Agenda of Governing Body

1 Affirmation

His Worship the Mayor will read the affirmation.

2 Apologies

Apologies from Deputy Mayor PA Hulse and Cr JG Walker have been received.

3 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.

4 Confirmation of Minutes

That the Governing Body:

a) confirm the ordinary minutes of its meeting, held on Thursday, 28 May 2015, including the confidential section, as a true and correct record.

5 Acknowledgements and Achievements

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

6 Petitions

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

7 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.

8 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.

9 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.”

10 Notices of Motion

10.1 Notice of Motion - Councillor George Wood - Motorway Tolling Referendum

In accordance with Standing Order 2.5.1, the following Notice of Motion has been received from Councillor GS Wood, seconded by Cr CM Casey, for inclusion on the agenda for the Governing Body meeting being held on Thursday, 25 June 2015:

Recommendation/s

That the Governing Body:

a) agree to hold a referendum, pursuant to Section 9 of the Local Electoral Act 2001, in conjunction with the 2016 Auckland Council triennial election, to ascertain whether the people of Auckland support any form of motorway tolling, as recommended by the Council’s Independent Advisory Body.

b) request that a report be provided on the appropriate wording for referendum question and any other matters that the Governing Body needs to consider.

Background

Cr Wood’s signed Notice of Motion is appended as Attachment A and a memorandum supporting the motion is appended as Attachment B.

Attachments

a Councillor George Wood signed Notice of Motion.............................. 403

b Memorandum in support of the Notice of Motion................................ 405

Governing Body

25 June 2015

Adoption of Contributions Policy and Revenue and Financing Policy

File No.: CP2015/11615

Purpose

1. To recommend the adoption of the Contributions Policy and the Revenue and Financing Policy.

Executive Summary

2. The draft Contributions Policy has been amended to reflect policy decisions agreed by the Budget Committee on 7 May 2015 and the capital expenditure in the budget approved by the Governing Body on 8 May 2015.

3. The key policy change was to provide for an increased number of funding areas for parks and stormwater. Further work will be undertaken alongside the Annual Plan 2016/2017 to further increase the number of parks funding areas.

4. Legislation requires the council to include a revenue and financing policy in its long-term plan. The Governing Body must adopt this policy before the adoption of the Long-term Plan 2015-2025.

5. The attached Revenue and Financing Policy has been updated to reflect the council decisions on solid waste funding and fees and charges at the 7 and 8 May meeting, the financial implications of the council’s depreciation funding policy and to identify targeted rates as a funding source for relevant activities.

Recommendation/s

That the Governing Body:

a) adopt the Contributions Policy (Attachment A to the agenda report).

b) adopt the Revenue and Financing Policy (Attachment B to the agenda report).

Comments

Background

6. The Governing Body adopted a draft Contributions policy for public consultation alongside the Long-term Plan 2012-2025 in November 2015. Changes proposed in the draft policy included:

· increasing the number of funding areas

· increasing prices annually as identified in schedule 3 of the policy

· changing the definitions and demand factors for some development types including

· setting residential development charges based on house size as well as type

· including Kaumatua housing in the retirement unit development type

· aligning the policy to reflect the 2014 amendments to the Local Government Act that mean development contributions can no longer fund certain community infrastructure growth projects and that non-residential developments cannot be charged for reserves.

7. The Governing Body adopted a draft Revenue and Financing policy for public consultation as part of the Long-term Plan 2015-2025. Key changes included in the draft policy:

· only providing a prescribed process for annual adjustments to regulatory fees

· changes in the funding mix for services arising from decisions made as part of the development of the Long-term Plan 2015-2025

· incorporation of elements of the rating policy previously presented separately.

Feedback

8. Over 200 points of feedback were received on the Contributions Policy from consultation including an event held for the development community. The feedback generally supported the proposed changes. In particular feedback sought an increase in funding areas to better align the expenditure of contributions with the area where they were collected.

9. No feedback was received on the Revenue and Financing Policy.

Contributions policy response

10. Further analysis has been undertaken to assess the demand for infrastructure from different types of developments at different locations across the Auckland region since the adoption of the draft policy.

11. After consideration of the feedback received and the updated analysis, the 7 May meeting of the Budget Committee agreed the following changes to the policy:

· replacing the single funding area for reserve acquisition and the seven funding areas for reserve development and community infrastructure with four funding areas for each of these activities

· increasing the funding areas for stormwater from 17 to 22 to reflect the updated analysis of existing infrastructure and the hydrology and topography of different areas

· reducing the unit of demand factor for attached dwellings (low rise) to reflect lower infrastructure demand from high density units

· reducing the unit of demand factors for retirement village units and aged care rooms to exclude costs for sports fields and playgrounds

· allowing Council the discretion to offer reduced contribution charges for stormwater where developers provide infrastructure which reduces their demand for council provided infrastructure.

12. The funding areas for reserve acquisition, reserve development and community infrastructure have been proposed as an interim step before the creation of more localised funding areas for these activities. This step creates Tier 1 and Tier 2 funding areas: Auckland wide, Greenfield, Urban and Rural. The Budget Committee agreed that staff will develop a proposal to create 14 localised Tier 3 funding areas for these activities, for consideration alongside the Annual Plan 2016/2017.

Revenue and financing policy response

13. The Revenue and financing policy has been updated to reflect decisions made at the 7 and 8 May meeting of the Budget committee. It has also been updated to reflect the financial implications (on projected operating revenues and expenses) of the council’s policy to move to fully funding deprecation by 2025, as discussed in a separate report in this agenda on the adoption of the Long-term Plan 2015-2025.

Consideration

Significance and engagement

14. Adoption of this Contributions policy is a significant decision. The proposed policy was consulted on alongside the Long-term Plan 2015-2025.

15. The proposed amendments to the Revenue and financing policy are not significant. The proposed policy was included in the materials supporting consultation on the Long-term Plan 2015-2025.

Local Board views and implications

16. A detailed report of local board views is in this agenda along with the full text of their resolutions on these issues. Any feedback relevant to the Contributions policy and the revenue and financing policy will be reported at the meeting.

Māori impact statement

17. The council does not hold information on the ethnicity of developers. The impact on Māori will be similar to the impact on other residents and ratepayers.

18. The council offers a grants scheme that provides funds equivalent to the cost of development contributions for qualifying papakāinga housing. Māori will also benefit from the lower demand factor proposed for Kaumatua housing from its inclusion in the retirement unit category rather than the standard dwelling type.

Implementation

19. Implementation issues were considered in the development of the Contributions policy and the Revenue and financing policy.

Financial and Resourcing Implications

20. Financial and resourcing implications were considered in the development of the Contributions policy and the Revenue and financing policy.

Attachments

No.	Title	Page
a View	Contributions Policy	15
b View	Revenue and Financing Policy	71

Signatories

Authors

Beth Sullivan - Principal Advisor Policy

Andrew Duncan - Manager Financial Policy

Authorisers

Matthew Walker - General Manager Financial Plan Policy & Budgeting

Sue Tindal - Chief Financial Officer

Stephen Town - Chief Executive

Governing Body

25 June 2015

Amendment to remission scheme for licence to occupy retirement villages and Papakainga

File No.: CP2015/11598

Purpose

1. To recommend for adoption an amendment to the rates remission scheme for residents of licence to occupy (LTO) retirement villages and Papakāinga housing.

Executive Summary

2. On 21 May 2015, the Finance and Performance Committee agreed to consult on a proposal to amend the remission scheme for residents of LTO retirement villages and Papakāinga housing. The amendment provided for the remission of the proposed Interim Transport Levy (targeted rate) in addition to the Uniform Annual General Charge (UAGC).

3. The current LTO remission scheme remits the UAGC for residents of LTO retirement villages or Papakāinga. As they are not the ratepayer they do not qualify for the government rates rebate.

4. Amending the LTO remission scheme to remit the Interim Transport Levy in addition to the UAGC will increase the value of the remission per qualifying residence to $500 in 2015/2016. This is equivalent to 83 per cent of the maximum rebate available under the government’s scheme.

5. Staff recommend the adoption of the amended LTO remission scheme. This amendment assists with the affordability of the Interim Transport Levy for residents of retirement villages and Papakāinga.

6. In total 189 pieces of feedback were received. Of those, 187 pieces of feedback were in support of the proposal to amend the LTO remission scheme.

Recommendation/s

That the Governing Body:

a) adopt the amendment to the rates remission scheme for residents of licence to occupy retirement villages and Papakāinga housing (Attachment A to the agenda report) for inclusion in the rates remission and postponement policy.

Comments

Background

7. The Governing Body directed staff to report back on options for amending the remission for residents of LTO retirement villages and Papakāinga housing to include the proposed Interim Transport Levy in May 2015.

8. The Finance and Performance committee considered three options at its 21 May 2015 meeting:

· retain the existing LTO remission scheme with no changes

· amend the LTO remission scheme so that it remits the Interim Transport Levy in addition to the UAGC

· replace the LTO remission scheme with a grants scheme.

9. The Finance and Performance committee agreed to consult on the amended LTO remission scheme because there was concern regarding the affordability of the Interim Transport Levy for residents of LTO retirement villages.

Impact of policy

10. The proposal is to amend the LTO remission scheme so that the Interim Transport Levy is remitted in addition to the UAGC. For 2015/2016, this would be equivalent to a total remission of $500. This is equivalent to a rebate of 83 per cent of the current maximum. This is much closer to the average level of rebate currently being received by Auckland Council applicants, who on average qualify for 90 per cent of the maximum available rebate.

11. Assuming growth of ten per cent over 2013/2014, the total cost of the LTO remission scheme, if the Interim Transport Levy is also remitted, will be $635,000 in 2015/2016. This is an increase of $146,000 over the estimated cost of retaining the existing LTO remission scheme. This cost can be met through the council’s existing allowance for remissions, so will have no impact on ratepayers.

Feedback

12. Public consultation was advertised via public notices and the Shape Auckland website. Details of the proposal were also sent to all LTO retirement villages, Papakāinga and marae seeking feedback.

13. In total, 189 pieces of feedback were received. Of those, 187 pieces of feedback were in support of the proposal to amend the LTO remission scheme. This included responses from 183 residents of retirement villages. A submission from the Retirement Villages Association also supported the proposal.

14. The remaining two pieces of feedback sought further information.

Conclusions

15. Staff recommend adoption of the amended remission scheme for residents of licence to occupy retirement villages and Papakāinga housing. Remitting the Interim Transport Levy in addition to the UAGC will better align the scheme with the level of rebate being given under central government’s rate rebate scheme. This change would better enable the remission scheme to meet its objective of addressing the inequity between people who reside in licence to occupy retirement villages who are unable to access the rebate scheme, and those retired people who own their own homes who can access the rebate.

