No.	Title	Page
a ⇩	Forward Work Programme 2024 - 2025	9

Audit and Risk Committee

26 August 2025

Komiti Tātari me te Mātai Raru Tūpono / Audit and Risk Committee
Forward Work Programme 2024-2025

This committee assists and advises the Governing Body in discharging its responsibility and ownership of governance, risk management and internal control across Auckland Council group.

Responsibilities include reviewing the effectiveness of enterprise risk management, internal and external audit assurance, health safety and wellbeing, business continuity and resilience, integrity and investigations. The Committee monitors compliance, risk management in significant projects and programmes of work and procurements and has oversight of risk management and assurance of CCOs, the preparation of the LTP, Annual Report and other statutory financial reports.
The full Terms of Reference is available here

Area of work and lead	2024	2025
Area of work and lead	3 December	18 February	13 May	26 August	16 September	9 December
Forward work programme Chief Risk and Assurance Officer	Work programme Link to decision Committee’s Annual performance report Link to decision Summary of Audit and Risk Committee information memoranda, workshops, and briefings	Work programme Link to decision Summary of Audit and Risk Committee information memoranda, workshops, and briefings	Work programme Link to decision Summary of Audit and Risk Committee information memoranda, workshops, and briefings	Work programme Summary of Audit and Risk Committee information memoranda, workshops, and briefings	Work programme Summary of Audit and Risk Committee information memoranda, workshops, and briefings	Work programme Committee’s Annual performance report Summary of Audit and Risk Committee information memoranda, workshops, and briefings
Assurance Chief Risk and Assurance Officer	Internal Audit activities update Link to decision - restated	Internal Audit and integrity update Link to decision - restated	Internal Audit update · Internal Audit activities update · Internal Audit strategy and audit plan (July 2025 – June 2026) · Internal Audit Charter Link to decision - restated	Internal Audit and integrity update		Internal Audit activities update
Houkura - He Waka Kōtuia - Te Tiriti o Waitangi Audit Chief Risk and Assurance Officer		Treaty Audit Monitoring update. Link to decision		Treaty Audit Monitoring update.
Enterprise Risk Chief Risk and Assurance Officer	Enterprise Risk Update Link to decision Link to decision - restated		Enterprise Risk Update Link to decision Link to decision - restated			Enterprise Risk Update
CCO Risk management Chief Risk and Assurance Officer	CCO quarterly risk report Attendance by Watercare Link to decision - restated	CCO and GSS quarterly risk report Attendance by Auckland Transport Link to decision - restated	CCO and GSS quarterly risk report Link to decision - restated	CCO and GSS quarterly risk report Attendance by Tātaki Auckland Unlimited Attendance by GSS		CCOs and GSS quarterly risk report Attendance by Watercare
Port of Auckland Limited (POAL) Risk management Governance & Risk Manager (POAL)			POAL risk update Attendance by POAL Link to decision - restated
Key Strategic Project updates Director Resilience and Infrastructure Deputy Director Resilience and Infrastructure Director Policy, Planning and Governance Group Recovery Manager	Local Water Done Well Link to decision City Rail Link update Link to decision - restated Recovery Project update Link to decision		Recovery Project Update Link to decision	City Rail Link update		City Rail Link update Recovery Project update
Health, Safety and Wellbeing Head of Health, Safety and Wellbeing	Health, safety, and wellbeing update Link to decision	Health, safety, and wellbeing update Link to decision	Health, safety, and wellbeing update Link to decision	Health, safety, and wellbeing update		Health, safety and wellbeing update
Legal Risk General Counsel	Legal risk report Link to decision - restated		Legal risk report Link to decision - restated			Legal risk report
Insurance Resilience and Insurance Manager		Update on insurance activities Link to decision - restated		Update on insurance activities
Data and privacy Director of GSS				Data and privacy update		Data and privacy update
Cyber security GM Technology Services	Cyber security update Link to decision - restated	Cyber security update Link to decision - restated	Cyber security update Link to decision - restated	Cyber security update		Cyber security update
Interim Report Group Financial Controller	Review arrangements 31 December 2024 Link to decision 31 December 2024 Interim Financial Statements & NZX Announcement Update Link to decision Link to decision - restated Proforma interim financial statements and accounting policies 31 December 2024 Link to decision - restated	31 December 2024 half year results announcement for the NZX and Interim Report clearance Link to decision Link to decision - restated	Audit New Zealand Review Engagement management report for the six months ended 31 December 2024 Link to decision			Review arrangements 31 December 2025 31 December 2025 Interim Financial Statements & NZX Announcement Update Proforma interim financial statements and accounting policies 31 December 2025
Annual Report Group Financial Controller	Audit New Zealand final audit management report 30 June 2024 Link to decision Limited assurance engagement on consolidated greenhouse gas emissions for the year ended 30 June 2025 Link to decision	30 June 2025 Arrangements (Audit New Zealand audit plan) Link to decision Engagement letter for 2025 GHG emissions assurance Link to decision	NZX Announcement 30 June 2025 / Annual Report 30 June 2025 update for committee Proforma Annual Report 30 June 2025 (financial statements and accounting policies) Proforma Volume 4 - Climate Change Risk 30 June 2025 (including Climate disclosure work programme - progress update) Link to decision Link to decision - restated	NZX Announcement 2025/ Annual Report 30 June 2025 update for committee Audit New Zealand Interim audit management report 30 June 2025	30 June 2025 Annual Report and Volume 4 - Climate Related Disclosure 30 June 2025 CCO annual reports on risk (matters raised through annual audit process and summary of any significant findings raised by auditors) Attendance by Auckland Transport, Tātaki Auckland Unlimited, Eke Panuku and Watercare POAL annual reports on risk (matters raised through annual audit process and summary of any significant findings raised by auditors) Attendance by POAL	Audit New Zealand final audit management report 30 June 2025 Greenhouse Gas (GHG) paper
Climate Change Reporting and Sustainable Finance Group CFO	Auckland Council’s Sustainable Finance update Link to decision Climate disclosure work programme - progress update Link to decision					Auckland Council’s Sustainable Finance update Climate disclosure work programme - progress update
Annual Plan 2024/2025 Annual Plan 2025/2026 GM Financial Strategy	Risk management approach for the Annual Plan 2025/2026 Link to decision		Risk management update for the Annual Plan 2025/2026 Link to decision			Risk management approach for the Annual Plan 2026/2027
Annual Green Bond report Head of Group Treasury			Process for Annual Green Bond Report 30 June 2025 Link to decision		Annual Green Bond Report 30 June 2025
External Audit Office of Auditor-General (OAG)	Briefing paper provided Link to decision - restated	Briefing paper provided Link to decision - restated Managements response to OAG’s letter on Flagstaff Partners engagements (Presented by AC) Link to decision	Briefing paper provided Link to decision - restated	Briefing paper provided	Briefing paper provided	Briefing paper provided
Workshop

