Agenda of Council Controlled Organisation Oversight Committee

Council Controlled Organisation Oversight Committee

22 June 2021

CCO Review: Implementation Programme Update

File No.: CP2021/08108

Te take mō te pūrongo

Purpose of the report

1. To provide an update on the implementation programme for the Council-controlled Organisations (CCO) Review (The Review).

Whakarāpopototanga matua

Executive summary

2. The Review investigated the effectiveness of the council’s CCO model; whether the council has adequate accountability measures and is using them effectively, as well as accountability to Māori and the public; and CCO culture.

3. Implementation of the Review relies on collaborative and focused effort across the council group.

4. There continues to be good progress to implement the recommendations of the Review. Implementation is underway for 44 of the 64 review recommendations.

5. Seven recommendations have not progressed to or beyond scoping at this stage, but all of these will be initiated in the next six months.

Ngā tūtohunga

Recommendation

That the Council Controlled Organisation Oversight Committee:

a) receive the update on the implementation programme for the Council-controlled Organisations Review.

Horopaki

Context

6. The Review’s recommendations should be considered as a package. Many of the recommendations are interrelated. The intent is to improve accountability to the community and the council. Implementation is focused on developing more collaboration, trust and genuine change in behaviour across the council and CCOs to deliver the improvements.

7. Updates on the implementation programme have previously been provided to the committee in November 2020, and in February, March and May 2021.

Tātaritanga me ngā tohutohu

Analysis and advice

8. Implementation is underway for 44 of the review 64 recommendations.

9. Four recommendations are complete. Recommendations currently planned to be completed by June 2021 are the Regional Land Transport Plan (RLTP), a new statement of expectations, governance manual review, improvements to group risk reporting, and a new procurement policy.

Chart 1: Status of Review recommendations

(..) indicates change since May 2021 on work initiated to review the CCO governance manual (rec 29) and align Māori responsiveness plans to the new Kia Ora Tāmaki Makaurau outcomes framework (rec 37)

10. Twelve recommendations have a RAG of Amber and one recommendation has a RAG of Red, due to delays.

Recent progress

11. Recent progress across the themes of the Review is summarised below. Commentary on each recommendation is provided in Attachment A.

Auckland Unlimited

12. Auckland Unlimited had a workshop with the CCO Oversight Committee on 27 April 2021 which sought guidance on the work proposed to advance the joint management of the city’s stadiums and for providing advice to the council on Auckland’s future needs for stadiums and investment required. Auckland Unlimited will discuss the work being undertaken at a confidential workshop with the committee in early July.

Auckland Transport

13. Local boards have provided feedback on the draft RLTP. Following the Planning Committee consideration of the RLTP in June it will be presented to the Auckland Transport board for approval.

14. Council and Auckland Transport staff have had initial discussions to scope a project to delineate bylaw-making powers between the two organisations.

15. Auckland Transport undertook a design sprint to review its project development processes for small projects. Work is progressing to implement the improvements. Planning is underway for a further sprint on Auckland Transport’s engagement with local boards with a collaborative design to be undertaken with Rodney and Puketāpapa local boards.

16. Progress has been made to streamline funding processes. Waka Kotahi is looking at increasing the threshold for Auckland Transport to approve National Land Transport Fund funding for its own projects from the current $5 million threshold to $15 million.

Eke Panuku

17. Eke Panuku is working on providing more detail on its activities, and a stronger link between investments, deliverables and performance targets as it finalises its Statement of Intent.

18. Auckland Council has clarified some internal roles and responsibilities which enable the co-development of a Property Functions Framework. The framework sets out the roles, responsibilities and property management approaches. Alongside the development and finalisation of the framework, the role of Eke Panuku with regard to non-service properties will be considered and addressed.

Watercare

19. As part of work to improve consent timelines between the council, Watercare and Auckland Transport, a forum has been established for senior staff from across the council group to meet and resolve complex consent and engineering issues.

Accountability

20. Strategic direction is being addressed in the council's operating model review with the water strategy, economic development action plan and stadium strategy underway.

21. The statement of expectations (SoE) covers how CCOs interact with council, statutory obligations and other Auckland Council specific expectations. Feedback has been sought from local boards, the Independent Māori Statutory Board and CCO Boards on the draft SoE. The draft SoE was discussed at a workshop with the CCO Oversight Committee on 26 May 2021 and is the subject of a separate report. The CCO governance manual was reviewed alongside the development of the SoE.

22. Visits have been scheduled for the CCO Oversight Committee to meet with each CCO later in 2021, to help build relationships and understanding of each business.

23. The Governing Body approved in May 2021 a policy and protocol for the sharing of confidential information between the council and governing body members as part of the updated elected members code of conduct. It forms the basis of the protocol for CCOs.

24. The primary output of the recommendation to reset how CCOs and local boards engage with one another will be a combined engagement plan across the four CCOs for each local board. A presentation to the May 2021 Chairs’ Forum on progress to date, agreed engagement plan template and the proposed process was well-received. Engagement planning workshops between local boards and CCOs commenced on 26 May, to gain agreement on the level of engagement expected for each project, and to ensure the right range of projects are included in the plan.

25. Engagement plans will identify CCO and local board expectations for public consultation. This practice will contribute to better alignment of CCO consultation activities.

26. The council and CCO chief executives are meeting with the Independent Māori Statutory Board chief executive on a quarterly basis.

Culture

27. Eke Panuku convened a group workshop in April 2021 on the current approach when council and CCOs are working on projects or programmes in a specific geographic area. Potential improvements are better visibility of programmes across the group and processes for escalation and sequencing of activity. Implementation options will be reported to the CCO chief executives group after a further workshop in June.

28. Development of learning modules for council and CCO staff induction on the CCO model is underway with input from across the council group. CCO leads provided guidance and feedback at a workshop in May 2021.

29. CCOs and council staff are currently evaluating the different approaches to complaint handling within the group to determine where consistent approaches should be followed, and sharing best practice reporting. CCOs are also working on a KPI on complaint handling in their statement of intent, where this is not already included.

30. Research and testing to establish the most effective ways of using the pōhutukawa logo across council’s range of brands, services and products have been completed. The brand guidelines will be reported for committee approval in August 2021.

31. The Quality Advice Programme has provided summary collateral to CCOs on ways to embed the Quality Advice Standards and what support the programme can offer. A quality advice workshop was delivered to Eke Panuku staff in May 2021 and a workshop is being scoped for Watercare staff. Of the three CCOs that write reports to council, Auckland Transport and Eke Panuku have confirmed participation in the NZIER review in 2021. Discussions are progressing with Auckland Unlimited on possible involvement in the review.

32. Eke Panuku and Auckland Transport Board reporting approaches now have good alignment with council’s political reporting templates. This provides consistency and ensures key considerations such as climate action and environment, Māori impacts and group impacts are considered in advice.

