I hereby give notice that an extraordinary meeting of the Aotea / Great Barrier Local Board will be held on:
Tuesday, 9 May 2023
Aotea / Great
Barrier Local Board office
Aotea / Great Barrier Local Board
(Quorum 3 members)
1 May 2023
Contact Telephone: (09) 301 0101
Aotea / Great Barrier Local Board
09 May 2023
1 Nau mai | Welcome 5
2 Ngā Tamōtanga | Apologies 5
3 Te Whakapuaki i te Whai Pānga | Declaration of Interest 5
4 He Tamōtanga Motuhake | Leave of Absence 5
5 Te Mihi | Acknowledgements 5
6 Ngā Petihana | Petitions 5
7 Ngā Tono Whakaaturanga | Deputations 5
8 Te Matapaki Tūmatanui | Public Forum 5
9 Ngā Pakihi Autaia | Extraordinary Business 5
10 Local board consultation feedback and input into the Annual Budget 2023/2024 7
11 Te Whakaaro ki ngā Take Pūtea e Autaia ana | Consideration of Extraordinary Items
Chairperson I Fordham will open the meeting and welcome everyone in attendance.
Deputy Chairperson P O’Shea will lead the meeting in a karakia.
At the close of the agenda no apologies had been received.
3 Te Whakapuaki i te Whai Pānga | 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 He Tamōtanga Motuhake | Leave of Absence
At the close of the agenda no requests for leave of absence had been received.
5 Te Mihi | Acknowledgements
At the close of the agenda no requests for acknowledgements had been received.
6 Ngā Petihana | Petitions
At the close of the agenda no requests to present petitions had been received.
7 Ngā Tono Whakaaturanga | 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 Aotea / Great Barrier 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.
8 Te Matapaki Tūmatanui | 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.
9 Ngā Pakihi Autaia | 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.”
Aotea / Great Barrier Local Board
09 May 2023
File No.: CP2023/05230
Te take mō te pūrongo
Purpose of the report
1. To receive consultation feedback from the Aotea / Great Barrier Local Board area on:
· proposed priorities and activities for the Aotea / Great Barrier Local Board Agreement 2023/2024.
· proposed local activities to discontinue, reduce spending on, or increase fees to meet the Governing Body’s proposed reduction in local board funding.
· regional topics and related policies for the Annual Budget 2023/2024.
2. To recommend any local matters to the Governing Body that they will need to consider or make decisions on in the Annual Budget 2023/2024 process.
3. To provide input on the proposed regional topics in the Annual Budget 2023/2024 to the Governing Body.
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 2023/2024 will be included in Auckland Council’s Annual Budget 2023/2024.
5. Auckland Council publicly consulted from 28 February to 28 March 2023 to seek community views on the proposed Annual Budget 2023/2024. This included consultation on the Aotea / Great Barrier Local Board’s proposed priorities for 2023/2024 to be included in their local board agreement and proposed local activities to discontinue, reduce spending on, or increase fees to meet the Governing Body’s proposed reduction in local board funding.
6. Auckland Council received 41,146 submissions in total across the region and 214 submissions from the Aotea / Great Barrier local board area. Of the 145 written submissions five were from organisations and one was from Māori entity Ngāti Rehua Ngātiwai ki Aotea Trust. Sixty-nine in-person submissions were recorded at the four BBQ events held across the island.
7. 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 local board advocacy initiatives. The Governing Body will consider these items as part of the Annual Budget decision-making process in June 2023.
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 council’s proposed Annual Budget
That the Aotea / Great Barrier Local Board:
a) receive consultation feedback on the proposed Aotea / Great Barrier Local Board priorities and activities for 2023/2024 including proposed local activities to discontinue, reduce spending on, or increase fees, to meet the reduction in local board funding proposed by the Governing Body.
b) receive consultation feedback on regional topics in the Annual Budget 2023/2024 and related policies from people and organisations based in the Aotea / Great Barrier local board area.
c) provide input on regional topics in the proposed Annual Budget 2023/2024 and related policies to the Governing Body.
d) provide advocacy on any local initiatives for the Annual Budget 2023/2024 to the Governing Body.