Consideration

Significance and engagement

16. Public consultation was undertaken on the proposal to amend the rates remission and postponement policy. This consultation was in accordance with the requirements under the Local Government Act 2002 (LGA).

17. The proposed change does not meet the thresholds for significance identified in the council’s Significance and engagement policy.

Local Board views and implications

18. The decision to amend the rates remission and postponement policy is the responsibility of the Governing Body.

19. Local boards had the opportunity to consider the proposal at their June 2015 meetings. Any relevant feedback received from these meetings will be reported at the meeting.

Māori impact statement

20. To date, the council has not identified any papakainga housing developments that are using LTO agreements. The council has not received any applications for remission from such developments.

21. The council has sent consultation material to mana whenua contacts, Papakāinga and marae seeking feedback on the proposal. One piece of feedback was received from representatives of the Kaihau Development Trust seeking further information.

Implementation

22. There are no implementation costs to amend the LTO remission scheme as proposed in this report. The recommended proposal does not require any changes to the application process for the rates remission scheme. As such, it does not place any increased burden either on applicants, or the management of retirement villages who help administer the scheme.

Attachments

No.	Title	Page
a View	Text for remission scheme for residents of licence to occupy retirement villages and Papakainga housing in the Rates remission and postponement policy	89

Signatories

Authors

Beth Sullivan - Principal Advisor Policy

David Lai - Graduate

Authorisers

Matthew Walker - General Manager Financial Plan Policy & Budgeting

Sue Tindal - Chief Financial Officer

Stephen Town - Chief Executive

Governing Body

25 June 2015

Local content for the Long-term Plan 2015-2025

File No.: CP2015/09416

Purpose

1. To provide an update on the adoption of local content for the Long-term Plan 2015-2025, including a Local Board Agreement 2015/2016, a message from the chair and local board advocacy.

Executive Summary

2. For each financial year, Auckland Council must have a local board agreement between the governing body and each local board, which is developed through annual plan and long-term plan processes.

3. Local content for the Long-term Plan 2015-2025 includes a Local Board Agreement 2015/2016, a message from the chair and local board advocacy. This information forms Volume 3 of the Long-term Plan 2015-2025 document.

4. Local board business meetings were held between 9 and 17 June where all 21 local boards adopted local content for the Long-term Plan 2015-2025.

5. Local boards also noted other supporting material including 10 year budgets (capital and operating expenditure) and 10 year performance targets for local activities. Local activities include parks, sport and recreation, community services, planning and development, environmental management and governance. The supporting material does not form part of a local board agreement, but is incorporated into Volume 2 of the Long-term Plan 2015-2025.

Recommendation/s

That the Governing Body:

a) note that:

i) all 21 local boards have adopted local content for the Long-term Plan 2015-2025, including a Local Board Agreement 2015/2016, a message from the chair and local board advocacy.

ii) local content forms Volume 3 of the Long-term Plan 2015-2025.

Comments

6. For each financial year, Auckland Council must have a local board agreement between the governing body and each local board, which is developed through annual plan and long-term plan processes.

7. Local board agreements outline annual local funding priorities, agreed service levels for the local area and associated capital and operating expenditure budgets to deliver these services.

8. Local content for the Long-term Plan 2015-2025 includes a Local Board Agreement 2015/2016, a message from the chair and local board advocacy. This information forms Volume 3 of the Long-term Plan 2015-2025 document.

9. Every three years a local board plan outlining local priorities and aspirations is developed to inform the long-term plan and develop annual (funded) local board agreements.

10. Between January and March this year, council consulted on proposed content for the Long-term Plan 2015-2025, including local content. Local boards then held discussions with the governing body on local feedback, common issues and local priorities prior to budget decisions being made on 8 May 2015.

11. Following 8 May Budget Committee decisions, local activity budgets were updated to reflect:

· the impact, if any, of decisions made;

· re-prioritisation decisions of locally driven initiative (discretionary) budgets;

· the allocation of central costs (including depreciation, interest, corporate overheads and staff costs); and

· any minor administrative adjustments, if any.

12. Local board business meetings were held between 9 and 17 June where all 21 local boards adopted local content for the Long-term Plan 2015-2025.

13. Local boards also noted other supporting material including 10 year budgets (capital and operating expenditure) and 10 year performance targets for local activities. Local activities include parks, sport and recreation, community services, planning and development and environmental management. The supporting material does not form part of a local board agreement, but is incorporated into Volume 2 of the Long-term Plan 2015-2025.

14. As part of this process, some local boards chose to allocate some local discretionary budgets to top up standard service levels such as library opening hours and parks services.

15. Attachment A outlines local board resolutions on local content for the Long-term Plan 2015-2025.

16. In addition to adopting the Local Board Agreements, local boards also considered Local Fees and Charges Schedules for 2015/2016. The schedules were adopted by each local board to take effect from 1 July 2015, with the exception of five local boards (Albert-Eden, Ōrākei, Puketāpapa, Waiheke and Waitematā) which did not adopt a schedule in relation to sportsfield charges in the central area. The parks, sport and recreation department is working with central local boards to review charges and prepare a proposal for the Finance and Performance Committee in July 2015. Existing fees and charges will continue to ensure budget requirements are met until a review is complete.

Consideration

Local Board views and implications

17. This report provides an update on the adoption of local content for the Long-term Plan 2015-2025 and related issues. Consultation feedback from each local board area was presented to local boards to make final decisions on local discretionary budgets and their local board agreement, and to support advocacy discussions with the governing body.

Māori impact statement

18. The local board agreement is based on the local board plan and the Long-term Plan 2015-2025 which have both been developed through engagement with the community, including mana whenua and Māori residents and rate payers.

19. Local Boards are committed to continue to strengthen working relationships with mana whenua, iwi and Māori organisations. Local boards work closely with local iwi groups to develop the natural and cultural assets of importance to our community and engage rangatira ki te rangatira, or chief-to-chief, to seek guidance of mana whenua and support the role of kaitiakitanga, the guardianship of the environment and special places.

20. The views presented by Māori submitters through consultation were considered by local boards in the context of their local board plans, their continuing dialogue with Māori residents and rate payers and the further development of these relationships.

Implementation

21. Final local board agreements and related content will be published and distributed in July as Volume 3 of the Long-term Plan 2015-2025. Individual local board agreements will also be publically available.

22. An internal debrief of the long-term plan process will be conducted, which will include consideration of the local board agreement process.

Attachments

No.	Title	Page
a View	Local Board Resolutions	95

Signatories

Authors

Kate Marsh - Financial Planning Manager - Local Boards

Authorisers

Matthew Walker - General Manager Financial Plan Policy & Budgeting

Sue Tindal - Chief Financial Officer

Stephen Town - Chief Executive

Governing Body

25 June 2015

Tūpuna Maunga Annual Operational Plan 2015/16

File No.: CP2015/12242

Purpose

1. To seek Governing Body agreement to the Tūpuna Maunga Annual Operational Plan 2015/16 (Operational Plan) as required under the Ngā Mana Whenua o Tāmaki Makaurau Collective Redress Act 2014 (the Act).

Executive Summary

2. The Tūpuna Maunga o Tāmaki Makaurau Authority (the Maunga Authority) and Auckland Council must agree an Operational Plan and summary of that plan every year under section 60 of the Act. The Operational Plan provides a framework in which council will carry out its routine management functions for that financial year under the direction of the Maunga Authority.

3. The Operational Plan 2015/16 was adopted by the Maunga Authority on 8 June 2015. The plan includes a budget of $47,890,531 capital funding and $30,733,031 operating funding for the Maunga Authority over 10 years (including inflation) which was approved by the Budget Committee and Governing Body on 7- 8 May 2015. Once the Operational Plan is agreed by the Governing Body, a summary will be adopted for inclusion in the Long-term Plan 2015-2025.

4. The key programmes outlined in the Operational Plan include:

· a capital and renewal programme with a focus on protecting sites of significance and landscape protection;

· developing an innovative Integrated Management Plan (IMP) that will set a vision for the future of these important taonga; and

· community engagement and education through completing signage upgrades, kiosk information centre and website design.

5. Future Operational Plans will ensure implementation of the IMP’s high level strategy at a tangible operational level.

Recommendation/s

That the Governing Body:

a) note that, under the Ngā Mana Whenua o Tāmaki Makaurau Collective Redress Act 2014, the Tūpuna Maunga o Tāmaki Makaurau Authority (Maunga Authority) and Auckland Council must agree the Tūpuna Maunga Annual Operational Plan (Operational Plan).

b) note the Maunga Authority adopted the Operational Plan on 8 June 2015.

c) note that the budget for the operational plan was approved by the Budget Committee and Governing Body on 7 - 8 May 2015

d) agree the Operational Plan (Attachment A to the agenda report).

e) note that, once the Operational Plan has been agreed, a summary will be adopted for inclusion in the Long-term Plan 2015-2025.

Comments

6. The Maunga Authority is the administering body for 14 Tūpuna Maunga (ancestral mountains), created through the Act. As part of this historic Treaty of Waitangi settlement, the maunga were returned to the 13 iwi and hapū of Tāmaki Makaurau, represented by the Tūpuna Taonga o Tāmaki Makaurau Trust. The return of the Tūpuna Maunga marks an important milestone in the restoration of these iconic taonga (treasures).

7. The Maunga Authority and Auckland Council must agree an Operational Plan and summary of that Plan every year under section 60 of the Act. On 23 April 2015, at the Joint Deliberations meeting, the Maunga Authority and the Governing Body discussed public feedback received on the draft Operational Plan, including that the Tūpuna Maunga represent a significant opportunity for Auckland and that sufficient funding is required to commence the rejuvenation of the maunga.

Consideration

Local Board views and implications

8. Three of the six Auckland Council representatives on the Maunga Authority are local board members. Their input has been valuable in the development of the Operational Plan.

9. The Operational Plan was subject to a process of public consultation, whereby verbal and written submissions were received from local board members with maunga in their area. Their feedback has been incorporated into the final Operational Plan.

Māori impact statement

10. The Maunga Authority was established as a result of an historic Treaty of Waitangi settlement with 13 iwi and hapū of Tāmaki Makaurau. Six of the members on the Maunga Authority are mana whenua representatives of the Maratūāhu, Ngāti Whātua, and Waiohua Tāmaki Rōpū.

11. The feedback received through the submissions process from mana whenua representatives, as well as that of the Tūpuna Taonga o Tāmaki Makaurau Trust, has been incorporated into the final Operational Plan.

