HuttCity_TeAwaKairangi_BLACK_AGENDA_COVER

 

 

Komiti Ratonga Rangatōpū me te Rautaki
Policy, Finance and Strategy Committee

 

 

9 November 2021

 

 

 

Order Paper for the meeting to be held in the

Council Chambers, 2nd Floor, 30 Laings Road, Lower Hutt,

on:

 

 

Tuesday 16 November 2021 commencing at 2.00pm

 

The meeting will be held under Alert Level 2.

 

 

Membership

 

 

Cr S Edwards (Chair)

Mayor C Barry

Cr G Barratt

Cr J Briggs

Cr K Brown (Deputy Chair)

Cr B Dyer

Cr D Hislop

Deputy Mayor T Lewis

Cr C Milne

Cr A Mitchell

Cr S Rasheed

Cr N Shaw

Cr L Sutton

 

 

For the dates and times of Council Meetings please visit www.huttcity.govt.nz

 

Have your say

You can speak under public comment to items on the agenda to the Mayor and Councillors at this meeting. Please let us know by noon the working day before the meeting. You can do this by emailing DemocraticServicesTeam@huttcity.govt.nz or calling the Democratic Services Team on 04 570 6666 | 0800 HUTT CITY

 

 


POLICY, FINANCE & STRATEGY COMMITTEE
Membership:		13
Meeting Cycle:		Meets on an eight weekly basis, as required or at the requisition of the Chair
Quorum:		Half of the members
Membership RMA Hearings:	An independent Commissioner plus a minimum of either 3 or 4 elected members (including the Chair) and alternates who have current certification under the Making Good Decisions Training, Assessment and Certification Programme for RMA Decision-Makers. 
Reports to:		Council

HuttCity_TeAwaKairangi_SCREEN_MEDRES

 

OVERVIEW:

This Committee assists Council in setting the broad direction of the city, discharging statutory functions, and overseeing organisational performance.

The Committee is aligned with the Transformation & Resources, and Strategy & Engagement, Directorates.

Its areas of focus are:

§   Long term/high level strategic focus

§   Long Term Plan/Annual Plan oversight

§   District Plan oversight

§   Housing/homelessness

§   City growth/economic development

§   Financial and non-financial performance reporting

§   Oversight of Property Working Group

§   Oversight of strategies and policies

§   Bylaw development

§   Oversight of CCOs/approval of SOIs

 

PURPOSE:

To assist the Council in setting the broad vision and direction of the city in order to promote the social, economic, environmental and cultural wellbeing of the city’s communities in the present and for the future. This involves determining specific outcomes that need to be met to deliver on the vision for the city, and overseeing the development of strategies, policies, bylaws and work programmes to achieve those goals. This committee is also responsible for monitoring the overall financial management and performance of the Council Group.

 

DELEGATIONS FOR THE COMMITTEES AREAS OF FOCUS:

§  All powers necessary to perform the Committee’s responsibilities including the activities outlined below.

§  Develop required strategies and policies. Recommend draft and final versions to Council for adoption where they have a city-wide or strategic focus.

§  Implement, monitor and review strategies and policies.

§  Oversee the implementation of major projects provided for in the LTP or Annual Plan.

§  Oversee budgetary decisions provided for in the LTP or Annual Plan.

§  Recommend to Council the approval of any financial decisions required outside of the annual budgeting process.

§  Maintain an overview of work programmes carried out by the Council’s Transformation & Resources, and Strategy & Engagement, Directorates.

§  Conduct any consultation processes required on issues before the Committee.

§  Approval and forwarding of submissions.

§  Any other matters delegated to the Committee by Council in accordance with approved policies and bylaws.

§  The committee has the powers to perform the responsibilities of another committee where it is necessary to make a decision prior to the next meeting of that other committee. When exercised, the report/minutes of the meeting require a resolution noting that the committee has performed the responsibilities of another committee and the reason/s.

§  If a policy or project relates primarily to the responsibilities of the Policy, Finance & Strategy Committee, but aspects require additional decisions by the Communities Committee, Infrastructure & Regulatory Committee and/or Climate Change & Sustainability Committee, then the Policy, Finance & Strategy Committee has the powers to make associated decisions on behalf of those other committees. For the avoidance of doubt, this means that matters do not need to be taken to more than one of those committees for decisions.

District Plan Delegations:

§  Undertake a full review of the City of Lower Hutt District Plan, including oversight of the District Plan Review Subcommittee in establishing a District Plan work programme and monitoring its implementation.

§  Consideration of matters related to the preparation and ongoing monitoring of the City of Lower Hutt District Plan.

§  Preparation of required Changes and Variations to the City of Lower Hutt District Plan for Council approval to call for submissions.

§  Make recommendations to Council on private District Plan Change requests for Council to accept, adopt or reject.

§  The Chair of the Policy, Finance & Strategy Committee, in conjunction with the Chief Executive, is authorised to appoint a District Plan Hearings Subcommittee of suitably qualified persons to conduct hearings on behalf of the Committee.

Bylaw Delegations:

§  Develop and agree the Statement of Proposal for new or amended bylaws for consultation.

§  Recommend to Council the approval of draft bylaws prior to consultation.

§  The Chair of the Policy, Finance & Strategy Committee, in conjunction with the Chief Executive, is authorised to appoint a Subcommittee of suitably qualified persons to conduct hearings on draft bylaws on behalf of the Committee.

§  Recommend to Council new or amended bylaws for adoption.

Financial, Project and Performance Reporting Delegations:

§  Recommend to Council the budgetary parameters for preparation of the Council’s Long Term Plans (LTP) and Annual Plans.

§  Monitor progress towards achievement of budgets and objectives for the Council Group as set out in the LTP and Annual Plans, including associated matters around the scope, funding, prioritising and timing of projects.

§  Monitoring and oversight of significant city-wide or strategic projects including operational contracts, agreements, grants and funding, except where these are the responsibility of another standing committee.

