Agenda of Council - Wednesday, 6 March 2024

Council

06 March 2024

Karakia

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.

1 Apologies

2 Public Participation

Notification of a request to speak is required by 12 noon on the day before the meeting by phoning 06 366 0999 or emailing public.participation@horowhenua.govt.nz.

3 Late Items

To consider, and if thought fit, to pass a resolution to permit the Council to consider any further items which do not appear on the Agenda of this meeting and/or the meeting to be held with the public excluded.

Such resolution is required to be made pursuant to Section 46A(7) of the Local Government Official Information and Meetings Act 1987, and the Chairperson must advise:

(i) The reason why the item was not on the Agenda, and

(ii) The reason why the discussion of this item cannot be delayed until a subsequent meeting.

4 Declarations of Interest

Members are reminded of their obligation to declare any conflicts of interest they might have in respect of the items on this Agenda.

5 Confirmation of Minutes

5.1 Meeting minutes Council, 7 February 2024

5.2 Meeting minutes In Committee Meeting of Council, 7 February 2024

Recommendations

That the meeting minutes of Council, 7 February 2024 be accepted as a true and correct record.

That the m,eeting minutes In Committee Meeting of Council, 7 February 2024 be accepted as a true and correct record.

File No.: 24/78

6.1 Adoption of Long Term Plan 2024-2044 Consultation Document and Supporting Information

1. Purpose

1.1 To adopt the Consultation Document and associated Supporting Information for the draft Long Term Plan 2024-2044.

This report directly aligns with Council’s top 10 priority “Get the basics right and support the customer focussed delivery of core services”.

2. Executive Summary

2.1 As part of the development of Council Long Term Plans, the Local Government Act 2002 (LGA) requires councils to use a Consultation Document to consult with the community. Adoption and notification of the Consultation Document enables the start of the formal consultation period.

2.2 This report sets out how the draft Long Term Plan 2024-2044 has been developed, the audit process, and provides an overview of the supporting documents and consultation document for the Long Term Plan 2024-2044. The LGA requires the supporting documents to be adopted before the consultation document for the Long Term Plan. Council is required to adopt these documents before consultation on the Long Term Plan 2024-2044 begins.

3. Recommendations

3.1 That Report 24/78 Adoption of Long Term Plan 2024-2044 Consultation Document and Supporting Information be received.

3.2 That this matter or decision is recognised as significant in terms of s76 of the Local Government Act.

3.3 That Horowhenua District Council adopts the Financial Strategy, Infrastructure Strategy, Activity Statements, Significant Forecasting Assumptions, Revenue and Financing Policy, Schedule of proposed fees and charges, Rates Remission and Postponement Policy, Remissions of Rates on Maori Freehold Land, Prospective Accounting Policies, Summary of Council’s policy on determining significance, Working with Maori, Financial Statements and Council Controlled Council Organisations in draft as supporting documents to the consultation process for the Council’s Long Term Plan 2024-2044.

3.4 That Horowhenua District Council receives the final Waste Assessment 2024, previously endorsed at the 7 February 2024 Council Meeting, and notes that it will be provided as Supporting Information as part of the Long Term Plan 2024-2044 consultation.

3.5 That Horowhenua District Council notes feedback has been requested on the Waste Assessment 2024 from the Medical Officer of Health and that this feedback will be appended to the assessment.

3.6 That Council agrees, as part of the Long Term Plan 2024-2024 and in light of the Waste Assessment 2024, to proceed with a new Waste Management and Minimisation Plan in accordance with section 50(3) of the Waste Minimisation Act.

3.7 That Horowhenua District Council notes the draft Waste Minimisation and Management Policy 2024, adopted for consultation at the 7 February 2024 Council Meeting will be consulted on as part of the Long Term Plan 2024-2044 consultation.

3.8 That Horowhenua District Council adopts the final Draft Waste Management Minimisation Plan, previously adopted at the 7 February 2024 Council Meeting, for consultation, noting that it forms a key component of the Long Term Plan 2024-2044 consultation and seeks to replace the current Waste Management and Minimisation Plan 2018-2024.

3.9 That Horowhenua District Council approves the content and options proposed for the Topic What Services do we need for our community including the rates increase in 2024/25.

3.10 That Horowhenua District Council approves the content and options proposed for the Topic Managing Waster including the Future of Kerbside Recycling.

3.11 That Horowhenua District Council approves the content and options proposed for Topic Sharing Costs – Who pays for what.

3.12 That Horowhenua District Council adopts the Rates Remission and Postponement Policy 2024 for consultation concurrently with the Long Term Plan 2024-2044.

3.13 That Horowhenua District Council adopts the Revenue and Financing Policy for consultation concurrently with the Long Term Plan 2024-2044.

3.14 That Horowhenua District Council adopts the draft Development Contributions Policy 2024 for consultation concurrently with the Long Term Plan 2024-2044.

3.15 That Horowhenua District Council adopts the draft Significance and Engagement Policy 2024 for consultation concurrently with the Long Term Plan 2024-2044.

3.16 That Horowhenua District Council resolves that it is prudent to adopt a draft budget for consultation that is not balanced in year 1 to 3. This is on the basis that it will be recovered over the life of the Long Term Plan.

3.17 That Horowhenua District Council adopts the Consultation Document for the Long Term Plan 2024-2044 for public consultation.

3.18 That if necessary, the Group Manager Community Vision and Delivery, in consultation with the Chief Executive, be given delegated authority to make editorial changes that may arise as part of the publication process for the proposed Long Term Plan 2024-2044

4. Background / Previous Council Decisions

4.1 The LTP is a key strategic document for Council setting Council’s budget and strategic direction for 20 years.

4.2 The decisions Council makes through this process will have significant impacts on our community. The services and projects Council decides to include or remove from the LTP will affect our current and future generations.

4.3 These decisions will impact the Level of Service (LOS) we are able to provide, the amount of debt we hold, and the level of rates we require our community to pay. It is Council’s role to weigh up these costs and benefits to make the best decision for our community.

4.4 Given the impact of an LTP it is particularly important that Council is open and transparent with our community throughout this work. Council has held 20 Workshops, 18 of which have been public enabling the community to receive the information at the same time as it was being discussed by Elected Members. The two Public Excluded workshops included information about contracts Council holds and internal operational matters so were not public due to the sensitivity of these matters. They were followed by public meetings, a workshop on 6 December, and the Council meeting on 13 December 2023 so commercial sensitivity could be balanced with transparency.

4.5 The 20 Workshops to date have covered the following topics:

Workshop	Date	Topic
1	16 August 2023	Introduction to the LTP
2	23 August 2023	Defining the scope
3	30 August 2023	Appetite for Growth
4	13 September 2023	Statements of Service Provision (SSPs) and Early Engagement
5	20 September 2023	External Facing Activities
6	27 September 2023	Walking & Cycling, Earthquake-prone Buildings, Prioritisation, Waste Minimisation & Management Plan.
7	11 October 2023	Supporting Strategies, climate change and early engagement
8	18 October 2023	Post-election updated, Solid Waste Rating and WMMP
9	1 November 2023	LTP Design, Financial Strategy Overview, Activities Discussion 1: Community Facilities, Community Support, Representation and Community Leadership, Community Infrastructure
10	8 November 2023	Activities Discussion 2: Solid Waste, Property, Regulatory Services, Land Transport
11	15 November 2023	Activities Discussion 3: Three Waters, Information Services
12	29 November 2023	A – Public Workshop: Shaping information into options: Early Engagement Feedback, SSP Review, Fees and Charges B – Public Excluded Workshop: Budget package discussion (closed as included commercially sensitive material)
13	6 December 2023	LTP Update: Key Assumptions, Financial Strategy, Infrastructure Strategy, Revenue and Financing Policy splits, Budget Package
14	13 December 2023	Public Excluded Workshop: Further discussion of Budget Package material from 29 November Workshop B.
15	24 January 2024	Preparation for Audit, Impact of Reforms, Confirming direction on key policies, Audit updates about Consultation Document, SSPs
16	31 January 2024	Pre-Audit check-in: Rating update, Draft Waste Assessment, draft WMMP, draft accompanying doc, Revised draft LTP narrative, initial designs
17	7 February 2024	Council Meeting: Option for Council to have an unaudited LTP Consultation Document
18	14 February 2024	Consultation and Engagement
19	21 February 2024	Post-Audit/Pre-Consultation Update
20	28 February 2024	Audit Feedback and Finalisation of documents for consultation

4.6 The Workshops and Council meetings above have led to the development of the draft LTP Consultation Document and Supporting Information presented for adoption for consultation at this meeting.

