Agenda of Council Controlled Organisations Governance and Monitoring Committee

I hereby give notice that an ordinary meeting of the Council Controlled Organisations Governance and Monitoring Committee will be held on:

Date:

Time:

Meeting Room:

Venue:

Tuesday, 1 April 2014

9.30am

Reception Lounge, Level 2
Auckland Town Hall
301-305 Queen Street
Auckland

Council Controlled Organisations Governance and Monitoring Committee

OPEN AGENDA

MEMBERSHIP

Chairperson	Penny Hulse
Deputy Chairperson	Calum Penrose
Members	Cr Anae Arthur Anae
	Cr Cameron Brewer
	Cr Dr Cathy Casey
	Member Precious Clark
	Cr Ross Clow
	Cr Linda Cooper, JP
	Cr Chris Darby
	Cr Denise Krum
	Cr Dick Quax
	Cr Penny Webster
	Member Glenn Wilcox
	Cr George Wood, CNZM
Ex-officio	Mayor Len Brown, JP

(Quorum 7 members)

Rita Bento-Allpress

Democracy Advisor

26 March 2014

Contact Telephone: (09) 307 7541

Email: rita.bento-allpress@aucklandcouncil.govt.nz

Website: www.aucklandcouncil.govt.nz

1 Apologies

At the close of the agenda no apologies had been received.

2 Declaration of Interest

Members are reminded of the need to be vigilant to stand aside from decision making when a conflict arises between their role as a member and any private or other external interest they might have.

3 Confirmation of Minutes

That the Council Controlled Organisations Governance and Monitoring Committee:

a) confirm the ordinary minutes of its meeting, held on Tuesday, 4 March 2014, including the confidential section, as a true and correct record.

4 Petitions

At the close of the agenda no requests to present petitions had been received.

5 Public Input

Standing Order 3.21 provides for Public Input. Applications to speak must be made to the Committee Secretary, in writing, no later than two (2) working days prior to the meeting and must include the subject matter. The meeting Chairperson has the discretion to decline any application that does not meet the requirements of Standing Orders. A maximum of thirty (30) minutes is allocated to the period for public input with five (5) minutes speaking time for each speaker.

At the close of the agenda no requests for public input had been received.

6 Local Board Input

Standing Order 3.22 provides for Local Board Input. The Chairperson (or nominee of that Chairperson) is entitled to speak for up to five (5) minutes during this time. The Chairperson of the Local Board (or nominee of that Chairperson) shall wherever practical, give two (2) days notice of their wish to speak. The meeting Chairperson has the discretion to decline any application that does not meet the requirements of Standing Orders.

This right is in addition to the right under Standing Order 3.9.14 to speak to matters on the agenda.

At the close of the agenda no requests for local board input had been received.

7 Extraordinary Business

Section 46A(7) of the Local Government Official Information and Meetings Act 1987 (as amended) states:

“An item that is not on the agenda for a meeting may be dealt with at that meeting if-

(a) The local authority by resolution so decides; and

(b) The presiding member explains at the meeting, at a time when it is open to the public,-

(i) The reason why the item is not on the agenda; and

(ii) The reason why the discussion of the item cannot be delayed until a subsequent meeting.”

Section 46A(7A) of the Local Government Official Information and Meetings Act 1987 (as amended) states:

“Where an item is not on the agenda for a meeting,-

(a) That item may be discussed at that meeting if-

(i) That item is a minor matter relating to the general business of the local authority; and

(ii) the presiding member explains at the beginning of the meeting, at a time when it is open to the public, that the item will be discussed at the meeting; but

(b) no resolution, decision or recommendation may be made in respect of that item except to refer that item to a subsequent meeting of the local authority for further discussion.”

8 Notices of Motion

At the close of the agenda no requests for notices of motion had been received.

Council Controlled Organisations Governance and Monitoring Committee

01 April 2014

Resolutions from the Economic Development Committee - A shared economic development agenda for Auckland

File No.: CP2014/03255

Purpose

1. To approve the incorporation of the shared economic agenda for Auckland in ATEED’s 2014-17 Statement of Intent, as recommended by the Economic Development Committee.

Executive Summary

2. On the 19 February 2014, the Economic Development Committee considered advice on the Auckland Economic Development Strategy (AEDS).

