Agenda of Regional Council Meeting

Meeting of the Hawke's Bay Regional Council

Date: Wednesday 25 March 2015

Time: 9.00 am

Venue:

Council Chamber

Hawke's Bay Regional Council

159 Dalton Street, NAPIER

Agenda

Item Subject Page

1. Welcome/Prayer/Apologies/Notices

2. Conflict of Interest Declarations

3. Confirmation of Minutes of the Regional Council Meeting held on 25 February 2015

4. Matters Arising from Minutes of the Regional Council Meeting held on 25 February 2015

5. Follow-up Items from Previous Regional Council Meetings 3

6. Call for any Minor Items not on the Agenda 9

Decision Items

7. Affixing of Common Seal 11

8. Adoption of the Supporting Accountability Documents and Consultation Document for the 2015-25 Long Term Plan 13

9. Our Plan Communications Strategy 17

10. State of Our Environment Five-yearly Summary Report 21

11. Recommendations from the Environment and Services Committee 25

12. Clifton to Tangoio Coastal Hazards Strategy Joint Committee Terms of Reference and Update 27

13. Appointment of Finance, Audit and Risk Sub-committee Members 35

14. Appointment of Representative to the HB Sports Council 37

15. Appointment of Regional On-Scene Commander 39

16. Confirmation of HBRIC Ltd Board of Directors Appointments 41

17. RWSS financing request of the Regional Council 43

Information or Performance Monitoring

18. HBRIC Ltd March 2015 Update 49

19. Monthly Work Plan Looking Forward Through April 2015 57

20. Chairman's Monthly Report (to be tabled)

21. Minor Items not on the Agenda 63

Follow-ups from Previous Regional Council Meetings

Attachment 1

Follow-ups from previous Regional Council Meetings

Meeting Held 25 February 2015

	Agenda Item	Action	Person Responsible	Status Comment
1	Matters Arising	Provide Councillors with a copy of the Submission to the Board of Inquiry as it stood at the time of the Council meeting 28 January	E Lambert	Distributed to councillors on 12 March 2015
2	Affixing the Common Seal	Provide number of cross lease and single lease property sales to Councillors	P Drury	Email sent by CE’s Executive Assistant to Councillors on 26 February 2015 (copy following)
3	Recommendations from Maori & Regional Planning committees	Develop terms of reference for ‘Incorporating Tangata Whenua Views’ Review Project with the working group.	H Codlin	This is underway, initial comments have been sought and draft Terms of Reference is being developed.
4	Recommendations from Maori & Regional Planning committees	Amend Regional Planning Committee Terms of Reference	H Codlin	This is underway and will be presented to the next RPC meeting in May 2015.

Ref item #2

From: Diane Wisely
Sent: Thursday, 26 February 2015 10:49 a.m.
To: 'Cr Alan Dick'; 'Cr Christine Scott'; 'Cr Dave Pipe'; 'Cr Debbie Hewitt'; 'Cr Peter Beaven'; 'Cr Rex Graham'; 'Cr Rick Barker'; 'Cr Tom Belford'; Fenton Wilson; 'Mike Mohi'
Subject: Napier Leasehold Properties - Freeholdings

The following information is provided in response to Councillor Scott’s questions on freeholding of Napier leasehold property and the extent to which these freeholdings include cross-leased properties. The information below provides clarification on this issue:

Freeholdings-1st July 2013 to 30th June 2014 (total 35 lessee have freeholded)

24 Single sections were sold

4 Crosslease section [with 2 houses on the section]

1 Crosslease section [with 3 houses on the section]

Freeholdings-1^st July 2014 to 30^th June 2015 [current year] (total 18 lessee have freeholded) (Reported up to the end of February 2015)

13 Single sections

1 Crosslease section [with 2 houses on the section]

1 Crosslease section [with 3 houses on the section]

WIP-Sales in progress; (total 11 lessee are freeholding)

