Agenda of Annual Plan Hearings/Deliberations

Part A Reports

Order for Consideration of 2017/18 Annual Plan Engagement Feedback and Reports

Department: Community and Planning

EXECUTIVE SUMMARY

1 Attachment A provides the planned run order for the consideration of community engagement feedback topics and reports for the deliberations on the 2017/18 Annual Plan.

2 This report also contains the recommendations to be taken at the completion of consideration of feedback and final decision-making on the budgets for the 2017/18 Annual Plan.

3 The community engagement feedback from the 2017/18 Annual Plan has been processed in the Council’s consultation database. Those in attendance at this meeting can access this feedback, along with staff comment on feedback topics, via the ‘Councillor overview’ in the database. The public have access to feedback and can search by feedback item number on the Council website: www.dunedin.govt.nz/2017AP-feedback.

RECOMMENDATIONS

That the Council:

a) Approves the recommended actions and staff comments for feedback topics as shown in the annual plan database (or as amended during annual plan decision-making) for the purposes of:

(i) providing feedback on annual plan engagement and decision-making to the community;

(ii) inclusion in the final 2017/18 annual plan document as appropriate;

(iii) further follow-up or action by staff, if required.

b) Approves the changes to draft annual plan budgets resolved at this meeting for inclusion in the final 2017/18 Annual Plan, for adoption by the Council on 27 June 2017.

Signatories

Author:	Jane Nevill - Corporate Planner
Authoriser:	Nicola Pinfold - Group Manager Community and Planning

Attachments

	Title	Page
a	Run Order: Consideration of Feedback and Reports - 2017/18	19

SUMMARY OF CONSIDERATIONS

Fit with purpose of Local Government

This report enables democratic local decision making and action by, and on behalf of, communities.

Fit with strategic framework

	Contributes	Detracts	Not applicable
Social Wellbeing Strategy	☒	☐	☐
Economic Development Strategy	☒	☐	☐
Environment Strategy	☒	☐	☐
Arts and Culture Strategy	☒	☐	☐
3 Waters Strategy	☒	☐	☐
Spatial Plan	☒	☐	☐
Integrated Transport Strategy	☒	☐	☐
Parks and Recreation Strategy	☒	☐	☐
Other strategic projects/policies/plans	☒	☐	☐

The results of the Annual Plan engagement contributes to the overall strategic framework as the Annual Plan gives effect to inclusion of strategic goals, actions and projects in the Council’s planning and budgets for 2017/18.

Māori Impact Statement

Local rūnaka have been made aware of the Annual Plan consultation process via the Māori Participation Working Party. There are no specific impacts for tangata whenua.

Sustainability

Decisions relating to the final Annual Plan will set the budget for the 2017/18 year. Community feedback and reports on the agenda for the 2017/18 Annual Plan Deliberations may influence those decisions and have long term implications for the city.

LTP/Annual Plan / Financial Strategy /Infrastructure Strategy

Decisions taken by the Council following consideration of feedback and reports will shape the final 2017/18 Annual Plan document.

Financial considerations

Significance

While the feedback received indicates that some of the matters consulted on are of community interest, the significance, in terms of the Significance and Engagement Policy, is low.

Engagement – external

Engagement with the community was as outlined in the Annual Plan community engagement summary of feedback report.

Engagement - internal

The run order for consideration for feedback has been drafted with input from Community and Planning, Civic Administration, and Marketing and Communications.

Risks: Legal / Health and Safety etc.

Decisions relating to the final Annual Plan may have financial, legal, social, environmental risks. Any risks not already identified will be noted in the updated Significant Forecasting Assumptions contained in the final Annual Plan document.

Conflict of Interest

There are no known conflicts of interest.

Community Boards

Community Boards have been included in the engagement process on the Annual Plan and may be interested in decisions taken for the final 2017/18 Annual Plan.

council Annual Plan Deliberations

15 May 2017

Annual Plan Community Engagement Summary of Feedback

Department: Community and Planning

EXECUTIVE SUMMARY

1 This report summarises community feedback received on the draft 2017/18 Annual Plan budgets during the community engagement.

2 The report also provides detail on the engagement process and summarises feedback from the community that will feed in to the Long Term Plan 2018 (LTP 2018).

RECOMMENDATIONS

That the Committee:

a) Notes the Annual Plan community engagement summary of feedback.

BACKGROUND

3 The Council considered draft budgets in January 2017.

4 In February 2017, the Council considered the need for engagement on the draft Annual Plan budget and resolved:

“That the Council:

a) Notes the updates to the 2017/18 budget approved at the 23 January 2017 Council meeting have not resulted in significant or material changes to the forecast for the 2017/18 year in the LTP therefore there is no legislative requirement to consult.

b) Approves the menu of engagement options as presented by staff.

c) Agrees that any face to face engagement about the Annual Plan will be conducted with the support of staff present.” (CNL/2017/052)

DISCUSSION

5 Community feedback was sought on the draft 2017/18 Annual Plan budgets from 30 March to 1 May 2017. The Council received 107 pieces of feedback through the various community engagement activities.

Engagement process

6 The engagement process focused on seeking feedback on the draft Annual Plan budgets and also provided opportunity for the community to offer early input to inform the development of the Long Term Plan 2018.

7 An online feedback form was available on the DCC website and feedback cards asking the same questions were available in hardcopy at engagement events (see questions in Attachment A).

8 A range of engagement activities were undertaken:

· Community conversations forum – A facilitated forum was held on 4 April 2017 with stakeholders and interested public to seek feedback on the draft 2017/18 Annual Plan budgets; and get feedback on other projects or ideas for consideration in the LTP. Seventy members of the community attended this forum.

· Councillor chat – A drop-in event in the Civic Centre Plaza was held on 18 April 2017 for people to have an informal chat with a Councillor. Fourteen members of the community attended this event.

· Farmers market stand – Between 20 and 35 members of the community had discussions with Councillors.

· Community Board chats – Four Community Board chats were held to provide an opportunity for people to talk in a more local forum. Attendance was low, with no one attending the Mosgiel or Strath Taieri sessions, and four attendees at each of the Peninsula and West Harbour sessions.

Feedback on draft 2017/18 Annual Plan budgets

9 Staff have provided comment on the topics assigned to two questions:

· Do you have any comment on our plans for 2017/18?

· What can we do better?

10 This information is available in the Annual Plan database, and a complete list of topics is included in Attachment B.

11 The most commented topics were:

Topic	Number of comments
Te Ao Tūroa – The Natural World: Dunedin’s Environment Strategy	26
We're on track - general comments about our plans	22
Community collaboration	13
Sportsfields and Reserves	9
Funding - Arts and Culture	8
Active transport initiatives	7
Cycleways - other	7
Engagement Process	7
South Dunedin Community Hub	7
Place Based Communities	6
Carbon Management	6
Streetlights	6
Cycleways - Central City cycle network	6

Funding for Te Ao Tūroa – The Natural World: Dunedin’s Environment Strategy

12 The Council specifically sought feedback on how much should be spent on the Te Ao Tūroa, Dunedin’s Environment Strategy in the 2017/18 year. Two options were provided: $150K and $200K.

13 62 individuals provided feedback on this issue through the tick box mechanism:

· 14 thought the Council should fund at $150K; and

· 48 thought the Council should fund at $200K.

14 26 individuals commented on the funding for Te Ao Tūroa. Of those who provided comments on the funding:

· Three favoured the $150K option, with one suggesting less than $150K;

· 19 favoured the $200K option, with seven recommending more than $200K be allocated; and

· Two requested no funding be allocated, though this was not given as an option in the engagement document.

Requests for funding in 2017/18 year

15 A number of organisations sought funding from the Council for projects and initiatives in the 2017/18 year. These requests are detailed in Attachment C for the Council’s consideration.

Feedback to inform the development of the Long Term Plan 2018

16 The feedback received on the LTP 2018-related questions (detailed in Attachment D) included:

· 486 comments on what the DCC should focus on more in future planning. (These addressed 122 topics); and,

· 67 comments on what the DCC should focus on less in future planning. (These addressed 27 topics).

OPTIONS

17 There are no options for this report.

NEXT STEPS

18 All feedback received from the community is available for Councillors to view on electronic devices. An email providing log-on information has been sent to Councillors to allow access. The public can also view the feedback on the DCC website at www.dunedin.govt.nz/2017AP.