§  Monitor progress towards achievement of the Council’s outcomes as set out in its overarching strategies for the city and their associated plans.

§  Oversee the activities of the Property Working Group in its implementation of the Purchase and Sale of Property for Advancing Strategic Projects Policy.

§  Oversee the acquisition and disposal of property in accordance with the LTP.

§  Monitor the integrity of reported performance information at the completion of Council’s Annual Report process.

§  Review and recommend to Council the adoption of the Annual Report.

§  Recommend to Council the approval of annual Statements of Corporate Intent for Council Controlled Organisations and Council Controlled Trading Organisations and granting shareholder approval of major transactions.

§  Monitor progress against the CCO and CCTO Statements of Intent and make recommendations to Council in the exercising of Council powers, as the shareholder, in relation to Council Controlled Organisations/Council Controlled Trading Organisations under sections 65 to 72 of the Local Government Act.

§  Oversee compliance with Council’s Treasury Risk Management Policy.

§  Consider and determine requests for rates remissions.

§  Consider and determine requests for loan guarantees from qualifying community organisations where the applications are within the approved guidelines and policy limits.

 

 

NOTE:

 

The Ministry for the Environment advocates that Councils offer specialist RMA training in areas of law which are difficult to grasp or where mistakes are commonly made. This is to complement the Good Decision Making RMA training that they run (which is an overview and basic summary of decision making, rather than an in-depth training in specific areas of the RMA). Therefore in order to facilitate this, the RMA training run for councillors that wish to be hearings commissioners is mandatory.

 

Reasons for the importance of the training:

1.   Hearings commissioners are kept abreast of developments in the legislation.

2.   Legal and technical errors that have been made previously are avoided (many of which have resulted in Environment Court action which is costly, time consuming and often creates unrealistic expectations for the community).

3.   The reputation of Council as good and fair decision makers or judges (rather than legislators) is upheld.

 

    


TE KAUNIHERA O TE AWA KAIRANGI | HUTT CITY COUNCIL

 

Komiti Ratonga Rangatōpū me te Rautaki
Policy, Finance and Strategy Committee

 

Meeting to be held in the Council Chambers, 2nd Floor, 30 Laings Road, Lower Hutt on

 Tuesday 16 November 2021 commencing at 2.00pm.

 

ORDER PAPER

 

Public Business

 

1.       Opening formalities - Karakia Timatanga (21/1478)

Kia hora te marino

Kia whakapapa pounamu te moana

He huarahi mā tātou i te rangi nei

Aroha atu, aroha mai

Tātou i a tātou katoa

Hui e Tāiki e!

 

May peace be wide spread

May the sea be like greenstone

A pathway for us all this day

Let us show respect for each other

For one another

Bind us together!

 

2.       APOLOGIES

Cr N Shaw

3.       PUBLIC COMMENT

Generally up to 30 minutes is set aside for public comment (three minutes per speaker on items appearing on the agenda). Speakers may be asked questions on the matters they raise.

4.       CONFLICT OF INTEREST DECLARATIONS

Members are reminded of the need to be vigilant to stand aside from decision making when a conflict arises between their role as a member and any private or other external interest they might have     

5.       Recommendations to Council | Te Kaunihera o Te Awa Kairangi - 16 December 2021

a)      Proposed Private Plan Change 53: 190, 236 and 268 Stratton Street, Normandale - Rezoning to Rural Residential Activity Area (21/1733)

Report No. PFSC2021/5/257 by the Policy Planner                                       9

Chair’s Recommendation:

“That the recommendations contained in the report be endorsed.”

 

b)      Kaupapa Here Tapanga Naming Policy 2022 - 2027 (21/1720)

Report to follow.

 

c)      Wellington Water Limited Annual Report for the year ended 30 June 2021 (21/1766)

Report No. PFSC2021/5/261 by the Strategic Advisor                              130

Chair’s Recommendation:

“That the recommendations contained in the report be endorsed.”

6.       District Plan Review Update (21/1735)

Report No. PFSC2021/5/262 by the Policy Planner                                            197

Chair’s Recommendation:

“That the recommendation contained in the report be endorsed.”

7.       Three Waters Reform (21/1785)

Report No. PFSC2021/5/263 by the Strategic Advisor                                        202

Chair’s Recommendation:

“That the recommendations contained in the report be endorsed.”

8.       Strategic Change Framework (21/1805)

Report No. PFSC2021/5/264 by the Strategic Programmes Manager                 376

Chair’s Recommendation:

“That the recommendation contained in the report be endorsed.”

9.       Policy, Finance and Strategy Committee Work Programme 2021-2022 (21/1782)

Report No. PFSC2021/5/139 by the Democracy Advisor                                   381

Chair’s Recommendation:

“That the recommendation contained in the report be endorsed.”

10.     QUESTIONS

With reference to section 32 of Standing Orders, before putting a question a member shall endeavour to obtain the information. Questions shall be concise and in writing and handed to the Chair prior to the commencement of the meeting.

11.     EXCLUSION OF THE PUBLIC

CHAIR'S RECOMMENDATION:

 

“That the public be excluded from the following parts of the proceedings of this meeting, namely:

12.     Application for Rates Remission (21/1729)

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 are as follows:

 

(A)

(B)

(C)

 

 

 

General subject of the matter to be considered.

Reason for passing this resolution in relation to each matter.

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

 

 

 

 

 

 

Application for Rates Remission.

The withholding of the information is necessary to protect the privacy of natural persons. (s7(2)(a)).

That the public conduct of the relevant part of the proceedings of the meeting would be likely to result in the disclosure of information for which good reason for withholding exist.

 

 

This resolution is made in reliance on section 48(1) of the Local Government Official Information and Meetings Act 1987 and the particular interest or interests protected by section 6 or 7 of that Act which would be prejudiced by the holding of the whole or the relevant part of the proceedings of the meeting in public are as specified in Column (B) above.”

