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Franklin Local
Board
07 July 2020
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Local
board input into the Emergency Budget 2020/2021
File No.: CP2020/08654
Te take mō te
pūrongo
Purpose of the report
1. To provide local board
input into the Emergency Budget 2020/2021.
Whakarāpopototanga matua
Executive summary
2. Auckland
Council publicly consulted from 29 May to 19 June 2020 to seek community views
on the proposed Emergency Budget 2020/2021.
3. The Annual Budget 2020/2021 was first consulted on in February/March
2020 (Consultation part 1). Since this consultation was undertaken, the
COVID-19 pandemic has exerted significant pressure on the council’s financial
position. This will have flow-on effects for the proposed budget for the
2020/2021 financial year. The council has considered what those impacts are
likely to be and has asked Aucklanders for their views on aspects of the
proposed budget, now referred to as Emergency Budget 2020/2021, through a
second round of consultation (Consultation part 2).
4. During the second round of consultation, Aucklanders were asked for
their views on three key proposals:
· general rates increase for 2020/2021 of either 2.5 per cent or 3.5
per cent
· rates postponement
for ratepayers impacted by COVID-19
· suspending the
targeted rate paid by accommodation providers.
5. The
council received feedback through telephone interviews, written forms,
including online and hard copy forms, emails and letters.
6. This
report summarises the public feedback received through Consultation part 2 on
the proposed Emergency Budget 2020/2021.
7. Local
board views on these regional matters will be considered by the Governing Body
(or relevant committee) before making final decisions on the Emergency Budget 2020/2021.
8. Out
of the 34,915 submissions received on the regional proposals in the Emergency
Budget 2020/2021, 1094 submissions were from people living in the Franklin
local board area.
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Ngā tūtohunga
Recommendation/s
That the Franklin Local Board:
a) receive consultation feedback on regional proposals in the
Emergency Budget 2020/2021 from people or organisations based in the Franklin
local board area.
b) provide feedback on the proposed Emergency Budget 2020/2021.
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Horopaki
Context
9. Auckland
Council publicly consulted from 21 February to 22 March 2020 to seek community
views on the proposed Annual Budget 2020/2021 (Consultation
part 1).
10. Since this consultation was
undertaken, the COVID-19 pandemic has exerted considerable pressure on the
council’s financial position, which will have flow-on effects for the
proposed budget for the 2020/2021 financial year. Given the new financial
realities facing Auckland, work has been undertaken to adjust the proposed budget,
now referred to as Emergency Budget 2020/2021.
11. The council has undertaken further
public consultation with Aucklanders for their views on Auckland
Council’s proposed ‘Emergency Budget’ in response to the
financial impacts of COVID-19 (Consultation part 2) which included considering
whether to adopt a 2.5 per cent rather than 3.5 per cent general rates increase
for the 2020/2021 financial year, among a suite of other measures aimed at offering
support to all ratepayers, including businesses, facing hardship. This
was carried out from 29 May to 19 June 2020.
12. The Emergency Budget consultation
asked Aucklanders for their view on three main proposals:
· general rates increase for 2020/2021 of either 2.5 per cent or 3.5
per cent
· rates postponement for ratepayers impacted by COVID-19
· suspending the targeted rate paid by accommodation providers.
13. This report includes
analysis of the consultation feedback on the regional proposals in the
Emergency Budget 2020/2021 from people or organisations based in the Franklin
local board area.
Local board input on regional plans
14. Local boards have a statutory
responsibility for identifying and communicating the interests and preferences
of the people in their local board area in relation to the context of the
strategies, policies, plans, and bylaws of Auckland Council. This report
provides an opportunity for the local board to provide input on the proposed
Emergency Budget.
15. Local Board
Plans reflect community priorities and preferences and are key documents that
guide both the development of local board agreements, which are adopted every
year as part of the Annual Budget, and input into regional plans.