3. The committee was advised that over the past three months, Auckland Council and Government officials and business leaders have engaged in a mid-course assessment of the AEDS in order to develop a prioritised shared agenda for its future implementation. The purpose of the assessment was to identify a smaller number of collectively agreed actions that will bring focus and momentum to the implementation of the AEDS in the shorter term.

4. A new Auckland Leadership Team between business, Auckland Council and Government will be established to drive and deliver a shared economic agenda. The shared economic agenda aims to:

· Raise youth/rangatahi employability

· Build, retain and attract talent

· Build the Auckland business proposition for a business-friendly city

· Boost the investment rate into Auckland’s economy and infrastructure

· Motivate greater investment in products, services and markets

· Increase Auckland’s visibility

· Optimise Auckland’s platforms for growth: housing, transport and availability of employment land

· Support growth and improved performance of Māori businesses

5. The Economic Development Committee recommends that the CCO Governance and Monitoring Committee incorporate the shared economic agenda for Auckland into ATEEDs 2014-17 Statement of Intent. ATEED is aware of the committees proposal.

Recommendation

That the Council Controlled Organisations Governance and Monitoring Committee:

a) approve the incorporation of the shared economic agenda for Auckland in ATEED’s 2014-17 Statement of Intent.

Attachments

No.	Title	Page
a View	A shared economic development agenda for Auckland	9

Signatories

Authors

Mary Binney - Democracy Advisor

Authorisers

Mark Butcher - Treasurer

Stephen Town - Chief Executive

Council Controlled Organisations Governance and Monitoring Committee

01 April 2014

Legacy Council Controlled Organisations (CCOs) Half Year Report

File No.: CP2014/04094

Purpose

1. To receive the half year reports for the following Legacy CCOs; Te Puru Community Charitable Trust, COMET Auckland and the Contemporary Art Foundation.

Executive Summary

2. In accordance with their Statements of Intent (SOI) Te Puru Community Charitable Trust, COMET Auckland and the Contemporary Art Foundation are required to submit a half year report by 28 February 2014.

3. Officers have reviewed the reports to 31 December 2013 and summarise the key points and issues as provided in the discussion section of this report.

Recommendation

That the Council Controlled Organisations Governance and Monitoring Committee:

a) receive the Half year reports for Te Puru Community Charitable Trust, COMET Auckland and the Contemporary Art Foundation.

Discussion

4. The three Legacy CCOs Te Puru Community Charitable Trust (Te Puru), COMET Auckland (COMET) and the Contemporary Art Foundation (CAF) present their half year reports. Officers have prepared comments as below, the half year reports are attached at Appendix A – C.

Te Puru Community Charitable Trust

Financial

Te Puru has reported a surplus of $15,000 for the half year ended 31 December 2013 on total income of $317,000 and total expense of $301,000. Te Puru received increased funding for Kiwisport ($10,000) and MSD/Oscar Junior ($8,000) against a budget of $7,000 and nil budget respectively. Also, the Trust had an increased Food and Beverage Sales from Club rooms $16,000.

Non-Financial

Te Puru are on track to meet most of their performance targets by year end. Exceptions are due to external forces – e.g. an objective to develop an arts and culture centre is no longer viable due to an independent arts centre in Beachlands (the Beachlands Log Cabin).

Highlights and Issues

Te Puru have implemented Affiliation Agreements for most of its affiliated clubs and improved communication with those clubs. The school holiday programme continues to be successful, with both Term 3 and 4 programmes operated at full capacity.

Te Puru’s board has worked closely with Auckland Council staff and liaises regularly with Franklin Local Board. Communication between all groups has improved during this period. Council staff are still working with Te Puru towards its goal of CCO exemption – ensuring the funding agreement and associated reporting provide sufficient accountability for council funding.

Maori Impact Statement

Te Puru reflects consideration of Maori wellbeing through its principle enduring objectives (rather than annual objectives), for example, to recognize the role of Tangata Whenua, further engagement with Maori etc. There is currently no reporting on progress against this during the 2013 – 14 year. There will be an opportunity to request the addition of a relevant objective to the 2013 – 17 SOI shortly, as the shareholder comments on Te Puru’s draft SOI will be confirmed in April.

5. COMET Auckland

Financial

COMET has reported a surplus of $21,293 for the six months ended 31 December 2013 on total income of $351,721 and total expense of $330,428.

Funding has been secured from Sky City to deliver a community-based financial literacy programme in Tamaki and Randwick Park, Manurewa. This supports the work in the Southern Initiative.