6 single sections

1 Crosslease [with 2 houses on the section]

1 Crosslease [with 3 houses on the section]

cid:image001.jpg@01C9292B.BC439CD0

Paul Drury

Group Manager Corporate Services

HAWKE'S BAY REGIONAL COUNCIL

159 Dalton Street, Private Bag 6006

Napier 4142, New Zealand

P: +64 6 835 9205 F: +64 6 835 3601

E: pdrury@hbrc.govt.nz / www.hbrc.govt.nz

This communication, including any attachments, is confidential. If you are not the intended recipient, you should not read it - please contact me immediately, destroy it, and do not copy or use any part of this communication or disclose anything about it. Thank you. Refer to the Electronic Transactions Act 2002.

Follow-ups from Previous Regional Council Meetings

Attachment 1

LGOIMA Requests Received between 19 February and 19 March 2015

Request Status	Date Received	Response Due	Requested By	Request Summary
Active	9/03/2015	6/04/2015	Ian McIntosh	Re review of CHBDC WTTP consents - diversion of overflows from the treatment plants. 1. Has CHBDC made data available to HBRC on the volume or timing of "bypass flows" from the two Wastewater Treatment Plants since they were commissioned, and if so may I have a copy of that data? 2. If the CHBDC has made ANY data on the volume and timing of the "bypass flows" available to HBRC, may I have a copy please?
Active	4/03/2015	1/04/2015	Colin Riden	1. Has HBRIC established flow monitoring site(s) anywhere on the Makaroro? (HBRC permission would surely have been required)? 2. Has HBRC been measuring Makaroro flows over the last 3 years? For your own use or for HBRIC? 3. I am aware that Burnt Bridge now has radar monitoring and there is a tab for cross section on your HydroTel interface (but with no output provided). Is this radar equipment providing or capable of providing reasonably accurate flow data? 4. What set(s) of Makaroro flow data is HBRC able to provide for any periods from 2011 on?
Completed	2/03/2015	30/03/2015	Ian McIntosh	a copy of the Abatement Notice served on CHBDC together with the "Timeline" to rectify the situation
Completed	2/03/2015	30/03/2015	Ian McIntosh	Under the Official Information Act, a copy of the Abatement Notice served on CHBDC together with the "timeline" to rectify the situation he has told Councillors it contains.
Active	27/02/2015	27/03/2015	Ian McIntosh	results and conclusions of Papanui Aquifer sampling exercise in respect to both Age and Water Quality in the Papanui aquifer, as well as the location of the sampling sites used
Completed	23/02/2015	23/02/2015	Cameron Ormsby	Consent details of watertakes from the Wairoa River located within 10-20 km of Wairoa.

HAWKE’S BAY REGIONAL COUNCIL

Wednesday 25 March 2015

Subject: Affixing of Common Seal

Comment

1. The Common Seal of the Council has been affixed to the following documents and signed by the Chairman or Deputy Chairman and Chief Executive or a Group Manager.

Seal No.

Date

1.1

Leasehold Land Sales

1.1.1 Lot 191

DP 6598

CT C2/386

- Agreement for Sale and Purchase

- Transfer

1.1.2 Lot 27

DP 6391

CT E2/1441

- Transfer

1.1.3 Lot 41

DP 4488

CT 55/141

- Transfer

1.1.4 Lot 83

DP 13055

CT E2/1287

- Transfer

3830

3833

3831

3832

3834

26 February 2015

18 March 2015

6 March 2015

11 March 2015

18 March 2015

1.2

Staff Warrants

1.2.1 M. Dawson

(Delegations under Resource Management Act 1991; Soil Conservation and Rivers Control Act 1941; Land Drainage Act 1908 and Civil Defence Act 1983 (s.60-64); Civil Defence Emergency Management Act 2002 (s.86-91) and Local Government Act 2002 (s.174)

3829

25 February 2015

Decision Making Process

2. Council is required to make every decision in accordance with the provisions of Sections 77, 78, 80, 81 and 82 of the Local Government Act 2002 (the Act). Staff have assessed the requirements contained within these sections of the Act in relation to this item and have concluded the following:

2.1 Sections 97 and 88 of the Act do not apply

2.2 Council can exercise its discretion under Section 79(1)(a) and 82(3) of the Act and make a decision on this issue without conferring directly with the community or others due to the nature and significance of the issue to be considered and decided

2.3 That the decision to apply the Common Seal reflects previous policy or other decisions of Council which (where applicable) will have been subject to the Act’s required decision making process.