9. Each financial year Auckland Council must have a local board agreement (as agreed between the Governing Body and the local board) for each local board area. The Aotea / Great Barrier Local Board Agreement sets out how the Council will reflect the priorities in the Aotea / Great Barrier Local Board Plan 2020 in respect to the local activities to be provided in the local board area. It includes information relating to budgets, levels of service, and performance measures.
10. The local board agreements 2023/2024 will form part of Auckland Council’s Annual Budget 2023/2024.
11. Auckland Council publicly consulted from 28 February to 28 March 2023 to seek community views on the proposed Annual Budget 2023/2024, as well as local board priorities and proposed activities to be included in the local board agreement 2023/2024.
12. Auckland Council has faced ongoing budget challenges and recent and rapid increases in inflation and interest rates has placed significant pressure on the council’s financial position. A forecast budget deficit of $295 million needs to be addressed in the council’s proposed Annual Budget 2023/2024.
Tātaritanga me ngā tohutohu
Analysis and advice
13. 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 2023/2024.
14. 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.
15. In total, Auckland Council received feedback from 41,146 people in the consultation period. Seventy per cent of feedback was received through online forms, 12 per cent hard copy, 11 per cent in-person events, 5 per cent email and 2 per cent other.
16. All feedback will be made available on an Auckland Council webpage called “Submissions on the Annual Budget 2023/2024” and will be accessible from 26 April 2023 through the following link: https://akhaveyoursay.aucklandcouncil.govt.nz/submissions-annual-budget-2023-2024
Key priorities in Aotea / Great Barrier Local Board Area in 2023/2024
17. The Aotea / Great Barrier Local Board consulted on the following priorities for 2023/2024:
• continued delivery of core council operational services, such as mowing, track maintenance, waste, and the library.
• grant funding to assist community-led services for elderly, youth, businesses, and the environment.
• food and water resilience projects and Ahu Moana marine protection.
• reduction to the capital grants budget to enable delivery of some local grant rounds, and community-led projects and environmental programmes.
18. 220 submissions were received on Aotea / Great Barrier Local Board’s priorities for 2023/2024. The majority of local respondents supported all or most local board priorities.
Graph 1: Feedback on local board priorities
20. The council’s proposed response to mitigate the budget pressures for 2023/2024 included a proposed reduction of $16 million to local board operational funding – this would require the Aotea / Great Barrier Local Board to reduce its planned operating spend by $347,000.
21. To do this, local boards would need to make tough decisions, prioritising what they do and where they invest. Aucklanders were asked for their priorities given the proposed reduction would mean some local activities would have to be discontinued, have reduced spending, or increased fees.
22. The graphs below give an overview of the written and in-person responses from the Aotea / Great Barrier Local Board area.
Graph 2: Written feedback on responding to the budget challenges
Graph 3: In-person feedback on responding to the budget challenges
23. Key themes of note across the feedback received included:
• Support for continued environmental protection and waterways restoration funding
• Strong undercurrent to keep the capital grants funding. Lots of feedback to retain all community grants and support resilient infrastructure projects.
Information on submitters
24. The tables and graphs below indicate the demographic categories people identified with. This information only relates to those submitters who provided demographic information.
Graph 4: Demographic information by age and gender
Graph 5: Demographic information by ethnicity
25. Key themes of note across the feedback received (through written and in-person) included:
• Strong support for continued funding of community-led services. Most see community-led services as being essential/core
• Support for continued environmental protection and waterways restoration funding
• There was good support to continue core council services like parks and waste
• Strong undercurrent to keep the capital grants funding. Lots of feedback to retain all community grants and support resilient infrastructure projects
• Another strong theme was for local boards to retain their local budgets
• BBQ event feedback followed the same general themes as the written feedback.
