I hereby give notice that an ordinary meeting of the Waitematā Local Board will be held on:

 

Date:

Time:

Venue:

 

Tuesday, 10 May 2022

4.30pm

This will be a hybrid meeting held at this link over Microsoft Teams, and at limited capacity in the Waitematā Local Board Office at 52 Swanson Street under strict Covid-19 guidelines.

 

Waitematā Local Board

 

OPEN AGENDA

 

 

 

 

MEMBERSHIP

 

Chairperson

Richard Northey, (ONZM)

 

Deputy Chairperson

Alexandra Bonham

 

Members

Glenda Fryer

 

 

Graeme Gunthorp

 

 

Kerrin Leoni

 

 

Julie Sandilands

 

 

(Quorum 4 members)

 

 

 

Gabriel Ford

Democracy Advisor

 

4 May 2022

 

Contact Telephone: (09) 353 9654

Email: Gabriel.ford@aucklandcouncil.govt.nz

Website: www.aucklandcouncil.govt.nz

 

 


 


Waitematā Local Board

10 May 2022

 

 

ITEM   TABLE OF CONTENTS            PAGE

1          Welcome                                                                                   5

2          Apologies                                                                                 5

3          Declaration of Interest                                          5

4          Confirmation of Minutes                                                         5

5          Leave of Absence                                                                    5

6          Acknowledgements                                              5

7          Petitions                                                                 5

8          Deputations                                                           5

9          Public Forum                                                                            5

10        Extraordinary Business                                       5

11        Waitematā Local Board consultation feedback and input into the Annual Budget 2022/2023    7

12        Endorsing Business Improvement District (BID) target rate grants for 2022/2023              25

13        Consideration of Extraordinary Items

 


1          Welcome

 

Chair Northey will open the meeting with a karakia.

 

 

2          Apologies

 

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

 

 

3          Declaration of Interest

 

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

 

 

4          Confirmation of Minutes

 

That the Waitematā Local Board:

a)          confirm the minutes of its ordinary meeting, held on Tuesday, 12 April 2022, as a true and correct record.

 

 

 

5          Leave of Absence

 

At the close of the agenda no requests for leave of absence had been received.

 

 

6          Acknowledgements

 

At the close of the agenda no requests for acknowledgements had been received.

 

 

7          Petitions

 

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

 

 

8          Deputations

 

Standing Order 7.7 provides for deputations. Those applying for deputations are required to give seven working days notice of subject matter and applications are approved by the Chairperson of the Waitematā Local Board. This means that details relating to deputations can be included in the published agenda. Total speaking time per deputation is ten minutes or as resolved by the meeting.

 

At the close of the agenda no requests for deputations had been received.

 


 

9          Public Forum

 

A period of time (approximately 30 minutes) is set aside for members of the public to address the meeting on matters within its delegated authority. A maximum of 3 minutes per item is allowed, following which there may be questions from members.

 

At the close of the agenda no requests for public forum had been received.

 

 

10        Extraordinary Business

 

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

 

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

 

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

 

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

 

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

 

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

 

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

 

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

 

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

 

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

 

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

 

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


Waitematā Local Board

10 May 2022

 

 

Waitematā Local Board consultation feedback and input into the Annual Budget 2022/2023

File No.: CP2022/05281

 

  

 

Te take mō te pūrongo

Purpose of the report

1.       To receive consultation feedback from the Waitematā Local Board area on:

·    proposed priorities and activities for the Waitematā Local Board Agreement 2022/2023 

·    regional topics for the Annual Budget 2022/2023.

2.       To recommend any local matters to the Governing Body for their consideration in the Annual Budget 2022/2023 process.

3.       To provide input on the proposed regional topics in the Annual Budget 2022/2023.

Whakarāpopototanga matua

Executive summary

4.       Local board agreements set out annual funding priorities, activities, budgets, levels of service, performance measures and initiatives for each local board area. Local board agreements for 2022/2023 will be included in the council’s Annual Budget 2022/2023.

5.       Auckland Council publicly consulted from 28 February to 28 March 2022 to seek community views on the proposed Annual Budget 2022/2023. This included consultation on the Waitematā Local Board’s proposed priorities for 2022/2023 to be included in the local board agreement.

6.       Auckland Council received 11,500 pieces of feedback in total across the region and 659 submissions specific to the Waitematā Local Board area.

7.       A summary of feedback from Waitematā submissions is provided below.

·    60% of Waitematā submissions support all or some of the local board’s priorities

·    74% of Waitematā submissions support the proposed climate action targeted rate

·    43% of Waitematā submissions support the budget package

·    40% of Waitematā submissions support the operational spending prioritisation

·    57% of Waitematā submissions support a move to a region-wide rates funded refuse collection service

·    Top themes from comments include support for urgently acting to address climate change, support for better active and public transport, support for finding alternative savings than selling assets, and support for completing Ponsonby Park.

8.       In the Annual Budget process there are financial matters where local boards provide recommendations to the Governing Body, for consideration or decision-making. This includes:  

·    any new/amended business improvement district targeted rates

·    any new/amended local targeted rate proposals 

·    proposed locally driven initiative capital projects outside local boards’ decision-making responsibility

·    release of local board specific reserve funds

·    any local board advocacy initiatives.

9.       The Governing Body will consider these items as part of the Annual Budget decision-making process in June 2022.

10.     Local boards have a statutory responsibility to provide input into regional strategies, policies, plans, and bylaws. This report provides an opportunity for the local board to provide input on the council’s proposed Annual Budget 2022/2023.

Ngā tūtohunga

Recommendation/s

That the Waitematā Local Board:

a)      receive consultation feedback on the proposed Waitematā Local Board priorities and activities for 2022/2023

b)      receive Waitematā Local Board consultation feedback on regional topics in the Annual Budget 2022/2023 from people and organisations

c)       provide input on regional topics in the proposed Annual Budget 2022/2023 to the Governing Body

d)      provide its advocacy initiatives for the Annual Budget 2022/2023 to the Governing Body.

Horopaki

Context

Local board agreements

11.     Each financial year Auckland Council must have a local board agreement for each local board area. As such Waitematā Local Board needs an agreement with the Governing Body.

12.     This local board agreement sets out how the council will reflect the priorities in the Waitematā Local Board Plan 2020 in respect of the local activities to be provided in the Waitematā Local Board area. It also includes information relating to budgets, levels of service, and performance measures. 

13.     The local board agreements 2022/2023 will form part of the Auckland Council’s Annual Budget 2022/2023.

14.     Auckland Council publicly consulted from 28 February to 28 March 2022 to seek community views on the proposed Annual Budget 2022/2023, as well as local board priorities and proposed activities to be included in the local board agreement 2022/2023.