Implementation

12. Implementation of the Operational Plan is ongoing over the duration of the 2015/2016 financial year.

Attachments

No.	Title	Page
a View	Tūpuna Maunga Aunnual Operational Plan 2015/16	127

Signatories

Author

Justine Smith - Lead Officer, Tupuna Maunga o Tamaki Makaurau Authority

Authorisers

Phil Wilson - Governance Director

Sue Tindal - Chief Financial Officer

Stephen Town - Chief Executive

Governing Body

25 June 2015

Adoption of the Auckland Council Long-term Plan 2015-2025 (the ten-year budget)

File No.: CP2015/12215

Purpose

1. To adopt the Auckland Council Long-term Plan 2015-2025 (the ten-year budget), including 21 Local Board Agreements, following adoption of the Revenue and Financing Policy^{^[1]}.

Executive Summary

2. Over the past 18 months Auckland Council has engaged with the public and key stakeholders in the development of its ten-year budget for 2015-2025. This provided the first real opportunity to reset the budget to deliver on the Auckland Plan and reflect the new priorities of an amalgamated Auckland.

3. Between 23 January and 16 March 2015, Auckland Council undertook public consultation to inform the ten-year budget using the special consultative procedure. Over 27,383 written submissions were received, along with feedback provided in-person at feedback events and through social media. An independent survey of 5,022 respondents was also undertaken by Colmar Brunton on the key transport issues facing Auckland.

4. Following the consideration of feedback received and political discussions, the Governing Body agreed decisions to finalise the ten-year budget on 8 May and further decisions relating to the ten-year budget were made at the Infrastructure Committee meeting on 19 May, the Finance and Performance Committee meeting on 21 May and the CCO Governance and Monitoring Committee meeting on 2 June 2015.

5. The Long-term Plan 2015-2025 has been updated to reflect these decisions. In particular, the final ten-year budget includes:

· prospective financial statements and other financial information based on the budget decisions made on 7 and 8 May

· performance measures and targets that reflect decisions made on 8 and 21 May 2015

· an updated financial strategy, including a clear and transparent account of the funding options available for increased investment in transport and the decisions made

· an updated 30-year infrastructure strategy

· amendments to other policies or summary information agreed through the LTP process

· updated local board agreements – as adopted by local boards between 9-16 June.

6. Recent changes to local government legislation have introduced a new disclosure requirement in relation to local authority operating budgets. These changes mean that a formal council resolution is now required in relation to the council’s policy of moving to fully funding depreciation by 2025.

7. On 21 May, the Finance and Performance Committee approved the recommended funding agreement for the Independent Māori Statutory Board (IMSB) for the 2015/2016 financial year. In keeping with the Governing Body terms of reference, the Governing Body now adopts the funding agreement prior to its signing by the relevant parties. The agreed funding is reflected in the ten-year budget.

8. The Local Government Act 2002 requires the council to adopt the Long-term Plan 2015-2025 by 30 June 2015.

9. This report recommends adoption of the Long-term Plan by the Governing Body. The setting of rates for 2015/2016 will be considered in a separate paper on today’s agenda, following the adoption of the ten-year budget.

10. After adoption of the final LTP, staff will prepare the final documentation for distribution and also undertake activity to close the consultation loop with Aucklanders.

Recommendation/s

That the Governing Body:

a) adopt the funding agreement for the Independent Māori Statutory Board for the 2015/2016 financial year, as approved by the Finance and Performance Committee on 21 May 2015.

b) note that the council’s policy of moving towards fully funding depreciation by 2025 means that for three of the next ten years, the council’s operating revenue (adjusted for items such as vested assets and development contributions) is less than the council’s total operating expenditure (including depreciation) and agree that this is financially prudent.

c) adopt the Long-term Plan 2015-2025 (the ten-year budget), including 21 local board agreements.

d) delegate the authority and responsibility for agreeing minor editorial changes and the correction of minor errors to the Long-term Plan 2015-2025 document to the Chair or Deputy Chair of the Finance and Performance Committee, and the Chief Finance Officer.

e) agree that following the adoption of the Long-term Plan 2015-2025, staff complete activity to close the consultation loop with Aucklanders.

Comments

11. The process for developing the ten-year budget follows the requirements of the Local Government Act 2002. The preparation and adoption of the Auckland Council’s Long-term plan 2015-2025 is an important process. The decisions reached as part of this process are significant, and have been informed by consultation using the special consultative procedure.

12. The council has followed a thorough process when preparing, consulting on and making decisions on the LTP, including considering:

· significance

· the extent of the council’s resources

· the usual decision-making practices in the Local Government Act 2002 (Part 6)

· what decisions have to be in the LTP, and

· financial management requirements.

13. The Council’s LTP meets the expenditure needs of the Council. The Council is managing its financial dealings and matters prudently and in a manner that promotes the current and future interests of the community.

14. Legislation requires each local authority to adopt a long-term plan every three years and states that the purpose of a long-term plan is to:

a) describe the activities of the local authority; and

b) describe the community outcomes of the local authority's district or region; and

c) provide integrated decision-making and co-ordination of the resources of the local authority; and

d) provide a long-term focus for the decisions and activities of the local authority; and

e) provide a basis for accountability of the local authority to the community.

15. Over the past 18 months Auckland Council has engaged with the public and key stakeholders in the development of its ten-year budget for 2015-2025. Developing this ten year plan provided the first real opportunity to reset the budget to deliver on the Auckland Plan and reflect the new priorities of an amalgamated Auckland.

16. Between 23 January and 16 March 2015, Auckland Council undertook public consultation to inform the ten-year budget using the special consultative procedure. A new approach was taken to consultation, aiming to provide an engagement process that worked better for the community and decision makers, with improved opportunity for Aucklanders to provide their views on the ten-year budget in the way that suited them.

17. The volume of feedback received across the three broad channels (written; in-person and digital) was:

· 27,383 written submissions (including 203 late submissions) were received, providing over 260,000 feedback points

· 1,412 people attended one of the 37 Have Your Say events held across the region, providing over 8,600 feedback points, and around 900 people attended local community events and provided over 1,600 feedback points

· 1,354 pieces of eligible feedback were provided through digital channels.

18. All feedback received was analysed and distilled into a set of 11 regional and 21 local ‘Summary of Feedback’ reports for consideration by elected members. In addition to collecting feedback on transport issues using the consultation process, an independent survey of 5,022 respondents was undertaken by Colmar Brunton on the key transport issues facing Auckland.^{^[2]}

19. Following the consideration of feedback received, the Budget Committee held discussions with local boards and also held workshops to consider key matters for decision-making.

20. At its meeting on 7 and 8 May 2015, the Budget Committee considered the Mayor’s Report for the ten-year budget, along with a series of other related reports, and made recommendations to the Governing Body on the proposed budget, changes to fees and charges, changes to performance measures and targets and rates. These recommendations were adopted by the Governing Body at a meeting held later on the same day.

21. Further decisions relating to the ten-year budget were made at the Infrastructure Committee meeting on 19 May^{^[3]}, the Finance and Performance Committee meeting on 21 May^{^[4]} and the CCO Governance and Monitoring Committee meeting on 2 June^{^[5]} 2015.

22. The minutes from the meetings referred to above are set out in Attachment A, and also include a number of areas of work that will be progressed beyond the adoption of the LTP.

23. Following these meetings, the Long-term Plan 2015-2025 has been updated to reflect the decisions referred to above. The key financial parameters following these updates are set out in Attachment B.

24. Three volumes make up the Long-term Plan 2015-2025 and are included as attachments C to E:

· Volume 1 – Provides an overview of the ten-year budget and includes the prospective financial statements for 2015-2025 and other key financial information. This volume also contains the Auditor General opinion on the LTP and also discusses further work that will be progressed after the adoption of the LTP, including continuing to look at options to enable increased investment in transport, future infrastructure needs and other ongoing work.

· Volume 2 – This volume is made up of five parts and is largely made up of information that is required by legislation. It provides a strategic overview and includes Auckland’s 30-year Infrastructure Strategy and our Financial Strategy. It also sets out our activities and services, key policy information and information on our council-controlled organisations (CCOs).

· Volume 3 – Includes the local board agreements and other local information.

Financial information

25. On 8 May, the Governing Body agreed that the budgets for the final ten-year budget be based on the draft budgets, adjusted for updates set out in the staff reports to the 7 and 8 May budget committee and the budget decisions over those two days. The staff updates covered issues such as revised interest and inflation assumptions, along with capital budget adjustments such as the inclusion of transport infrastructure to support Special Housing Areas (primarily supported by development contributions). The council decisions included matters such as the additional transport funding for the next three years, the local board discretionary capex fund, reductions in planning spend and changes to library and parks service levels.

26. In order to fully satisfy all audit and legislative requirements, staff have updated and finalised the financial information for the ten-year budget document. As part of this finalisation process, some further changes to financial information were made that were generally allocative in nature, with only minor impacts on the council’s overall financial position. These changes included:

· Budget reallocations to reflect the establishment of Development Auckland from 1 September 2015

· Allocating support costs from the Governance and Support activity areas to other activities delivered by Auckland Council

· Budget adjustments to reflect Auckland Transport’s new Public Transport Operating Model (PTOM). These changes do not affect the net council funding of passenger transport services, rather the change will see an anticipated $106 million of additional cost and revenue flowing through Auckland Transport’s operating budgets each year from 2016/2017, rising to $148 million by 2018/2019

· Updated projected opening debt and asset balances for 30 June 2015

· Finalising inflation, interest and depreciation calculations.

27. As set out in Attachment B, the final ten-year budget includes $18.7 billion of capital expenditure and $41.4 billion of operating expenditure over the next 10 years. This can be achieved within the 3.5 per cent cap on average general rates increases each year and the prudential target of maintaining interest at no more than 12 per cent of revenue each year. The closing debt position at June 2025 is projected to be $11.6 billion, while closing assets are projected to be $60 billion.

Performance measures and targets

28. Information on the council’s performance measures and targets has been updated to reflect decisions made in May 2015 and to meet audit requirements. In particular:

· Transport performance measures and targets have been updated to reflect the final changes agreed by the CCO Governance and Monitoring Committee on 2 June 2015

· Performance measures for local activities have been updated to reflect local board decisions

· A proposed measure under the Regional Planning Group of Activities related to the number of economic initiatives with Māori has had to be removed due to insufficient data to establish a baseline. The use of this measure will be reviewed once sufficient data has been collected.

Group of Activity Information

29. Information is included for each of the council’s Groups of Activities combining relevant financial and performance information with other information such as a description of the activity, linkages to Auckland Plan objectives and a statement on significant negative effects.