Overview of feedback received on regional topics in the Annual Budget 2023/2024 from the Aotea / Great Barrier Local Board area
26. The proposed Annual Budget 2023/2024 sets out Auckland Council’s priorities and how the Council plans to pay for them. Consultation on the proposed Annual Budget asked submitters to respond to key questions on:
1. operating spending reductions
2. amending Auckland International Airport Limited (AIAL) Shareholding Policy
3. managing rates and debt
4. storm response
5. local board priorities (covered in ‘Feedback received on the Aotea / Great Barrier Local Board for 2023/2024’ section above)
6. changes to other rates, fees and charges
27. Submitters were also encouraged to give feedback on any of the other matters included in the Annual Budget 2023/2024 consultation document.
28. The submissions received from the Aotea / Great Barrier 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 1: operating spending reductions
29. Aucklanders were asked for feedback on a proposal to save $125 million through reductions including:
· maintaining the current reduced number of public transport services for 2023/2024 to save $21 million
· reducing funding to Tātaki Auckland Unlimited to save a further $27.5 million with effects on service delivery (including economic development and tourism promotion) and pricing at venues it manages such as Auckland Zoo, Auckland Art Gallery and stadiums
· reducing regional services such as community and education programmes, arts and culture programmes, regional events, economic development and other social services activities such as homelessness funding, community empowerment and funding for youth centres to save $20 million
· reducing local board funded activities across all boards to save $16 million (feedback received on local impacts of the reduction is outlined in the ‘Feedback received for the Aotea / Great Barrier Local Board for 2023/2024’ section above)
· reducing contestable grants to save $3 million
· no longer directly providing early childhood education
services to save $1 million.
30. The graph below gives an overview of the responses to this question from the Aotea / Great Barrier Local Board area.
Graph 6: Feedback on key question 1: Operating spending reductions
31. Key themes of note across the feedback received included:
• Most say proceed with some of the proposals
• Most want to continue the funding of community programmes and Tātaki Auckland Unlimited.
• High support for local board to retain their funding levels
• Support to prioritise funding for transport, environment, ECE and climate change initiatives (in that order)
• In order to retain the priority services most said to cut staffing levels. Followed by reduction to services and lastly to raise rates.
Key Question 2: Amending Auckland International Airport Limited (AIAL) Shareholding Policy
32. Aucklanders were asked about a planned change to the AIAL Shareholding Policy which will allow the sale of some or all of Auckland Council’s shares in AIAL. The proposal is to sell all the shareholding (currently around 18% of shares in Auckland Airport) which would reduce debt by around $1.9 billion. This is projected to reduce interest costs by $87 million per year.
33. Other options were considered, including keeping all the shares or a partial sale. These options would contribute less towards the budget reduction target and require other actions such as further increasing rates or debt.
34. The graph below gives an overview of the responses to this question from the Aotea / Great Barrier Local Board area.
Graph 7: Feedback on key question 2: Amending AIAL Shareholding Policy
35. Key themes of note across the feedback received included:
• Most submitters say don’t sell
Key Question 3: Managing rates and debt
36. Aucklanders were asked to provide feedback on a proposal of a total rates increase for the average value residential property of around 4.66 per cent or $154 per year. This would be achieved through:
· an average increase in general rates of 7 per cent across all existing properties, including non-residential
· reducing the Natural Environment Targeted Rate (NETR) and Water Quality Targeted Rate (WQTR) by around two thirds and using the money already collected from these rates to continue delivering these work programmes as planned in 2023/2024
· pausing the long-term differential strategy (the split between business and residential rates) for one year. Under the current policy, annual increases to general rates for business properties are less than for non-business properties so that over time the share of general rates paid by business properties is fairer.
37. Aucklanders were also asked about the proposal to increase council’s use of debt by up to $75 million in the 2023/2024 year. The proposal involves using the debt to fund some capital expenditure that is currently planned to be funded by operating revenue.
38. The graph below gives an overview of the responses to this question from the Aotea / Great Barrier Local Board area.
Graph 8: Feedback on key question 3: Managing rates and debt
39. Key themes of note across the feedback received included:
• It sums up as being 25 per cent to proceed, 26 percent to increase rates and 26 per cent to increase debt
• Most said not to pause the Natural Environment Targeted Rate and Water Quality Targeted Rate
• A preference for council to operate within means rather than increase debt or raise rates.