4.7 The Consultation Document is based on the range of information clearly set out in the supporting documents. The purpose of these documents is to provide more detailed information on the key issues and the data showing the implications of each option. The information that is proposed to change contained in these documents has been presented to Council in the LTP workshop series over the past months.

4.4 When developing an LTP, Council must use the special consultative procedure as set out in section 93A of the LGA. Council is required to produce and adopt a consultation document that aligns with the purpose of consultation documents as set out in section 93B of the LGA.

4.5 For this LTP process, councils were permitted to have an unaudited Consultation Document. This option arose following the General Election, which saw the new coalition government confirm that it would repeal the existing reform legislation which had intended that council’s would no longer be responsible for three waters.

4.6 The Minister of Local Government advised that as part of the new Government’s Local Water Done Well and as part of providing councils with clarity and certainty for developing long-term plans in 2024 councils would be permitted to have unaudited long-term plan consultation documents. This acknowledged that while the legislation was signaled to change, at the time at which many councils would be preparing their LTP the legislation would still require Councils to exclude three waters from their LTP. The new Government has been very clear their expectation is for councils to include three waters in their LTP and that the legislation will be changed to reflect this.

4.7 Council agreed to have an unaudited LTP Consultation Document at the meeting on 13 February 2024.

4.8 Audit NZ have commenced their audit of the Council information in the LTP supporting documents ahead of their final audit process which will occur once Council have held hearings, deliberations and made any final changes to the LTP documents. Because Audit NZ have not completed their usual audit process of the Consultation Document, they will not be issuing an audit opinion on the Consultation Document in the way they have done so for previous LTP processes.

5. Discussion

5.1 The supporting documents that are presented for adoption for consultation are:

· Financial Strategy

· Infrastructure Strategy

· Revenue and Financing Policy

· Working with Maori

· Activity Statements

· Financial Statements

· Rates Remission and Postponement Policy

· Remissions of Rates on Maori Freehold Land,

· Prospective Accounting Policies

· Significant Forecasting Assumptions

· Council Controlled Organisations

5.2 The other Policies presented for adoption for consultation are:

· Development Contributions Policy

· Significance and Engagement Policy

5.3 These are in addition to the draft Waste Minimisation and Management Policy adopted for consultation at the 7 February Council meeting.

5.4 The information below provides an overview of the changes proposed through this Long Term Plan 2024-2044. The full changes can be viewed in the supporting information and the consultation document. It is proposed that consultation is open on all of these documents.

Financial Strategy

5.5 Council is required to have a Financial Strategy within the Long Term Plan. The purpose of the financial strategy as set out in section 101A of the LGA is to:

(2) (a) facilitate prudent financial management by the local authority by providing a guide for the local authority to consider proposals for funding and expenditure against; and

(b) provide a context for consultation on the local authorities proposals for funding and expenditure by making transparent the overall effects of those proposals on the local authorities services, rates, deb, and investments.

5.6 The financial goals identified include:

· Ensuring affordable rates for the community,

· Minimising the Council’s debt, and

· Making the best use of capital spending.

5.7 The financial strategy provides an overview of Council’s financial goals, projected population growth, changing land use, major capital projects, and Councils approach to debt, rates, and balancing the budget. Also covered in the financial strategy are Council’s policies on securities, investments and insurance.

5.9 At the 13 December 2023 Council:

(a) Considered the current financial strategy debt limit of 250% of operating income and endorsed limiting the annual capital delivery programme to ensure that Council’s net borrowings remain below the borrowings limit (CO/2023/464).

(b) Resolved that it is deemed prudent that depreciation will not be fully funded until 2027, but all debt associated with depreciation not previously funded, will be fully repaid by year 11 (CO/2023/463).

5.10 These are reflected in the Consultation Document and the Financial Strategy.

Infrastructure Strategy

5.11 Council is required to include an infrastructure strategy that covers a minimum of 30 years within the Long Term Plan. The purpose of the infrastructure strategy is to:

(a) Identify significant infrastructure issues for the local authority over the period covered by the strategy; and

(b) Identify the principal options for managing those issues and the implications of those options.

5.12 The Infrastructure Strategy was updated during the Long Term Plan Amendment 2021-2041 (LTPA), adopted in June 2023. The current draft Infrastructure Strategy continues with the direction agreed during the LTPA.

Revenue and Financing Policy

5.14 Council is required to include our revenue and financing policy within the Long Term Plan. The purpose of this policy is to identify Council’s sources of funding, and how it is used to fund operational and capital expenditure. In other words it sets out who pays for what and why.

5.15 The changes made to the Revenue and Financing Policy are reflected in the proposed changes to rates and fees and charges in the consultation document and supporting information, both for the rates increase and for how rates are shared.

Working with Maori

5.16 Council is required to set out any steps that Council intends to take to foster the development of Maori capacity to contribute to decision making processes over the period of the long term plan. This document was updated during the LTPA, with further minor amendments made now.

5.17 Council is currently developing the Māori Engagement Framework, which, when adopted, will be incorporated into this document for clarity and to provide a consistent approach.

Activity Statements

5.18 Council is required by Schedule 10(2) of the LGA 2002 to identify groups of activities and activities within those groups, and identify for each group of activities the rationale for delivery, the community outcomes, significant negative effects they may have on the community, the statement of service provision (levels of service and performance measures) and funding impact statement. Council also provides the proposed capital expenditure programme.

5.19 Council’s groups of activities include; Land Transport, Water Supply, Wastewater Disposal, Stormwater, Solid Waste, Regulatory Services, Representation and Community Leadership, Community Facilities, Community Support, Community Infrastructure, Property.

5.20 The Activity Statements have been reviewed and updated. These include the updated Performance measures (or Statements of Service Provision (SSPs)) and targets with significant changes made. This followed Audit advice provided through the Annual Report process. The overall the number of SSPs has been reduced, while making them more meaningful and ensuring connection to Council’s Community Outcomes.

Financial Statements

5.21 Council’s Financial Statements provide the: Funding Impact Statement, Forecast Statement for Comprehensive Revenue and Expense, Forecast Statement of Changes in Equity, Forecast Statement of Financial Position, Forecast Cashflow Statement, Forecast Funding Impact Statement, Capital Expenditure, Reconciliation between Forecast Funding Impact Statement and the Forecast Statement of Comprehensive Income, Reserve Funds and Benchmark Disclosures.

5.22 Council is proposing to meet all benchmarks across the 20 year plan (apart from balanced budget benchmark for the first three years.

Significant Forecasting Assumptions

5.23 Council is required to identify any significant forecasting assumptions that are made when developing the associated Long Term Plan. All assumptions have been reviewed and updated to reflect the changes in assumptions that inform this Long Term Plan.

5.24 To enable preparation of the LTP Supporting Information, including the development of Activity Management Plans, and financial modelling, Council endorsed the Significant Forecasting Assumptions at the Council Meeting on 7 February 2024 (CO/2023/458).

Remissions of Rates on Maori Freehold Land

5.25 This Policy aims to ensure the fair and equitable collection of rates from all sectors of the Community, while recognising that certain Māori owned land has particular conditions, features, ownership structures, or other circumstances that make it appropriate to provide relief from rates.

5.26 This Policy:

a) supports the principles in the Preamble to Te Ture Whenua Māori Act 1993 (as required by section 102(3A) of the LGA);

b) has been prepared following consideration of the matters in Schedule 11 of the LGA (as required by section 108(4) of the LGA.

5.27 In accordance with this Policy, Council provides for the remission of rates on Māori freehold land, in certain circumstances.

Prospective Accounting Policies

5.30 The prospective accounting policies are required to be included in a long term plan. This policy has been updated to reflect that this Long Term Plan will be operative beginning at the start of the 2024/25 financial year.

Council Controlled Organisations

5.31 Schedule 10(7) of the LGA 2002 identifies Council is required to name any council controlled organisations and any subsidiary of council controlled organisations and identify the local authorities significant policies and objectives in relation to ownership and control of the organisation; the nature and scope of activities to be provided by the council controlled organisations and the key performance targets.

Rates Remission and Postponement Policy

5.32 Section 102(3)(a) identifies that Council may adopt a Rates Remission Policy. A rates remission policy must state the objectives sought to be achieved by the remission of rates and the conditions and criteria to be met in order for rates to be remitted.