Non-Financial

COMET are on track to achieve their annual targets through the SOI. Exceptions are in the following proposed programmes

(i) Interventions to improve skills outcomes for new migrants and refugees has not attracted external funding and will not proceed;

(ii) Auckland Languages Strategy will pause to explore how Maori want Te Reo included before developing the Te Reo Maori strategy.

Highlights and Issues

COMET became the NZQA-registered owner of the Whanau Ara Mua (family literacy) programme in 2013. The delivery of this programme (Solomon Group) has seen 105 students graduate and secured funding for 150 places for 2014.

Following the joint launch of Money Smarts with Massey University the Commission for Financial Literacy and Retirement have funded 36 youth workers to complete the course.

Local Board Views

During the reporting period COMET have provided advice and expertise on skill needs for the Franklin, Whau and Papakura Local Boards.

Maori Impact Statement

COMET deliver a number of initiatives that contribute to Maori outcomes. During the half year COMET have distributed the Tamaki Makaurau Maori Education Snapshot by mailout and presentations to various Marae across the region.

A second hui has been held with Mana Whenua, Taurahere and Maori organisations to identify the key issues and aspirations for Maori education initiatives. The groups agreed to form a joint steering group who are tasked with meeting in early 2014 to formulate the nature of the relationship and plan shared objectives.

6. Contemporary Art Foundation

Financial

CAF has a net operating deficit of $50,000 at 31 December 2013. CAF had a total income of $307,000. The net loss of $50,000 (16 per cent of revenue) is after a non-cash accounting entry for depreciation of $37,000, which would otherwise mean the trust showed a $13,600 deficit (4 per cent of revenue). An extraordinary cost of $24,000 was spent during the period for painting the areas of Te Tuhi which generates income.

CAF have decommissioned a small gallery space in order to increase the revenue by hiring the space out to groups. An application is with the Lotteries Commission to fund the necessary changes such as carpet and air-conditioning.

Non-Financial

CAF have achieved their targets for the half year period and on track to meet the full year objectives. CAF continue to build partnerships and are working with the Art History department at Auckland University to offer a learning platform for young professionals looking at curatorial experience.

Highlights and Issues

CAF’s presentation of the highly respected performance artist, William Pope.L from Chicago has been well received by Auckland. William Pope.L is known for his exhibitions across the world and USA, mainly at the MoMA, Art Institute of Chicago and was a recipient of the Guggenhein Fellowship Award.

The Reeves Road Flyover is an ongoing issue for CAF. Auckland Transport staff are still working on the impact assessment and council staff will continue to work with CAF to assist with this process, as appropriate. Discussion with the Chair of the Howick Local Board has also taken place during the reporting period.

Maori Impact Statement

The Te Tuhi Youth Art Award promoting Tangata Whenua feature work by Jarrod Pihama. A year 13 Art Design student from Papakura High school exhibited work hand drawn and tablet draw (Photoshop) dealing with youth issues and fashion. The “Future Animators” exhibition promoted work from Year 12 Maori students from Manurewa High school with 30-second animations on flat screen television in the Te Tuhi foyer.

Consideration

Local Board Views

7. The Half year reports of the Legacy CCOs are provided to local boards for their information via the Local Board Services Department.

Maori Impact Statement

8. Legacy CCOs work directly within the local community and alongside local iwi. Specific information from each Legacy CCO relating to Maori wellbeing is referenced under Maori Impact Statement.

General

9. Legacy CCO Half Year reports do not trigger the Significance policy.

Implementation Issues

10. Feedback from the CCO Governance & Monitoring Committee will be forwarded on to the Legacy CCOs.

Attachments

No.	Title	Page
a View	Te Puru Community Charitable Trust Half-year (July to Dec 2013)	19
b View	COMET Auckland Half-year (July - Dec 2013)	27
c View	Contemporary Art Foundation Half-Year (July - Dec 2013)	39

Signatories

Authors

Josie Meuli - Advisor

Authorisers

Mark Butcher - Treasurer

Stephen Town - Chief Executive

Council Controlled Organisations Governance and Monitoring Committee

01 April 2014

Legacy CCOs - Draft Statements of Intent

File No.: CP2014/04447

Purpose

1. To approve the shareholder comments on the draft legacy council controlled organisations’ (CCOs) statements of intent (SOIs) for the period 1 July 2014 to 30 June 2017.