15.     Due to the impacts of the ongoing COVID-19 global pandemic, significant pressure has been placed upon the council’s financial position. This has created significant flow on effects for the council’s proposed Annual Budget 2022/2023.

Tātaritanga me ngā tohutohu

Analysis and advice

16.     This report includes analysis of consultation feedback, any local matters to be recommended to the Governing Body and seeks input on regional topics in the proposed Annual Budget 2022/2023.

Consultation feedback overview 

17.     As part of the public consultation Auckland Council used a variety of methods and channels to reach and engage a broad cross section of Aucklanders to gain their feedback and input into regional and local topics.    


 

18.     In total, the council received 11,550 pieces of feedback in the consultation period. This feedback was received through:

·      written feedback – 9,464 online or hard copy forms, emails or letters

·      in person – 2,086 pieces of feedback through online Have Your Say events, or independently managed phone interviews. All events (except one which did not have any attendees) were moved to an online platform or cancelled due to the red Covid-19 traffic light setting.

19.     659 submissions were received on Waitematā Local Board’s priorities for 2022/2023. 602 of these 659 submissions reported living in the Waitemata Local Board area. 

20.     Written feedback on regional topics were received from the following mana whenua iwi:

·    Ngāti Te Ata

·    Ngāti Whātua Ōrākei

·    Ngaati Whanaunga

 

·    Makaurau Marae Māori Trust - Te Ahiwaru

·    Te Rūnanga o Ngāti Whātua

·    Ngāti Tamaterā Settlement Trust

·    Te Kawerau Iwi Tiaki Trust

·    Ngāti Pāoa Iwi Trust Board

21.     Although none of these iwi groups referenced the Waitematā Local Board specifically, they are considered regional stakeholders. Their answers to the region-wide questions are summarised in Attachment A.

 

Information on Waitematā Local Board submitters

22.     The tables and graphs below indicate the demographic categories people identified. This information relates to the 659 submissions received on Waitematā Local Board priorities.

 

Ethnicity

Total

Pākehā/NZ European

410 (62%)

None given

52 (8%)

Other European

40 (6%)

Chinese

31 (5%)

Pākehā/NZ European, Māori

21 (3%)

Indian

13 (2%)

Other Ethnicity

12 (2%)

Pākehā/NZ European, Other European

10 (2%)

Southeast Asian

9 (1%)

Latin American

6 (1%)

Māori

6 (1%)

Pākehā/NZ European, Chinese

6 (1%)

Samoan

5 (1%)

Five or less includes “Other Asian”, “Korean”, “Middle Eastern”, “Other Pasifika”, “Cook Islands Māori” and “Tongan”

 

 

 

23.     The Waitematā Local Board also received submissions from the following organisations:

·    Urban Auckland

·    Academy Cinemas

·    Heart of the City

·    Bike Auckland

·    Sport Auckland

·    Wynyard Quarter Transport Management Association INC

·    Auckland City Centre Residents' Group

·    Western Bays' Community Group

·    Sustainable Business Network

·    Westmere Physiotherapy Clinic

·    The Community-Led Design Group for Ponsonby Park

·    Parnell Business Association

·    Newmarket Business Association

·    St Mary's Bay Association

·    Summerset Group Holdings Limited

24.     A summary of submissions from organisations is provided in Attachment B.

25.     A copy of the Waitematā Local Board submissions was provided to members for review at the 26 April 2022 workshop. All submissions will be uploaded and made available to the public on the Auckland Council website as soon as possible. 

 

Feedback received on the Waitematā Local Board’s priorities for 2022/2023

26.     The Waitematā Local Board consulted on the following priorities and initiatives:

·    Priority 1: Addressing Climate change and protect our natural environment

o    planting trees to ensure we have an urban ngāhere (forest)

o    walking, cycling and placemaking projects

o    continuing work to restore our streams

o    providing advice and making it easier to reduce emissions and waste.

·    Priority 2: Māori outcomes

o    explore opportunities to support Māori initiatives and businesses

o    enhance staff resources to support the delivery of Māori outcomes.

·    Priority 3: Local parks – improve and activate

o    the results from the diversity review of our parks will be informing our planning

o    deliver improvements to Heard Park, Point Erin Park and support community gardens.

·    Priority 4: Continue to support response to homelessness

o    support community groups and initiatives in this space.

·    Priority 5: Community Facilities

o    detailed design for the Leys Institute restoration

o    activating Myers Park and Albert Park cottages.

27.    

Local board priorities (n=659) Most submitters (60 per cent) supported all priorities or most priorities as shown in the below chart.

 

28.     Consultation feedback on local board priorities will be considered by the local board when approving their local board agreement on 21 June 2022. Local board key advocacy initiatives are to be considered in the current report.

Comment themes on priorities

29.     Themes of note across the submission comments included:

•     Not supportive of targeted spending on Māori (37) – there are many different ethnic groups why focus on one, too much emphasis, divisive, discriminatory, suggest to “partner” instead 

•     Support transportation spending (33) – repaving footpaths, street trees, bike and bus lanes, bike parking, upgrading Hobson and Nelson Street, train to the airport, reducing car traffic, cycle lanes for Ponsonby Road   

•     Support environmental outcomes (30) – plant and protect native trees, more green spaces and urban parks, reduce air pollution, provide community gardens, stop cutting down trees

•     Support priorities (28) – align with what is important to the community, improves people lives, good mix, ensuring a better future, positive

•     Support addressing climate change (19) – build resilience, accelerate faster, should be greatest focus, urgent, impacts everyone, needs more concrete outcomes

•     Support addressing homelessness (18) – practical, provide more support and facilities, look after our vulnerable, support mental health

•     Concerns about affordability (15) – do not take on new projects, exorbitant, do not increase rates, unnecessary spending, defer until expenses under control, be more fiscally conservative 

•     Ponsonby Park (13) – needs progress, eyesore, will have community benefits, should continue to show support

•     Anti-social behaviour (10) – central city is dangerous, Hobson and Nelson Street unsafe, theft along Grafton Street, cars with loudspeakers driving at night, enhance security 

•     Leys Institute (8) – fix, should be funded privately, get on with it, support seismic strengthening

•     Support targeted spending on Māori (8) – should be central to all decision-making, cannot make the best version of New Zealand without

•     Not council business (6) – homelessness, Māori outcomes and climate change are central government issues