30. Capital programme information is included for each Group of Activities. Detailed capital project information is not required to be included in the long-term plan and will instead be published on the council’s website. This approach will make the capex project list more accessible, relevant and up-to-date, as it can be updated when the council makes decisions on specific projects. In particular, this list is likely to need to be updated as council makes decisions on regional priorities for greenway and coastal erosion capex, progresses work of Spatial Priority Areas and as the specific infrastructure needs of individual Special Housing Areas become clearer. The web-based list will also be easier for users to navigate and filter so that people can view just the capex projects in which they are interested.

Financial strategy

31. After consideration of the extensive feedback on the council’s proposed budgets and financial policies, key elements of the council’s Financial Strategy (including rates and debt levels) were debated and agreed as part of the LTP budget decision-making process. The Financial Strategy document has been updated to reflect that process including:

· The decision to use a targeted rate (the Interim Transport Levy) for the next three years to fund short-term increased investment in transport, and the options and matters considered in coming to that decision

· The decision to progress discussion with central government on longer-term transport funding options^{^[6]}

· Updated financial projections to reflect the final agreed budget, including the impact on council debt, average general rates increases and the impact of rates increases on sample properties

· The targeted measures that council is able to take for those in the community that are least able to cope with rates increases, including remissions

· The impact of budget decisions on transport service levels

32. The consultation document included ten-year budgets based on the basic transport network option and highlighted that the budgets under that option would result in a significant reduction in transport service levels compared to the 2012-2022 Long-term Plan. After the inclusion of the additional transport investment supported by the Interim Transport Levy, and the updated performance targets agreed by the CCO Governance and Monitoring Committee meeting on 2 June 2015, the final transport performance targets in the final ten-year budget are not significantly different to the targets in the 2012-2022 Long-term Plan.

33. One key element of the Financial Strategy and the Revenue and Financing Policy is the council’s policy of moving to fully fund depreciation by 2025. This policy was established as part of the 2012-2022 Long-term Plan and remains unchanged for this long-term plan. This policy seeks to find the right balance of affordability and financial prudence. It acknowledges that it would be prudent to fully fund depreciation from rates and other revenue each year to ensure that there is sufficient funding available each year to maintain the council’s asset base without having to rely on borrowings to replace existing assets. However, it also acknowledges that rapidly lifting the proportion of depreciation funding from the average level of the legacy councils would be unaffordable for ratepayers.

34. This policy of moving towards fully funding depreciation by 2025 means that for three of the next ten-years, the council’s operating revenue (adjusted for items such as vested assets and development contributions) is less that the council’s total operating expenditure including depreciation. This is illustrated in the chart below. It implies that in the early years of the plan, the council is more reliant on borrowings, rather than rates and other current revenue, to fund its capital expenditure. However, the level of council debt will remain manageable and prudent in every year of the plan as the projected level of council debt will not result in the council’s interest expense exceeding our prudential target of 12 per cent of revenue.

35. In deciding to set projecting operating revenues at a different level from that sufficient to meet the projected operating expenses (including depreciation), the factors in section 100(2) must be considered. These factors are the estimated expenses of achieving/maintaining levels of service (including service capacity maintenance and “whole of useful life” asset integrity costs); projected revenue available, and equitable allocation of responsibility funding, for these expenses; and the council’s own funding and financial policies.

30-year Infrastructure strategy

36. On 19 May the Infrastructure Committee considered the public feedback on the draft Infrastructure Strategy and recommended the final strategy for adoption. The key changes from the draft strategy were:

· Updating the section on smart/transformative infrastructure investment to refer to a collaborative, cross-agency approach to decision making

· Widening the scope of the section on monitoring growth to also cover monitoring other elements of the strategy and to use of the results of that monitoring to inform future strategy work

· Updating the section on sustainability and resilience principles to include consideration of water sensitive design and achieving resilience by managing risks and building adaptive capacity within communities, businesses and infrastructure.

· Updated financial and capital project information to reflect the outcome of budget decisions and updated project status information

· The inclusion of information about future decision-making requirements in relation to infrastructure needs in greenfield areas in the south, north-west and north of Auckland, and in relation to infrastructure options such as light rail to address the issue of transport access to the city centre.

· The inclusion of additional information about the levels of service, demand and asset lifecycle assumptions which underpin the 30 year strategy

· The inclusion of additional information about the principal options in relation to major capital projects

· Revised wording about historical infrastructure prior to amalgamation.

Other policy and summary information updated

37. A number of key policies and other summary information are included in the LTP which have been updated where appropriate to reflect decisions made by the Governing Body. This includes:

· Updates to the Revenue and Financing Policy to reflect the council decisions on solid waste funding and fees and charges at 7 and 8 May meeting and to identify targeted rates as a funding source for relevant activities.

· An updated CCO Accountability Policy to reflect the purpose and role of Development Auckland that reflects the guidance provided by the Auckland Development Committee.

· An updated summary of the final adopted Tupuna Maunga Operational Plan for 2015/2016 (as covered by a separate report on today’s agenda)

· Minor wording improvements to the summary of the Significance and Engagement Policy to improve alignment to the full policy

· There are no changes to the decision-making allocation between local boards and the governing body as consulted on, however a minor update was made to the contextual information included with the decision-making allocation to reflect a recent delegation to local boards by the governing body to make, amend, or revoke alcohol bans, except in areas of regional significance.

Local board agreements

38. An update on local board agreements is covered by a separate report on today’s agenda. The 21 local board agreements, and related content, make up Volume 3 of the Long-term Plan 2015-2025.

IMSB Funding Agreement

39. On 21 May, the Finance and Performance Committee approved the recommended funding agreement for the Independent Māori Statutory Board (IMSB) for the 2015/2016 financial year. The funding agreement was recommended by Council’s Chief Executive following consideration by the political working party authorised by the Governing Body and discussions between the Chief Executive and the IMSB. In keeping with the Governing Body terms of reference, the funding agreement requires formal adoption by the Governing Body, prior to its signing by the mayor and council’s chief executive and the Independent Māori Statutory Board chair and chief executive. This was noted by the Finance and Performance Committee on 21 May 2015.

Consideration

Local Board views and implications

40. Local boards have been closely involved in the LTP process over the last 18 months. Prior to making final decisions, discussions were held between the Budget Committee and local boards to consider priorities, advocacy and local board feedback on regional proposals. Local board views on the Long-term Plan 2015-2025, including Local Board Agreements contained in Volume 3, are covered in a separate report on this agenda.

Māori impact statement

41. A strategic, top down approach was taken to agreeing and prioritizing activities that contribute to improving Māori well-being and progressing the Māori transformational shift to inform the development of the LTP. The draft ten-year budget included proposed funding for initiatives to support Maori transformational shift priorities and a tailored approach was taken to engage with Maori on these priorities and on the budget.

42. Consultation supported the identified Maori transformational shift/ Māori well-being priorities in the draft LTP. Following consultation, Council and IMSB secretariat staff worked together to further identify specific activities and budgets within overall envelopes to deliver on the priority areas. These activities are identified within each of the Council Group of Activities provided in Part 2 of Volume 2 of the LTP, and an overview of Council’s approach to contributing to Maori well-being is provided in Part 1.

43. Staff will continue to progress this work, reporting back in September 2015 on the identification of an additional $5 million for 2016/2017 as directed by the Governing Body on 8 May.

44. In addition, as directed by the Governing Body, staff will identify $2 million (over three years commencing 2015/2016) to implement the council’s response programme to the priority recommendations in the Independent Māori Statutory Board’s 2014 Treaty Audit report.

Implementation

45. The Local Government Act 2002 requires the council to adopt the Long-term Plan 2015-2025 by 30 June 2015.

46. The setting of rates for 2015/2016 will be considered in a separate paper on today’s agenda, following the adoption of the ten-year budget.

47. After adoption of the final LTP, staff will prepare the final documentation for distribution and also undertake activity to close the consultation loop with Aucklanders. A summary of the key dates and steps in this process is provided in Table One.

Table One: Closing the consultation loop with Aucklanders

Activity	Timing
‘Summary of decisions’ document prepared to provide a user-friendly summary of the decisions made to finalise the ten-year budget, linking back to the engagement undertaken with Aucklanders.	25 June
Communications plan implemented to broadly communicate final decisions and direct Aucklanders to the final budget and summary of decisions – including media release and briefing, advertisements in regional and local newspapers, Our Auckland, online advertising and social media.	25 June – 17 July
Communicate via email to all submitters and HYS attendees who provided email addresses, proforma and petition organisers, council stakeholder database (12,000) and People’s Panel participants (21,400)	1 – 7 July
Tailored communications with Maori stakeholders	1-7 July
Meet with Reserve Boards and Advisory Panels	July – August
Stakeholder briefing	1 July
Mana whenua briefing	TBC
Final ten-year budget (Volumes 1 – 3) and Summary of Decisions document available on council website	1 July
Hard copies of ten-year budget (and summary of decisions) available in libraries, local board offices and service centres	25 July

48. Local boards may also undertake activity to close the loop at a local level as part of their ongoing programme of engagement activity with local communities.

Attachments

No.	Title	Page
a View	Minutes of Committee decisions supporting the development of the Long-term Plan 2015-2025	257
b View	Key financial parameters for 2015-2025	271
c	Volume 1: Overview of the 10-year budget (Under Separate Cover)
d	Volume 2: Our activities and other information (Under Separate Cover)
e	Volume 3: Local board information (Under Separate Cover)

Signatories

Authors

Tanya Stocks - Programme Director

Ross Tucker - Manager Financial Policy & Strategy

Authorisers

Matthew Walker - General Manager Financial Plan Policy & Budgeting

Sue Tindal - Chief Financial Officer

Stephen Town - Chief Executive

Governing Body

25 June 2015

Review of the Water Supply and Wastewater Network Bylaws Administered by Watercare Services Limited

File No.: CP2015/10151

Purpose

1. To confirm that the bylaw developed by Watercare Services Limited (Watercare) meets the legislative requirements and recommends that the council:

· adopt the Water Supply and Wastewater Network Bylaw 2015

· revoke Auckland’s legacy bylaws on water supply and wastewater network management with the retention of clauses in these bylaws that regulate on-site wastewater systems.

Executive Summary

2. This report confirms that the development of the Water Supply and Wastewater Network Bylaw 2015 proposed by Watercare meets the legislative requirements.

3. It sets out the detail of the special consultative procedure used by Watercare to consult on the making of the proposed bylaw and the revocation of the legacy bylaw as required by section 61 of the Local Government (Auckland Council) Act 2009. This includes the public submissions, hearings and deliberations.