Executive Summary

2. Auckland Council’s legacy CCOs – Contemporary Art Foundation (CAF), COMET Auckland and Te Puru Community Charitable Trust – have submitted draft statements of intent (SOIs) 2014-2017 for shareholder review. If the council wishes to provide comments on the draft SOIs, it must do so by the end of April.

3. The CCO Governance and External Partnerships team has reviewed the draft SOIs, taking into account statutory requirements. Input was sought from other subject matter experts where relevant – from Community Development, Arts and Culture; Economic Development; the Mayor’s office and Parks, Sport and Recreation.

4. Schedule 8, Clause 9 of the LGA 2002 sets out the requirements for the contents of the SOI, to the extent that is appropriate, given the organisational form of the CCO. Some matters, such as the commercial value of the shareholders’ investment in the group, (Schedule 8, Clause 9 (d) of the LGA 2002), may not be relevant to smaller trusts. Council staff have checked the draft SOIs to ensure that the minimum statutory requirements for the SOI contents are met, or otherwise provided comment.

5. While legacy CCOs are required to comply with Schedule 8, Clause 9 of the LGA 2002, CAF, COMET Auckland and Te Puru all have funding contracts which are monitored by Auckland Council. These contracts are monitored on a regular basis, which means the SOI process is less significant for legacy CCOs than for substantive CCOs.

Recommendations

That the Council Controlled Organisations Governance and Monitoring Committee:

a) approve the proposed shareholder comments for the draft 2014 - 2017 Statement of Intent provided by the Contemporary Art Foundation;

b) approve the proposed shareholder comments for the draft 2014 - 2017 Statement of Intent provided by COMET Auckland;

c) approve the proposed shareholder comments for the draft 2014 – 2017 Statement of Intent provided by Te Puru Community Charitable Trust, with particular attention given to developing measurable and time-bound performance targets.

Discussion

6. Officers have prepared shareholder comments on each of the three Legacy CCOs’ SOIs and these are attached. Where all requirements have not been met, these are detailed in the shareholder comments. Summary comments on each CCO are noted below.

Contemporary Art Foundation (CAF)

7. Council staff from CCO Governance and External Partnerships; Community Development, Arts and Culture and the Mayor’s office have provided feedback for the shareholder comments on CAF’s 2014 – 2017 Statement of Intent. The suggested shareholder comments are noted in Attachment A.

8. Particular points to note :

· The 2014-2017 SOI has been directed toward the supply of services from the current location at 13 Reeves Road, Pakuranga^{^[1]}

· Auckland Transport and City Transformation continue to meet with CAF management to discuss the possible options for reducing the impact on the facility at Reeves Road

· Council officers note the decision by the CAF board to seek a potential new location for the gallery and associated services.

COMET Auckland

9. Council staff from CCO Governance and External Partnerships and Economic Development have provided feedback for the shareholder comments on COMET’s 2014-2017 SOI. The draft SOI is provided as Attachment B. Suggested shareholder comments have been kept to a high level and are noted here. Council staff will work with the COMET board and provide more detailed suggestions for improvement.

10. The main areas of feedback are as follows:

· the SOI should articulate stronger alignment with the Shared Economic Agenda, which has been endorsed by the Economic Development Committee, and the Auckland Economic Development Strategy

· greater clarity could be provided on the nature and scope of COMET’s planned actions and delivery mechanisms. COMET should state its role in delivering the outcomes and actions identified in the SOI, and what actions it intends to take

· COMET should continue to improve its SOI by focusing on the outcomes (rather than outputs) it is trying to achieve, and using SMART performance measures.

11. A number of COMET’s activities are dependent on obtaining revenue from other sources. The SOI should clearly differentiate between activities that are funded, and those that will only occur if external funding is available.

12. COMET has a role in contributing to the Mayor’s Youth Employment Plan (specifically within the Traction Hub). This should be reflected in the SOI.

13. The SOI should clarify COMET’s role in supporting the Maori Education Forum towards self-sustainability and building the forum’s organisational capacity.

Te Puru Community Charitable Trust

14. Council staff from the CCO Governance and External Partnerships and Parks, Sport and Recreation departments have provided feedback for the shareholder comments on Te Puru’s 2014 – 2017 SOI. The suggested shareholder comments are noted in Attachment C.

15. The 2014-2017 SOI is an improvement on last year’s, but it still needs further work on the performance targets section. The suggested shareholder comments are kept to a high level. Council staff will work with the Te Puru board and provide more specific suggestions for improvement.