 

 

 

Judy Randall
DEMOCRACY ADVISOR

 


                                                                                       0                                                 16 November 2021

Policy, Finance and Strategy Committee

20 October 2021

 

 

 

File: (21/1733)

 

 

 

 

Report no: PFSC2021/5/257

 

Proposed Private Plan Change 53: 190, 236 and 268 Stratton Street, Normandale - Rezoning to Rural Residential Activity Area

 

Purpose of Report

1.    This report presents the recommended decision of the hearing panel on Proposed Private District Plan Change 53: 190, 236 and 268 Stratton Street, Normandale - Rezoning to Rural Residential Activity Area.

Recommendations

That the Committee recommends that Council:

(1)        receives the report and recommendation of the hearing panel dated 13 October 2021, acting under delegated authority pursuant to Section 34A of the Resource Management Act 1991, for the hearing of submissions and further submissions on Private District Plan Change 53;

(2)        notes the process under the Resource Management Act 1991 (RMA) for Proposed Private District Plan Change 53: 190, 236 and 268 Stratton Street, Normandale - Rezoning to Rural Residential Activity Area;

(3)        approves Private District Plan Change 53 in accordance with Clause 29 of Schedule 1 to the Resource Management Act 1991 as recommended in the report by the hearing panel and attached as Appendix 1 to the report;

(4)        adopts the recommended decision on Private District Plan Change 53 and the further evaluation and reasons for that decision set out in the report by the hearing panel contained within Appendix 1 to this report; and

(5)        resolves to publicly notify its decision on Private District Plan Change 53 within 10 working days of this decision, and to service the decision on the applicant and submitters.

For the reasons that the hearing panel has considered the issues and all submissions on Proposed Plan Change 53, and where appropriate, has modified the notified provisions of the proposal in response to submissions and based on the evidence provided to the hearing panel.

 

Background

2.    Urban Edge Planning Ltd, on behalf of Judy and Neville Bannister, lodged a private plan change request with Council on 8 November 2019. The purpose of the request was for a change to the District Plan to rezone land in Stratton Street, Normandale to Rural Residential Activity Area.

3.    At its 10 December 2019 meeting, Council resolved to accept the private plan change request, and instructed officers to commence the plan change process for a private plan change, as set out in the First Schedule of the RMA.

4.    The proposal was publicly notified for submissions on 14 January 2020. Seven submissions were received, one submission in opposition, and six submissions not stating whether they support or oppose the proposal but seeking changes.

5.    A summary of the decisions requested in submissions was publicly notified on 17 March 2020, to provide for further submissions. Three further submissions were received. Following receipt of submissions, the applicant sought to resolve issues raised in submissions. Through this process (including the subsequent hearing), the requestor amended the proposal. The amendments were:

a.       Addition of new site-specific District Plan provisions relating to:

i.     New standards relating to minimum size of allotments, minimum frontage, shape factor, number of allotments, access and no-development areas

ii.    New assessment criteria relating to allotment design, engineering design and effects on the roading network

iii.   New rule relating to non-compliance with the allotment design standards

iv.   New rule relating to non-compliance with the no-development areas

v.    New appendix identifying where the site-specific provisions apply, and identifying the no-development areas.

6.    Council appointed a hearing panel to hear the application and submissions and make a recommendation to Council. A hearing on the proposal with the hearing panel, was held on 10 September 2021. The hearing panel has assessed the evidence presented at the hearing and has now prepared a recommended decision which is attached as Appendix 1 to this report.

7.    The hearing panel’s overall recommendation is as follows:

5.1   Based on our consideration of all the material before us, including the section 42A report from the Council’s advisors, submissions, further submissions, evidence presented at the hearing and following consideration of the requirements of section 32AA and other relevant statutory matters, and for the reasons we have set out above in Sections 3 and 4, we recommend to the Council that:

 

a.      the plan change be accepted as notified, and as further amended prior to, during and subsequent to the hearing, as set out in Appendix 2;

b.      that all submissions on the plan change be accepted or rejected to the extent that they correspond with that conclusion and the matters we have set out in the preceding report sections (and as summarised in Appendix 1); and

c.      pursuant to Clause 10 of the First Schedule of the Resource Management Act 1991, Council give notice of its decision on submissions to Plan Change 53.

 

5.2   We further recommend that the Council undertake a survey of road usage, driver behaviour and road conditions relating to Stratton Street, to provide a benchmark, inform the nature of potential improvements, and assist the Council in deciding at what point specific interventions are required. For guidance on the scope and methodology employed, the Council can refer to the brief prepared by Mr Clark and Mr Wanty titled Joint statement by traffic experts re roading surveys along Stratton Street, 10 September 2021, and attached as Appendix 3 to Final Evidence – Right of Reply Joint Statement by C Tessendorf and D Kellow, 17 September 2021. We note that our recommendation that the plan change be accepted is not conditional on the undertaking of this survey.

Options

8.    The decision before Council is to either adopt or reject the hearing panel’s recommendation to approve Proposed Plan Change 53, including the recommended amendments to the notified text and recommended decisions on submissions.

9.    If Council decides to adopt the recommendation as the Council decision, the availability of the Council decision will be publicly notified in the Hutt News. At the same time a copy of the public notice and information about how to lodge an appeal will be served on the applicant and all submitters, in accordance with clause 29(6) of the First Schedule of the RMA.

10.  Any person who has made a submission on Proposed Plan Change 53, and the requestor of the proposed plan change, have the right to appeal to the Environment Court in respect of:

a.         A provision/matter included or excluded in the proposal, or

b.         A provision which the decisions of Council proposed to include or exclude in the plan change.

11.  A submitters’ right to appeal is limited to the provision or matter in the person’s submission on the proposed plan change.

12.  If Council decides to reject the recommendation of the hearing panel the process would at least go back to the hearing stage.  All submitters and the requestor of the proposed plan change would have to be re-heard, either in front of the same hearing panel or by newly appointed hearings commissioners. This would cause additional costs and time delays. Council does not have the option of making changes to the hearing panel’s recommendation because Council has not heard the evidence presented at the hearing and to change the recommendation would not demonstrate fairness or natural justice to the plan change requestor or submitters.

