1                  28 April 2022

HUTT CITY COUNCIL

 

Komiti Ratonga Rangatōpū me te Rautaki

Policy, Finance and Strategy Committee

 

Minutes of a meeting held via Zoom on

Thursday 28 April 2022 commencing at 2.00pm

 

 

PRESENT:

Cr S Edwards (Chair)

Mayor C Barry

(audio-visual link)

Cr G Barratt

Cr J Briggs

 

Cr K Brown (Deputy Chair)

Cr B Dyer

 

Cr D Hislop

Cr C Milne (from 2.19pm)

 

Cr A Mitchell

Cr N Shaw

 

Cr L Sutton (from 2.10pm)

 

 

APOLOGIES:                   Apologies were received from Cr Rasheed and Deputy Mayor Lewis and from Cr Sutton for lateness.

 

IN ATTENDANCE:         Ms J Miller, Chief Executive

(via audio-visual link)       Ms A Blackshaw, Director Neighbourhoods and Communities

Mr J Griffiths, Director Strategy and Engagement

Ms H Oram, Director Environment and Sustainability

Mr K Puketapu-Dentice, Director Economy and Development  

Ms J Livschitz, Group Chief Financial Officer

Mr G Usoalii-Phillips, Treasury Officer

Ms K Pascall, Policy Planning Manager (part meeting)

Ms A Gordon, Senior Policy Advisor (part meeting)

Ms K Waldegrave, Acting Head of Strategy and Planning (part meeting)

Mr M Jennings, Kaitatari Tumuaki Māori (part meeting)

Mr N Geard, Principal Environmental Policy Analyst (part meeting)

Ms O Miller, Policy Advisor (part meeting)

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

Mr S Davis, Policy Planner (part meeting)

Mr C Page, Intermediate Policy Planner (part meeting)

Ms P Luke-Ngaheke a representative of Te Rūnanganui o te Āti Awa: In attendance for item 7 (part meeting).

Ms K Stannard, Head of Democracy Services

Ms J Randall, Democracy Advisor

 

 

1.

Opening formalities - Karakia Timatanga

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.

PUBLIC BUSINESS

 

 

The Chair welcomed Ms Peggy Luke-Ngaheke a representative of Te Rūnanganui o te Āti Awa to the meeting.

 

2.       APOLOGIES

Resolved: (Cr Edwards/Cr Mitchell)                                                                                                   Minute No. PFSC 22201

"That the apologies received from Cr Rasheed and Deputy Mayor Lewis be accepted and leave of absence be granted and the apology for lateness received from Cr Sutton be received.”

3.       PUBLIC COMMENT

Comments are recorded under the item to which they relate.

 

Cr Sutton joined the meeting at 2.10pm.

 

4.       CONFLICT OF INTEREST DECLARATIONS   

There were no conflict of interest declarations.

Precedence of Business

In terms of Standing Order 10.4, the Chair accorded precedence to item 7 followed by items 5c and 6.

 

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

5.       Recommendations to Council | TE KAUNIHERA O TE AWA KAIRANGI - 24 MAY 2022

a)      

Water Supply Bylaw Review 2022 (22/556)

 

Mr Julian Fyfe and Ms Emily Greenberg, representatives of Wellington Water Ltd, were in attendance for the item.

The Senior Policy Advisor elaborated on the report. She advised changes made to the Water Supply Bylaw review (the bylaw) comprised of legislative updates, changes to technical language and formatting. She said the public engagement plan would commence in late May/early June 2022 once approved by Council at its meeting to be held on
24 May 2022. She added public feedback would be received via Council’s ‘Have Your say’ email address and outcomes would be shared on social media, in the Hutt News and on Council’s website.

In response to a question from a member, the Senior Policy Advisor explained that if the Three Waters Reform proposals did not go ahead, Council would need to review the bylaw in 2024 to incorporate new drinking standards that were expected to come into effect in July 2022.

