MINUTES OF A meeting of the Corporate and Strategic Committee



Date:                          Wednesday 8 May 2013


Time:                          09.00 am



Council Chamber

Hawke's Bay Regional Council

159 Dalton Street



Present:                     A J Dick

T Gilbertson

E McGregor

M Mohi

L Remmerswaal

K Rose

C Scott

E von Dadelszen – Chairman

BW Wilson

F Wilson


In Attendance:          A Newman – Chief Executive

E Lambert – General Manager (Operations)

M Adye – Group Manager Asset Management

L Hooper – Governance & Corporate Administration Manager

C Gilbertson – Transport Manager




1.       Welcome/Apologies/Notices

The Chairman welcomed everyone present to the meeting.

Mr Newman advised that Council had received two ALGIM awards for Best Council Website Redevelopment’ and ‘Best Use of Intranet’. Councillors requested that their congratulations be passed on to staff for their success.


C&S19/13     That the apology from Councillor Kirton be received.




2.       Conflict of Interest Declarations

There were no conflict of interest declarations.


3.       Confirmation of Minutes of the Corporate and Strategic Committee Meeting Held on 6 March 2013



Minutes of the Corporate and Strategic Committee held on Wednesday, 6 March 2013, a copy having been circulated prior to the meeting, were taken as read and confirmed as a true and accurate record as amended.




4.       Matters Arising From Minutes of the Corporate and Strategic Committee Meeting Held on Wednesday 6 March 2013

In relation to General Business (pg5) Councillor Wilson advised that there is a representative of the Horticulture industry on the Drought Committee to bring that industry’s issues to the group.

There were no further matters arising from the minutes.



Action Items from Previous Corporate and Strategic Committee Meetings


Ms Lambert advised that the next HB LASS meeting was scheduled in a week’s time and that the final Statement of Intent would be provided to councillors once it had been finalised to include (or not) comments and amendments received from the participating councils.



1.      That the Committee receives the report “Action Items from Previous Corporate and Strategic Committee Meetings”.





Call for General Business Items


Cr Gilbertson – Greenhouse gases




Top 10 Corporate Risks Assessment


In relation to issue 2 – there was a query as to whether the risk of not proceeding with the Ngaruroro storage feasibility study should be reassessed in light of the recent drought.

In relation to issue 1 – water quality – it was noted that data about pole survivability, is collected.

Capacity of soils – queried whether other soil management parameters should be included as mitigation factors.

The risk to Council should the RSG talks with Overseer fail was discussed.

It was queried whether, given progress on issue 4 (co-governance of natural resources) through the Regional Planning Committee, the ranking of this issue might be reassessed. Staff advised that the numbers assigned to the issues are not currently in order of the actual risk score and that the issues could be re-ordered in line with the Risk Register scores.

In relation to issue 5 – is was suggested that it is necessary to note that there is a risk to cash flows from long term projects.

In relation to risks around RWSS – Mr Newman advised that since 2009, the value of council’s overall balance sheet had increased by around $43M and that the write-off risks needed to be balanced against this. It was also noted that Council would have to also consider not writing off the expenditure incurred on feasibility studies, etc if the decision was eventually made not to proceed with building the dam.

It was agreed that ‘lack of public support’ would be added to the ongoing risks list for RWSS as a Council Investment. There was discussion around whether ‘further public consultation’ should be included as an additional mitigation measure but it was noted that this was covered in the October 2012 Council resolution.

It was suggested that Forestry investment by farmers as part of mitigating soil erosion issues be noted within issue 3.

In relation to issue 9 – planning framework and its flexibility to adapt to new technology – Ms Lambert advised that there are provisions in place in the current RRMP to address risks to aquifers should applications for ‘fracking’ be received.

It was suggested that Climate change as a Risk to Council should be reassessed. Further, it was suggested that Current Risk Consequence ratings for issue 8 needed reassessment.