13.  If no appeals to the decision on the plan change area are received, then that concludes the process and no further action is required. If one or more appeals to the plan change are received, then Council would need to defend this decision in the Environment Court.

14.  With regard to the further recommendation relating to Council undertaking a survey of road usage, driver behaviour and road conditions relating to Stratton Street, this recommendation and associated brief has been referred to Council’s Transport team.

Climate Change Impact and Considerations

15.  Climate change impact and considerations have been part of the evaluation of the plan change to the extent they are relevant under the Resource Management Act.    

Consultation

16.  Full public notification and involvement in the plan change process has occurred in the processing of the plan change, as required by the RMA. The decision of Council will be publicly notified and a copy of the decision and recommendation report will be available on Council’s website.

Legal Considerations

17.  To date all legal considerations under the Resource Management Act 1991 have been taken into account and all processes carried out within the requirements of the Act.

Financial Considerations

18.  The costs with processing the Private Plan Change request are passed on to the applicant. There are no financial considerations at this stage. There would be additional costs if the decision is appealed.

19.  If Council decided to not adopt the recommendation of the hearing panel, there would be significant additional costs associated with repeating all or part of the process, such as rehearing matters.

 

 

Appendices

 

No.

Title

Page

1

Appendix 1: Plan Change 53 Report with Recommendation of Independent Hearing Panel)

14

    

 

 

 

 

 

Author: Hamish Wesney

Policy Planner

 

 

 

 

 

 

Reviewed By: Parvati Rotherham

Head of Planning

 

 

 

Approved By: Helen Oram

Director Environment and Sustainability

 


Attachment 1

Appendix 1: Plan Change 53 Report with Recommendation of Independent Hearing Panel)

 






















































































































                                                                                       0                                                 16 November 2021

Policy, Finance and Strategy Committee

26 October 2021

 

 

 

File: (21/1766)

 

 

 

 

Report no: PFSC2021/5/261

 

Wellington Water Limited Annual Report for the year ended 30 June 2021

 

Purpose of Report

1.    To provide Council with the Annual Report for Wellington Water Limited (WWL) for the year ended 30 June 2021.

Recommendations

That the Committee recommends that Council:

(1)   receives and notes the Annual Report for Wellington Water Limited for the year ended 30 June 2021, attached as Appendix 1 to the report;

(2)   notes the qualified audit opinion, which was not unexpected following the qualified audit opinion from last year, with two non-financial measures not able to be sufficiently supported by Wellington Water Limited; and

(3)   notes the qualified audit opinion will have a consequential impact on Council’s Annual Report.

 

Background

2.    It is a requirement of the Local Government Act 2002 that Council Controlled Organisations (CCOs) deliver to the shareholders an annual report on their organisations’ operations.

3.    Wellington Water Limited (WWL) is a Council Controlled Organisation owned jointly by six shareholder Councils: Wellington City Council, Hutt City Council, Upper Hutt City Council, Porirua City Council, South Wairarapa District Council, and Greater Wellington Regional Council.

4.    WWL does not operate to make a financial return and its purpose is to create excellence in regional water services so that communities prosper. WWL plans and delivers the three waters services (drinking-water, wastewater, and stormwater) to the metropolitan Wellington region on behalf of the six shareholder councils.

5.    The three waters services include the collection, treatment and delivery of drinking water, wastewater and stormwater and the construction, operation, management and maintenance of the three waters network assets and systems, as well as treatment facilities, pump stations, reservoirs and related networks.

6.    WWL is governed by a Board of Directors. The Chair of the Board reports to the Wellington Water Committee, which is made up of representatives of all six shareholder councils and is currently chaired by Mayor Barry.

7.    The Wellington Water Committee provides governance oversight of WWL and its management of the network infrastructure for the delivery of the three waters services. This is done by considering WWL’s half-yearly and annual reports, monitoring WWL’s performance, appointing directors to the Board and providing recommendations to shareholders on WWL’s proposals.

Discussion

8.    The WWL Annual Report, including the Audit New Zealand Independent Auditor’s Report, is attached as Appendix 1 to this report.

9.    The WWL Annual Report details key achievements across the year, together with performance results compared to the Statement of Intent performance measure targets.  The financial results for the year show a net surplus after tax of $415k.

10.  WWL develops and agrees operational and capital programmes based on the shareholder Council Long Term Plans. WWL enters into contracts directly with contractors to perform the work programmes and manage projects.

11.  The report discloses the Hutt City Council share of activity for the year. This includes a management fee of $2.8M, operational programme $13.5M and capital programme $24.6M.  The capital spend for the year was more than twice that of the previous year.

12.  The audit opinion notes two mandatory non-financial measures (set by the Department of Internal Affairs), where issues were identified and considered material, resulting in an ‘except for’ qualified opinion in respect of these measures.  They were for water loss and total number of customer complaints.

13.  This result was an improvement on the previous Annual Report where five measures considered material received a qualified opinion. The two measures that received a qualified opinion were not unexpected. These were measures that actions or system improvements were not able to be undertaken in the year to satisfy Audit New Zealand that they were sufficiently supportable. Actions are being taken, such as installation of sub area water meters to better quantify water leaks, to address these two matters.

Climate Change Impact and Considerations

14.  WWL included in its plan an impact statement on reducing the impacts of climate change. For the 2020/21 financial year WWL developed trajectories to forecast carbon emissions out to 2050 for its operation, to better inform councils on the investment required to reduce emissions.

15.  WWL identified projects focused on emissions reduction for consideration by Council through the Long Term Plan Process. Council included capital investment of $44M in its Long Term Plan for the next 10 years on works to reduce its carbon footprint.