19 The information in this report has been provided to inform the deliberation and decision-making process for the final 2017/18 Annual Plan budgets and document development.

Signatories

Author:

Jane Nevill - Corporate Planner

Tami Sargeant - Senior Policy Analyst

Authoriser:

Maria Ioannou - Corporate Policy Manager

Nicola Pinfold - Group Manager Community and Planning

Attachments

	Title	Page
a	Annual Plan 2017/18 feedback form	28
b	Annual Plan feedback topics and number of comments	29
c	Requests for funding in the 2017/18 year	32
d	Summary of Long Term Plan 2018-related feedback	34

SUMMARY OF CONSIDERATIONS

Fit with purpose of Local Government

This report enables democratic local decision making and action by, and on behalf of, communities.

Fit with strategic framework

	Contributes	Detracts	Not applicable
Social Wellbeing Strategy	☒	☐	☐
Economic Development Strategy	☒	☐	☐
Environment Strategy	☒	☐	☐
Arts and Culture Strategy	☒	☐	☐
3 Waters Strategy	☒	☐	☐
Spatial Plan	☒	☐	☐
Integrated Transport Strategy	☒	☐	☐
Parks and Recreation Strategy	☒	☐	☐
Other strategic projects/policies/plans	☒	☐	☐

Māori Impact Statement

Local rūnaka have been made aware of the Annual Plan consultation process via the Māori Participation Working Party. There are no specific impacts for tangata whenua.

Sustainability

Decisions relating to the final Annual Plan will set the budget for the 2017/18 year. The information in this report may influence those decisions and have long term implications for the city.

LTP/Annual Plan / Financial Strategy /Infrastructure Strategy

This report provides a summary of the community consultation process for the 2017/18 Annual Plan. Decisions taken by the Council following consideration of feedback will shape the final Annual Plan document.

Financial considerations

Decisions relating to the final Annual Plan will set the budget for the 2017/18 year. The information in this report may influence those decisions.

Significance

While the results indicate that some of the matters consulted on are of community interest, the significance of the report, in terms of the Significance and Engagement Policy, is low.

Engagement – external

Engagement with the community was as outlined in the report.

Engagement – internal

This report has been drafted with input from Community and Planning, Civic Administration, and Marketing and Communications.

Risks: Legal / Health and Safety etc.

Conflict of Interest

There are no known conflicts of interest.

Community Boards

Community Boards have been included in the engagement process on the Annual Plan and may be interested in decisions taken for the final Annual Plan.

Annual Plan Feedback Topics 2017/18	Number of Comments
2GP (Second Generation District Plan)	1
Active transport initiatives	7
Aquatic Facilities	2
Archives	1
Arts and Culture Collaboration	3
Botanic Gardens	1
Breastfeeding friendly places	1
Carbon Management	6
Cat Control	1
Central City Plan	2
Community collaboration	13
Community Gardens	3
Community resilience	2
Council Communication	4
Customer Services	2
Cycleways - Central City cycle network	6
Cycleways - other	7
Debt - strategy to lower debt	4
Delivery - Less talk more action	1
Delivery and planning	1
Disability/Accessibility	2
District Plan ( Operative Plan)	4
Dog Control Bylaw	2
Dunedin Public Hospital SOS	3
Economic Development	4
Engagement Process	7
Enterprise Dunedin	1
Fees and Charges	5
Fees and Charges - Dogs	1
Fleet Vehicles	1
Food Resilence	2
Funding - Arts and Culture	8
Funding - Biodiversity	4
Funding - grants process	1
Funding - Heritage	1
Funding - Tourism and tourism infrastructure	4
Funding - Water and waste renewals	4
Gasworks Museum - Support	1
Homelessness	1
Hotel Development	2
Infrastructure Management - CCOs	3
Liquor Ban	1
Logan Park Development	3
Long Term Plan	1
Look and feel of the city	5
Mosgiel Pool	2
Parks and Recreation - Long Term Plan	3
Parks and Recreation Strategy	2
Peninsula connection/Portobello Rd- Harington Pt Rd project	4
Place Based Communities	6
Playgrounds	2
Port Chalmers urban design	1
Procurement	1
Public Art Framework	1
Public Toilets	2
Public Transport Governance	3
Public Transport Infrastructure and Facilities	5
Rating Method - Annual Plan	1
Rating Method - Long Term Plan	4
Resource Consent Management	4
Ross Creek Reservoir	1
Rubbish Collection	1
Smokefree	1
Social Housing	3
South Dunedin Community Hub	7
South Dunedin infrastructure	2
Sports and Recreation - Planning	2
Sportsfields and Reserves	9
Stadium - operating model	2
Stormwater Management	1
Street cleaning	5
Streetlights	6
Targeted Rates	1
Te Ao Tūroa – The Natural World: Dunedin’s Environment Strategy	26
Te Ao Tūroa – The Natural World: Dunedin’s Environment Strategy - No comments	2
Toitu Otago Settlers Museum	2
Town Belt	2
Transport Infrastructure	5
Volunteering	1
Warehouse Precinct	4
Waste Management Contract	1
Waste Minimisation	5
We're on track - general comments about our plans	22

Total number of Comments:	291

Total Number of Topics:	83

ORGANISATION	FUNDING REQUEST
Football South Supported by Sport Otago \| 584494	$1m
Landscape Connection Trust \| 586001	Commitment to fully fund a city-wide pest management strategy (amount unspecified). Review and significantly increase ecological maintenance budget (amount unspecified).
Tennis Otago \| 586359	Upgrade of the Logan Park tennis facility
Dunedin Town Belt \| 586683	Seeking $53,285 over two years to establish an Education Co-ordinator contract and provide the Student Leadership Team with Take Action project seed funding
Dunedin Rugby Football Club \| 586712	Funding in the 2017/2018 Annual Plan for the Installation of lighting at the Kettle Park grounds. Initial quotes obtained by the DRFC (estimate the cost $130K inclusive of GST).
Dunedin Street Art \| 586738	Contribution of $40K towards Dunedin Street Art.
Disabled Persons Assembly \| 586768	Budget for the expansion of its existing stock of social housing by building new units with all new units being built according to the Lifemark Standard (amount unspecified).
Fringe Arts Trust \| 586770	Consider increasing the amount of funds available to the Premier and Major Events Funding Round (amount unspecified). Multi-year funding be urgently considered as an option for events with a significant history and proven track record.
Dunedin Gasworks Museum \| 586774	Continuation of annual $50K, which specifically includes an allocation of $10K for specific property maintenance and operational needs. Contribution towards strengthening and restoring buildings as per the Engineers Report (amount unspecified). Purchase of Arthur Stone’s adjacent property.
CCS Disability \| 586778	Council commit a small percentage of its annual maintenance budget to conducting street audits and using the information gained to plan access improvements as part of its regular maintenance schedule.
Blueskin Resilient Communities Trust \| 586785	One-off budget of $100K for ground water and sea-level rise planning is increased further and is increased year on year. Allocate $200K (doubling the current allocation) into more resources to assist successful implementation of the Energy Plan, meet the targets in the Emissions Management and Reduction Plan, and advance the Compact of Mayors to the point of establishing an action plan. Focus attention on local Smart Grid work to maximize the benefits for consumers, new and existing businesses and the electricity network as a whole. We seek a $20K investment in a scoping a market trial to unlock further investment in energy innovation and stimulate local business. Confirm funding for the Cosy Homes Trust, Cosy Energy Advice and an in-house Eco Design Advisor to ‘invest to save’ and improve the liveability of our city. Invest $10K matching funds as a co-funder of a feasibility study to look at replacing fossil fuel heating with biomass for Council buildings and assets and commit to eliminating all fossil fuels for heating purposes by 2020.
Dunedin Tunnels Trail \| 586795	Consider the Trail to be included within the Major Projects/ Cycleways of the 2017-2018 Annual Plan.
Greater Green Island Community Network\| 588087	Request contribution to the costs of the ‘softfall’ elements of up to $62K for the Greater Green Island Community Playground to be located in the Memorial Park Green Island.