5.33 During the Long-Term Plan Amendment that was completed in June 2023, Council reviewed the way that it share rates across the district. Through conversations with the community, Council were asked to look at additional options for supporting those that are struggling to pay rates.

5.34 As a result the Rates Remission and Postponement Policy was updated and consulted on in

2023. The new proposed Policy aims to provide some ratepayers in Horowhenua with options to apply for some reductions in their rates. It also provides the opportunity for some

residents to apply to postpone their rates.

5.35 Councillors voted to hold the decision on finalising the new policy until a review of the budget for remissions was completed. This is included in the LTP and introduces a cap of 1% of rates on remissions. A cap is in place so that if more people apply for remissions in each space, they could receive less remissions than they have in the past.

Development Contributions Policy

5.36 Development contributions are provided for under the Local Government Act 2002 (LGA 2002) and are able to be used to fund capital expenditure required as a result of growth. Council re-introduced Development Contributions through the LTP 2021-2041.

5.37 There was a partial review of the Policy through the LTPA, as it included amendments to the Infrastructure Strategy and capital programme which needed to be reflected in the Development Contributions Policy.

5.38 Proposed amendments to the Policy include:

· Updating the policy to support the principles of Te Ture Whenua Maori Act 1993.

· Delegating some decision making to General Manager Housing and Business/Chief Executive for some requests for remission/reduction/postponement

· Updating growth assumptions and base data

· Introducing additional maps to define DC areas

· Greater flexibility to undertake special assessment

· Updating the Development Contribution amounts based on the capital projects in the LTP.

Significance and Engagement Policy

5.39 Schedule 10(11) of the LGA 2002 requires Council to include a summary of the Significance and Engagement Policy prepared under section 76AA of the LGA 2002 in the LTP.

5.40 The purpose of the significance and engagement policy is:

(a) to enable the local authority and its communities to identify the degree of significance attached to particular issues, proposals, assets, decisions, and activities; and

(b) to provide clarity about how and when communities can expect to be engaged in decisions about different issues, assets, or other matters; and

(i) the extent of any public engagement that is expected before a particular decision is made; and

(ii) the form or type of engagement required.

5.41 Every local authority is required to have a significance and engagement policy that sets out the local authority’s approach to determining the significance of proposals, criteria in assessing significance, how the local authority will respond to community preference about engagement, and how the local authority will engage with communities on other matters.

5.42 Officers have made minor amendments to the 2021 policy and this report is seeking that Council adopt the amended policy. The minor amendments include:

· Addition of thresholds for significance

· To update wording in a number of places to provide greater clarity and to ensure it is current regarding Community preferences, engagement methods, explaining what a 'whole of asset' approach means in more detail, and when Council may not engage.

Draft Long Term Plan 2024-2044 Consultation Document

5.43 The Consultation Document has been designed to present the information on the issues Council is seeking feedback on in an engaging and informative way. The theme Challenging times, challenging choices was developed in response to the challenging economic times being faced by our community and Council, and the challenging choices Council wants to discuss with and get feedback from our community on.

5.44 The key issues are identified as:

· What services does our community need – which sets out the options for the rates increase.

· Managing Waste – this section:

- Introduces the draft Waste Minimisation and Management Plan being consulted on;

- Sets out the intention to split the current Solid Waste rate into its three components to better

- Asks which option people would prefer for managing kerbside recycling; and

- Asks people would prefer for paying for the Levin Landfill After Care and Landfill Debt

· Sharing costs: Who pays for what – this section proposes:

- Options for funding Te Awahou Foxton Community Board

- Introducing an Economic Development Rate

· Other consultation questions

- Feedback and submissions can be provided about any of the LTP Supporting Information. Three policies that have been amended where a specific question is asked are:

o Rates Remissions Policy – Reviewed following the LTPA

o Development Contributions Policy

o Significance and Engagement Policy

- A question about the proposed Fees and Charges is also included – most fees and charges have increased to reflect inflation, with higher than average fee increases to meet Revenue and Financing Policy target for Animal Control.

5.45 Council endorsed the Waste Assessment and Waste Management Minimisation Plan at its meeting on the 7 February 2024. Minor amendments to these documents have been made to get into its final form ready for inclusion with the Long Term Plan consultation. Updated copies are provided as attachments to this report. This work has been completed as per the requirements of the Waste Minimisation Action 2008. At the time of writing this report, feedback from the Medical Officer of Health has not been received, but is anticipated to be received as part of the consultation process.

6. Options

6.1 Option 1: Adopt the Long Term Plan 2024-44 Consultation Document and Supporting Information for public consultation.

Option 1 starts the public engagement process on the 20 year plan. It enables the community to have their say on what is proposed, to feed into future deliberation by Council.

6.2 Option 2: Delay adopting the Long Term Plan 2024-44 Consultation Document and Supporting Information.

Option 2 delays the start of community consultation. This option would only be appropriate if Council considers there needed to be fundamental changes to the Consultation Document. If this is the case, Elected Members would need to provide clear guidance on the changes requested. If significant, those changes may need to go through a further Audit process which would need to be fitted in around the currently scheduled audits of other councils. This delay would shift the community consultation period, hearings and deliberation timelines. It may compromise the ability for Council to adopt the Long Term Plan (proper) by 30 June 2024.

6.3 The Officer recommendation is Option1.

6.4 Cost

The cost of community consultation associated with the adoption of the Long Term Plan Consultation Document is incorporated into existing budgets.

6.5 Rate Impact

The adoption of the Consultation Document will not have a rates impact. The Consultation Document outlines the proposed rates increases for the 20 year plan. Specific feedback is sought on the rates increase and changes to rating differentials.

6.6 Community Wellbeing

The adoption of the Consultation Document will not have a direct impact on community wellbeing. The Consultation Document seeks feedback on Council’s community outcomes, and the activities Council provide the community have an impact on wellbeing.

6.7 Consenting Issues

There are no consenting issues relevant to the decision to adopt the Long Term Plan Consultation Document.

6.8 LTP Integration

The Consultation process and Supporting Information are key components of forming the Long Term Plan 2024-44.

6.9 Consultation

The adoption of the Long Term Plan Consultation Document and Supporting Information would trigger the start of the public formal consultation process on the Long Term Plan 2024-44. Given the significant proposed rate increase and the nature of the other topics addressed in the LTP Consultation Document, the engagement with the district during the consultation period will be very important so that the impacts of the LTP are understood and the community have their say through the submission process to inform the final LTP decisions.

6.10 Legal Considerations

The development of the Long Term Plan Consultation Document and wider Long Term Plan process is dictated by the requirements of the Local Government Act 2002. The Consultation Document has been prepared to meet these legislative requirements.

6.11 Financial Considerations

There are no financial considerations in making the decision to adopt the Long Term Plan Consultation Document and Supporting Information. The development of the Long Term Plan 2024-44 is provided for in existing budgets and it will be through the process of the hearings and deliberations that Council make decisions that will have financial implications.

6.12 Iwi Considerations

There are no specific Iwi considerations relevant to the decision to adopt the Long Term Plan Consultation Document and Supporting Information. Engagement opportunities are being discussed with Iwi and hapu to contribute to the LTP.

6.13 Climate Change Considerations

There are no specific climate change considerations relevant to the decision to adopt the Long Term Plan Consultation Document and Supporting Information.

6.14 Environmental Considerations

There are no environmental considerations relevant to the decision to adopt the Long Term Plan Consultation Document and Supporting Information.

6.15 Health & Safety

There are no health and safety concerns from adopting the LTP Consultation Document and Supporting Information.

6.16 Other Considerations

There are no other considerations.

6.17 Next Steps

If Council decides to adopt the Consultation Document and Supporting Information, the documents will be finalised and made public for community consultation commencing on 15 March 2024.

7. Supporting Information

Risk Area	Risk Identified	Consequence	Likelihood	Risk Assessment (Low to Extreme)	Managed how
Legal and Reputational	The Consultation Document for this LTP has not been subject to the usual audit process ahead of adoption and consultation. There is the risk that the final audit process identifies an aspect of the LTP that should have been communicated differently in the Consultation Document and therefore could undermine the LTP process and reflect negatively on Council’s reputation.	Moderate	Possible	9 Moderate	All reasonable steps have been taken by officers to ensure that the Consultation Document is fit for purpose and would satisfy the audit requirements had the document been subject to a full audit process. The Consultation Document has been viewed by Audit NZ and they have considered this while undertaking their review of the Supporting Information.