•     General dissatisfaction with council (5) – disconnect, community not heard

•     Not supportive of climate change (3) – will achieve nothing

•     Do not support local parks (3) – do not need improving, area better off than others, Heard Park fine as is

•     Other (22) – more heritage and arts, invest in Parnell Baths, fund Rose Road Pedestrian Plaza, not enough Chinese community engagement, need to mention accessibility for disabled community, need more influence over Auckland Transport, prioritise business growth, need proper stormwater management, need new hospital

Overview of feedback received on regional topics in the Annual Budget 2022/2023 from the Waitematā Local Board area

30.     The proposed Annual Budget 2022/2023 sets out Auckland Council’s priorities and how to pay for them. Consultation on the proposed Annual Budget asked submitters to respond to four key questions on:

1.   Climate

2.   Budget Pressures

3.   Operating Spending Prioritisation

4.   Waste Service Standardisation.

31.     The submissions received from the Waitematā 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.

Key Question One: Climate

32.     Aucklanders were asked about a proposed climate action package which will be funded by a targeted rate. The climate action package includes investments in low-carbon public transport, active walking, cycling networks, and urban ngahere (forest) canopy cover.

33.     This is proposed to be funded through $574 million from a targeted rate over the next 10 years with additional funding from government co-funding.

34.    

The graph below gives an overview of the responses from the Waitematā Local Board area.

Key themes on Question One

35.     Key themes of note across the feedback received included:

Question one (climate) comments – 485 submitters left comments

•     Support climate package (169) – climate change is an emergency, act now, most important issue, protect future generations, our responsibility, necessary, good thing to do

•     Support better active/public transport (130) – reduce emissions, mode shift, increase footpaths/cycleways, support electric, cleaner air, ease congestion, harbour crossing for non-vehicles

•     Need to do more (106) – more tree cover, subsidies for renewables, act faster, be more ambitious, invest now save later

•     Unaffordable (35) – already paying too much, suffering from covid-impacts, businesses suffering, high cost of living

•     Find other revenue/savings (19) – cut staff and salary, this is rates rise by stealth

•     General dissatisfaction with council (16) – low trust, incompetent, lack of faith on how the money will be spent

•     Will have little effect on climate change (16), not a council issue (12), stop investing in active/public transport (11)

Key Question Two: Budget Pressures

36.     Aucklanders were asked about a range of levers proposed to manage on-going budget pressures. Council is forecasting a budget shortfall of $85 million for 2022/2023 compared to what was budgeted for in the 10-year Budget 2021-2031. This is due to on-going impacts of COVID-19 on revenue and growing inflationary pressure.

37.     A range of levers are proposed to manage the budget pressures including:

·    using the Government’s Better Off support package funding

·    changing the timing of some capital spending

·    implementing cost reductions in the form of efficiency savings and a potential reduction in some services

·    keeping the previously agreed general rates increase of 3.5 per cent for 2022/2023

·    continuing work on the sale or long-term lease of non-strategic assets as required.

38.    

The graphs below give an overview of the responses from the Waitematā Local Board area.

Key themes on Question Two

39.     Key themes of note across the feedback received included:

Question two comments – 247 submitters left comments

•     Find other revenue/savings (61) – reduce payroll, reduce staff, tax the rich, cut unnecessary spending, wasting money, council is inefficient

•     Do not support sale of assets (40) – Depends on which assets, can’t get them back once sold, short term fix with long term damage, don’t sell green space

•     Support budget levers (35) – sensible, reasonable, practical

•     Only invest in core/essential services (30) – not time to focus on “nice to haves” like cycle lanes

•     Financial hardship (23) – covid and inflation impacts, businesses struggling

•     Rates are too high (19)

•     General dissatisfaction with council (18) – inefficient, corrupt, bloated

•     Support sale of assets (9) – should also consider the sale of the port and airport shares

•     Do not support (9) – now is not the time to reduce services

 

40.     Since consultation, further reduction in revenue caused by the COVID-19 omicron outbreak and rising interest and inflation costs has compounded budget pressures.

41.     Local board chairs attended a Finance and Performance Committee workshop outlining the increased pressures in April 2022 and a briefing was held for all local board members.

 

Key Question Three: Operating Spending Prioritisation

42.     Aucklanders were asked to provide feedback on a proposal that would see council prioritise operating spending to help manage on-going budget pressures. A set of criteria to be used when making decisions about cost reductions, including those that could reduce, stop or change some services, was proposed.

43.     The proposal involves implementing $15 million of additional permanent cost reductions in the form of efficiency saving and low-priority service reductions across the group in 2023/2024, growing to $30 million per annum from 2024/2025 onwards.

44.    

The graphs below give an overview of the responses from the Waitematā Local Board area.

Key themes on Question Three

45.     Key themes of note across the feedback received included:

Question three comments – 180 submitters left comments

•     Don’t know (33) – too general and vague, incomprehensible, what are the specifics, not clear

•     Prioritise/keep services (30) – especially anything climate related

•     Find other revenue/savings (30) – reduce staff salary, increase rates, sell carparks, targeted rate on luxuries

•     Support prioritisation (30) – sensible, prioritising is important, don’t blow the budget  

•     Only invest in core/essential services (21) – like libraries and rubbish, not climate

•     General dissatisfaction with council (10)

•     Do not support (8)

•     Don’t prioritise/cut services (8) – cycle lanes are nice to haves

•     Financial hardship (5) – businesses hurting

 

Key Question Four: Waste Service Standardisation

46.     Aucklanders were asked about a proposal to standardise waste services and charges across Auckland. The proposal would involve a move to a region-wide rates funded refuse collection service and see a choice of three bin sizes (with different pricing for each) to accommodate different household needs.

47.     Auckland Council are also proposing to include standardising which properties can opt-out of waste management services and charges across Auckland.