Summary of Long Term Plan 2018-related feedback

Areas the Council should consider focusing on more in future planning

Group	Theme: what the Council should consider in future planning	Number of comments
General feedback	Collaboration and partnerships	6
32	Focus on delivery	9
	Hospital	5
	Infrastructure renewals and maintenance	8
	Leadership	3
	Unitary council	1
Transport	Cable car	3
107	Central city plan / upgrade	6
	Cycleways and strategic cycle plan	21
	Cycleway tunnels	9
	Electric vehicles	6
	Harbourside project	7
	Improve connections and access	8
	Integrated transport	4
	LED lights and streetlights	7
	Maintenance	2
	Mosgiel upgrade	1
	Pedestrianisation and footpaths	12
	Public transport	15
	Tertiary Streets	1
	Safety	4
	Miscellaneous / other feedback	1
Water and Waste	Bio-waste	5
38	Core infrastructure – water and waste	3
	Cleanliness	3
	Flouridation	1
	Landfills	2
	Maintenance	3
	Rates for water	2
	Renewals	4
	Ross Creek Reservoir	2
	Storm water	2
	Waste minimisation and recycling	10
	Waste management	1
Parks and Recreation	Aquatics	2
83	Aramoana	1
	Biodiversity	12
	Coastal erosion	2
	Community gardens	2
	Collaboration and partnership	1
	Football South project	2
	Freedom campers	1
	Harbour access	2
	Harbour ferry	1
	Kettle Park	1
	Logan Park development	4
	Marina	1
	Mosgiel Pool	9
	Parks and recreation strategy and action plans	5
	Parks and reserves	3
	Pest control and predator free	10
	Pesticides	1
	Playgrounds	4
	Signage	1
	Smokefree	5
	Sports grounds	2
	Town Belt	5
	Tracks and trails	3
	Volunteering	3
Property	Commercial / investment property	2
15	Public toilets	2
	Railway Station	3
	Social housing	8
Enterprise Dunedin	Dunedin currency	3
35	Economic development	3
	Employment	5
	Food resilience	2
	Grants and support	1
	Innovation	3
	Investment	2
	Marketing and promotion	10
	Tourism	6
Customer and Regulatory Services	Alcohol licensing	1
Customer and Regulatory Services	Animal control	2
17	Building control	1
	Cat management	5
	Green buildings and eco-design	8
Arts and Culture	Arts and culture / Ara Toi	5
29	Creative arts	1
	Gasworks Museum	4
	Literature	1
	Mayfair Theatre	1
	Otago Settlers	1
	Public art	9
	South Dunedin community hub	5
	Support for arts	2
Community Development	Centres	1
Community Development	Climate change adaptation and planning	5
45	Collaboration and partnerships	2
	Community activities and facilities	3
	Community development	7
	Community groups	2
	Education	2
	Events	3
	Grants	3
	Health	1
	Place-based approach	8
	South Dunedin	7
	Youth	1
City Development	Beautification	2
31	District Plan and resource management	6
	Harbourside project	4
	Heritage	3
	Public spaces	3
	Resilient centres	1
	Urban development and design	5
	Warehouse Precinct	5
	Victorian Precinct	2
Corporate Policy	Community engagement	7
40	Compact of Mayors	1
	Dark skies	8
	Energy Plan delivery	12
	Low carbon and emissions reduction	5
	Sustainability	2
	Te Ao Turoa delivery	5
Council Communications and marketing 3	Improve communications	2
Council Communications and marketing 3	Website	1
Finance	Affordability	1
11	Debt	3
	Expenditure	1
	Rates	5
	Rating method	1

Areas the Council should consider focusing less on in future planning

Group	Theme: what the Council should focus on less	Number of comments
General feedback	Bureaucracy	6
15	Procurement out of Dunedin	3
	Reactive and ad hoc projects	4
	Strategies	2
Transport	Cycleways and strategic cycle plan	4
18	Integrated transport	4
	LED lights and streetlights	1
	Public transport	2
	Safety	1
	Miscellaneous / other feedback	6
Water and Waste	Core infrastructure – water and waste	3
4	Cleanliness	1
Parks and Recreation	Aramoana	2
13	Beaches	1
	Mosgiel Pool	1
	Parks and reserves	3
	Pesticides	3
	Sports grounds	3
Property	Commercial / investment property	2
4	Property	2
Enterprise Dunedin	Economic development	2
3	Marketing and promotion	1
Customer and Regulatory Services 3	Animal control	1
Customer and Regulatory Services 3	Customer and Regulatory Services	2
Arts and Culture 2	Arts and culture / Ara Toi	2
Community Development 1	Climate change adaptation and planning	1
Finance 4	Expenditure	4

COUNCIL Annual Plan Deliberations

15 May 2017

2017/18 Budget Update

Department: Finance

EXECUTIVE SUMMARY

1 Since the draft 2017/18 budget was approved, a number of budget changes have been identified. These changes should be considered by Council, and if approved, incorporated into the budget and the 2017/18 Annual Plan.

2 The net impact of the changes is a reduced funding requirement of $100k (reducing the proposed rate increase from 2.99% to 2.92%).

RECOMMENDATIONS

That the Committee:

a) Approves the identified budget changes, as amended by the Council, for incorporation into the 2017/18 Annual Plan.

BACKGROUND

3 The draft budget included an overall rate increase of 2.99% for the 2017/18 year.

4 The Council approved a Financial Strategy as part of the 2015/16 - 2014/25 Long Term Plan process. It included a rate increase limit of 3% per annum unless there are exceptional circumstances.

5 During the 21 February 2017 Council meeting, $50k was included for food resilience work and $150k was included for the delivery of Te Ao Turoa. In addition, the Council decided to consult with the Community on the option of maintaining the $150k budget for Te Ao Turoa resourcing or increasing it to $200k.

DISCUSSION

6 Since the draft 2017/18 budgets were approved by Council a number of items have been identified that impact the budget. Some of the changes relate to projects that will not be completed this financial year (2016/17) and there is no budget, or an inadequate budget, to complete the project in the next financial year. These changes were previously referred to as carry forward budgets.

Operating Budget Changes

7 The table below provides a summary of the changes that impact the operating budget. Further detail is provided for each change in the subsequent paragraphs. Note that not all of the changes impact on rates in the 2017/18 year because they relate to unspent funds from 2016/17.

Operating Budget Changes:

Item/Activity	2017/18 Year $’000 Debit/(Credit)	Corresponding Paragraph
Maintenance	200	9/10
Insurance	150	11
Water and Waste Services	250	12
Transport	100	13
BIS	200	14
Debt Servicing Savings	(1,000)	17
Net Impact of Changes	(100)	Rates Funded
Parks and Recreation	644	15/16
Net Impact of Changes	544	Rates Funded plus Carry-forwards

8 The total change to rates is a reduction of $100k for the 2017/18 year. If the Council decides to include an additional $50k for Te Ao Turoa resourcing, the overall rate increase would become 2.95%.

Maintenance

9 An additional $200k will restore the budget for deferred maintenance on Council buildings to $280k. During the 21 February 2017 Council meeting the Council reallocated $200k of this budget to food resilience and Te Ao Turoa. At the time, it was noted that likely interest savings could be reallocated to this amount prior to the 2017/18 budget being finalised.

10 Deferred maintenance on a number of buildings has resulted in a backlog of work that needs to be addressed. The Long Term Plan 2018 process will involve a bottom up review of operating and capital expenditure requirements which will assist in establishing the priorities for ongoing work. This budget provides some additional maintenance funding for the 2017/18 year.

Insurance

11 An increase in the budget for insurance of $150k is required. This increase takes into account the current claims history and anticipated movement in the market.

Water and Waste Services

12 The closure of the Cadbury factory will impact revenue in Water and Waste Services due to a reduction in water usage and trade waste charges. The net impact of these changes is estimated to be $250k.

Transport

13 A $100k increase in the budget for street sweeping would enable additional cleaning of glass from the streets in the North Dunedin campus area.

Business Information Services (BIS)

14 A $200k budget for imagery is required every three to five years in order to update aerial photographs of the city. The last update was completed in the 2013/14 year. The draft budget currently doesn’t allow for this expense in the 2017/18 year, however Council is now part of a consortium with Land Information New Zealand and the Otago Regional Council to share costs of aerial photography across the region, this work is underway now.

Parks and Recreation

15 An operating budget of $510k will fund the Council contribution towards the new hockey turf. This expenditure has not been released in the current financial year due to consenting delays. The project to build the turf is well progressed through the planning phase. The funding partnership agreement is likely to be formalised in October 2017. This expenditure is funded by funds carried forward from the 2016/17 year.