Audit and Risk Committee

26 August 2025

Houkura - IMSB Treaty Audit monitoring update

File No.: CP2025/15647

Te take mō te pūrongo

Purpose of the report

1. To provide an update during the period from February 2025 to July 2025 on:

· The status of Te Tiriti o Waitangi Audits (treaty audits) recommendations, including the historical actions from the 2024 and 2021 treaty audits.

· Delivering the He Waka Kōtuia Te Tiriti o Waitangi Audit Response Work Programme 2024–2027 (Attachment A).

· Other governance activities supporting the work by Ngā Mātārae and Auckland Council in discharging its obligations from Te Tiriti o Waitangi and to Māori.

Whakarāpopototanga matua

Executive summary

2. Ngā Mātārae have drafted a condensed version of He Waka Kōtuia Te Tiriti o Waitangi Audit Response Work Programme 2024–2027 (Attachment A) to manage and monitor the implementation of the 28 recommendations from the 2024 Treaty Audit Report.

3. Although no recommendations have been closed since February 2025, good progress has been made towards implementation, this includes:

· mana whenua and mātaawaka engagement through the Mana ki te Mana programme, with 13 mana whenua and two mātaawaka entities engaged as at May 2025

· updated guidance for Achieving Māori Outcomes Plans, requiring all departments and CCOs to embed capability-building commitments specific to their Māori outcomes responsibilities from FY26

· completion of the Māori Outcomes Fund review, introducing revised governance, allocation models aligned to mana whenua priorities, and improved transparency and communication processes.

4. There are a total of 30 open treaty audit recommendations:

· Two relating to the 2021 Treaty Audit report with a status of “Overdue”.

· 28 recommendations from the 2024 Treaty Audit Report, which are not yet due.

5. The Māori Outcomes Steering Committee met on 28 July 2025 where activities and progress towards implementing the treaty audit recommendations were discussed. The He Waka Kōtuia Te Tiriti o Waitangi Audit Response Work Programme 2024–2027 (Attachment A) will continue to be used by Ngā Mātārae as the basis to track progress of recommendations from all treaty audits.

6. Ngā Mātārae is responding to and progressing with recommendations from the internal audit of Māori Outcomes. Ngā Mātārae is also considering how to respond to the report released by the Office of the Auditor General on how public organisations are fulfilling Treaty settlements.

Ngā tūtohunga

Recommendation/s

That the Audit and Risk Committee:

a) whiwhi / receive the update on the progress of Te Tiriti o Waitangi Audits recommendations, as set out in the He Waka Kōtuia Te Tiriti o Waitangi Audit Response Work Programme 2024–2027 (Attachment A)

b) tuhi tīpoka / note that the Risk and Assurance department will continue to report the progress of Te Tiriti o Waitangi Audits recommendations to this committee on a six-monthly basis.

Horopaki

Context

7. The Independent Māori Statutory Board (Houkura) created a framework for assessing Auckland Council’s performance against Auckland Council’s statutory responsibilities and requirements relating to Te Tiriti o Waitangi and to Māori. Houkura commissioned treaty audits every three years.

8. Status of treaty audit recommendations:

· The fourth Treaty Audit. He Waka Kōtuia – Te Tiriti o Waitangi Audit 2021, identified 14 recommendations. Twelve are closed and closure of two were delayed. The two open recommendations are on track to be closed by the end of October 2025.

· The fifth Treaty Audit. He Waka Kōtuia – Te Tiriti o Waitangi Audit 2024 extended its scope to include activities from Council-Controlled Organisations and makes reference to “Council Group” in the final report. This treaty audit identified 28 recommendations and all remain open.

9. The Māori Outcomes Steering Committee oversees the progress towards implementing the treaty audit recommendations. Recommendations are closed once the Māori Outcomes Steering Committee is satisfied with the evidence supporting a written recommendation for closure. Houkura is represented on the Māori Outcomes Steering Committee to provide an independent view on the process followed by the Māori Outcomes Steering Committee in closing treaty audit recommendations.

10. The He Waka Kōtuia Te Tiriti o Waitangi Audit Response Work Programme 2024–2027 (Attachment A) has been developed by Ngā Mātārae on behalf of the Chief Executive and received by the Joint Governing Body and Houkura in response to the treaty audit recommendations. The He Waka Kōtuia Te Tiriti o Waitangi Audit Response Work Programme 2024–2027 is the basis for the Risk and Assurance department’s monitoring and reporting to this committee.

