Agenda of Finance and Performance Committee

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

Date:

Time:

Meeting Room:

Venue:

Tuesday, 12 December 2017

9.30am

Reception Lounge
Auckland Town Hall
301-305 Queen Street
Auckland

Finance and Performance Committee

OPEN AGENDA

MEMBERSHIP

Chairperson	Cr Ross Clow
Deputy Chairperson	Cr Desley Simpson, JP
Members	Cr Dr Cathy Casey	Cr Daniel Newman, JP
	Deputy Mayor Bill Cashmore	Cr Dick Quax
	Cr Fa’anana Efeso Collins	Cr Greg Sayers
	Cr Linda Cooper, JP	Cr Sharon Stewart, QSM
	Cr Chris Darby	IMSB Chair David Taipari
	Cr Alf Filipaina	Cr Sir John Walker, KNZM, CBE
	Cr Hon Christine Fletcher, QSO	Cr Wayne Walker
	Mayor Hon Phil Goff, CNZM, JP	Cr John Watson
	Cr Richard Hills
	IMSB Member Terrence Hohneck
	Cr Penny Hulse
	Cr Mike Lee

(Quorum 11 members)

Sandra Gordon

Senior Governance Advisor

7 December 2017

Contact Telephone: (09) 890 8150

Email: sandra.gordon@aucklandcouncil.govt.nz

Website: www.aucklandcouncil.govt.nz

TERMS OF REFERENCE

Responsibilities

The purpose of the Committee is to:

(a) control and review expenditure across the Auckland Council Group to improve value for money

(b) monitor the overall financial management and performance of the council parent organisation and Auckland Council Group

Key responsibilities include:

· Advising and supporting the mayor on the development of the Long Term Plan (LTP) and Annual Plan (AP) for consideration by the Governing Body including:

o Local Board agreements

o Financial policy related to the LTP and AP

o Setting of rates

o Preparation of the consultation documentation and supporting information, and the consultation process, for the LTP and AP

· Monitoring the operational and capital expenditure of the council parent organisation and Auckland Council Group, and inquiring into any material discrepancies from planned expenditure

· Monitoring the financial and non-financial performance targets, key performance indicators, and other measures of the council parent organisation and each Council Controlled Organisation (CCO) to inform the Committee’s judgement about the performance of each organisation

· Advising the mayor on the content of the annual Letters of Expectations (LoE) to CCOs

· Exercising relevant powers under Schedule 8 of the Local Government Act 2002, which relate to the Statements of Intent of CCOs

· Exercising Auckland Council’s powers as a shareholder or given under a trust deed, including but not limited to modification of constitutions and/or trust deeds, granting shareholder approval of major transactions where required, exempting CCOs, and approving policies relating to CCO and CO governance

· Approving the financial policy of the Council parent organisation

· Overseeing and making decisions relating to an ongoing programme of service delivery reviews, as required under section17A of the Local Government Act 2002

· Establishing and managing a structured approach to the approval of non-budgeted expenditure (including grants, loans or guarantees) that reinforces value for money and an expectation of tight expenditure control

· Write-offs

· Acquisition and disposal of property, in accordance with the long term plan

· Recommending the Annual Report to the Governing Body

· Te Toa Takatini

Powers

(a) All powers necessary to perform the committee’s responsibilities, including:

a. approval of a submission to an external body

b. establishment of working parties or steering groups.

(b) The committee has the powers to perform the responsibilities of another committee, where it is necessary to make a decision prior to the next meeting of that other committee.

a. the power to establish subcommittees

b. powers that the Governing Body cannot delegate or has retained to itself (section 2).

Exclusion of the public – who needs to leave the meeting

Members of the public

All members of the public must leave the meeting when the public are excluded unless a resolution is passed permitting a person to remain because their knowledge will assist the meeting.

Those who are not members of the public

General principles

· Access to confidential information is managed on a “need to know” basis where access to the information is required in order for a person to perform their role.

· Those who are not members of the meeting (see list below) must leave unless it is necessary for them to remain and hear the debate in order to perform their role.

· Those who need to be present for one confidential item can remain only for that item and must leave the room for any other confidential items.

· In any case of doubt, the ruling of the chairperson is final.

Members of the meeting

· The members of the meeting remain (all Governing Body members if the meeting is a Governing Body meeting; all members of the committee if the meeting is a committee meeting).

· However, standing orders require that a councillor who has a pecuniary conflict of interest leave the room.

· All councillors have the right to attend any meeting of a committee and councillors who are not members of a committee may remain, subject to any limitations in standing orders.

Independent Māori Statutory Board

· Members of the Independent Māori Statutory Board who are appointed members of the committee remain.

· Independent Māori Statutory Board members and staff remain if this is necessary in order for them to perform their role.

Staff

· All staff supporting the meeting (administrative, senior management) remain.

· Other staff who need to because of their role may remain.

Local Board members

· Local Board members who need to hear the matter being discussed in order to perform their role may remain. This will usually be if the matter affects, or is relevant to, a particular Local Board area.

Council Controlled Organisations

· Representatives of a Council Controlled Organisation can remain only if required to for discussion of a matter relevant to the Council Controlled Organisation.

Finance and Performance Committee

12 December 2017

ITEM TABLE OF CONTENTS PAGE

1 Apologies 9

2 Declaration of Interest 9

3 Confirmation of Minutes 9

4 Petitions 9

5 Public Input 9

5.1 Public Input - Claudia Maran 9

6 Local Board Input 9

6.1 Local Board Input - Howick Local Board regarding the proposed disposal of 80 Vincent Street, Howick 9

7 Extraordinary Business 10

8 Notices of Motion 10

9 Assessment of expenditure incurred by Auckland Council on projects to deliver Māori outcomes 11

10 Te Toa Takitini - Quarter one report for 2017/2018 financial year 67

11 Disposals recommendation report 73

12 Proposed priorities for the 2017 letters of expectation to substantive council-controlled organisations 99

13 Annual shareholders meetings for substantive council-controlled organisations and Tamaki Redevelopment Company Limited 117

14 Budget update December 2017 121

15 Land exchange at Hillary Crescent, Belmont and Northboro Reserve - Recommendation from the Environment and Community Committee 125

16 Update on the purchase of additional trains for Metro Rail (Covering report) 147

17 Finance and Performance Committee - Information Report - 12 December 2017 149

18 Consideration of Extraordinary Items

1 Apologies

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

2 Declaration of Interest

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

3 Confirmation of Minutes

That the Finance and Performance Committee:

a) confirm the ordinary minutes of its meeting, held on Monday, 11 December 2017 as a true and correct record.

4 Petitions

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

5 Public Input

Standing Order 7.7 provides for Public Input. Applications to speak must be made to the Governance Advisor, in writing, no later than one (1) clear working day 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.

