I hereby give notice that an extraordinary meeting of the Governing Body will be held on:

 

Date:

Time:

Meeting Room:

Venue:

 

Friday, 6 October 2023

1.30pm

Reception Lounge
Auckland Town Hall
301-305 Queen Street
Auckland

 

Tira Hautū / Governing Body

 

OPEN AGENDA

 

 

 

 

MEMBERSHIP

 

Mayor

Wayne Brown

 

Deputy Mayor

Cr Desley Simpson, JP

 

Councillors

Cr Andrew Baker

Cr Mike Lee

 

Cr Josephine Bartley

Cr Kerrin Leoni

 

Cr Angela Dalton

Cr Daniel Newman, JP

 

Cr Chris Darby

Cr Greg Sayers

 

Cr Julie Fairey

Cr Sharon Stewart, QSM

 

Cr Alf Filipaina, MNZM

Cr Ken Turner

 

Cr Christine Fletcher, QSO

Cr Wayne Walker

 

Cr Lotu Fuli

Cr John Watson

 

Cr Shane Henderson

Cr Maurice Williamson

 

Cr Richard Hills

 

 

(Quorum 11 members)

 

 

 

Sarndra O'Toole

Kaiarataki Kapa Tohutohu Mana Whakahaere / Team Leader Governance Advisors

 

3 October 2023

 

Contact Telephone: (09) 890 8152

Email: sarndra.otoole@aucklandcouncil.govt.nz

Website: www.aucklandcouncil.govt.nz

 

 


Governing Body

06 October 2023

 

 

ITEM   TABLE OF CONTENTS                                                                                         PAGE

1          Ngā Tamōtanga | Apologies                                                                                         5

2          Te Whakapuaki i te Whai Pānga | Declaration of Interest                                         5

3          Ngā Kōrero a te Marea | Public Input                                                                           5

4          Ngā Kōrero a te Poari ā-Rohe Pātata | Local Board Input                                        5

5          Ngā Pakihi Autaia | Extraordinary Business                                                              5

6          Public Feedback on the Proposed Crown Co-funding Offer for Storm Recovery and Resilience                                                                                                                       7

7          Te Whakaaro ki ngā Take Pūtea e Autaia ana | Consideration of Extraordinary Items

PUBLIC EXCLUDED

8          Te Mōtini ā-Tukanga hei Kaupare i te Marea | Procedural Motion to Exclude the Public        121

C1       CONFIDENTIAL:  Consideration of Crown co-funding offer for storm recovery and resilience (Covering report)                                                                                      121


1          Ngā Tamōtanga | Apologies

 

 

 

 

2          Te Whakapuaki i te Whai Pānga | Declaration of Interest

 

 

 

 

3          Ngā Kōrero a te Marea | Public Input

 

There is no public input section.

 

 

 

 

4          Ngā Kōrero a te Poari ā-Rohe Pātata | Local Board Input

 

There is no local board input section.

 

 

 

 

5          Ngā Pakihi Autaia | Extraordinary Business

 

 

 

 


Governing Body

06 October 2023

 

 

Public Feedback on the Proposed Crown Co-funding Offer for Storm Recovery and Resilience

File No.: CP2023/14269

 

  

 

Te take mō te pūrongo

Purpose of the report

1.       To receive public feedback and local board input on the ‘Funding Auckland’s storm recovery and resilience’ consultation, held 11 – 24 September 2023.

Whakarāpopototanga matua

Executive summary

2.       Auckland Council has negotiated a co-funded storm recovery package with the Crown to respond to the severe weather events of Auckland Anniversary Weekend and Cyclone Gabrielle (January/February 2023). The package, reported to the Governing Body on 24 August 2023, is valued at just under $2 billion with $1.1 billion coming from government and $900 million from Auckland Council. The funding would support transport network recovery, a voluntary buy-out scheme for ‘category 3’ residential properties, and implementation of risk mitigation projects.  

3.       On 24 August 2023, the Governing Body agreed in principle to the proposed co-funded storm recovery package, subject to public consultation (resolution number GB/2023/160). A rapid consultation process occurred from 11 September to 24 September. A total of 2,461 submissions were received.  