Confirmation of statutory compliance

In accordance with section 76 of the Local Government Act 2002, this report is approved as:

a. containing sufficient information about the options and their advantages and disadvantages, bearing in mind the significance of the decisions; and,

b. is based on adequate knowledge about, and adequate consideration of, the views and preferences of affected and interested parties bearing in mind the significance of the decision.

8. Attachments

No.	Title	Page
a ⇩	LTP 2024_Consultation Doc_PROOF 9 - 28 Feb 2024	21
b	Financial Strategy LTP 2024 -2041 - 27 Feb 24 (Under Separate Cover)
c	Draft LTP 2024 Infrastructure Strategy (Under Separate Cover)
d	LTP 2024-2044 draft Activity Statements - 27 feb 2024 (Under Separate Cover)
e	LTP 2024-2044 - Significant Forecasting Assumptions - 27 Feb 2024 (Under Separate Cover)
f	LTP 2024 - 2044 Revenue and Financing Policy - 27 Feb 2024 (Under Separate Cover)
g	LTP 2024 - 2044 Rates remission and postponement policy-27 Feb 2024 (Under Separate Cover)
h	LTP 2024 -2044 Remission of Rates on Māori Freehold Land policy - 27 Feb 2024 (Under Separate Cover)
i	LTP 2024 -2044 - Prospective Accounting Policies - 27 Feb 2024 (Under Separate Cover)
j	LTP 2024 - 2044 - Summary of Council’s policy on determining significance - 27 Feb 2024 (Under Separate Cover)
k	LTP 2024 - 2044 - Working with Māori - 27 Feb 2024 (Under Separate Cover)
l	LTP 2024 - 2044 Financial Statements - 27 Feb 2024 (Under Separate Cover)
m	LTP 2024-2044 - Council Controlled Organisations - 2 Feb 2024 (Under Separate Cover)
n	LTP 2024 -2044 - SSP - 27 Feb 2024 (Under Separate Cover)
o	2024-25 Draft Fees and Charges schedule - 26 Feb 2024 (Under Separate Cover)
p	LTP 2024 -2044 - DC policy draft as at 27 Feb 24 (Under Separate Cover)
q	LTP 2024 - 2044 - Significance and Engagement Policy - 28 Feb 2024 (Under Separate Cover)
r	HDC - Waste Assessment 2024 (Under Separate Cover)
s	HDC - WMMP 2024 (Under Separate Cover)
t	LTP 2024-2044 - Definitions Interpretation - 27 Feb 2024 (Under Separate Cover)

Author(s)

Carolyn Dick

Strategic Planning Manager

Jacinta Straker

Group Manager Organisation Performance

Approved by

David McCorkindale

Group Manager - Vision & Delivery

Monique Davidson

Chief Executive Officer

Council

06 March 2024

File No.: 24/104

6.2 Delegations Register

1. Purpose

1.1 The purpose of this report is to recommend that the Council resolve to make required changes to the Horowhenua District Council Delegations Register (Delegations Register) dated 6 March 2024, including the delegation of the powers, functions and duties necessary for the Chief Executive Officer to perform their role.

2. Executive Summary

2.1 The operative Delegations Register was adopted by Council on 22 November 2023 (attachment A).

2.2 As part of the adoption on 22 November 2023, it was signalled to Council that further updates to the Delegations Register may be identified and need to be brought back to Council for consideration in early 2024.

3. Recommendation

3.1 That Report 24/104 Delegations Register be received.

3.2 That this matter or decision is recognised as not significant in terms of S76 of the Local Government Act.

3.3 That Council adopts the recommended Delegations Register attached to this Report, dated 6 March 2024, noting the delegations it provides to the Chief Executive Officer.

3.4 That the adopted Delegations Register dated 6 March 2024 be published on the Council website.

4. Background / Previous Council Decisions

4.1 The Delegations Register provides for the delegations from Council to various bodies and Council staff, which should include the Chief Executive Officer.

4.2 The adoption of the Delegation Register provides an ability for the Chief Executive Officer to independently manage internal delegations (those powers that are delegated or sub-delegated by the Chief Executive Officer) which are set out in the Chief Executive Delegations Register.

5. Discussion

5.1 The Delegations Register dated 6 March 2024 (attachment B) is recommended for adoption. It has been reviewed and updated to enable minor enhancements throughout the document as discussed with Council in November 2022, and in particular to enhance Part A, specifically the Resource Management Act 1991 and Water Services Act 2021.

5.2 The enhancements can be summarised as follows:

a) Inclusion of wording linking to the Council Plan On A Page focus areas within section 1 Purpose (page 3);

b) Review and update of Acts, and any regulations made under the Acts (page 8);

c) Updated Building Act 2004 to explain the exceptions in more detail to remove likelihood for confusion over interpretation (page 9);

d) Update to listed policies (page 22);

e) Full review and update to Part A Resource Management Act 1991) including to positions, sections and clauses, first schedule and inclusion of general delegations (pages 28-38); and

f) Inclusion of Water Services Act in Part A (pages 39-42).

5.3 The recommended Delegations Register is based on the Long Term Plan/Annual plan. This makes it flexible enough to enable the Chief Executive Officer to carry out their broad responsibilities of implementing Council directions and carrying out the day-to-day operations to achieve the outcomes set by the Council, and to do so in an efficient and effective manner, without having to obtain approval from Council for something that has already been authorised through the Long Term Plan/Annual Plan.

5.4 At the same time, the Delegations Register holds the Chief Executive Officer accountable for executing only those work programmes and budgets that are set out in the Long Term Plan/Annual Plan, except in an emergency. There are also a number of conditions in the recommended Delegations Register that must be reported in writing to the Council or relevant committees.

5.5 The recommended Delegations Register also provides for the Chief Executive Officer to sub-delegate relevant powers to staff members, unless this is expressly excluded within Part A.

6. Options

6.1 Due to the intention set by Council to complete the second stage of updates to the Delegations Register for review early in 2024, and due to the potential risk associated with not aligning, the only option considered to be reasonably practicable is to update Council’s approach to delegations as set out in the recommendation.

Cost

6.2 There are no direct costs arising from the adoption of the proposed Delegations Register.

Community Wellbeing

6.3 There are no direct community or social impacts related to this report.

Consenting Issues

6.4 There are no direct consenting impacts relating to this report.

LTP Integration

6.5 There are no direct LTP integration impacts relating to this report.

7. Consultation

7.1 As the development and adoption of delegations is an administrative function of the Council, and intended to achieve greater efficiencies in the delivery of Council's powers, functions and role, officers do not consider there to be any need for consultation in relation to this report and the recommendations made.

8. Legal Considerations

8.1 The ongoing continuous improvement of the Delegations Register supports efficient and effective management and exercise of delegations which reduces legal risk for the Council.

9. Financial Considerations

9.1 There are no direct financial considerations relating to this report.

10. Iwi Considerations

10.1 There are no direct cultural impacts relating to this report.

11. Climate Change Considerations

11.1 There are no direct climate change impacts relating to this report.

12. Environmental Considerations

12.1 There are no direct environment impacts relating to this report.

13. Health & Safety Considerations

13.1 There are no direct health and safety impacts relating to this report.

14. Other Considerations

14.1 The outcomes of the consultation on the Proposed Rates Remission and Postponement Policy and what eventuates by way of the final policy will likely trigger an update to the Delegations Register. This update will be brought to Council by way of a variation to the Delegations Register as part of the Council decision paper on the Rates Remission and Postponement Policy.

15. Next Steps

15.1 If adopted, officers add the Council resolution number to the approvals section (page 1) and will publish the Delegations Register on the Council’s website.

15.2 Reflect any required changes which eventuate following Council consideration of the proposed Rates Remission and Postponement Policy into the Delegations Register and where applicable the Chief Executives Delegation Register.

16. Supporting Information

Strategic Fit/Strategic Outcome

Review of the Council Delegations Register aligns with the following operational and delivery goals:

· Council Plan on a Page Top Ten Priorities - Get the basics right and support the customer focused delivery of core services.

· Council Plan on a Page Top Ten Priorities - Enable the rebuilding of the Horowhenua District Council organisation, with a focus to empower a culture of excellence, service and continuous improvement.

· Council Plan on a Page Our Other Focus Areas – Undertake a review of Council policies.

Risk

The recommended Delegations Register will enable the Chief Executive Officer to properly sub-delegate to staff. Council’s Delegation Register should align with current legislation to ensure any decisions made by Council and staff are legal and facilitate staff being able to effectively undertake the requirements of their positions.