5.1 Public Input - Claudia Maran

Purpose

1. To address the Finance and Performance Committee regarding utilising philanthropy to co-ordinate and work together with Auckland Council in the Long-Term Plan to reach budget and community goals.

Recommendation/s

That the Finance and Performance Committee:

a) receive and note the public input from Claudia Maran regarding utilising philanthropy to co-ordinate and work together with Auckland Council in the Long-Term Plan to reach budget and community goals.

6 Local Board Input

Standing Order 6.2 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 one (1) day’s 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 6.1 to speak to matters on the agenda.

6.1 Local Board Input - Howick Local Board regarding the proposed disposal of 80 Vincent Street, Howick

Purpose

1. To make a presentation to the Finance and Performance Committee regarding the proposed disposal of 80 Vincent Street, Howick.

Recommendation/s

That the Finance and Performance Committee:

a) receive and thank Howick Local Board Chair, David Collings for his presentation regarding the proposed disposal of 80 Vincent Street, Howick.

7 Extraordinary Business

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

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

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

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

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

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

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

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

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

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

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

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

8 Notices of Motion

There were no notices of motion.

Finance and Performance Committee

12 December 2017

Assessment of expenditure incurred by Auckland Council on projects to deliver Māori outcomes

File No.: CP2017/25564

Purpose

1. To provide a copy of an independent report by PricewaterhouseCoopers (PwC) on ‘Assessment of expenditure incurred by Auckland Council on projects to deliver Māori outcomes’ that was prepared for the Independent Māori Statutory Board (the Board) and request a formal council group response in February 2018 to address the findings.

Executive summary

2. On 27 November 2017 PwC representatives presented their findings and recommendations (Attachment A) of their ‘Assessment of expenditure incurred by Auckland Council on projects to deliver Māori outcomes’ (Attachment B) at the Joint Meeting of the Independent Māori Statutory Board and the Governing Body.

3. The PwC assessment acknowledges that Te Toa Takitini is making a transition from output to an outcome focus. Their 2017 findings show:

· 52% of findings from the 2014 KPMG assessment remain outstanding;

· 3 new significant (significant weakness or gap) and 8 high (serious weakness or gap) findings out of a total 13 findings; and

· reported significant underspending of expenditure on Māori outcomes in FY2015/16 and FW2016/17.

4. The following recommendations were approved at that meeting.

a) receive the report ‘Assessment of expenditure incurred by Auckland Council on projects to deliver Māori outcomes’;

b) agree to include this report on council’s Finance and Performance agenda for 12 December 2017; and

c) agree that council will report to the Finance and Performance agenda for 27 February 2018 meeting with a response to the ‘Assessment of expenditure Incurred by Auckland Council on projects to deliver Māori outcomes AND an Implementation and Reporting Plan to address the recommendations in the report.

Recommendations

That the Finance and Performance Committee:

a) receive the report ‘Assessment of expenditure Incurred by Auckland Council on projects to deliver Māori outcomes’

b) agree that a response to the ‘Assessment of expenditure Incurred by Auckland Council on projects to deliver Māori outcomes’ be reported to the Finance and Performance agenda in early 2018 AND an Implementation and Reporting Plan to address the recommendations in the report.

Comments

Background

5. The Board continue to see an opportunity for the Council and Council Controlled Organisations (CCOs) to improve their systems and processes for identifying, managing and reporting transformational projects in a more effective and collaborative way, that delivers optimum value for Māori in Tāmaki Makaurau.

6. This re-assessment of the Council’s expenditure on projects to deliver Māori outcomes and processes to ensure performance supports the Board advocacy role to better deliver the outcomes specified in the Schedule of Issues of Significance/Māori Plan, Te Tiriti o Waitangi and statutory obligations to Māori.

7. The re-assessment was undertaken with the support of Auckland Council Group and is the second assessment of its kind. KPMG performed the first assessment in 2014 (Independent Assessment of Expenditure Incurred by Auckland Council to Achieve Māori Outcomes, reported in May 2014 by KPMG). While the Council responded formally to KPMG’s findings and recommendations in 2014, no further follow up or tracking was performed of the progress made to address all the recommendations.

8. Te Toa Takitini, a Council top management group, was established in response to the 2014 assessment to lead and influence better outcomes with Māori and embed a top-down Auckland Council family approach to overseeing delivery on commitments to significantly uplift Māori economic, social and cultural well-being. It follows that in executing the specific objectives in the PwC assessment, the effectiveness of the project planning, monitoring and reporting processes performed by this group has been a central consideration.

9. Following limitations observed in the Council’s approach to allocating resources for Māori outcomes in the first assessment, through the 2^nd assessment, the Board is seeking to understand the improvement in the delivery of targeted transformational projects to ensure they achieve the outcomes they intended to deliver and represent value for the resources spent.

Assessment objectives and scope

10. The objectives of the PwC assessment are:

· examine the reported expenditure on projects to achieve Māori outcomes against Council records, approved plans and budgets;

· assess the effectiveness of portfolio management and project initiation processes (in CCOs and Council) to plan, approve and measure value for money projects that deliver direct/indirect Māori outcomes; and

· assess the effectiveness, capability, commitment and sustainability of project management processes, Council systems and capability to manage the delivery of Māori outcomes and value for money on an ongoing basis.

11. The scope of the assessment included projects, supporting systems and expenditure:

· delivered by four Council Controlled Organisations (CCOs) – Auckland Tourism, Events and Economic Development (ATEED), Auckland Transport, Panuku and Watercare

· delivered during the financial years of 2015/16 and 2016/17, and

· projects recognised by the Council as transformational activity.

What this assessment report covers and findings

12. This report considers the effectiveness of expenditure incurred on projects to deliver Māori outcomes in past years, as well a ‘forward thinking’ assessment of project initiation and management processes. It provides recommendations for a more effective strategic, collaborative approach for Council and CCOs to deliver optimum value for Māori in Tamaki Makaurau.

13. PWCs recommendations are based on a consideration of:

· the processes undertaken by the Council when identifying, planning and approving projects as part of the Council’s strategic planning and Māori Responsiveness Framework goals,

· stakeholder interviews discussing leadership, planning, budgeting and reporting of projects and activities to deliver Māori outcomes,

· documentation, and

· review of projects attributed to achieving Māori outcomes across four Council CCOs and Te Toa Takitini.

14. Their 2017 findings show:

· 52% of findings from the 2014 KPMG assessment remain outstanding;

· 3 new significant (significant weakness or gap) and 8 high (serious weakness or gap) findings out of a total 13 findings; and

· reported significant underspending of expenditure on Māori outcomes in FY2015/16 and FY2016/17.