11. Since receiving the recommendations in the 2024 treaty audit report, focus has moved to a value-based approach to implementation of actions rather than a focus on the closure of recommendations.

12. Ngā Mātārae is leveraging existing workstreams to address the recommendations, including:

· Tāmaki Ora – the review and refresh of Kia Ora Tāmaki Makaurau.

· Mana ki te Mana – resetting and strengthening relationships with Māori.

· Achieving Māori Outcomes Plans.

· Review of Māori Outcomes Fund.

· Māori Outcomes Capability Plan 2024-2027.

13. A specific example of recent progress is that it is likely that in FY26, all Auckland Council departments and CCOs will have Achieving Māori Outcomes plans within their Delivery Plans that translate council’s commitment to delivering outcomes for Māori into practical actions and activities. This addresses specifically the cluster of treaty audit recommendations that relates to Achieving Māori Outcomes plans, amongst others, enhancing the senior leader visibility, awareness and ownership of Achieving Māori Outcomes plans (recommendation 2.2) and ensuring competing priorities and de-prioritisation of Achieving Māori Outcomes plans initiatives are managed (Recommendation 2.4). These Achieving Māori Outcomes Plans are the first to align with the new Tāmaki Ora.

Tātaritanga me ngā tohutohu

Analysis and advice

Status of treaty audit recommendations

14. The current status of open treaty audit recommendations is as follows:

Recommendations	Fourth treaty audit (2021)	Fifth treaty audit (2024)
Total recommendations	14	28
Closed	12	-
Open as at July 2025	2	28
Total open as at July 2025	30
Overdue as July 2025	2	0

15. The Māori Outcomes Steering Committee met on 28 July 2025 and reviewed progress and Attachment A, entitled He Waka Kōtuia Te Tiriti o Waitangi Audit Response Work Programme 2024–2027.

Progress on the 2021 recommendations

16. The two overdue 2021 recommendations were specifically discussed and the revised dates for closure before the end of October 2025 were accepted. Both recommendations are about strengthening the Māori Impact Statements. This is associated with the general Quality Advice Standards. Since 2021, the Governance Capability team within the Governance and Engagement department has strengthened the whole Quality Advice Standards including embedding Māori aspects.

17. As a result, the Māori Impact Statements no longer exist and Ngā Mātārae are considering how best to address these two recommendations. The introduction of the new end-to-end quality advice system to replace InfoCouncil, called Resolve, will be in place by October 2025. This presents a good opportunity to align the response to these two recommendations. In turn, the Governance Capability team has reviewed and updated the intended actions and evidence required to address the two recommendations by October 2025.

18. Although none of the new audit recommendations were closed since they were previously reported to this committee in February 2025, progress has been made on many of the recommendations as detailed below and shown by the comparative percentage completion rates against the pie charts in Attachment A.

Progress on the 2024 recommendations

19. Progress on the 28 recommendations from 2024 includes:

· Auckland Council engagement with mana whenua and mātaawaka. Ngā Mātārae have commenced a series of individual Mana ki te Mana engagements. As at the end of May 2025, the Ngā Mātārae lead team have engaged with 13 mana whenua entities and two mātaawaka entities.

· Introduction of new Achieving Māori Outcomes Plan guidance which directs departments and CCOs to progress, where relevant, matters that mana whenua and mātaawaka have identified as being of priority to them.

· As part of the FY26 Achieving Māori Outcomes plans, all departments and CCOs must commit to building their capability to deliver the Māori outcomes activities that they are responsible for. In accordance with the Māori Outcomes Capability Plan, it is no longer enough for departments to build their cultural capability generally. Instead, the capability-building must be specific to the skills and knowledge that staff require to perform their roles, which will differ team by team, function by function.

· A significant milestone was achieved whereby the review of the Māori Outcomes Fund was successfully completed and received by the Policy and Planning Committee on 12 June 2025. The review addressed matters such as the governance system for Māori outcomes, an allocation model aligned with mana whenua priorities, and revised processes to promote transparency, communications and equitable awareness of funding initiatives.

Other governance activities

20. In June 2025, Ngā Mātārae had taken the following actions, amongst others, to respond to the internal audit of Māori Outcomes (February 2024):

· establishing the Ngā Mātārae workstreams for the implementation of Mana ki te Mana (formerly Strengthening and Resetting Relationships with Māori)

· the refresh of Kia Ora Tāmaki Makaurau including the implementation of Tāmaki Ora

· the rollout of Achieving Māori Outcomes plans for FY26

· the review of the Māori Outcome Fund.

21. On 10 April 2025, the Office of the Auditor General released their audit into how public organisations are fulfilling Treaty settlements. The report found that public organisations often treat Treaty settlement commitments as one-off tasks rather than enduring obligations, and highlighted systemic issues with tracking, governance, reporting and accountability. Although the audit focused on central government agencies, the findings and recommendations also apply to local government. Ngā Mātārae kaimahi are currently considering how Auckland Council responds to the findings of the audit report.

Tauākī whakaaweawe āhuarangi

Climate impact statement

22. There are no impacts on climate from this report. However, the Māori Outcomes Framework, which underpins the Treaty Audit Response Programme, includes Taiao Ora – environmental wellbeing as a core outcome.

Ngā whakaaweawe me ngā tirohanga a te rōpū Kaunihera

Council group impacts and views

23. The Treaty Audit Response Programme work enables the Council Group to strengthen responsiveness to Māori through targeted actions and improvements described in the Auckland Council’s Māori Outcomes Framework. The Māori Outcomes Framework is intended to provide clarity and guidance to the Council Group.