16 An operating budget of $134k is required to continue the on-going work with the Mosgiel Taieri Facilities Trust on the new Mosgiel pool project. This expenditure is funded by funds carried forward from the 2016/17 year.

Debt Servicing Savings

17 A reduction in debt servicing costs is estimated to be $1.000 million in the 2017/18 year. This is the result of the timing of the capital expenditure programme, lower debt than anticipated and a lower interest rate.

Capital Expenditure Budget Changes

Transport

18 Cycleways – The timing of the cycleway expenditure was delayed in the draft budget to reflect the focus of utilising the Urban Cycleway Fund and to be realistic about how progressed the project was. The Council is now far enough through the planning process and there is a good understanding of what can be achieved in the 2017/18 year. Those delays can now be brought forward again to reflect the Council and New Zealand Transport Agency (NZTA) funded portions of the project. The 2017/18 budget will be revised as per the table below. The additional external funding will increase the operational surplus.

$m	Draft budget 2017/18	Final budget 2017/18
Urban Cycle Fund	2.8	2.0
DCC	0.0	1.7
NZTA	0.0	2.3
Total	2.8	6.0

19 LED Street Lights - the timeframe for delivery of the LED streetlights is pushed out to reflect a more realistic programme with a decision on the type of lights to be used still required.

$m	Draft budget 2017/18	Final budget 2017/18
2016/17	1.0	0.0
2017/18	3.0	1.5
2018/19	2.0	2.0
2019/20	0.0	1.5
Total	6.0	6.0

20 Portobello and Harrington Point Road Improvements - The timing of the budget for Portobello and Harrington Point Road improvements was updated in the draft budgets. A final update based on the estimated expenditure in the current financial year will increase the 2017/18 budget by $1.8 million. The total budget for this project increases to $10.8 million in the 2017/18 year. This budget change is funded by funds carried forward from the 2016/17 year and NZTA subsidy.

City Development

21 The 2017/18 budget for amenity upgrades is increased by $900k. This will enable the work planned for the Warehouse Precinct to be completed, including the Jetty Street project which is due to commence in May. This expenditure is funded by funds carried forward from the 2016/17 year.

Property

22 An increase in the budget for Investment Property renewals of $660k will enable the completion of fit-out and compliance work on certain properties. This expenditure is funded by funds carried forward from the 2016/17 year.

Water and Waste Services

23 A $90k capital expenditure budget will allow the completion of the Waikouaiti Landfill transfer station. This expenditure is funded by funds carried forward from the 2016/17 year.

Business Information Services

24 An additional capital expenditure budget of $984k will enable replacement of some core systems including the document management system. It will also provide sufficient budget for the replacement of desktop equipment and infrastructure in the 2017/18 year. This expenditure is funded by funds carried forward from the 2016/17 year.

Parks and Recreation

25 A capital budget of $400k is tied to the Councils on-going commitment to work with the Mosgiel Taieri Facilities Trust. This expenditure is funded by funds carried forward from the 2016/17 year.

26 Artificial Turf - A separate report has been provided on capital expenditure requirements for an all-weather artificial turf at Logan Park. Should the Council wish to include this funding in the 2017/18 budget, the funding would be provided by debt.

OPTIONS

27 No options are provided.

NEXT STEPS

28 A number of changes have taken place since the draft budget was prepared. These changes should be considered for approval by the Council and incorporated into the 2017/18 Annual Plan.

Signatories

Author:

Donna McTainsh - Assistant Accountant

Carolyn Allan - Senior Management Accountant

Authoriser:

Gavin Logie - Acting Chief Financial Officer

Attachments

There are no attachments for this report.

SUMMARY OF CONSIDERATIONS

Fit with purpose of Local Government

The budget changes identified in this report relate to providing local infrastructure, public services and regulatory functions for the community.

Fit with strategic framework

	Contributes	Detracts	Not applicable
Social Wellbeing Strategy	☐	☐	☒
Economic Development Strategy	☐	☐	☒
Environment Strategy	☐	☐	☒
Arts and Culture Strategy	☐	☐	☒
3 Waters Strategy	☐	☐	☒
Spatial Plan	☐	☐	☒
Integrated Transport Strategy	☐	☐	☒
Parks and Recreation Strategy	☐	☐	☒
Other strategic projects/policies/plans	☐	☐	☒

This report has no direct contribution to the Strategic Framework, although the financial expenditure reported in this report may contribute to all of the strategies.

Māori Impact Statement

There are no known impacts for tangata whenua.

Sustainability

There are no known implications for sustainability.

LTP/Annual Plan / Financial Strategy /Infrastructure Strategy

This report presents budget changes that will impact on the 2017/18 budget.

Financial considerations

This report presents budget changes that will impact on the 2017/18 budget.

Significance

The significance of the decision is assessed as low.

Engagement – external

There has been no external engagement.

Engagement - internal

The report has had internal engagement with members of ELT, relevant Activity Managers and Financial Analysts.

Risks: Legal / Health and Safety etc.

There are no known risks.

Conflict of Interest

There are no known conflicts of interest.

Community Boards

There are no known impacts for Community Boards.

COUNCIL Annual Plan Deliberations

15 May 2017

Football South All Weather Sports Hub

Department: Parks and Recreation

EXECUTIVE SUMMARY

1 This report recommends that Council considers during Annual Plan deliberations contributing $1 million dollars to a Football South proposal to construct an all-weather artificial turf at Logan Park.

2 If supported, the project could be debt funded new capital.

3 The rationale for considering this project during Annual Plan (rather than waiting until the 2018/19 Long Term plan) is due to the availability of FIFA funding which must be allocated to a project which commences in the 2017 calendar year. $300,000USD (approx. $420,000NZD) has been offered to Football South by FIFA for the development of an all-weather artificial turf.

RECOMMENDATIONS

That the Committee:

a) Considers funding support of $1 million dollars for the development of an all weather artificial turf by Football South.

b) Notes the Football South All Weather Sports Hub Submission report

BACKGROUND

4 There has been discussion about the construction of an all weather sports turf in Dunedin for a number of years. Approximately 6 years ago the turf project was deferred, along with a number of other capital projects, when there was a decision not to undertake capital spending to increase any current levels of service.

5 In the 2015/16 Long Term Plan the Council provided $10,000 funding support to Football South for the completion of a $25,000 feasibility study. Football South commissioned Globe Leisure to complete a feasibility study on the need for artificial turfs and a Home of Football in Dunedin.

6 The feasibility study involved engagement with key stakeholders, sporting codes, regional and national sport bodies and federations; and other interested parties.

7 Council staff provided current sports field demand figures, and advice to Global Leisure and Football South to assist with the study.

8 During the 2016/17 Annual Plan hearings Football South provided Council with an update on their proposal and signalled the next steps in the projects development. The following motion was put:

That the Council:

Requests staff continue discussions with Football South to develop plans for their needs consistent with Council's strategic goals, and report back for the 2017/18 Annual Plan.

9 Football South has actively engaged with staff over the past two years, taking on board feedback, providing additional information, adapting operating models, actively engaging in the Parks and Recreation Strategy stakeholder groups and consultation process and in recent times the stakeholder engagement sessions for the Logan Park Precinct Future Plans.

DISCUSSION

The Proposal

10 The proposal submitted by Football South is to build two full-sized all weather artificial turf fields on Logan Park in the area known as Logan Park 1 and Logan Park 2 (during winter), and Cricket 1 (during summer).

11 Football South’s submission outlines two possible ownership and operating models; 1) set up of a new Football South controlled trust to own, administer and maintain the facility; 2) the facility is vested in Council ownership and the facility is managed by Council sports services staff. Early discussions between staff and Football South have determined that a Council owned and managed facility is both parties’ preferred model.

12 The facility would utilise the existing modern change facilities adjacent to the bowling club on Union Street.

13 The two turf facility would act as the 'Home of Football' but would be available to other codes, sporting organisations, commercial sporting teams, schools and casual users. The existing DCC sports booking system would be used to administer the use of the fields to ensure fair use by all codes. In un-booked non-peak times the facility would be available to the public at no cost, for recreational purposes.

14 The specifications of the turf would meet both FIFA and the International Rugby Board (IRB) standards allowing it to be used by both codes for competition.

15 The facility would be fenced by a 1.2m fence around the perimeter and up to 6m behind the goals. This is primarily to protect the asset from vandalism.