48.     The graphs below give an overview of the responses from the Waitematā Local Board area.

 

 

 

 

 

 

 

 

 

 

 

 

 


Key themes

 


 

Key themes on Question Four

49.     Key themes of note across the feedback received included:

Question four comments – 280 submitters left comments

•     Rates-funded more environmentally friendly (40) – bins are reusable, PAYT system creates fly tipping/ illegal dumping

•     PAYT promotes waste minimisation (35) – Pay As You Throw Scheme encourages responsibility for own waste, incentivises to have lower waste, can make one bin last 3+ weeks

•     Rates-funded promotes waste minimisation (30) – limits users to a bin size, pay more if you have more rubbish, no more wasteful tags, more council control over waste produced

•     Rates-funded fairer (33) – standardisation is more consistent, efficient, and fair

•     PAYT fairer (19) – especially for those with minimal waste

•     Food waste collection (45) – three bins is too much, will increase vermin, great for apartments without private composting, as long as can opt out, support not sending food waste to landfills

•     Don’t want rates to increase as a result (10)

 

Question Six: other feedback

50.     Aucklanders were asked what is important to them and if they had any feedback on any other issues.

Question six comments – 202 submitters left comments

•     Better transport (29) – low traffic neighbourhoods, roads and foot paths need urgent care, poor road signage, closing downtown parking garage a mistake, more cycling and walkway infrastructure needed, make Khyber Pass and Domain more pedestrian friendly, we have enough roads, cycle path over Harbour Bridge, rural roads degrading, free public transport, more free parking in Parnell, improve walkability of central city, more services for those without cars      

•     Ponsonby Park (27) – start Stage Two now

•     Rates (20) – increase at rate as house prices, raise by 10%, do not increase, do not move to a region-wide rates system, keep as low as possible, wait for any increases until economy is better, property rates are an inequitable way of funding local government

•     Climate change action (18) – low emissions buses, disincentivise use of private cars, more electric car charging points 

•     Fiscal responsibility (17) – wages not keeping up, council should not be adding to cost of living pressures, stop wasting money, lower staff salary, spending out of control

•     Action on waste management (14) – more options for green waste, need underground bins, clean sewage to ocean, more recycling bins, encourage schemes that promote zero waste, more options for inorganic waste collection in the central city

•     Governance concerns (13) – opposed to local boards having more decision-making and funding power, too many local boards, Auckland Council needs more oversight over Auckland Transport, local boards should have more power

•     Anti-social behaviour (11) – becoming increasingly more unsafe, especially in the central city and Queen Street

•     Trees (8) – need more urban trees, stop cutting down trees, street planting is vital

•     Distrust of Auckland Transport (7) – poorly managed, poor use of funding, dysfunctional, ignore community input, not enforcing parking laws

•     Tūpuna Maunga Authority (7) – should not be allowed to cut down all exotic trees, should be allowed to be autonomous in their planting for their own land

•     Better parks (4) – improve and activate, cleaner greener Auckland, make improvements to Chamberlain Park

•     Not council business (2) – climate change not council business, too many priorities

•     Other - Address the rats, be predator free, Erebus is totally wrong, ban e-scooters, access to community noticeboard key, restore Hauraki Gulf Marine Park, more consultation transparency needed

 

Recommendations on local matters 

51.     This report allows the local board to recommend local matters to the Governing Body for consideration as part of the Annual Budget process in June 2022. This includes:

·    proposed locally driven initiative capital projects outside local boards’ decision-making responsibility

·    release of local board specific reserve funds

·    local advocacy initiatives.

Funding for Locally Driven Initiatives (LDI)

52.     Local boards are allocated funding for locally driven initiatives (LDI) annually to spend on local projects or programmes that are important to their communities. Local boards have decision-making over the LDI funds but need approval from the Governing Body where:

·    operational LDI funding is to be converted into capital LDI funding.

·    the release of local board specific reserve funds is requested, which are being held by the council for a specific purpose.

·    a LDI capital project exceeds $1 million.

53.     These conditions do not apply to the Waitematā Local Board for the 2022/2023 financial year.

Local board advocacy

54.     Local boards are requested to provide approved advocacy initiatives which consider the consultation feedback. This allows the Finance and Performance Committee to consider these advocacy items when making recommendations on the Annual Budget 2022/2023 to the Governing Body in June 2022.

55.     The advocacy initiatives approved by the local board will be included as an appendix to the 2022/2023 Local Board Agreement.

 

Local board input on regional topics in the Annual Budget 2022-2023

56.     Local boards have a statutory responsibility for identifying and communicating the interests and preferences of the people in its local board area in relation to Auckland Council’s strategies, policies, plans, and bylaws, and any proposed changes to be made to them. This report provides an opportunity for the local board to provide input on the council’s proposed Annual Budget 2022/2023.

 

 

Tauākī whakaaweawe āhuarangi

Climate impact statement

57.     The decisions recommended in this report are part of the Annual Budget 2022/2023 and local board agreement process to approve funding and expenditure over the next year.

58.     Projects allocated funding through this Annual Budget process will all have varying levels of potential climate impact associated with them. The climate impacts of projects Auckland Council chooses to progress are all assessed carefully as part of council’s rigorous reporting requirements.

Ngā whakaaweawe me ngā tirohanga a te rōpū Kaunihera

Council group impacts and views

59.     The Annual Budget 2022/2023 is an Auckland Council Group document and will include budgets at a consolidated group level. Consultation items and 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

60.     The local board’s decisions and feedback are being sought in this report. The local board has a statutory role in providing its feedback on regional plans.

61.     Local boards play an important role in the development of the council’s Annual Budget. Local board agreements form part of the Annual Budget. Local board nominees have also attended Finance and Performance Committee workshops on the Annual Budget.

Tauākī whakaaweawe Māori

Māori impact statement

62.     Many local board decisions are of importance to and impact on Māori. The Waitematā Local Board Plan 2020 lists as its first outcome that Māori are empowered, and their culture is visible. Local board agreements and the Annual Budget are important tools that enable and can demonstrate the council’s responsiveness to Māori.

63.     Ongoing conversations between the Waitematā Local Board and Māori will assist to understand each other’s priorities and issues. This in turn can influence and encourage Māori participation in the council’s decision-making processes. There is a need to continue to build relationships between local boards and iwi, and the wider Māori community.

64.     Analysis provided of consultation feedback received on the proposed Annual Budget includes submissions made by mana whenua and the wider Māori community who have interests in the rohe / local board area. 

65.     Some projects approved for funding could have discernible impacts on Māori. The potential impacts on Māori, as part of any project progressed by Auckland Council, will be assessed appropriately and accordingly as part of relevant reporting requirements.

Ngā ritenga ā-pūtea

Financial implications

66.     This report is seeking the local board’s decisions on financial matters in the local board agreement that must then be considered by the Governing Body.

67.     The local board also provides input to regional plans and proposals. There is information in the council’s consultation material for each plan or proposal with the financial implications of each option outlined for consideration.

Ngā raru tūpono me ngā whakamaurutanga

Risks and mitigations

68.     The council must adopt its Annual Budget, which includes local board agreements, by 30 June 2022. The local board is required to make recommendations on these local matters for the Annual Budget by mid May 2022 and present to the Finance and Performance Committee on 25 May, to enable and support the Governing Body to make decisions on key items to be included in the Annual Budget on 7 June 2022.