24. Ngā Mātārae works with relevant CCOs and departments to ensure alignment on actions and closure evidence, with the Māori Outcomes Steering Committee providing joint oversight.

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

Local impacts and local board views

25. The views of local boards have not been sought in relation to this report.

26. Where audit recommendations relate to engagement, capability, or policy settings that affect local delivery, staff will ensure local boards are informed and able to contribute through relevant planning and reporting processes.

Tauākī whakaaweawe Māori

Māori impact statement

27. The closure of treaty audit findings through the Treaty Audit Response Programme will have a positive impact on Māori as it leads to stronger responsiveness to Māori through targeted actions and improvements described in the Māori Outcomes Framework. For example, He Waka Kōtuia Te Tiriti o Waitangi Audit Response Work Programme 2024–2027 (Attachment A) contains specific improvements for Auckland Council to achieve more sustainably embedded Council policies, procedures and practices in discharging its obligations towards Māori in the community.

28. The programme addresses 30 open recommendations from the 2021 and 2024 Treaty audits, many of which directly align with Tāmaki Ora outcomes, including:

· Iwi Ora – advancing mana whenua priorities through agreed Achieving Māori Outcomes Plans.

· Taiao Ora – supporting Māori-led environmental restoration and kaitiakitanga initiatives.

· Whai Rawa Ora – improving Māori procurement and economic participation.

· Te Hapori Ora – strengthening community-based Māori wellbeing initiatives.

29. Embedding these actions into Auckland Council Group policies, procedures and delivery plans will increase the visibility, accountability, and sustainability of Māori outcomes.

Ngā ritenga ā-pūtea

Financial implications

30. The committee is not being asked to make a decision with financial implications. Any costs associated with delivering the Treaty Audit Response Programme are met from existing departmental budgets, including the Māori Outcomes Fund and relevant business-as-usual resources within departments and CCOs.

Ngā raru tūpono me ngā whakamaurutanga

Risks and mitigations

31. Delivery of the Treaty Audit Response Programme relies on coordinated action across Auckland Council Group. The key risks relate to understanding and interpreting the recommendations, maintaining governance momentum, and ensuring sufficient resources. These risks are being actively managed through joint oversight, clear accountability, and regular monitoring:

Risk	Description	Mitigation
Misinterpretation of recommendations	The 28 recommendations from the 2024 Treaty audit may not be fully understood, leading to delays or misaligned actions.	Houkura representation on the Māori Outcomes Steering Committee and regular engagement with Ngā Mātārae ensure consistent interpretation and closure criteria.
Governance cadence	Māori Outcomes Steering Committee meetings may not occur as planned, delaying progress monitoring and closure approvals.	Maintain agreed meeting schedule; Director Ngā Mātārae provides quarterly updates to the joint Governing Body and Houkura meetings.
Resource constraints	Limited staff capacity within Ngā Mātārae and across departments/CCOs may slow implementation, especially for cross-group actions.	Confirm action owners and sponsors; secretariat follows up regularly; escalation process in place to address barriers.
Loss of momentum	Competing priorities could result in Māori outcomes actions being deprioritised.	Six-monthly reporting to this committee; continued Risk and Assurance attendance at Steering Committee meetings to provide independent oversight.

Ngā koringa ā-muri

Next steps

32. Progressing with actions associated with each open recommendation as per He Waka Kōtuia Te Tiriti o Waitangi Audit Response Work Programme 2024–2027 (Attachment A).

33. The Risk and Assurance department will continue to attend Māori Outcomes Steering Committee meetings to monitor progress towards implementation of all the open recommendations.

34. The Māori Outcomes Steering Committee meetings and their requirement to review progress and approve closure of recommendations will continue.

Ngā tāpirihanga

Attachments

No.	Title	Page
a ⇩	He Waka Kōtuia Te Tiriti o Waitangi Audit Response Work Programme 2024–2027	21

Ngā kaihaina

Signatories

Author

Andre de Wet - Senior Risk Advisor

Authorisers

Max Hardy - Director Group Strategy and Chief Executive Office

Emma Burke - Chief Risk and Assurance Officer

Audit and Risk Committee

26 August 2025

Auckland Council Health, Safety and Wellbeing Update August 2025

File No.: CP2025/17248

Te take mō te pūrongoPurpose of the report

1. To provide an update on health, safety, and wellbeing (HSW) initiatives that are currently underway and the current state of key performance indicators as at 30 June 2025.

Whakarāpopototanga matua

Executive summary

2. Residual risk for non-compliant health and safety management systems has reduced from critical to high – the first such movement in this risk for some time – following progress in major workstreams, including the Health, Safety and Wellbeing (HSW) Framework, Contractor Safety Management Framework, and Key Safety Requirements. This is a key governance milestone, reflecting stronger controls and improved system maturity, but critical projects remain underway to embed these gains and ensure they are sustainable.

3. Organisational HSW reporting has been refreshed with optimised measures (Attachment B), and a draft three-year HSW plan has been developed to support delivery of strategic objectives. These system and planning upgrades provide the foundation for a more proactive, risk-based safety culture.

4. The Contractor Safety Management Framework project remains on track with strong organisational engagement, signaling important improvements in how council manages safety in contracted services.

5. Wellbeing indicators remain steady, with the June 2025 Peakon health and wellbeing score at 8.0. While this is slightly below benchmark, it remains a good result. Work-related stress remains the most common reason for EAP access, with a correlation to the Council-Controlled Organisation reform timeline.

