Minutes of Finance and Performance Committee

Finance and Performance Committee

18 February 2021

Note: a roll-call was conducted that ascertained the following members were in attendance at the commencement of the meeting:

Mayor P Goff	ü	Cr C Fletcher
Deputy Mayor BC Cashmore	ü	Cr S Henderson	ü
Cr J Bartley	ü	Cr R Hills	ü
IMSB Member R Blair		Cr T Mulholland	ü
Cr C Casey	ü	Cr D Newman	ü
Cr E Collins	ü	Cr G Sayers	ü
Cr P Coom		Cr S Stewart	ü
Cr L Cooper	ü	Cr W Walker	ü
Cr A Dalton	ü	Cr J Watson	ü
Cr C Darby	ü	IMSB Chair D Taipari	ü
Cr A Filipaina	ü	Cr P Young

1 Apologies

Resolution number FIN/2021/1

MOVED by Chairperson D Simpson, seconded by Cr S Henderson:

That the Finance and Performance Committee:

a) accept the apology from Cr P Young for lateness, on council business.

CARRIED

2 Declaration of Interest

There were no declarations of interest.

3 Confirmation of Minutes

Resolution number FIN/2021/2

MOVED by Chairperson D Simpson, seconded by Cr A Dalton:

That the Finance and Performance Committee:

a) confirm the ordinary minutes of its meeting held on Thursday, 19 November 2020, including the confidential section; the extraordinary minutes of its meeting held on Wednesday, 9 December 2020; and the extraordinary minutes of its meeting held on Tuesday, 15 December 2020, including the confidential section, as a true and correct record.

CARRIED

Cr P Coom entered the meeting at 10.04am.

Cr C Fletcher entered the meeting at 10.04am.

4 Petitions

There were no petitions.

5 Public Input

There was no public input.

6 Local Board Input

6.1

Local Board Input - Upper Harbour Local Board - Paremoremo Public Transport Targeted Rate

Margaret Miles, Upper Harbour Local Board Chairperson addressed the committee via SKYPE regarding the proposed proposed public transport targeted rate in Paremoremo.

Resolution number FIN/2021/3

MOVED by Chairperson D Simpson, seconded by Cr W Walker:

That the Finance and Performance Committee:

a) receive and thank Upper Harbour Local Board Chairperson, Margaret Miles, for her presentation regarding a proposed public transport targeted rate in Paremoremo.

CARRIED

7 Extraordinary Business

There was no extraordinary business.

Paremoremo Public Transport Targeted Rate

Resolution number FIN/2021/4

MOVED by Cr W Walker, seconded by Cr S Henderson:

That the Finance and Performance Committee:

a) agree to amend resolution number FIN/2020/98 from the 15 December 2020 meeting recommending consultation through the 10-year Budget 2021-2031 on two options for introducing a targeted rate to provide public transport services in the Paremoremo area to read:

“recommend to the Governing Body that it agree to consult through the 10-year Budget 2021-2031 on options for introducing a Transport Targeted Rate to provide public transport services in Paremoremo, as follows:

i) Option 1 – Paremoremo Public Transport Targeted Rate of $238 per Separately Used or Inhabited Part on properties in the serviced area to fund a Paremoremo–Albany bus service as part of the 10-year Budget 2021-2031.

ii) Option 2 – Paremoremo Public Transport Targeted Rate of $153 per Separately Used or Inhabited Part, to fund a Paremoremo–Albany bus service as part of the 10-year Budget 2021-2031, applied to properties in the service area of Paremoremo, including additional properties in the Upper Harbour Local Board area within the boundaries between Lucas Creek, Brookdale Road and Ridge Road, including The Avenue and its side roads (Attachment B of the report to the Finance and Performance Committee meeting of 15 December 2020).”

CARRIED

Amendments to the Revenue and Financing Policy

Resolution number FIN/2021/5

MOVED by Chairperson D Simpson, seconded by Deputy Mayor BC Cashmore:

That the Finance and Performance Committee:

a) agree to recommend to the Governing Body that it consult on the proposed amendments to the Revenue and Financing Policy to give effect to the changes consulted on in the 10-year Recovery Budget 2021-2031.

b) agree to recommend to the Governing Body that it delegate authority and responsibility for agreeing any required minor editorial changes and the correction of minor errors to the Chair of the Finance and Performance Committee and the Group Chief Financial Officer.