Recommendations

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. Confirms the action to affix the Common Seal.

Diane Wisely

Executive Assistant

Liz Lambert

Chief Executive

Attachment/s

There are no attachments for this report.

HAWKE’S BAY REGIONAL COUNCIL

Wednesday 25 March 2015

Subject: Adoption of the Supporting Accountability Documents and Consultation Document for the 2015-25 Long Term Plan

Reason for Report

1. The audit for the Consultation Document covering the Long Term Plan 2015-2025 (LTP) has been completed. Council needs to consider and adopt the supporting accountability documents to the LTP so they can be made available on Council’s website. Council also needs to consider and adopt the Consultation Document so it can be printed and distributed for public consultation by 10 April 2015.

Process

2. Council has held a series of workshops from July 2014 to February 2015 to discuss the strategies to be reflected in the LTP, the supporting accountability documents to the LTP and the Consultation Document.

3. Section 93(B) & (C) of the Local Government Act 2002 (the Act), provides for the preparation of a Consultation Document that is to form the basis for input from the community on the LTP. Section 93(C)(4) provides that the Consultation Document must include a report from the Auditor General on:

3.1. Whether the Consultation Document gives effect to the purposes as set out in section 93(B); and

3.2. The quality of the information and assumptions underlying the information provided in the Consultation Document.

4. The Consultation Document was provided to the Audit Office on 2 March 2015 and a number of adjustments to this document were required as a result of this audit. The Consultation Document attached to this paper reflects these changes and details are outlined below in this paper.

5. On Wednesday 18 March 2015, the Consultation Document included in this paper as Attachment 7 was sent by Audit New Zealand to the “Hot Review” team of the Auditor General. There are normally a few changes required by this “Hot Review” team and it is intended to make these adjustments by Monday 23 March 2015 and to then distribute the final Consultation Document passed by Audit to Council via email on Tuesday 24 March 2015. This email will provide clarification of any changes made. The resolution made at this meeting for the adoption of the Consultation Document will be for the amended (if any) audited Consultation Document contained in the email sent to Councillors.

Audit Changes Required to the Consultation Document

6. During the audit process a number of adjustments to the Consultation Document have been considered necessary by Audit NZ to ensure compliance with the requirements as set down in section 93(C) of the Act. The material changes made to the Consultation Document from the versions considered by councillors at the workshop on 24 February 2015 are summarised following.

“Our Plan” (Pages 6-8 of the Consultation Document)

6.1. The proposals set out in the “Our Plan” section of the Consultation Document required further clarification of options to the proposal (even if the option was the status quo), the impact of any proposal on the level of service provided by Council and any impact of the proposal on rates and debt levels.

“Our Draft 10 Year Budget at a Glance” (Page 9 of the Consultation Document)

6.2. Audit NZ requested that clarification be provided on the status of Council’s big investment initiatives. A new table has been provided which gives this information.

“Your Rates” (Page 11 of the Consultation Document)

6.3. The Act provides that the Consultation Document includes example properties for the purposes of ratepayers understanding rate increases for the first year of the LTP. Therefore a number of example properties have been chosen to be included in the Consultation Document. This information provides for ratepayers, the rate increases that are proposed for those example properties.

“Are our Finances in Good Shape” (Page 12 of the Consultation Document)

6.4. Amendments have been made to the surplus/deficit graph and in the funding strategy chart to reflect the last run of the figures through the financial model. These adjustments are:

6.4.1. An operating surplus/deficit line is also shown on this graph. This shows an increase in the operating surplus which is available for additional capital expenditure on infrastructure assets both within the term of the LTP and in the subsequent years to the Plan.