Confirmation of statutory compliance

In accordance with section 76 of the Local Government Act 2002, this report is approved as:

a. containing sufficient information about the options and their advantages and disadvantages, bearing in mind the significance of the decisions; and,

b. is based on adequate knowledge about, and adequate consideration of, the views and preferences of affected and interested parties bearing in mind the significance of the decision.

17. Attachments

No.	Title	Page
a ⇩	Delegations Register - FINAL - Adopted By Council - 22 November 2023	69
b ⇩	Delegations Register - Proposed for adoption by Council - 6 March 2024	105

Author(s)

Nicki Brady

Procurement & Organisation Transformation Manager

Approved by

Jacinta Straker

Group Manager Organisation Performance

Monique Davidson

Chief Executive Officer

Council

06 March 2024

File No.: 24/39

6.3 Plan Change 4 (Tara-Ika Growth Area) - Approval and Operative Date

1. Purpose

1.1 To obtain approval to publicly notify Proposed Plan Change 4 (Tara-Ika Growth Area) as an operative plan change to the Horowhenua District Plan and to set the operative date.

2. Executive Summary

2.1 Plan Change 4 has been through a public notification and hearing process. Public notification of the plan change occurred on 16 November 2020. An Independent Hearing Panel heard the submissions in November and December 2021 and issued their decisions on submissions on 14 June 2022. Council adopted these decisions on 29 June 2022 and publicly notified them on 4 July 2022, starting the period in which appeals could be made to the Environment Court. The appeal period finished on 15 August 2022.

2.2 A total of three appeals were received on this Plan Change. None of the appeals were against the rezoning of Tara-Ika. Instead, they were focused on the detail of the plan provisions. Appeals were received from the following parties.

- James McDonnell Limited

- Waka Kotahi/New Zealand Transport Agency

- Prouse Family Trust

2.3 These appeals have since been resolved via Environment Court mediation. The Environment Court has issued consent orders, confirming that the agreements reached in mediation processes represent their final decision. The consent order for the final appeal was received from the Environment Court on 30 January 2024, meaning that all the appeals are now officially resolved.

2.4 With the appeals now resolved, Council needs to make the Plan Change operative and set the operative date. Council needs to publicly notify that this has occurred.

2.5 The decisions available to Council are limited to proceeding to notify the date in which the Plan Change becomes operative. Council is not able to reverse the decisions of the Environment Court.

3. Recommendation

3.1 That Report24/39Plan Change 4 (Tara-Ika Growth Area) - Approval and Operative Date be received.

3.2 That this matter or decision is recognised as not significant in terms of S76 of the Local Government Act.

3.3 That the approved Plan Change 4 be publicly notified in accordance with Clause 20 of the First Schedule to the Resource Management Act 1991 and that such notice contain the operative date for the Plan Change, being not less than five (5) working days after the date of the public notification.

4. Background / Previous Council Decisions

4.1 Proposed Plan Change 4 sought to rezone 420ha of land to the east of Levin for a range of urban zones to enable construction of 3,500+ dwellings, with supporting commercial and community services, in accordance with a Structure Plan.

4.2 This need for this rezoning was identified in the Horowhenua Growth Strategy 2040 and forms an important part of the District’s growth planning work, providing for a significant number of dwellings.

4.3 The proposed Ōtaki to North Levin highway traverses through the plan change area. While this has been subject to a separate Resource Management Act process, both Waka Kotahi and Council have made efforts to integrate the two as best as possible. The Ōtaki to North Levin highway (Notice of Requirement) is currently awaiting Environment Court decisions, following hearings held in November 2023.

4.4 The changes to District Plan provisions agreed to during the mediation of appeals do not impact on the overall housing yield or strategic direction of Tara-Ika. The nature of these changes are summarised below:

· Introduction of a ‘noise management area’ for land near to the Ōtaki to North Levin highway. Dwellings and other noise sensitive activities in this area need to be constructed to achieve specified indoor noise levels so that future occupiers are not adversely affected by noise from the new highway.

· Clarification that, in relation to the activities affecting the identified habitats of culturally significant species, relocation of species is an appropriate form of mitigation.

· The ‘downgrading’ of part of one collector road to a ‘local’ road and the removal of two local roads from the Structure Plan.

· Amendments to the planning maps to change the zoning of some reserves identified on the Structure Plan from ‘Open Space’ to ‘Residential’. The plan provisions still require these reserves to be delivered, but will rely on the Structure Plan to deliver this outcomes rather than both the Structure Plan and zoning. Other consequential changes to the provisions to reflect this change were also made.

5. Discussion

5.1 As referenced above, the Environment Court has issued consent orders, confirming the agreements reached in mediation to resolve the appeals, representing the final decisions on the plan change. There are no further appeal options. All appellants have been advised of the Environment Court’s decision.

5.2 The only decision available to Council is the date at which to make the plan change operative. Making the plan change operative means that the PC4 provisions are fully incorporated into the Horowhenua District Plan. This means any subsequent resource consent applications within the Tara-Ika area will be assessed against these provisions only (and any relevant District-wide provisions) rather than both the PC4 provisions and the previous zoning provisions as at present while the appeals were being resolved.

5.3 The operative date needs to allow sufficient time to make the necessary arrangements, including website updates, District Plan maps, Council’s GIS system, and the copies of the District Plan held at the service centres.

5.4 The Resource Management Act 1991 also requires the operative date to be publicly notified at least 5 working days prior.

6. Options

Option 1

6.1 Approve PC4 and publicly notify the operative date as soon as is practicable.

Option 2

6.2 Delay approving and publicly notifying PC4 as an operative plan change.

6.3 PC4 is beyond any further challenge and Council is legally required to approve the plan change. The only consideration available to Council is whether to delay approving the plan change. However, officers are not aware of any reason why delaying the approval of the plan change would be beneficial. Rather, delaying the approval and operative date would add complexity to any future resource consent applications.

6.4 Officers recommended option is therefore Option 1.

Cost

6.5 PC4 has been progressed under existing budgets. The process of making PC4 operative will not come an additional cost.

Rate Impact

6.6 There is no rate impact associated with either option, as the decision is simply a matter of timing and PC4 has been progressed under existing budgets.

Community Wellbeing

6.7 There is no community wellbeing impact directly associated with either option. The PC4 provisions already have legal effect, meaning application can (and are) being lodged already.

Consenting Issues

6.8 There are no consenting issues associated with making PC4 operative. It is noted that making PC4 operative will reduce the complexity of resource consent applications in Tara-Ika, as they will only need to be assessed against one set of Plan provisions. At present, proposals have to be assessed against two sets of zoning provisions (those in the existing operative District Plan and those in the Plan Change).

LTP Integration

6.9 The overarching purpose of the District Plan and associated plan changes/variations is to achieve sustainable management of the District’s natural and physical resources so that they can be enjoyed by future generations. As such, making PC4 operative is consistent with LTP community outcomes, including ‘vibrant economy’ and ‘outstanding environment’.

7. Consultation

7.1 No consultation on making PC4 operative has been undertaken and none is necessary. PC4 itself was extensively consulted on. Mediation on appeals involves only those who are party to the appeals. The final step of notifying the operative date is to close the loop on this process by communicating to the public the operative status of the plan change.

8. Legal Considerations

8.1 Council is required to approve and publicly notify the operative date of PC4. The only option available to Council is the date on which this occurs.

9. Financial Considerations

9.1 There are no financial considerations associated with the process of notifying the operative date and making PC4 operative.

10. Iwi Considerations

10.1 Clause 3B and 4A of Schedule 1 of the Resource Management Act 1991 require Iwi authorities to be consulted on plan changes. In particular, these clauses require Councils to foster Iwi authorities capacity to respond to consultation opportunities (in relation to plan changes), establish and maintain processes to provide opportunities for Iwi authorities to engage, and identify resource management issues of concern, and provide Iwi authorities with draft proposed plan changes (prior to formal notification). These processes were followed, with the invitation to consult made to Iwi authorities within the District. Council has engaged most extensively with Muaūpoko on this plan change.

10.2 A further opportunity for comment/feedback came via the public submissions process.

10.3 With the plan change process now complete and the decision available to Council being limited to setting the operative date of the plan change, there are no specific Iwi considerations associated with this decision.

10.4 There will be ongoing opportunities for engagement with both Muaūpoko and Ngāti Raukawa as development at Tara-Ika occurs. An example of this is the development of the integrated stormwater management plan.

11. Climate Change Considerations

11.1 There are no specific climate change considerations associated with the process of notifying the operative date and making PC4 operative.