4.       The majority of public feedback, local board input and feedback from affected residents via resident groups, is supportive of the council accepting the proposed co-funded storm recovery package. Of particular note: 

·    public feedback was largely supportive (83 per cent) but did raise concerns about the council’s role in category 3 purchases compared with the roles of the government and insurance companies, and the potential for rates rises (see Attachment A)

·    local board feedback supports Auckland Council agreeing to the proposed co-funding package, noting concerns about impacts for ratepayers (see Attachment B)

·    feedback from impacted residents' groups focused on the detail of property categorisation and buy-outs, and asked that the council consider the needs of residents for a speedy, participatory and transparent process (see Attachments C to F). 

5.       The consideration of this feedback will inform the Governing Body’s decisions on the Voluntary Buy-out Support Scheme for Category 3 properties and whether or not to accept the Crown proposal. This will be considered in the accompanying confidential report.  Subject to the Governing Body’s agreement to the co-funded storm recovery package, the funding agreement will be signed by the Mayor, Deputy Mayor and Ministers.  

6.       Consideration of the council’s role in the recovery of Category 2P properties is currently under development and will be reported to the Governing Body as soon as possible.

7.       Planned recovery efforts will be presented in the Tāmaki Makaurau Recovery Plan. The Plan will facilitate and communicate the collaborative delivery of recovery projects across the region.


 

 

Ngā tūtohunga

Recommendation/s

That the Governing Body:

a)      whiwhi / receive the report and details of the Local Board and public feedback on the “Funding Auckland’s storm recovery and resilience” document as contained in Attachments A to F to the agenda report.  

b)      kohuki / consider this feedback as part of the decisions in the accompanying confidential report, including whether or not to accept the Crown’s proposal of a co-funded storm recovery package 

c)      whakaae / agree to advocate strongly to the incoming government about the need to establish national schemes to support recovery from future severe weather events, and to put in place better processes for managed retreat in advance of disaster 

d)      tuhi ā-taipitopito / note that consideration the council’s role in the recovery of Category 2P properties is currently under development and will be reported to the Governing Body as soon as possible. 

Horopaki

Context

Severe storms have resulted in severe need

8.       Tāmaki Makaurau has experienced multiple extreme weather events since January 2023. The co-funded storm recovery package being considered in this report is limited to responding to the Auckland Anniversary Weekend floods (27 January – 1 February 2023) and Cyclone Gabrielle (13 – 14 February 2023). These two events affected almost the entire Auckland region. Communities experienced widespread flooding, landslips, high winds, trees down, and extensive power outages. People were evacuated from flooded homes, west coast communities isolated, infrastructure damaged and lives were lost. 

9.       Eight months on, many Aucklanders with impacted homes are still facing a challenging and uncertain future. Prolonged displacement, financial hardship and uncertainty are leading to significant mental health and well-being challenges for some impacted Aucklanders. There is an urgent need to provide communities with as much clarity and certainty as possible. 

10.     Not all repairs to essential lifeline infrastructure and facilities are completed. Work needs to continue improve the resilience of the region so that Auckland is better prepared for and can mitigate the impacts of severe weather events. 

11.     There is no established process for recovering from such significant regionwide events in Auckland or, indeed, across the motu. Officers have rapidly developed systems for technical assessments and social support. While necessary to meet community need, there are risks with the speed of the process. Decisions must be made before all the relevant information is available, and with limited time for analysis of options.   

12.     Officers are co-operating with other affected councils, to share information and advice on recovery efforts and the proposed co-funded storm recovery package. However, Auckland’s urban environment and scale presents unique recovery challenges, compared to other parts of the country. Thousands of properties were affected, including many smaller urban sites where options for on-site remediations (such as relocating dwellings) are constrained. Each individual property requires technical assessment on a house-by-house basis, which is a time and resource-intensive process. It is expected that many more properties will need to be purchased than is the case in other storm-impacted regions.

Government announcements and negotiations

13.     In response to the severe weather events, the government has made a series of announcements about a co-funded, locally-led and centrally-supported process to address the Future of Severely Affected Land. This includes announcements of co-funding to support councils to offer voluntary buy-outs for owners of high-risk (category 3) properties and to fund work needed to protect properties where risk can be managed (category 2).  