15. The following are a summary the PWCs rating recommendations of their findings.

Consideration

Local board views and implications

16. Local Board projects contributing to Māori outcomes were not included in the scope of the PwC’s assessment.

Māori impact statement

17. Not applicable – assessment is focussing on already agreed council plans, projects and expenditure that contribute to Māori outcomes.

Implementation

18. Council report on addressing findings early in 2018 will address implementation and reporting.

Attachments

No.	Title	Page
a ⇩	Presentation of Summary of PwC Findings: Assessment of expenditure incurred by Auckland Council to deliver Māori outcomes	17
b ⇩	Assessment of expenditure incurred by Auckland Council on projects to deliver Māori outcomes	25

Signatories

Author

Catherine Taylor - Manager Policy and Evaluation

Authorisers

Brandi Hudson - Independent Maori Statutory Board CEO

Matthew Walker - Acting Group Chief Financial Officer

Finance and Performance Committee

12 December 2017

Finance and Performance Committee

12 December 2017

Te Toa Takitini - Quarter one report for 2017/2018 financial year

File No.: CP2017/25449

Purpose

1. To report on progress for the first quarter of 2017/2018 for Te Toa Takitini.

Executive summary

2. The council has established a group-wide approach called Te Toa Takitini to better enable the council group to identify, invest and track progress on transformational outcomes for Māori. The portfolio is divided up into four Whai (programmes of work).

3. The name Te Toa Takitini is a call to action for the entire council group and draws from the whakatauki (proverb) “Ehara taku toa i te toa takitahi, engari he toa takitini”, “Success is not determined by me alone, it is the sum of the contribution of many”.

4. Combined Te Toa Takitini budgets for the 2017/2018 financial year are $9,092,000. Combined expenditure for the end of the first quarter is $1,160,000, which is 13 per cent of the combined annual budget.

5. Close monitoring of project activity is underway to ensure effective delivery occurs throughout the year to minimise the risk of underspend at year end.

6. Te Toa Takitini programmes and projects for the 2017/2018 financial year period have been approved by Te Toa Takitini executive leadership group. Programme conveners and business owners from across the council group have responsibility for delivery.

Recommendation/s

That the Finance and Performance Committee:

a) note progress on key Te Toa Takitini portfolio projects included in this report for the first quarter of 2017/2018.

Comments

Te Toa Takitini Māori transformational-shift activity

7. Te Toa Takitini is a cross-council portfolio of projects organised into four Whai (programmes of work). Te Toa Takitini identifies, prioritises, tracks and reports on projects across council group that lead and influence transformational outcomes for Māori, including:

· strengthening internal organisational capacity in responding to Māori

· demonstrating a positive impact on and with Māori communities

8. Projects entering Te Toa Takitini portfolio are guided by the following transformational criteria:

· strong links to strategic priorities for the portfolio

· adheres to relevant council/CCO policy

· delivers on one or more goals in the Māori Responsiveness Framework

· significant regional impact (or potential)

· leverages council's core business

· cross-council collaboration

· local Board collaboration

· partnership with Mana Whenua

· partnership with Mataawaka

· partnership with community / Māori entities

· multiple years duration

· Māori cultural outcomes

· Māori social outcomes

· Māori economic outcomes

· internal organisational growth and capacity in responding to Māori.

New assessment of council group expenditure to deliver on Māori outcomes

9. The Independent Māori Statutory Board has recently provided council with an updated assessment of the council group expenditure. This independent assessment carried out by PricewaterhouseCoopers has a total of 17 recommendations for council to consider to improve its planning and delivery of outcomes for Māori. A separate report on this agenda outlines the details of the PricewaterhouseCoopers more fully.

10. The report covers expenditure for 2015/2016 and 2016/2017 and notes the actions council has taken since the last assessment in 2014. It also notes areas where council has room for improvement, including for Te Toa Takitini.

11. A more detailed response to the report will be provided to the Finance and Performance Committee meeting on 27 February 2018 and the Joint Governing Body/IMSB meeting on 26 March 2018.

Budgets

2016/2017 budget and year-to-date expenditure

12. The budget for the 2017/2018 financial year is $9,092,000. Year-to-date expenditure for the first quarter is $1,160,000. This is 13 per cent of annual budget. Year-to-date and forecast expenditure are presented in table one below. To minimise the risk of underspend by the end of the year, project activity will be closely monitored and reported to the executive leadership group.

Table one: Māori transformational shift activity

Māori Transformational Shift Activity	FY18 Q1 YTD Actual $(000s)	FY18 Forecasted Actual $(000s)	FY18 Annual Budget $(000s)	FY18 Forecasted Variance $(000s)
Whai Rawa – Māori Economic Development	nil	250	298	48*
Whai Painga – Māori Social Well-being	203	1,310	1,310	-
Whai Tiaki – Māori Cultural Wellbeing	936	6,997	6,997	-
Whai Tika – Effectiveness for Māori	22	487	487	-
Total	1,161	9,044	9,092	48*

*Unallocated funds due to be reassigned by end of third quarter.

13. Further detail of activity and expenditure for the first quarter is provided in the Portfolio Status Report for Q1 FY 17/18 in Attachment A.

Year-end forecast

14. The small forecasted variance for the first quarter of $48,000 will be reallocated during the second or third quarter.

Highlights and issues

15. Whai Tiaki: The Cultural Investment Fund has contractually committed $887,000 expenditure which will show in future quarterly reports once agreed milestones have been met and payment completed.

Consideration

Local board views and implications

16. Te Toa Takitini team is assessing local board plans to identify opportunities to align to strategic priorities of the Whai (programmes).

Māori impact statement

17. Te Toa Takitini is a cross-council portfolio to lead and influence better outcomes with and for Māori. This includes driving a shift in culture, by modelling high-performance leadership behaviours and transforming the way the council plans, prioritises and delivers for Māori.

18. Te Toa Takitini enables the identification and tracking of progress on activities and budgets that contribute to significantly lifting Māori economic, social and cultural wellbeing. It strengthens council’s effectiveness for Māori and optimises post-treaty settlement opportunities for the benefit of mana whenua and the wider public of Auckland.

Implementation

19. Te Toa Takitini programmes and projects for the 2017/2018 financial year period have been approved by Te Toa Takitini executive leadership group. Programme conveners and business owners from across the council family have responsibility for delivery. The Finance and Performance Committee receives activity and expenditure reports for quarters one, two and four of each financial year. Updates on progress are also provided at the Joint Governing Body/IMSB quarterly meetings.