4. As Watercare has made minor amendments to the notified proposed bylaw during the consultative phase, the council must determine whether the modified bylaw still meets the criteria in section 61(2) of the Local Government (Auckland Council) Act 2009. Council staff have assessed the modified bylaw and consider that the bylaw meets the section 61(2) requirements.

5. This report recommends that the council adopt the Water Supply and Wastewater Network Bylaw 2015 and revoke the legacy bylaw provisions that regulate Auckland’s water supply and wastewater networks, both with effect from 1 July 2015.

Recommendations

That the Governing Body:

a) receive the letter of the Watercare Board dated 8 June 2015 and the report of the Hearings Panel dated 8 June 2015, on the proposed new water supply and wastewater network bylaw and the revocation of the legacy water supply and wastewater network bylaws.

b) adopt the Water Supply and Wastewater Network Bylaw 2015, as amended by Watercare (Attachment B to the agenda report), with effect from 1 July 2015.

c) resolve that it is satisfied that the proposed Water Supply and Wastewater Network Bylaw 2015, as amended by Watercare (Attachment B to the agenda report) and proposed to have effect from 1 July 2015, meets the requirements of section 61(2) of the Local Government (Auckland Council) Act 2009.

d) revoke the following legacy water supply and wastewater network bylaws from 1 July 2015 in full:

i) Auckland City Council Bylaw No. 26 – Water Supply 2008

ii) Franklin District Council Water Supply Bylaw 2008

iii) North Shore City Bylaw 2000: Part 18 Water Supply

iv) Papakura District Council Water Supply Bylaw 2008

v) Rodney District Council General Bylaw 1998: Chapter 11 Water Supply.

e) revoke the following legacy water supply and wastewater network bylaws from 1 July 2015 in part, but retain the provisions in those bylaws that relate to the regulation of on-site wastewater systems (as detailed in Attachment E of the agenda report):

i) North Shore City Bylaw 2000: Part 20 Wastewater

ii) Papakura District Council Wastewater Bylaw 2008

iii) Rodney District Council General Bylaw 1998: Chapter 20 Wastewater Drainage.

Comments

Background for the development of the proposed Water Supply and Wastewater Network Bylaw 2015

6. Watercare is the Auckland water organisation under the Local Government (Auckland Council) Act 2009, with responsibility for the ownership and effective management of water supply and wastewater infrastructure and services (including trade waste services) within Auckland.

7. Water supply and wastewater networks in Auckland are currently regulated by eight legacy bylaws:

· Auckland City Council Bylaw No.26 - Water Supply 2008

· Franklin District Council Water Supply Bylaw 2008

· North Shore City Bylaw 2000: Part 20 Wastewater

· North Shore City Bylaw 2000: Part 18 Water Supply

· Papakura District Council Water Supply Bylaw 2008

· Papakura District Council Wastewater Bylaw 2008

· Rodney District Council General Bylaw 1998: Chapter 20 Wastewater Drainage

· Rodney District Council General Bylaw 1998: Chapter 11 Water Supply.

8. In December 2010, the council requested Watercare to undertake a review of Auckland’s water supply and wastewater bylaws to determine if a new bylaw was required.

9. Although these bylaws include provisions for the management of water supply and wastewater networks, they differ in their detail which results in inconsistencies across Auckland.

10. As a result of its analysis of the legacy bylaws during 2014, Watercare has determined that:

· a new Auckland-wide water supply and wastewater network bylaw is the most appropriate mechanism for regulating the water supply and wastewater networks

· commensurate with the making of a new bylaw, the network-related aspects of the legacy bylaws have to be revoked

· the legacy bylaw and bylaw provisions relating to onsite wastewater are outside the scope of the review.

11. Watercare has been assigned the ability to propose a draft bylaw relating to the management or supply of water supply or wastewater services to the council’s governing body by sections 61 and 62 of the Local Government (Auckland Council) Act 2009.

12. Watercare prepared the proposed Water Supply and Wastewater Network Bylaw 2014 (since amended to 2015) and the associated statement of proposal, in consultation with its external stakeholders and with the council. The purpose of the proposed bylaw is to provide a single, Auckland-wide water supply and wastewater network bylaw to help protect Auckland’s water supply and wastewater networks.

13. The review has not addressed on-site wastewater management, so has excluded Auckland City Council Bylaw No.29 - Waiheke Wastewater and the specific clauses of three of the legacy wastewater bylaws that concern on-site wastewater management (identified in Attachment E of this report).

14. In November 2014, Watercare’s Board approved for consultation the proposed Water Supply and Wastewater Network Bylaw 2014 and the associated statement of proposal. The statement of proposal included the proposal to revoke the legacy bylaw provisions for water supply and wastewater networks.

15. On 18 December 2014, the draft bylaw was submitted to the governing body with the assessment of the draft bylaw confirming that it did meet the requirements of section 61(20 of the Local Government (Auckland Transitional Provision) Act 2010. The governing body considered the proposed bylaw and the associated statement of proposal and resolved as follows (resolution number GB/2014/154):

That the Governing Body:

(a) agree that the statement of proposal, determination analysis and the proposed Water Supply and Wastewater Network Bylaw 2015 provided by Watercare Services Limited meet section 61(2) of the Local Government (Auckland Council) Act 2009.

(b) approve that, pursuant to sections 61 and 62 of the Local Government (Auckland Council) Act 2009, Watercare Services Limited commence the special consultative procedure on the making of the proposed Water Supply and Wastewater Network Bylaw 2015.

16. Under section 63 of the Local Government (Auckland Transitional Provision) Act 2010, Auckland Council must use the special consultative procedure before revoking the existing water supply and wastewater bylaws (or relevant parts of the bylaws).

17. To avoid confusion, the two special consultative procedures for revoking the legacy bylaws and for making the new bylaw, needed to be as seamless as possible. Auckland Council therefore delegated its functions to Watercare (under section 156 (1) of the Local Government Act 2002), so the two procedures could be incorporated into a single consultation process. This allowed Watercare to lead the joint special consultative procedure over early 2015.

The consultation process and amendments to the proposed bylaw

18. On 21 January 2015, a public notice was published that advised Watercare was proposing that Auckland Council make a single Auckland-wide water supply and wastewater network bylaw to replace eight existing bylaws made by the legacy councils. The notice informed the public of the content of the proposed bylaws, informed where the proposal could be inspected or copies obtained and invited submissions from 21 January to 25 February 2015.

19. All relevant documents, including the proposed bylaw, statement of proposal and submission forms were made available through the Auckland Council's and Watercare's websites and at libraries and service centres across Auckland. In addition, the documents were also made available from Watercare’s offices. A combined Auckland Council / Watercare hearings panel was appointed to hear and consider submissions. The hearings panel comprised two Watercare Board members (Catherine Harland, as chairperson, and Peter Drummond), a council elected representative (councillor Cameron Brewer) and a member of the Independent Māori Statutory Board (member John Tamihere).

20. At the close of the submission period on 25 February 2015, 14 submissions had been received. One late submission was received on 11 March 2015, and was included as a late addendum and considered by the panel. Of the total of 15 submissions received (including the one late submission), two submitters spoke to their submission at the hearings on 23 March 2015.

21. The hearings panel completed its deliberations on 23 March 2015.

22. As set out in the report by the hearings panel (Attachment C) and the letter from the Watercare Board (Attachment A), several relatively minor amendments to the proposed bylaw that do not extend the scope of the bylaw are recommended as a result of submissions.

23. The key amendments are:

(a) amendments to clauses 5 (Interpretation) and 11 (Protection of Water Quality). The amendment to clause 5 limits the definition of “water supply network” by removing reference to catchment areas, rivers or wells, so that rules relating to the “water supply network” do not apply more broadly than is necessary. The related amendment to clause 11 ensures that water quality is protected by imposing an obligation not to contaminate raw water sources.

(b) an amendment to clause 14 (Prohibited inflow and discharge) ensures consistency with the Trade Waste Bylaw 2013.

(c) an amendment to clause 14(2)(a) to clarify the role of the council in respect of this clause. This provision allows stormwater to enter the combined sewer network with council approval given when the council is acting as resource consent authority or building consent authority and there is no provision for separate stormwater drainage.

(d) an amendment to clause 17 (Default by owner or occupier) extends the clause to apply to any person, and not simply owners or occupiers, who breach the proposed bylaw.

24. Watercare has also modified the proposed bylaw by incorporating the following further changes that are considered to be minor and are unlikely to affect the council’s assessment under section 61(2).

(a) amendments to clause 4 (Purpose) to remove duplication.

(b) amendment of clause 5 (Interpretation) to include a definition of “allotment” consistently with the Resource Management Act 1991.

25. On 29 May 2015, the Watercare Board met to consider the proposed bylaw, including the hearings panel's recommendations and the chairperson's suggested minor amendments. The Board resolved to (Attachment A):

A. note that the joint Watercare-Auckland Council Hearings Panel has heard submissions and deliberated on the Proposed Water Supply and Wastewater Network Bylaw 2015 and the proposal to revoke the legacy water supply and wastewater bylaws (with the exception of the onsite wastewater disposal provisions);

B. receive and accept the Hearings Panel's recommended amendments to the Proposed Water Supply and Wastewater Network Bylaw 2015, subject to the Hearings Panel Chair's suggested corrections to clause 4(b) and the definition of "water supply" in clause 5, as set out in the report to the Board;

C. receive and accept the Hearings Panel's recommendation that the legacy water supply and wastewater bylaws be revoked with effect from 1 July 2015 (with the exception of the onsite wastewater disposal provisions);

D. amend clause 14(2)(a) of the Proposed Water Supply and Wastewater Network Bylaw 2015 by adding, for greater clarity, the words “as a resource consent authority or building consent authority” after the words “council approval”;

E. confirm the Proposed Water Supply and Wastewater Network Bylaw 2015 as modified and set out in Attachment A of the report to the Board;

F. recommend to Auckland Council that it adopt the Proposed Water Supply and Wastewater Network Bylaw 2015 as modified and set out in Attachment A of the report to the Board;

G. recommend to Auckland Council that it revoke the legacy water supply and wastewater bylaws of Auckland's former city and district councils (with the exception of the onsite wastewater disposal provisions);

H. give notice of its decisions to the Governing Body of Auckland Council, and to that end approves the Chairman writing to the Mayor of Auckland to communicate resolutions A to F above.

I. thank the members of the Hearings Panel, submitters and stakeholders for their contribution.

26. In addition, the hearings panel recommends to the governing body that it (Attachment C):

(a) receive and accept the hearings panel's recommendation that the legacy water supply and wastewater bylaws referred to in this report (with the exception of the onsite wastewater disposal provisions) be revoked with effect from 1 July 2015;

(b) revoke the legacy water and wastewater services bylaws referred to in this report (with the exception of onsite wastewater disposal provisions) with effect from 1 July 2015.