Types of feedback
16. Overall Auckland Council received
feedback from 34,915 submitters in the consultation period. This feedback was
received through:
· Written feedback –hard copy and online forms, emails and
letters
· Over the phone
Tātaritanga me ngā
tohutohu
Analysis and advice
17. The
proposed Emergency Budget 2020/2021 sets out priorities and how they will be
paid for. The regional consultation on the proposed Emergency Budget focused on
changes to rates and fees; the key proposals were:
· general rates increase for 2020/2021 of either 2.5 per cent or 3.5
per cent
· rates postponement for ratepayers impacted by COVID-19
· suspending the targeted rate paid by accommodation providers.
18. The
submissions received from the Franklin Local Board area on these key issues are
summarised below, along with an overview of any other areas of feedback on
regional proposals with a local impact.
19. Sometimes the council receives submissions that have come via a
platform created by an external organisation – these are referred to by
the council as pro forma submissions. The council has received an
unusually large number of pro forma submissions in this consultation process
– a total of 343 for the Franklin local board area. These have
primarily come from two organisations – the Auckland Ratepayers’
Alliance (327) and Generation Zero (5).
20. When people submit via the council’s official consultation
platform (either the hardcopy feedback form or the digital form), they are
directed to the council’s consultation document and supporting
information which are the statutory basis for the consultation process.
People who submit via pro forma submissions often will not have had this same
information presented to them when they submit, although each pro forma
submission is different in its approach.
21. For example, the submission form set up by the Auckland Ratepayers’
Alliance did not refer to the council’s consultation material and did not
ask the same questions that were included on the council’s feedback
form. Generation Zero’s submission form also did not ask the same
questions as the council’s feedback form. However, Generation Zero
did include links to the council’s consultation material in the
information supporting their submission form.
22. As with
all feedback, pro forma submissions must be given due consideration with an
open mind, and it is up to elected members to determine the weight that is
given to this feedback.
General rates increase for 2020/2021
23. Aucklanders were asked about a proposed general rates
increase of either 2.5 per cent or 3.5 per cent for 2020/2021.
Question 1: We
are proposing an average general rates increase of either 2.5 per cent or 3.5
per cent for 2020/2021. We looked at, but could not responsibly propose rates
increases below 2.5 per cent because of the severe impacts that would have on
council services, new infrastructure, our debt levels and employment and
business activity in Auckland.
The scale of the financial challenge that we
face for next year with a revenue loss of over half a billion dollars due to
COVID-19 means that spending on some council services will need to be reduced
and many capital projects will be delayed even with the 3.5 per cent increase
we had previously planned.
With a lower rate increase of 2.5 per cent, we would need
to further reduce spending on council services and further delay investment in
transport, parks and community and town centre projects.
Which increase do you support?
24. The graphs
below give an overview of the responses from the Franklin Local Board area.
25. Some of
commentary on the general rates increase for 2020/2021 from people living in
the Franklin local board area is as follows:
a. Feedback on rates increase of 3.5 per cent:
i. If we allow assets to degrade, it will end up costing
more in the future
ii. Prefer to keep services intact, as the city may become
unliveable or third world if we remove services
iii. The
increase in rates is not significant over the year, a few dollars a week, less
than the price of a coffee. I know this is tough for some, but I believe
manageable for many, indeed I would propose an even higher increase, say 4.5%
if it preserved more jobs.
iv. We
are all in this together, we can’t afford to let our city fall behind in
maintenance and new projects. It’s bad enough that the country still has
restrictions in place. We need to get things up and running again. Not doing
this will be far worse than the virus.
b. Feedback
on rates increase of 2.5 per cent:
i. Some
people are absolutely struggling to pay their rates, so I do not support the
rates increase
ii. Council
needs to have a more austere budget, so a review is needed to control
unnecessary expenditure especially on wages
iii. Council
should concentrate on core services of roads and essential services
c. Feedback
on the ‘don’t know’ rates increase option:
i. Prefer a
zero rates increase option
ii. Don’t
receive many council services, so we don’t believe there should be any
increase in rates
iii. Concentrate
on core service delivery of roading and other essential services
iv. The
rates increase should be 1.22% consistent with inflation. Those paying the
rates are subject to difficult conditions and have had to suffer layoffs and
halt capital expenditure - why should council be any different?