16.  During the year WWL also considered emissions associated with its capital works programme for both materials and construction process. WWL piloted the increased use of trenchless pipe laying technology for its renewals programme.  For Lower Hutt this was largely in Wainuiomata but will be adopted for other areas of the city this financial year.  

Consultation

17.  There are no consultation matters to consider.

Legal Considerations

18.  WWL must deliver to Council (as shareholder), and make available to the public, the 2020/21 Annual Report by no later than 30 November 2021.

Financial Considerations

19.  There are no further financial considerations apart from those detailed in the report.

Appendices

No.

Title

Page

1

Appendix 1: Wellington Water Annual Report to 30 June 2021 including Independent Auditor's Report

133

    

 

 

 

Author: Bruce Hodgins

Strategic Advisor

 

Author: Daniel Koenders

Manager Financial Strategy & Planning

 

 

Approved By: Helen Oram

Director Environment and Sustainability

 


Attachment 1

Appendix 1: Wellington Water Annual Report to 30 June 2021 including Independent Auditor's Report

 

































































                                                                                       0                                                 16 November 2021

Policy, Finance and Strategy Committee

20 October 2021

 

 

 

File: (21/1735)

 

 

 

 

Report no: PFSC2021/5/262

 

District Plan Review Update

 

Purpose of Report

1.    The purpose of this report is to provide an update on progress with the District Plan Review.

Recommendation

That the Committee receives and notes the report.

For the reason that the Committee is kept up-to-date with progress and risks associated with the District Plan Review.

 

Background

2.    At the 19 May 2019 Council meeting, Council resolved to undertake a full review of the District Plan. At the 10 December 2019 Council meeting, Council resolved to establish the District Plan Review Subcommittee to have primary responsibility for the full review of the District Plan. The District Plan Review Subcommittee reports to the Policy, Finance and Strategy Committee on this full review.

3.    This report outlines progress with the District Plan Review, including research, engagement and risks associated with the review.

4.    At the last update to the Committee in July 2021, it was highlighted the main focus related to partnering with iwi, stakeholder and community engagement, and various research and technical assessments. The main risks and uncertainties identified in July 2021 related to the Resource Management reform, delays with new National Policy Statements on indigenous biodiversity and highly productive land, and vacancies in the District Plan team impacting on the work programme.

Discussion

Partnering with Mana Whenua

5.    An objective of the District Plan Review was to develop the new Plan in partnership with mana whenua. To achieve this objective, two mana whenua representatives were appointed to the District Plan Review Subcommittee. Due to employment commitments, one of the mana whenua representatives has resigned. We are continuing to liaise with iwi authorities for a replacement Subcommittee representative.

6.    At an operational level, regular hui are being held with iwi authorities. These hui are discussing topics of interest to mana whenua, with discussions from these hui reported to the District Plan Review Subcommittee. A policy planner with knowledge and experience in tikanga Māori is currently being recruited.

Research and Technical Information

7.    The District Plan Review is based on a robust evidence base. The District Plan Review Subcommittee has provided direction to officers on topics where specific research or technical information is sought. Below is a summary and update on technical information and research for the District Plan Review.

Commissioned Research/Technical Advice

Current Status

Heritage Assessment: Review of the current heritage schedule and identification of other sites, buildings, items with significant historic heritage values

Initial desktop research and field work completed. Draft assessment report has been completed, and engagement has commenced with owners of properties with potential heritage values identified in this assessment.

Greenfield Residential Development Areas Assessment: Identify and assess at a high level potential areas for greenfield residential development.

Desktop assessment completed and findings reported to the District Plan Review Subcommittee in July. Further assessment and engagement is being undertaken into greenfield residential development areas in Wainuiomata, Kelson, Stokes Valley and the western hills.

Land Instability Assessment: Identify and assess areas that are prone to land instability.

Desktop research and assessment report completed. The findings of this assessment are to be reported to the District Plan Review Sub-Committee in December.

 

 

 

 

Ambient Noise Survey and Noise Assessment: Measure ambient noise levels in representative locations in the district. Analyse monitoring results and advice on appropriate noise limits.

Noise monitoring completed and assessment report completed. The findings of this assessment are to be reported to the District Plan Review Sub-Committee in December.

Flood Hazard Assessments: Wellington Water and Greater Wellington Regional Council undertaking flood hazard modelling.

Final flood hazard maps for stormwater in urban Wainuiomata are completed. Flood hazard modelling for the Wainuiomata River has recently commenced with results due mid-2022. Draft flood hazard maps for the Hutt Valley floor areas are due from GWRC.

Residential Character Assessment: Assess the character of the residential areas of Lower Hutt, including identify areas with distinct or special character.

Desktop research and assessment report completed. The findings of this assessment are to be reported to the District Plan Review Sub-Committee in December.

Housing and Business Capacity Assessment: Update assessment required by National Policy Statement for Urban Development.

Modelling completed and report currently being drafted. Final assessment to be completed in November.

Notable Trees Assessment:
Reassessment of existing notable trees and assessment of nominated trees

Reassessment of existing notable trees currently underway, and nomination process for new notable trees to be undertaken in November.

Community and Stakeholder Engagement

8.    During August and September, community engagement was undertaken on flood hazards and walkable catchment areas for intensification of urban development. The flood hazard engagement was in conjunction with Wellington Water and Greater Wellington Regional Council who are working on the flood hazard and stormwater maps. This engagement involved open days, online information and survey, and social media. The purpose of this engagement was to share information with the community about flood hazard and intensification, and seek feedback about previous flood events and views on intensification. 

9.    The results of this engagement included obtaining information and evidence about previous flood events, such as photographs from residents and historical recollections of the location, extent and depth of flooding. On intensification, mixed views were received. There was support for intensification in that it provides opportunities for more people to live locally, more affordable and smaller houses in good locations, and opportunities for new businesses and employment with more people living in Lower Hutt. Conversely, concerns were expressed about intensification, particularly about changes to the look and feel of Lower Hutt, impacts/increased demand on 3 waters infrastructure, parking issues and loss of privacy and shading. In terms of the map showing the walkable catchments, there was limited specific feedback about what was an appropriate time or distance in Lower Hutt (e.g. 5 minutes/400m vs 10 minutes/800m).