12. Environmental Considerations

12.1 There are no specific climate change considerations associated with the process of notifying the operative date and making PC4 operative.

13. Health & Safety Considerations

13.1 There are no specific health and safety considerations associated with the process of notifying the operative date and making PC4 operative.

14. Other Considerations

14.1 There are other considerations associated with the process of notifying the operative date and making PC4 operative.

15. Next Steps

15.1 Following resolutions from Council, officers will proceed with public notifying the date PC4 will become operative. The Resource Management Act 1991 requires this date to be at least five working days after the date of public notification. Subject to meeting media deadlines the public notice would be advertised on 15 March 2024 and the Plan Changes made operative 25 March 2024.

15.2 Copies of the final approved proposed plan changes will then be provided to the statutory bodies identified in Clause 20 of Schedule 1 of the Resource Management Act 1991.

16. Supporting Information

Strategic Fit/Strategic Outcome

The proposed plan changes have been informed by and are consistent with the Council’s relevant strategic documents such as the Horowhenua Growth Strategy 2040 and Council’s Housing Action Plan.

Decision Making

Consistency with Existing Policy

The decision is consistent with existing policy.

Funding

Risk Area	Risk Identified	Consequence	Likelihood	Risk Assessment (Low to Extreme)	Managed how
Strategic	Nil
Financial	Nil
Service Delivery	Nil
Legal	Nil
Reputational	Nil

Confirmation of statutory compliance

In accordance with section 76 of the Local Government Act 2002, this report is approved as:

a. containing sufficient information about the options and their advantages and disadvantages, bearing in mind the significance of the decisions; and,

b. is based on adequate knowledge about, and adequate consideration of, the views and preferences of affected and interested parties bearing in mind the significance of the decision.

17. Attachments

No.	Title	Page
a ⇩	Chapter 6A - Tara-Ika - Objectives and Policies - Operative Version	155
b ⇩	Chapter 15A - Tara-Ika - Rules - Operative Version	168
c ⇩	Tara-Ika - Structure Plan 013 - Final Operative Version	197

Author(s)

Lauren Baddock

District Plan Lead

Approved by

David McCorkindale

Group Manager - Vision & Delivery

Monique Davidson

Chief Executive Officer

Council

06 March 2024

File No.: 24/73

6.4 Horowhenua District Draft Speed Management Plan: Changes to Speed Management Planning Process

1. Purpose

1.1 To discuss the information received from the Minister of Transport around the process to set speed limits under the Land Transport Rule: Setting of Speed Limits 2022 and recommend actions relating to the Horowhenua District Draft Speed Management Plan 2024-2034 (SMP).

This report directly aligns with Council’s top 10 priority “Get the basics right and support the customer focused delivery of core services”.

2. Executive Summary

2.1 Council previously adopted the Horowhenua District Draft Speed Management Plan (SMP), and authorised the Chief Executive Officer to finalise the Draft SMP 2024-2034 and submit to Horizons Regional Council for inclusion in the Regional SMP.

2.2 Since this decision was made a new government has been elected. The Hon Simeon Brown, Minister of Transport has subsequently been in contact with all Regional Transport Committees and Road Controlling Authorities advising that the Government intends to replace the current Rule as part of the Government’s 100-day commitments and revoked the deadlines and targets previously set by NZTA.

2.3 Horizons Regional Council Officers have advised that they are going to wait for the new Rule to be released before making a decision as to whether a Regional SMP is going to be completed. However, at this point in time Council Officers are still able to submit the Horowhenua Draft SMP directly to the Director of Land Transport for certification.

2.4 One of the key drivers for the development of the SMP was that it was required under the Land Transport Rule: Setting of Speed Limits 2022. However, the SMP also rectified a number of legal anomalies between posted and legal speed limits. It is important that the legal speed limits are rectified in the National Speed Limit Register to reduce the risk of non-compliance to Council. Therefore, Council will be required to complete a SMP to address this either now with the current SMP or in the near future with a SMP that complies with the new Rule.

2.5 The option Council chooses may require it to revoke a previous resolution; a 75% majority vote in support of the revocation would be required.

3. Recommendation

3.1 That Report 24/73 Horowhenua District Draft Speed Management Plan: Changes to Speed Management Planning Process be received.

3.2 That this matter or decision is recognised as not significant in terms of S76 of the Local Government Act.

3.3 That Council revoke resolution CO/2023/231, submitting the Horowhenua District Draft Speed Management Plan 2024-2034 to Horizons Regional Council for inclusion in the Regional Speed Management Plan.

3.4 That Council authorise the Chief Executive to submit the previously endorsed Horowhenua District Draft Speed Management Plan 2024-2034 to NZTA for certification. (Option A)

3.5 That Council continue to include the Horowhenua District Draft Speed Management Plan 2024-2034 in the Regional Speed Management Plan. (Option B)

3.6 That Council revoke resolution CO/2023/231, submitting the Horowhenua District Draft Speed Management Plan 2024-2034 to Horizons Regional Council for inclusion in the Regional Speed Management Plan.

3.7 That Council authorise the Chief Executive to rescind the Horowhenua District Draft Speed Management Plan that has already been submitted to Horizons Regional Council for inclusion in the Regional Speed Management Plan. (Option C)

4. Background / Previous Council Decisions

4.1 At a Council Meeting on 30 August 2023, Council adopted the Horowhenua District Draft SMP, and authorised the Chief Executive Officer to finalise the Draft SMP 2024-2034 and submit to Horizons Regional Council for inclusion in the Regional SMP (CO/2023/231).

4.2 The Horowhenua District Draft SMP was completed in line with the Land Transport Rule: Setting of Speed Limits 2022 including engaging with the community on the plan. A total of 97 feedback forms/submissions were received. Further details are available through the following links:

· Council Meeting Agenda 30 August 2023: https://horowhenua.infocouncil.biz/Open/2023/08/CO_30082023_AGN_AT.PDF

· Council Agenda Attachments 30 August 2023: https://horowhenua.infocouncil.biz/Open/2023/08/CO_30082023_ATT_EXCLUDED.PDF

· Meeting Minutes 30 August 2023 https://horowhenua.infocouncil.biz/Open/2023/08/CO_30082023_MIN_AT.PDF

4.3 In line with the Council decision on 30 August 2023, Council Officers submitted the draft SMP to Horizons Regional Council for inclusion in the Regional SMP.

4.4 Since this decision was made, a new Government has been elected. The Hon Simeon Brown, Minister of Transport, has subsequently been in contact with all Regional Transport Committees and Road Controlling Authorities advising that the Government intends to replace the current Land Transport Rule: Setting of Speed Limits 2022 (the Rule) as part of the Government’s 100-day commitments. It is unknown when the new Rule will be published.

4.5 The amendments to the current rule include:

· All deadlines for submitting draft Speed Management Plans to NZTA have been revoked.

· Targets for SMPs (including around schools) have been revoked.

· SMPs are no longer a requirement.

· This also included revoking the deadlines and targets previously set by NZTA.

4.6 The letter from the Minister of Transport also encouraged Road Controlling Authorities, such as Horowhenua District Council, to not proceed with Speed Management Planning until the Rule is replaced. A copy of the letter from the Minister of Transport to Mayor Wanden is attached in Appendix A.

4.7 Officers have also received a letter from NZTA’s Director of Land Transport, who is in charge of certifying SMPs and having them take effect in the National Speed Limit Register. This letter explains how the Director has interpreted the Minister’s direction. The Director’s letter outlines that Road Controlling Authorities can still submit SMPs for certification prior to the new Rule coming into effect. It is therefore possible for the Horowhenua District Draft SMP to be submitted to NZTA at the moment. A copy of the letter from the Director of Land Transport is attached in Appendix B.

4.8 Council’s resolution CO/2023/231:

Resolution Number CO/2023/231

MOVED by Cr Grimstone, seconded Cr Young:

3.9 That Council authorise the Chief Executive to finalise the Draft Speed Management Plan 2024-2034 and submit to Horizons Regional Council for inclusion in the Regional Speed Management Plan.