16. Although not noted in this SOI, Te Puru’s board has expressed its desire to be exempted from the CCO reporting requirements. Council staff are not prepared to recommend this until they are satisfied with Te Puru’s performance against the requirements of the funding agreement. Franklin Local Board, whose budget contains the funding for Te Puru, supports this position.

Consideration

Local Board Views

17. Te Puru board members and management have developed a working relationship with Franklin Local Board. This is appropriate because, while all performance reporting for legacy CCOs is overseen by the council’s CCO Governance and Monitoring Committee, funding for Te Puru sits in Franklin Local Board’s budget. All reporting under the SOI will also be sent to Franklin Local Board for comment.

18. CAF liaise with Howick Local Board and COMET Auckland also works closely with a number of local boards as part of their planning process.

Maori Impact Statement

19. Specific comments on contribution to Maori outcomes are provided in the proposed shareholder comments in the attachments.

General

20. This report does not trigger the council’s Significance policy.

Implementation Issues

21. The legacy CCOs are required to have a public meeting to discuss the shareholder comments and agree their final SOI. The final SOIs must be provided to Auckland Council by 30 June 2013.

Attachments

No.	Title	Page
a View	CAF draft SOI 2014 - 2017 with proposed shareholder comments	53
b View	COMET draft SOI 2014 - 2017	67
c View	Te Puru draft SOI 2014 - 2017 with proposed shareholder comments	83

Signatories

Authors

Kirsty Colquhoun - Advisor

Authorisers

Mark Butcher - Treasurer

Stephen Town - Chief Executive

Council Controlled Organisations Governance and Monitoring Committee

01 April 2014

Substantive CCOs - Draft Statements of Intent 2014-2017

File No.: CP2014/04858

Purpose

1. This report seeks the approval of the proposed shareholder comments on the draft Statement on Intent (SOI) for the period 1 July 2014 through to 30 June 2017 for the substantive council controlled organisations (CCOs).

Executive Summary

2. Each of the council’s substantive CCOs has submitted a draft SOI for the period 1 July 2014 to 30 June 2017 for shareholder review.

3. If the council wishes to provide comments on the draft SOIs, this must be done in writing to the chair of the CCO by 30 April 2014.

4. The draft SOIs reflect an improvement on previous years and have addressed most comments in the Letters of Expectation.

5. Subject matter experts across the council have reviewed the draft SOIs taking into account statutory requirements, the Shareholder Expectation Guide, Letters of Expectation, the Auckland Plan, the Long-term Plan 2012-2022 and other relevant strategies and policies of council.

6. This feedback has been collated to form the proposed shareholder comments for approval.

7. The proposed shareholder comments have been split into general comments that will be applicable to all CCOs, and specific comments for each CCO. The comments are limited to those of substantive nature, and should avoid outlining direction which was included in the Letters of Expectation. Editorial and operational issues will be worked through separately.

8. An important note is that work is underway on the Long-term Plan (LTP) 2015-2025, and therefore priorities and deliverables for the last two years of the SOI 2014-2017 may be subject to change.

9. As part of continuous improvement, and feedback from the CCO review, a SOI process improvement work-stream is being formed with focus on the SOI 2015-2018.

Recommendations

That the Council Controlled Organisations Governance and Monitoring Committee:

a) approve the proposed shareholder comments on the draft SOIs 2014-2017 of the substantive CCOs

b) agree that the Deputy Mayor may approve any further minor modifications to the Shareholder Comments.

Discussion

SOI process

10. After receiving the Letter of Expectation from the Mayor, under the Local Government Act 2002, each CCO is required to develop a draft SOI to:

a. outline its intention and activities for the forthcoming year

b. provide an opportunity for shareholders to influence the direction of the CCO

c. provide a basis of accountability for the directors of the CCO to its shareholders.

11. The draft SOIs were all received by 1 March 2014, and have been reviewed by subject matter experts across council to develop the proposed shareholder comments.

12. The proposed shareholder comments have been split into general comments that will be applicable to all CCOs, and specific comments for each CCO. The comments are limited to those of substantive nature, and should avoid outlining direction which was included in the Letters of Expectation. Before finalising the SOIs, council staff will work with the CCOs on any minor editorial and operational issues.

