Minutes of Finance and Performance Committee - Thursday, 15 September 2022

Finance and Performance Committee

15 September 2022

The chair opened the meeting and acknowledged te Wiki or te Reo Māori / Māori language week.

Cr W Walker joined the meeting at 10.02am.
Cr A Filipaina joined the meeting at 10.02am.

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

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

1 Apologies

Resolution number FIN/2022/52

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

That the Finance and Performance Committee:

a) accept the apologies from:

Lateness

Cr C Fletcher
Cr D Newman

Early departure

Cr L Cooper

CARRIED

Note: Subsequently, Cr L Cooper did not depart early.

Cr C Fletcher joined the meeting at 10.05am.

Cr J Bartley joined the meeting at 10.05am.

Acknowledgement for the passing of Her Majesty, Queen Elizabeth II and an acknowledgement for His Majesty, King Charles III

Chairperson, Desley Simpson, and His Worship the Mayor, Phil Goff acknowledged the passing of Her Majesty, Queen Elizabeth II and the accession to the throne of His Majesty, King Charles III. A video was shown and a minute’s silence was observed by the committee.

2 Declaration of Interest

IMSB Member Renata Blair declared an interest in Item 8 – Presentation from Eden Park Trust Board.

3 Confirmation of Minutes

Resolution number FIN/2022/53

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

That the Finance and Performance Committee:

b) whakaū / confirm the ordinary minutes of its meeting, held on Tuesday, 26 July 2022, including the confidential section, as a true and correct record.

CARRIED

4 Petitions

There were no petitions.

5 Public Input

There was no public input.

6 Local Board Input

There was no local board input.

7 Extraordinary Business

There was no extraordinary business.

8	Presentation from Eden Park Trust Board
	IMSB Member R Blair declared an interest in this item.
	IMSB Member R Blair left the meeting at 10.15am.
	Nick Sautner, Chief Executive – Eden Park; Brett Winstanley, Chief Financial Officer – Eden Park; and Doug McKay, Eden Park Trust Board Chair provided a PowerPoint presentation. A copy has been placed on the official minutes and is available on the Auckland Council website as a minutes attachment.
	Cr D Newman joined the meeting at 10.38am.
	Resolution number FIN/2022/54 MOVED by Chairperson D Simpson, seconded by Cr G Sayers: That the Finance and Performance Committee: a) whakamihi / thank the representatives of the Eden Park Trust Board for their attendance and the information provided. CARRIED
	Attachments a 15 September 2022, Finance and Performance Committee, Item 8 - Presentation from Eden Park Trust Board, PowerPoint presentation

9	Early engagement in the 2023/2024 statutory entity levy funding processes
	Note: changes were made to the original recommendation, adding new clause a) as a Chair’s recommendation Note: changes were made to the original recommendation, adding new clause g), with the agreement of the meeting.
	Cr R Hills left the meeting at 11.02am.
	The meeting adjourned at 11.03am and reconvened at 11.06am.
	Resolution number FIN/2022/55 MOVED by Cr C Fletcher, seconded by Mayor P Goff: That the Finance and Performance Committee: a) tuhi ā-taipitopito / note Auckland Council is the main primary funder of the Auckland War Memorial Museum, Museum of Transport and Technology and Auckland Regional Amenities Funding Board under legislation specific to each entity and for the 2022/2023 financial year these statutory levies paid to these three entities total $67.8 million (or 3.4 per cent of general rates). b) tuhi ā-taipitopito / note the timeframes for the annual funding processes for Auckland War Memorial Museum, Museum of Transport and Technology and Auckland Regional Amenities Funding Board as set by their respective legislation precede the council’s consultation and decision-making on its budgets by some months. c) tuhi ā-taipitopito / note this report proposes initiatives to promote more awareness of the funding the council is required to provide Auckland War Memorial Museum, Museum of Transport and Technology and Auckland Regional Amenities Funding Board under specific legislation, support enhanced engagement of the public with the consultation processes these entities undertake and promote further awareness of the services and activities these entities provide. d) whakaae / approve the proposed general and entity-specific messages set out in this report to inform early engagement in 2023/2024 levy funding processes with Auckland War Memorial Museum, Museum of Transport and Technology and Auckland Regional Amenities Funding Board. e) tautapa / delegate to the Director Governance and CCO Partnerships the responsibility for finalising and formally communicating the general and entity specific messages based on the content of this report to the Auckland War Memorial Museum, Museum of Transport and Technology Board and the Auckland Regional Amenities Funding Board. f) whakaae / approve the inclusion of the annual statutory levies paid by the council to the Auckland War Memorial Museum, Museum of Transport and Technology and Auckland Regional Amenities Funding Board as additional information on the council’s annual rates notices. g) continue political advocacy to central government for the repeal of redundant pre-amalgamation legislation governing the relationship between council and the Auckland War Memorial Museum, Museum of Transport and Technology and the amenities covered by the Auckland Regional Funding Amenities Act 2008. CARRIED

Statement of Investment Policy and Objectives for the Self-Insurance Fund

Resolution number FIN/2022/56

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

That the Finance and Performance Committee:

a) whakaae / approve the Statement of Investment Policy and Objectives for the Self-Insurance Fund attached as Attachment A of the agenda report.