Attachments

No.	Title	Page
a ⇩	Portfolio Status Report for Q1 FY 17/18	71

Signatories

Author

Graham Pryor - GM Maori Responsiveness & Relationships

Authorisers

Phil Wilson - Governance Director

Matthew Walker - Acting Group Chief Financial Officer

Finance and Performance Committee

12 December 2017

Disposals recommendation report

File No.: CP2017/14888

Purpose

1. To obtain approval to dispose of four council-owned properties that Panuku Development Auckland (Panuku) considers suitable for sale and the transfer to Housing New Zealand (HNZ) of council’s covenanted option to buy a privately-owned property in Mt Wellington when the owner wishes to sell.

Executive summary

2. For the 2017/2018 financial year, Panuku’s statement of intent requirement is to identify properties from within council’s portfolio that may be suitable for potential sale to a combined value of $60 million and to sell $100 million of property by 30 June 2018.

3. The first property property in this report, 80 Vincent Street, Howick is an off-street car park acquired by the former Borough of Howick in 1965. 80 Vincent Street, Howick was released by Auckland Transport (AT) as not required for current or future infrastructure or service purposes, and having no strategic purpose to retain. The evaluation criteria AT used included catchment, consideration of plans for increasing public transport investment in the area and that it is not part of AT’s strategy to provide public parking to a small number of dominant businesses or their staff.

4. Consultation with council departments and its CCOs, iwi authorities and the Howick Local Board about the subject site has been undertaken. No alternative service uses have been identified for this site. The Howick Local Board opposes the proposed disposal on the basis the site is not surplus to requirements and it is a well utilised car park in a commercial area that is short of parking. As no planned or funded alternative service use was identified, Panuku recommends it be divested.

5. The second and third properties in this report, 41 Cheshire Street, Parnell and 108 Hepburn Street, Freemans Bay were reviewed and identified as potentially surplus to council requirements following enquiries from neighbouring property owners. Consultation with council and its CCOs, iwi authorities and the Waitematā Local Board about the subject sites has been undertaken. No alternative service uses were identified through the rationalisation process. The feedback received was supportive of the proposed disposals. Panuku recommends they be divested.

6. The fourth property in this report, 9 Matama Road, Glen Eden is a reserve subject to the Reserves Act 1977. It was reviewed following an enquiry from the adjoining landowner seeking to purchase the site. Consultation about the proposed reserve revocation and disposal of this property was undertaken with council departments and its CCOs, iwi authorities and the Waitākere Ranges Local Board. No alternative service uses were identified through the rationalisation process. The feedback received was supportive of the proposed reserve revocation and disposal of this property. Due to this, Panuku recommends that the reserve status be revoked and that it be divested. Final revocation of the reserve status will be subject to completing the statutory requirements of the Reserves Act 1977 and Local Government Act 2002, including public advertising.

7. The final property in this report, 58/7 Rowlands Avenue, Mt Wellington is a privately owned unit with a covenanted option for council to purchase when the owner wishes to sell. The unit is part of the former Auckland City Council’s “Own Your Own” scheme. This scheme provided for eligible people to purchase units from council for 20% less than market value, on the proviso that it be sold back to council at the same discount. Council no longer wishes to maintain an interest in the units located at 7 Rowlands Avenue, Mt Wellington, and five of the seven units located at 7 Rowlands Avenue have been sold to HNZ. Panuku has negotiated the transfer of the offer back obligation for unit 58/7 Rowlands Avenue, Mt Wellington to HNZ, subject to approval. The owner of the property has consented to having council’s option to purchase the property transferred to HNZ. Consultation with council departments and its CCOs, iwi authorities and the Maungakiekie-Tāmaki Local Board has now taken place. No issues were raised regarding the proposed transfer through the rationalisation process. Panuku recommends the transfer of the option to purchase the property to HNZ.

Recommendation/s

That the Finance and Performance Committee:

a) approve, subject to the satisfactory conclusion of any required statutory processes, the disposal of the land at 80 Vincent Street, Howick, comprised of an estate in fee simple more or less being Lot 7 DP 50372 contained in computer freehold register NA7B/821;

b) approve, subject to the satisfactory conclusion of any required statutory processes, the disposal of the land at 41 Cheshire Street, Parnell, comprised of an estate in fee simple more or less being Lot 2 DP 85443 contained in computer freehold register NA41C/768;

c) approve, subject to the satisfactory conclusion of any required statutory processes, the disposal of the land at 108 Hepburn Street, Freemans Bay, comprised of estates in fee simple more or less being Lot 1 Deposited Plan 68838 and Lot 2 Deposited Plan 68838 contained in computer freehold register NA25A/322 and NA25A/323;

d) approve, subject to the satisfactory conclusion of any required statutory processes:

i) the revocation of the reserve status of the land at 9 Matama Road, Glen Eden, more or less being Lot 1 DP 98357;

ii) the disposal of the land at 9 Matama Road, Glen Eden, more or less being Lot 1 DP 98357;

e) the transfer of council’s covenanted option to purchase 58/7 Rowlands Avenue, Mt Wellington, comprised of Leasehold A194273, part of Flat 7 Deposited Plan 57671, being more or less a 1/7 share of Freehold Lot 1 Deposited Plan 55902, contained in computer freehold register NA10B/307 to Housing New Zealand.

Comments

8. Panuku and the Auckland Council’s Land Advisory team in the Community Facilities department work collaboratively on a comprehensive review process to identify properties in the council portfolio that may be suitable to sell. Once identified as a potential sale candidate Panuku takes the property through a multi stage engagement process.

9. The first phase of the process involves engagement with all council departments and relevant CCOs. The engagement establishes whether a property is needed for a future funded project or whether it must be retained for a clear strategic purpose. Once a property has been internally cleared of any service requirements, Panuku then consults with local boards, mana whenua and ward councillors. All sale recommendations must be approved by the Panuku board before a final recommendation is made to the Finance and Performance Committee.

Consideration

Local board views and implications

10. Local boards are informed of the commencement of the rationalisation process for specific properties. Following the close of the EOI period, relevant local boards are engaged with. Panuku attend workshops with the relevant local board and provide information about properties being rationalised in its local board area. A report is subsequently prepared for the local board business meeting so that its views can be formalised.

11. If a local board wishes to retain a site, its views are considered by Panuku and if necessary referred to relevant council departments for consideration. The local board may be asked to prepare a business case which sets out the service need that will be met by retaining the site, along with how the service use will be funded. Panuku and relevant council departments or CCOs work with local boards in preparing the business case. The business case is then considered by the cross council steering group. If the business case is accepted and funding is identified, the property is transferred back to the service portfolio. If the business case is not accepted, the business case is included in the report to the governing body for a political decision.

12. Property specific feedback received is included in the Local Board Engagement section of the property attachments to this report.

