Minutes of Extraordinary Meeting of Council

3 21 December 2020

Minutes of an extraordinary meeting of The Hutt City Council held in the Council Chambers, 2nd Floor, 30 Laings Road, Lower Hutt on

Monday 21 December 2020 commencing at 5.42pm

PRESENT:	Mayor C Barry (Chair)	Deputy Mayor T Lewis
	Cr D Bassett	Cr J Briggs
	Cr K Brown (from 6.03pm)	Cr B Dyer
	Cr S Edwards	Cr D Hislop
	Cr C Milne (via audio-visual link)	Cr A Mitchell
	Cr S Rasheed	Cr N Shaw
	Cr L Sutton

APOLOGIES: There were no apologies.

IN ATTENDANCE: Ms J Miller, Chief Executive

Ms A Blackshaw, Director Neighbourhoods and Communities

Mr K Puketapu- Dentice, Director Economy and Development

Ms H Oram, Director Environment and Sustainability

Mr M Boggs, Director Strategy and Engagement

Ms J Livschitz, Chief Financial Officer

Mr B Cato, Chief Legal Officer

Mr J Griffiths, Head of Mayor’s Office (part meeting)

Ms W Moore, Head of Strategy and Planning (part meeting)

Mr D Koenders, Manager Financial Strategy and Planning

Ms H Stringer, Financial Transaction Services Manager (part meeting)

Ms A Andrews, Business Analyst – Rates and Finance (part meeting)

Mr J Lamb, Acting Head of Promotions and Events (part meeting)

Mr D Newth, Financial Accounting Manager (part meeting)

Ms J Randall, Programme Lead – Planning and Reporting

Ms K Glanville, Senior Democracy Advisor

Mrs H Clegg, Minute Taker

PUBLIC BUSINESS

1. APOLOGIES

There were no apologies.

2. PUBLIC COMMENT

Comments are recorded under the item to which they relate.

MAJOR ITEM NOT ON THE AGENDA

Resolved: (Mayor Barry/Deputy Mayor Lewis) Minute No. C 20601

“That in terms of Standing Order 10.12 Council:

(i) notes that a report on the Directors on Council Controlled Organisation was not included in the agenda for the meeting, for the reason that the information was not available until after the agenda had been distributed; and

(ii) agrees that the request be considered at this meeting for the reason that advertising for the directors can commence early in the New Year.”

3. CONFLICT OF INTEREST DECLARATIONS

Cr Brown declared a conflict of interest as she was Council’s representative on the Board of Urban Plus Limited. She took no part in discussions or voting on matters concerning Urban Plus Limited.

Cr Shaw declared a conflict of interest as she was Council’s representative on the Fraser Park Sports Working Group. She took no part in discussions or voting on matters concerning Fraser Park.

Cr Hislop declared a conflict of interest as she was Council’s representative on the Board of Seaview Marina Limited. She took no part in discussions or voting on matters concerning Seaview Marina Limited.

PRECEDENCE OF BUSINESS

In accordance with Standing Order 10.4, precedence was accorded to item 7) Wellington Water Limited Annual Report for the Year Ended 30 June 2020 and item 6) Annual Report 2019-2020. These items were considered at 5.42pm and the meeting adjourned at 6.29pm.

The items are recorded in the order in which they were listed on the order paper.

The meeting resumed at 8.36pm.

4. Committee Minutes with Recommended Items

Recommended Items

a) Long Term Plan/Annual Plan Subcommittee

30 November 2020

Resolved: (Mayor Barry/Cr Dyer) Minute No. C 20602

“That the report of the meeting held on 30 November 2020 excluding items 4(i) to 4(vi) be adopted, subject to the following amendments:

(i) page 15, paragraph three to read: In response to questions from members concerning the results of the step one calculation being 64%, the Manager…. ;

(ii) page 18, Item vi) Bulk Water Levy to read: Cr Dyer highlighted the large increase in the proposed bulk water level and finding ways to reduce water usage should be considered within the review of the Lower Hutt District Plan; and

(iii) amend the spelling of usage on page 18.”

Item 4i)

Fraser Park Sportsville (20/1475)

Cr Shaw declared a conflict of interest and took no part in discussions or voting on the matter.