 

RECOMMENDED:     (Cr Shaw/Cr Dyer)                    Minute No. PFSC 22202      

That the Committee recommends that Council:

(1)   notes the Local Government Act 2002 (LGA 2002) requires Council to review its bylaws to ensure that they comply with the matters set out in sections 155 and 159 of the LGA 2002;

(2)   notes the Water Supply Bylaw 2010 has been reviewed in accordance with section 155 of the LGA 2002;

(3)   notes the outcome of the section 155 review of the Water Supply Bylaw is to propose amendments to the bylaw, as more particularly detailed in the Statement of Proposal (a draft of which is attached as Appendix 1 to the report) and that a Summary of the proposed Water Supply Bylaw is attached as Appendix 2 to the report;

(4)   agrees to consult on the Water Supply Bylaw (a draft of which is attached as Appendix 3 to the report) in accordance with the requirements of the LGA 2002;

(5)   notes if the Committee agrees to make the recommendation to Council in (4) above, the proposed Water Supply Bylaw (subject to any changes requested by the Committee) will be included on the agenda for Council’s consideration at its meeting on 24 May 2022, together with the Committee’s recommendations; and

(6)   agrees that the Chief Executive be delegated authority to make minor changes to the proposed Water Supply Bylaw if required prior to consultation.”

For the reasons that it is necessary to report to Council the background information associated with the s155 review of the Water Supply Bylaw 2010.

b)

Proposed Private District Plan Change 54: Boulcott's Farm Heritage Golf Club - Rezoning to General Residential Activity Area (22/658)

 

Cr Dyer, a member of the hearing panel that heard the plan change, provided additional context to the officer’s report. He said the majority of concerns from submitters focussed on traffic around the plan change site and mostly centred on the area where Kingston and High Streets intersected.  He highlighted that separate recommendations to the Traffic Subcommittee would attempt to address the traffic issues.

Cr Mitchell proposed an additional recommendation to the motion asking staff to consider the roading interventions as part of their ongoing road safety work, rather than reporting to the Traffic Subcommittee.

With the agreement of the mover and seconder of the motion, the additional recommendation was included as part (6) in the motion.

 

recommended: (Cr Edwards/Cr Shaw)              Minute No. PFSC 22203

“That the Committee recommends that Council:

(1)   receives the report and recommendation of the hearing panel dated 30 March 2022 (attached as Appendix 1 to the report), acting under delegated authority pursuant to s34A of the Resource Management Act 1991, for the hearing of submissions and further submissions on Proposed Private District Plan Change 54 – Boulcott’s Farm Heritage Golf Club – Rezoning to General Residential Activity Area;

(2)   notes the process under the Resource Management Act 1991 for Proposed Private District Plan Change 54;

(3)   adopts the recommended decisions on Proposed Private District Plan Change 54, and reasons for those decisions, set out in the hearing panel’s report.

(4)   approves Proposed Private District Plan Change 54 as notified, as recommended in paragraph 5.1 of the hearing panel’s report;

(5)   resolves to publicly notify its decision on Proposed Private District Plan Change 54 within 10 working days of this decision, and to serve that decision on the applicant and submitters; and

(6)   instructs staff to investigate the roading interventions described in paragraph 4.18 of the hearing panel’s report, in accordance with recommendation 5.2 of that report, and asks staff to consider roading interventions as part of their work plan.”

For the reason that the hearing panel has considered the issues and all submissions on Proposed Private District Plan Change 54, based on the evidence provided to the hearing panel.

 

c)

New Zealand Local Government Funding Agency Green, Social and Sustainability Lending Programme (22/762)

 

Mr Mark Butcher, Chief Executive of New Zealand Local Government Funding Agency (LGFA) and Mr Nick Howell, Head of Sustainability of LGFA were in attendance for the item.  They presented slides on LGFA’s recent developments attached as pages 10-13 to the minutes.

In response to questions from members, the Chief Executive of LGFA and the Head of Sustainability of LGFA advised decisions on Green, Social and Sustainable (GSS) Loans could be expected within 10 working days on the condition that councils provided all information required by the LGFA’s Sustainability Committee before it met. They advised loan criteria would not be based on any specific carbon reductions, but on points awarded for the individual components of a project. They added projects would require an overall rating from the New Zealand Green Building Council in order to qualify for a loan. They highlighted the GSS loan fund would not be limited and they encouraged councils to work on their eligibility to take advantage of the lower cost of borrowing.

