbank Community Centre facility.

 

 

 

 

 

 

A division was called for, voting on which was as follows:

For

Cr C Brewer

Cr D Quax

Against

Cr AJ Anae

Mayor LCM Brown

Cr C Casey

Cr W Cashmore

Deputy Chairperson R Clow

Cr LA Cooper

Cr C Darby

Cr AM Filipaina

Cr CE Fletcher

Deputy Mayor PA Hulse

Cr DA Krum

Cr ME Lee

Cr CM Penrose

Cr SL Stewart

Member DE Taipari

Member J Tamihere

Cr JG Walker

Cr WD Walker

Cr J Watson

Chairperson MP Webster

Cr GS Wood

Abstained

 

The motion was declared lost by 2 votes to 21.

 

 

 

 

Resolution number FIN/2016/68

MOVED by Mayor LCM Brown, seconded by Chairperson MP Webster:

That the Finance and Performance Committee:

f)†††††† request a report be brought back to the Finance and Performance Committee exploring the opportunity to:

i)       set-up a Trust structure to secure funding for, and oversee, the restoration of Whare building at Monte Cecilia park

ii)    re-allocate $300,000 to the Whare from the budget for a functions facility at the Pah homestead site.

g)††††† request that the Puketapapa Local Boardís planning options for Liston Village be presented to the Auckland Development Committee for further consideration

h)††††† recommend to the Governing Board that a report be brought back to the Regional Strategy and Policy Committee on the options for managing damaged headstones in closed and open cemeteries, particularly those of historic value, and that in the meantime a budget of $50,000 be provided for 2016/17 for immediate maintenance issues.

i)†††††† request a report be brought back to the Finance and Performance Committee on the operations of the Local Board capex fund and the concerns that have been raised by Local Boards in relation to the barriers to using this fund in a similar way to the previous Community Facilities Partnership fund, so that this can inform the next Annual Plan.

j)†††††† request staff to expedite the work on coastal erosion so that implementation of the highest priority projects can start as soon as possible and that identified funding shortfalls be part of the consideration for the next LTP.

CARRIED

 

 

 

 

 

 

 

Resolution number FIN/2016/69

MOVED by Cr DA Krum, seconded by Cr GS Wood:

That the Finance and Performance Committee:

k)        seek a report to the Finance and Performance Committee providing a full analysis of Auckland Councilís debt headroom over the next 5 years including analysis of the four variables: opex, capex, revenue and debt

CARRIED

 

 

 

MOVED by Cr WD Walker, seconded by Cr J Watson, as an amendment by way of addition:

That the Finance and Performance Committee:

request that regional budgets, and levels of service, for weed management across parks including local parks, be adjusted to reflect the Councilís Weed Management Policy which includes objectives to minimise the use of agrichemicals, ensure public health and safety, protect and enhance the environment, and ensure best practice in weed management and vegetation control.

 

 

 

Note:†† Pursuant to Standing order 1.2.4, the Chairperson ruled the motion out of order as it was being dealt with via another political advisory group.

 

 

 

The substantive motion was put.

 

 

 

Resolution number FIN/2016/70

MOVED by Mayor LCM Brown, seconded by Chairperson MP Webster:

That the Finance and Performance Committee:

a)        confirm its decisions made at this meeting under Item 12:† Final Annual Plan 2016/2017 Ė Mayoral Proposal.

A division was called for, voting on which was as follows:

For

Cr AJ Anae

Mayor LCM Brown

Cr W Cashmore

Deputy Chairperson R Clow

Cr LA Cooper

Cr C Darby

Cr AM Filipaina

Deputy Mayor PA Hulse

Cr CM Penrose

Member DE Taipari

Member J Tamihere

Cr JG Walker

Chairperson MP Webster

Against

Cr C Brewer

Cr C Casey

Cr CE Fletcher

Cr DA Krum

Cr ME Lee

Cr D Quax

Cr SL Stewart

Cr WD Walker

Cr J Watson

Cr GS Wood

Abstained

 

The motion was declared carried by 13 votes to 10.

CARRIED

 

 

 

Note:†† Pursuant to Standing Order 1.8.6 Cr C Darby requested his dissenting vote be recorded against clause a) iv) 4).