Audit of compliance with legislative requirements

27. The purpose of this section is to confirm to the governing body that the proposed bylaw meets the requirements of section 61(2) of the Local Government (Auckland Council) Act 2009.

28. Under section 61(2) of the Local Government (Auckland Council) Act 2009, the council must assess the bylaw proposed by Watercare before the special consultative procedure commences to ensure that it satisfies section 61(2) criteria, that is:

a) the proposed bylaw relates to the management or supply of water supply or wastewater services

b) the proposed bylaw is authorised by the governing enactment

c) the proposed bylaw complies with applicable statutory requirements

d) the proposed bylaw is not inconsistent with any strategy, policy, plan or bylaw of the council and

e) the proposed bylaw can be implemented and enforced in a cost-effective manner.

29. On 18 December 2014, the governing body decided that the proposed bylaw met the requirements of section 61(2) of the Local Government (Auckland Council) Act 2009 and gave written notice of this decision.

30. Watercare has undertaken the special consultative procedure for the proposal. The Watercare Board has given written notice to the governing body of its decision to modify the proposed bylaw under section 62(4) of the Local Government (Auckland Council) Act 2009. The recommended amendments/ modifications have arisen from the public consultative process.

31. The governing body must determine if the proposed bylaw as modified still meets the requirements of section 61(2). If the bylaw does meet the requirements, the governing body must adopt the bylaw by resolution. If the council is not satisfied that the proposed bylaw complies with section 61(2), it must notify Watercare accordingly.

32. Table 1 contains a summary of the council staff’s assessment of the amendments to the notified proposed bylaw. The amendments to the notified version of the proposed bylaw are minor and do not affect the initial assessment that the proposed bylaw meets the section 61(2) criteria.

Table 1:The council’s section 61(2) assessment of amendments to proposed bylaw

LG(AC)A 2009 clause	Test	Result
61 (2) (a)	the proposed bylaw relates to the management or supply of water supply or wastewater services	confirmed
61 (2) (b)	the proposed bylaw is authorised by the governing enactment	confirmed
61 (2) (c)	the proposed bylaw complies with applicable statutory requirements	confirmed
61 (2) (d)	the proposed bylaw is not inconsistent with any strategy, policy, plan or bylaw of the council	confirmed
61 (2) (e)	the proposed bylaw can be implemented and enforced in a cost- effective manner	confirmed

Section 61(2)(a) - (c) analysis

33. The council must assess the modified bylaw as a whole against the requirements of section 61(2) afresh, but in practical terms the key focus is on the material changes to the proposed bylaw.

34. The proposed bylaw as a whole complies with relevant statutory requirements. In particular, and consistent with the council’s earlier assessment, the proposed bylaw:

· is a bylaw relating to the management or supply of water supply or wastewater services;

· has arisen from a special consultative procedure under which the proposed bylaw and statement of proposal was consistent with sections 83 and 86 of the Local Government Act 2002, and in turn is consistent with section 155 of the Local Government Act 2002 so that the council is satisfied that the proposed bylaw is the most appropriate form of bylaw, and it does not give rise to any implications under the New Zealand Bill of Rights Act 1990;

· complies with the Local Government Act 2002 and the Local Government (Auckland Council) Act 2009; and

· does not confer discretionary powers that are unreasonable under section 13 of the Bylaws Act 1910.

35. Accordingly, the council can be satisfied that the proposed bylaw complies with section 61(2)(a) to (c) of the Local Government (Auckland Council) Act 2009.

Section 61(2)(d) analysis

36. Watercare’s amendments to the proposed bylaw are considered, if anything, to improve consistency with other strategies, policies, bylaws and plans of the council:

· the amendment to clause 14 (Prohibited inflow and discharge) improves consistency by expressly recognising the Trade Waste Bylaw 2013.

· the amendment to clause 14(2)(a) clarifies that when the council gives approval as the resource consent authority or building consent authority, the prohibition under clause 14(1) doesn’t apply.

· the amendment to clause 11 (Protection of Water Quality) can also be considered to improve consistency, in particular with the goal of sustainably managing resources (The Auckland Plan, Strategic Direction 7 – Auckland’s Environment, Priority 2).

37. Based on a detailed review, and for the reasons set out in the assessment of the original proposed bylaw in December 2014 (attached as D[2] of Attachment D), the proposed bylaw is not considered to be inconsistent with any strategy, policy, bylaw or plan of the council.

Section 61(2)(e) analysis - Can the proposed bylaw be implemented and enforced in a cost-effective manner?

38. The legacy water supply and wastewater customer service systems currently operate in accordance with this proposal, so new systems are not required to implement the proposed bylaw.

39. The proposed bylaw will be cost effective to enforce because there will be one Auckland bylaw to manage all discharges to the public wastewater system and all customers connected to the water supply network.

40. The proposed bylaw supplements the customer contract that all persons connected to these networks have to agree to before connecting to the services.

41. The proposed bylaw offers council and Watercare a range of enforcement options in situations where customers fail to comply with their obligations, in addition to the remedies available to Watercare through its customer contract.

42. Accordingly, the council can be satisfied that the amended bylaw satisfies section 61(2)(e) of the Local Government (Auckland Council) Act 2009.

43. Council staff consider that Watercare, acting through the bylaw hearings panel, conducted the special consultative procedure appropriately and comprehensively (both in relation to the proposed new bylaw and the revocation of the legacy bylaws), and that Watercare’s delegations have been exercised appropriately.

Recommendation to adopt the proposed bylaw

44. For the reasons set out above, council staff recommend that the council adopt the Water Supply and Wastewater Network Bylaw 2015 and revoke the legacy bylaw provisions that regulate Auckland’s water supply and wastewater networks.

Consideration

Local Board views and implications

45. From October to November 2014, Watercare has sought feedback from the local boards on the proposal to develop and apply a new Auckland-wide water supply and wastewater bylaw. The local boards were provided with an overview of issues pertaining to Auckland’s water supply and wastewater system. Watercare has subsequently provided a briefing to the local boards that have requested a briefing by staff; this includes the Rodney, Whau, Kaipatiki and the Hibiscus and Bays local boards.

46. Notice of the commencement of the special consultative procedure was sent to all the local boards. Written submissions were received from the Manurewa and Papakura local boards.

Māori impact statement

47. The issues of managing water resources and maintaining water quality are significant for Māori.

48. The role of mana whenua in caring for the environment is identified in The Schedule of Issues of Significance to Maori in Tamaki Makarau, as follows:

· Part One - Schedule of Issues of Significance

2.0 Environment protection and management

Outcome: Māori are empowered, enabled, respected and recognised in their customary kaitiaki role by a council who respects and genuinely considers the roles and responsibilities of hapū and whānau as kaitiaki over their ancestral lands, cultural landscapes, sites of significance and wāhi tapu.

· Part Two - The Māori Plan for Tamaki Makarau

Environment - Kaitiakitanga

Māori Plan key directions and outcomes: Māori are actively involved in decision-making and management of resources; Māori are kaitiaki of the environment.

49. In the bylaw review process, Watercare met twice with a mana whenua kaitiaki forum. Watercare presented information on the 17 issues related to the water supply and wastewater system that have been considered as part of the bylaw review process. Other matters raised by forum members were also discussed. The forum:

· supports the proposal to establish of a single regional approach and revoke the network-related provisions of the eight legacy bylaws.

· supports Watercare’s attempts to streamline the regulatory and business processes, reducing costs, while balancing risks.

50. Notice of the commencement of the special consultative procedure was sent to iwi and Mataawaka Marae in Auckland. There were no written submissions received from Māori representatives.

51. The Water Supply and Wastewater Network Bylaw 2015 is intended, among other things, to protect Auckland’s water resources and to minimise the impacts of the wastewater network on the water quality of receiving environments. The bylaw development process itself has been consistent with the outcomes and processes recommended in The Schedule of Issues of Significance to Māori in Tamaki Makarau.

Implementation

52. There are no implementation issues for the council as a result of the recommendations in this report. The legacy water supply and wastewater customer service systems administered by Watercare operate in accordance with this proposal, so new systems are not required to implement the proposed bylaw.

Attachments

No.	Title	Page
a View	Letter from the Watercare Board to the council’s governing body	285
b View	Water Supply and Wastewater Network Bylaw 2015	287
c View	Report of the hearings panel on the adoption of the proposed Water Supply and Wastewater Network Bylaw 2015 and the revocation of the legacy bylaws	297
d View	Assessment of changes to the proposed Water Supply and Wastewater Network Bylaw 2015	303
e View	Proposed revocation of Auckland’s legacy water supply and wastewater bylaws - noting the legacy bylaw provisions for on-site wastewater management that will be retained	321

Signatories

Authors

Helgard Wagener - Team Leader Policies and Bylaws

Catherine Temple - Policy Analyst

Authorisers

Kataraina Maki - GM - Community & Social Policy

Jim Quinn - Chief of Strategy

Stephen Town - Chief Executive

Governing Body

25 June 2015

Proposal to adopt an Auckland Council Traffic Bylaw

File No.: CP2015/02174

Purpose

1. To adopt the Auckland Council Traffic Bylaw 2015 and to revoke the legacy bylaws that relate to traffic and parking on council controlled land.

Executive Summary

2. Following public consultation, the consideration of submissions and the views of Auckland Transport relating to the proposed Auckland Council Traffic Bylaw 2015, the hearing panel (Councillors Calum Penrose (Chair), Cameron Brewer, Dick Quax and Independent Māori Statutory Board Member Mr Glenn Wilcox) recommends the making of a new Auckland Council Traffic Bylaw that incorporates a number of amendments to the bylaw that was publicly notified.

3. The amended bylaw that is proposed to be formally adopted by the Governing Body is attached to this report as Attachment A. Attachment B shows the deletions and additions (underlined) to the proposed bylaw.