Resolved: (Mayor Barry/Cr Brown) Minute No. C 20603

“That Council:

(i) notes and receives the report;

(ii) notes the report from the Working Group attached as Appendix 1 to the report;

(iii) notes that, on balance, officers support the option put forward by the Fraser Park Sportsville Board (FPS) of entering a new agreement for three years with increased funding allocations;

(iv) notes the request for funding from FPS attached as Appendix 3 to the report;

(iv) agrees to an increase of $134,814 in the funding grant payable to FPS in the current financial year 2020/21 (making the total for the year $234,814);

(vii) agrees that any funding request for 2024/25 and beyond is reviewed in 2023;

(viii) agrees to forgive the current debt of $75,309.11 owed to Council by FPS;

(ix) agrees to a possible additional payment to FPS of up to $57,402 (reduced by any end of year surplus), to enable payment of outstanding debts to other parties;

(x) notes that funding recommendations in the report are supported by the Hutt City Community Facilities Trust (CFT);

(xi) notes that additionally CFT is proposing to forgive $45K outstanding from the FPS founding member clubs fundraising contribution to the facility build; and

(xii) agrees that officers work with FPS and CFT on a formal funding agreement which incorporates clauses on improved governance, outcomes and financial reporting requirements and regular review periods including an annual review of financial grants.”

For the reasons that the proposed option provides the best opportunity to achieve the strategic intent of the Ricoh Sports Centre, the centre is still in a settling in period and has been faced with numerous challenges during this time, and the centre has shown improved operating performance over recent months.

Item 4ii)

Hutt City Community Facilities Trust - options for the future (20/1467)

Resolved: (Mayor Barry/Cr Rasheed) Minute No. C 20604

“That Council:

(i) receives the report;

(ii) notes the advice from PriceWaterhouseCoopers (PWC) in regard to the future of the Hutt City Community Facilities Trust (CFT), refer to Appendix 2 attached to the report;

(iii) agrees that option three as detailed in the PWC advice is the preferred option, refer to Appendix 2 attached to the report;

(iv) agrees to include in the Draft Long Term Plan 2021-2031 for consultation a proposed transfer of the assets from CFT to Council, with CFT retained as a non-active Trust for potential future use (being option three in the PWC advice), refer to Appendix 2 to the report; and

(v) notes that officers will progress further detailed assessment and planning in relation to option three. “

Item 4iii)

Development contributions policy review (20/1350)

Resolved: (Mayor Barry/Deputy Mayor Lewis) Minute No. C 20605

“That Council:

(i) notes the following changes have been included in the draft Development Contributions and Financial Contributions Policy referred to in recommendation (v) below;

a. The introduction of clearer information about when development contributions are assessed and paid;

b. The introduction of differentiated assessment rates for residential developments;

c. Refinement of non-residential assessment rates and the introduction of a clear position on how non-residential subdivisions will be assessed;

d. Inclusion of guidance on when it is acceptable to use special assessments;

e. The introduction of more formal processes for reconsiderations, objections, and remissions; and

f. Inclusion of new definitions to support administration of the draft Policy, such as a definition of bedroom to support differentiated assessment rates for residential developments;

(ii) notes the indicative charges for development contributions in Table 1 of the officer’s report, and that further work is progressing on finalising these charges which may result in changes;

(iii) notes that section 197AB(g) of the Local Government Act means that while a district wide catchment is not prohibited, it is strongly discouraged;

(iv) notes that district wide charges are proposed in the draft Policy for elements of the infrastructure programme that will serve and benefit all developments and areas in the city, especially the Transport programme and capacity upgrades at the Seaview wastewater treatment plant;

(v) agrees in-principle to the draft Development Contributions and Financial Contributions Policy, excluding the charges and schedules, attached as Appendix 1 to the report; and

(vi) notes that a complete and final draft of the Development Contributions and Financial Contributions Policy will be submitted to the 21 December 2020 Long Term Plan/Annual Plan Subcommittee for consultation approval.”