CARRIED

Asset recycling disposal recommendation - 33B (part) Brandon Road, Glen Eden; 17 Erson Avenue, Royal Oak; and 2 Levene Place, Mount Wellington

Resolution number FIN/2022/57

MOVED by Chairperson D Simpson, seconded by Mayor P Goff:

That the Finance and Performance Committee:

a) whakaae / approve, subject to the satisfactory conclusion of any required statutory processes, the disposal of

i) 584m² of 33B Brandon Road, Glen Eden (subject to survey) comprised of an estate in fee simple being Section 2 SO 469820 contained in record of title 677311;

ii) 17 Erson Avenue, Royal Oak comprised of an estate in fee simple being Sections 1-2 SO 544296 contained in record of title 947604 and Section 3 SO 544296 contained in record of title 947605; and

iii) 2 Levene Place, Mount Wellington comprised of an estate in fee simple being Lot 7 DP 341877 contained in record of title 172277.

b) whakaae / agree that final terms and conditions be approved under the appropriate delegations.

CARRIED

Adjacent 176 Princes Street West, Pukekohe - s138 Local Government Act 2002 consultation

Cr R Hills returned to the meeting at 11.22am.

Resolution number FIN/2022/58

MOVED by Deputy Mayor BC Cashmore, seconded by Mayor P Goff:

That the Finance and Performance Committee:

a) tuhi ā-taipitopito / note that one submission was received in response to the s138 Local Government Act 2002 public consultation undertaken regarding the disposal of adj. 176 Princes Street West, Pukekohe comprised of an estate in fee simple of 1,019m²being Section 1 SO 430835 held in record of title 556921

b) whakaū / confirm the June 2019 approval to dispose of adj. 176 Princes Street West, Pukekohe comprised of an estate in fee simple of 1,019m²being Section 1 SO 430835 held in record of title 556921 as it is not required to be retained by council for open space or recreational purposes.

CARRIED

Movements in asset recycling property portfolio

Note: changes were made to the original recommendation, amending clause a), as a Chair’s recommendation.

Resolution number FIN/2022/59

MOVED by Cr L Cooper, seconded by Chairperson D Simpson:

That the Finance and Performance Committee:

a) whakaae / agree to retain in council ownership the following properties on the basis that there are restrictions on disposal following further investigations or issues identified through public consultation processes:

i) 8 Magnolia Drive, Waiuku

ii) 31 Aspiring Avenue & 17R Hilltop Road, Clover Park

iii) 111R Golfland Drive, Howick

iv) 28R Simon Owen Place, Howick

v) 3R Taylor Road, Mangere Bridge

vi) 11R Birmingham Road, Ōtara

vii) 2R Keeney Court, Papakura

viii) Lot 1 DP 36821 State Highway 16, Reweti

ix) 13 Davern Lane, New Lynn

x) 30 Willerton Avenue, New Lynn.