33. CCO staff provided feedback in May 2021 on the new approach for the elected members survey and will be involved in the development of the survey and primary research.

34. A second workshop on shared services was held with council and CCO senior staff in June 2021. To support the feasibility assessment, milestones over the next four-six weeks were agreed. This included resourcing and initial service areas to analyse.

35. An update of the remuneration policy will be presented for the approval of the governing body by July 2021. Feedback has been provided on the policy by CCO boards.

36. A new group procurement policy will be reported to the Finance and Performance Committee for approval in June 2021.

Tauākī whakaaweawe āhuarangi

Climate impact statement

37. Climate impacts are considered through the implementation of individual recommendations.

Ngā whakaaweawe me ngā tirohanga a te rōpū Kaunihera

Council group impacts and views

38. The council group is working collectively to implement the recommendations of the Review.

Ngā whakaaweawe ā-rohe me ngā tirohanga a te poari ā-rohe

Local impacts and local board views

39. Local impacts and local board views are considered when implementing individual recommendations. Local boards have recently provided feedback on the proposed RLTP 2021-2031 and the draft SoE.

40. CCOs are working with local boards to implement recommendations to improve local board engagement, implementation of local projects and community consultation (see recommendations 34, 6, 53).

Tauākī whakaaweawe Māori

Māori impact statement

41. The Review made seven recommendations to improve the use of mechanisms to ensure CCOs meet their obligation to Māori at governance, senior management and staff levels. With the completion of the Kia Ora Tāmaki Makaurau Māori Outcomes Performance Management framework, the focus is currently on providing guidance for CCOs to update their Māori responsiveness plans and better coordinate engagement with Māori entities. Ngā Mātārae have been convening staff from council, CCOs and the Independent Māori Statutory Board secretariat to progress the recommendations.

42. Watercare has completed a Māori outcomes plan aligned to the new outcomes framework and Eke Panuku has also commenced work on alignment to the new outcomes framework.

43. The council/CCO chief executives group has initiated a quarterly meeting with the Independent Māori Statutory Board chief executive focused on Māori outcomes. The first of these hui was on 27 May 2021. The chief executives will provide oversight of the implementation of Review recommendations on obligations to Māori (recommendations 35-40, 52). The hui also directly addressed recommendation 39 of the review which was for CCOs to engage directly and at a more senior level with the Board to work on joint initiatives that benefit Māori.

Ngā ritenga ā-pūtea

Financial implications

44. There are no additional costs from the committee receiving this report on the implementation programme for the Review.

Ngā raru tūpono me ngā whakamaurutanga

Risks and mitigations

45. The most significant risks have been recorded as lack of budget, resources and organisational buy-in. Strong executive commitment and effective collaboration between the council and CCOs will mitigate these main risks associated with the implementation programme.

46. Individual recommendations also have specific risk management approaches.

Ngā koringa ā-muri

Next steps

47. CCOs report on their contribution to implementing the Review in their quarterly reporting to the CCO Oversight Committee.

48. Monthly updates on the Review programme will be provided to the CCO Oversight Committee.

Ngā tāpirihanga

Attachments

No.	Title	Page
a ⇩	CCO Review Implementation - progress by recommendation June 2021	15

Ngā kaihaina

Signatories

Author	Trudi Fava - CCO Programme Lead
Authoriser	Alastair Cameron - Manager - CCO Governance & External Partnerships

Council Controlled Organisation Oversight Committee

22 June 2021

Minor amendment to the Community Education Trust Auckland (COMET) Deed of Charitable Trust

File No.: CP2021/07182

Te take mō te pūrongo

Purpose of the report

1. To approve a minor amendment to the Community Education Trust Auckland (COMET) Deed of Charitable Trust to allow a trustee to serve an additional term (greater than six years) in special circumstances.

Whakarāpopototanga matua

Executive summary

2. Community Education Trust Auckland (COMET) promotes educational outcomes in Auckland, with a focus on areas of greatest need. COMET is a non-substantive CCO which was originally set up under Manukau City Council. Following amalgamation, it was renamed COMET Auckland and its remit was expanded from Manukau to all of Auckland. The current Deed of Charitable Trust was signed in June 2012 and limits trustee appointments to a maximum of six years.

3. COMET are reviewing their governance model and consider their current Chair is best placed to lead this work. Therefore the COMET board have requested a minor amendment to their Deed of Charitable Trust to allow a trustee to serve more than six years in special circumstances, so the current Chair can continue this work.

4. The proposed amendment is consistent with council’s Appointment and Remuneration Policy for Board Members of Council Organisations

Ngā tūtohunga

Recommendation/s

That the Council Controlled Organisation Oversight Committee:

a) approve an amendment to the Community Education Trust Auckland (COMET) Deed of Charitable Trust to allow a trustee to serve an addition term, in special circumstances and if agreed by the COMET Trustees and the Council

b) delegate to the Director of Governance and CCO Partnerships the authority to execute the amendment to the Deed of Charitable Trust to give effect to a) above

c) note that the Appointments and Performance Review Committee agreed to reappointment Ginnie Denny as Chair of COMET (15 June 2021), conditional on the amendment to the Deed of Charitable Trust being approved by this committee.

Horopaki

Context

5. COMET is a non-substantive CCO and is the successor to the City of Manukau Education Trust. COMET’s purpose is to undertake actions, programmes and initiatives that support and promote education and improve educational outcomes for persons living in Auckland, with a special focus on the areas of greatest education need. This contributes to social and economic outcomes in the Auckland Plan.

6. The current Deed of Charitable Trust (trust deed) was signed in June 2012. The trust deed enables a minimum of seven board members and a maximum of 12 in number. COMET currently has nine board members, including the current Chair. The trust deed specifically limits the term of board appointments to a maximum of six consecutive years.

7. The COMET Board is currently considering the most appropriate governance model for their organisation, specifically a governance model that reflects Te Tiriti o Waitangi. Developing the future governance model will require time for the board to consult with relevant stakeholders. Council will be consulted on any proposed changes to COMET’s governance model and, if necessary, the approval of this committee will be sought.

8. The COMET Board believe that the current Chair (Ginnie Denny) is best positioned to lead work on COMET’s governance model, however she has already served two terms (six years) on the COMET Board.

9. The COMET Board wishes to amend their trust deed, in order to allow their current Chair to serve another term of up to three years. Council are the settlor of the trust deed and amendments can only be made with the approval of this committee.

10. The Appointments and Performance Review Committee have agreed to reappointment Ginnie Denny as Chair of COMET on the 15 June 2021, conditional to the amendment of their trust deed being approved by this committee.

Tātaritanga me ngā tohutohu

Analysis and advice

11. The proposed change to the COMET trust deed would keep the requirement for trustees to serve a maximum of six years, however this would not apply if COMET trustees pass a special resolution (unanimously) demonstrating that there are special circumstances warranting that the trustee should have one or more additional terms. Council would then have the power to decide whether or not to reappoint the relevant trustee and would be able to specify any special conditions or terms of the reappointment.