16 The proposal provides a detailed breakdown of the capital cost of developing the facility.

Construction Items	Estimated Cost (NZD)
Preliminary and General – Site establishment, consents, H&S monitoring etc	$35,000
Earthworks	$245,000
Subsoil Drainage	$69,000
Hardscape – Base construction	$320,000
Concrete Works	$98,000
Structures – fencing	$129,700
Professional Fees	$150,000
Turf, shock pad and goals	$1,400,000
Subtotal	$2,446,700
Additional Infrastructure Items
Flood Lighting – partially use existing system	$150,000
Seating – 2x portable 200 person units	$100,000
Equipment – Additional goals, ball barriers/netting, booking systems etc	$50,000
Contingency	$200,000
Subtotal	$500,000
Total Proposal Capital Cost	$2,946,700

Capital Funding Model

17 The New Zealand Football National Facilities Strategy Update identifies and supports the need for an artificial turf which would serve as a home of football in Dunedin. The alignment with this strategy and the submitted feasibility study show a 'need' rather than a 'want' for an artificial pitch. This will be vital in attracting third party funding.

18 The proposal looks to draw funding from several community and international sources listed below:

Proposed Funding Sources	Contribution (NZD)
DCC	$1,000,000
New Zealand Football / FIFA	$420,000
Trusts and Lotteries	$1,300,000
Other Sporting Entities e.g. Rugby	$150,000
Local Business and Education	$100,000
Total	$2,970,000

19 If Council choose to include the project in the 2017/18 annual plan, funding could be made available as debt funded new capital. Staging of funding is not necessary and would likely complicate an already condensed programme.

FIFA Funding

20 Federation International Football Association (FIFA) is the international body for football. They have a FIFA Forward Programme available that distributes funds annually to assist with the growth of football throughout the world. In New Zealand the funds are administered through New Zealand Football (NZF).

21 If the Council contributes to this project NZF will 'draw down' funding from the FIFA Forward Programme fund within an already approved limit $300,000USD (approx. $420,000NZD). FIFA require NZF to regularly audit and confirm the project has been used for an approved purpose in this calendar year for an “active project”. An active project is defined as being under construction. Timeframes are tight to achieve this as detailed design still needs to be carried out. NZF are required to audit a second time when the project is complete.

22 If FIFA funding is not drawn down this calendar year the project will be in competition with at least two other facilities who will applying for funding in early 2018 (one in Palmerston North and one on the North Shore of Auckland).

Current Use and Operating Costs of Logan Park 1 and 2

23 Below is a table outlining current average booked winter use of Logan Park 1 and Logan Park 2 by specific codes:

	Logan Park 1 (Hours per week)	Logan Park 2 (Hours per week)
Rugby Union	7	9
Rugby League	5	0
Unipol Rugby	7.5	7.5
Total	19.5	16.6

Table 1: Current booked use of sports fields during winter

24 Sport New Zealand's Guiding document for Sports Field development recommends a maximum of 14 hours for a soil base pitch that is well maintained in fair conditions.

25 Below is a table outlining average booked summer use of Logan Park 1 and Logan Park 2 by specific codes:

	Cricket ground (both winter fields) (Hours per week)	Logan Park 1 (Hours per week)	Logan Park 2 (Hours per week)
Cricket	11
Unipol Touch	0	6	6
Total	11	6	6

Table 2: Current booked use of sports fields during summer

26 Should an all weather artificial turf be constructed on Logan Park 1 and Logan Park 2 an annual operational saving of $28,451 would be achieved through a reduction in mowing, line marking, pads and posts, cricket maintenance and switch season renovations.

27 Council staff, in consultation with Football South, are considering the retirement of four additional football fields across Dunedin. The retirement would mean less frequent mowing and line marking. The fields would be retained as community amenity space. This action would save operational costs of $24,000 per year. The reduced grass pitch availability would be offset by the increased availability of an all weather artificial turf. A decision on retiring football fields would only be made after consultation with current users.

Proposed Operating Model

28 NZF have requested up to 30 hours of free priority use each calendar year in recognition of their contribution to the facility. This use could include national training camps, international games or workshops. Use over and above the thirty hours would be charged at standard rates.

29 Football South and staff have had high level discussions about the preferred operating model for a new facility. The final operating model would need to be formalised in a hire agreement. The current proposal envisages priority booking for Football South to enable use of the turf during peak times. An example of the proposed timetable for turf use is included as Attachment A.

30 Staff have developed an indicative operational funding model, based on the national average of artificial turf use as a benchmark. The model assumes 42% occupancy at peak times (3pm-10pm), 12.5% occupancy at non-peak times (6am-3pm) and is based on the facility being run and owned as a Council asset.

Revenue	Per year
Off peak hours	$40,950
Peak hours	$149,822
Total Revenue	$190,772
Expenditure
Lighting (including lamp replacement, annual inspections, power)	$39,150
Insurance	$38,000
Maintenance (turf maintenance, cleaning, sweep)	$30,000
Security	$2,000
NZF Use	$4,200 (30 hours use)
Football South Use	$14,000 (100 hours use)
Total Expenditure	$127,350
Estimated Net Surplus	$63,422

Assumptions:

Ø Peak hours 3pm-10pm 42% capacity (2548 per year)

Ø Off peak 6am- 3pm 12.5% capacity (3276 per year)

Ø Current Sportsbook staff to complete administration

Ø No commercial use has been calculated

31 Capital replacements will need to be budgeted for every 10-12 years for surface renewal (depending on use). Every second surface cycle the shock pad will require replacement.

32 Further operational savings could be achieved at the completion of a Sport Field Demand Analysis in which field use, levels of service, maintenance and renewals are being assessed. Staff are currently undertaking this work ahead of next year's LTP.

Logan Park Precinct Plan

33 The Logan Parks Precinct Plan (the Plan) has been discussed for a number of years and in August 2016 staff re-engaged with key stakeholders to progress the development of the Plan.

34 Three concepts were developed which identified potential options for an artificial turf development. The original location (behind the Sargood centre) was discarded due to size constraints. Logan Park 1 and 2 was preferred over Logan Park 5 and 6 due to the size of the area, existing changing facilities and current demand of the fields.

35 In December 2016 following a meeting with key Logan Park stakeholders staff sent out the three concept plans for feedback and comment. Feedback in support of the Logan Park Development Plan Concept Three (included as Attachment B) was received from:

Ø Football South,

Ø Southern United,

Ø Hill City, University Athletics Club,

Ø Otago Secondary Schools Sports Association,

Ø Athletics Otago,

Ø Otago Cricket,

Ø Otago Rugby Union,

Ø Otago University Rugby Football Club,

Ø Sport Otago,

Ø Tennis Otago,

Ø Southern Zone Rugby League.

36 The Dunedin Cricket Association was not in support of this location. The University of Otago Recreation Services was not supportive if they did not gain access.

37 The current Football South proposal for the location of the turf facility is in keeping with the preferred option for the development of Logan Park. The Plan will be further developed throughout 2017 before the 2018/19 LTP

Risks

38 In 2016 asbestos was found at Logan Park during a field renovation. Staff will undertake pothole testing prior to any construction at this site to provide the best opportunity to identify asbestos risk prior to the project commencing.

39 Financial overrun is a common risk associated with projects of this nature. It is proposed that Council staff and Football South develop a risk apportionment charter before delivery of physical works. This would ensure the responsibility and financial accountability of each organisation is clear if any identified risk manifests.

OPTIONS

Option One – Approve funding in the 17/18 Annual Plan

40 Approve funding of $1 million dollars to support the development of an artificial turf at Logan Park during the 2017/18 financial year.

Advantages

· A community asset for the city is created for the city

· Provides an all weather artificial turf for football and a number of other codes and organisations to utilise

· Opportunities for Dunedin to host national and international events that are not currently able to be held in Dunedin such as National League games, (Southern United) and age group tournaments.

· Supports the most recent concept plan for the Logan Park Precinct Development

· Enables the city to benefit from FIFA funding, available in this calendar year

· Capital renewals of the all weather artificial turf can be funded through a predicted operating surplus. Any surplus could also be used to improve soil and sand based grass pitches throughout the community.

· This location would make better use of the change facilities located adjacent to the site which were previously invested in by Council.

· The development of an artificial turf would complete a capital project that was previously deferred due to capital funding constraints.