Rates postponement for ratepayers impacted by COVID-19
26. Aucklanders were asked about a proposal to introduce a
COVID-19 Rates Postponement Scheme.
Question 2: We are proposing a COVID-19 Rates Postponement
Scheme. This will allow ratepayers who are struggling financially as a result
of COVID-19 to defer up to $20,000 of their rates for the 2020/2021 year. At
the end of the postponement period ratepayers would have to 30 June 2022 to pay
off the balance (including interest and administration fees).
What do you think of our proposal?
27. The graphs below give an overview of the
responses from the Franklin Local Board area.
28. Some of commentary on the rates postponement for
ratepayers impacted by COVID-19 from people living in the Franklin local board
area is as follows:
a. Feedback from those who supported the proposal:
i. Many
people need assistance. Giving them the choice to defer may mean that they can
manage things until they get back in their feet
ii. Sensible
and fair approach in difficult times
iii. No
point in pushing people to bankruptcy or mortgagee sale
b. Feedback from those who do not support the proposal:
i. How can
you pay for something you don’t have money for?
ii. It will
burden them with increased debt which just puts off the inevitable
iii. Temporary
rates freeze would be more supportive
c. Feedback from those who don’t know:
i. The correct thing to do is to have a zero rates increase
altogether
ii. Current rates are hardly affordable
iii. Not sure that this will help people in the long run
Suspending the targeted rate paid by accommodation providers
29. Aucklanders were asked about a proposal to suspend the
targeted rate paid by accommodation providers.
30. The graphs below give an overview of the
responses from the Franklin Local Board area.
31. Some of the
commentary on suspending the targeted rate paid by accommodation providers from
people living in the Franklin local board area is as follows:
a. Feedback on suspending the targeted rate:
i. Hopefully it will encourage domestic travel
ii. An appropriate response due to the impacts of COVID-19
iii. A questionable tax in the first place
iv. Hospitality industry is in dire straits and needs help
too.
v. The accommodation providers hardly see anything of value
from the targeted rate in the first place
b. Feedback from those who don’t support suspending the
targeted rate:
i. Ratepayers
are struggling as well, so accommodation providers should pay their way too
ii. There
shouldn’t be such a rate for accommodation providers
iii. Providers
have been overcharging for a long time. They need to pay their share
c. Feedback from those who answered ‘don’t
know’ to suspending the targeted rate:
i. All
sectors are struggling not just this one
ii. Don’t
know enough about it
iii. No
value seen in paying this tax
Other feedback
32. Aucklanders
were asked if they had any feedback on any other issues including the in
principle decisions made from the first round of consultation.
33. The
proposals that we previously consulted on, and that have been agreed in
principle, subject to consideration of any further feedback received in the
Emergency Budget consultation are:
· Increase
to the waste management base service targeted rate
· Increase
to the waste management standard refuse rate in former Auckland City and
Manukau City areas
· Discontinuation
of the Waitākere rural sewerage service and targeted rate for ratepayers
in the Upper Harbour Local Board area effective from 1 July 2021
· Introduction
of a new targeted rate for Central Park Henderson Business Improvement
District.
Feedback on other local topics
34. Some of the verbatim comments received on other local
topics included:
· Please
DO NOT start talking about closing suburban libraries. It has been awful not
having that service in my township for many weeks. This effects mostly the
elderly and youngsters in poor families who do not have internet access. Often
the library is the go-to hub of outer suburbs. They provide more than just
books to a community.
· Let’s
focus on getting the train electrified from Pukekohe to Papakura. More trains,
less cars! Stop spending ratepayers money on ‘pet projects’ and we
need better and cheaper parking buildings, better roads (ones that already
exist) and better management of our water systems
· All
but the basics should be suspended until at least 2021. By then more should be known
about the financial situation. No pay rises for council staff, or elected
personnel. When programmes are suspended staff should front-up to public
meetings and explain the situation - what is going to happen, when and why to
interested people - much like the PM has done on a daily basis during the past
couple of months. Accept the feedback given and acknowledge the perspective of
the ratepayers.
