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Ngāti
Whātua Ōrākei Reserves Board
20 August 2018
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Ngāti Whātua Ōrākei
Reserves Board - audit update
File No.: CP2018/14947
Te take mō te pūrongo / Purpose of the report
1. To
inform the Ngāti Whātua Ōrākei Reserves Board of;
the timeline for the external audit of the 2017/18 annual performance
statements, the correspondence with the external auditor RSM Hayes and approve
the letter of engagement.
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Ngā tūtohunga / Recommendation/s
That the Ngāti
Whātua Ōrākei Reserves Board:
a) receive
the RSM Hayes letter of engagement and letter of arrangement for the
2017/18 year and retrospectively delegate to the Chairperson approval to sign
the letter of engagement for RSM Hayes on behalf of the board.
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Horopaki / Context
2. In
accordance with the Ngāti Whātua Ōrākei Claims Settlement
2012, Schedule 4 clause 5(3) the financial accounts for the Ngāti
Whātua Ōrākei Reserves Board (board) must be audited by a
chartered accountant each year.
3. At
the November 2017 hui the board approved the re-appointment of RSM Hayes as the
external Auditors.
4. The
financial statements are the responsibility of the board. In this regard,
the board are responsible for:
· Ensuring
the board keeps accounting records which at any time disclose with reasonable
accuracy the financial position of the board
· Establishing
and maintaining an internal control structure
· Preparing
the financial statements which present fairly, in all material respects the
board’s financial position and performance, represented by the results of
its operations.
· Ensuring
the board complies with laws and regulations applicable to its activities, and safeguarding
the assets of the board.
· The
audit does not relieve the board of these responsibilities
5. The
purpose of the audit opinion is to provide the members of the board with
reasonable audit assurance as to whether the performance reports are free of
material misstatements and comply with generally accepted accounting practice
(GAAP) in New Zealand.
6. The
audit procedures include examination on a test basis of evidence supporting the
amounts and other disclosures in the performance statements and evaluation of
accounting policies and significant accounting estimates.
7. The
audit includes the need to gain an understanding of the accounting system and
the internal control structure to the extent necessary to consider their
adequacy as a basis for the preparation of the performance statements.
8. Attachment
A includes a letter of audit engagement which was signed on behalf of the Board
by the previous Chairperson – Sharon Hawke. The letter of engagement was
signed between meetings of the board in May 2018. It is now requested
that retrospective approval by the board be given to delegate the signing of
the letter of engagement to the Chairperson.
9. Key
points to note from the letter of engagement:
· RSM
Hayes fee for the audit is the same as last year at $5500 plus GST and
disbursements
· Audit
on draft financial statements will commence from 14th September 2018
with completion and presentation to the Board by November 2018.
10. Quarter 4
results have been reported in the quarterly report at the August 2018
hui. It is not envisaged that this result will change materially from
what will be reported in the annual performance statements.
Audit management letter and findings report from 2016/17
year
11. At the
conclusion of last year’s audit the auditors issued an Audit Findings
report containing matters they consider appropriate to bring to the attention
of the board.
12. RSM Hayes
Audit Findings report indicated the following observations with recommendations
that required follow up by the board:
· Formal funding agreement with Auckland Council -
recommends the board and council enter into a funding agreement to provide
certainty over funding and delivery.
· Formal fraud assessment – recommends that
the board should ensure as a minimum that a fraud policy is developed that sets
out the steps that should be taken in the event of a suspected fraud. A fraud
risk assessment to be carried out. Any mitigating controls against fraud
are developed and implemented.
· Compliance – recommends that the board develop
a process to ensure compliance with relevant legislation, identifying specific
legislation that affects the board.
13. Now that the
formal approval for funding has been approved by council through the long term
plan process and the consequential final sign off of the board’s
financial plan, management will work on detailing a draft funding agreement
ready to workshop at the next meeting of the board.
14. A draft fraud
policy is being developed and will be ready to be workshop in the near future.
15. Compliance
review – Auckland Council has previously reviewed compliance.
Council’s legal team will review this earlier work and council staff will
work with the board technical officer and report this back to the board for
review.