6.4.2. The funding strategy chart now reflects reserves being used in the first year of the Plan and years 5-8 of the Plan.

“Infrastructure Assets” (Page 16 of the Consultation Document)

6.5. Additional clarification was requested covering capital expenditures proposed in the infrastructure strategy section of the Consultation Document. This related, for the most part, to the Heretaunga Plains drains and Upper Tukituki schemes and the need for increased consultation to determine the extent of the works to be undertaken and the associated costs. In addition, a bar graph has been added to show capital expenditure on infrastructure, both renewals and enhancements.

Draft LTP/Final LTP

7. The Act places no requirement on the preparation of a draft LTP, however it does prescribe that a final LTP document is to be approved by Council by 30 June 2015, and that copies of this document are to be made available to those members of the public who require them.

Attachments to this Paper

8. Attachments 1-6: The documents that provide support to the Consultation Document covering the LTP 2015-25 will be made available on Council’s website and there will be links from the Consultation Document (when viewed on the website) to the relevant supporting accountability documents.

The proposed LTP supporting accountability documents are:

8.1. Financial Strategy

8.2. Infrastructure Strategy

8.3. Group of Activity Information

8.4. Financial Information

8.5. Policies

8.6. Council Controlled Organisations

9. No material changes have been made to these documents since the LTP workshops held in February 2015.

10. Attachment 7: The proposed audited Consultation Document “Our Plan” which is to be distributed to all households within the Hawke’s Bay region.

Timetable

11. The following timelines have been programmed.

Item	Timeline
Public consultation on Consultation Document begins	10 April 2015
Submissions close at 5.00pm after the five week consultation period	18 May 2015
Copies of public submissions to councillors	20 May 2015
Staff reports and submissions to councillors	29 May 2015
Council meeting to consider submissions on the LTP Consultation Document	8/9/10 June 2015
Council meeting to adopt final LTP 2015-2025	24 June 2015

Decision Making Process

12. Section 93(A) of the Act provides for the use of a special consultative procedure in relation to the adoption of a Long Term Plan as prepared under section 93 of the Act. This section further provides that for the purposes of 83(1)(a), a Consultation Document must be prepared and adopted and will replace the need for a statement of proposal and a summary of the information contained in the statement of proposal.

Recommendations

That Council:

1. Confirms the decisions recommended in the LTP 2015-2025 are not able to be implemented until the effect of these decisions is included in the LTP Consultation Document and that this document be subjected to a special consultative procedure as required by section 83(1) and section 93(A) of the Act.

2. Adopts the following accountability documents supporting the 2015-2025 LTP Consultation Document:

2.1. Financial Strategy

2.2. Infrastructure Strategy

2.3. Group of Activity Information

2.4. Financial Information

2.5. Policies

2.6. Council Controlled Organisations

3. Adopts the 2015-2025 LTP Consultation Document and notes that the Consultation Document has been audited and the Audit report will be included as part of the Document.

4. Agrees that the special consultative process for the 2015-2025 LTP Consultation Document provides the opportunity for the community to be consulted on:

4.1. The proposed scale and schedule of charges as set out in the “Resource Management Charges” as included in the financial information provided as part of the LTP supporting accountability documents and as part of the overall statement of proposal in accordance with section 36(2) of the Resource Management Act 1991.

4.2. Any significant decisions that are included in the Consultation Document serves as and replaces the Statement of Proposal as required under section 83(1)(a)(i)(ii).

4.3. Proposed amendments to the investment policy, liability management policy and revenue and financing policy.

5. Agrees to fund the underlying deficits in the years where the deficits are shown in the Long Term Plan, from cash operating balances which are estimated to be at a level sufficient to provide such funding.