Disadvantages

· Funding of the project is considered outside of a Long Term Plan process, which limits Councils ability to effectively prioritise this project against proposals for other community infrastructure projects.

· A grass cricket wicket block will be lost due to the development. Funding may be required to establish a new block elsewhere in Dunedin.

· The development of the artificial turf will add to parking pressures in the Logan Park area during peak times.

Option Two –Do not approve funding in the 17/18 Annual Plan

41 Do not approve funding of $1 million dollars in the 2017/2018 financial year for the development of an artificial turf on Logan Park and reconsider the funding at the 2018/19 Long Term Plan.

Advantages

· The project can be considered and compared to other community infrastructure projects during the 2018/19 long term plan process

· There will be no loss of existing cricket wicket blocks and the subsequent requirement to relocate them in the short term

· No further pressure will be placed on car parking in the Logan Park area during peak times in the short term

Disadvantages

· FIFA funding of $420,000 may not be available in future years due to competing projects

· The community remains without an outdoor training facility which is accessible in all weather for at least a further year

· Dunedin will not be able to hold national and international sporting events that would be attracted by the proposed facility for at least a further year

NEXT STEPS

42 Should the proposal be supported staff will work with Football South to form a project group to deliver an all-weather artificial surface at Logan Park during the 2017/18 financial year.

43 Staff and Football South along with New Zealand Football will work on a User agreement as per the proposed preference outlined in this report.

Signatories

Author:

Jendi Paterson - Recreation Planning and Facilities Manager

Authoriser:

Tom Dyer - Acting Group Manager Parks and Recreation

Richard Saunders - Group Manager Transport

Attachments

	Title	Page
a	Full Football South Proposal	55
b	Proposed Timetable for Turf Use	99
c	Logan Park Development Plan - Concept 3	101

SUMMARY OF CONSIDERATIONS

Fit with purpose of Local Government

This decision relates to providing local infrastructure and it is considered good-quality and cost-effective.

Fit with strategic framework

	Contributes	Detracts	Not applicable
Social Wellbeing Strategy	☒	☐	☐
Economic Development Strategy	☒	☐	☐
Environment Strategy	☐	☐	☒
Arts and Culture Strategy	☐	☐	☒
3 Waters Strategy	☐	☐	☒
Spatial Plan	☒	☐	☐
Integrated Transport Strategy	☐	☐	☒
Parks and Recreation Strategy	☒	☐	☐
Other strategic projects/policies/plans	☒	☐	☐

The decision supports the draft Parks and Recreation Strategy through creating fit for purpose recreation facilities; for now and the future, collaborating with other organisations to deliver recreational outcomes for the community, aligning with national and regional strategies and providing more opportunities for people to be more active, more often.

The proposed turf also supports the outcomes of a number of other strategies by enabling residents to take part in recreation, and providing opportunity for Dunedin to secure more events in the future.

Māori Impact Statement

There is no known impact on Tangata Whenua. Consultation with iwi would occur through the resource consent process if the development was to proceed.

Sustainability

The development of new community infrastructure supports social sustainability and sustainability principles will be considered in the developed design and operation of the facility.

LTP/Annual Plan / Financial Strategy /Infrastructure Strategy

The decision sought by this report impacts the Annual Plan budget for the 2017/18 year.

Financial considerations

If Council choose to include the project in the 2017/18 annual plan funding could be made available as debt funded new capital.

Significance

This project is considered to have low significance when assessed against the Council’s significance and engagement policy.

Engagement – external

Football South has undertaken significant consultation to inform their proposal. Staff over the past 12 months have engaged with key stakeholders through the development of the Parks and Recreation strategy and Logan Park future precinct re-engagement.

Engagement - internal

The Acting Chief Financial Officer has been consulted during the writing of this report.

Risks: Legal / Health and Safety etc.

Asbestos was found during a recent project at Logan Park. Pothole testing of the site would need to occur prior to any construction beginning.

To secure the FIFA funding the project must be underway within the 2017 calendar year. This is a tight timeframe but is considered achievable by all parties.

Conflict of Interest

There is no conflict of interest

Community Boards

There are no implications for Community Boards.

council Annual Plan Deliberations

15 May 2017

Draft 2017/18 Annual Plan - Film Permit Fees

Department: Enterprise Dunedin

EXECUTIVE SUMMARY

1 The following report seeks to respond to a request for further information from the 23 January 2017 Council meeting as part of the draft 2017/18 Annual Plan process:

“It was moved (Cr Kate Wilson/Cr Aaron Hawkins):

That for the May 2017 Annual Plan meeting staff advise on the advantages and disadvantages of having a zero fee on the film permit Motion Carried (CNL/2017/031)”

RECOMMENDATIONS

That the Committee:

a) Agrees to retain the current film fee structure for the 2017/18 Annual Plan.

b) Agrees to reconsider this issue as part of the development of the 2018-28 Long Term Plan.

BACKGROUND

2 The film industry contributed over $35m to the Otago / Southland economy during the 2014/15 period.

3 The current film policy was adopted in June 2015. The objective of the policy is to encourage and grow film making in Dunedin, ensure film making undertaken on Dunedin City property meets legislative and landowner requirements and incentivise the collection of information on film making in the city.

4 The fees range from $250 for a half day to $500 day for commercial filming. There is no charge for non-commercial or educational film activity. The policy includes provision to waive the fee.

5 Fifteen permits were issued for film and television production in Dunedin including architecture, tourism and nature documentaries, TV drama and NHNZ children's shows in the period between August 2016 and February 2017.

DISCUSSION

6 The Dunedin film office issued 15 film permits between August 2016 and February 2017 compared with 25 for the year ending 2016/17. Of these 9 have been potentially 'fee paying', although in all case the fees been waived. The remaining six have been non-commercial or educational fee activity.

7 Staff currently have no evidence (i.e. feedback from operators or producers) to suggest that the fee structure, whether it is waived or not, is creating a barrier to film and film making in the Dunedin.

8 Regardless of the fee, the permit is one way which Council can mitigate any possible impacts associated with film activity within the city. These impacts include film related activity such as potential use of drones and/or parking or transport implications for businesses and residents.

9 To better understand whether the current process is effective it is proposed to engage with film permit customers over the next six months regarding the current process and fee. This will also take account of the administrative costs of administering the current system. This will inform further advice to Councillors for consideration as part of the 2018-28 Long Term Plan.

OPTIONS

Option One (Recommended Option) – Consider film permits and fees as part of the 2018-28 Long Term Plan

10 Under this option the Council would retain the current film fee structure for the 2017/18 Annual Plan and reconsider the issues of film permits and fees as part of the development of the 2018-28 Long Term Plan.

Advantages

· Further time to engage with customers and industry regarding the effectiveness of the process and fees.

· Depending on the outcome of engagement, allows consultation on possible draft changes to the permit and fee structure.

Disadvantages

· No negative impact as most other territorial local authorities have a fee structure in place.

Option Two – Waive film permit fees as part of 2017/18 Annual Plan

11 Under this option Council would waive the fee on film permits.

Advantages

· The Dunedin City Council may be perceived more favourably by the film industry as supporting and encouraging the film industry. However there is no evidence base to support this to date.

Disadvantages

· Issues with the current process are undefined and need to be understood.

· Potentially reduces options for mitigating and managing potential risks and impacts of film activity on DCC owned or controlled property.

NEXT STEPS

12 Under Option one (the preferred option) a review of the effectiveness and transaction costs associated with film fee permit will be undertaken. This will inform further advice to Council as part of the 2018-28 Long Term Plan.

Signatories

Author:

Fraser Liggett - Economic Development Programme Manager

Des Adamson - Business Relationship Manager

Authoriser:

Nicola Pinfold - Group Manager Community and Planning

Attachments

There are no attachments for this report.

SUMMARY OF CONSIDERATIONS

Fit with purpose of Local Government

This report provides information that relates to providing a public service which is considered good-quality and cost-effective through the range of sustainable approaches outlined in the report.

Fit with strategic framework

	Contributes	Detracts	Not applicable
Social Wellbeing Strategy	☐	☐	☒
Economic Development Strategy	☒	☐	☐
Environment Strategy	☐	☐	☒
Arts and Culture Strategy	☐	☐	☒
3 Waters Strategy	☐	☐	☒
Spatial Plan	☐	☐	☒
Integrated Transport Strategy	☐	☐	☒
Parks and Recreation Strategy	☒	☐	☐
Other strategic projects/policies/plans	☐	☐	☒

Māori Impact Statement

There are no known impacts of this report for tangata whenua.