Ngā
tāpirihanga / Attachments
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No.
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Title
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Page
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a⇩
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Letter of audit engagement
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25
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b⇩
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Arrangement letter
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31
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Ngā kaihaina / Signatories
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Author
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Kym Jones – Lead Financial Advisor, Auckland
Council
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Authoriser
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Jane Aickin - Paeurungi Te Waka Tai-ranga-whenua
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Ngāti
Whātua Ōrākei Reserves Board
20 August 2018
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Quarterly report and general update
File No.: CP2018/14694
Te take mō te pūrongo / Purpose of the report
1. To
update the Ngāti Whātua Ōrākei Reserves Board (reserves
board) on the operational and capital work programmes for the Whenua Rangatira
and Pourewa Creek Recreation Reserve.
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Ngā tūtohunga / Recommendation/s
That the Ngāti
Whātua Ōrākei Reserves Board:
a) authorise
capital expenditure of up to $60,000 on programme management and design of
access improvements for Pourewa Creek Recreation Reserve in line with the
draft master plan noting that the detailed design will be reported back to
the board for approval prior to lodging resource consent.
b) authorise annual operational expenditure of up to $120,000 to
enable additional base line services to be included in the Ōkahu Rakau
contract for maintenance of the whole of Pourewa Creek Recreation
Reserve.
c) authorise
operational expenditure of up to $58,240, for the Kaitiaki Service, which is
in line with the budget, to allow additional working hours and area of
coverage.
d) authorise capital expenditure of up to $20,000 to provide a base
for the Kaitiaki Service, which is in line with the budget, for use over the
summer months.
e) consider
an application for landowner consent to allow stormwater discharge to the
Pourewa Creek Recreation Reserve from land at 37 Awarua Crescent.
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Financial summary
2. An
overview of the operational and capital expenditure for the financial year July
2017 – June 2018 is included below.
3. Revenue
- is made up of three streams on income, the set license fee for the Vodafone
tower of $14,300 per annum, rental income from the St Heliers Pony Club $12,469
and income from event fees of $2100. Event income was 80% of budget at
$2,100 this year and this is lower than the event income earned in the past two
years of between $5000 and $6000 per annum.
4. Operational
expenditure - overall operating expenditure was under budget by $37,080 with
savings in the response maintenance and utilities budget of $43,229 and an over
spend in other expenditure of $6148. The over spend was mainly due to the
yearly external audit fee of $5500 and printing expenses of $1800 not being
included in the original LTP budget. From 2018 year adequate operational
expenditure has been allowed for in the Boards financial plan.
5. Project
expenditure - the project expenditure budget of $110,000 was fully spent and
was made up of grants for the development of the master plan $50,000,
contributions to the funding of the story telling (mauri tent and the Bastion
Point anniversary celebrations) $40,000 and kaitiaki summer services of
$20,000.
6. Net
operating expenditure - for the end of the financial year was $624,883 compared
to a budget of $661,426 with an overall underspend for the year of
$36,543. This underspend will be carried forward into the 2018/19
year’s operational budget.
7. Capital
expenditure - $20,510 was spent on capital works. This was mainly for the
completion of the BBQ and seating at Okahu bay. A number of the
projects including the nursery and water quality initiatives were not able to
be progressed this financial year and therefore the original budget of $202,597
was underspent by $182,087. The projects funding will be carried forward into
the 2018/19 capital expenditure budget.
Work programme overview
8. Below
is an overview of forecast projects with an indication of their progress
against agreed milestones. Further commentary on many of these is
provided later in the report.
Capital project update
Atkin Avenue naturalization works
9. This
project, to open the channelled stream and more appropriately engineer the
stream edges to manage erosion effects, has been several years in the
planning. The primary hold up over the last few years has been funding
and after that was secured in the last financial year the weather caused a stop
work. Funding has been carried forward and the work is forecast to
restart again in October 2018, weather permitting.