12. Council makes appointments to CCOs in accordance with the Appointment and Remuneration Policy for Board Members of Council Organisations. This policy encourages regular rotation of board members but allows that, for non-substantive CCOs, tenure longer than six years will be considered on a case-by-case basis. This recognises that directors of non-substantive CCOs often have valuable institutional knowledge and there may be a limited pool of suitable candidates for these unpaid positions. The policy allows for a maximum tenure for board members of nine years.

13. The proposed amendment to the trust deed is compatible with council’s appointment and remuneration policy. The proposed amendment will allow greater flexibility for trustees to serve a term longer than six years, if agreed by both parties. It is council’s expectation that the COMET board will also develop a chair succession plan for the future.

14. A review of Auckland Council’s non-substantive CCOs, including COMET, is planned in the 2021/2022 financial year. The review is intended to consider the most effective governance arrangements for each organisation. Staff will work with COMET to see if there is any overlap with COMET’s review of their governance arrangements.

Tauākī whakaaweawe āhuarangi

Climate impact statement

15. The proposed amendment to the COMET trust deed will not have any climate impacts.

Ngā whakaaweawe me ngā tirohanga a te rōpū Kaunihera

Council group impacts and views

16. COMET is a non-substantive CCO. There are no impacts on the wider council group from the proposed change to the COMET trust deed.

Ngā whakaaweawe ā-rohe me ngā tirohanga a te poari ā-rohe

Local impacts and local board views

17. This is minor amendment to the COMET trust deed, therefore local board views have not been sought. There are no local impacts created by the proposed change to the trust deed.

Tauākī whakaaweawe Māori

Māori impact statement

18. There are no Māori impacts from the proposed change to the COMET trust deed. However, one of the purposes of the change to the trust deed is to allow the Chair to remain in place to consider COMET’s governance structure, and specifically Māori representation.

Ngā ritenga ā-pūtea

Financial implications

19. There are no significant financial implications from the proposed change to the trust deed. If the change does not proceed, COMET may need to appoint another board member to replace the current Chair.

Ngā raru tūpono me ngā whakamaurutanga

Risks and mitigations

20. There are no significant risks from the proposed change to the trust deed. If the change does not proceed, then the COMET board will need to consider a new Chair and further work would be required to identify candidates for replacement. This would create a minor risk of a gap in knowledge for the board.

Ngā koringa ā-muri

Next steps

21. If the proposed change to the trust deed is approved, this will be executed and the current COMET Chair will be reappointed for a final three-year term.

Ngā tāpirihanga

Attachments

There are no attachments for this report.

Ngā kaihaina

Signatories

Author	Rachel Wilson - Principal Advisor
Authoriser	Alastair Cameron - Manager - CCO Governance & External Partnerships

Council Controlled Organisation Oversight Committee

22 June 2021

Approval of Statement of Expectations for substantive Council-controlled Organisations

File No.: CP2021/03381

Te take mō te pūrongo

Purpose of the report

1. To approve the draft Statement of Expectations for Council-controlled organisations and agree that the CCO Governance Manual is no longer required.

2. This implements recommendations 22 and 29 of the CCO Review.

Whakarāpopototanga matua

Executive summary

3. The Local Government Act 2002 (the Act) allows for Council to issue a ‘Statement of Expectations’ to its Council-controlled Organisations (CCOs). This is a new power inserted into the Act in late 2019.

4. The 2020 CCO Review recommended that Council prepare a Statement of Expectations (SOE), to be part of the suite of accountability tools through which Auckland Council provides direction to its substantive CCOs. A Statement of Expectations will provide guidance on how CCOs should undertake their business, as compared to the Accountability Policy contained in the Long-term Plan, which focusses at a high-level on what CCOs must do. As it will not be part of the Long-term Plan and therefore not subject to the special consultative procedure, it can be refined over time by further committee decisions.

5. Attached to this report is a draft of the Statement of Expectations for approval (Attachment A). It is organised to reflect the wording of section 64B of the Local Government Act, and is in three parts:

· conduct of relationships

· shareholder obligations with which CCOs must act consistently

· other expectations.

6. This first version of the SOE is intended to reflect existing and established practice. Its content is from three main sources.

7. The first is the 2018-2028 version of the Accountability Policy. Some elements have transferred from that document into the SOE. Therefore, there is some urgency for the SOE to be confirmed around the same time as the Long-term Plan so that those expectations on CCOs remain in place.

8. The second source is existing group policies which have been approved by the Governing Body.

9. The third source is the CCO Governance Manual. Once the SOE and new Accountability Policy are both approved, the CCO Governance Manual will not be needed.

10. The CCO Review contained a number of recommendations which are currently being worked on, which will affect how CCOs work within the governance system and with local boards. It is anticipated that the SOE will be revised to take account of these changes.

11. The draft Statement of Expectations has been considered by local boards and boards of CCOs, and a workshop was held with governing body members on 26 May 2021. Feedback from these has been incorporated into the wording of the SOE.

Ngā tūtohunga

Recommendation/s

That the Council Controlled Organisation Oversight Committee:

a) approve the draft Statement of Expectations for substantive Council-controlled Organisations set out in Attachment A of the agenda report

b) agree that the Council-controlled Organisations Governance Manual is no longer required, as relevant material from this Manual will now be in the Statement of Expectations

c) note that a revised Statement of Expectations will be brought for approval once the Council-controlled Organisations Review implementation programme is complete in mid-2022

d) delegate to the Manager, CCO Governance and External Partnerships, the ability to make amendments to the draft Statement of Expectations set out in Attachment A of the agenda report to reflect feedback from the Committee, and minor grammatical and formatting changes as appropriate.

Horopaki

Context

12. In August 2020, the Governing Body received the report of the independent CCO Review. Among the recommendations, the review panel recommended that Council use section 64B of Local Government Act 2002 (inserted in 2019 to the Act), which allows local authorities to issue a Statement of Expectations to its CCOs. The provision states:

64B Statement of expectations

(1) The shareholders in a council-controlled organisation may prepare a statement of expectations that—

(a) specifies how the organisation is to conduct its relationships with—

(i) shareholding local authorities; and

(ii) the communities of those local authorities, including any specified stakeholders within those communities; and

(iii) iwi, hapū, and other Māori organisations; and

(b) requires the organisation to act consistently with—

(i) the statutory obligations of the shareholding local authorities; and

(ii) the shareholders’ obligations pursuant to agreements with third parties (including with iwi, hapū, or other Māori organisations).

(2) A statement of expectations may include other shareholder expectations, such as expectations in relation to community engagement and collaboration with shareholders and others in the delivery of services.

13. Staff sought input from Department of Internal Affairs on the intention underlying the provision. We were encouraged to take it at face value.