Māori impact statement

13. The importance of effective communication and engagement with Māori on the subject of land is understood. Panuku has a robust form of engagement with mana whenua groups across the region. Each relevant mana whenua group is contacted independently by email based on a contact list which is regularly updated. Each group is provided general property details, including a property map, and requested to give feedback within 15 working days. Contacts are sent reminder notices a week out from the due date and alerted of the passing of the due date in the week following if no feedback has been submitted. Confirmation of any interest expressed is sent in writing and recorded for inclusion in the disposal recommendation report. A feedback spreadsheet is provided to facilitate responses. Any requests for extensions of a due date are handled on a case by case basis.

14. Panuku’s engagement directs mana whenua to respond with any issues of particular cultural significance the group would like to formally express in relation to the subject properties. We also request express notes regarding any preferred outcomes that the group would like us to consider as part of any disposal process.

15. From discussions with our Māori and Strategy Relations Team we are developing an understanding of what could amount to a ‘matter of significant cultural relevance’ to iwi. We are also developing a range of reasonable outcomes that could be employed when such a matter of cultural significance is raised in relation to a potential disposal property. Possible outcomes could include commemoration or physical acknowledgment in the form of plaques or other mutually agreed means of recognition. In the event of any issues of particular cultural significance being raised, Panuku will work with the relevant council departments to assess the merits of any such requests and keeps the interested parties informed along the way.

16. Mana whenua groups are also invited to express potential commercial interest in any sites and are put in contact with Panuku’s Development team for preliminary discussions if appropriate to the property. This facilitates the groups’ early assessment of the merits of a development opportunity to their iwi. In the event a property is approved for sale all groups are alerted of the decision, and all groups are alerted once a property comes on the market.

17. Panuku acknowledges that it has different requirements for engaging with mana whenua and mataawaka. A framework for engaging mataawaka for the property rationalisation process is currently being considered.

18. Property specific feedback received is included in the Mana Whenua engagement section of the property attachments to this report.

Implementation

19. The results of the rationalisation process for the subject properties are that they are not required for current or future service requirements. Due to this, we recommend that they be divested.

20. Property specific implementation issues are included in the property attachments to this report.

Attachments

No.	Title	Page
a ⇩	80 Vincent Street, Howick property information	77
b ⇩	41 Cheshire Street, Parnell property information	83
c ⇩	108 Hepburn Street, Freemans Bay property information	87
d ⇩	9 Matama Road, Glen Eden property information	91
e ⇩	58/7 Rowlands Avenue, Mt Wellington property information	95

Signatories

Author

Anthony Lewis - Senior Advisor Portfolio Review, Panuku Development Auckland

Authorisers

Letitia Edwards - Team Leader Portfolio Review, Panuku Development Auckland

Marian Webb - Manager Portfoilio Strategy, Panuku Development Auckland

David Rankin - Chief Operating Officer, Panuku Development Auckland

Matthew Walker - Acting Group Chief Financial Officer

Finance and Performance Committee

12 December 2017

Proposed priorities for the 2017 letters of expectation to substantive council-controlled organisations

File No.: CP2017/23412

Purpose

1. To propose priorities for inclusion in the 2017 letters of expectations to substantive council-controlled organisations (CCOs).

Executive summary

2. The letters of expectations are important documents that provide direction on:

· the development of the substantive council-controlled organisations’ (CCOs’) Statements of Intent for 2018-2021

· other priorities and issues of importance for the council to inform CCO operations, behaviours and service delivery.

3. The letters will be drafted on the basis of the committee’s resolutions and sent by Mayor Goff to the chair of each substantive CCO.

4. The expectations are set out in three parts.

· Part I: Common organisational expectations and priorities for all CCOs. These include financial accountability and value for money, building on the group approach and Maori responsiveness.

· Part II: The two to three key strategic areas for each CCO that it should focus on (these are contained in the attachment to this paper).

· Part III: Signalling other important issues which the council wants to prioritise or ensure that CCOs are progressing over the coming financial year.

Recommendation/s

That the Finance and Performance Committee:

a) note that the 2017 letters of expectations will be drafted on the basis of this committee’s resolutions, consistent with the terms of reference for committees of the governing body.

b) note that Mayor Goff will finalise and send the final 2017 letters of expectations to the substantive council-controlled organisations during December 2017.

c) approve the proposed priorities for inclusion in the 2017 letters of expectations for substantive council-controlled organisations.

d) advise on any other issues or key messages that should be included in the letters of expectations.

Comments

Introduction

5. The 2017 letters of expectations are important documents that provide direction on:

a. the development of the substantive council-controlled organisations (CCOs’) Statements of Intent for 2018-2021

b. other priorities and issues of importance for the council to inform CCO operations, behaviours and service delivery.

6. Last year’s letters of expectations outlined a number of priorities. Not all of those expectations translated to performance measures which have been monitored through the quarterly reporting. This year, there will be a greater focus on monitoring how well CCOs have delivered on expectations which do not have specific performance measures to ensure that the letters continue to be a useful tool.

7. In addition, the letters of expectations will be sent during the preparation of the 2018-2028 Long-term Plan. The council will need to balance a range of competing spending priorities in finalising the Long-term Plan in 2018 which will set the investment plans for each CCO. Each CCO will need to work with the council to align its capital investment programme with the Long-term Plan. The Long-term Plan process and decisions on funding will have a significant impact on the Statements of Intent.

8. This paper and the attachment set out a scheme for the council’s proposed expectations in three parts.

Part I: Common organisational expectations and priorities for multiple or all CCOs.

Part II: The two to three key strategic areas for each CCO that it should focus on (these are contained in Attachment A).

Part III: Signalling other important issues which the council wants to prioritise or ensure that CCOs are progressing over the coming financial year. These include operational, behavioural issues. They may not necessarily need to be included in the Statement of Intent (although some may be), but are issues which could be reinforced with CCOs at either a governance or executive level over the coming year (these are also contained in Attachment A, underneath the key strategic priorities).

9. The focus on fewer key strategic themes or messages should provide a clearer basis for accountability to the council.

Relation to other accountability mechanisms

10. The letters of expectations are one part of an overall accountability framework for substantive CCOs. Some other important parts of this framework are the:

· Statement of Intent: the Statement of Intent sets out the activities and intentions of a CCO for the next year, and the objectives it will contribute to (the letters of expectations provide direction to them)

· CCO accountability policy: the CCO accountability policy sets more enduring expectations about CCO priorities and behaviours, is part of the Long-term Plan and should be complementary to the letters of expectations. It is unique to Auckland Council

· CCO governance manual: the CCO governance manual provides more detailed guidance on governance and operational matters to CCO boards and staff, and brings together key policies and other requirements.

Proposed issues for the letters of expectations

11. The common expectations and messages are set out below. The specific expectations are set out in the attachment to this report.