Bastion Point
10. Ngati
Whatua Orakei Reserves Board set aside $35,000 to fund Bastion Point
Celebrations. A dawn ceremony was held on Takaparawhau on the
morning of 25th May 2018, to celebrate 40 years of Bastion Point. The
funding provided for:
· Communications
collateral for the event
· Event
Management (including security and traffic management)
· Marquees
· Sound
System
· Kai
· Resources
(including purchase of the Bastion Point flags)
· Refurbishment
of the Joannie Hawke Memorial
Nursery
11. Completion
of the resource consent application for the nursery installation has been
delayed owing to complications in the detailed engineering design for ground
stability and drainage.
12. This
work is now substantially complete and the consent application should be
submitted in August.
13. Anecdotal
evidence suggests that Council are currently struggling to process resource
consent applications within the statutory timeframes (20 working days) and that
further delays in obtaining consent should be anticipated. It is probably safe,
however, to assume that the consenting process should be complete by November.
Pou Marking - Stage I (Kohimaramara Pou)
14. The
Ngāti Whātua Ōrākei Toi Manager has worked with a
structural engineer to design a new concrete pedestal base similar to the
original base design and aligned to the narrative. The artist has been informed
of the process to replace the base.
15. A
complete design package for the pedestal base and foundation has been produced
by a principal structural engineer.
16. A
concrete specialist will fabricate the new pedestal base from the design
package supplied. This process will take approximately six weeks to make a
bespoke mould, including a koru pattern that will then be cast as the new base.
17. Two
options for a new site for the pou have been identified, which are in proximity
to the Koi café. Neither site will require resource consent. The two
locations are shown below:
18. Ngāti
Whātua Orākei will contribute to the cost of replacement and
installation of the new artwork. There will be no additional funding
requirement.
19. The
artwork should be installed by October, 2018 at the latest.
Recreation Facilities at Ōkahu Bay
20. At
the time of writing it was proposed to commence work in September. This
follows lengthy delays as project managers looked at options to employ a local
whanau supplier to deliver the works. The contractor to be used was still
being finalised at the time of writing this report although several quotes and
options are available.
Pourewa Creek Recreation Reserve – access improvements
21. The
master plan schematic for access to Pourewa Creek Recreation Reserve is shown
in Attachment B. It is recommended initial development include
development of the main vehicle access opposite Kupe St and pedestrian links to
the Kepa/Ngapipi/Ōrākei Road intersection. Internal access may
rely on unformed informal access in the first instance (this may also have the
advantage of highlighting natural desire lines as people traverse the whenua).
22. There
is a capital budget of $442,800 to commence the access improvements in 2018/19
in the new funding application supported through Auckland Council’s Long
Term Plan. Having completed a draft master plan for Pourewa, that has
been well received and aligns with the management plan, it is recommended that
authorization to spend up to $60,000 on programme management and design be
authorized and detailed design be reported back for approval prior to lodging
resource consent.
Operational update
Kaitiaki Service
23. The
Kaitiaki Service has been in effect for 6 seasons operating in the Ōkahu
Bay are.
24. The
hours of service in the last season were 0700 - 1400 every Saturday and Sunday
from November to April.
25. The
operational budget for the service last year was $20,000 per annum.
26. Over
the years of operation, the profile of the service has grown significantly.
Demand arises from wide range of activities including;
· Facilitation
of events and activities
· Informal
engagement with the public and tourists
· Management
of trading activities
· Unauthorised
gatherings
· Litter
control
· Parking
control
27. The
existing service was established for Okahu Bay but in practice a significant
demand arises also at Takaparahwau - in particular from visitor activity around
the Michael Joseph Savage Memorial. This area is not included in the current
service.
28. In
addition to this, with the increasing pressure from the public there is a
growing need for a more visible presence and an operational base for the staff
service such as a pop-up tent or mobile caravan.
29. In
light of the growing demands it is recommended that the Kaitiaki Service be
extended to:
· include
the full extent of the Whenua Rangatira;
· provide
an operational base;
· allow
for a year round presence of 0.5 FTE and a roster of 3 Kaitiaki during the peak
weekend hours;.
· The
summer weekend hours should be extend to cover the entire daylight period, in
order to address the influx of afternoon to early evening patrons.