14.     The categorisation of storm-affected properties was announced by central government on 1 May 2023. These categories and associated definitions are for application to residential properties affected by the specified severe weather events, and do not have a specific statutory basis. Significant council resource has been needed to develop a more detailed framework for categorisation, including thresholds of risk for each category. Work is ongoing to individually assess the approximately 5000 flood and slip-affected houses against this framework. Technical assessments got underway on 21 August and will take some months to complete.

15.     It is acknowledged that recovery is not happening as quickly as affected communities would like. There is a difficult balance between moving quickly and moving accurately, especially with so many thousands of potentially affected homes needing individual technical assessments. It’s important that everyone can have confidence in the information and evidence available so that the council can make robust, defensible and enduring decisions.

The co-funded storm recovery package on offer

16.     Negotiations between the government and Auckland Council have resulted in an offer to co-fund three elements of recovery work, similar to the offers made in Hawkes Bay and Tairāwhiti.  

17.     On 24 August 2023, the Governing Body endorsed an in-principle agreement with the Crown as set out in the offer, subject to public consultation (resolution number GB/2023/160). 

18.     The offer includes government funding of $1.076 billion across three areas, with council co-funding $908 million: 

a)    Transport network recovery 

A contribution towards the recovery costs of our transport networks from the direct impacts of storm events. Some of this would ordinarily be funded by Waka Kotahi but the proposal includes full funding of some projects to reduce required council funding. Example projects include Mill Flat Road bridge (temporary Bailey bridge and permanent fix), access to Karekare and Piha, and underslips on Bethells Road. 

b)    Buy-out scheme 

50:50 funding towards a voluntary buy-out scheme for residential properties assessed as category 3. Based on current estimates of 700 properties this is projected to cost $774 million, with the Crown and the council each contributing $387 million. Auckland Council is responsible for defining the categorisation and purchase methodologies. If the maximum amount is breached, there is a commitment to good faith discussions on next steps. 

c)    Risk mitigation projects 

A pre-allocation of $360 million from the National Resilience Plan funding towards Category 2 risk mitigation projects within Auckland. This equates to 62 per cent of the projected capital costs of interventions such as the Making Space for Water proposal. Crown to pay 62 per cent of the cost of each eligible project until pre-allocation is exhausted. 


 

 

Tātaritanga me ngā tohutohu

Analysis and advice

Public feedback is largely supportive of the funding package

19.     Public consultation was open from 11 to 24 September 2023. This was a constrained timeframe because of the urgent need to provide certainty for affected Aucklanders. The consultation asked the public for feedback on the agreed funding package and whether they support Auckland Council advocating to central government for a national scheme to help us recover from similar future events. The consultation document also identified that the council would need to determine the purchase methodology for category 3 buy-outs and listed the policy details requiring consideration.  

20.     We received 2,461 submissions in total, with 2,365 received via our online feedback form, 68 via hard copy feedback form and 28 via email.  

21.     The following is a high-level summary of the feedback provided during this consultation: 

·    Over four in five submitters (83%) support Auckland Council accepting the proposed funding package. 

·    236 submissions were received from individuals who thought they might be eligible for a category 3 buy-out (and two from organisations), 1,763 from individuals who did not believe they might be eligible for a category 3 buy-out (11 from organisations), and 325 from individuals who indicated they didn’t know (six from organisations). 

·    There was higher support for the council accepting the proposed co-funding package among those who thought they might be eligible for a category 3 buy-out under the proposal – 95% of individuals who answered both questions. 

·    Over four in five submitters (84%) support Auckland Council advocating for the establishment of national schemes to support recovery for future events.

Public views about the category 3 buy-outs are detailed and diverse

22.     In feedback from those who supported accepting the proposed funding package, there was high support (generally implied rather than explicit) for property buy-outs. Some submitters noted the importance of giving assistance to people in need.  Support was often conditional, emphasising property owners’ personal responsibility, that the payout amount should be limited, or that uninsured / underinsured properties should be excluded or should bear some consequences. 

23.     Those who did not support accepting the funding proposal generally opposed the buy-out of category 3 properties, feeling this should be property owners’ responsibility, covered by insurance payments or government responsibility. There were some concerns about the potential for rate rises. 

24.     There was general support for investment to improve transport and water infrastructure and reduce the risks and impacts of damage from future storms. 