It was suggested that the introductory briefing paper should contain more detailed explanation of rationale and assessment criteria.



The Corporate and Strategic Committee recommends that Council:

1.      Agrees that the decisions to be made are not significant under the criteria contained in Council’s adopted policy on significance and that Council can exercise its discretion under Sections 79(1)(a) and 82(3) of the Local Government Act 2002 and make decisions on this issue without conferring directly with the community and persons likely to be affected by or to have an interest in the decision due to the nature and significance of the issue to be considered and decided.

2.      Notes the top ten risks currently facing Council.

3.      Approves the risk mitigation approach to each of the ten risk issues as set out and amended.





Public Transport Update


Mrs Gilbertson highlighted aspects from within the report, in particular the ‘bikes on buses’ initiative as well as patronage on the Havelock North to Hastings shuttle service and the extended service in Hastings to include Summerset.

Mrs Gilbertson advised that NCC has included provision for an inter-city bus terminal at Clive Square in their Draft Annual Plan.



1.      That the Corporate and Strategic Committee receives the Public Transport Update.





HBRIC Ltd Update to HBRC


Mr Newman advised that Mr Duncan MacLeod had been appointed as Commercial Manager – reporting to Michael Bassett-Foss and seconded by HBRC to HBRIC Ltd. There had been positive feedback from the community in relation to Mr MacLeod and to work he was involved in.

It was clarified that the iwi consortium  investor is not Ngati Kahungunu Iwi Incorporated.

Some discussion took place around the ‘concession period’ benefits and Mr Newman advised that further information would be brought to Councillors to aid in their understanding of the intricacies and detail of concession deeds.

Mr Newman explained that the ‘price’ of the water is the price of ‘secure access’. Further discussion covered how the price would be ‘forecast’ and the possible impacts of fluctuations in price.

Mr Newman confirmed that HBRC has a very cooperative relationship with the 7 landowners in the vicinity of the dam site.



1.      That the Corporate and Strategic Committee receives the report.




The meeting adjourned at 10.35am and reconvened at 10.50am.



Hawke's Bay Tourism Quarterly Report for the Period Ending 31 March 2013


Ms Dundas and Mr George Hickman provided commentary around the information provided in the report, including details about events and initiatives HB Tourism has been involved in not only over the last quarter, but also over the last 21 months.

Mr Mohi and Mr B Wilson left the meeting at 12.05pm



1.      That the Corporate and Strategic Committee receives the report.






Additional Information Sought - Napier Commercial Accommodation


Ms Dundas provided commentary on the decline of visitor numbers using Napier Commercial Accommodation and a range of possible contributing factors.

It was noted that there is assistance available for those business owners wanting to engage with HB Tourism to improve their business and find ways to improve their market share.



1.      That the Corporate and Strategic Committee receives the report.





General Business





Councillor / Staff


Greenhouse gases
Advised of Dominion Post article about greenhouse gas levels.

Cr Gilbertson





Draft Regional Planning Committee Legislation



That Council excludes the public from this section of the meeting, being Agenda Item 13 Draft Regional Planning Committee Legislation with the general subject of the item to be considered while the public is excluded; the reasons for passing the resolution and the specific grounds under Section 48 (1) of the Local Government Official Information and Meetings Act 1987 for the passing of this resolution being as follows:





Draft Regional Planning Committee Legislation

7(2)(c)(ii) That the public conduct of this agenda item would be likely to result in the disclosure of information where the withholding of that information is necessary to protect information which is subject to an obligation of confidence or which any person has been or could be compelled to provide and would be likely otherwise to damage the public interest.

The Council is specified, in the First Schedule to this Act, as a body to which the Act applies.





The meeting went into public excluded session at 12.15pm and out of public excluded session at 01.52pm





There being no further business the Chairman declared the meeting closed at 1.52pm on Wednesday, 8 May 2013.


Signed as a true and correct record.




DATE: ................................................               CHAIRMAN: ...............................................