Item 4iv)

Long Term Plan 2021-2031 - Revenue and Financing Policy update report #3 (20/1417)

Resolved: (Mayor Barry/Cr Dyer) Minute No. C 20606

“That Council:

(i) notes the decisions of the Long Term Plan/Annual Plan Subcommittee on 24 September and 27 October 2020 and that this report has been prepared in response to those decisions;

(ii) endorses the draft Revenue and Financing Policy for consultation as part of the Long Term Plan 2021-2031 attached as Appendix 2 to the report;

(iii) notes the early draft of the Funding Impact Statement (attached as Appendix 3 to the report) and that this will be further updated as decisions are progressed by Council on the rates increases for consultation;

(iv) notes that Council will receive further detailed rating impact information at the Long Term Plan/Annual Plan Subcommittee meeting on
21 December 2020;

(v) notes that the draft documents are subject to audit review prior to final approval for consultation; and

(vi) notes that the draft documents will be reviewed by external legal specialists ahead of publication for consultation.”

Item 4v)

Long Term Plan 2021-2031 waste services - fees and charges, rates remission (20/1428)

Resolved: (Mayor Barry/Cr Briggs) Minute No. C 20607

“That Council:

(i) agrees to the Rates Remission Policy being updated to include remission of the new kerbside refuse and recycling targeted rates in certain circumstances as set out in Appendix 1 attached to the report;

(ii) agrees to include new waste services fees and charges in the Draft Long Term Plan 2021-2031 to support the new kerbside refuse and recycling collection service as set out in Appendix 2 attached to the report;

(iii) agrees to endorse this approach to be included in the Long Term Plan 2021-2031 for public consultation; and

(iv) notes that detailed implementation planning is underway and that officers will report regularly to Council as this progresses.”

Item vi)

Bulk Water Levy (20/1538)

Resolved: (Mayor Barry/Cr Hislop) Minute No. C 20608

“That Council:

(i) advises Greater Wellington Regional Council that it prefers option 2, to smooth increases over the first few years of the 2021-31 Long Term Plan (LTP);

(ii) requests Greater Wellington Regional Council to further consider the smoothing of proposed increases to minimise the impact in the first two years, given the current economic situation;

(iii) notes that the proposed increase has yet to be factored into draft budgets and that the commercial metered water charge will be adjusted in line with the proposed increase; and

(iv) agrees that Council assumes that option 2 be included in the Draft LTP pending further information from Greater Wellington Regional Council.”

RECOMMENDATIONS TO COUNCIL FROM the LONG TERM PLAN/ANNUAL PLAN SUBCOMMITTEE MEETING HELD ON 21 DECEMBER 2020 (20/1685)

Resolved: (Mayor Barry/Deputy Mayor Lewis) Minute No. C 20609

“That Council adopts the recommendations made on the following reports, and any amendments or additional items agreed at the Long Term Plan/Annual Plan Subcommittee meeting held on 21 December 2020:

(i) Statement of Intent for Urban Plus Limited;

(ii) Draft Infrastructure Strategy 2021-2051;

(iii) Draft Development and Financial Contributions Policy 2021;

(iv) Long Term Plan 2021-2031: Non-Financial Aspects;

(v) Long Term Plan 2021-2031, Financial Aspects;

(vi) Long Term Plan 2021/31 Approach for Asset Management;

(vii) Proposed budgets regarding Solid Waste Disposal and Resource Recovery for the 2021-2031 Long Term Plan; and

(viii) Rubbish and recycling fees and charges further information.”

Annual Report 2019-2020 (20/1663)

Report No. HCC2020/6/318 by the Programme Lead - Planning and Reporting

Speaking under public comment, Mr Matt Young expressed concern that the greenhouse gas reduction of 11% had no other qualifying information alongside it.

Mr Andrew Clarke, Audit New Zealand was in attendance for the item.

The Chief Financial Officer elaborated on the report.

Cr Bassett rejoined the meeting at 6.18pm.

Mr Clarke explained that the Wellington Water Limited audited report had now been received by Audit New Zealand with all qualifications of the report carried through to Council’s Annual Report audit report.

The Head of Strategy and Planning advised that the Annual Report summary document had yet to be audited. She said this would occur in January 2021.

In response to a question from a member querying the issue raised in public comment, the Head of Strategy and Planning advised the 11% figure was a city wide figure. However she agreed to remove it from the document. The Chief Executive referred members to the explanatory note on the bottom of page 18 of the officer’s report.

In response to questions from members regarding the use of 2018 census data, the Chief Executive acknowledged the use of dated data and median figures and advised an advisory note would be included in the document.