Paul Drury

Group Manager
Corporate Services

Liz Lambert

Chief Executive

Attachment/s Hard copies distributed to Councillors Only

1	HBRC's 2015-25 Financial Strategy	Under Separate Cover
2	HBRC's 2015-45 30 Year Infrastructure Strategy	Under Separate Cover
3	HBRC's Activities	Under Separate Cover
4	HBRC's Financial Information	Under Separate Cover
5	HBRC's 2015-25 Policies	Under Separate Cover
6	HBRC's Council Controlled Organisations Information	Under Separate Cover
7	Our Plan - HBRC's Consultation Document	Under Separate Cover

HAWKE’S BAY REGIONAL COUNCIL

Wednesday 25 March 2015

Subject: Our Plan Communications Strategy

Reason for Report

1. The Consultation Document “Our Plan” presents the planning and budgeting that Hawke’s Bay Regional Council is consulting on for the next ten years. It forms the basis for public consultation on HBRC’s Draft Long Term Plan 2015-25.

2. This item outlines how staff propose to:

2.1. Promote Our Plan

2.2. Raise awareness of the key issues, financial and rating impacts that HBRC is proposing, and

2.3. Encourage groups and individuals in our region to take part in consultation conversations and lodge submissions.

Background

3. Our Plan has been developed over a number of Council workshops held between August 2014 and the end of February 2015.

4. ‘Our Plan’, as presented here for adoption, has been reviewed by Audit New Zealand and meets HBRC’s obligations for consultation under the Local Government Act 2002.

5. The consultation period is open from Friday 10 April until Monday 18 May 2015.

6. Last year’s Draft Annual Plan was promoted with a mix of in-print and radio advertising, supported by library displays, press reporting, social media promotion and a public meeting in each main centre. Presentations were offered to any interested group, and three of these were given.

7. This year, staff are working under new legislation to deliver a comprehensive Consultation Document in place of the traditional Draft Long Term Plan. Staff are also implementing an online submissions portal, and the use of supporting digital tools has increased.

8. Our Plan will be supported by a short animated movie, library displays, social media, ‘have your say’ interactive public events, advertising in print, on radio, using email and digital portals and targeted media releases. Some degree of press reporting is anticipated.

Distribution, Awareness and Promotion

9. 53,000 copies of Our Plan will be distributed to households throughout Hawke’s Bay in the week beginning 6 April. Our Plan will cover 17 (of 20) pages of HBRC’s regular regional magazine Our Place.

10. All promotion will point readers to HBRC’s online submission portal via hbrc.govt.nz, using the keyword search: ourplan. Our Plan will also be signposted from HBRC’s website homepage.

11. All supporting documents will be available online including Our Plan, a 2-page summary of Our Plan – which is not required by legislation, HBRC’s Financial Strategy, Funding Impact Statement, Forecast Financials, RMA Charges, Levels of Service and Performance Targets, 30 Year Infrastructure Asset Strategy, Revenue and Financing Policy, and Significance and Engagement Policy.

12. In-print, radio and Giggle TV advertising will point ratepayers to Our Plan, the event details and other information on HBRC’s website, including a call to lodge submissions.

13. Group presentations can be accommodated on request. This offer will be promoted using email and/ or personal letters to sector and interest groups.

Advertising

Display advertisements will be placed in local papers drawing attention to upcoming ‘have your say’ events, with a consistent call to action to lodge submissions.

Advertisements will be placed in local newspapers on the following dates:

Napier and Hastings Mail – Wednesday 8 April

Central HB Mail – Tuesday 14 April

Napier and Hastings Mail – Wednesday 22, 28 April, and 5 May

Wairoa Star – 7, 12 May

Radio advertising will be coordinated to direct attention to HBRC’s website and public library displays. Giggle TV advertising will do the same.

Emails to targeted distribution lists will also contain the same call to action messages, with links to the animated movie, online Our Plan document and supporting information, including the online submission portal.

‘Have Your Say’ Public Events

14. Seven ‘Have YOUR Say’ events will be held across the region, using an interactive format, involving a mix of executive, staff and Councillors.