Part I: Common messages

12. The proposed common expectations are focused on the themes of financial accountability, building on the gains of the ‘whole-of-group’ approach and Māori responsiveness.

Financial accountability

13. As discussed earlier in this paper, the development of the Long-term Plan is highlighting the significant challenges that the council and the group face in meeting the demands of a growing Auckland. This means that there needs to be close scrutiny to ensure that activities are providing the best value for money and delivering the desired outcomes. In addition, each CCO will need to work with the council to align its capital investment programme with the Long-term Plan.

Building on the group approach

14. The council is ultimately accountable to the community for the activities of the CCOs. The programme of the Local Government Act 2002 section 17A ‘value for money’ reviews has been instituted to ensure that the council group is delivering the desired outcomes to the community in a cost-effective way.

15. The Finance & Performance Committee endorsed the findings of the first four reviews carried out under section 17A. The committee asked the chief executive to develop work programmes to implement the findings, and report to it on the feasibility and time frame for implementation by 27 February 2018 (FIN/2017/136).

16. CCOs will be required to contribute to the report required by February, implement the relevant agreed recommendations, and actively participate in the programme of remaining reviews. Some of the recommendations may be challenging to implement, however, they will provide benefits to the council group and therefore each CCO will be required to prioritise them. Several of the reviews have findings that relate to one or more CCOs; these are contained in the messages specific to each CCO.

17. In addition to the value for money reviews, substantial progress has been made on group policies in this financial year. Group policies allow the council group to make the most of its size and achieve efficiencies. In September 2017, the Finance and Performance Committee agreed group policies on procurement and insurance (FIN/2017/121), with a group policy on treasury agreed in November 2017. Now that these policies are in place, CCOs should actively implement them. For example, CCOs should proactively identify opportunities to implement the group procurement policy, particularly in light of the forthcoming section 17A review of procurement across the group.

18. The council is currently developing group policies on business cases and sensitive expenditure (money and assets). The money and assets group policy is part of a new framework designed to set clear expectations on staff behaviors. Other policy areas include health and safety, information, Te Tiriti o Waitangi, employee experience and customer service. It is expected that the CCOs will apply the group foundation principles and rules (where required) for these areas and to follow the group approach.

Māori responsiveness

19. All parts of the council group must align with the council’s Māori responsiveness framework. Through the development of the Long-term Plan, the council may need to reprioritise funding for activities to ensure it is delivering on Māori outcomes, and each of the CCOs will need to collaborate with the council on this. These decisions will necessarily by informed by any actions that may result from the council’s February 2018 response to the Independent Maori Statutory Board’s assessment of expenditure on Maori outcomes.

20. In addition, CCOs are expected to be involved in Te Toa Takitini, the council’s programme of Māori transformational activities, and in certain cases to lead workstreams.

21. Other key priorities for the CCOs this year include working with the council to:

· optimise the governance fora for engaging with mana whenua across the council group. Currently, there are multiple fora for different CCOs to engage with mana whenua, which results in duplication and inconsistent engagement

· assist the council to develop a plan for implementing Te Reo Policy, which was agreed to by the Regional Policy and Strategy committee late last year (REG2016/89). This will need to include tangible actions in a way that minimises the costs to the group.

22. In addition, Watercare Services Limited and Regional Facilities Auckland have not completed Māori responsiveness plans, which is a core requirement of the council’s Māori responsiveness framework and the subject of previous years’ letters of expectation.

Consideration

Local board views and implications

23. The governance relationship between the substantive CCOs and the council sits with the governing body, and therefore local boards have not been consulted on issues for inclusion in the letters of expectations.

24. However, last year’s letter of expectations emphasised local boards’ role in Auckland’s shared governance model, and the need for each CCO to outline how they will continue to build partnerships with local boards. In addition, the 2017 governance framework review identified a number of actions to improve the relationship between local boards and Auckland Transport, including ensuring that Auckland Transport is giving effect to the expectations for local board engagement in the CCO Governance Manual.

25. This year there will be an increased focus on ensuring that those CCOs with a role in place-shaping (particularly Auckland Transport, Watercare Services Limited, Panuku Development Auckland and Auckland Tourism, Events and Economic Development) are implementing their obligations to engage with local boards.

Māori impact statement

26. This report addresses Māori responsiveness as a priority for the substantive CCOs, and incorporates priorities identified by the Independent Māori Statutory Board.

Implementation

27. Staff will draft the letters of expectations based on the resolutions of this committee and including only the issues that are approved by this committee. The mayor will send the letters to CCO board chairs during December 2017. Each CCO must provide a draft Statement of Intent to the council no later than 1 March 2018.

Attachments

No.	Title	Page
a ⇩	Proposed priorities for substantive CCO letters of expectation	105

Signatories

Author

Sarah Holdem - Senior Policy Analyst

Authorisers

Alastair Cameron - Manager - CCO Governance & External Partnerships

Phil Wilson - Governance Director

Matthew Walker - Acting Group Chief Financial Officer

Finance and Performance Committee

12 December 2017

Annual shareholders meetings for substantive council-controlled organisations and Tamaki Redevelopment Company Limited

File No.: CP2017/24928

Purpose

1. To authorise the chief executive of Auckland Council to execute written resolutions in lieu of holding annual shareholder meetings of the substantive council-controlled organisations (CCOs), and Tāmaki Redevelopment Company Limited.

Executive summary

2. Section 120 of the Companies Act 1993 (the Act) requires the board of a company to call an annual meeting of shareholders. This should be held no later than six months after the balance date of the company.

3. All of the substantive CCOs, except for Auckland Transport, are companies registered under the Act. While Regional Facilities Auckland is a charitable trust, its corporate trustee, Regional Facilities Auckland Limited, is a company under the Act. The balance date for the substantive CCOs (excluding Auckland Transport) is 30 June of each year.

4. Section 122(1) of the Act permits shareholders to pass a written resolution in lieu of holding an annual shareholders meeting. Resolutions must be signed by at least 75 per cent of shareholders entitled to vote on it. Auckland Council is the sole shareholder for all of its substantive CCOs and is a joint shareholder with the Crown in Tāmaki Redevelopment Company Limited.

5. Due to the administrative nature of business conducted at annual 2016/2017 shareholder meetings, this report recommends that the committee authorise the chief executive of Auckland Council to execute written resolutions in lieu of holding annual CCO shareholder meetings. We also recommend that the committee authorise the Chief Executive to act in the same capacity for the Tāmaki Redevelopment Company Limited, or to vote on Auckland Council’s behalf, should the Tāmaki Redevelopment Company Limited hold a meeting of the shareholders.