CARRIED

14	Preparation of the Auckland Council Group and Auckland Council quarterly performance reports to 30 June 2022
	Note: changes were made to the original recommendation, adding new clauses c) and d), as a Chair’s recommendation.
	Cr E Collins retired from the meeting at 11.32am. IMSB Member R Blair returned to the meeting at 11.34am.
	Resolution number FIN/2022/60 MOVED by Chairperson D Simpson, seconded by Cr S Henderson: That the Finance and Performance Committee: a) tuhi ā-taipitopito / note the update on the Auckland Council Group and Auckland Council quarter four performance reports. b) tuhi ā-taipitopito / note the Auckland Council Group and Auckland Council quarter four performance reports are included in the confidential part of this meeting. c) tuhi ā-taipitopito / note the key achievements across the Auckland Council Group for the quarter ended 30 June 2022 which include: i) work on key infrastructure projects with progress made on the City Rail Link, the Central Interceptor, the Huia1 and Nihotupu Replacement projects, Manukau Hub extension, and the North-western bus improvement project ii) Matariki ki te Manawa – Matariki at the heart, a lighting and sculptural experience illuminated the city centre with 25 events and installations from 21 June to 16 July iii) Auckland Transport started implementing Phase 2 of its safe speed limits on over 800 roads in Auckland, predominantly in the south, Franklin rural roads and around schools iv) Glen Eden town centre safety improvements were completed v) “Hunua 4” – a $400 million 31km water transmission pipeline from Manukau to Khyber Pass – was completed after more than a decade in construction. The pipeline takes water from Ardmore and Waikato treatment plants to the Khyber Pass reservoirs. It provides resilience in the event of an earthquake or other disaster that could damage the network vi) with input from the Tāmaki Makaurau Mana Whenua Forum, Ngā Matarae, and staff, Auckland Unlimited changed its name to Tātaki Auckland Unlimited, which recognises the importance of te reo Māori as an official language and the entity’s Tiriti-based commitments to Māori vii) City Rail Link Limited (CRLL) released their final designs for stations as well as the formal names gifted by CRLL’s Mana Whenua Forum, being: A) Maungawhau (Mt Eden) B) Karanga a Hape (Karangahape) C) Te Wai Horotiu (Aotea) D) Waitematā (Britomart) viii) the Queen Street Zero emissions project has seen physical works on Zone 5 Wellesley Street to Mayoral Drive completed and street planting will be installed at the end of August within this zone ix) significant progress has been made within the Grow our Ngahere programme, with Te Arai Hillside planting being completed & Te Arai stream having planted 50,000 plants. d) tuhi ā-taipitopito / note the key achievements for Auckland Council for the quarter ended June 2022 include: x) the council achieved its $90 million savings target in May 2022 xi) results from the first long-term kauri health monitoring survey reveal the distribution of the kauri dieback pathogen is limited to localised areas on the periphery of the Waitākere regional park and is not widespread. In addition, the kauri protection programme is a finalist in the Local Government New Zealand, Air New Zealand EXCELLENCE Award for Environmental Wellbeing category xii) Aotea Transfer Station on Great Barrier was readied for use on 1 July 2022. The transfer station allows for all waste not going to the community recycling centre to be sorted to ensure maximised diversion from landfill xiii) the Ōwairaka Separation project was completed in June 2022, which separated the combined sewer systems of 50 properties and will reduce wastewater overflows into Oakley Creek xiv) the most recent Kōkako Management Area census in the Hunua Ranges showed 229 pairs in May 2022, up from 106 in 2018, making it the second largest mainland population in Aotearoa and a demonstration of Natural Environment Targeted Rate-funded pest management success xv) pool and leisure centre membership grew from 19,264 to 20,906 (8.5 per cent growth), primarily driven by a customer acquisition campaign (which ran from 16 May 2022 to 19 June 2022). CARRIED

Preparation of the draft Auckland Council Annual Report 2021/2022 and draft Auckland Council Summary Annual Report 2021/2022

Resolution number FIN/2022/61

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

That the Finance and Performance Committee:

a) tuhi ā-taipitopito / note the confirmation by the Audit and Risk Committee that the audit process in respect of the draft Auckland Council Annual Report 2021/2022 and the draft Auckland Council Summary Annual Report 2021/2022 has been completed satisfactorily

b) tuhi ā-taipitopito / note the draft Auckland Council Annual Report 2021/2022 and the draft Auckland Council Summary Annual Report 2021/2022 will be discussed in the confidential part of this meeting.

CARRIED

16	Summary of Finance and Performance Committee information memoranda and briefings, including the Forward Work Programme - 15 September 2022
	The Chairperson thanked everyone involved with the Finance and Performance Committee during the 2019-2022 political term and presented an end-of-term report. A copy of the chair’s comments have been placed on the official minutes and are available on the Auckland Council website as a minutes attachment.
	Resolution number FIN/2022/62 MOVED by Chairperson D Simpson, seconded by Cr S Henderson: That the Finance and Performance Committee: a) tuhi ā-taipitopito / note the progress on the forward work programme for 2022 as appended in Attachment A of the agenda report. CARRIED
	Attachments a 15 September 2022, Finance and Performance Committee, Item 16 - Summary of Finance and Performance Committee information memoranda and briefings, including the Forward Work Programme - 15 September 2022 - Chair's end-of-term report

17 Consideration of Extraordinary Items

There was no consideration of extraordinary items.

Cr C Darby left the meeting at 11.50am.

