|
Council
Controlled Organisations Governance and Monitoring Committee
02 December
2014
|
|
Modified
Auckland Transport Statement of Intent 2014-2017
File No.: CP2014/27151
Purpose
1. To agree the
modified Auckland Transport Statement of Intent for 2014-2017 as a result of
the Finance and Performance Committee resolution to reduce Auckland Transport
council funded capital expenditure by $100 million in 2014/2015.
Executive Summary
2. At the 21
August 2014 Finance and Performance Committee, it was resolved to reduce
Auckland Transport’s 2014/2015 council funded capital expenditure by $100
million.
3. Taking into
account priority for public transport, ring-fenced projects and commitments,
the Auckland Transport Board has agreed on a revised capital programme for
2014/2015 incorporating the $100 million reduction.
4. This reduces
the total capital programme from $833 million to $733 million.
5. As a result
of the change, Auckland Transport have modified their Statement of Intent
2014-2017 (SOI).
6. Auckland
Council is subsequently required to agree the modified SOI.
7. Auckland
Transport are in discussion with the NZTransport Agency (NZTA) to maintain the
level of capital funding at existing levels to mitigate any further reduction
from the revised $733 million 2014/2015 total capital expenditure.
|
Recommendation/s
That the Council
Controlled Organisations Governance and Monitoring Committee:
a) agree the
modified Auckland Transport Statement of Intent 2014-2017
b) note the
intention of Auckland Transport to maintain NZTA capital funding at the
existing levels for 2014/2015.
|
Discussion
8. In May 2014,
the Budget Committee requested that the council group look to reduce the rate
funded 2014/2015 capital expenditure by $300 million and report back to the
Finance and Performance Committee.
9. At the 21
August 2014 meeting, the Finance and Performance Committee agreed to a
reduction or deferral of $100 million of council funded Auckland Transport
capital expenditure for 2014/2015.
10. Auckland
Transport have reviewed the Annual Plan 2014/2015 $833 million capital
expenditure to the achieve the $100 million reduction with consideration of:
i) ring-fenced
projects such as City Rail Link ($69m) and the Local Board Transport Capital
Fund ($10m)
ii) committed
projects such as EMUs ($215m), Albany Highway ($17m), AMETI ($30m), and NORSGA
($22m)
iii) priority for
public transport
iv) requirements
outlined in the final year of NZTA’s Regional Transport Plan
v) the Long-term Plan 2015-2025.
11. Priority has
been given to public transport with a 7% reduction compared to 20% in roading.
The following table outlines the reduction from $833 million to $733 million:
|
$’m
|
Road
|
Public
transport
|
Active
modes
|
Other
|
Total
|
|
2013/14 actual
|
403
|
278
|
6
|
32
|
719
|
|
2014/15 Annual Plan
|
429
|
372
|
14
|
18
|
833
|
|
2014/15 revised
|
345
|
346
|
19
|
23
|
733
|
12. Examples of
individual projects impacted are:
i) Dominion Road
has been put on hold while the scope of the project is re-examined. This
project remains a high priority in order to alleviate peak-hour congestion and
enable improvements to public transport services
ii) AMETI has seen
a large budget reduction (from $72 million to $35.5 million). This decision
reflects the assumption that the Reeves Road Flyover will require Environment
Court Hearing.
13. The reduction
of $100 million would have resulted in an approximate $50 million consequential
loss of NZTA capital funding, and further reduction to the total capital
programme. Auckland Transport are in discussions with NZTA to maintain capital
funding at the existing levels for 2014/2015.
14. This would
result in no change to 2014/2015 NZTA capital funding and any further reduction
to the $733 million total capital expenditure.
15. Performance
measures agreed in the previous SOI remain unchanged.
Consideration
Local Board Views and Implications
16. Local Boards
have been engaged about the impacts of near-term and longer term Council budget
information through clustered workshops in May and through October to November.
17. In addition,
there have been individual Local Board discussions in November and December.
Maori Impact Statement
18. This does not
specifically impact Māori outcomes and well-being.
Attachments
|
No.
|
Title
|
Page
|
|
aView
|
Auckland Transport modified Statement of Intent
2014-2017
|
9
|
Signatories
|
Authors
|
Robert Irvine - Financial Planning Manager CCOs
|
|
Authorisers
|
Matthew Walker - Manager Financial Planning, Policy
and Budgeting
Stephen Town - Chief Executive
|