25.     In feedback on the methodology used to purchase Category 3 properties, there was a mixed view on whether to use Capital Value (CV) or market value – with slightly more suggesting market value. Some suggested using a hybrid between CV and market value. Some suggested the buy-out value should be capped. Submitters frequently expressed a desire that the process should be quick, transparent and equitable. 

26.     Further detail on common themes raised in each question can be found in the body of the feedback report, which is attached at Attachment A.


 

 

Direct feedback from impacted property owners provides important insight 

27.     Recovery Office staff are regularly communicating with impacted property owners and communities, (e.g. through community meetings and on-site assessments). Landslide affected residents from Green Bay, Titirangi, Laingholm and Waiatarua presented to the Governing Body on 24 August 2023. The Muriwai, Piha-Karekare and Auckland Stickered Residents Groups presented to the Governing Body on 28 September 2023. Their presentations are appended to this report as Attachments C to F.  

28.     Resident concerns noted in community interactions and in the Governing Body presentations include: 

·    a need for certainty and speed of resolution 

·    being able to remain in their communities 

·    having choice, participation and independent challenge within any property buy-out process 

·    support in dealing with insurance companies 

·    support for category 2P property owners, especially in light of uninsurability and mortgage risks, and affordability 

·    reducing red tape (e.g. resource consent processes) for category 1 and 2 repairs. 

Tauākī whakaaweawe āhuarangi

Climate impact statement

29.     The proposed approach in the co-funded storm recovery package is a direct response to the impacts of the recent severe weather events. The proposed terms of the deal acknowledge the need to develop future policy for community-led retreat and adaptation funding through a national policy process.

30.     There are no direct climate impacts as a result of receiving Local Board and public feedback on the proposal.  The decisions on the details of the Voluntary Buy-out Support Scheme of Category 3 properties and whether or not to accept the Crown’s proposal are considered in the accompanying confidential report. 

31.     Council will advocate strongly to central government to establish a national scheme to support recovery from future events, and to put in place better processes for managed retreat in advance of disaster. The next step in this process revolves around the select committee inquiry by Parliament’s Environment Committee. Auckland Council has been invited to help develop this policy.  

Ngā whakaaweawe me ngā tirohanga a te rōpū Kaunihera

Council group impacts and views

32.     The council’s policy advice on the co-funded storm recovery package has been developed by staff from across the council group, including the Recovery Office, Chief Planning Office, Finance, Legal, Healthy Waters, Resilient Land and Coasts, and Eke Panuku Development Auckland. Should the proposed package be agreed, implementation will require a similar coordinated approach across the council group. 

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

Local impacts and local board views

33.     Feedback on the proposed co-funding package was sought from local boards at the same time as public consultation. Local boards were asked to provide feedback on whether they support Auckland Council agreeing to the funding package, the features of the package, and the design of the category 3 buy-out process. Local board input is provided at Attachment B. 

34.     Many local boards expressed support for Auckland Council's efforts to address the destruction caused by severe weather events in early 2023. Key feedback themes are as follows:  

35.       Support for Funding Package: Local boards expressed strong endorsement of Auckland Council agreeing to the proposed funding package for storm recovery, including repair of transport infrastructure and Category 3 buy-outs. There was strong support for focusing on primary residential properties in the buy-out process, ensuring that families and individuals in these homes receive attention and assistance for recovery and rebuilding. 

36.     Allocation of Funding: Most local boards supported the allocation of funding to three main areas: restoring the transport network, implementing resilience projects (including Making Space for Water initiatives), and the buy-out of Category 3 homes. 

37.     Financial Challenges to Ratepayers: Concerns were raised about the financial challenge to Auckland ratepayers, particularly lower-income ratepayers, in meeting the cost of the funding package. Proposals were requested to consider the ability of lower-income residential ratepayers to meet these costs. 

38.     Community Communication: The need for clear communication with impacted residents, including those who may struggle to understand complex council processes. Concerns were raised that residents with language barriers or shift work schedules may struggle to engage with the consultation within the tight timeframe, potentially leading to a less comprehensive community representation.  

39.     Challenges in Representing Community Views: Several local boards noted that they were asked to provide feedback before public consultation ended, making it difficult for them to accurately represent and reflect the views of their respective communities. 