Staff

15. Still will be given a taste of the ‘Have YOUR Say’ events during a dry run to be held in early April. Staff will also be briefed in Snapshot, using email and other regular meetings.

Submissions

16. People who wish to submit a comment can do so online using HBRC’s submission portal, using Facebook, Twitter, SMS text, or in writing.

17. The introduction this year of a submissions portal will require basic login details to be input. Once set up, submitters who do so more again can track their submission history, with additional reporting functionality for HBRC staff.

Budget

18. Design and promotion costs are estimated as follows:

Design Our Plan, Library displays, 2-pg summary $ 9,000

Advertising $ 5,000

Animated movie $ 5,000

$19,000

Decision Making Process

19. Council is required to make a decision in accordance with the requirements of the Local Government Act 2002 (the Act). Staff have assessed the requirements contained in Part 6 Sub Part 1 of the Act in relation to this item and have concluded:

19.1. The decision does not significantly alter the service provision or affect a strategic asset.

19.2. The use of the special consultative procedure for Our Plan is prescribed by legislation.

19.3. This decision does not fall within the definition of Council’s policy on significance.

19.4. The persons affected by this decision are all ratepayers in the region. Options that have been considered include doing nothing, but this does not satisfy the requirements for a Special Consultative Process under the Act.

19.5. The decision is not inconsistent with an existing policy or plan.

Recommendations

That Council:

2. Endorses the proposed promotion and community engagement programme for the Our Plan consultation document.

Drew Broadley

Community Engagement and Communications Manager

Liz Lambert

Chief Executive

Attachment/s

There are no attachments for this report.

HAWKE’S BAY REGIONAL COUNCIL

Wednesday 25 March 2015

Subject: State of Our Environment Five-yearly Summary Report

Reason for Report

1. Every five years, Council is required by section 35(2)(a) of the Resource Management Act 1991 to report publicly on the State of the Environment in Hawke’s Bay.

2. This reporting includes two levels of information – a summary report on the state and changes that have taken place in the region’s environment, and technical reports that detail the data underlying the summary report.

3. This report deals with changes that have occurred in the period 2009 to 2014. The actual period of reporting varies with the topic being considered, as reporting ‘seasons’ sometimes run winter to winter and sometimes summer to summer, depending on the science discipline.

4. The summary report deals with all the areas of the environment monitored by Council, which are:

4.1. Air quality and climate

4.2. Surface water quantity and quality

4.3. Groundwater quantity and quality

4.4. Land science

4.5. The coastal environment.

5. The report has been distributed only to Councillors, electronically and in hard copy format, as it is under embargo until Council has given approval for its publication. Once that approval is given, copies will be available to the public upon request.

Summary of State of the Environment

6. Some aspects of the Hawke’s Bay environment have improved in the last five years. For example, air quality has been improving on the Heretaunga Plains; Escherichia coli (E. coli) levels in groundwater have generally improved; and nitrogen levels in streams and groundwater of the Taharua catchment have improved.

7. However, although levels of nitrogen and phosphorous are improving in some places, these nutrient levels are also getting worse in other locations. Excessive discharge of phosphorous to streams is often accompanied by high levels of sediment discharge, which has not improved at many sites monitored.

8. Coastal water quality has remained largely similar to previous periods of monitoring, but phosphorous levels have improved at one site. Metal contaminants are higher than background levels in parts of the Ahuriri estuary, and may affect biological processes at one site monitored.

Air Quality and Climate

9. Hawke’s Bay has an usually temperate climate – neither too cold, nor too wet – but with occasional hot days in summer. In Napier the number of hot days each year has increased and the number of cold days has decreased in the last 75 years. Notable weather events in the last five years include the drought of 2012-2013, and the April 2011 storm, which affected the area of the southern Hawke’s Bay coastline most severely.