Carried

can no longer practicably be carried out because of the changes in direction by central government and the regional council’s decision not to proceed with Regional Speed Management Plan at this time. This resolution will need to be revoked and be replaced by one of the options outlined in this report. A 75% majority vote of Council is required to revoke resolution CO/2023/231

5. Discussion

5.1 As the new Rule has not been released it is unknown what changes would need to be made to the current SMP to meet the requirements of the new Rule. It is likely that speed management planning and the submission of SMPs for certification will continue to be the mechanism for changing speed limits in the National Speed Limit Register. Even though the Horowhenua District SMP proposed a comparatively small number of changes to speed limits compared to what was proposed by other Road Controlling Authorities in their SMPs it is likely that the current SMP will be non-compliant and will require rework and re-consultation to meet the new requirements. It is likely that the costs of any additional work will need to be met by Council within existing budgets.

5.2 One of the key drivers for the development of a SMP was that it was required under the Rule. This requirement has already been rescinded. However, the SMP also rectified a number of legal anomalies between posted and legal speed limits. There are currently a number of speed limits in Horowhenua where the legal speed limit is higher than the sign posted speed limit. It is important that the legal speed limits are rectified in the National Speed Limit Register to reduce the risk of non-compliance to Council. Therefore, Council will be required to complete a SMP either now with the current SMP or in the near future with a SMP that complies with the new Rule to address these anomalies.

5.3 Horizons Regional Council Officers have advised that they are going to wait for the new Rule to be published before making a decision as to whether a Regional SMP will be completed. This decision will be made in conjunction with the Road Controlling Authorities within the Horizons Region. It is unknown when Horizons Regional Council will confirm the outcome of this decision.

6. Options

6.1 There are three options outlined for Council to consider:

Option A (Recommended Option) - Council authorise the Chief Executive to submit the previously endorsed Draft Speed Management Plan 2024-2034 to NZTA for certification.

6.2 This option would ensure that the speed limit changes that were consulted on with the community and endorsed by Council will be made. It will also ensure that the legal anomalies between the legal and sign posted speed limits are addressed in a timely manner. Given that NZTA have advised that the certification process takes less than one month once they have received all required documentation, this will reduce the risk to Council that the incorrect sign posted speed limits poses.

6.3 During community consultation those who provided feedback/submissions predominantly supported the proposed speed limit changes. This option would enable Council to continue to act based on the community feedback received.

6.4 Submitting the previously completed Draft SMP is also likely to reduce future potential costs for the speed management planning process. This is because it will be unlikely that Council will be required to complete additional SMPs and it is significantly less likely that rework or additional community consultation will need to occur.

6.5 This option requires Council to first revoke its previous resolution CO/2023/231.

Option B - Council continue to include the draft Speed Management Plan 2024-2034 in the Regional Speed Management Plan.

6.6 If this option is endorsed it is unknown if or when a Regional Speed Management Plan will be completed or submitted to NZTA for certification.

6.7 It is also possible that the Horowhenua SMP component will not comply with the new Rule and may need to be restarted from scratch including re-consulting with the community. It is unlikely that additional funding will be available from NZTA to complete this work, and it will therefore need to be completed within existing budgets.

Option C - Council authorise the Chief Executive to rescind the Draft Speed Management Plan that has already been submitted to Horizons Regional Council for inclusion in the Regional Speed Management Plan.

6.8 Once the new Rule has been set, Council Officers would then review and determine the impacts and what steps need to be done to ensure compliance.

6.9 This option does not address the requirement to ensure that the legal anomalies between the legal and sign posted speed limits are addressed. These will still be required to be addressed.

6.10 It is possible that the Horowhenua SMP will not comply with the new Rule and may need to be restarted from scratch including re-consulting with the community. It is unlikely that additional funding will be available from NZTA to complete this work, and it will therefore need to be completed within existing budgets.

6.11 This option requires Council revoke its previous resolution CO/2024/231.

7. Next Steps

Option A

7.1 If Council endorse option A, Council Officers will finalise the Horowhenua District Draft Speed Management Plan 2024-2034 and submit it with the required certifying documentation to NZTA.

7.2 Once received by NZTA the draft plan is then reviewed by the Speed Management Committee who provide a recommendation to the Director of Land Transport about whether the plan should be certified or any other feedback.

7.3 Once the plan is certified, speed limits are able to be updated in the National Speed Limit Register in line with the three year implementation programme.

7.4 Council Officers will continue to advocate for road safety education programmes including those that will support how their behaviour will need to change once any speed limits are implemented and to support children to act safety around roads.

Option B

7.5 If Council endorse option B, Council Officers will continue to wait for the new Rule to be set and will continue to work with Horizons Regional Council Officers to determine if any changes are required.

7.6 If Horizons Regional Council confirms that a Regional SMP is going to be completed, this will be submitted to NZTA for review in line with the process outlined in Option A.

7.7 If Horizons Regional Council decided that a Regional SMP will not be completed, Council Officers will need to submit a SMP directly to NZTA for certification as the legal anomalies between the sign posted and legal speed limits are still required to be addressed.

Option C

7.8 If Council endorse Option C, Council Officers will continue to wait for the new Rule to be set before considering whether the current SMP meets the new requirements or will require re-work. Submission of a SMP is highly likely to be required in the near future to address, at a minimum, the legal anomalies between the legal and sign posted speed limits within the District.

8. Supporting Information

Risk Area	Risk Identified	Consequence	Likelihood	Risk Assessment (Low to Extreme)	Managed how
Strategic
Financial	Council may need to rework the SMP already completed and may need to re-consult with the community.	Council is likely to need to cover this expense out of current budgets, which has the potential to reduce the service provided in other areas of Land Transport.	Possible	Moderate
Legal	Difference between legal and sign posted speed limits.	Council may be legally responsible for any consequences arising from the difference between the legal (predominantly higher) and sign posted (predominantly lower) speed limits.	Unlikely	Moderate	Council is required to update the legal speed limits in the National Speed Limit Register to match the sign posted speed limits. The sign posted speed limits were put in place from previous Speed Limit Bylaws but were not included in the 2017 Land Transport Bylaw.
Reputational	Council previously made a decision to endorse a SMP lowering speed limits around schools, in the Manakau township and on selected roads to improve safety and support the intended use of the roads.	If Council does not continue to support these changes the community may feel they have not been listened to and had their views taken into account. In addition, if someone is hurt or killed on a road where it was recommended that the speed limit be reduced but this is delayed/does not happen, it is possible that Council may be implicated.	Moderate	Moderate

Confirmation of statutory compliance

In accordance with section 76 of the Local Government Act 2002, this report is approved as:

a. containing sufficient information about the options and their advantages and disadvantages, bearing in mind the significance of the decisions; and,

b. is based on adequate knowledge about, and adequate consideration of, the views and preferences of affected and interested parties bearing in mind the significance of the decision.

9. Attachments

No.	Title	Page
a ⇩	Appendix A: Minister of Transport Update on Land Transport Rule Setting of Speed Limits - December 2023	206
b ⇩	Appendix B: Director of Land Transport Update - 13 December 2023	208

Author(s)

Justine Moore

Principal Advisor - Infrastructure

Approved by

Daniel Haigh

Group Manager Community Infrastructure

Monique Davidson

Chief Executive Officer

Council

06 March 2024

File No.: 24/57

6.5 Water Meter Rollout - Leak Remission

1. Purpose

1.1 This report seeks Council approval of remissions for newly discovered leaks during the rollout of new meters. A modification to the percentage of remission could be considered from the date of installation for all properties that receive a new meter or have one replaced. This report does not consider a review of or change to the current targeted rate for water connections or the volumetric water use charges.

2. Executive Summary

2.1 Due to the high level of public interest around water charging, a decision has been made to come back to Council for a further resolution directly related to the implementation of the existing Water Remission policy for leaks.

2.2 This could be used to provide additional relief for up to 3 months for all commercial, rural and residential properties that receive a new meter or have one replaced and experience a leak. This amnesty would relate to newly discovered leaks on the property and would not cover excessive water use or historic failure to repair water leaks on private property. The 3-month option as set out would be triggered from date of identified leak invoice, so in theory someone could get almost 6 months if meter installed at start of the current 3-month billing cycle.

3. Recommendation

3.1 That Report 24/57 Water Meter Rollout - Leak Remission be received.

3.2 That this matter or decision is recognised as not significant in terms of S76 of the Local Government Act.

3.3 That Council approve Option1. (Status Quo) - Implement existing policy for billing from the date of installation.

3.4 That Council approve Option 2. (Additional remission) - Provide 3-month amnesty for education and proactive repairs.

4. Background / Previous Council Decisions

4.1 At the 13 December 2023 Council Meeting, Council approved the programme for delivery of the district wide water metering project and approved bringing budget forward from 2024/25 for the project to commence this year in 2023/24. This report was informed by a procurement plan that set out the basis for water billing in line with the existing 40% of households that are already metered.