13. Once the shareholder comments are agreed, they are required to be sent to the chairs of the CCOs by 30 April 2014.

14. Substantive CCOs are required to consider the shareholder comments at a public board meeting, before submitting final SOIs to the council on or before 30 June 2014.

15. Running parallel with the SOI process is the development of the Long-term Plan 2015-2025. Year two and three of the SOI priorities and deliverables may be impacted by any changes agreed as part of the LTP.

CCO review and continuous improvement on the SOI process

16. Through the development of the draft SOIs 2014-2017, council staff have worked with the CCOs to improve the format of the draft SOIs and remove content that is covered in other CCO policies.

17. In line with continuous improvement and feedback received from the CCO review, council staff will be establishing a work-stream to further improve the SOI process as part of streamlining the accountability framework.

18. The intention is to:

a. ensure the SOI process provides clarity and alignment of CCO priorities with the long-term plan

b. remove duplication with other planning processes

c. improve councillor and CCO engagement on the SOI process.

19. Also included in this review is the quarterly reporting process.

Proposed shareholder comments applicable to all CCOs

20. It is proposed that all CCOs be requested to work with council staff in finalising SOIs to ensure that:

a. financial information aligns with the Long-term Plan 2012-2022 (updated for any changes agreed as part of the Annual Plan 2014/2015) and includes:

i. financial statements provided by council staff

ii. a funding statement breakdown by activity as per LTP

iii. 2013/2014 budget and the subsequent three years’ budget

iv. agreed non-strategic asset sales targets

b. performance measures align with the LTP (updated for any changes agreed as part of the Annual Plan 2014/2015) and includes:

i. LTP measures that are clearly identified in the SOI

ii. measures and targets exactly as worded in the Annual Plan 2014/2015

iii. 2012/2013 actual performance, 2013/2014 target and the next three years’ targets.

21. Whilst no specific actions are required for amending the final SOIs, it is also proposed that CCOs consider the following:

a. all performance measures, including measures that not included in the LTP, should be reviewed as part of continuous improvement and the LTP 2015-2025 process. This is to ensure the measures are quantifiable and there is alignment to Auckland Council plans, policies and priorities

b. priorities and deliverables in the SOI for years two and three will be subject to changes approved as part of the LTP process for 2015-2025

c. in line with the council’s previous resolution “to improve the level and quality of financial and non-financial reporting on Māori outcomes”, CCOs should look to identify and report on specific initiatives, engagement and performance measures that contribute to Māori outcomes.

Proposed shareholder comments: Auckland Council Investments Limited (ACIL)

22. It is proposed that the following request be included in the shareholder comments to ACIL on its draft SOI 2014-2017 (see Attachment B):

a. add an equivalent bullet point for Auckland Film Studio Limited (AFSL) (page 14 of the draft SOI) as included for the other two ACIL shareholdings (Ports of Auckland Limited and Auckland International Airport Limited): “Encourage AFSL to increase focus and reporting on contribution to Māori through specific initiatives, engagement and business performance.”

Proposed shareholder comments: Auckland Council Property Limited (ACPL)

23. It is proposed that the following requests be included in the shareholder comments to ACPL on its draft SOI 2014-2017 (see Attachment C):

a. include a comment that “ACPL will identify mechanisms to capture financial information in relation to projects and programmes which contribute to ACPL’s responsiveness to Māori, and will include such information in quarterly reports to Auckland Council”

b. update sections 9.10 to 9.13, with wording changes requested by IMSB (see Attachment A).

Proposed shareholder comments: Auckland Tourism, Events and Economic Development (ATEED)

24. It is proposed that the following requests be included in the shareholder comments to ATEED on its draft SOI 2014-2017 (see Attachment D):

a. the final SOI should be amended to show stronger alignment with the endorsed shared economic agenda. This includes providing detail on how ATEED intends to “raise youth/rangatahi employability”, and “support growth and improved performance of Maori businesses”

b. the final SOI should clearly articulate those activities that are funded as business as usual for ATEED, and those activities that require additional/external funding

c. in general, greater clarity should be provided on the nature and scope of some activities to better articulate ATEED’s role and delivery mechanisms for its planned actions

d. more specific detail should be included regarding ATEED’s initiatives that contribute to Maori outcomes. Emphasis should be placed on not just investigating a signature Maori event, but also delivering such an event.

25. Auckland Council’s Economic Development department has developed specific examples and comments in relation to the high level comments detailed above. Council staff will work with ATEED to address these proposed shareholder comments in more detail.