14. There are few examples around New Zealand of its use. Tasman District Council and Tauranga City Council have both issued what they call a “Statement of Expectations” to their CCOs. In both cases, the resulting document is more like what Auckland Council would call a letter of expectations. In other words, they contain shareholder expectations of activities to be undertaken by a CCO in the coming year and included in the annual Statement of Intent.

Tātaritanga me ngā tohutohu

Analysis and advice

15. When developing the draft SOE, staff considered the wider accountability framework. The diagram below shows how these things fit together.

16. As the diagram indicates, the CCO Accountability Policy contained within the Long-term Plan focusses at a high level on what CCOs must do. This gives practical effect to all the various Council strategies, because CCOs must “give effect to” Council’s 10-year budget (which outlines Auckland Council’s funding priorities to deliver on the Auckland Plan). From the Long-term Plan the CCOs then derive their Statement of Intent – the annual document which outlines the key strategic intents and activities which they will focus on for the upcoming three years (with a focus on the immediate year ahead).

17. By contrast, the Statement of Expectations specifies how CCOs should undertake their business and relationships: with Council, communities and other stakeholders.

18. The Accountability Policy and SOE are not a hierarchy of documents. They serve different purposes, and the requirement to “give effect to” what is in the Long-term Plan does not naturally apply to expectations that are about behaviour rather than delivering on budgeted programmes and outcomes.

General approach to the SOE

19. This first version of the SOE was modelled on a similar document in central government, the Owner’s Expectations Manual prepared by the New Zealand Treasury, which is designed for state owned enterprises and crown entities. Using this Manual as a basis was recommended by the CCO Review Panel in 2020, which contrasted Treasury’s document (about 30 pages of substantive content for the wide variety of crown entity types) with Council’s CCO Governance Manual (150 pages for four substantive CCOs).

20. Also following the crown model, the SOE is for all CCOs, with specific references to individual CCOs only being made where required. An example of this is in relation to Auckland Transport’s statutory roles with bylaws and the Regional Land Transport Plan.

21. The draft SOE has been written to closely follow the structure of the legislation. That way it is easy for elected members, IMSB, the public, the CCOs and other interested parties to see how the legislative provision has been implemented by Auckland Council.

22. Its content is intended largely to collate existing expectations and policies, rather than introduce new ones at this time. As different strategies and practices develop, and particularly as the CCO Review recommendations are implemented, we expect that revisions to the SOE will be brought to councillors for approval.

23. Finally, the SOE is not intended to provide specific protocols of action for CCOs (such as – ‘if x occurs, talk to this staff member’), or to provide templates (such as for value for money outcomes/assessment, or for statements of intent).

Structure of the draft SOE

24. As noted above, the draft SOE is arranged to closely match the legislative provisions in section 64B. There are three key sections, which relate to:

· conduct of relationships (subsection 1(a))

· shareholder obligations with which CCOs must act consistently (subsection 1(b))

· other expectations (subsection 2).

25. The first section focusses on how CCOs should interact with Council, and what a CCO’s role is. It outlines expectations for how this should happen, and covers things such as good governance, maintaining a public service ethos and providing services efficiently. The SOE provides a significant early section which reinforces the shared governance model operated by Auckland Council, with a key point here being the need to treat local boards not as stakeholders but an equal partner in that governance system, particularly when local boards have a decision-making role.

26. The second section deals with statutory obligations with which CCOs must act consistently. The first part of it simply restates obligations on Council, which the CCOs will already be well aware of. The second part relates to third parties with which Council has obligations, particularly those imposed by legislation. While CCOs should be aware of those obligations which affect their areas of business, they should actively seek clarification if it is not clear whether an obligation applies in a specific instance.

27. The final section deals with issues of a more specific nature to Auckland Council. In particular, this includes some of the issues which have arisen in the last few years and during the CCO Review: executive remuneration, balancing public good and commercial goals, managing risk, hauora.

Sources of content for the SOE

28. The draft Statement of Expectations for approval by the Committee contains material from three key sources, which are discussed below:

· the 2018-2028 version of the Accountability Policy

· approved group policies

· the CCO Governance Manual.

The SOE also reflects some elements of the 2020 CCO Review, such as ensuring there is an emphasis on Council’s strategy setting role.

29. As part of the Long-term Plan, the Accountability Policy for Substantive CCOs was revised to remove a number of the behavioural “common expectations” which previously were included there and put this content instead in the SOE. This makes clear the different functions of the Accountability Policy (the what) and the Statement of Expectations (the how). An example of this material is the section on operating as a group. Because some of the common expectations of CCOs are now not in the new 2021-2031 Accountability Policy, it is important that the Statement of Expectations is also signed off. That way, all previous expectations of CCOs will continue to be in effect, and the two accountability tools will be aligned.

30. It is worth noting that because of this alignment, the SOE may appear somewhat ‘light’ in some crucial areas, such as Māori outcomes or climate change. This is for two reasons. First, many of the most important expectations are outcomes-based, and that means the most appropriate place for this material is the Accountability Policy, and the policy has specific sections on both of these topics. Second, work is still ongoing on how to implement CCO Review recommendations in respect of relationships with Māori. Future revisions of the SOE will likely be significantly stronger in these areas.

31. The draft SOE also contains references to a number of Council group policies, though the whole of these policies have not been included within the SOE itself.

CCO Governance Manual

32. Many aspects of the draft SOE originated in the CCO Governance Manual. This document was first approved by Council in 2014 (COU/2014/75, resolution a) iii)), and collated a very wide range of material about how the arms’ length relationship between Council and its CCOs should work together. It included general statements about building a partnership relationship (rather than a transactional one), principles for operating such as ‘no surprises’, copies of various group policies, the Statement of Intent template, the CCO Appointment Policy, protocols for which staff members to contact with issues (including their actual names), and even items such as the director conflict of interest declaration forms. It stretches to over 150 pages. Its contents page is at Attachment B.

33. The CCO Review panel observed: “we consider its length to be part of its problem and probably accounts for why so few of those we talked to have read it. One CCO Chief Executive said…. “it gets thicker and I haven’t read it once.” Recommendation 29 of the Review stated that Council should rewrite the manual and remove group policies to a separate document.

34. A thorough analysis of the Manual has been undertaken and staff recommend that it is no longer required, as the most important material in the Manual is now contained in the draft SOE. The text of group policies can in future be provided as links in the online Governance Manual (this is the overall guide to Auckland Council governance, wider than just CCOs). Council-approved templates for things such as the Statement of Intent will simply be provided to the CCOs by staff.

Ongoing CCO Review implementation and future revisions to the SOE

35. The CCO Review itself has provided some elements of content for the draft SOE. For example, the Review emphasised the need for Council to have the capability and capacity to deliver on its strategy and direction role. It also commented on how Council needed to be clear about the public good role of CCOs, its expectations of senior CCO executive remuneration, and job descriptions for these staff. This is reflected in the draft.