Ngā koringa ā-muri

Next steps

69.     The local board will approve its Local Board Agreement and corresponding work programmes in June 2022.

70.     Recommendations and feedback from the local board will be provided to the Finance and Performance committee for consideration ahead of that committee making recommendations to the Governing Body for decision.

71.     The final Annual Budget 2022/2023 (including local board agreements) will be adopted by the Governing Body on 29 June 2022.

 

Ngā tāpirihanga

Attachments

No.

Title

Page

a

Mana whenua submission summary

21

b

Organisation submission summary

23

      

Ngā kaihaina

Signatories

Authors

Maclean Grindell - Senior Local Board Advisor

Authorisers

Trina Thompson - Local Area Manager

 

 


Waitematā Local Board

10 May 2022

 

 

Attachment A

Mana whenua feedback summary from the Annual Budget 2022/2023 consultation

 

Ngāti Te Ata

 

·    Supports water quality initiatives

 

v No specific reference to Waitematā Local Board Area

 

Ngāti Whātua Ōrākei

 

·    Supports climate action targeted rate

·    Supports use of targeted rate funding towards delivery of active mode infrastructure

·    Seeks clarity on reduction of embedded carbon to prevent 'emissions shifting'

·    Commends urban ngahere strategy but seeks further protection for existing canopy cover particularly as endangered by new urban development

·    Supports waste targeted rate but wants more holistic action on waste minimization including a zero-waste policy commitment

·    Seeks changes to management structure of Tūpuna Maunga Authority to ensure tribal history and existing ecological relationships for mana whenua are acknowledged and reflected in decision making

 

v No specific reference to Waitematā Local Board Area

 

Makaurau Marae Māori Trust - Te Ahiwaru

 

·    Do not support Climate Action Targeted Rate

·    Partial support for managing budget pressures

·    Support prioritising operational expenditure

·    Support standardising waste management

 

v No specific reference to Waitematā Local Board Area

 

 Ngāti Tamaterā Settlement Trust 

 

·    Supportive in-principle of climate action targeted rate

·    Concerned sea level rise is endangering way of life

·    Seeks co-designed solutions on climate change action

·    Supports proposed budget pressure response levers

·    Supports criteria for prioritising operational expenditure

·    Support in-principle all priorities for the 21 local boards

·    Support in principle of waste management standardization but concerned that rubbish could end up in waterways if the proposed bin designs do not meet the needs of mana whenua; larger families should have larger bins, community gardens with composting should be encouraged where possible

·    Considers all local board relationships meaningful and important but stresses that local boards and Council should be engaging mana whenua in such a way as to provide benefit for ALL Auckland and not just those mana whenua groups

 

 

Te Kawerau Iwi Tiaki Trust

 

·    Supports in principle most of the annual budget including climate change, Māori land rating, and environment spend.

·    Uncertain about increased decision making for local boards as concerned this could degrade the existing relationship with mana whenua groups; level of understanding and commitment to Te Tiriti o Waitangi not always satisfactory

 

v No specific reference to Waitematā Local Board Area

 

Ngaati Whanaunga

 

·    Unclear how climate action targeted rate will improve lives for mana whenua or meaningfully impact positive climate change

·    Concerned that targeted rates could negatively impact low-income households

·    Acknowledges all 21 local boards have some area of interest or crossover in the rohe, and believe best practice would be for local board to contact directly to explore shared interests and aspirations

·    Acknowledges Auckland Council failure to recognise mana whenua constraints, unsupported operational engagement, unsupported strategic engagement, and missing an opportunity to work alongside mana whenua as partners and not only as 'stakeholders.'

 

v No specific reference to Waitematā Local Board Area

 

Te Rūnanga o Ngāti Whātua

 

·    Strongly support climate action targeted rate and environmental protection aspirations

·    Concerned about any rates increases disproportionately affecting mana whenua

·    Requests further clarity on budget pressure response levers

·    Supports waste standardization and food scraps collection

·    Housing inequity, Māori outcomes, and homelessness should be prioritised despite budget pressures

·    Proposes consideration for comprehensive in-house training programme and induction of all Council staff into te ao Māori and dynamics for successful engagement and relationship building

 

v No specific reference to Waitematā Local Board Area

 

Ngāti Pāoa Iwi Trust Board

 

·    Supports all proposals put forward in the annual budget consultation

 

v No specific reference to Waitematā Local Board Area

 


Waitematā Local Board

10 May 2022

 

 

Attachment B - Annual Budget 2022/2023 Organisation Feedback – Waitematā


Q1 – Q4 (Climate, Waste, Budget, Prioritising Expenditure)

·    High support for climate action targeted rate

·    Low support for budget pressure lever responses

·    Medium support for prioritising operational expenditure strategy

·    Medium support for standardising waste management

·    Concern about how rate rises will disproportionately impact small and medium sized businesses; suspend regional fuel tax, accommodation-provider targeted rate not appropriate, Watercare fee raises unreasonable, empty window treatments to encourage better atmosphere in low-tenant retail zones, focus more on growing economy and supporting thriving businesses; business differentiated targeted rate is unfair and misaligned x3

·    Important that strong action is taken on addressing climate change by accelerating development of low carbon and active mode infrastructure to support walking and cycling as main modes of travel around the city and city centre; healthy and active Aucklanders being out and about on efficient linkages, greenways, and cycleways will further engage businesses and improve accessibility and visibility x9

·    Concerns that waste standardisation needs to be equitable in the context that businesses may not be appropriate for a council delivered service and so must have a reasonable framework to opt-out of the service and not incur any fees or charges associated with a service that cannot be delivered effectively x3

Q5 – 6 (Local Board Priorities / Other Comments) *9 comments total

·    Deliver Ponsonby Park now x1

·    Deliver on low carbon, active mode transport infrastructure, prioritising pedestrians and cyclists and contributing towards positive climate change x5

·    Major renewal of Pt Erin Pools required x1

·    Improved accessibility, safety, and reliability of footpaths and connecting streets around major thoroughfare train stations such as Parnell station considering CRL development; increased capacity of retirement residential facilities such as Summerset will mean that more elderly and retirees are using these connections to move around and as such they need to be of the highest quality and safety x2

·    Parnell Station fully operational, accessible, and realised of its potential for small and medium businesses including greenways linkages between the village and the Auckland Domain; cycleway linkage through old Parnell tunnel to Newmarket; wayfinding signage should be funded from Local Board Transport Capital Fund and should assist navigation to the museum and the station x2

·    Question the need for greater decision making amongst local boards which could lead to a narrower viewpoint and close off regional opportunities for placemaking, facility upgrades, and open space provisioning for sport and recreation x1

·    Protect and defend heritage and character homes and buildings in the face of managing intensification, particularly Western Bays x1


Waitematā Local Board

10 May 2022

 

 

Endorsing Business Improvement District (BID) target rate grants for 2022/2023

File No.: CP2022/00316

 

  

 

Te take mō te pūrongo

Purpose of the report

1.       To request the local board to recommend that the Governing Body sets the targeted rates for the Heart of the City, Karangahape Road, Newmarket, Parnell, Ponsonby, and Uptown Business Improvement District (BID) programmes for the 2022/2023 financial year.