· Cut
all events/arts/culture spending for at least the next 12 months. America's cup
spending/return on investment needs to be reviewed/cut.
· We
live at Beachlands /Maraetai. What really annoys local residents is we are on
tank rainwater. Our wastewater charges can be more than what a person pays for
wastewater and water in other Auckland areas
· Stick
to your knitting. Collect the rubbish, run essential services and cut back on
everything else until the budget is balanced. This is what all businesses and
households are doing. And reduce all top salaries (>$200k) by 20%
immediately and permanently.
· Do
not sell our assets! Aucklanders have paid for these over many years and they
should not be sold. All " beautification projects" such as town
centre upgrades must be suspended for the next few years. No funding can be
paid out to organisations for unnecessary projects.
· We
would really love our community park project to go ahead at Paerata Rise. We
are a new township with only driving access of over 7 minutes away to access
our nearest park / playground of any consequence. This playground is to be a
focal point for our community and sits in front of the community cafe. This
area is the HUB, so to best cater for the needs of the residents, draw new
residents and visitors to the area we need our playground.
· Essential
to keep rubbish bins in public places and toilets open. We don't want to look
like a third world country.
· Don't
cancel or postpone public transport or waking cycling infrastructure. It will
only contribute to the infrastructure deficit for safe cycling and walking. A
cost people will pay for with their lives. People are walking and cycling now
more than ever, embrace and build on it. Ask the government for a low interest
loan if you have to.
· We
are a mountain bike club with the largest membership (over 1000) in
Auckland. Our club uses the Whitford forest, the only large pine forest
in South and East Auckland. We were relying heavily on funding from
council to develop the forest as it has recently been logged. If we
don’t build new trails in the recently felled forest in the next 1-2 two
years we won’t be able to for 10 years plus due to the rampant growth
that occurs. We feel it is vital the council funds the Sports and
Recreation Facility Investment fund in 2021
· Get
the Papakura - Pukekohe electrification done with population due to double in
this area and the connection now is not working. Many not using the train now
because of changing trains at Papakura and the added worry of delays.
· The
Franklin Board Strategic Plan outlines a goal to increase the number of walkers
and cyclists through the Active Modes Programme. The proposed trail from
Hickey's Dam through Pukekohe North to the Belmont Subdivision in Pukekohe West
could include a pedestrian and cyclist bridge over the water way to connect
both the north and south ends of Jutland Road. A bridge over this water way
would not only provide safe walking and riding access for students aged 5-11
attending Tamaoho School in Taikaranga Street Belmont, it would provide members
of the community a safe trail for walking and fitness. This trail will lessen
the number of cars in and around this new subdivision.
· Local
halls and small community centres. Please, please don't close community
centres, these are the life blood of small communities, particularly for the
elderly who cannot travel far, and local groups like choirs, knitting circles,
book clubs etc. It may seem to a city that a group of 8 or 10 people
isn't worth it but for those small groups it is what makes life worth living.
· I
would like to see that community grants are maintained where possible as it is
by supporting our people within our communities that we will thrive and not
just survive
· I
am upset and saddened to hear that the Franklin Art Centre in Pukekohe is
closed. This gallery was funded by the community and moved to it’s
current location with support and sponsorship from NZ Steel. When Pukekohe was
absorbed into Auckland, the Auckland Council took over managing the Gallery
space. I have exhibited there regularly. My art students from Pukekohe High
have exhibited there regularly and work with local and national artists through
the programs the gallery has run. This is vital arts space for exhibiting,
selling work, connecting artists, and teaching classes for the Pukekohe and
Franklin arts community. It is a vital part of the Franklin Art Festival that
sadly has been postponed in 2020 because of Covid 19.
· It
would be a tragedy to stop funding the Kauri Dieback mitigation strategy. The
Kauri tree is synonymous with NZ once the disease gets a hold then there will
be no more Kauri in the area. Funding reserves, predator and pest
programmes should remain, again, once pests take hold it takes twice as much
money to get rid of them. The local community should be encouraged and
supported to allow the community to take ownership of building tracks and
walkways. This would better be achieved by the removal of red tape and
bureaucracy plus some limited funding support.