 

recommended: (Cr Edwards/Cr Briggs)         Minute No. PFSC 22204

“That the Committee recommends that Council:

(1)   notes and receives the update on the New Zealand Local Government Funding Agency’s (LGFA) Green, Social and Sustainability Lending Programme;

(2)   notes the cost of funds through the LGFA for Green, Social and Sustainability funding is set at five basis points lower (-0.05%) than conventional LGFA funding;

(3)   agrees that Council apply to LGFA for green financing of the Naenae pool rebuild project;

(4)   agrees in principal that Council progresses the financing of other applicable assets under the LGFA Green, Social and Sustainability Lending Programme; and

(5)   notes that the timing of LGFA lending under the Green, Social and Sustainability Programme will be dependent on cashflow projections of the relevant projects, together with broader Council Borrowing Strategy considerations.”

d)

Intensification Planning Instrument: Financial Contributions Assessment (22/982)

 

In response to a question from a member, the Intermediate Policy Planner explained development contributions covered larger scale work that had a cumulative effect on infrastructure, whereas financial contributions covered more reactive work where a development had a direct impact.

 

recommended: (Cr Edwards/Cr Dyer)               Minute No. PFSC 22205

“That the Committee recommends that Council:

(1)   receives the information contained in the report;

(2)   approves Option 2 for financial contributions in the Intensification Planning Instrument, which provides for limited changes to expand existing financial contributions for off-site services and adjustment to applying reserves financial contributions; and

(3)   asks officers to explore the potential of using Option 3 for financial contributions, which provides for an increased scope to include option 2 and new provisions to mitigate effects on streetscape and/or environmental offsetting, as part of the wider District Plan Review following the introduction of the Intensification Planning Instrument.


 

6.

New Zealand Local Government Funding Agency - draft Statement of Intent 2022-2025 and half year performance results (22/593)

Report No. PFSC2022/2/70 by the Treasury Officer

 

The Group Chief Financial Officer elaborated on the report.

Mr Mark Butcher, Chief Executive of New Zealand Local Government Funding Agency (LGFA) and Mr Nick Howell, Head of Sustainability of LGFA were in attendance for the item.  They presented slides on LGFA’s recent developments attached as pages 10-13 to the minutes.

In response to questions from members, the Chief Executive of LGFA explained LGFA lending allowed Council Controlled Organisations (CCOs) to borrow from one source rather than receiving funds via various shareholders. He added the structure also worked well for differently structured CCOs where borrowing occurred at the CCO level. He advised a minimum debt of around $40M was required for CCOs because of higher legal costs. He said the LGFA would be working with government to potentially develop a lending model for mega-water entities under the proposed Three Waters reform.

The Group Chief Financial Officer explained that Council’s CCOs had a relatively low level of debt so there was no incentive to move its borrowing to LGFA at this stage. She advised that as CCOs debt increased this would be reviewed.

 

 

Resolved: (Cr Edwards/Cr Dyer)                                         Minute No. PFSC 22206

“That the Committee:

(1)   notes and receives the contents of the Local Government Funding Agency (LGFA) draft 2022-2023 Statement of Intent, covering the period up to 30 June 2025, attached as Appendix 2 to the report;

(2)   notes that officers do not have any suggested changes to the LGFA’s draft Statement of Intent; and

(3)   notes and receives the LGFA half year report to 30 December 2021, attached as Appendix 3 to the report.”

7.

Rates Remission on Māori Land Policy 2022 (22/752)

Report No. PFSC2022/2/72 by the Policy Advisor

 

Under Standing Order 30.5, Ms Peggy Luke-Ngaheke, a representative of Te Rūnanganui o te Āti Awa was in attendance for the item.

The Acting Head of Strategy and Planning elaborated on the report. She noted Kaitiaki of Māori Freehold Land and Mana Whenua partners had given positive feedback on the proposed Rates Remission on Māori Plan policy (the policy). She advised the Department of Internal Affairs had advised that a rating unit must not be treated as being ‘in use’ solely because the owner was a participant under the Climate Change Response Act in respect to an activity related to the rating unit.

In response to questions from members, the Business Analyst – Rates highlighted there could be opportunities for rates remissions after land was developed depending on the criteria and how the land was used. She advised officers had so far found only two instances of Māori land in Lower Hutt that was multi-owned but rated separately.