Recommendations

That the Governing Body:

a) receive and adopt the recommendations of the hearings panel on the proposed Auckland Council Traffic Bylaw 2015 and resolve that the bylaw (Attachment A to the agenda report) shall come into force on 1 November 2015.

b) confirm that pursuant to section 155 of the Local Government Act 2002, the proposed Auckland Council Traffic Bylaw 2015 is the most appropriate way of addressing traffic and parking issues on Auckland Council controlled land and the proposed bylaw is the most appropriate form of bylaw and is not inconsistent with the New Zealand Bill of Rights Act 1990.

c) revoke, pursuant to section 63 of the Local Government (Auckland Transitional Provisions) Act 2010, the current seven (legacy) traffic control and parking bylaws listed below to the extent these bylaws do not relate to the Auckland transport system and are deemed to be Auckland Council bylaws when the new Auckland Council Traffic Bylaw 2015 comes into force on 1 November 2015:

i. Auckland City Council Bylaw Number 25 - Traffic 2006

ii. Franklin District Council Traffic Control Bylaw 2006

iii Chapter 13 of the Manukau City Consolidated Bylaw: Parking and Traffic

iv. Part 9 of the North Shore City Bylaw 2000: Traffic Control

v. Papakura District Council Parking and Traffic Bylaw 2009

vi. Chapter 25 of the Rodney District Council General Bylaw 1998: Parking and Traffic Control

vii Waitakere City Council Use of Roads and Parking Bylaw 2010

d) authorise the Manager Social Policy and Bylaws to make any minor edits or amendments to the Auckland Council Traffic Bylaw 2015, to correct any identified errors including typographical errors or to reflect decisions made by the governing body.

Background

4. Auckland Council is a road controlling authority under the Land Transport Act 1998 and can make bylaws under that Act in relation to roads and parking areas under its control. The council may regulate traffic and parking on land outside the Auckland transport system, but does not have jurisdiction in relation to roads which are part of the "Auckland transport system" which are controlled and managed by Auckland Transport. For the purpose of this bylaw, "roads" controlled by Auckland Council include beaches and other public places.

5. When Auckland Transport introduced the Auckland Transport Traffic Bylaw 2012, it revoked all of the legacy traffic and parking bylaws of Auckland City Council, Franklin District Council, Manukau City Council, North Shore City Council, Papakura District Council, Rodney District Council and Waitakere City Council, to the extent that they applied to any roads under the care, control or management of Auckland Transport. The remaining parts of these bylaws which do not relate to the Auckland Transport system remain in force.

6. The Local Government (Auckland Transitional Provisions) Act 2010 requires the council to confirm, amend or revoke the remaining parts of these bylaws before 31 October 2015 in accordance with the Local Government Act 2002 (LGA 2002).

Public consultation

7. The proposed bylaw was publicly notified on 10 October 2014 and the submission period was open until 10 November 2014.

8. Prior to the public submission period, workshops were held with the local boards in July and August 2014 to discuss the introduction of a new traffic bylaw. The boards supported measures that will allow parking wardens to deal with issues where commuters were parking all day on council facilities and preventing access to those facilities by other users. However, they did have some concerns regarding the costs that might be imposed on boards in getting Auckland Transport to enforce any parking restrictions given that they would not be getting any income from the infringement notices that Auckland Transport parking wardens would be issuing for parking infringements in their areas of interest.

9. The Rodney Local Board supported a mechanism to control undesirable activities on roads, beaches or other places not currently controlled by Auckland Transport, the New Zealand Transport Agency (NZTA) or central government. However, the board was concerned if ‘urban controls’ were imposed in rural environments without determination of the appropriateness of these controls in a rural setting.

10. In response to the Rodney Local Board’s concern, it is noted that the bylaw does not impose any controls, but allows parking controls to be set, if desirable, in any particular situation. Currently, the council has delegated legacy bylaw decisions regarding the setting of off-street parking controls to Auckland Transport, but Auckland Transport must actively engage with a local board and reflect its views and preferences in off-street parking decisions. (A new delegation under this bylaw will need to be made before it comes into force on 1 November 2015, but is expected to contain similar requirements).

11. The Franklin Local Board supported the proposed bylaw but requested that the rules for Karioitahi Beach, which are currently in the Franklin District Council Beaches Bylaw 2006, be included in the proposed bylaw. Karioitahi Beach still has its existing restrictions in place and they will remain in place until 31 October 2015. Before 31 October 2015, council staff will be reviewing beach and coastal controls, including those for Karioitahi Beach and will be talking to local boards about these issues.

12. Engagement with Māori occurred on 26 June 2014 at a bylaw hui in Orewa, and those present had no concerns with the proposed bylaw.

13. At the close of the submission period seven submissions had been received. Two of those submitters appeared to have confused parking issues that are managed by Auckland Transport (parking on streets) with those that Auckland Council can manage.

14. Auckland Transport also made informal suggestions on a number of changes it thought appropriate, which were considered in the panel’s deliberations.

15. On 10 February 2015, the hearings panel heard oral submissions. Only one submitter (Mr Bob Lack) made an oral submission to the hearings panel, and after hearing Mr Lack’s submission, the panel deliberated in public on the submissions received, including recommendations from staff that arose from some of the suggestions of Auckland Transport.

Deliberations

Parking vehicles off the roadway

16. Mr Lack sought two changes to the proposed bylaw, which relate to parking in the vicinity of private properties. He sought an amendment to proposed clause 10 to provide that the occupier of any property may authorise any person to park any vehicle wholly or partly on the grass verge adjacent to the property provided that this does not:

· unduly damage the verge; or

· obstruct the footpath.

17. He also submitted that the proposed bylaw does not address the issue of parking in driveways outside properties and a clause should be added to provide that an occupier of any property may authorise any person to park any vehicle wholly or partly on the driveway leading to that property, provided that this does not obstruct the footpath. It was only just prior to presenting his oral submission that he realised that most of his issues were matters controlled by the Auckland Transport Traffic Bylaw 2012. He did however suggest that his issues were also valid for the proposed bylaw in some circumstances where parking areas were not readily available. The main intent of clause 10 is to prevent vehicles being parked on footpaths and grass verges in parks, on beaches and in other inappropriate places where vehicles should not be left.

18. Whilst the panel had some sympathy for Mr Lack’s suggestion the panel thought that it would be too difficult to give effect to any of the circumstances Mr Lack suggested.

Exemptions from the parking provisions by network utility operators

19. Vector Limited / Vector Gas generally supported the bylaw but sought flexibility for network operators to access their networks within those areas as required, particularly for maintenance and other operations, without breaching the bylaw. Vector noted that the proposed clause 15(3) contained an exemption for some activities related to utilities and supports those provisions with some amendments.

20. Vector sought that the term ‘public utility service’ (which is undefined in the bylaw) be changed to ‘network utility operations’. This would be consistent with the definition of network utility operator and network utility operation in the Resource Management Act 1991.

21. The second consequential amendment Vector requested was to clause 15(3) to remove the reference to emergency work and to replace it with the words “construction, maintenance and repair” so that parking restrictions would not apply when these activities took place by network utility operators.

22. The hearings panel agreed that clause 15(3) should be amended to read:

Any parking restrictions made under Part 2 of this bylaw do not apply to:

(a) a vehicle that is actually engaged in ~~urgent~~ construction, maintenance or repair work to a ~~public utility service~~ network utility operation.

Other submitters’ issues

23. The panel was of a view that the other submitters raised issues that did not require changes to the proposed bylaw.

Feedback from Auckland Transport

24. The panel received a number of suggestions from Auckland Transport which would be of benefit to the bylaw. These included clauses or provisions which would:

· give guidance on the scope of making resolutions to manage traffic or parking issues

· clearly allow the establishment of cycle lanes including contraflow cycle lanes, shared zones, special vehicle lanes and other areas that would be restricted to certain types or classes of vehicles

· clarify that the council has several powers to close or the restrict the entry to roads

· define shared zones and emergency vehicles.

25. The hearing panel agreed that these changes would improve the understanding and use of the bylaw and they have been included in the proposed bylaw attached to this report.

Implementation Issues

26. Upon adoption of the bylaw, public notice will be given that the bylaw becomes operative on 1 November 2015.

27. Enforcement of the bylaw may be delegated to Auckland Transport, as under the legacy bylaws. A report regarding a new delegation will be considered by Governing Body before the bylaw comes into force on 1 November 2015 (together with consideration of the Parking Strategy). Auckland Transport has trained parking wardens that can enforce parking restrictions (if delegated to by the council). Schedule 1B of the Land Transport (Offences and Penalties) Regulations 1999 sets the maximum infringement fees for offences parking wardens may enforce.

28. With the exception of transit lanes, parking wardens can only issue infringement notices for stationary vehicle offences. Parking wardens and council staff can only prosecute moving vehicle offences through the Summary Proceedings Act. Alternatively, the police could be asked to enforce serious breaches of moving vehicle offences.

Attachments

No.	Title	Page
a View	Proposed Auckland Council Traffic Bylaw 2015	327
b View	Proposed Traffic Bylaw showing additions and deletions after consultation	339

Signatories

Author	Councillor Calum Penrose, Hearings Panel Chairperson
Authoriser	Stephen Town - Chief Executive

Governing Body

25 June 2015

Approval of off-street policies in the 2015 Auckland Transport Parking Strategy and final off-street parking delegation

File No.: CP2015/10591

Purpose

1. To formally endorse two policies of the Auckland Transport (AT) Parking Strategy for the management and pricing of council owned off-street carparking across the region and to put in place a renewed and expanded delegation to AT to manage off-street parking in line with these policies.

Executive Summary

2. The recommendations in this report are necessary elements for the completion of a renewed framework for the strategic and effective management of on-street carparking and council owned off-street carparking across the region.

3. Auckland Council (legislatively responsible for council controlled off-street carparking) and AT (legislatively responsible for on-street carparking) have been working towards the completion of this comprehensive framework. The recommendations in this report, together with the council Traffic Bylaw contained in an earlier report on this agenda, bring the revision of this framework to a close.

4. This off-street parking delegation must be given by the Governing Body because it is a delegation of bylaw powers. The AT Parking Strategy underpins both the bylaw and the delegation.

5. This report therefore contains recommendations relating to:

· adoption of two off-street policies contained in the AT Parking Strategy that support the council Traffic Bylaw and this off-street delegation

· a clear and expanded delegation from council to AT to manage region-wide off-street carparking in line with these off-street policies (Attachment B).

6. On 25 November 2014, the Auckland Transport Board approved the AT Parking Strategy and Auckland Transport staff subsequently reported this to the Auckland Development Committee in May 2015.