6. The forward work programme includes several critical milestones with significant governance interest: finalising Key Safety Requirement documentation by October 2025, delivering recommendations from Project Taihoa in October 2025, and completing the ACC Accredited Employer Programme audit in November 2025 under the new ISO45001-aligned approach.

7. These initiatives collectively aim to embed stronger risk controls, address psychosocial and physical wellbeing risks, and reinforce a proactive safety culture that improves both compliance and wellbeing outcomes over the medium term.

Ngā tūtohunga

Recommendation/s

That the Audit and Risk Committee:

a) tuhi tīpoka / note the information in this report and the associated health, safety, and wellbeing indicators

b) whakaae / agree to refer this report to the Governing Body, along with any commentary the committee deems appropriate, and recommend that the Governing Body forwards this report to local boards for their information.

Horopaki

Context

8. This report provides commentary and a range of health, safety, and wellbeing performance indicators to enable the Audit and Risk Committee to provide objective advice and support Auckland Council’s officers (as defined within the Health and Safety at Work Act 2015) to exercise due diligence obligations.

9. Recommendations on the adequacy and functioning of Auckland Council’s HSW risk management system and associated programmes are subsequently shared with the Governing Body.

10. Regular reporting to the Audit and Risk Committee on health, safety and wellbeing enables decision-makers to monitor performance against statutory duties and organisational targets, track emerging risks and ensure timely mitigations, assess the effectiveness of systems and controls, and promote a proactive safety culture and continuous improvement.

11. By providing a consistent, transparent view of progress and challenges, these updates build organisational accountability, support informed decision-making, and reinforce the council’s commitment to the safety and wellbeing of kaimahi, elected members, contractors and the public.

Tātaritanga me ngā tohutohu

Analysis and advice

Enterprise risk control effectiveness

12. Enterprise health and safety risk refers to the potential risks that may adversely affect an organisation. There are three key enterprise level risks associated with Auckland Council. Refer to Attachment A for detail.

Risk title	Inherent risk	Current residual risk	Improvement plan summary/progress
The risk that non-compliant health and safety management systems and processes result in a systemic environment in which kaimahi may be seriously injured or killed due to unmitigated control gaps or failures.			Work on the HSW Framework (health and safety management system) and HSW risk framework over the past quarter means the residual risk rating shifts from critical to high.
Failure to effectively manage Accident Compensation Corporation injury claims and entitlements			Injury prevention and occupational health programmes have been confirmed in the FY26 workplan. Preparation for the ACC Audit 2025 is on track.
Insufficient effort applied to improve wellbeing of kaimahi			The Hauora strategy has been updated, and a new EAP provider (TELUS) has been secured. Psychosocial key safety requirement (KSR) is in final draft, and the psychosocial risk assessment workstream has been confirmed in the FY26 workplan (commencing October 2025).

Health and safety management system, safety risk management and safety critical risk

13. A HSW Risk Management Standard, Procedure and Process Mapping document set has been completed and is currently under technical review. This includes safety critical risk management. The approach will be tested with frontline teams and reviewed by the Auckland Council Risk and Assurance Team before being published/implemented.

14. Development of key safety requirement (KSR) documents is underway. These documents define each of our 24 risks, sources of harm and mandatory/recommended controls. This work will be completed by the end of October 2025.

15. The health and safety management system is under review/development. Thirteen modules have been identified for development and will be released progressively. This workstream will be completed by 31 March 2026.

Contractor safety management improvements

16. The development of the Contractor Safety Management Framework is on track, with the dedicated Contractor Safety Team are active across the organisation, working with teams to ensure contractor safety management practices are implemented and effective.

Wellbeing trends and interventions

17. Work-related stress continues to be the top cause of EAP access for work-related purposes, followed closely by work performance. A new EAP provider (TELUS) has been secured and will commence services for our Kaimahi on 1 September 2025.

18. Engagement with the Hauora Wellbeing Team remains steady, indicating strong and growing trust in our holistic, proactive support services. The Community Directorate continues to be the highest user of wellbeing services, likely reflecting the complex challenges faced by customer-facing kaimahi, including exposure to violence and aggression. The team provided 208 engagements in May 2025, with 54 per cent of these occurring in team settings. Steady engagement signals strength and growing trust in the robust, proactive service offering.

19. Project Taihoa, a six-month pilot across five customer-facing sites, is assessing the effectiveness of current health and safety controls. A set of recommendations for implementation will be recommended in October that are viable and sustainable with the objective of reducing harm and increasing safety and security interventions.

HSW reporting and planning

20. The initial HSW reporting refresh is now complete – please refer to Attachment B for the updated HSW measures and report format. The next stage will focus on uplifting reporting calibre at the directorate level.

21. The 3 Year HSW Workplan has been drafted and will be confirmed by the end of Q1, FY26.

ACC Accredited Employer Audit

22. The next Accident Compensation Corporation Accredited Employer Programme audit is scheduled for November 2025 (our first audit with ACC’s new ISO45001-aligned approach).

23. Preparation for the audit is on track.

Worker engagement, participation, and representation and safety culture

24. The HSR Leadership Group commenced in July 2025 and will meet monthly to support worker engagement in health, safety and wellbeing across the organisation. One of the first activities of the group is to review key safety requirements (KSR) documentation for suitability.

25. The June 2025 Peakon score for health and wellbeing remains steady at 8.0, consistent with the past three surveys. While this is slightly below the benchmark (by 0.2), it is still considered a ‘good’ result. Just over half of respondents (51%) are promoters, indicating a stable but flat trend with room to improve engagement and wellbeing outcomes.  Peakon suggests organisation prioritises focus areas mental and physical wellbeing.