36. The CCO Review Implementation programme will continue throughout 2021 and into 2022. Regular updates on this programme are being provided to CCO Oversight Committee. As different recommendations are implemented, the Statement of Expectations itself can be revised to reflect those new ways of working. They include:

· AT and the involvement of local boards in minor works and the design of AT’s annual work programme (recommendation 6)

· Update and clarification of no surprises policy (recommendation 31)

· CCO and Local Board engagement reset (recommendation 34)

· CCOs and engagement with IMSB, mana whenua and mataawaka engagement (recommendation 35, but also 36-40 relating to the Māori outcomes framework, Māori responsiveness plans and other matters)

· Council and CCOs having common values and expectations of staff and management (recommendation 44).

37. Some of these recommendations are quite significant, and staff propose that a revised Statement of Expectations be brought to committee for approval once the CCO Review Implementation programme is largely complete in mid-2022. In particular, the ‘no surprises’ policy may be one that is significant enough to warrant its own appendix to the SOE. The various recommendations in respect of engagement with Māori are also critical, because without ensuring engagement processes are appropriate, there is little prospect that Māori outcomes can be successfully delivered.

38. Recommendation 44, while focused at the management and staff level, speaks to the broader issue of the culture within the Council group. Depending on the outcome of work on this recommendation, a future iteration of the SOE could reflect this group perspective in both its content and tone (while recognising the framework of Council as shareholder).

Workshop held on 26 May 2021

39. A workshop with the committee was held on 26 May 2021. The draft SOE for approval incorporates new elements which respond to the feedback provided at the workshop. This includes:

· Paragraph 7-10 have been enhanced to more accurately describe roles in the arms’ length entity / CCO system, and Council’s responsibilities

· Paragraph 15 includes specific reference to the particular role of ward councillors as both regional and local representatives

· Paragraph 53 reinforces the role of Te Tāruke-ā-Tāwhiri as a policy-making tool

· Paragraphs 59 and 60 are new, reflecting feedback about the need for a stronger statement about balancing public good and commercial goals

· Paragraphs 69-71 are new and make reference to the importance of hauora in council group organisations.

Tauākī whakaaweawe āhuarangi

Climate impact statement

40. The key expectations of CCOs in respect of climate change are contained in the Accountability Policy (1.1.5) and not the Statement of Expectations. This reflects the complementary nature of the two documents, with the Accountability Policy focussing on at a high-level what Council expects of CCOs.

41. However, paragraph 53 of the SOE makes clear that Te Tāruke-ā-Tāwhiri should be built into policy and strategy processes, so that climate change forms a key lens on decision-making.

Ngā whakaaweawe me ngā tirohanga a te rōpū Kaunihera

Council group impacts and views

42. Council staff have worked closely with colleagues in the CCOs to develop the SOE. Drafts of the SOE have been provided to meetings of the CCO Chief Executives forum on two occasions. A draft of the SOE was considered for feedback by CCO Boards at their business meetings in late April 2021.

43. This process has been highly constructive on the part of the CCOs. The overriding feedback from CCOs was to ensure that the SOE adequately reflected that it was not just Council’s expectations of CCOs, but that Council has critical responsibilities itself, particularly in being clear about its strategies, and ensuring it has adequate capacity and capability to work with the CCOs. Other more specific feedback was included also. For example, Auckland Transport and Watercare requested that their independent roles be recognised.

44. It is important to recognise that the SOE is only one part of a system whereby Council and the CCOs collaborate to achieve outcomes for Auckland. While Council is the shareholder, CCOs have significant expertise which is critical in delivering the specialist functions for which they were established. Ensuring this system works effectively is not only reliant on having clear frameworks for operation, but working hard to maintain constructive relationships at staff, executive and governance levels. Good progress has been made on this since the CCO Review, but as staff work through CCO Review implementation, recommendations such as that on ‘no surprises’ may lend themselves to wider consideration about how they deliver healthy and productive relationships, as much as dictating rules and protocols for action.

Ngā whakaaweawe ā-rohe me ngā tirohanga a te poari ā-rohe

Local impacts and local board views

45. The intention of this first iteration of the SOE is to reinforce the shared governance model of Auckland Council. In particular, this accords local boards with the critical role as representatives of local communities in the region, particularly when they have the decision-making role over an issue.

46. A report on the draft Statement of Expectations was submitted to each local board for their April business meetings, along with the then current draft of the SOE. While the local boards were generally supportive of the concept of the SOE, some of the key feedback from local boards was as follows:

· the need for council to provide clearer strategic direction to CCOs

· CCOs are not sufficiently responsive to local boards concerns about projects in their respective geographical areas

· a concern that the SOE is too high level and does not provide enough detail of exactly what processes CCOs must undertake

· the wording does not sufficiently recognise local boards as decision-makers and governors, but rather as a stakeholder or another party to consult

· that Te Tāruke-ā-Tāwhiri be recognized as a lens on all council policy work

· that CCOs should develop plans to support local board governance and work programmes

· request that a more collaborative development process for the SOE is developed before the initial SOE is signed off, so that local boards are provided a more meaningful opportunity to engage

· request that letters of expectations be reinstated.

47. A number of changes have been made as a result of this feedback, particularly in respect of strategies and Te Tāruke-ā-Tāwhiri.

48. As noted earlier, there is ongoing work as part of the CCO Review Implementation which is designed to reset the relationships between CCOs and local boards (including the specific recommendation about Auckland Transport and local boards). This will be reflected in a future revision of the SOE, once that work is complete.

49. Staff consider however that the draft SOE accurately reflects the shared governance model of Auckland Council. Local boards are clearly recognized as having a governance role when the issues being considered are ones for which local boards are the decision-makers. Where they are not the decision-maker, there is still an expectation that they will be involved, but not in a governance capacity.

50. The situation is similar with the development of this draft SOE. As noted, a draft has been provided to each of the local boards for consideration, but ultimately it is for the governing body through the CCO Oversight Committee to approve the Statement of Expectations. Delaying the signoff in favour of a “more collaborative process” would also result in the SOE not being signed off until much later in 2021, meaning that key expectations on CCOs would no longer be endorsed in an official council document. It is more appropriate to approve this version of the SOE, accept that it requires further revision to reflect ongoing work, and provide additional opportunities for collaborative development when the SOE is revised.

51. Finally, we reiterate that there is a deliberate move away from providing protocols for behaviour that the CCOs must adhere to, in favour of a clear and short statement of principles. While the SOE is likely to grow in length somewhat once the CCO Review is complete, it is important to ensure it remains a concise statement of council’s expectations, unlike the current CCO Governance Manual.

Tauākī whakaaweawe Māori

Māori impact statement

52. The key expectations of CCOs in respect of Māori outcomes are contained in the Accountability Policy (1.1.1) and not the Statement of Expectations. This reflects the complementary nature of the two documents, with the Accountability Policy focussing on at a high-level what Council expects of CCOs.