4.2 A Council briefing on the water metering options and justification for the urgency of the project was done on 23 August 2023. At this briefing, council determined that a report was needed to inform a decision on the option and programme for delivery of the district wide water metering project.

4.3 The Districtwide Water Metering project was included in consultation for the Long Term Plan 2021-2041 Amendment (LTPA), which was adopted by Council on 28 June 2023.

5. Discussion

5.1 Part 4 of the existing Rates Remission and Postponement Policy: Remission of Excessive Water Charges allows for a 50% remission of the excessive water charges due to a leak.

5.2 This report outlines the options for Council consideration for an additional 50% remission (100% in total) for newly discovered leaks following the installation for all rural, commercial and residential properties that receive a new meter or have one replaced as part of the districtwide water metering project.

5.3 The changes proposed apply to Part 4 of the existing Rates Remission and Postponement Policy: Remission of Excessive Water Charges. The changes agreed in this paper if Option 2 is adopted will be implemented under the existing policy.

5.4 This report does not consider the resourcing and management of a targeted rate and charge back to residents for private leak repairs. Direction could be provided to investigate this and report back to Council once the early phases of rollout and implementation are underway. Officers intend to investigate this in Q4 of 2024.

5.5 It is proposed that the current funding model status quo be retained and that a review and consultation be conducted in the 2024-2025 financial year to inform the 2025/26 Annual Plan.

5.6 This report does not consider a review of or change to the current targeted rate for water connections or the volumetric water use charges outlined below. This report is focused on the mechanism we use to respond to leaks.

Water by Meter

In all schemes (except Foxton Beach), the additional fees for metered supplies are subject to an allowance of 91 cubic metres (m3 ) per quarter. A charge per m3 will be made for water consumed in excess of 91m3 per quarter on any rating unit connected to any water supply; except Foxton Beach where a meter is used to measure consumption on the network.

The charge per m3 of water consumed in excess of 91m3 per quarter on any rating unit connected to the Shannon untreated bore water supply, where a meter is used to measure consumption on the network during the period, will be half that charged for treated water.

Foxton Beach water supply will be charged by cubic metre (in addition to the fixed charge described above) using a three-step system:

Step 1 - A charge per m3 for the first 50m3 of water consumed per quarter on any rating unit or SUIP of a rating unit connected to the Foxton Beach water supply network during the period.

Step 2 - A charge per m3 for the second 50m3 of water consumed per quarter in excess of 50m3 on any rating unit or SUIP of a rating unit connected to the Foxton Beach water supply network. This will be set at 200% of the rate set in step 1.

Step 3 - A charge per m3 for the balance of water consumed per quarter in excess of 100m3 on any rating unit or SUIP of a rating unit connected to the Foxton Beach water supply network. This will be set at 300% of the rate set in step 1.

6. Options

6.1 There are two options outlined for Council to consider:

Option 1 (Status Quo) - Implement existing policy for billing from the date of installation.

6.2 This option means that residents would be billed in the quarter following installation. If excessive water has been lost as a result of a leak the resident is eligible for a 50% remission upon proof of repair (plumbers invoice etc.)

Option 2 (Additional remission) - Provide 3-month amnesty for education and proactive repairs.

6.3 This option provides the opportunity for residents to apply within 3 months of meter installation for up to a 100% remission as a result of a leak and upon proof of repair (plumbers invoice etc.) in accordance with the existing Rates Remission policy.

Cost and Rate Impact

6.4 As the Council has not budgeted for any additional increases in water meter revenue resulting from the water meter rollout as part of the 2023/24 and 2024/25 financial year, we will be able to offset any remissions with any additional income that we receive from meters.

6.5 It would be expected that any additional water meter income, net of remissions would be ring-fenced and used to offset the future water rates.

6.6 There will be a requirement for more resourcing to manage the additional workload during the implementation phase of the project, which was budgeted for. In the interim we are working to share the impact across existing resources.

Community Wellbeing

6.7 Considerations regarding community wellbeing relating to affordability of water supply will be addressed during the proposed future review of the targeted water rate, volumetric water use charges and policy on remission of excessive water use charges.

Consenting Issues

6.8 There are no Consents required or consenting issues arising.

LTP Integration

6.9 The expenditure for this project is included in the LTP under 9825 - Districtwide Water Demand Management - Universal water metering. Council approved bringing forward the budget from 2024/25 for the project to commence this year in 2023/24, at the 13 December 2023 Council meeting. The approved change to the programme is indicated in the table below.

Year	Approved change to programme
23/24	$ 2,100,000
24/25	$ 3,600,000
25/26	$ 760,000
26/27
	$ 6,460,000

7. Consultation

7.1 Consultation on the changes to the Rates Remission Policy will occur in the 2024-2025 financial year to inform the 2025/26 Annual Plan.

7.2 Future changes and reviews of the targeted water rate, volumetric water use charge and remission of excessive water use charges will require consultation.

8. Legal Considerations

8.1 This project is an existing LTP programme and there are no further Legal Requirements or Statutory Obligations affecting the proposed options.

9. Financial Considerations

9.1 This project is in the existing LTP programme.

10. Iwi Considerations

10.1 There are no Iwi considerations.

11. Climate Change Considerations

11.1 District-wide water metering is one of the interventions required to enable the implementation of water conservation measures which will ensure the efficient use of a valuable natural resource.

12. Environmental Considerations

12.1 The implementation of this project will include a waste minimisation plan for the re-use and recycling of all water meters that are being replaced.

13. Health & Safety Considerations

13.1 A Risk Management Plan will be drafted to manage Health & Safety considerations during the implementation of the project.

14. Other Considerations

14.1 This project forms part of the wider infrastructure strategy for a risk-based approach to match investment with demand.

14.2 This project will likely elicit strong community views relating to the ownership and affordability of water supplies. This will be managed through a robust, timely and thorough communications plan.

15. Next Steps

Option 1

15.1 If Council endorse option 1, no changes are required and the existing policy and procedures for a 50% remission of the excessive water charges due to a leak will be followed.

Option 2

15.2 If Council endorse option 2, the changes proposed will be applied by updating Part 4 of the existing Rates Remission and Postponement Policy: Remission of Excessive Water Charges with the additional 50% remission.

Both Option 1 and 2

15.3 It is proposed that the current funding model status quo be retained and that a review of the remission policy be included in the consultation conducted in the 2024-2025 financial year to inform the 2025/26 Annual Plan.

15.4 The customer awareness campaign will be updated to reflect Council’s decision and would include public notices, updates to the website and public displays of the water meter boxes at Council facilities and Council office.

15.5 Meter installation will begin in Shannon, Foxton and some areas of Levin.

16. Supporting Information

Risk Area	Risk Identified	Consequence	Likelihood	Risk Assessment (Low to Extreme)	Managed how
Strategic	Water metering project does not conform to Council’s strategic goals for Enabling Infrastructure	Medium	Low	Low	The proposed option will ensure infrastructure meets current and future needs, promote water conservation and be reliable and resilient
Financial
Service Delivery
Legal
Reputational	Community views	Low	High	Low	Communications plan for customer education & engagement

Confirmation of statutory compliance

In accordance with section 76 of the Local Government Act 2002, this report is approved as:

a. containing sufficient information about the options and their advantages and disadvantages, bearing in mind the significance of the decisions; and,

b. is based on adequate knowledge about, and adequate consideration of, the views and preferences of affected and interested parties bearing in mind the significance of the decision.

17. Attachments

No.	Title	Page
a ⇩	Council Report Implementation of Districtwide Water Metering 13 December 2023 Confidential - Confidential
b ⇩	HDC - LTP-2021-41-Rates-Remissions-Policy

Author(s)

Chloe Marheine

Executive Assistant - Community Infrastructure

Albert Hoffmann

3 Waters Contractor

Jacinta Straker

Group Manager Organisation Performance

Approved by

Daniel Haigh

Group Manager Community Infrastructure

Monique Davidson

Chief Executive Officer

Mayor	His Worship The Mayor Bernie Wanden
Deputy Mayor	Councillor David Allan
Councillors	Councillor Mike Barker
	Councillor Rogan Boyle
	Councillor Ross Brannigan
	Councillor Clint Grimstone
	Councillor Nina Hori Te Pa
	Councillor Sam Jennings
	Councillor Paul Olsen
	Councillor Jonathan Procter
	Councillor Justin Tamihana
	Councillor Piri-Hira Tukapua
	Councillor Alan Young