Whakarāpopototanga matua

Executive summary

2.       Business Improvement Districts (BIDs) are rohe within Tāmaki Makaurau where local business and property owners have agreed to work together to improve their business environment, promote economic resilience and attract new businesses and customers.

3.       Auckland Council supports business associations operating BID programmes by collecting a targeted rate from commercial properties within a defined geographic area. The funds from the targeted rate are then provided by way of a BID grant to the relevant business association.

4.       Under the Auckland Council shared governance arrangements, local boards are allocated several decision-making responsibilities in relation to BID programmes. One of these is to annually recommend BID targeted rates to the Governing Body.

5.       Each business association operating a BID programme sets the BID target rate grant amount at its Annual General Meeting (AGM) when members vote to approve an operational budget for the following financial year. This budget funds the implementation of a business plan that delivers programmes based on each BID’s strategic priorities.

6.       With the support of their members and based on approved business plans, five of the six BID-operating business associations within the Waitematā Local Board area proposed increases to their BID targeted rates for the 2022/2023 financial year. They are Karangahape Road (up 5% to $480,070) Newmarket (up 3.5% to $1,812,099), Parnell (up 6.5% to $969,150) Ponsonby (up 10% to $690,446) and Uptown (up 7.4% to $350,000).

7.       Tāmaki Makaurau’s largest business improvement district, Heart of the City, proposed no change to its current figure of $4,782,614.

8.       The business associations operating BID programmes are incorporated societies that are independent of the council. However, to sustain public trust and confidence in the council, there needs to be a balance between the independence of the business associations and the accountability for monies collected by a public sector organisation.

9.       For the council to be confident that the funds provided to the BIDs are being used appropriately, the council requires the business associations to comply with the Business Improvement District (BID) Policy (2016) (Kaupapa Here ā-Rohe Whakapiki Pakihi), known as the BID Policy. 

10.     The council staff regularly monitor compliance with the BID Policy and this report is part of an active risk management programme to minimise inappropriate use of funds.

11.     Staff are satisfied the Heart of the City, Karangahape Road, Newmarket, Parnell, Ponsonby and Uptown business associations sufficiently comply with the BID Policy.

12.     Staff propose the Waitematā Local Board receives this report and recommends to the Governing Body the striking (setting) of the BID targeted rates sought by the six business associations. Note: The Uptown BID boundary overlaps the Waitematā and Albert-Eden Local Board areas.

13.     After the Annual Budget is approved, the council collects the targeted rate funds and distributes them in quarterly BID grant payments, effective from 1 July 2022. This will enable the business associations to implement programmes that help ensure Waitematā businesses are sustainable, innovative and prosperous, thereby supporting the economic aspirations of the Waitematā Local Board Plan 2020.

14.     Like all BID-operating business associations, Waitematā’s six BIDs will continue to play an important role in supporting their members facing global challenges including recovery from the impact of the pandemic and facilitating local responses to the world’s climate change emergency with an increased focus on sustainability.

 

Ngā tūtohunga

Recommendation/s

That the Waitematā Local Board:

a)      recommends to the Governing Body the setting of the targeted rates for inclusion in the Annual Budget 2022/2023 for the following Business Improvement District (BID) programmes:

i.        $4,782,614 for Heart of the City Incorporated.

ii.       $480,070 for Karangahape Road Business Association Incorporated.

iii.      $1,812,099 for Newmarket Business Association Incorporated.

iv.      $969,150 for Parnell Business Association Incorporated.

v.       $690,446 for Ponsonby Business Association Incorporated.

vi.      $350,000 for Uptown Business Association Incorporated.

 

 

Horopaki

Context

BID programmes promote economic well-being and collaboration with the council

15.     The Auckland Council Growth Model 2021-2051 reports Tāmaki Makaurau is projected to include approximately 660,000 more people in the next 30 years. This level of population growth presents challenges and opportunities for Auckland’s city centre, town centres and commercial precincts.

16.     Business Improvement Districts (BIDs) are rohe within Auckland where local businesses and property owners have agreed to work together, with support from the council, to improve their business environment, encourage resilience and attract new businesses and customers.

17.   The BID programme does not replicate services provided by the council but channels the capabilities and knowledge of the private sector to improve economic outcomes and achieve common goals.

18.     BID programmes provide the opportunity for the council group to support business associations to seize on the opportunities from Auckland’s growth and respond locally to changing economic conditions.

19.     BID programmes encourage collaboration to achieve greater local outcomes. They provide a mechanism to enable local boards to engage with the business sector in local town centres and business areas in a co-ordinated way.


 

BID programmess provide essential support in building business resilience and aiding economic recovery

20.     The economy continues to be impacted by the flow-on effects from the COVID-19 pandemic and accompanying ‘traffic light’ framework, affecting the city centre, retail-based town centres and commercial precincts.

21.     BID programme-operating business associations provide the local business leadership required to help their members to mitigate some of the economic effects of the pandemic through business resilience and recovery initiatives.

BID programmes are funded by a targeted rate on business ratepayers within a set area

22.     BID programmes are funded by a targeted rate applied to all commercially rated properties within a designated area around the city centre, town centre or commercial precinct.

23.     Auckland Council supports business associations operating BID programmes by collecting the targeted rates and providing these funds, in their entirety, by way of a BID targeted rate grant to the relevant business association.

24.     This revenue is paid to the business associations every quarter to provide a regular and sustainable income stream to implement agreed work programmes.

The BID Policy is the mechanism to ensure accountability for BID targeted rate grants

25.     Auckland Council’s Business Improvement District (BID) Policy (2016) (Kaupapa Here ā-Rohe Whakapiki Pakihi) ensures accountability for BID targeted rate funding and encourages good governance and programme management.

26.     The policy outlines the principles behind the council’s BID programme; creates the process for establishing, expanding, amalgamating, and disestablishing a BID programme; determines rating mechanisms; prescribes operating standards and guidelines; and sets accountability requirements.