30. Proposed
revised hours of operation are shown below:
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Season
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Hours
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Number of Kaitiaki
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Summer: Labour weekend – end April
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Weekends and bank holidays 8am-4pm
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3
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Weekends and bank holidays 6am-8am;
4pm-8pm
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1
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Off season
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Weekends and bank holidays
8am-6pm
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0.5 (FTE)
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31. The
Service also requires operational equipment such as PPE, training, IT, and
communications aids (signage etc) and consumables (rubbish bags, gloves,
sanitiser, rubbish sticks etc). This is not currently covered by the historical
budget allocation.
32. The available
operational budget for 2018/19, allocated through the new
funding approved by Auckland Council, is $58,240. It is likely
that this will be sufficient to address the additional working hours and area
of coverage outlined above, in additional to the equipment. If funding is
slightly short then the hours or consumables can be trimmed to fit the budget.
33. The
available capital budget for 2018/19, allocated through the
new funding approved by Auckland Council, is $20,000. Additional
capital funding is available next year. This was capital funding was
forecast on the assumption that the first year would allow for acquisition of a
pop up tent, signage and basic furniture or similar. This would be
trialled and reviewed for next year with the potential for a more permanent or
substantial set up for subsequent years or development of a range of interpretation
nodes to support visitor education.
Reserves Master Plan
34. Work
is on track to complete a first draft of Concept Plans for the Whenua Rangatira
by September 2018. The draft will be presented to the Boards for discussion
(Ngāti Whātua Ōrākei Trust and Reserves Board) and
socialized in the same manner as undertaken earlier this year for the Pourewa
Plans.
35. The
concepts embodied in the Master Plan (Pourewa and Whenua Rangatira) will be
subject to wider public consultation (notification) in the process of
transition to a new Reserves Management Plan (under Reserves Act 1976).
Concessions area review (mobile vendors)
36. In
its February 2018 meeting the Reserves Board made the following resolution:
That the
Ngāti Whātua Ōrākei Reserves Board:
c. delegate
decision making responsibility to the Technical Officer of Ngāti
Whātua Ōrākei Whai Maia Ltd for amending point 2 and the map of
the concessionaire guidelines and determining a minor reconfiguration of the
fence line, redesign of the fence style and other ancillary landscaping matters
to accommodate concessionaires in the vicinity of the tourism kiosk
d. request
that the future fence design should continue to act as a barrier to vehicles
while being visually unobtrusive and providing for easy/barrier free pedestrian
access onto the Whenua Rangatira
e. note
that the nature of the concessionaire area and concessionaire activity is
temporal and can be readily changed in the future as greater clarity on the
development of tourism activity on the Whenua Rangatira is gained through the
master planning process
37. In
summary, the instruction is to amend the guidelines and map specifically to
accommodate concessionaires in the vicinity of the tourism kiosk in a
“visually recessive way” i.e. it is only the trading area which is
to be reviewed – the rest of the concession guidelines (including number
of trading concessions) remain unchanged. The trading area in Ōkahu Bay is not included in the
review.
38. Options
for locating near the kiosk are limited. Three potential areas were explored to
the immediate north, northwest and south of the kiosk.
39. A
review of these options was undertaken based on the following criteria:
1. Visual
impact
2. Accessibility
3. Relationship
to existing coffee kiosk (the “Koi” cafe)
40. This
review concluded:
a. is
closest to Kiosk, has good roadside accessibility and is visually recessive,
but may not be big enough by itself
b. is
close to Kiosk and has good roadside accessibility, but is more visually
intrusive. May be a partial solution is A is not big enough
c. is
the most visually recessive, but furthest from roadside and may attract
visitors towards Takutai Moana Depot.
41. The
preferred option is to allocate and develop areas to the north and northwest to
accommodate a combined total of four traders. The preferred areas area shown
below.
Map 2: Preferred location for trading
area
42. The
next stage of the programme is to commission detailed design of the trading
area. The design will include landscaping, surface treatment and fence works.
Liquor Ban
43. The
application for a complete liquor ban in Ōkahu Bay was submitted in June.