26. A number of issues have also been identified by the Independent Maori Statutory Board. Council staff will discuss these issues with ATEED so that they can be addressed prior to finalising the SOI.

Proposed shareholder comments: Auckland Transport

27. It is proposed that the following requests be included in the shareholder comments to Auckland Transport on its draft SOI 2014-2017 (see Attachment E):

a. insert the following paragraph under section 2.1 of the draft SOI, “That Auckland Transport must also take into account the Auckland Plan principles, particularly those related to land use and transport, good design, and the environment; and the Plan’s target to achieve a reduction in greenhouse gas emissions.” This comment was previously in the final SOI for 2013-2016.

b. under section 2.1, include a statement that “The transport system and Auckland Transport’s programme need to contribute to these outcomes”

c. under section 2.2, please expand how such the transport system will improve economic development with inclusion of the comment “…contributing significantly to Auckland ‘liveability’ and economic prosperity”

d. under the section 3 (page 6), include more detail on bus lanes that are part of the public transport infrastructure for completion by 2016

e. as per the Letter of Expectation, include under section 3 comments on how Auckland Transport is identifying and reporting on the delivery of any improvements to the quality of urban design outcomes

f. under section 3, specifically reference a commitment to improving customer satisfaction and actions to support this commitment

g. under section 4, include comments on engaging and maintaining relationship with the Independent Māori Statutory Board (IMSB). This should include taking into account the IMSB’s schedule of issues of significance

h. under section 4.6, include a comments that “Auckland Transport will

i. “maintain and improve opportunities for Māori to contribute to land transport decision-making processes” to reflect recent amendments to the Land Transport Act 2003

ii. identify mechanisms to capture financial information in relation to projects and programmes which contribute to Auckland Transport’s responsiveness to Māori, and will include such information in quarterly reports to Auckland Council.”

28. Changes have been made to the performance measure targets in the draft SOI, in particular reduction to customer satisfaction and public transport patronages. The changes to the LTP measures will be brought to the Budget Committee for discussion and approval.

Proposed shareholder comments: Regional Facilities Auckland (RFA)

29. It is proposed that the following requests be included in the shareholder comments to RFA on its draft SOI 2014-2017 (see Attachment F):

a. as per the Letter of Expectation, council expects to see reference to children and young persons as a key part in the delivery of RFA’s objectives

b. include a comment that “RFA will identify mechanisms to capture financial information in relation to projects and programmes which contribute to RFA’s responsiveness to Māori, and will include such information in quarterly reports to Auckland Council”

c. on page 3 of the draft SOI, change the word ‘Iwi engagement’ to ‘Contribution to Māori’

d. specific initiatives contributing to Māori outcomes should be included in the final SOI.

30. There are also a range of minor amendments on which council staff will be working with RFA. This will include updating the final SOI to reflect recent structural changes from Bruce Mason Centre, and North Harbour Stadium.

Proposed shareholder comments: Watercare Services Limited (WSL)

31. It is proposed that the following requests be included in the shareholder comments to WSL on its draft SOI 2014-2017 (see Attachment G):

a. include a comment that “Watercare will identify mechanisms to capture financial information in relation to projects and programmes which contribute to Watercare’s responsiveness to Māori, and will include such information in quarterly reports to Auckland Council”

b. Watercare will provide information on iwi engagement activities in quarterly reports to Auckland Council.

Proposed shareholder comments: Waterfront Auckland

32. It is proposed that the following requests be included in the shareholder comments to Waterfront Auckland on its draft SOI 2014-2017 (see Attachment H):

a. align the final SOI with the recently agreed shared economic agenda

b. under section 1.10 (page 6 of the draft SOI), change the first sentence to include ‘Auckland Council’. “Waterfront Auckland will work with the Auckland Council and the Auckland Investment Office to actively promote …”

c. include the comment that “Waterfront will identify mechanisms to capture financial information in relation to projects and programmes which contribute to Waterfront Auckland’s responsiveness to Māori, and will include such information in quarterly reports to Auckland Council”

d. alter the performance measure, “Opportunity for Māori/Iwi involvement in waterfront clearly demonstrated” to a more specific performance measure such as “number of initiatives/opportunities provided for Māori/iwi in relation to involvement in the waterfront

e. on page 35 of the draft SOI, in the section “Enable Māori aspirations through recognition of the Treaty of Waitangi and customary rights,” amend the paragraph as follows: “The IMSB has developed the Māori Plan to guide council’s operations. WA will continue to engage with IMSB and Māori on priority actions at the waterfront.”