CARRIED

10	10-year Recovery Budget 2021-2031: Adoption of consultation material
	Copies of the consultation document and supporting information were circulated to the committee on 5 February 2021 and were workshopped on 10 February 2021. An updated version of the consultation document was circulated to the committee on 17 February 2021 which also contains the draft opinion from the Deputy Auditor General. Copies have been placed on the official minutes and are available on the Auckland Council website as minutes attachments. A copy of the summary document in Te Reo Māori was circulated to the committee on 17 February 2021. Copies have been placed on the official minutes and are available on the Auckland Council website as minutes attachments. A table of changes to the consultation document and supporting information was circulated to the committee on 17 February 2021. A copy has been placed on the official minutes and are available on the Auckland Council website as a minutes attachment. Greg Schollum, Deputy Auditor General and Athol Graham, Operational Director of the Office of the Auditor General addressed the Committee and confirmed the opinion that: The consultation document provides an effective basis for public participation in the Council’s decisions about the proposed content of its 10-year Budget 2021 2031, because it: · fairly represents the matters proposed for inclusion in the Long-term Plan; and · identifies and explains the main issues and choices facing the Council and the Auckland region, and the consequences of those choices; and · the information and assumptions underlying the information in the consultation document are reasonable.
	Cr E Collins left the meeting at 10.33am. Cr P Young entered the meeting at 10.39am.
	Note: changes to the original recommendation, adding new clause d), were made with the agreement of the meeting.
	Resolution number FIN/2021/6 MOVED by Chairperson D Simpson, seconded by Mayor P Goff: That the Finance and Performance Committee: a) agree to recommend to the Governing Body to adopt the Supporting Information for the Long-term Plan 2021-2031 (referred to as the 10-year Recovery Budget). CARRIED UNANIMOUSLY
	Resolution number FIN/2021/7 MOVED by Chairperson D Simpson, seconded by Mayor P Goff: That the Finance and Performance Committee: b) agree to recommend to the Governing Body to adopt the Consultation Document for the Long-term Plan 2021-2031 (referred to as the 10-year Recovery Budget). c) agree to recommend to the Governing Body to delegate responsibility to the Chair of Finance and Performance Committee and the Group Chief Financial Officer to jointly approve any final edits required to the Consultation Document and Supporting Information in order to finalise the documents for uploading online and physical distribution. d) thank the Office of the Auditor General for their attendance at the meeting. CARRIED UNANIMOUSLY
	Attachments a 18 February 2021, Finance and Performance Committee, Item 10 - 10-year Recovery Budget 2021-2031: Adoption of consultation material - Consultation Document b 18 February 2021, Finance and Performance Committee, Item 10 - 10-year Recovery Budget 2021-2031: Adoption of consultation material - Supporting Information c 18 February 2021, Finance and Performance Committee, Item 10 - 10-year Recovery Budget 2021-2031: Adoption of consultation material - Summary Document in Te Reo Māori d 18 February 2021, Finance and Performance Committee, Item 10 - 10-year Recovery Budget 2021-2031: Adoption of consultation material - Table showing changes to the Consultation Document and Supporting Information

10-year Recovery Budget 2021-2031 Communications and Engagement Plan

IMSB Member R Blair entered the meeting at 11.10am.

Resolution number FIN/2021/8

MOVED by Chairperson D Simpson, seconded by Cr S Henderson:

That the Finance and Performance Committee:

a) agree to recommend to the Governing Body the proposed communication and engagement approach for the 10-Year Recovery Budget 2021-2031 as set out in this report, noting:

i) public consultation will run from Monday 22 February 2021 to midday Monday 22 March 2021

ii) feedback can be provided through written, in person, telephone and digital channels

iii) various events and community forums will be held across the region to allow Aucklanders to have their views heard and provide feedback

iv) an independent, representative survey will be run separate to the consultation feedback

v) webinar information sessions will be available throughout the consultation period to give the public an opportunity to listen to and ask questions of elected members and/or subject matter experts

vi) post consultation, regional and local briefing reports will be prepared to provide a summary of public feedback received across all channels for decision makers

vii) the council will participate in a joint deliberations meeting with the Tūpuna Maunga Authority on their draft Annual Operational Plan

viii) a summary of the final decisions made will be prepared then made publicly available and widely communicated in July 2021.

b) agree to recommend to the Governing Body to delegate to the following elected members and council officers the responsibility to hear feedback at the Have Your Say events for consultation on the 10-year Recovery Budget 2021-2031:

i) mayor and councillors

ii) local board chairs and local board members

iii) staff approved by the Group Chief Financial Officer.