Sustainability

There are no sustainability issues.

LTP/Annual Plan / Financial Strategy /Infrastructure Strategy

The current LTP 2015/16 to 2024/25 and Annual Plan 2015/16 includes current and proposed fees and levels of service.

Financial considerations

This report makes no recommendations with financial implications that are not already included in the current LTP 2015/16 to 2024/25 and Annual Plan 2016/17.

Significance

This report is considered of low significance in terms of the Council’s Significance and Engagement Policy.

Engagement – external

There has been no external engagement related to this report.

Engagement - internal

Internal engagement related to this report has been undertaken with the Enterprise Dunedin Team.

Risks: Legal / Health and Safety etc.

There are no known health and safety, legal, social or environmental risks related to this report.

Conflict of Interest

There are no conflicts of interest related to this report.

Community Boards

This matter may be of interest to Community Boards.

council Annual Plan Deliberations

15 May 2017

Adoption of 2017/18 Fees and Charges

Department: Community and Planning

EXECUTIVE SUMMARY

1 The schedule of fees and charges for 2017/18 year is presented to the Council for adoption.

2 Previously fees and charges have been adopted as part of the final annual plan document. This year they are presented for adoption in advance of the final plan adoption to allow Council activities sufficient time to complete necessary work prior to the schedules becoming effective on 1 July 2017.

RECOMMENDATIONS

That the Committee:

a) Adopts the attached schedule of fees and charges for 2017/ 18.

b) Notes a separate report is included in this agenda regarding Film Permit fees.

BACKGROUND

3 Previously fees and charges have been adopted as part of the final annual plan document. This year they are presented for adoption in advance of the final plan adoption to allow Council activities sufficient time to complete necessary work prior to the schedules becoming effective on 1 July 2017.

4 There are a number of other councils who adopt fees and charges prior to adopting their Annual Plan or Long Term Plan (e.g. Porirua City, Southland District, Palmerston North City, Wairoa District, Whakatane District and Taupo District).

5 A separate report is included in the agenda for this meeting, addressing the following recommendation from the 23 January 2017 Annual Plan Council meeting:

Moved (Cr Kate Wilson/Cr Aaron Hawkins):

“That for the May 2017 Annual Plan meeting staff advise on the advantages and disadvantages of having a zero fee on the film permit”. (CNL/2017/031)

DISCUSSION

6 The Annual Plan and Long Term Plan documents are usually adopted in the final week of June. The limited number of working days available between adoption of fees and fees becoming effective can make compliance with legislative requirements challenging for some Council activities.

7 For example, new fees for dog registration either have to be invoiced and payments accepted before the fees have been adopted by Council or be invoiced following adoption and an extension to the payment deadline offered. Neither option is legally compliant. i.e.

· Council activities should not be invoicing or accepting payment for fees that have not been adopted by the Council.

· Dog owners are required to register their dogs for the year by 1 July (section 36(1) of the Dog Control Act 1996). The Council is required to publicly notify the dog control fees in June each year (section 37(6) of the Dog Control Act 1996).

8 Considerable preparatory work is undertaken by Council activities each year in anticipation of fees and charges being adopted, such as preparation of signage at facilities, updating of customer brochures and website information, preparation applications such as Pathway and finance systems to work with updated fees and charges. Having fees and charges confirmed and adopted by Council prior to starting this work would provide surety that content was final and could not change.

9 The final deliberations and decision-making processes confirms the revenue budgets that fees and charges pertain to, meaning further change to fees and charges should not occur and there is no impediment to adoption at this time.

10 If a change to a fee and associated revenue budget is approved at the deliberations/decision-making meeting the fee schedule concerned would not be adopted with the rest of the schedule. A revised fee schedule would be adopted at a subsequent Council meeting or at the final Annual Plan adoption meeting.

11 The schedule of Fees and Charges for adoption and inclusion in the 2017/18 Annual Plan is attached (Attachment A). These fees represent a 3% increase in most instances unless they are set by statute or cost recovery.

12 The fees and charges shown in Attachment A were considered by Councillors in January 2017 and reflect decisions made at this time. Council should advise if they wish to make any changes.

13 Fees and charges for Economic Development – Film Permit Fee are unchanged in accordance with the recommendation in the separate report on this matter.

OPTIONS

14 No options are presented as the fees and charges presented considered and debated by Council in January.

NEXT STEPS

15 Staff will be advised that fees and charges have been formally adopted by Council and they will be able to commence the work required prior to fees and charges becoming effective from 1 July 2017.

Signatories

Author:	Jane Nevill - Corporate Planner
Authoriser:	Nicola Pinfold - Group Manager Community and Planning

Attachments

	Title	Page
a	Schedule of Fees and Charges 2017/18 Annual Plan	111

SUMMARY OF CONSIDERATIONS

Fit with purpose of Local Government

This proposal enables democratic local decision making and action by, and on behalf of communities and relates to provision of a number of regulatory functions and it is considered good-quality and cost-effective.

Fit with strategic framework

	Contributes	Detracts	Not applicable
Social Wellbeing Strategy	☐	☐	☒
Economic Development Strategy	☐	☐	☒
Environment Strategy	☐	☐	☒
Arts and Culture Strategy	☐	☐	☒
3 Waters Strategy	☐	☐	☒
Spatial Plan	☐	☐	☒
Integrated Transport Strategy	☐	☐	☒
Parks and Recreation Strategy	☐	☐	☒
Other strategic projects/policies/plans	☐	☐	☒

The adoption of fees and charges does not specifically relate to the strategic priorities.

Māori Impact Statement

No known impacts for tangata whenua.

Sustainability

There are no implications for sustainability.

LTP/Annual Plan / Financial Strategy /Infrastructure Strategy

This report refers to content and decision-making related to the 2017/18 Annual Plan. The Long Term Plan includes a Revenue and Financing Policy (RFP) setting out the Council’s policies on why and how funding sources are used to fund operational and capital needs, including policies on fees and charges.

Financial considerations

Fees and charges contribute to the revenue budgets for the Council’s activities.

Significance

The significance of this decision is deemed to be low in terms of Council’s Significance and Engagement policy.

Engagement – external

Consultation with the residents of the city via the Annual Plan engagement process. Schedules of fees and charges were included in the supporting information on the Council website.

Engagement – internal

Activity Managers, Financial Analysts, Senior Leadership Team and Executive Leadership Team were involved in the development of fees and charges.

Risks: Legal / Health and Safety etc.

There are no known risks.

Conflict of Interest

There are no known conflicts of interest.

Community Boards

Fees and charges for Council activities and facilities may be of interest to Community Boards.

council Annual Plan Deliberations

15 May 2017

Submission from Dunedin City Council to the Otago Regional Council Draft Annual Plan 2017/18

Department: Community and Planning

EXECUTIVE SUMMARY

1 This is a covering report for the attached submission from the Dunedin City Council to the Otago Regional Council on its Draft Annual Plan 2017/18.

RECOMMENDATIONS

That the Committee:

a) Approves the submission from Dunedin City Council on the Otago Regional Council Draft Annual Plan 2017/18.

BACKGROUND

2 The Otago Regional Council (ORC) is seeking feedback on its Draft Annual Plan 2017/18, specifically on proposals concerning:

· Civil defence and emergency management;

· Rural water quality;

· Minimum flows and deemed water use permit replacement;

· Public transport in the Wakatipu Basin;

· Queenstown office; and

· Lower Waitaki River control scheme.

3 The submission has come to the Council for retrospective consideration as the meeting time will fall after the consultation deadline of Friday 12 May 2017. The ORC have been notified of this delay and are happy to accept any changes to the submission prior to their Annual Plan hearings starting the week of 22 May.

DISCUSSION

4 The attached submission provides the Dunedin City Council’s response to areas of mutual interest. These areas include management of Tomahawk lagoon, civil defence and emergency management, and pest and plant control. The submission also discusses harbour management, climate change adaptation, transport and waste minimisation.

5 The Otago Peninsula Community Board has contacted the DCC to request support for their submission to the ORC Annual Plan, as it has done in the past for the ORC draft Annual Plan 2016/17. The attached draft includes support for the Community Board’s request to the ORC to include the proactive management of the Lagoon in its work programme and to continue providing support and commitment to the Te Rauone beach protection project.