In response to a question from a member, the Acting Head of Strategy and Planning confirmed officers had found examples of Māori landowners who did not have opportunity to develop their land due to financial barriers.

Cr Milne joined the meeting at 2.19pm.

Ms Luke-Ngaheke expressed support for the recommendations. She said it represented a way for the Waiwhetū Marae to develop its land and keep the village around the marae intact.

 

Resolved: (UNANIMOUS) (Cr Edwards/Cr Brown)          Minute No. PFSC 22207

“That the Committee:

(1)   notes that under section 108 of the Local Government Act 2002 Council is required to have a policy on the remission and postponement of rates on Māori freehold land;

(2)   notes that The Local Government (Rating of Whenua Māori) Amendment Act 2021 imposes additional requirements on councils in relation to Māori freehold land;

(3)   notes officers recommendation to align the draft policy to Greater Wellington Regional Council, which extends rates remissions to include Māori land that is collectively owned;

(4)   agrees to consult on the proposed Rates Remission on Māori Land Policy (the policy) attached as Appendix 1 to the report, in accordance with the requirements of the Local Government Act 2002; and

(5)   agrees that the Chief Executive be delegated authority to make minor changes to the proposed policy if required prior to consultation.”

For the reasons that the proposed policy reflects the legislative requirements under The Local Government (Rating of Whenua Māori) Amendment Act 2021, the views of our Mana Whenua partners, kaitiaki of Māori freehold land and aligns with Greater Wellington Regional Council’s proposed policy to ensure consistency across Te Awa Kairangi ki Tai.  The proposed policy reflects the intent of the legislation and uses the opportunity provided by the new legislation to support our Māori whanau by removing barriers that may stand in the way of them achieving their ambitions for their whenua.

8.       Information Item

Policy, Finance and Strategy Committee Forward Programme 2022 (22/863)

Report No. PFSC2022/2/71 by the Democracy Advisor

Speaking under public comment, Mr Frank Vickers expressed concern there was no draft Cat Bylaw (bylaw) in the Committee’s Forward Programme. He noted that, although Council had passed a resolution in July 2020 to develop a bylaw, there was little time to ratify the bylaw in this triennium.  He acknowledged Council’s resource constraints but considered that a few paragraphs could simply be added to the existing Animal Bylaw. He highlighted that Palmerston North City Council needed only 28 person hours to manage its bylaw in the 2019/20 year. He added the work of managing cats could be mostly taken care of by volunteer organisations.

 

In response to questions from members, Mr Vickers did not consider government was likely to enact national legislation to control cats if local authorities did not first act to control them.

 

In response to questions from members, the Director Strategy and Engagement said Council was currently experiencing resourcing issues and he expected this could continue into the coming year. He added it was looking at using the Local Government New Zealand remit process to encourage action on cats at a government level. He agreed to seek advice on whether a Council Committee in the new triennium could be required to progress the investigation of a bylaw or whether the recommendations made in July 2020 would lapse. He further agreed to seek advice on whether the resource costs that Council was trying to meet to develop the bylaw could be reported to the Long Term Plan/Annual Plan Committee and whether the matter could be considered as part of the Annual Plan 2022/23.

Resolved: (Cr Edwards/Cr Barratt)                                                                                           Minute No. PFSC 22208

“That the Committee receives and notes the Forward Programme for 2022 attached as Appendix 1 to the report.”

9.       QUESTIONS

There were no questions.

10.

Closing formalities - Karakia Whakamutunga

Unuhia!

Unuhia!

Unuhia i te uru-tapu-nui

Kia wātea, kia māmā

Te ngākau, te tinana, te wairua i te ara takatū

Koia rā e Rongo whakairihia ake ki runga

Kia wātea, kia wātea!

Ae rā, kua wātea!

Hau, pai mārire.

Release us from the supreme sacredness of our tasks

To be clear and free
in heart, body and soul in our continuing journey

Oh Rongo, raise these words up high

so that we be cleansed and be free,

Yes indeed, we are free!

Good and peaceful

 

There being no further business the Chair declared the meeting closed at 3.25 pm.

 

 

 

 

 

 

 

 

 

S Edwards

CHAIR

CONFIRMED as a true and correct record

Dated this 24th day of May 2022

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