Recommendation/s

That the Governing Body:

a) note that Auckland Transport has legislative responsibility for on-street parking and that Auckland Council is legislatively responsible for off-street parking, and that council has delegated certain off-street parking powers to Auckland Transport.

b) approve Policy 2A: Pricing Intervention Triggers – Off-Street, contained in the Auckland Transport Parking Strategy for the management of all council-owned off-street carparking assets across the region.

c) approve Policy 2B: Demand Responsive Priced Parking – Off Street, contained in the Auckland Transport Parking Strategy for the management of all council-owned off-street carparking assets across the region.

d) revoke and replace all existing delegations from Auckland Council to Auckland Transport in relation to the management and control of off-street parking facilities owned by the Auckland Council with this new delegation. This includes the delegation from Auckland Council on 18 December 2014.

e) delegate to Auckland Transport its responsibilities, duties and powers relating to the management and control of off-street parking facilities owned by the Auckland Council, including all regulatory and enforcement powers related to that function, as set out in the June 2015 Off-street Parking Delegation Terms contained in Schedule 1, and also on the basis:

i) that Auckland Transport will actively engage with local boards and reflect their views and preferences in decisions relating to off-street parking charges and restrictions

ii) that this delegation takes effect on 1 August 2015, remains in force until further decision by Auckland Council and may be reviewed or revoked by Auckland Council at any time.

f) note that the June 2015 Off-street Parking Delegation Terms require the delegation to be exercised in accordance with the Policy 2A: Pricing Intervention Triggers.

g) note that the June 2015 Off-street Parking Delegation Terms is an expansion of the previous delegation and includes the ability for Auckland Transport to:

i) manage and control carparks associated with community facilities

ii) serve infringement notices for failure to comply with parking restrictions set on beaches managed or controlled by council.

Comments

Responsibility for parking in Auckland

7. The Local Government (Auckland Council) Act 2009 (LGACA 2009) expressly provides that AT is responsible for on-street parking and the council is responsible for council owned off-street parking.

8. LGACA 2009 also provides that council may delegate the control and management of council owned off-street parking to AT.

9. Responsibility for off-street parking controls within council sits with Governing Body (or its committees) because parking controls are a part of Auckland’s transport networks and infrastructure and are a regulatory matter.

The new comprehensive framework for the management of parking

10. Council and AT have been working to develop a comprehensive framework for the strategic and effective management of council owned carparking (on-street and off-street) across the region. This framework, which will replace legacy council bylaws and policies for on-street and off-street carparking management, consists of:

AT Parking Strategy - the new AT Parking Strategyfor on-street and off-street carparking for the region, setting out the objectives for the best use of these publically owned assets under the control of the council group.

Bylaws - two bylaws that enable the setting and enforcement of carparking restrictions (an AT bylaw for the management of on-street carparking, and a council bylaw for the management of off-street carparking). The new AC Traffic Bylaw is contained in another report on this agenda.

Delegations - delegations from the council to AT in relation to the management, control and operation of off-street parking.

The first element of the framework – the new AT Parking Strategy

11. AT has completed its Parking Strategy (Attachment A) and reported this to the Auckland Development Committee in a memo dated 6 May 2015.

12. The objectives contained in the AT Parking Strategy align with the Auckland Plan and are listed on pages 4 and 5 as follows:

a) “prioritise the safe and efficient movement of people, services and goods on the road network

b) facilitate a transformational shift to public transport

c) provide an outstanding customer experience at AT operated on and off-street facilities

d) support the economic development of the Auckland City Centre, metropolitan and town centres

e) support place-making, amenity and good urban design outcomes

f) ensure a fiscally responsible approach to providing, managing and pricing parking facilities and that benefits cover costs.”

Two policies for the management and control of off-street parking

13. The principles for the achievement of these objectives that have been carried through into two policies for the management and control of off-street parking requiring council endorsement are:

· Policy 2A: Parking Intervention Triggers

· the new Policy 2B: Demand Responsive Parking.

14. The new Policy 2B: Demand Responsive Parking - Off-street (page 16 of the AT Parking Strategy), contains the following principles:

a. “pricing policies should be consistent with the organisation’s strategic objectives by supporting visitation to the CBD, promoting public transport use, discouraging commuter trips at peak times and reducing congestion

b. prioritise short stay parking over long stay parking

c. use a consistent, simple, rules-based, transparent and data-driven approach for setting parking rates

d. use demand responsive pricing and charge the lowest rates possible to achieve occupancy targets

e. ensure the peak demand for short-term parking is met most of the time

f. use discounts to achieve strategic outcomes such as discouraging peak commuting and reducing congestion

g. use specific parking management measures during special events and short seasonal peaks such as school holidays”.

15. The new Policy 2A: Parking Intervention Triggers – Off-Street (page 16 of the AT Parking Strategy), sets out thresholds and interventions for changes to parking controls in off-street at-grade car parks.

16. These policies recognise that transitioning from an approach that focused on the commuter market to one that prioritises short-stay off-street parking is a significant shift in direction. They set out a methodology for setting prices so that short-term off-street parking is prioritised and commuter off-street parking prices are increased as off-street car parks become full.

17. In order for AT to respond effectively to manage off-street parking it will be necessary to have the flexibility to change prices and customer products from time to time to ensure that AT and council transport objectives are best met. For example, the early bird and lease parking rates are considerably less than competitor rates and ratepayers are in effect subsidising the cost of commuter car travel into the city centre.

18. Council approval of the Policies 2A and 2B of the AT Parking Strategy is therefore recommended as a means to support the bylaw and the delegation contained in this report.

The second element of the framework – Bylaws

19. Parking restrictions are able to be put in place by council or AT by adopting bylaws using the special consultative procedure.

20. LGACA 2009 provides that AT has responsibility for transport related bylaws but only in relation to roads (on-street parking). On 8 July 2012, the AT Board adopted a traffic bylaw pursuant to section 22AB of the Land Transport Act 1998 to set requirements for parking and control of traffic on roads under the care, control or management of AT. This bylaw revoked and replaced the ‘road-related’ (on-street) parts of the legacy transport bylaws.

21. Council retains responsibility for bylaws controlling council owned off-street parking e.g. council owned carparks, library carparks, and carparks associated with community centres or recreation areas. Council’s new Traffic Bylaw will work in parallel with the AT Traffic Bylaw 2012 and replaces the off-street carparking provisions in legacy council bylaws.

The third element of the framework – Delegations

22. Council is able to delegate its powers for the management and control of off-street parking to AT. There have been a number of off–street parking delegations to AT since the amalgamation of Auckland Council, the most recent one was an interim one in December 2014.

Delegation currently in place

23. The December 2014 interim delegation was required to address an immediate operational need to put certain delegations in place for the management of council owned carparks in the city centre, as the new council Traffic Bylaw and AT Parking Strategy were not sufficiently advanced to complete the renewed framework.

24. The December 2014 delegation replaced all earlier delegations but did not include the ability for AT to manage or control council owned off-street parking associated with community facilities, or to issue infringement notices for parking offences on beaches.

25. A new delegation needs to be given to AT, in line with the new bylaw, as the legacy bylaws are being revoked and replaced with the new council Traffic Bylaw.

New expanded delegation

26. In addition to the matters covered in the existing interim delegation, the new proposed delegation makes it possible for AT to put parking restrictions and charges in place for carparks associated with community facilities. This must be at the request or with the approval of the General Manager: Licencing and Compliance and take into account the views and preferences of local boards.

27. This delegation will be exercised on a case-by-case basis and is necessary because it has become apparent that in certain locations these parking facilities are being used by commuters for long stay parking.

28. The second change allows AT officers to issue parking tickets for parking offences on beaches. This issue has arisen because current enforcement methods are limited to removal of vehicles. Removal of vehicles is problematic as towing companies are increasingly reluctant to operate on beaches and cannot tow vehicles with boat trailers attached.

29. The new delegation makes it possible for AT to effectively enforce the new council Traffic Bylaw on beaches. This must be at the request, or with the approval of, the General Manager: Licencing and Compliance and take into account the views and preferences of local boards.

Community engagement

30. Auckland Transport has engaged extensively with the community and local boards towards the completion of an integrated on and off-street parking strategy which attracted 5,500 submissions. This process included a total of 21 workshops with local boards, resident and business groups and one with councillors.

Consideration

Local Board views and implications

31. Local board views and preferences were sought in the preparation of the AT Parking Strategy and reported to council as part of the memo in May of this year. The delegation does not require local board views and preferences to be taken into account, but instead responds to those needs that have been raised by local boards, for example, Hibiscus and Bays Local Board with respect to longstanding parking problems at Waiake beach.

Māori impact statement

32. There are no particular impacts on Māori which are different from general users of the council owned or managed off-street car parks or public places.

Implementation

33. Under this delegation, council departments will meet the costs of setting the restrictions in local and regional parks, libraries, community facilities and beaches, including signage.

34. Enforcement costs will be met by AT and any surplus revenue generated from changes to off-street parking charges will be used to reduce the annual funding requirement from council.

35. AT is required to consult with affected parties regarding any changes to parking restrictions and charges, including actively engaging, seeking and having regard to the views and preferences of local boards.

Attachments

No.	Title	Page
a View	Auckland Transport Parking Strategy May 2015	357
b View	June 2015 Off-street Parking Delegation Terms	397

Signatories

Author

Rose Leonard - Principal Advisor

Authorisers

John Bishop - Treasurer and Manager CCO Governance & External Partnerships

Sue Tindal - Chief Financial Officer

Stephen Town - Chief Executive

[1] Legislation requires the Revenue and Financing Policy to be adopted prior to the Long-term Plan. The adoption of the Revenue and Financing Policy is covered by a separate report earlier on this agenda.

[2] All Summary of Feedback reports are available on the Auckland Council website at http://www.aucklandcouncil.govt.nz/EN/planspoliciesprojects/plansstrategies/longtermplan20

15/Pages/home.aspx.

[3] Consideration of the draft 30-year Infrastructure Strategy.

[4] Amendments to the remission for residents of licence to occupy retirement villages to include the proposed targeted transport levy and consideration of the IMSB funding agreement for 2015/2016.

[5] Transport performance measures and targets.

[6] The Government has recognised Auckland will likely need additional investment in transport infrastructure in the coming decades to provide for its significant forecast population growth, but is unwilling to consider new transport funding tools at this time. The Minister of Transport has proposed a joint approach on the strategic direction for Auckland Transport.

Mayor	Len Brown, JP
Deputy Mayor	Penny Hulse
Councillors	Cr Anae Arthur Anae	Cr Dick Quax
	Cr Cameron Brewer	Cr Sharon Stewart, QSM
	Cr Dr Cathy Casey	Cr Sir John Walker, KNZM, CBE
	Cr Bill Cashmore	Cr Wayne Walker
	Cr Ross Clow	Cr John Watson
	Cr Linda Cooper, JP	Cr Penny Webster
	Cr Chris Darby	Cr George Wood, CNZM
	Cr Alf Filipaina
	Cr Hon Christine Fletcher, QSO
	Cr Denise Krum
	Cr Mike Lee
	Cr Calum Penrose

Author	Elaine Stephenson - Democracy Advisor
Authoriser	Stephen Town - Chief Executive