 

 

 

 

 

 

 

For clarity the resolutions for this item are as follows:

 

That the Finance and Performance Committee:

a)††††† recommend that the Governing Body adopt the following rates policy decisions for the Annual Plan 2016/2017:

i)†††††† that the UAGC be set at $394

ii)†††††† that the Interim Transport Levy (targeted rate) be set to retain the status quo of a fixed charge of $113.85 (including GST) for non-business ratepayers and $182.85 (including GST) for business ratepayers

iii)††††† that the general rate differential for farm and lifestyle properties be retained at its present level of 80 per cent of the urban residential rate

iv)††††† that the Māori Freehold Land rates remission and postponement policy be amended to include remissions:

1)†† to adjust rates to the equivalent of those that would have been charged, had the property been valued excluding any potential use that is unlikely to be achieved within Māori ownership

2)†† to adjust rates to the equivalent of those that would have been charged, had the rateable value of the property been adjusted by 10 per cent; where properties have significant barriers to development such as owners being deceased or not succeeded to

3)†† for marae and urupā land in excess of the two hectare limit for non-rateability

and also including:

4)†† for land returned under treaty settlement for commercial redress where the land is set aside and protected for cultural, historic or natural conservation purposes or because it is wahi tapu, or used for a marae or urupā.

v)††††† that the Rates remission and postponement policy be amended to remit fixed charges on Māori Freehold Land on multiple titles used as single property

vi)††††† that a two year pilot programme providing financial assistance of up to $35,000 per property to eligible homeowners in Piha, Te Henga, Karekare and Little Oneroa catchments to replace or upgrade their failing septic tank systems be established. This will be funded by a targeted rate set from 1 July 2017

vii)†††† that a targeted rate be set (at two thirds of the level set regionally for a full year recycling service) to fund a fortnightly kerbside fully commingled recycling collection in rural Franklin

viii)††† that the Brownís Bay, Glen Eden and North Harbour BIDs are extended

b)††††† recommend to the Governing Body that the budget for the final Annual Plan 2016/2017 be based on year two of the Long-term Plan 2015-2025, adjusted for the updates set out in the staff reports, and to incorporate the following changes and specific decisions:

i)††††††† Auckland Council continue its existing public transport concessions for the 2016/2017 financial year

ii)†††††† additional funding to Auckland Transport of $1.5 million noting that the remaining $1.5 million estimated cost of the discontinued government subsidy to come from internal savings in Auckland Transport

 

 

iii)††††† additional capital funding of up to $30 million in 2016/2017 and up to $20 million in 2017/2018 to Auckland Transport (AT) to support the early acquisition of land for future capital projects, excluding light rail, reminding the AT Board that Councilís highest weighting priority is public transport

iv)        request Auckland Transport to work with  NZTA and Kiwirail to retain the land at the Waterview Tunnel construction site until the decision on the light rail project has been progressed

v)††††† additional operating expenditure of $150,000 to deliver town and local centre clean-ups across the region.

c)††††† request Auckland Transport to collect data on the usage of the SuperGoldcard and Senior Citizens card during peak periods over the next 12 months and report this back to council for further consideration of the current subsidy

d)††††† request the Mayor write to the Minister of Transport regarding the withdrawal of public transport subsidy for SuperGold card holders in the afternoon peak and Auckland Senior Citizen card holders expressing councilís disappointment in this decision, particularly in light of the work that has been undertaken jointly to increase public transport usage

e)††††† recommend to the Governing Body that the Chief Executive, Group Chief Financial Officer and chair of the Finance and Performance Committee be authorised to draw down, if required, up to $100 million per annum of the Diversified Financial Asset portfolio for the 2016/2017 and 2017/2018 financial years in order to manage the debt ratios within prudent limits.

f)†††††† request a report be brought back to the Finance and Performance Committee exploring the opportunity to:

iii)     set-up a Trust structure to secure funding for, and oversee, the restoration of Whare building at Monte Cecilia park

iv)   re-allocate $300,000 to the Whare from the budget for a functions facility at the Pah homestead site.

g)††††† request that the Puketapapa Local Boardís planning options for Liston Village be presented to the Auckland Development Committee for further consideration

h)††††† recommend to the Governing Board that a report be brought back to the Regional Strategy and Policy Committee on the options for managing damaged headstones in closed and open cemeteries, particularly those of historic value, and that in the meantime a budget of $50,000 be provided for 2016/17 for immediate maintenance issues.

i)†††††† request a report be brought back to the Finance and Performance Committee on the operations of the Local Board capex fund and the concerns that have been raised by Local Boards in relation to the barriers to using this fund in a similar way to the previous Community Facilities Partnership fund, so that this can inform the next Annual Plan.

j)†††††† request staff to expedite the work on coastal erosion so that implementation of the highest priority projects can start as soon as possible and that identified funding shortfalls be part of the consideration for the next LTP.

k)††††† seek a report to the Finance and Performance Committee providing a full analysis of Auckland Councilís debt headroom over the next 5 years including analysis of the four variables: opex, capex, revenue and debt.

 

 

 

 

 

 

 

 

 

13††††††† Consideration of Extraordinary Items

 

There was no consideration of extraordinary items.

 

 

 

4.15 pm††††††††††††††††††††††††††††††††††††††††††††† The Chairperson thanked Members for their attendance and attention to business and declared the meeting closed.

 

CONFIRMED AS A TRUE AND CORRECT RECORD AT A MEETING OF THE Finance and Performance Committee HELD ON

 

 

 

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

 

 

 

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