CARRIED UNANIMOUSLY

Recommendation from Parks, Arts, Community and Events Committee, 10 December 2020 - Proposed exchange of reserve land at Watchfield Close and Mayflower Park - Māngere East and West

Resolution number FIN/2021/9

MOVED by Cr A Filipaina, seconded by Cr C Casey:

That the Finance and Performance Committee:

a) note resolution PAC/2020/77 clause b) from the Parks, Arts, Community and Events Committee meeting held on 10 December 2020 recommending that the Finance and Performance Committee approve the disposal of 101m² of land on Watchfield Close (Lot 36 DP 66356) to Kāinga Ora to complete the land exchange.

b) note resolution PAC/2020/77 clause d) from the Parks, Arts, Community and Events Committee meeting held on 10 December 2020 recommending that the Finance and Performance Committee approve the disposal of 1619m² of land at Mayflower Park (LOT 167 DP 55383) to Kāinga Ora to complete the land exchange.

c) approve the disposal of 101m² of land on Watchfield Close (Lot 36 DP 66356) to Kāinga Ora to complete the land exchange.

d) approve the disposal of 1619m² of land at Mayflower Park (LOT 167 DP 55383) to Kāinga Ora to complete the land exchange.

CARRIED

Summary of Finance and Performance Committee information memoranda and briefings, including the Forward Work Programme - 18 February 2021

Resolution number FIN/2021/10

MOVED by Chairperson D Simpson, seconded by Cr A Dalton:

That the Finance and Performance Committee:

a) receive and review the progress on the 2021 forward work programme as appended in Attachment A of the agenda report.

b) receive and note the 2020 forward work programme as appended in Attachment B of the agenda report.

c) receive the Summary of Finance and Performance Committee information memorandum and briefings as 18 February 2021.

CARRIED

14 Consideration of Extraordinary Items

There was no consideration of extraordinary items.

15 Procedural motion to exclude the public

Resolution number FIN/2021/11

MOVED by Chairperson D Simpson, seconded by Cr C Casey:

That the Finance and Performance Committee:

a) exclude the public from the following part(s) of the proceedings of this meeting.

The general subject of each matter to be considered while the public is excluded, the reason for passing this resolution in relation to each matter, and the specific grounds under section 48(1) of the Local Government Official Information and Meetings Act 1987 for the passing of this resolution follows.

This resolution is made in reliance on section 48(1)(a) of the Local Government Official Information and Meetings Act 1987 and the particular interest or interests protected by section 6 or section 7 of that Act which would be prejudiced by the holding of the whole or relevant part of the proceedings of the meeting in public, as follows:

C1 CONFIDENTIAL: Q Theatre loan and funding

Reason for passing this resolution in relation to each matter

Particular interest(s) protected (where applicable)

Ground(s) under section 48(1) for the passing of this resolution

The public conduct of the part of the meeting would be likely to result in the disclosure of information for which good reason for withholding exists under section 7.

s7(2)(b)(ii) - The withholding of the information is necessary to protect information where the making available of the information would be likely unreasonably to prejudice the commercial position of the person who supplied or who is the subject of the information.

In particular, the report contains information pertaining to the financial position of the organisation, which if released may impact on the credit rating and operational lines of credit used by the organisation in their daily activities and their ability to continue trading successfully.

s48(1)(a)

The public conduct of the part of the meeting would be likely to result in the disclosure of information for which good reason for withholding exists under section 7.

C2 CONFIDENTIAL: Emergency Budget 2020/2021 - Update February 2021

Reason for passing this resolution in relation to each matter

Particular interest(s) protected (where applicable)

Ground(s) under section 48(1) for the passing of this resolution

The public conduct of the part of the meeting would be likely to result in the disclosure of information for which good reason for withholding exists under section 7.

s7(2)(h) - The withholding of the information is necessary to enable the local authority to carry out, without prejudice or disadvantage, commercial activities.