Consideration

Local Board Views

33. The Governing Body is responsible for providing shareholder comments on the draft SOIs.

34. However, all the draft SOIs include commitment to working closely with Local Boards.

Māori Impact Statement

35. The activities of CCOs have potential to impact Māori wellbeing and to influence the achievement of Auckland Plan and LTP outcomes relevant to Māori. The draft SOIs were separately reviewed by the Independent Māori Statutory Board (IMSB) and council’s Te Waka Angamua department.

General

36. The decisions sought in this report are not significant according to the council’s Significance Policy.

Implementation Issues

37. It is critical that the final SOIs reflect the Annual Plan 2014/2015. Given the timing of the annual plan process, this may require some minor updates post 30 June 2014.

Attachments

No.	Title	Page
a View	IMSB editorial request on ACPL's draft SOI (Under Separate Cover)
b View	ACIL draft SOI 2014-2017 (Under Separate Cover)
c View	ACPL draft SOI 2014-2017 (Under Separate Cover)
d View	ATEED draft SOI 2014-2017 (Under Separate Cover)
e View	Auckland Transport draft SOI 2014-2017 (Under Separate Cover)
f View	RFA draft SOI 2014-2017 (Under Separate Cover)
g View	Watercare draft SOI 2014-2017 (Under Separate Cover)
h View	Waterfront Auckland draft SOI 2014-2017 (Under Separate Cover)

Signatories

Authors

Robert Irvine - Financial Planning Manager CCOs

Authorisers

Matthew Walker - Manager Financial Plan Policy and Budgeting

Mark Butcher - Treasurer

Stephen Town - Chief Executive

Council Controlled Organisations Governance and Monitoring Committee

01 April 2014

Exclusion of the Public: Local Government Official Information and Meetings Act 1987

That the Council Controlled Organisations Governance and Monitoring Committee:

a) exclude the public from the following part(s) of the proceedings of this meeting.

b) agree that Debra Lawson, Chief Executive Tāmaki Redevelopment Company Ltd., be permitted to remain for Confidential Item C1 Tāmaki Redevelopment Company Limited (TRC) - Second Quarter Report ( October to December 2013) after the public has been excluded, because of her knowledge of the matter, which will help the Council Controlled Organisations Governance and Monitoring Committee in its decision-making.

The general subject 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 follows.

This resolution is made in reliance on section 48(1)(a) of the Local Government Official Information and Meetings Act 1987 and the particular interest or interests protected by section 6 or section 7 of that Act which would be prejudiced by the holding of the whole or relevant part of the proceedings of the meeting in public, as follows:

C1 Tāmaki Redevelopment Company Limited (TRC) - Second Quarter Report ( October to December 2013)

Reason for passing this resolution in relation to each matter

Particular interest(s) protected (where applicable)

Ground(s) under section 48(1) for the passing of this resolution

The public conduct of the part of the meeting would be likely to result in the disclosure of information for which good reason for withholding exists under section 7.

s7(2)(h) - The withholding of the information is necessary to enable the local authority to carry out, without prejudice or disadvantage, commercial activities.

In particular the report contains information regarding future commercial activities for the company which may impact on commercial negotiations. .

s48(1)(a)

The public conduct of the part of the meeting would be likely to result in the disclosure of information for which good reason for withholding exists under section 7.

C2 Council Controlled Organisations, Board-led Performance Review (2013)

Reason for passing this resolution in relation to each matter

Particular interest(s) protected (where applicable)

Ground(s) under section 48(1) for the passing of this resolution

The public conduct of the part of the meeting would be likely to result in the disclosure of information for which good reason for withholding exists under section 7.

s7(2)(a) - The withholding of the information is necessary to protect the privacy of natural persons, including that of a deceased person.

In particular, the board contains information about board performance which should be withheld to protect the privacy of individual board members. In includes information about the performance of board chairs who can be individually identified. In addition, making available the information would likely compromise the quality of information provided by board members in any future reviews .

s48(1)(a)

The public conduct of the part of the meeting would be likely to result in the disclosure of information for which good reason for withholding exists under section 7.

[1] While SOIs are 3-year documents, the purpose is for CCOs to state publicly their activities and intentions for the year (2014-2015)