26. A range of questions measuring safety maturity have been identified and one question will be selected for the next employee engagement (Peakon) survey (September 2025).

Tauākī whakaaweawe āhuarangi

Climate impact statement

27. Te Taruke-a-Tawhiri: Auckland’s Climate Plan acknowledges that if we do not take care of the environment, we are not taking care of our own health and wellbeing. While there are no climate impacts specifically arising from this performance report, the services Auckland Council provides, and related health, safety and wellbeing risk controls will have varying climate impacts that need to be considered on a case-by-case basis.

28. Changes to the climate may influence other health- and safety-related risks. Examples include, but are not limited to, the frequency and severity of natural disasters, emergence of new diseases, and the risk of working in high temperature environments. Climate is therefore considered a factor that may escalate existing risks.

Ngā whakaaweawe me ngā tirohanga a te rōpū Kaunihera

Council group impacts and views

29. This report relates to the performance and initiatives of the Auckland Council organisation and does not provide a group-wide view. Input from council-controlled organisations (CCOs) has not been sought, as the scope of the health, safety and wellbeing performance indicators and initiatives in this update is limited to Auckland Council kaimahi, elected members, and contractors engaged directly by the organisation.

30. Where council group-wide health, safety and wellbeing issues arise, these are addressed through separate reporting and coordinated work programmes across the Auckland Council Group.

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

Local impacts and local board views

31. While this report focuses on organisation-wide health, safety and wellbeing performance, some trends, such as higher work-related stress and increased exposure to violence and aggression among customer-facing kaimahi, may have differing impacts in particular local board areas, depending on service types and community needs.

32. It is recommended that this report is referred to the Governing Body and (as with previous health, safety, and wellbeing reports) that the Governing Body then forwards this report to Local Boards for their information, this will enable local boards to remain informed about organisation-wide health, safety and wellbeing matters that may affect services in their local areas.

Tauākī whakaaweawe Māori

Māori impact statement

33. This report does not recommend decisions that have specific impacts for Māori. However, Auckland Council’s health, safety and wellbeing approach incorporates kaupapa Māori values and contributes to Tāmaki Ora outcomes, particularly Te Hapori Ora (whānau and community wellbeing).

34. The Hauora (Wellbeing) programme utilises an approach that reflects kaupapa Māori values and interventions. The council’s current mental health improvement programme, Iti Kahurangi, is based on Te Whare Tapa Whā, a holistic Māori health model. This model acknowledges the different elements needed to sustain hauora, including wairua (spiritual), hinengaro (mental and emotional), tinana (physical), whānau (family and social) and whenua (land and roots). These initiatives aim to reduce harm and improve wellbeing for all kaimahi, with targeted support for Māori kaimahi, particularly those in high-risk customer-facing roles.

Ngā ritenga ā-pūtea

Financial implications

35. The work in this report is being managed within current budgets and there are no additional financial implications to report.

Ngā raru tūpono me ngā whakamaurutanga

Risks and mitigations

36. The risk of non-compliance with health and safety requirements is recorded in Auckland Council’s strategic risk register. This risk register entry provides an overview of the controls and mitigations in place.

37. Controls and mitigations in place include:

· Implementation of the HSW Framework, Contractor Safety Management Framework, and Key Safety Requirements, with clear completion milestones (October 2025 for KSRs; March 2026 for health and safety management system modules).

· Injury prevention and occupational health programmes, and preparation for the November 2025 ACC Accredited Employer Programme audit.

· Targeted wellbeing initiatives, including the Hauora Wellbeing Programme and Project Taihoa pilot, to address psychosocial risks and stress.

38. Refer to the HSW Enterprise Risk Register at Attachment A.

Ngā koringa ā-muri

Next steps

39. The draft three-year HSW workplan will be presented to the next Audit and Risk Committee.

40. Following the Audit and Risk Committee meeting, it is recommended that this report be referred to the Governing Body, with a recommendation that it is also forwarded to local boards for their information.

Ngā tāpirihanga

Attachments

No.	Title	Page
a ⇩	HSW Enterprise Risk Controls July 2025	29
b ⇩	HSW Report for July 2025	33

Ngā kaihaina

Signatories

Author

Brigitta Wassenaar - Health Safety and Wellbeing Programme

Authorisers

Becki Abbott - Head of Health Safety and Wellbeing

Mirla Edmundson - Chief People, Safety and Wellbeing Officer

Max Hardy - Director Group Strategy and Chief Executive Office

Emma Burke - Chief Risk and Assurance Officer

Audit and Risk Committee

26 August 2025

The Auditor-General's report to governors on the interim audit for the year ended 30 June 2025

File No.: CP2025/14880

Te take mō te pūrongo

Purpose of the report

1. To summarise the matters identified by Audit New Zealand on behalf of the Controller and Auditor-General during the interim audit for the year ended 30 June 2025 and outline how Auckland Council is addressing the matters.

Whakarāpopototanga matua

Executive summary

2. The Controller and Auditor-General has issued his report to governors following the completion of the interim audit. The report outlines areas in which internal controls and financial disclosures can be improved.

3. There is one new recommendation for a new service performance measure, that all active resource consents should be assigned risk ratings to ensure fair presentation of the “percentage of high-risk consents monitored” performance measure.

4. There are two recommendations that are similar to prior recommendations relating to delegated financial authorities.

5. Management accepts the recommendations and has provided responses outlining the actions being taken to address them.

Ngā tūtohunga

Recommendation/s

That the Audit and Risk Committee:

a) tuhi tīpoka / note the matters identified in the Controller and Auditor-General’s report to governors, for the interim audit of the year ended 30 June 2025, and management’s responses.