· On
behalf of the Franklin Basketball Community, we would like to urge the council
to prioritise the upgrade of the Franklin Pool and Leisure Centre arena floors.
These have become a health and safety risk to all athletes and users. We also
have an extreme lack of facilities in our community. Together with our partner
organisation, the Franklin Bulls, we have provided a third court that is now in
the process of being installed. However our main arena is still not suitable
for use.
· Don't
close the Auckland animal shelter this service as it is of utmost importance to
the safety and welfare of our animals. When people have to travel further to
collect animals, along with any impound fees in this current financial
situation, they may not have the money. NZ is failing at looking after our animals
to the standard they should be, there is too much abuse and too many animals
put down. We need every available service to help us turn this around.
Information on submitters
35. The
tables and graphs below indicate what demographic categories people identified
with. This information only relates to those submitters who provided
demographic information.
Tauākī whakaaweawe
āhuarangi
Climate impact statement
36. The decisions recommended in this
report are procedural in nature.
37. Some of the proposed projects in the
Emergency Budget may have climate impacts. The climate impacts of any projects
Auckland Council chooses to progress with as a result of this, will be assessed
as part of the relevant reporting requirements.
38. Some of the proposed projects in the
Emergency Budget will be specifically designed to mitigate climate impact, build resilience to climate impacts, and restore the natural
environment.
Ngā whakaaweawe me
ngā tirohanga a te rōpū Kaunihera
Council group impacts and views
39. The
Emergency Budget is an Auckland Council Group document and will include budgets
at a consolidated group level. Updates to budgets to reflect decisions
and new information may include items from across the group.
Ngā whakaaweawe
ā-rohe me ngā tirohanga a te poari ā-rohe
Local impacts and local board views
40. Local board
decisions and feedback are being sought in this report. Local boards have a
statutory role in providing local board feedback on regional plans.
41. Local boards play an
important role in the development of the Emergency Budget. Local board
nominees have also attended Finance and Performance Committee workshops on the
Emergency Budget.
Tauākī whakaaweawe
Māori
Māori impact statement
42. Many local board
decisions are of importance to and impact on Māori. Local board agreements
and the Emergency Budget are important tools that enable and can demonstrate
council’s responsiveness to Māori.
43. Local board plans,
which were developed in 2017 through engagement with the community including
Māori, form the basis of local priorities. There is a need to continue to build relationships between local boards
and iwi, and the wider Māori community.
44. The analysis
included submissions made by mana whenua and the wider Māori community who
have interests in the rohe / local board area.
45. Ongoing
conversations between local boards and Māori will assist to understand
each other’s priorities and issues. This in turn can influence and
encourage Māori participation in council’s decision-making
processes.
46. Some of the proposed projects in the
Emergency Budget may have impacts on Māori. The impacts on Māori of
any projects Auckland Council chooses to progress with as a result of this,
will be assessed as part of the relevant reporting requirements.
Ngā ritenga
ā-pūtea
Financial implications
47. Local board input will be considered
by the Governing Body for the Emergency Budget 2020/2021 decision-making
Ngā raru tūpono me
ngā whakamaurutanga
Risks and mitigations
48. Local boards are required to make
recommendations on these local financial matters for the Emergency Budget by 10
July 2020, to enable the Governing Body to make decisions when considering the
Emergency Budget in 16 July
Ngā koringa ā-muri
Next steps
49. Recommendations and
feedback from local boards will be provided to the relevant governing body
committees for consideration during decision making at the Governing Body
meeting on 16 July.
50. Local boards will approve their local
board agreements between 20 to 24 July and corresponding work programmes in
August.
51. The Governing Body
will adopt the Emergency Budget on 30 July 2020
Ngā tāpirihanga
Attachments
There are no attachments for
this report.
Ngā kaihaina
Signatories
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Authors
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Orrin Kapua - Local Board Advisor - Franklin
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Authorisers
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Carol McKenzie-Rex - Relationship Manager for Franklin
and Howick Local Boards
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