40.     Monitoring and Involvement: The recommendation for increased monitoring of existing consents, involvement of mana whenua, community groups, and local residents in resilience projects, and transparency in stormwater maintenance schedules. 

41.     Support for Making Space for Water Initiative: Many local boards expressed support for the Making Space for Water initiative, emphasizing its importance for improving resilience and addressing flooding issues. 

42.     Many of the local boards identified resilience issues in their areas. These will be collated and forwarded to the relevant council departments for their consideration.  

Tauākī whakaaweawe Māori

Māori impact statement

43.     Māori are among the affected property owners and will benefit from the proposed package if it proceeds. Whenua māori is being handled in a separate process led by the Crown. 

44.     The Recovery Office is currently conducting targeted engagement with mana whenua as part of preparing the Tāmaki Makaurau Recovery Plan. Mana whenua attending these hui have been invited to comment on the proposed co-funded storm recovery package. With limited capacity to provide feedback, mana whenua have provided comment noting the anxiety and stress for whānau as a result of the storms and uncertainty about the pathway to recovery. For those whānau living in placarded homes, there are concerns about whether they will receive a buy-out offer, the process, and the value of the offer. Mana whenua also asked how those renting will be supported.  

45.     As part of developing the Tāmaki Makaurau Recovery Plan, officers are working with mana whenua to develop improved engagement processes moving forward.


 

 

Ngā ritenga ā-pūtea

Financial implications

46.     Auckland’s recovery from the severe weather events of early 2023 is going to require significant investment, with or without central government co-funding. The proposed package increases the total investment into Auckland, with over $1 billion in new and reprioritised central government funding (see Table 1). 

Table 1. Proposed co-funding package

 

Government funding 

Auckland Council funding 

Total 

Transport network recovery 

$309 million 

$81 million 

$390 million 

Risk reduction programmes 

$380 million 

$440 million 

$820 million 

Category 3 home buy-outs 

$387 million 

$387 million 

$774 million 

Total 

$1,076 million 

$908 million 

$1,984 million 

 

47.     Significant funding from Auckland Council would still be required to deliver on the activities described in this package. 

48.     As this report is only to receive the public feedback, there are no direct costs associated with this report.

Ngā raru tūpono me ngā whakamaurutanga

Risks and mitigations

49.     There are no risks associated with receiving Local Board and public feedback.

Ngā koringa ā-muri

Next steps

50.     The public feedback will inform Governing Body’s decisions on the form of the Voluntary Buy-out Support Scheme and the acceptance or otherwise of the Crown’s co-funding proposal.  This will be considered in the accompanying confidential report.  Subject to the Governing Body’s agreement to the co-funded storm recovery package, the funding agreement will be signed by the Mayor, Deputy Mayor and Ministers.  

51.     Consideration of the council’s role in the recovery of Category 2P properties is currently under development and will be reported to the Governing Body as soon as possible.

52.     Planned recovery efforts will be presented in the Tāmaki Makaurau Recovery Plan. The Plan will facilitate and communicate the collaborative delivery of recovery projects across the region.

 


 

 

Ngā tāpirihanga

Attachments

No.

Title

Page

a

Summary of feedback on the Funding Storm Recovery and Resilience consultation

15

b

Local Board feedback on the Funding Auckland's Storm Recovery and Resilience consultation

33

c

Titirangi Stickered Residents Presentation

71

d

Muriwai Stickered Residents Group

85

e

Piha and Karekare Stickered Residents Group

93

f

Auckland Stickered Residents Group

107

      

Ngā kaihaina

Signatories

Authors

Mat Tucker - Group Recovery Manager

Megan Tyler - Chief of Strategy

Authoriser

Phil Wilson - Acting Chief Executive

 

 


Governing Body

06 October 2023

 

 

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06 October 2023

 

 

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Governing Body

06 October 2023

 

 

Exclusion of the Public: Local Government Official Information and Meetings Act 1987

That the Governing Body

a)      whakaae / agree to 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:  Consideration of Crown co-funding offer for storm recovery and resilience (Covering report)

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)(g) - The withholding of the information is necessary to maintain legal professional privilege.

s7(2)(i) - The withholding of the information is necessary to enable the local authority to carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations).

In particular, the report contains advice regarding negotiations with the Crown.

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.