10.  Ongoing engagement is occurring with individual stakeholders for specific topics in the District Plan. For example, meetings have been held with the District Health Board and other healthcare operators about the Hospital Zone, WelTec and other tertiary education providers about the Tertiary Education Zone, network utility operators about the Network Utilities chapter, and clubs and organisations who occupy land within the Open Space Zone.

11.  Upcoming engagement relates to heritage, including with property owners of sites/areas with potentially significant heritage values. In addition, property owners with notable trees or potential notable trees is also to occur. Further community engagement is also planned on intensification.

Risks and Uncertainties

12.  The risks and uncertainties previously reported still apply in this update (as summarised below). In addition, new risks and uncertainties have arisen for the Committee’s attention. 

13.  There are a few external factors which could significantly influence the District Plan Review, such as legislative change and new national policy direction.

14.  A new risk and uncertainty relates to the recent government announcement on the Resource Management (Enabling Housing Supply and other matters) Amendment Bill. This Bill introduces a new requirement to use a new planning process to accelerate housing supply. In addition, it requires Council to adopt new Medium Density Residential Standards which are slightly different to the current standards in the District Plan. This Bill requires Council to notify a plan change by August 2022. Officers are currently assessing options arising from the new Bill and its opportunities and implications for the District Plan Review. These options will be reported to the District Plan Review Sub-Committee in the first instance.

15.  In terms of other risks and uncertainties previously reported, there is no update to the Resource Management reform. The timeframe for this reform of legislation is by the end of 2022. Similarly, there has been no update on the new National Policy Statement for Indigenous Biodiversity  or new National Policy Statement for Highly Productive Land.

16.  Also as reported in July, there are a few internal risks associated with the District Plan Review. There are still vacancies in the District Plan team. While some consultant has been engaged, this reduced capacity is impacting on the District Plan Review work programme and timeline. This impact will be assessed as part of the option for responding to the Resource Management (Enabling Housing Supply and other matters) Amendment Bill discussed above.

17.  Lastly, the work programme for the District Plan Review involves an increasing quantum and detail of work for the remainder of 2021 and first quarter of 2022. This work is focused on preparation of the new chapters of the District Plan. The District Plan Review Sub-Committee will have an increased workload over this period.

18.  This increasing workload combined with the external factors increases the overall risks of meeting the review timeline.

Climate Change Impact and Considerations

19.  Climate change is an important consideration for the District Plan Review. This consideration includes the impact of land use, subdivision and development on climate change, such as the location and form of urban development can influence transport. In addition, the impacts of climate change, such as sea level rise and more frequent and intensive rainfall and flooding, are being considered in the District Plan Review as part of the natural hazard topic.

Consultation

20.  As summarised above, engagement with the community and stakeholders is ongoing. Upcoming community engagement relates to heritage, notable trees and intensification (walkable catchments).

21.  Targeted engagement will continue with a range of stakeholders on specific topics.

Legal Considerations

22.  The review is being undertaken in accordance with the requirements of the Resource Management Act 1991 (RMA). As noted above, the RMA is currently being reformed, and a watching brief is being maintained.

Financial Considerations

23.  The District Plan Review is currently tracking on budget. Expenditure will increase during the 2021/22 financial year associated with increased consultant support.

24.  The cost implications of recent and future National Policy Statements (eg Urban Development and Indigenous Biodiversity) will significantly influence the budget. Similarly, the RMA reform could also influence the budget. These costs will be determined once details of the RMA reforms are announced.

Appendices

There are no appendices for this report.   

Author: Hamish Wesney

Head of District Plan Policy

 

Reviewed By: Parvati Rotherham

Team Leader, Resource Consents

 

Approved By: Helen Oram

Director Environment and Sustainability  


                                                                                       0                                                 16 November 2021

Policy, Finance and Strategy Committee

27 October 2021

 

 

 

File: (21/1785)

 

 

 

 

Report no: PFSC2021/5/263

 

Three Waters Reform

 

Purpose of Report

1.    To update Council on the Government’s three waters reform programme.

Recommendations

That the Committee:

(1)   notes Cabinet’s recent decision to proceed with the Government’s proposed three waters reform, four water services entity model and timeline;

(2)   notes that the Government proposes to introduce legislation to mandate the reforms (Water Services Entities Bill), thus removing the ability for councils to opt out;

(3)   notes that in response to concerns, the Government will establish a working group to include local government and iwi/Māori, to consider issues relating to representation, governance and accountability; and

(4)   confirms its commitment to ensuring Lower Hutt residents are fully informed of the reform programme, working with the Government as appropriate to achieve this.

 

 

Background

2.    Local Government Minister Nanaia Mahuta announced on 27 October 2021 the Cabinet decision that the Government will legislate to create four publicly owned water services entities (WSE) that will take on the drinking, waste and stormwater assets currently owned by councils.

3.    Dougal List, the Three Waters Reform Project Director for the Wellington Region has provided a summary of the decision, which is attached as Appendix 1 to the report.  A full copy of the Cabinet decision is attached as Appendix 2 to the report.

4.    The Cabinet decision followed an eight-week period during August and September 2021, where councils and iwi/Māori were asked to provide initial feedback on proposals to transform the three waters service delivery system, which Cabinet had earlier agreed to in June/July 2021. A copy of the summary of local government feedback is attached as Appendix 3 to the report and a Frequently Asked Questions summary is attached as Appendix 4.

5.    Cabinet noted in its decision that it considers there continues to be a compelling and robust case for change and that the evidence base had been thoroughly tested and independently reviewed.

6.    It also noted in its decision that the need to consider the collective interest of all New Zealanders outweighed the desire to accommodate the interests of individual councils and communities and that delaying decisions risked a loss in reform momentum, which was initiated over four years ago.