Diagram A: From calculation to approval, how the BID targeted rate is set.

Diagram

Description automatically generated

The business association sets the BID targeted rate grant amount to deliver its work programme

27.      BID-operating business associations are provided with a rate modelling spreadsheet to help with their budget decision-making. The spreadsheet models any proposed changes to their current BID targeted rate grant amount and, most importantly, how that influences the BID targeted rate for everyone who will pay it. When weighing up a change to the BID targeted rate grant amount, BIDs must consider what the local businesses and property owners can afford.

28.     Each BID-operating business association prepares an annual business plan for the following financial year that will deliver programmes based on their strategic priorities and financial parameters.

29.     The cost of implementing that business plan is set out in an annual budget that the BID’s board (governing committee) agrees will be recommended for approval by the business association membership.

30.     The AGM provides the forum where members vote to approve the operational budget and, in doing so, set the requisite BID target rate grant amount for the following financial year.

Local boards are responsible for recommending the BID targeted rate grant if a BID-operating business association complies with the BID Policy

31.     Under the Auckland Council shared governance arrangements, local boards are allocated several decision-making responsibilities in relation to BID programmes. One of these is to annually recommend BID targeted rate grants to the Governing Body. The local board should recommend the setting of the targeted rate if it is satisfied that the BID-operating business association is sufficiently complying with the BID Policy.

32.     The Waitematā Local Board approved a similar recommendation for the BID programmes last year (resolution number WTM/2021/102), as did 17 other local boards that have BID programmes operating in their rohe.

The Governing Body sets the BID grant targeted rates when it approves the Annual Budget

33.     The recommendation in this report is put into effect with the Governing Body’s approval of the Annual Budget 2022/2023 and its striking (setting) of the targeted rates.

34.     In accordance with the provisions of the Local Government Act 2002 and the Local Government (Rating) Act 2002, the Governing Body is authorised to make the final decisions on what BID programme targeted rates, if any, to set in any particular year or property (in terms of the amount and the geographic area to be rated).

 

Tātaritanga me ngā tohutohu

Analysis and advice

35.     BID programmes are operated by independent business associations, and their programmes and services are provided according to their members’ stated priorities. In recognition of their independent status, the BID Policy does not prescribe standards for programme effectiveness. That is for the business association members to determine. Staff, therefore, cannot base recommendations on these factors, but only on the policy’s express requirements.

All six business associations comply with the BID Policy

36.     Staff are satisfied that the Heart of the City, Karangahape Road, Newmarket, Parnell, Ponsonby and Uptown business associations have sufficiently met the requirements of the BID Policy.

37.     Staff require BID-operating business associations to provide to the council the following documents, and stay in touch with their local board(s) at least once a year:

·   Current strategic plan – evidence of achievable medium- to long-term opportunities.

·   Audited accounts – assurance that the BID-operating business association is managing its members’ BID targeted rate funds responsibly.

·   Annual report on the year just completed – evidence that programmes are addressing priority issues that benefit BID targeted ratepayers.

·   Business plan for the coming year – detailed one-year programme with key performance indicators, based on the strategic plan, to be resourced and achieved.

·   Indicative budget for the following year – Auckland Council’s 10-year Budget 2021-2031 requires targeted rates to be identified a year in advance to inform the annual budget process which sets all rates.

·   Board Charter – establishes guidelines for effective board governance and positive relationships between the association and its members.

·   Annual Accountability Agreement – certification that these requirements have been met.

·   Programme Agreement – a good faith agreement between each BID-operating business association and the council that sets basic parameters of the council-business association relationship.

·   AGM minutes - provisional minutes of each business association’s 2021 AGM meeting which contain the resolution, voted on by members, confirming the proposed BID grant amount for the 2022/2023 financial year.

 

36.     In addition, BID-operating business associations must inform the council staff of progress with other compliance requirements, including:

·   Incorporated Society registration of the business association along with all required documents up to date and filed.

·   Resolving problems or issues, if any, that have an impact on the governance or operation of the BID programme.

 

37.     The BID Policy sets an annual compliance deadline of 10 March for the information to be forwarded to the council. The table below summarises the requirements for the six BIDs within the Waitematā Local Board area as of 10 March 2022.

 

Table 1: Business associations’ compliance with the BID Policy as of 10 March 2022

 

Requirement

FY 2020/2021

May be an image of text that says 'PE KARANGAHAPE ROAD KROAD.COM KROAD.COM'

    Logo

A picture containing text, businesscard, vector graphics

Description automatically generated

   A picture containing icon

Description automatically generated

Strategic Plan

 Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green2018-21

Suitable to guide annual plan 21/22

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green2017-22

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green2021- 2026

 

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green2020-25

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green2019-23

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green2020-24

Audited financials

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Annual Report

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Business Plan

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Indicative budget

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Board Charter

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Annual Accountability Agreement

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Annual meeting with local board

8 March 2022

22 Feb 2022

22 Feb 2022

22 Feb 2022

22 Feb 2022

22 Feb 2022

Programme Agreement

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Greenvalid to Oct 2022

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Greenvalid to Nov 2022

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Greenvalid to Nov 2022

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Greenvalid to Nov 2023

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Greenvalid to Nov 2023

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Greenvalid to June 2023

Incorporated society registration

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

2021 AGM provisional minutes

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Tick, Mark, Ok, Perfect, Check, Done, Sign, Good, Green

Resolving problems or issues

Nothing to record

Nothing to record

Nothing to record

Nothing to record

Nothing to record

Nothing to record

 

38.     As the Heart of the City, Karangahape Road, Newmarket, Parnell, Ponsonby and Uptown business associations have met the requirements of the BID Policy, staff advise the local board to recommend to the Governing Body the setting (striking) of the BID targeted rate grants.

Five business associations increase their BID grants, one maintains status quo

39.     As shown in Table 2 below, five of the six BID-operating business associations propose increases to their BID targeted rates for the 2022/2023 financial year.

40.     Ponsonby Business Association’s 10% ($62,767) increase takes its 2022/2023 BID grant to $690,446.

41.     Uptown Business Association members voted for a 7.4% ($27,750) increase to set a new BID targeted rate of $350,000 for the next financial year.

42.     At their 2021 AGM, Newmarket Business Association members supported a 3.5% ($61,279) increase to raise the amount of $1,812,099 in 2022/2023.

43.     Parnell Business Association members voted to raise its BID levy by 6.5%, or $59,150, to $969,150 in 2022/2023.

44.     Karangahape Road Business Association’s 5% ($22,860) increase will raise $480,070 in 2022/2023.

45.     At its AGM, Tāmaki Makaurau’s largest business improvement district, Heart of the City, proposed no change to its current figure of $4,782,614.