OPTIONS

Option One

6 Council approves the submission to the ORC Draft Annual Plan 2017/18.

Advantages

· The ORC is notified of the DCC’s support for the Draft Annual Plan and areas of interest and concern.

Disadvantages

· None identified.

Option Two

7 Council approves the submission to the ORC Draft Annual Plan 2017/18, with amendments.

Advantages

· Council will be able to incorporate any additional feedback into the DCC submission to the ORC Draft Annual Plan 2017/18.

Disadvantages

· None identified.

Option Three

8 Council chooses to revoke the DCC submission to the ORC Draft Annual Plan 2017/18.

Advantages

· None identified.

Disadvantages

· The ORC is not notified of the DCC’s interests and concerns regarding the Draft Annual Plan 2017/18.

NEXT STEPS

9 Pending the Committee’s decision, any changes put forth will be forwarded to the ORC for incorporating into the DCC submission.

Signatories

Author:	Jessie Wu - Policy Advisor
Authoriser:	Nicola Pinfold - Group Manager Community and Planning

Attachments

	Title	Page
a	DCC submission to the ORC Draft Annual Plan 2017/18	142

SUMMARY OF CONSIDERATIONS

Fit with purpose of Local Government

This decision enables democratic local decision making and action by, and on behalf of communities.

Fit with strategic framework

	Contributes	Detracts	Not applicable
Social Wellbeing Strategy	☒	☐	☐
Economic Development Strategy	☒	☐	☐
Environment Strategy	☒	☐	☐
Arts and Culture Strategy	☐	☐	☒
3 Waters Strategy	☒	☐	☐
Spatial Plan	☒	☐	☐
Integrated Transport Strategy	☒	☐	☐
Parks and Recreation Strategy	☒	☐	☐
Other strategic projects/policies/plans	☒	☐	☐

This submission has been made in line with the goals and objectives within the strategic framework above.

Māori Impact Statement

There are no known impacts for tangata whenua.

Sustainability

There are no implications for sustainability.

LTP/Annual Plan / Financial Strategy /Infrastructure Strategy

There are no implications.

Financial considerations

There are no financial implications.

Significance

This decision has been assessed under the Council's Significance and Engagement Policy as being of low significance.

Engagement – external

The Chair of the Otago Peninsula Community Board has engaged with the DCC in relation to this submission.

Engagement - internal

Staff from Corporate Policy, in liaison with Solid Waste, developed the draft submission.

Risks: Legal / Health and Safety etc.

There are no known risks.

Conflict of Interest

There are no known conflicts of interest.

Community Boards

The implications for the Otago Peninsula Community Board relate to flooding and water management at Tomahawk Lagoon and Te Rauone beach protection.

council Annual Plan Deliberations

15 May 2017

Wednesday 10 May 2017

Draft Annual Plan

Otago Regional Council

Private Bag 1954

Dunedin 9054

annual.plan@orc.govt.nz

Dear Regional Councillors

SUBMISSION ON THE OTAGO REGIONAL COUNCIL’S DRAFT ANNUAL PLAN 2017/18

The Dunedin City Council (DCC) welcomes the opportunity to submit on the Otago Regional Council's Annual Plan 2017/18. The DCC has a number of areas of responsibility that overlap with the Otago Regional Council (ORC) and values the positive relationship that enables the two councils to work together in the interests of Dunedin residents and ratepayers. The following submission provides the DCC's response to areas of mutual interest, and notes other areas of interest that the DCC wishes to address.

Lake restoration

The DCC supports the proposals concerning work on lake restoration, particularly on Tomahawk Lagoon. We recommend the ORC should support the Tomahawk community with proactive management of the lagoons, and undertake a management plan process that manages the lagoon for conservation, biodiversity, community safety and recreational values. We ask that this is seen as a priority and the DCC will engage on this work to ensure any future flood events are mitigated and damage to DCC assets, such as the Domain Hall, are minimised.

Civil Defence and Emergency Management

The DCC notes the change to a regional approach for civil defence and emergency management and supports the need to resource this change.

Pest and plant Control

The DCC supports the proposals to continue funding the work on Wallaby and Wilding tree control, and hopes that relevant community groups will continue to access some of this funding for their contributions to this work. The DCC would also welcome an integrated approach to pest and plant control and would support greater coordination and cooperation between agencies and communities.

The Dunedin community also has broader concerns around the scope of invasive flora and fauna that need managing, from sycamore trees to mustelids. The DCC has objectives under Te Ao Tūroa – Dunedin's Environment Strategy to protect ecosystems and increase biodiversity and recommends that the ORC should provide policy and resourcing support to help achieve these environmental management ambitions.

Harbour management and climate change adaptation

The DCC welcomes the continuation of ORC's support and commitment to work collaboratively on South Dunedin and coastal erosion issues. The DCC looks forward to working with the ORC to develop and deliver a response plan for South Dunedin.

The DCC has set a goal of Dunedin being resilient and carbon zero through Te Ao Tūroa - Dunedin's Environment Strategy. Results from the city-wide greenhouse gas emissions inventory, produced for the purposes of Compact of Mayors compliance, show the biggest challenges to emissions reduction are around agriculture and transport. The DCC will be progressing on the planning and implementation of actions to achieve the strategy goal in 2017/18 and would welcome the ORC's support and involvement in this.

The DCC wishes to see joint planning for the harbour and harbour access and would welcome ORC's agreement in resourcing a Harbourside Management Plan. The DCC also supports the appointment of a dedicated and suitably qualified Harbour Master for Otago Harbour and encourages the ORC to use its ownership of Port Otago and associated companies to further enhance Dunedin's waterfront and harbour surrounds.

The DCC wishes to note the project to control and protect Te Rauone beach and requests the ORC to continue providing support and commitment to see this project completed.

Waste minimisation

The DCC is keen to support the participation of the ORC at the Regional Waste Network meetings to help plan and address waste disposal issues and opportunities and promote waste minimisation and resource recovery. One of the key issues to address is the upcoming expiration of Green Island landfill's resource consent. Options will need to be considered as to whether the consent is reapplied for or another new landfill is created. Collaborative thinking and partnership between the affected territorial authorities will be required to create an outcome that will be sensible for all.

The DCC also wishes to see the ORC appropriately fund a review of its Regional Plan: Waste for Otago. There is an urgent need to update this plan to reflect changes in legislation and best practices guidelines for waste facilities including current non-levied fills. Other territorial local authorities such as the DCC are supportive of a collaborative approach to planning which addresses regional waste issues. If the review could happen soon, the plan can then be incorporated into the planning and decision making around Green Island Landfill, which we have identified above as a significant issue to address. The DCC also recommends updating the plan with a view to capturing more information and data on waste activities in Otago at monofills, cleanfills, hardfills, green waste fills and farm fills, expand resource recovery, and allow the burden of the Waste Levy to be more widely and equitably spread.

Transport

The DCC wishes to note that under the Regional Land Transport Plan there needs to be some strategic multi-mode analysis work as too many key freight routes have no alternative for other modes. Provision and priority for cycle routes should be driven by benefits to other modes yet no funding is currently provided for that analysis.

The ORC's proactive approach in giving effect to the request for more transport investment in Queenstown has been noted by the DCC. The DCC however also notes the lack of real time information at bus stops and strongly supports a new ticketing system and WiFi on buses, which will boost Dunedin's status of being a GigCity. It is also the view of the DCC that bus services would sit better with the Territorial Local Authority in principle, and for the purposes of integrated transport planning. The DCC would support working with the ORC to advance a decision on the transfer of this service as soon as it is practicable.

Thank you again for the opportunity to submit on the Draft Annual Plan 2017/18. Should the ORC wish to clarify any of the issues raised in the submission, the DCC would welcome hearing from you.

Yours faithfully

Dave Cull

Mayor of Dunedin

Chairperson	Mayor Dave Cull
Deputy Chairperson	Cr Chris Staynes
Members	Cr David Benson-Pope	Cr Rachel Elder
	Cr Christine Garey	Cr Doug Hall
	Cr Aaron Hawkins	Cr Marie Laufiso
	Cr Mike Lord	Cr Damian Newell
	Cr Jim O'Malley	Cr Conrad Stedman
	Cr Lee Vandervis	Cr Andrew Whiley
	Cr Kate Wilson

	Title	Page
a	Council Register of Interests as at 10 May 2017	7