7.    In listening to concerns from Mana Whenua and local government, the Government will establish a joint working group to consider issues relating to representation, governance and accountability.  A draft Terms of Reference has been prepared following input from the local government sector.

8.    The working group will be asked to recommend to the Minister of Local Government an alternative governance design that seeks to address the concerns expressed by a number of local authorities, while remaining consistent with the Government’s reform objectives and bottom lines and is practical to implement and likely to achieve greater buy-in from the local government sector.

9.    Two other technical working groups will be established by the Department of Internal Affairs (DIA) to consider key issues during the transition period.  One such group will ensure there is an effective interface between the new three waters service delivery system and the reformed resource management system.  The other is to consider a clear pathway and support for the transition of rural and community water schemes.

10.  The Government’s overall timeline for three waters reform has not changed with the four new entities expected to become operational from 1 July 2024.

Discussion

11.  Feedback from local government generally acknowledges the need for change in order to address long-standing issues.  This decision by Cabinet provides certainty to the reform process, enabling this Council and others to plan accordingly. Local and central government will need to work closely together on the details of the reform proposals to ensure they are workable and they can deliver on the needs of our different communities.

12.  Issues that have garnered most concern from local government, principally around governance, representation and accountability at a local level will be given further consideration through the Government’s commitment to the establishment of the joint working group. Hutt City Council will have opportunity to feed its concerns into that process, though it is not yet clear as to the format/channel for this.

13.  Three waters reform is part of broad changes for local government that will require careful consideration by Government in aligning reform processes to enable effective local governance and representation. Local government will need to be actively involved through the mechanisms provided such as the technical working groups to better ensure the effectiveness of reform outcomes.

Climate Change Impact and Considerations

14.  Climate change impacts are not relevant to consideration of this matter, which addresses an administrative requirement.

Consultation

15.  It is expected that there will be no requirement for councils to complete their own individual consultation as there is no longer an ability for councils to decide whether to opt in or not.

16.  It is unclear at this stage as to how and when the Government intends to engage with iwi and the public generally on the reforms and its expectations as to individual councils’ involvement in such engagement. On the basis that Council wants to ensure Lower Hutt residents are fully informed of the details of the reform, officers will consider and report on opportunities for local engagement once the Government’s plans are known.  

17.  There will be opportunity early next year through the formal legislative process (select committee) for residents and Council to provide feedback to Government on the Water Services Entities Bill, being the main vehicle for reform.

Legal Considerations

18.  Cabinet is looking to introduce a Water Services Entities Bill to Parliament later this year in order to effect the reform changes.  It is expected that the Bill will go through the select committee process in early 2022.

Financial Considerations

19.  PwC was engaged to undertake an analysis of the potential financial impacts of the Three Waters Reform, which has previously been reported to Council.  A copy of that report is attached as Appendix 5.

20.  Delivering cost savings to households is a key objective of the reform. The Government’s commissioned analysis, based on information supplied by Council, shows the comparison for Hutt City Council in FY51 of the average household costs with reform at $1,260 versus without reform $2,380.

Appendices

No.

Title

Page

1

Appendix 1: Three Waters Reforms -Update report by Dougal List

206

2

Appendix 2: Cabinet Papers on 3 Waters Reform dated 18 October 2021

216

3

Appendix 3: Summary of local government feedback on the three waters reform proposals

294

4

Appendix 4: Frequently Asked Questions - Three Waters Reform

362

5

Hutt City Council - 3 Waters 2021 LTP Final 170621

365

    

 

 Author: Bruce Hodgins

Strategic Advisor

 

Author: Jenny Livschitz

Group Chief Financial Officer

 

Reviewed By: Helen Oram

Director Environment and Sustainability

 

Approved By: Jo Miller

Chief Executive

 


Attachment 1

Appendix 1: Three Waters Reforms -Update report by Dougal List

 












Attachment 2

Appendix 2: Cabinet Papers on 3 Waters Reform dated 18 October 2021

 











































































 

Appendix D withheld by the Minister of Local Government




Attachment 3

Appendix 3: Summary of local government feedback on the three waters reform proposals

 





































































Attachment 4

Appendix 4: Frequently Asked Questions - Three Waters Reform

 




Attachment 5

Appendix 5: PwC Three Waters Reform

 












                                                                                       0                                                 16 November 2021

Policy, Finance and Strategy Committee

28 October 2021

 

 

 

File: (21/1805)

 

 

 

 

Report no: PFSC2021/5/264

 

Strategic Change Framework

 

Purpose of Report

1.   To brief the Policy, Finance and Strategy Committee on the strategic change activities that Council is undertaking, and the process we are following as we implement the organisational strategic change framework. Because this is the first report to this Committee and some members may not be familiar with this initiative, it contains more background details than would be normal in a progress report.

Recommendation

That the Committee notes and receives the report.

 

Background

2.    Council has agreed externally facing priorities and plans agreed as part of the 10-year plan (Long Term Plan 2021-2031). To ensure delivery to these, Key Performance Indicators (objectives) are set for the Chief Executive and reported through to the Policy, Finance and Strategy Committee at the end of each quarter.

3.    The strategic change framework provides the appropriate setting (ie. tools and processes) to enable our organisation to work as one and deliver on these priorities, plans and objectives by having the right people in the right roles with the right skills. In summary the strategic change framework sets out a way to achieve large scale organisation change through selected projects/workstreams identified in Section 3 below.

4.    The strategic change framework outlined a number of key projects or workstreams that seek to improve our overall organisational capability and effectiveness working as ‘one Council.’ Originally, these were:

a)      A review of Council’s organisational structure;

b)      The Go Digital (Te Pātaka) programme with a budget of an additional $10.8m over 4 years (approved by Council in June 2020) to achieve the following outcomes: People’s experience with Council improves; we move to being a modern, agile and adaptive council; and better use of information;

c)       Property Optimisation Project – renamed as the Activity-Based Working Project;

d)      Business Planning and Performance Project; 

e)       The Organisational Capability Strategy.