Horopaki

Context

6. The Controller and Auditor-General is Auckland Council’s external auditor, appointed by the Auditor-General to conduct the audit on his behalf. He uses his staff and his appointed auditor’s staff (Audit New Zealand) to review the statutory financial and performance reporting, and the internal controls they rely on.

7. On completion of the interim audit, the Controller and Auditor-General provides a report to governors which outlines areas in which internal controls and financial or service performance disclosures can be improved. The report for the interim audit of the group’s 30 June 2025 annual report is provided as Attachment A.

8. The report summarises the matters identified by Audit New Zealand staff (on behalf of the Controller and Auditor-General) during their interim audit and outlines management’s responses.

9. Recommendations are categorised as:

· Urgent - address urgently.

· Necessary - address at the earliest reasonable opportunity, generally within six months.

· Beneficial - address, generally within six to 12 months.

Tātaritanga me ngā tohutohu

Analysis and advice

10. Audit New Zealand completed their first and second interim audit visits for the 2024/2025 financial year in June 2025. Their focus was on:

· updating their understanding of the council’s systems and controls that support financial and service performance information

· assessing the effectiveness of those controls and of the overall control environment

· maintaining an awareness of key issues impacting the council.

11. Key messages relate to improvements needed in the control environment, systems and controls.

12. There is one new recommendation since the last report in relation service performance information systems and controls for the “percentage of high-risk consents monitored”. This measure is a new measure in the council’s Long-term plan 2024-2034 (LTP).

13. Audit New Zealand raised concerns with the data integrity that may materially impact the fair presentation of reported result. The recommendation is the council should prioritise assigning risk ratings to all active resource consents to ensure that reporting on them is based on a complete population. Management concurs and is working on assigning risk ratings to unrated consents and investigating automated approach.

14. Updates were provided on previously raised areas of control deficiency.

Matter

Recommendation

Management’s response

Review of delegated financial authority policy and SAP delegation

We continue to recommend a control should be established to ensure changes to the delegated financial authorities (DFAs) within the SAP system are properly authorised within policy parameter.

Management will review the underlying cause of non-compliance that has been identified and will put an action plan in place to address this recommendation.

Purchase Orders approved outside DFA

We continue to recommend that supporting documentation is appropriately retained by staff to evidence the instruction from their manager to approve Purchase Orders.

Our DFA guidance is clear that when a delegate, if required, authorises someone to act on their behalf that this should be recorded in writing for each decision.

Management will review the underlying cause of non-compliance that has been identified and will put an action plan in place to address this recommendation.

15. All recommendations are categorised as necessary except the new recommendation that is categorised as urgent.

Tauākī whakaaweawe āhuarangi

Climate impact statement

16. There are no items covered in this report that have an impact on climate change.

Ngā whakaaweawe me ngā tirohanga a te rōpū Kaunihera

Council group impacts and views

17. The council-controlled organisations which use our SAP platform have their own DFAs in SAP, so the matters raised would have no impact on them.

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

Local impacts and local board views

18. There are no matters in the report to governors that relate to local boards. Accordingly, the views of local boards have not been sought.

Tauākī whakaaweawe Māori

Māori impact statement

19. The report does not affect the achievement of Māori outcomes and does not include any recommendations in relation to that the group’s achievement of Māori outcomes.

Ngā ritenga ā-pūtea

Financial implications

20. There are no financial implications directly arising from the information contained in this report, although it should be noted that improper use of financial authority could lead to a financial loss to the council.

Ngā raru tūpono me ngā whakamaurutanga

Risks and mitigations

21. Management is actively addressing the issues raised. Audit New Zealand is assessing whether the remedial work being done my management will be enough not to impact the audit opinion of the 2024/2025 annual report.

Ngā koringa ā-muri

Next steps

22. Management will continue to follow up on its commitments to address the matters raised in the auditor’s report to governors.

Ngā tāpirihanga

Attachments

No.	Title	Page
a⇩	Report to Governors - Interim audit June 2025	59

Ngā kaihaina

Signatories

Authors

Yvonne Teo - External Stakeholder Group Reporting Manager

Chimka Gantumur - Senior Group Reporting Technical Account

Tracy Gers - Group Financial Controller

Authorisers

John Bishop - Group Treasurer

Ross Tucker - Group Chief Financial Officer

Emma Burke - Chief Risk and Assurance Officer

Audit and Risk Committee

26 August 2025

Auckland Council Group's NZX preliminary announcement and financial results to 30 June 2025

File No.: CP2025/14885

Te take mō te pūrongo

Purpose of the report

1. To inform the Audit and Risk Committee of the process followed to prepare the draft NZX announcement (including the group’s primary financial statements and notes) and accompanying media release for the financial year ended 30 June 2025.

Whakarāpopototanga matua

Executive summary

2. The draft Auckland Council Group NZX preliminary announcement (which includes the group’s primary financial statements and notes) and accompanying media release (collectively called the “draft 2025 NZX release”) have been prepared for the financial year ended 30 June 2025.

3. This report sets out and confirms the quality assurance processes undertaken in preparation of the draft 2025 NZX release.

4. The 2025 NZX preliminary announcement will be released to the NZX on Thursday, 28 August 2025.

Ngā tūtohunga

Recommendation/s

That the Audit and Risk Committee:

a) tuhi tīpoka / note that there are no significant outstanding issues relating to the process for the preparation of the draft 2025 NZX release

b) tuhi tīpoka / note that the draft 2025 NZX release will be discussed in the confidential section of this meeting.