Recommendations

That the Finance and Performance Committee:

a) authorise the chief executive of Auckland Council to act as Auckland Council’s shareholder representative to execute written resolutions in lieu of holding annual shareholder meetings of the following companies:

i) Auckland Council Investments Limited

ii) Auckland Tourism, Events and Economic Development Limited

iii) Regional Facilities Auckland Limited

iv) Watercare Services Limited

v) Panuku Development Auckland Limited

b) authorise the chief executive of Auckland Council to act as Auckland Council’s shareholder representative for Tāmaki Redevelopment Company Limited to:

i) execute a written shareholder’s resolution on an annual basis in lieu of holding an annual shareholder meeting commencing with the 2016/2017 shareholder meeting

ii) vote on Auckland Council’s behalf at an Annual General Meeting of the company

iii) appoint a proxy to vote on behalf of Auckland Council.

Comments

6. The Act requires that companies hold an annual shareholder meeting not later than six months after the balance date of the company. Auckland council-controlled organisations have company constitutions that also contain this requirement.

7. Section 122(1) of the Act permits the shareholder to pass written resolutions on various matters instead of holding a shareholder meeting, provided such resolution is signed by not less than 75 per cent of shareholders entitled to vote on it. Such a resolution is as valid as if it had been passed at an annual meeting of the shareholder.

Auckland Council’s council-controlled organisations

8. All of the council’s substantive CCOs, except for Auckland Transport, are companies registered under the Act. Although Regional Facilities Auckland is a charitable trust, Regional Facilities Auckland Limited is the corporate trustee of RFA and is a company under the Act. The balance date for these CCOs (excluding Auckland Transport) is 30 June.

9. The business to be completed at the 2016/2017 annual shareholder meetings would be to:

(i) note that the Auditor General was appointed as the company auditor

(ii) note that each CCO has provided a copy of its annual 2016/2017 report to the council

(iii) confirm the reappointments and new appointments of directors to each CCO

(iv) confirm amendments to the council’s Board Appointment and Remuneration Policy.

10. Due to the administrative nature of the business to be conducted at the annual 2016/2017 shareholder meetings, and the fact that there are other opportunities for the committee to consider the CCOs 2016/2017 performance, this report recommends that the committee authorise the chief executive of Auckland Council to execute written resolutions in lieu of annual shareholder meetings for the CCOs.

Tāmaki Redevelopment Company

11. Crown officials are waiting for a final decision by the minister on whether to proceed with executing written shareholder resolutions instead of holding an annual meeting of the shareholders for Tāmaki Redevelopment Company.

12. The business to be conducted at the Tāmaki Redevelopment Company annual shareholders meeting would be the same the other substantive CCOs.

13. The recommendation is for the chief executive of Auckland Council to either execute shareholder resolutions in lieu of holding an annual meeting or, in the event of Crown’s decision to proceed with a meeting, to vote on Auckland Council’s behalf, or appoint a proxy to attend in his absence.

Consideration

Local board views and implications

14. Governance of CCOs is the responsibility of the governing body. The matters for decision in this report are of an administrative nature and do not raise any implications for local boards.

Māori impact statement

15. The recommendations in this report are administrative. They do not raise any issues of significance or adverse impacts for Māori.

Implementation

16. Staff will prepare appropriate documentation and resolutions for the chief executive to sign, to ensure compliance with statutory timeframes.

Attachments

There are no attachments for this report.

Signatories

Author

Steven Branca - BID Partnership Advisor

Authorisers

Alastair Cameron - Manager - CCO Governance & External Partnerships

Phil Wilson - Governance Director

Matthew Walker - Acting Group Chief Financial Officer

Finance and Performance Committee

12 December 2017

Budget update December 2017

File No.: CP2017/22514

Purpose

1. To decide whether to approve additional operational expenditure budget to accelerate the asset data improvement work to support decisions from the Governance Framework Review.

Executive summary

2. In September, the Governing Body considered the recommendations made by the Political Working Party on the Governance Framework Review. It approved, amongst other things, renewals funding continuing to be managed at the regional level, but with local boards being given the flexibility to re-allocate their renewals programme across all local asset categories.

3. The Governing Body noted that there would be a short-term cost associated with this decision, where data quality would have to be improved more quickly to support local boards’ decision-making. The cost was estimated to be $854,900 per annum for between 12 and 18 months. The detailed approval was referred to this committee, as part of the monthly budget update.

4. The cost relates to 10 additional fixed-term employees. The annual breakdown is outlined in the table below.

Business unit	Impact	FTE	Annual cost
Asset Management Intelligence	2 x assets assessor	2	$412,000
Asset Management Intelligence	3 x facility performance analyst	3	$412,000
Investigation & design	3 x renewal coordinator	3	$442,900
Investigation & design	2 x senior renewal coordinator	2	$442,900
Total		10	$854,900

5. The ongoing asset data improvement work is undertaken as a business as usual activity. Staff are expecting a step-change in data quality in 24 months if the work continues with the existing resources and at the current pace. Alternatively, additional resources could be employed at a cost of $854,900 per annum to achieve the same in the next 12 to 18 months. Given the capitalised salary can be absorbed in the existing capital budgets, the net operational budget requirement for the acceleration is that $250,290 in 2017/2018 and $500,580 in 2018/2019.

Recommendation/s

That the Finance and Performance Committee:

a) approve one of the following two approaches to implement the Governing Body’s resolution on supporting local boards’ decision-making on renewal budget allocation across local asset categories.

i) accelerate the current asset data improvement programme with additional resources at a cost of $854,900 per annum in the next 12 to 18 months, which requires additional operational expenditure budget of up to $250,290 in 2017/2018 and up to $500,580 in 2018/2019.

ii) continue the current asset data improvement programme with the existing resources and complete the work in the next 24 months.

Comments

6. The current asset data is improving with significant additional effort put in over the past 12 months. However, there is still a fair amount of condition assessments that are required to achieve a high degree of confidence in the data quality.

7. The current renewals work programme relating to scoping of projects is being fast tracked as much as possible with existing resources. However, to provide a good basis for prioritisation and decision-making, renewals coordinators need to get at least a year ahead in terms of scoping and pricing renewals, so that decisions can be made by local boards at the start of each financial year. Ideally all projects to be delivered in that year should have been fully scoped. This is not the current state. Some projects to be delivered in 2017/2018 are still being scoped.

8. There are 25 full-time equivalent staff working on asset data improvement as a business as usual function within the Community Facilities department. Asset assessors carry out stocktake and survey physical assets (e.g. buildings and its components), record their conditions in the asset management information system. The facilities performance advisors/analysts produce and update the Facility Management Plans to provide advice around required renewals based on condition and performance. They model the impacts of sweating assets required for informed decision-making. The renewal coordinators are responsible for scoping the projects, completing the preliminary design, calculating estimates and determining options.