Key Question 4: Storm response
40. Aucklanders were asked about a proposal to increase council’s operating budgets by around $20 million each year to improve the ability to prepare for and respond to future storms. This would likely require rates to increase for 2023/2024 by around an additional 1 per cent (on top of the 4.66 per cent increase proposed to address the budget shortfall).
41. The graph below gives an overview of the responses to this question from the Aotea / Great Barrier Local Board area.
Graph 9: Feedback on key question 4: Storm response
42. Key themes of note across the feedback received included:
• Be proactive not just reactive with funding
• Funding should be used to fund environment and streams improvements and not just infrastructure projects
• Not enough detail in proposal
• Operate within means rather than additional rate rise.
Key Question 5: local board priorities
43. Aucklanders were asked for feedback on the local impacts of the Annual Budget, feedback received on this is outlined in the ‘Feedback received for the Aotea / Great Barrier Local Board for 2023/2024’ section above.
Key Question 6: changes to other rates, fees and charges
44. Aucklanders were asked for feedback on proposals to increase some targeted rates and other regulatory fees and charges as set out below. If the changes are not made, then general rates may need to be higher than proposed.
Waste management rates changes
· A 10.6 per cent increase to the base rate and targeted rate charges for non-standard refuse bins (in the former Auckland (ACC) and Manukau (MCC) city council areas)
· introduction of a fee for swapping bin sizes
· extension of the food scraps targeted rate to the new areas that will receive the service this year.
Changes to other rates, fees and charges
· Re-prioritisation of additional bus service expenditure which was planned to be funded by the Climate Action Targeted Rate (CATR) for the 2023/2024 year
· Swimming Pool/Spa Pool Fencing Compliance Targeted Rate: increases to reflect the actual costs of the service, and an increase in the fee for follow up inspections
· amendment to Community Occupancy Guidelines
· changes to the Rodney Drainage District Targeted Rate
· establishment of a Business Improvement District (BID) and BID targeted rate for Silverdale
· animal management fees
· some building and resource consenting fees
· other regulatory fees such as food licensing registration, micro-mobility operator fees and swimming pool inspections
· cemetery fees
· review of fees for bookable spaces in council managed pool and leisure facilities.
45. The tables below give an overview of the responses to this question from the Aotea / Great Barrier Local Board area.
Table 1: Individual submitters feedback on key question 6: changes to other rates, fees and charges
Table 2: Organisation feedback on key question 6: changes to other rates, fees and charges
Other matters for feedback
46. Aucklanders were asked to feedback on the Tūpuna Maunga Authority Operational Plan 2023/2024 which sets out a framework in which the council must carry out the routine management of 14 Tūpuna Maunga.
47. Aucklanders were also asked what else is important to them and if they had any feedback on any other issues.
48. Key themes of note across other areas of feedback received included:
• Concerns about the cost and logistics of freight to the island
• Continuation of funding for libraries, environment, art and community programmes
• Priority funding for climate change, storm damage and transportation
• Reduction in staffing levels.
Annual Budget 2023/2024 related policies
The following proposals were consulted on alongside the Annual Budget:
Revenue and Financing Policy
49. The proposal to pause the Long-Term Differential Strategy (LTDS) for one year would require an amendment to the Revenue and Financing Policy.
50. Under the current rating policy, businesses pay a greater share of rates than non-business properties. Businesses make more use of council services like transport and stormwater. They also place more demand on these services. Council previously decided that the level of business rates is too high and should be reduced gradually over time. The LTDS currently lowers the total amount of general rates (UAGC and value-based general rate) for businesses in equal steps, from 31 per cent in 2022/2023 to 25.8 per cent by 2037/2038.
51. 146 submissions were received on the proposal. Of these, 99 supported the proposal and 41 did not support the proposal. A further six either provided another response or did not know. Comments from those in support included businesses being in a position to afford the increase and the impact of rates on residential ratepayers.