Resolved: (Mayor Barry/Cr Dyer) Minute No. C 20610

“That Council:

(i) notes the changes made to Council’s Annual Report to 30 June 2020 outlined in Table 1 contained within the report;

(ii) notes that the Annual Report attached as Appendix 1 to the report will be available on Council’s website within one month of adopting the Annual Report along with the Summary Annual Report;

(iii) adopts the Annual Report for the year ended 30 June 2020 subject to receipt of Audit New Zealand’s opinion on the Annual Report; and

(iv) agrees that the Chief Executive will approve the Summary Annual Report following completion of the audit review and make any minor changes as discussed at the meeting.”

For the reasons outlined in the officer’s report.

The meeting adjourned at 6.29pm.

Wellington Water Limited Annual Report for the Year ended 30 June 2020 (20/1744)

Report No. HCC2020/6/331 by the Manager Financial Strategy & Planning

Mr Geoff Dangerfield, Board Chair, Ms Tonia Haskell, Acting Chief Executive and Mr Mark Ford, Chief Financial Officer from Wellington Water Limited were in attendance for the item.

Mr Dangerfield provided a summary of the process of the Annual Report to date and outlined the issues raised by Audit New Zealand.

Cr Brown joined the meeting at 6.03pm.

In response to a question from a member, Ms Haskell agreed to report back concerning why Council did not meet the average-consumption-of-drinking-water target and why all Councils had different targets.

Resolved: (Mayor Barry/Cr Edwards) Minute No. C 20611

“That Council:

(i) receives and notes the Annual Report for Wellington Water Limited for the year ended
30 June 2020;

(ii) notes the qualified audit opinion to be received by Wellington Water Limited; and

(iii) notes the qualified audit opinion will have a consequential impact on the Council’s Annual report.”

Cr Bassett left the meeting at 6.14pm.

7a)

Directors on Council Controlled Organisations (20/1760)

Report No. HCC2020/6/332 by the Head of the Mayor's Office

Cr Brown declared a conflict of interest in relation to Urban Plus Ltd and took no part in discussion or voting on the matter.

Cr Hislop declared a conflict of interest in relation to Seaview Marina Ltd and took no part in discussions or voting on the matter.

Mayor Barry elaborated on the report.

Resolved: (Mayor Barry/Deputy Mayor Lewis) Minute No. C 20612

“That Council:

(i) notes Mr Brian Walshe has served as Chairperson of Urban Plus Ltd and Seaview Marina Ltd since his appointment as a director in April 2012;

(ii) notes Mr Walshe has indicated he intends to step down from the board, and as the Chair of Urban Plus Ltd and Seaview Marina Ltd in 2021, and that a new chairperson will have to be appointed;

(iii) notes a Selection Panel consisting of the Mayor, Deputy Mayor, Chief Executive (or her nominee), and the Chair of Urban Plus Ltd and Seaview Marina Ltd, will be convened to consider the appointment of a new chairperson for both organisations;

(iv) notes the Selection Panel will also consider further director appointments to maintain effective governance across both organisations, and that officers propose Council appoint one director to Urban Plus Ltd and two directors to Seaview Marina Ltd;

(v) notes the Selection Panel will bring recommendations regarding the appointments to Council at its meeting on 24 March 2021;

(vi) agrees to extend Mr Walshe’s current term on Urban Plus Ltd and Seaview Marina Ltd through until 30 June 2021 to ensure a smooth transition and handover to a new chairperson and directors.”

8. QUESTIONS

There were no questions.

Mayor Barry wished everyone best wishes for the coming festive season.

9. CLOSING FORMALITIES - Karakia WHAKAMUTUNGA

Whakataka te hau ki te uru

Whakataka te hau ki te tonga

Kia mākinakina ki uta

Kia mātaratara ki tai

E hī ake ana te atakura

He tio, he huka, he hau hū

Tīhei mauri ora.

Cease the winds from the west
Cease the winds from the south
Let the breeze blow over the land
Let the breeze blow over the ocean
Let the red-tipped dawn come with a sharpened air.
A touch of frost, a promise of a glorious day.

There being no further business the Chair declared the meeting closed at 8.45pm.

C Barry

MAYOR

CONFIRMED as a true and correct record

Dated this 24th day of March 2021