A regional perspective

46.     Across Tāmaki Makaurau’s 50 BID-operating business associations, 26 increased their targeted rates - by between 1.6% and 10% - for 2022/2023 while 24 BIDs maintained the fiscal status quo.

 

Table 2: BID targeted rates comparison: 2022/2023 c.f. 2021/2022

 

BID

2022/2023

2021/2022

Increase / %

$4,782,614

 

$4,782,614

 

Nil

LAST INCREASED: 2019/2020

 

$1,812,099

 

$1,750,820

 

+$61,279 +3.5%

LAST INCREASED: 2020/2021

Logo

$969,150

 

$910,000

 

 

+$59,150 +6.5%

LAST INCREASED: 2020/2021

May be an image of text that says 'PE KARANGAHAPE ROAD KROAD.COM KROAD.COM'

$480,070

 

$457,210

 

 

+$22,860 +5%

LAST INCREASED: 2021/2022

 

A picture containing text, businesscard, vector graphics

Description automatically generated

$690,446

$627,679

 

+$62,767 +10%

LAST INCREASED: 2021/2022

 

 

 

A picture containing icon

Description automatically generated

$350,000

$322,250

 

+$27,750 +7.4%

LAST INCREASED: 2021/2022

 

Tauākī whakaaweawe āhuarangi

Climate impact statement

47.     Through targeted rate-funded advocacy and activities, BID-operating business associations promote and often facilitate environmental sustainability programmes.

48.     BID programmes can impact on climate change through initiatives such as running carbon-reducing ‘shop local’ campaigns to transitioning to energy-efficient lighting and championing waste reduction and recovery programmes. Several BIDs are involved in this space within the rohe.

Ngā whakaaweawe me ngā tirohanga a te rōpū Kaunihera

Council group impacts and views

49.     Advocacy is a key service provided by business associations and those with BID programme-funded personnel are at a distinct advantage. The BIDs ensure the views and ambitions of their members are shared with elected representatives and staff across the council group, including CCOs, regarding those plans, policies, projects and programmes that impact them.

50.     The BID-operating business associations work with Auckland Unlimited (AU) on economic development initiatives, events and sustainability programmes.

51.     The BID-operating business associations also work constructively with both Eke Panuku and Auckland Transport on often controversial proposals and projects.

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

Local impacts and local board views

52.     The local board’s views are most frequently expressed by its appointed representative on the board of each BID-operating business association. This liaison board member (or alternate) can attend BID board meetings to ensure there is a direct link between the council and the operation of the BID programme.

53.     Each business association values its strong and enduring governance-to-governance relationship with the Waitematā Local Board. The contributions by the local board’s BID appointees, alternates and economic development portfolio-holders have, for many years, promoted mutual understanding, collaboration and aligned economic outcomes.

Visions, plans aligned

54.     Waitematā’s BIDs and local board share a keen interest in the rohe and are ambitious for its future and its people. They also share goals that include economic prosperity, community identity, placemaking and pride.

55.     The six BID programmes tangibly support the aspirations of the Waitematā Local Board Plan 2020, best expressed in Outcome 6:  Waitematā businesses are innovative, sustainable and prosperous. From their constitutions to their activities, the BIDs exist to enhance their business districts, promote resilience, and sustain the economic viability of their targeted ratepaying members.

Local rohe, local funding, local benefit

56.     Recommending that the Governing Body sets the targeted rates for the Heart of the City, Karangahape Road, Newmarket, Parnell, Ponsonby, and Uptown business associations means that these BID programmes will continue to be funded from targeted rates on commercial properties in their rohe. They will provide services in accordance with their members’ priorities as stated in their strategic plans.

57.     Several local boards, including Waitematā, provide additional funding to local business associations, however accountability for any grants is set by funding agreements between the local board and the business association. Those contractual obligations are separate from the requirements of the BID Policy and are not covered in this report.

Tauākī whakaaweawe Māori

Māori impact statement

58.     At the 2018 Census, Māori represented 6.1% of the population living in the Waitematā Local Board area, compared to 11.5% of AucklandIndividual business associations may, through operating their BID programme, identify opportunities for niche support or development of any Māori business sector in their rohe.

Ngā ritenga ā-pūtea

Financial implications

59.     There are no financial implications for the local board. Targeted rates for BID-operating business associations are raised directly from commercial ratepayers in the district and used by the business association for improvements within that rohe. The council’s financial role is to collect the BID targeted rates and pass them directly to the association every quarter.

60.     The targeted rate is payable by the owners of the commercial properties within the geographic area of the individual BID programmes.  In practice, this cost is often passed on to the business owners who occupy these properties. 

61.     If the Governing Body agrees with the BID targeted rate grants proposed by the local boards, the costs of grants will be met from the existing operational budget.

Ngā raru tūpono me ngā whakamaurutanga

Risks and mitigations

62.     There are no direct financial risks to the local board or the council that could result from this recommendation to endorse the BID targeted rate grants for the six business associations.

63.     To sustain public trust and confidence in the council, there needs be a balance between the independence of the BID-operating business associations and the accountability for monies collected by a public sector organisation.

64.     The rules and obligations of the BID Policy are intended to help minimise the potential for business associations to misuse funds by requiring each BID to plan for their intended use, report on its activities to its members and to have its accounts audited.

65.     The council staff regularly monitor compliance with the BID Policy and this report is part of an active risk management programme to minimise inappropriate use of funds.

66.     Economic disruption created by the flow-on effects of the pandemics and ‘traffic light’ lockdowns will continue to be felt in Auckland’s city centre, town centres and business precincts. The BID programme is an internationally proven approach to engage and empower local businesses. The six Waitematā-based BID programmes are, through local board-backed business resilience and recovery initiatives, helping their members to mitigate some of the economic effects of the pandemic.

Ngā koringa ā-muri

Next steps

67.     If the board supports this report, it will recommend to the Governing Body that the BID targeted rates be set as part of the Annual Budget 2022/2023.

68.     After the Annual Budget is approved, the council collects the targeted rate funds and distributes them in quarterly BID targeted rate grant payments, effective from 1 July 2022. This will enable them to implement programmes that improve the local business environment, support businesses to recover from the COVID-19 pandemic and help address the climate change emergency through sustainability initiatives.

 

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Signatories

Authors

Claire Siddens - Principal Advisor

Authorisers

Alastair Cameron - Manager - CCO Governance & External Partnerships

Trina Thompson - Local Area Manager