53. Nonetheless, as the Kia Ora Tāmaki Makaurau framework is refined and approved, we anticipate that additional detail from that framework will be added to the SOE in this area, to reflect Council’s expectations of CCO engagement with Māori.

54. Furthermore, as noted earlier, recommendations 35-40 of the CCO Review are still progressing. Once these are complete, the SOE can be revised to reflect the outcomes of that work. At that point, the SOE will represent a more comprehensive statement of council’s expectations of the CCOs in respect of engagement with Māori.

Ngā ritenga ā-pūtea

Financial implications

55. The Statement of Expectations reflects existing expectations arising from the shared governance of Auckland Council and the CCO model. It does not add new policy. It therefore has no financial implications at this time.

Ngā raru tūpono me ngā whakamaurutanga

Risks and mitigations

56. The key risk is that the Statement of Expectations is not approved by this Committee. Given that some expectations have been taken out of the Accountability Policy and placed in the Statement of Expectations, and that the two documents are intended to work in a complementary fashion, it is important that they are both signed off together.

57. This risk has been mitigated by seeking early feedback from local boards, CCO Boards, and in May holding a workshop with the CCO Oversight Committee. The draft attached to this report responds to feedback provided in those forums.

Ngā koringa ā-muri

Next steps

58. Once approved, the Statement of Expectations will be finalised and formatted. Feedback provided by this Committee will be incorporated by the CCO Governance team.

59. The legislation requires that a Statement of Expectations be published on the Council website. This will be arranged at the earliest opportunity.

60. It may be useful to hold an event recognising the approval of the Statement of Expectations and its endorsement by the CCOs. Staff will look for an opportunity for this to occur in the near future.

61. We expect that the SOE will be revised to take account of the implementation of the CCO Review, when that is complete in mid-2022.

Ngā tāpirihanga

Attachments

No.	Title	Page
a ⇩	Draft Statement of Expectations	39
b ⇩	2019 CCO Governance Manual contents page	51

Ngā kaihaina

Signatories

Author	Edward Siddle - Principal Advisor
Authoriser	Alastair Cameron - Manager - CCO Governance & External Partnerships

No.	Title	Page
a ⇩	Forward Work Programme	57
b ⇨	Statement of Expectations - Workshop Minutes and Presentation (Under Separate Cover)

Council Controlled Organisation Oversight Committee

22 June 2021

Kōmiti Aromātai Whakahaere Kaupapa Kei Raro I Te Maru O te Kaunihera / CCO Oversight Committee
Forward Work Programme 2021

This committee deals with the performance monitoring of CCOs and other entities in which the council has an equity interest. The committee are to have a general overview and insight into the strategy, direction and priorities of all CCOs, set policy relating to CCO governance and approve the CCO statements of intent.

The full terms of reference can be found here: Terms of Reference - Agreed 12 November 2019

Area of work and Lead Department	Reason for work	Committee role (decision and/or direction)	Expected timeframes Highlight the month(s) this is expected to come to committee in 2021
Area of work and Lead Department	Reason for work	Committee role (decision and/or direction)	Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec
CCO Review Updates CCO Governance and External Partnerships	As per the CCO Review: Terms of Reference, agreed by the Governing Body in November 2019 (Resolution number: GB/2019/127), an independent review panel conducted a review of Auckland Council’s Substantive Council-Controlled Organisations. The recommendations from the CCO Review report were received by the Governing Body on 27 August 2020 (Resolution number: GB/2020/89). It was agreed that that the implementation team report on the programme and proposed approach timing to the CCO Oversight Committee within three months, and that progress reports on the programme implementation were to be provided to the CCO Oversight Committee every six months.	To receive updates on the implementation and progression of the 64 summary recommendations of the CCO Review Progress to date: A programme update was received in February 2020 The CCO Review was received by the Governing Body on 27 August 2020. An update by way of memorandum was provided in November 2020. An update was received in February 2021. An update by way of memorandum was provided in March 2021. An update was received in May 2021.
Auckland Council Branding Guidelines CCO Governance and External Partnerships	The recommendations from the CCO Review report were received by the Governing Body on 27 August 2020 (Resolution number: GB/2020/89). Two of the recommendations in the CCO Review report were: - (Rec 57) The council updates its brand guidelines to ensure the pōhutakawa logo is used in a clear, consistent and flexible way on all council-funded services, activities and facilities, including when used alongside CCO operational brands. - (Rec 58) The council monitors CCOs’ compliance with its brand guidelines.	Decision: to approve new Auckland Council branding guidelines. Progress to date: A workshop was held in February 2021. A report will be provided in August 2021.
Quarterly, Half-Year and Annual Reports CCO Governance and External Partnerships	Under the LGA and LGACA the council must regularly undertake performance monitoring of the CCO to evaluate its contribution to meeting its objectives, and the desired results identified in the SOI.	Receive quarterly reports, receive and adopt half yearly and annual reports. The CCOs will present to the CCO Oversight committee twice a year on their performance. Progress to date: First quarter reports were received for substantive council-controlled organisations in December 2019, and December 2020. Second quarter reports received for substantive council-controlled organisations in March 2020. Third quarter reports were scheduled for June 2020; however this meeting was cancelled due to COVID-19. Fourth quarter reports were received for substantive council-controlled organisations September 2020. Second quarter reports for substantive council-controlled organisations were received in March 2021. The Ports of Auckland Limited Interim Report for the six months ending 31 December 2020 were received in March 2021. Third quarter reports for substantive council-controlled organisations and POAL was received in May 2021. Fourth quarter reports for substantive council-controlled organisations and POAL will be received in September 2021.
Liaison Councillor Updates CCO Governance and External Partnerships	Mayor Phil Goff has appointed a list of six CCO liaison councillors to attend the board meetings of the CCOs allocated to them, and report back to this committee.	To receive updates from the CCO Liaison Councillors. Progress to date: Principals and draft protocols for the liaison councillor role were agreed in February 2020 Updates were provided in September, October and November 2020. Updates were provided in September, October and November 2020. Updates were provided in May 2021. The next update will be received in June 2021.
Ports of Auckland - Statement of Intent CCO Governance and External Partnerships	Under legislation Ports of Auckland Limited must deliver annually a statement of intent not later than 1 month after the commencement of each financial year.	Seeking committee approval of final 2021/24 Ports of Auckland Limited Statement of Corporate intent in August.
Final SOIs CCO Governance and External Partnerships	Under legislation CCOs must deliver annually a final statement of intent to its shareholders by 30 June 2021.	Seeking committee approval of final 2020/24 Statements of Intent from its substantive and non-substantive CCOs. Progress to date: On 24 November 2020, the committee agreed to extend the SOI timeline by one month (resolution number: CCO/2020/27). A report will be provided in August 2021.
Statement of Expectation CCO Governance and External Partnerships	The recommendations from the CCO Review report were received by the Governing Body on 27 August 2020 (Resolution number: GB/2020/89). One of the recommendations (number 22) was that the council prepares a statement of expectation setting out its expectations of each CCO and of CCOs generally.	Provide feedback on the statement of expectations content and process. Progress to date: Workshop held 26 May 2021 Report to Committee in June.
Stadiums Strategy CCO Governance and External Partnerships	A workshop was requested following Auckland Unlimited’s presentation of its strategic work programme on 27 April 2021.	To receive information on Auckland Unlimited’s ‘what’s best for Auckland’ position on stadium investment and business case for a single stadium operator as well as advice on options to move forward. Workshop 7 July 2021
Economic Development Action Plan CCO Governance and External Partnerships	As per the CCO Review: Terms of Reference, agreed by the Governing Body in November 2019 (Resolution number: GB/2019/127), an independent review panel conducted a review of Auckland Council’s Substantive Council-Controlled Organisations. The recommendations from the CCO Review report were received by the Governing Body on 27 August 2020 (Resolution number: GB/2020/89). Recommendation number 20 stated that the Council establishes a team to draw up detailed, implementable strategies that give CCOs more strategic direction on economic development.	A report will be provided in August 2021.
City Rail Link Limited (CRLL) – end of year results CCO Governance and External Partnerships	CRLL has been established to govern and manage the delivery of the City Rail Link CRL), as part of an agreement between the Crown and Auckland Council to jointly fund the project. The company has the full governance, operational and financial responsibility for the CRL, with clear delivery targets and performance expectations.	CRLL reports quarterly as part of the group report to the Finance and Performance Committee. CRLL will present to the CCO Oversight Committee to discuss performance and end of year results. Results will be presented in workshops in October 2021.
Haumaru Housing – End of year results CCO Governance and External Partnerships	Haumaru Housing is a new joint venture established by Auckland Council and The Selwyn Foundation. This will ensure the long-term provision of affordable housing services for older people in Auckland.	Haumaru Housing will report to CCO Oversight Committee once a year to discuss performance and end of year results. Results will be presented in a workshop in October 2021.
Tamaki Regeneration Company (TRC) - End of year results CCO Governance and External Partnerships	TRC is a Crown entity that is jointly owned by the government and Auckland Council. TRC is leading urban regeneration activity in Tāmaki to achieve four strategic objectives; social transformation, economic development, placemaking and housing resource.	TRC will report to CCO Oversight Committee once a year to discuss performance and end of year results. Results will be presented in a workshop in October 2021.
Letters of Expectation CCO Governance and External Partnerships	Council issues an annual letter of expectations to each of its substantive CCOs to inform the development of the CCOs’ Statements of Intent.	Seeking committee approval of the content of draft 2021/2022 letters of expectation. A report will be provided in December 2021.