52. Responses from those who did not support the proposal included the view that business rates are too high.
53. Eight of the 146 responses were from people who identified as Māori with four in support of the proposal, three not in support and one who did not know.
54. The Property Council did not support the proposal citing concern for increased costs on businesses and business rates being too high.
Māori Land Rates Remission and Postponement Policy
55. The Council is proposing to amend the Māori Land Rates Remission and Postponement Policy to provide a partial remission of rates to general title papakāinga, where that land is:
· protected from being sold out of Māori ownership
· for the sole use of hapū/iwi (tribe).
56. This recognises the similarities between these properties and papakāinga on Māori freehold land. The proposed remission would apply a discount of up to 10 per cent of the rateable land value. This is similar to what is applied to Māori freehold land.
57. There were 40 submissions from individuals. Of these 20 were in support of the proposal and 20 did not support the proposal. Responses in support included the positive benefits to Māori in retaining land. Responses from those who did not support included Māori not having special treatment, and concern about the costs to other Aucklanders.
58. Eight of the 40 responses were from individuals who identified as Māori, all of who supported the proposal. Ngāti Whātua Ōrākei also submitted in support of the proposal.
Local board advocacy
59. Local boards can also provide approved advocacy initiatives which considers the consultation feedback above. This allows the Governing Body to consider these advocacy items when making decisions on the Annual Budget 2023/2024 to the Governing Body in June.
60. The advocacy initiatives approved by the local board will be included as an appendix to the 2023/2024 Local Board Agreement.
Local board input on regional topics in the Annual Budget 2023/2024
61. 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 2023/2024, proposed changes to the Revenue and Financing Policy and Māori Land Rates Remission and Postponement Policy.
Tauākī whakaaweawe āhuarangi
Climate impact statement
62. The decisions recommended in this report are part of the Annual Budget 2023/2024 and local board agreement process to approve funding and expenditure over the next year.
63. Projects allocated funding or proposed to have reduced 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 the council’s rigorous reporting requirements.
Ngā whakaaweawe me ngā tirohanga a te rōpū Kaunihera
Council group impacts and views
64. The Annual Budget 2023/2024 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
65. 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 and policies.
66. 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 Governing Body workshops on the Annual Budget.
Tauākī whakaaweawe Māori
Māori impact statement
67. Many local board decisions are of importance to and impact on Māori. Local board agreements and the Annual Budget are important tools that enable and can demonstrate the council’s responsiveness to Māori.
68. Local board plans, developed in 2020 through engagement with the community including Māori, form the basis of local board area priorities. There is a need to continue to build relationships between local boards and iwi, and the wider Māori community.
69. 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.
70. Ongoing conversations between local boards and Māori will assist in understanding each other’s priorities and issues. This in turn can influence and encourage Māori participation in the council’s decision-making processes.
71. 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.
72. The Annual Budget 2023/2024 and related policies includes a proposed amendment to the Māori Land Rates Remission and Postponement Policy covered in the ‘Annual Budget related policies’ section above.
Ngā ritenga ā-pūtea
73. 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.
74. The local board also provides input to regional plans and policies. There is information in the council’s consultation material for each proposal with the financial implications of each option outlined for consideration.
Ngā raru tūpono me ngā whakamaurutanga
Risks and mitigations
75. The council must adopt its Annual Budget, which includes local board agreements, by 30 June 2023. In order to meet this timeframe, the local board is required to make recommendations on these local matters for the Annual Budget by mid May 2023 and present to the Governing Body to make decisions on key items to be included in the Annual Budget on 8 June 2023.
Ngā koringa ā-muri
76. The local board will approve its local board agreement in June 2023 and corresponding work programmes in July 2023
77. Recommendations and feedback from the local board will be provided to the Governing Body for consideration in its decision-making.
78. The final Annual Budget 2023/2024 (including local board agreements) will be adopted by the Governing Body on 29 June 2023.
There are no attachments for this report.
Jacqui Fyers - Senior Local Board Advisor
Janine Geddes – Acting local area manager – Waiheke & Aotea / Great Barrier Local Boards