18 Procedural motion to exclude the public

Resolution number FIN/2022/63

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

That the Finance and Performance Committee:

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

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

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

C1 CONFIDENTIAL: Auckland Council Group and Auckland Council Quarterly Performance Report for the twelve months ending June 2022

Reason for passing this resolution in relation to each matter

Particular interest(s) protected (where applicable)

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

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

s7(2)(j) - The withholding of the information is necessary to prevent the disclosure or use of official information for improper gain or improper advantage.

In particular, the report contains information that may not be released to the public until it is released to the NZX on 30 September 2022

s48(1)(a)

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

C2 CONFIDENTIAL: Recommendation of the draft Auckland Council Annual Report 2021/2022 and draft Auckland Council Summary Annual Report 2021/2022

Reason for passing this resolution in relation to each matter

Particular interest(s) protected (where applicable)

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

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

s7(2)(j) - The withholding of the information is necessary to prevent the disclosure or use of official information for improper gain or improper advantage.

In particular, the report contains information that may not be released to the public until it is released to the NZX on 30 September 2022.

s48(1)(a)

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

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

CARRIED

11.50pm The public was excluded.

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

1.04pm The public was re-admitted.

restatementS

It was resolved while the public was excluded:

CONFIDENTIAL: Auckland Council Group and Auckland Council Quarterly Performance Report for the twelve months ending June 2022

Resolution number FIN/2022/64

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

That the Finance and Performance Committee:

a) whiwhi / receive the Auckland Council Group and Auckland Council quarterly performance reports for the 12 months ended 30 June 2022

b) whakaae / agree that the Auckland Council Group and Auckland Council quarterly performance reports, provided as attachments A and B (of the agenda report) and this agenda report, will remain confidential until the release of the Auckland Council Annual Report 2021/2022 and Auckland Council Summary Annual Report 2021/2022 on 30 September 2022 to the NZX and the public

c) whakaae / agree that the resolutions be restated in the open minutes.

CONFIDENTIAL: Recommendation of the draft Auckland Council Annual Report 2021/2022 and draft Auckland Council Summary Annual Report 2021/2022

Resolution number FIN/2022/65

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

That the Finance and Performance Committee:

a) recommend adoption of the draft Auckland Council Annual Report 2021/2022 and the draft Auckland Council Summary Annual Report 2021/2022 to the Governing Body, subject to editorial and technical changes to the document

b) tautapa / delegate approval of any significant changes to the draft Auckland Council Annual Report 2021/2022 and the draft Auckland Council Summary Annual Report 2021/2022 to the chair of the Finance and Performance Committee and the group chief financial officer

c) tuhi ā-taipitopito / note that the draft Auckland Council Annual Report 2021/2022 and the draft Auckland Council Summary Annual Report 2021/2022 remain confidential as required by our NZX disclosure obligations

d) whakaae / agree that the decisions be restated in the open minutes, but the report and attachments remain confidential.

1.04pm The Chairperson thanked Members for their attendance and attention to business and declared the meeting closed.

CONFIRMED AS TRUE AND CORRECT BY THE CHAIRPERSON AND CHIEF EXECUTIVE UNDER STANDING ORDER 8.1.4 ON

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

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

CHIEF EXECUTIVE
OR NOMINEE:………………………..…..………………

Chairperson	Cr Desley Simpson, JP
Deputy Chairperson	Cr Shane Henderson
Members	Cr Josephine Bartley	Via electronic attendance From 10.05am, Item 1
	IMSB Member Renata Blair	Via electronic attendance Until 12.27pm, Item C2
	Cr Dr Cathy Casey	Via electronic attendance
	Deputy Mayor Cr Bill Cashmore
	Cr Fa’anana Efeso Collins	Via electronic attendance Until 11.32am, Item 14
	Cr Pippa Coom
	Cr Linda Cooper, JP
	Cr Angela Dalton
	Cr Chris Darby	Via electronic attendance
	Cr Alf Filipaina, MNZM	Via electronic attendance From 10.02am, Item 1
	Cr Christine Fletcher, QSO	From 10.05am, Item 1 Until 12.58pm, Item C2
	Mayor Hon Phil Goff, CNZM, JP
	Cr Richard Hills	Via electronic attendance Until 12.25pm, item C1
	Cr Tracy Mulholland	Via electronic attendance
	Cr Daniel Newman, JP	Via electronic attendance From 10.38am, Item 8; Until 12.36pm, Item C2
	Cr Greg Sayers	Until 12.46pm, Item C2
	Cr Sharon Stewart, QSM	Via electronic attendance
	IMSB Chair David Taipari	Via electronic attendance
	Cr Wayne Walker	Via electronic attendance From 10.02am, Item 1 Until 11.50am, Item 15
	Cr John Watson	Via electronic attendance
	Cr Paul Young