9. At the current pace, the data improvement work is expected to complete over the next 24 months. In making the decision to give local boards more flexibility to re-allocate local renewal budget across all asset categories, the Governing Body noted the additional cost of $854,900 per annum (or $1.28 million in total) needed over the next 12 to 18 months to accelerate this work. It referred the detailed approval to the Finance and Performance Committee.

10. The committee has two options, including:

1) Option 1: accelerate the asset data improvement work at a cost of $854,900 per annum over the next 12 to 18 months.

2) Option 2: continue the current asset data improvement work with existing resources and complete it in 24 months.

11. Option 1 provides the advantage of potentially implementing the Governing Body resolution six to 12 months earlier, compared to option 2. The total cost of such an advantage would be $1.28 million if the additional resources were required for 18 months.

	FY18 (6 months)	FY19 (12 months)	Total
Salary and wages cost	427,450	854,900	1,282,350
Capitalised salary (funded)	177,160	354,320	531,480
Net salary and wages (unfunded)	250,290	500,580	750,870

12. From a funding perspective, $354,320 of $854,900 annual cost can be capitalised and absorbed within Community Facilities’ existing capital budgets. This leaves $500,580 of annual operational expenditure which requires new funding. For the next 18 months, $750,870 in new funding is required. In particular, $250,290 for 2017/2018 would be funded from borrowing whereas $500,580 for 2018/2019 would have to be funded from rates.

13. The impact on 2017/2018 is a reduction in the operating surplus by approximately $255,606 including interest cost on additional borrowing. The rates impact on 2018/2019 would be approximately $536,107 including interest cost and repayment on borrowing.

Consideration

Local board views and implications

14. Based on the feedback form local boards, they would support being able to be provided with more detailed and accurate options to inform their renewals program decisions and prioritisation.

Māori impact statement

15. The additional resources to support local asset renewal decision have no specific impact on Māori.

Implementation

16. Community Facilities will begin recruitment of staff if funding and increase in FTEs are approved. It is expected that some improvement will be achieved in developing the 2018/2019 work programme by 1 July 2018, with significant improvement expected in the development of the detailed 2019/2020 work programme by February 2019.

Attachments

There are no attachments for this report.

Signatories

Authors

Neil Huang - Principal Advisor

Taryn Crewe – Commercial Manager, Community Facilities and Customer Services

Authorisers

Rod Sheridan - General Manager Community Facilities

Matthew Walker - Acting Group Chief Financial Officer

Finance and Performance Committee

12 December 2017

Land exchange at Hillary Crescent, Belmont and Northboro Reserve - Recommendation from the Environment and Community Committee

File No.: CP2017/26570

Purpose

1. To provide the recommendation of the Environment and Community Committee regarding the land exchange at Hillary Crescent, Belmont and Northboro reserve.

Executive summary

2. At its 5 December 2017 meeting, the Environment and Community Committee resolved:

Resolution number ENV/2017/183

That the Environment and Community Committee:

a) recommend that the Finance and Performance Committee approve the proposed land exchange of 1802m² at Northboro Reserve, Belmont with 3510m² of private land at Hillary Crescent, as follows:

i) disposal of area 1 LOT 72, area 2 LOT 69, area 3 LOT 15, area 4 LOT 72 (refer Attachment B)

ii) acquisition of areas 1, 2, 3, 4, 5, 6, 7 (refer Attachment C)

b) agree that the General Manager Community and Social Policy, under delegation from the Chief Executive, approve the final location, configuration and size of the land exchange components during the consent processes for the Hillary Block subdivision.

3. The original report to the Environment and Community Committee is provided at Attachment A.

Recommendation/s

That the Finance and Performance Committee:

a) approve the proposed land exchange of 1802m² at Northboro Reserve, Belmont with 3510m² of private land at Hillary Crescent, as follows:

i) disposal of area 1 LOT 72, area 2 LOT 69, area 3 LOT 15, area 4 LOT 72 (refer Attachment B of the original report appended as Attachment A to this report)

ii) acquisition of areas 1, 2, 3, 4, 5, 6, 7 (refer Attachment C of the original report appended as Attachment A to this report).

Attachments

No.	Title	Page
a ⇩	Original report and attachments to the 5 December 2017 Environment and Community Committee meeting	127

Signatories

Authors	Tam White - Senior Governance Advisor
Authorisers	Matthew Walker - Acting Group Chief Financial Officer

Finance and Performance Committee

12 December 2017

Finance and Performance Committee - Information Report - 12 December 2017

File No.: CP2017/24993

Purpose

1. To receive a summary and provide a public record of memos or briefing papers for the Committee’s information and any other information that may have been distributed to committee members since 21 November 2017.

Executive summary

2. This is a regular information-only report which aims to provide greater visibility of information circulated to committee members via memo or other means, where no decisions are required.

3. The following information-only report is attached:

· Finance and Performance Committee Forward Work Programme to 30 June 2018 (Attachment A)

4. The following presentations/memos/reports were presented/circulated as follows:

· 15 November 2017 – Long-term Plan 2018-2028 workshop minutes (Attachment B)

· 23 November 2017 – Summary of CCOs first quarter reports (Attachment C)

· 24 November 2017 – Long-term Plan 2018-2028 workshop minutes (Attachment D).

· 30 November 2017 – Memo from Head of Rates, Valuations and Data Management regarding the non-rateable review (Attachment E).

5. The workshop papers and any previous documents can be found on the Auckland Council website at the following link: http://infocouncil.aucklandcouncil.govt.nz/

· at the top of the page, select meeting “Finance and Performance Committee” from the drop-down tab and click ‘View’;

· under ‘Attachments’, select either HTML or PDF version of the document entitled ‘Extra Attachments’.

6. Note that, unlike an agenda decision report, staff will not be present to answer questions about these items referred to in this summary. Committee members should direct any questions to the authors.

Recommendation/s

That the Finance and Performance Committee:

a) receive the information report – 12 December 2017.

Attachments

No.	Title	Page
a ⇩	Finance and Performance Commitee Forward Work Progrmame to 30 June 2018	151
b ⇨	15 November 2017 - Long-term Plan 2018-2028 workshop minutes (Under Separate Cover)
c ⇨	23 November 2017 – Email from Manager - CCO Governance & External Partnerships regarding CCO first quarter reports (Under Separate Cover)
d ⇨	24 November 2017 – Long-term Plan 2018-2028 workshop minutes (Under Separate Cover)
e ⇨	30 November 2017 - Email from Head of Rates, Valuations and Data Management regarding the non-rateable review (Under Separate Cover)

Signatories

Authors	Sandra Gordon - Senior Governance Advisor
Authorisers	Matthew Walker - Acting Group Chief Financial Officer