5.    The alignment of all the above projects/workstreams within one strategic change framework means interdependencies are managed effectively and efficiently and there will be a seamless delivery of strategic organisational benefits. The outcome sought via the strategic change framework is to contribute to a transformation shift in how Council goes about delivering outcomes for the city and its people.

6.    It should be noted that the organisation’s priorities, plans and objectives are embedded in the Chief Executive’s Key Performance Indicators.

7.    Over the past two months a ‘One Council’ set of transformational outcomes has been developed to describe a desired future council organisation. Three groups of seven outcomes were selected under, respectively:

a)    People,

b)    Processes, and

c)    Tools, Technology and Work Environment

The projects were mapped against the 21 outcomes to assess how each particular project would contribute to each outcome.

8.    This produced a matrix showing how the projects could individually and collectively deliver the characteristics of a transformed organisation. We now have a specific view of what a ‘fit for purpose’ council looks like as it moves into 2022 and beyond that will guide the projects/workstreams to collectively deliver a ‘future state.’

9.    At its 17 August meeting, CLT approved the Framework and the Terms of Reference.

Framework Update

10.  Since the last progress report in August, the Activity-Based Working Project has been significantly scaled back and the organisational structure review has been completed. Additionally, the organisational review work has been substantially completed.

11.  The Planning and Performance project has now been split into two distinct pieces of work.

12.  Two additional projects have been assessed as having transformational potential. These projects are:

a)    Business Process Optimisation: this project will provide a structured way to measure/report on performance and drive business efficiency. It will promote an organised and team-driven continuous improvement.

b)    Human Resources Information System: this project will give Council integrated systems and processes to help deliver an engaging employee experience. It will provide data/insights to make better workforce-related decisions and to effectively develop and retain talent.

The projects’ contributions to transformational change have now been mapped and they are now in the strategic change framework. The following diagram shows how the framework operates:

 

 

13.  We now have developed specific outcome measures to assess each project’s contribution to strategic organisational change. These will be refined over time.

14.  Governance

A Strategic Change Oversight Group has been established to provide Framework governance.  Membership of the Group comprises:

Director, Strategy and Engagement (Chair)

Enterprise Portfolio Management Office (EPMO) Lead

Chief People Officer

Kaitātari Tumuaki Māori

Project Manager, Business Process Optimisation

Project Manager, Te Pātaka

Project Manager, Business Planning

Project Manager, Performance Reporting

Project Manager, Performance Reporting

Communications Advisor

15.  In addition to each individual project having its own governance arrangements, this Group will:

−   oversee the strategic change context for the projects/workstreams and promote their strategic alignment

−   monitor the strategic change outcomes of each project

−   facilitate the critical strategic interdependences

−   ensure that project/workstream communications are aligned strategically.

 

This is an oversight group and will not have the authority to make decisions affecting the individual projects/workstreams. 

16.  The Director, Strategy and Engagement is the lead Director for the strategic change framework and consequently chairs the Oversight Group. As the lead Director he reports to CLT chaired by the Chief Executive. CLT owns the whole of the strategic change framework. Reporting will cover: strategic alignment and outcomes; key project/workstream interdependencies and sequencing; expenditure vs budget; risks and any other matters.

17.  The Group’s first meeting will be in early November.

18.  Reporting

The Oversight Group will meet monthly and each project/workstream manager will report on their respective progress toward the strategic outcomes set out in the Framework.

The Director Strategy and Engagement/Chair will report to CLT’s fortnightly formal meetings on progress and on any strategic issues that arise.

The EPMO will provide CLT with a quarterly report and following this a summary will be included with the quarterly performance report to the Policy, Finance and Strategy Committee.

In addition, the EPMO will monitor the work in progress and will report as required to the Director Strategy & Engagement and to key stakeholders.

Financial Considerations

19.  The Strategic Change Framework is being prioritised from within approved Long Term Plan Budgets.

Risks

20.  The Strategic Change Framework aims to support our organisation change programmes and projects by providing a structure to oversee and coordinate the individual pieces to better enable them to deliver their outputs.

21.  In general, risks associated with this work - and their mitigation – reside with the component projects and are addressed by their own project management. A risk around programme and project management and planning is detailed at a strategic level in the Council-wide risk management framework.

22.  The key controls in place are that the Oversight Group will monitor risk and provide governance for the work. Regular reporting to CLT will cover risks and mitigating actions underway.

Climate Change Impact and Considerations

23.  The Framework has no climate change impacts or considerations.

Te Ao Māori Considerations

24.  The Framework will ensure that Te Ao Māori is embedded in all aspects of the strategic change process. The Kaitātari Tumuaki Māori is a member of the Oversight Group and will therefore be part of the Framework’s governance.

Consultation

25.  CLT, relevant project managers, and other key Council managers have been extensively consulted on the Strategic Change Framework and the governance arrangements to oversee the Framework’s implementation.

Legal Considerations

26.  There remain no identified legal considerations at this stage.

Appendices

There are no appendices for this report.   

 

 

 

 

 

Author: Grant Herman

Strategic Programmes Manager

 

 

 

 

 

 

Approved By: Matt Boggs

Director, Strategy and Engagement


                                                                                       0                                                 16 November 2021

Policy, Finance and Strategy Committee

27 October 2021

 

 

 

File: (21/1782)

 

 

 

 

Report no: PFSC2021/5/139

 

Policy, Finance and Strategy Committee Work Programme 2021-2022

 

 

 

 

 

Recommendation

That the Work Programme be received and noted.

 

 

Appendices

No.

Title

Page

1

Appendix 1:Work Programme

382

    

 

 

 

 

Author: Judy Randall

Democracy Advisor

 

 

Reviewed By: Kate Glanville

Senior Democracy Advisor

 

 

Approved By: Kathryn Stannard

Head of Democratic Services

 

 

 

 


Attachment 1

Appendix 1:Work Programme