In particular, the report contains financial information which can only be made public following its release to the NZX.

s48(1)(a)

The public conduct of the part of the meeting would be likely to result in the disclosure of information for which good reason for withholding exists under section 7.

The text of these resolutions is made available to the public who are present at the meeting and form part of the minutes of the meeting.

CARRIED

11.33am The public was excluded.

Resolutions in relation to the confidential items are recorded in the confidential section of these minutes and are not publicly available.

12.49pm The public was re-admitted.

restatementS

It was resolved while the public was excluded:

CONFIDENTIAL: Q Theatre loan and funding

Resolution number FIN/2021/12

MOVED by Chairperson D Simpson, seconded by Cr A Filipaina:

a) note that current operational grant funding levels are insufficient to sustain Q Theatre’s operations.

b) note the proposal to redistribute the budget envelope for Q Theatre Trust / Limited, if approved through the Long-term Plan 2021-2031, to increase the operational funding allocation and ensure regular investment in asset maintenance.

c) note that staff, acting under delegation, have administered $487,101 from the 2020/2021 Q Theatre consequential opex budget as follows:

i) payment to Q Theatre for deferred maintenance and system upgrades at Q Theatre ($407,101)

ii) commissioning of investigations to gain asset condition and quantity survey information and develop long-term maintenance plans ($80,000).

d) approve the restructuring of the existing $200,000 community loan to Q Theatre Trust on the following specific terms (additional to the standard general terms):

i) interest rate – 0 per cent per annum while repayments are being made, reverting to 4.5 per cent per annum if repayment defaults are not remedied

ii) repayment instalments to be made monthly

iii) maturity date of the loan shall not exceed the lease duration (2046).

e) retrospectively approve the loan of $300,000 from DLS Investments Limited to Q Theatre Trust / Limited in accordance with the requirements of the community loan agreement.

f) delegate to the Group Chief Financial Officer authority to approve the final terms and conditions of the replacement community loan agreement, which will cover interest charges and repayment obligations.

g) confirm that there will be no restatement of this confidential report.

h) confirm the restatement to the open minutes of the resolutions only.

CONFIDENTIAL: Emergency Budget 2020/2021 - Update February 2021

Resolution number FIN/2021/13

MOVED by Chairperson D Simpson, seconded by Cr S Henderson:

d) confirm that there be no restatement of the report, minutes attachments and resolutions until the reasons for confidentiality no longer exist.

12.49pm The Chairperson thanked Members for their attendance and attention to business and declared the meeting closed.

CONFIRMED AS A TRUE AND CORRECT RECORD AT A MEETING OF THE Finance and Performance Committee HELD ON

DATE:.........................................................................

CHAIRPERSON:.......................................................

Chairperson	Cr Desley Simpson, JP	Physically present
Deputy Chairperson	Cr Shane Henderson	Physically present
Members	Cr Josephine Bartley	Via electronic link
	IMSB Member Renata Blair	Via electronic link From 11.09am, Item 11
	Cr Dr Cathy Casey	Physically present
	Deputy Mayor Cr Bill Cashmore	Physically present
	Cr Fa’anana Efeso Collins	Via electronic link
	Cr Pippa Coom	Physically present From 10.04am, Item 3
	Cr Linda Cooper, JP	Via electronic link
	Cr Angela Dalton	Physically present
	Cr Chris Darby	Via electronic link
	Cr Alf Filipaina	Via electronic link
	Cr Christine Fletcher, QSO	Via electronic link From 10.04am, Item 3
	Mayor Hon Phil Goff, CNZM, JP	Physically present
	Cr Richard Hills	Via electronic link
	Cr Tracy Mulholland	Via electronic link
	Cr Daniel Newman, JP	Physically present
	Cr Greg Sayers	Via electronic link
	Cr Sharon Stewart, QSM	Via electronic link
	IMSB Chair David Taipari	Via electronic link
	Cr Wayne Walker	Via electronic link
	Cr John Watson	Via electronic link
	Cr Paul Young	Via electronic link From 10.30pm, Item 10

Greg Schollum, Deputy	Office of the Auditor General
Athol Graham, Operational Director	Office of the Auditor General