Completed

Lead Department	Area of work	Committee Role (decision and/or direction)	Decision
Draft SOIs CCO Governance and External Partnerships	Under legislation CCOs must prepare an annual statement of intent and provide a draft to its shareholders by 1 March 2021. As shareholder council can provide comments on the drafts to CCOs.	To approve proposed shareholder comments on substantive and non-substantive CCO draft 2021/2024 Statements of Intent.	The draft statements of corporate intent were received by the CCO Oversight Committee on 21 May 2021. The committee noted the recommended comments of the draft SOIs for the four substantive and three non-substantive CCOs. It was noted that the feedback at this stage of the SOI process is focused on alignment with strategic issues, the LTP process, performance measures, statutory requirements and any other council priorities which have not been adequately addressed in the draft statements of intent. The committee agreed that the Mayor and Chair of the CCO Oversight Committee will prepare letters to be sent to the four substantive and three non-substantive CCOs containing the shareholder comments. The content of the letters is to be based on the feedback in the report. Authority was delegated to the Manager, CCO Governance and External Partnerships to finalise the shareholder feedback on the draft SOIs for Manukau Beautification Charitable Trust, Contemporary Art Foundation and Community Education Trust Auckland. (Resolution number CCO/2021/18)
Te Puru Community Charitable Trust Organisation – extension of exemption CCO Governance and External Partnerships	Extending Te Puru Community Charitable Trust’s exemption from the requirements of the Local Government Act 2002 under Section 7, Exempt Organisations, to 2024. The exemption means that Te Puru does not need to prepare a Statement of Intent (SOI) or report semi-annually to the Governing Body.	To approve Te Puru’s extension to the exemption from council-controlled organisation requirements under the Local Government Act 2002.	The extension of the Trust’s exemption was approved by the Council Controlled Organisation Oversight Committee on 23 February 2021. (Resolution number CCO/2021/5)
Ports of Auckland statement of corporate intent CCO Governance and External Partnerships.	Under the Port Companies Act, the council provides feedback to Ports of Auckland Limited (POAL) on its statement of corporate intent.	To consider POAL’s final statement of corporate intent.	The draft statement of corporate intent was received by the Governing Body on 27 August 2020. The Council Controlled Organisation Oversight Committee approved POAL’s final statement of corporate intent. (Resolution number CCO/2020/33)
Auckland Unlimited Final SOI CCO Governance and External Partnerships	As agreed at Governing Body on 27/08/2020, the Oversight committee are to approve a Statement of Intent for the merged entity (resulting from the amalgamation of RFA and ATEED) covering the period 1 December 2020 to 30 June 2021. (Resolution number: GB/2020/90) This included the consolidation of the current performance measurement framework and budgets for ATEED and RFAL.	To approve a statement of intent for the new merged entity, Auckland Unlimited, resulting from the amalgamation covering the period 1 December 2020 to 30 June 2021.	The Council Controlled Organisation Oversight Committee approved a statement of intent for the new merged entity, Auckland Unlimited, resulting out of the amalgamation covering the period 1 December 2020 to 30 June 2021. (Resolution number CCO/2020/27)
CCO AGM Resolutions CCO Governance and External Partnerships	Under the Companies Act 1993, the CCOs and other relevant entities must hold an annual meeting of their shareholders. Section 122(1) of the Companies Act and the constitutions also allow the company to forgo holding such a meeting if all the business required to be conducted at the meeting is done by written resolution.	To delegate the authority to Auckland Council’s chief executive to act as Auckland Council’s shareholder representative to execute a written resolution in lieu of an annual meeting.	Authority delegated to council’s chief executive to act as council’s shareholder representation to the substantive council-controlled organisations and also Tāmaki Regeneration Company and City Rail Link Limited and sign written resolutions (Resolution number CCO/2019/3)
Letters of Expectation CCO Governance and External Partnerships	Council issues annually a letter of expectations to each of its substantive CCOs to inform the development of the CCOs’ Statements of Intent.	Seeking committee approval of the content of draft 2020/21 letters of expectation.	The Council Controlled Organisation Oversight Committee approved the proposed content for inclusion in the 2020/21 letters of expectation to substantive council-controlled organisations. The committee also delegated authority to the Mayor to finalise and issue the 2020/21 letters of expectation to substantive council-controlled organisations based on the resolutions of this committee. (Resolution number CCO/2019/2)
Draft SOIs CCO Governance and External Partnerships	Under legislation CCOs must prepare an annual statement of intent and provide a draft to its shareholders by 1 March. As shareholder council can provide comments on the drafts to CCOs.	Seeking committee approval of proposed shareholder comments on substantive and non-substantive CCO draft 2020/21 Statements of Intent.	The recommended comments on the draft SOIs (2020/2023) for the five substantive and three non-substantive CCOs were noted by the Governing Body, and it was agreed that the feedback focussed on the matters raised in the letters of expectation, statutory requirements, and any other council strategies which have not been adequately addressed in the draft statements of intent. Governing Body agreed that the Mayor and the Chair of the CCO Oversight Committee will prepare letters containing the shareholder comments to be sent to all of the relevant CCOs and that the content of these letters be based on the feedback contained in this report with any deletions or additions based on feedback at the meeting. Governing Body also agreed that staff will record any feedback at the meeting that relates to performance or operational issues and ensure it is raised with the relevant CCOs. Authority was delegated to the manager, CCO Governance and External Partnerships to finalise the shareholder feedback on the draft statements of intent for Manukau Beautification Charitable Trust, Contemporary Art Foundation and Community Education Trust Auckland. (Resolution Number GB/2020/62)