Horopaki

Context

5. The Audit and Risk Committee reviews the quality of the annual report and summary annual report (annual reports) and the processes followed to prepare them. It liaises with Audit New Zealand to ensure a robust audit of the Auckland Council Group.

6. The Governing Body reviews the financial and non-financial performance of the group to ensure the integrity and reliability of the reported financial and performance information.

7. This report along with the associated confidential report, the Controller and Auditor-General’s briefing paper and his comments at this meeting, assist the Audit and Risk Committee to fulfil its duty as set out in the recommendations of this report.

8. Following the completion of the audit, Audit New Zealand will provide a report to those charged with governance which includes any matters arising from their final audit such as process or control deficiencies.

9. In accordance with the NZX listing rules, the group must lodge a results announcement with the NZX within 60 days of balance date.

10. The NZX release is required to comply with Appendix 2 of the NZX Listing Rules which requires:

· a statement of financial performance

· a statement of financial position

· a statement of cash flows

· a statement of movements in equity

· commentary on the results for the period, sufficient for a user to be able to compare the results with the prior period

· a statement as to whether the financial statements are audited, in the process of being audited or not yet audited and details of any (likely) qualifications

· a statement of accounting policies critical to the portrayal of the group’s financial condition and results and required judgements and estimates about uncertain matters

· the impact of any changes in accounting policies.

11. The draft 2025 NZX release is materially based on consolidated information obtained from the council, council-controlled organisations (CCOs) and Port of Auckland Limited’s reporting packs. Reporting packs have been supported by assurances obtained in representation letters which were signed by their respective chief financial officer/chief executive officers and chairs of their audit committee/boards.

12. At this meeting, Audit New Zealand, on behalf of the Controller and Auditor-General as the group’s auditor, will confirm clearance on the draft 2025 NZX release pursuant to the issue of their opinion on the group’s annual report in September 2025.

Tātaritanga me ngā tohutohu

Analysis and advice

13. The draft 2025 NZX release will be presented in the confidential section of this meeting.

14. The following reporting milestones outline the process to prepare, review and issue the audited financial results for year ended 30 June 2025.

Tauākī whakaaweawe āhuarangi

Climate impact statement

15. This report relates to the group’s financial statements only and as such has no climate implications. Information relating to the group’s impact on climate, and the climate’s impact on the group will be included in the annual reports.

Ngā whakaaweawe me ngā tirohanga a te rōpū Kaunihera

Council group impacts and views

16. The draft 2025 NZX release consolidates financial information provided by the substantive CCOs and Port of Auckland Limited.

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

Local impacts and local board views

17. The draft 2025 NZX release relates to reporting at a group level. Accordingly, the views of the local boards have not been sought.

Tauākī whakaaweawe Māori

Māori impact statement

18. The report does not affect the achievement or reporting on the council or group’s contributions towards Māori outcomes. The council’s contributions to Māori outcomes are reported in the annual reports.

Ngā ritenga ā-pūtea

Financial implications

19. There are no financial implications directly arising from the information contained in the report as such, no financial decision is sought.

Ngā raru tūpono me ngā whakamaurutanga

Risks and mitigations

Risk of error, omission or non-compliance in preparation of the draft 2025 NZX release

20. There is a risk that errors or inaccuracies could occur in the preparation of the draft 2025 NZX release. To mitigate this risk, quality assurance reviews were performed on the consolidated results and commentary and the year-end reports. The reviews focused on accuracy, completeness and reasonableness of disclosures, legislative compliance and adherence to Auckland Council communications standards. A summary of the reviews is as follows:

Reviewer	Consolidated results and commentary	Media release	Preliminary NZX release
Group chief financial officer
Group treasurer
Group financial controller
External stakeholder group reporting manager
Group technical accounting manager
Financial accounting manager
General manager financial strategy
Manager group performance reporting
Manager financial stakeholder relations
Senior specialist corporate communications and media
Senior solicitor and Mayne Wetherell

21. All quality assurance reviewers who performed reviews from a technical financial perspective are Chartered Accountant (CA) qualified or equivalent and have the appropriate technical accounting skills and knowledge.

22. There is a risk that significant matters that affect the financial performance, financial position or cash flows of council-controlled organisations or Port of Auckland Limited may not be adequately disclosed.

23. To mitigate this risk, the group financial controller has obtained short and long-form representation letters from the respective chief financial officer/chief executive officers and chairs of their audit committee/boards which cover the completeness, accuracy and adequacy of disclosures provided in their reporting. In addition, the group financial controller will obtain updates from the respective chief financial officers prior to the release to the NZX to ensure nothing else has arisen since the representation letters were signed, that could materially affect their financial reporting disclosures.

Ngā koringa ā-muri

Next steps

24. The draft 2025 NZX release will be presented to the Deputy Mayor on 26 August 2025 to recommend the mayor and chief executive approve the documents be released on
28 August 2025.

25. The draft 2025 NZX release will then be presented to the mayor and chief executive on
27August 2025 for approval before release on 28 August 2025.

Ngā tāpirihanga

Attachments

There are no attachments for this report.

Ngā kaihaina

Signatories

Authors

Yvonne Teo - External Stakeholder Group Reporting Manager

Chimka Gantumur - Senior Group Reporting Technical Account

Hinewairere Warren - Programme Manager

Tracy Gers - Group Financial Controller

Authorisers

John Bishop - Group Treasurer

Ross Tucker - Group Chief Financial Officer

Emma Burke - Chief Risk and Assurance Officer

Audit and Risk Committee

26 August 2025

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

That the Audit and Risk Committee

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: Substantive Council-Controlled Organisations' Quarterly Risk Update - August 2025

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