In July the Council processing officer replied to request more evidence to
support the application - in particular more evidence that alcohol is being
consumed outside the ours of the existing night time ban (the current bans is
10pm to 7am during daylight saving and 7pm to 7am outside daylight saving).
44. Work
is underway with the Kaitiaki Service to collate additional evidence.
Events
45. The
attached report (Appendix A) provides an overview of events booked in the last
quarter and those events booked in the future.
Burial ground – update
46. Initial
site investigations for the site selected for investigation (see June 11 Board
papers) have indicated that the site is unsuitable.
47. Work
is now underway to investigate options for location of the urupa on papakainga
land. This is now outside the scope of the Reserves Board.
Pourewa – change in use
48. With
expiry of its lease, the St Heliers Bay Pony Club has now vacated the Pourewa
Creek Recreation Reserve, although work is ongoing to remove the buildings and
other physical developments related to the Club activities.
49. A
Whakawātea Whenua (blessing) of Pourewa was conducted by kaumatua of
Ngāti Whātua Ōrākei on 3 August.
50. An
increase in level of service/maintenance is now required at Pourewa Creek Recreation
Reserve. The initial requirement is mowing of entrance ways, nursery and
public access areas and weed control in the ecological restoration areas.
It is recommended that authorization be given to negotiate a contract variation
of up to $120,000 for these new base line services. This would provide
for mowing 24 times per year and 12 weeks of a team of four people doing weed
control as well as litter and some ancillary activity. There is
sufficient additional operational budget to cover this as this change was
anticipated in the budget change request.
51. In
addition to this initial restoration work may proceed with minimal mobilisation
needs at the Kepa Bush margin, where the master plan clearly identifies the
ecological restoration priority and Kepa Bush itself provides the
template. It is also proposed to undertake initial planting at the Kepa
Road boundary, and an application for grant assistance has been submitted to
the Ōrākei Local Board in this regard.
52. Staff
will back on a more comprehensive restoration strategy for the site including
an arboricultural assessment.
Ōkahu Rākau
53. Ōkahu
Rakau have priced up the litter management at Okahu Bay is about to be varied
into the contract which enables them to provide a more complete full facilities
maintenance service. This work is provided for within the budgets and
delegations.
54. Flooding
was experienced down the Bastion Point steps (by artwork on Tamaki Drive)
during extreme weather event
55. Searchlight
emplacements have been cleared of vegetation
Pourewa – landowner permission request
56. An
application has been received in relation to a property adjacent to the Pourewa
Recreation Reserve. The application seeks consent to discharge stormwater
run-off from a property at 37 Awarua Crescent to the reserve. The discharge
request is a result of a proposal to intensify development of the property to
accommodate a 7 unit apartment development.
57. The
full application is presented in Attachment C.
58. The
initial application was presented with direct discharge from the detention
tank. In line with the Ngāti Whātua Ōrākei Iwi Management
Plan (2018), the Technical Officer requested that the design be amended to
include pre-treatment of storm-water prior to discharge. The applicant has complied
with this request and the revised design includes a rain garden.
59. The
Technical Officer considers that the revised design is technically sound.
60. The
board is requested to consider this application.
Health and Safety
61.
No incidents or near misses have been reported over the quarter.
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No.
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Title
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Page
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a⇩
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Events
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45
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b⇩
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Pourewa - access and pathways concept
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47
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c⇩
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Landowner permission request
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49
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Signatories
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Authors
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Jane Aickin - Paeurungi Te Waka Tai-ranga-whenua
Andrew Brown - Planning Manager,
Ngāti Whātua Ōrākei Whai Maia Ltd
Merania Kerehoma - Manager Okahu Rakau Nursery and Native Bush Care, Ngāti
Whātua Ōrākei Whai Maia Ltd
Kym Jones - Lead Financial Advisor Auckland Council.
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Authorisers
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Jane Aickin - Paeurungi Te Waka Tai-ranga-whenua
Rangimarie Hunia – Chief Executive Officer, Ngāti
Whātua Ōrākei Whai Maia Ltd
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