Final SOIs CCO Governance and External Partnerships.	Under legislation CCOs must deliver annually a final statement of intent to its shareholders by 30 June.	Seeking committee approval of final 2020/21 Statements of Intent from its substantive and non-substantive CCOs.	The Council Controlled Organisation Oversight Committee approved the 2020-2023 statements of intent at the September 2020 meeting, for: Auckland Transport, Auckland Tourism, Events and Economic Development Limited, Panuku Development, Auckland Limited and Regional Facilities Auckland; and Community Education Trust Auckland, Manukau Beautification Charitable Trust and Contemporary Art Foundation. The committee approved the 2020-2023 statement of intent for Watercare Services Limited, subject to the requested modifications. (Resolution number CCO/2020/10)
Haumaru Housing – End of year results CCO Governance and External Partnerships	Haumaru Housing is a new joint venture established by Auckland Council and The Selwyn Foundation. This will ensure the long-term provision of affordable housing services for older people in Auckland.	Haumaru Housing will report to CCO Oversight Committee once a year to discuss performance and end of year results.	Results were presented to the CCO Oversight Committee in a workshop in October 2020.
City Rail Link Limited (CRLL) – end of year results CCO Governance and External Partnerships.	CRLL has been established to govern and manage the delivery of the City Rail Link CRL), as part of an agreement between the Crown and Auckland Council to jointly fund the project. The company has the full governance, operational and financial responsibility for the CRL, with clear delivery targets and performance expectations.	CRLL reports quarterly as part of the group report to the Finance and Performance Committee. CRLL will present to the CCO Oversight Committee twice a year to discuss performance and end of year results.	CRLL presented to Governing Body at a workshop on 19 August 2020. CRLL attended the Committee meeting in October 2020 for a discussion on end of year results. Results were presented to the CCO Oversight Committee in a workshop in October 2020.
Tamaki Regeneration Company (TRC) - End of year results CCO Governance and External Partnerships	TRC is a Crown entity that is jointly owned by the government and Auckland Council. TRC is leading urban regeneration activity in Tāmaki to achieve four strategic objectives; social transformation, economic development, placemaking and housing resource.	TRC will report to CCO Oversight Committee once a year to discuss performance and end of year results.	Results were presented to the CCO Oversight Committee in a workshop in October 2020.
Merged Entity – new name	Following decisions at the Governing Body on 27 August 2020, the CCO Oversight committee are to approve a new name for the merged entity (resulting from the amalgamation of RFAL and ATEED) covering the period 1 December 2020 to 30 June 2021. (Resolution number: GB/2020/90)	To approve the new name for the merged entity resulting from the amalgamation of RFAL and ATEED.	The new name for the merged entity was approved by the CCO Oversight Committee in October 2020 (Resolution number CCO/2020/17)
Legacy CCO Review CCO Governance and External Partnerships.	Auckland Council’s nine legacy CCOs have been operating in the same model since amalgamation, and it is timely to review their status as CCOs.	To agree a set of criteria that will guide a review of Auckland Council’s legacy CCOs and the sequence of their review.	Criteria approved at the CCO Oversight Committee meeting in October 2020. (Resolution number CCO/2020/21)
CCO ‘Scan the Horizon’ Workshops CCO Governance and External Partnerships	The Te Pae Tāwhiti: Scanning the Horizon workshops have been designed to ensure that the Governing Body and CCO Board members have the opportunity to meet to better understand each other's roles, priorities and ways of working. The focus is on discussing the medium to long term opportunities and challenges. At the CCO Oversight Committee workshop on 27 November 2019, a list of issues that the elected members would like to discuss with the CCOs was created. Staff will work through this list and develop a workshop schedule, which will be presented to the committee for approval in the February meeting.	The topics and sequencing of these workshops is being developed and will be agreed early in 2020. Future of these workshops being considered as part of CCO Review.	Workshops were held as follows – ATEED - February 2020 Auckland Transport - March 2020 Watercare - July 2020 (Governing Body workshop)
Highbrook Park Trust - Review of Trust Deed and Management Contract CCO Governance and External Partnerships	To review the arrangements for the Highbrook Park Trust’s maintenance of a park on the Waiouru Peninsula	Decision: To disestablish the trust	CCO Oversight Committee resolved to disestablish the trust and send a letter of thanks (Resolution number CCO/2021/19)

Chairperson	Deputy Mayor Cr Bill Cashmore
Deputy Chairperson	Cr Angela Dalton
Members	Cr Josephine Bartley	Cr Richard Hills
	Cr Dr Cathy Casey	Cr Tracy Mulholland
	Cr Fa’anana Efeso Collins	Cr Daniel Newman, JP
	Cr Pippa Coom	Cr Greg Sayers
	Cr Linda Cooper, JP	Cr Desley Simpson, JP
	Cr Chris Darby	Cr Sharon Stewart, QSM
	Cr Alf Filipaina	IMSB Chair David Taipari
	Cr Christine Fletcher, QSO	Cr Wayne Walker
	Mayor Hon Phil Goff, CNZM, JP	Cr John Watson
	IMSB Member Hon Tau Henare	Cr Paul Young
	Cr Shane Henderson

Date	Subject
18/5/2021	Confidential report from 18 May 2021 Audit and Risk Committee: C1 CONFIDENTIAL: Council-controlled organisations' quarterly risk update - May 2021. Open resolution number AUD/2021/33

Date	Workshop
26/5/2021	Statement of Expectations

Author	Duncan Glasgow - Kaitohutohu Mana Whakahaere / Governance Advisor
Authoriser	Alastair Cameron - Manager - CCO Governance & External Partnerships