10. Air quality has improved in Hastings and Napier over in the last five years, although domestic heating is still the major contributor of fine particulates in the air causing winter pollution. Open fires have been banned and older wood burners are progressively being replaced with more efficient appliances, and HBRC provides funding assistance through the HeatSmart programme.

Surface Water Quantity and Quality

11. The drought of 2012-2013 was a low flow anomaly in an otherwise average to above average five years of river flows.

12. Our water quality monitoring shows phosphorus in surface water has improved at some sites, while declining at one site. Nitrogen has improved at more sites than phosphorus, but also declined at more sites. The rate of improvement for phosphorus is less than the national rate of improvement, but for nitrogen we have fewer sites declining than has occurred nationally. More Hawke’s Bay rivers are getting muddier than is the case nationally, and no improvement was seen in the last five years at any site monitored.

13. The headwaters of most Hawke’s Bay streams are healthy places for aquatic bugs – macroinvertebrates - but the modified lower catchments are often poor habitats particularly where water temperatures are high and dissolved oxygen low. Lower catchments experience high volumes of aquatic plant growth more frequently, particularly where the river contains high levels of nutrients and there are low levels of shading.

14. Eight of the seventeen native fish species found in Hawke’s Bay rivers are threatened. Fifteen of these species spend time in the ocean, migrating to and from freshwater streams during their lives. Barriers to fish passage are being identified and improvements made to help fish climb during their migrations.

Groundwater Quantity and Quality

15. The long history of groundwater use in Hawke’s Bay is driven in part by our dry climate and hot summers causing low flows in surface streams. About 89% of all water consented for taking is from groundwater, mostly from the Heretaunga and Ruataniwha plains.

16. Groundwater levels have declined about 1.5 m in part of the western Heretaunga Plains since reliable records began in the 1960s. However, artesian groundwater levels in the eastern Heretaunga Plains are similar to those encountered almost 150 years ago. Groundwater levels have declined in the west, but are rising in the east of the Ruataniwha Plains.

17. No groundwater quality monitoring sites exceed the NZ Drinking Water Standards (NZDWS) for nitrate, while the indicator species for faecal contamination, Escherichia coli (E. coli), improved over the last five years, with none detected in 2013. Iron, manganese and total hardness derived mostly from natural sources exceed the NZDWS at a significant number of monitored sites.

18. Managing land-use to improve groundwater and surface water quality has been effective in the Taharua catchment, where land retirement and planting has reduced nitrogen in streams and groundwater.

Land Science

19. The topography of Hawke’s Bay has concentrated intensive horticulture and farming on the Heretaunga Plains around Hastings and Napier. Sheep and deer have declined in significance since 2007, while dairy and beef cattle have become more important. A large portion of our land is probably too steep to farm.

20. The Hawke’s Bay landscape is highly erodible, as seen by the large number of landslips that developed in the eastern Tukituki catchment during the April 2011 storm. In parts of this catchment an estimated average 5,000 tonnes of soil is eroded from each square kilometre each year.

21. About a third of the sediment eroded in the Tukituki catchment is lost from stream-bank erosion. Keeping stock out of streams helps reduce the amount of sediment entering our waterways this way. Planting around rivers also assists in reducing sediment being lost to streams, and these approaches may also reduce the amount of phosphorus attached to that sediment which is lost to streams.

The Coastal Environment

22. We monitor coastal water quality to help identify where land use affects fish and insect habitats. We also observe rates of erosion and accretion in the coastal environment, particularly because erosion affects settlements like Haumoana. Coastal studies use data from two offshore wave buoy, studies of river gravel supply to the coast, and onshore and submarine surveys.

23. Coastal water quality is monitored more closely at bathing beaches, in estuaries and in rivers during the months of summer recreation. In general, open-coast beaches have better water quality than estuaries and river swimming sites, because any contaminants are diluted by the ocean.

24. Long-term monitoring of near-shore water quality changes shows that turbidity has improved at one of the seven sites monitored, while it has declined at one site. Dissolved reactive phosphorus and total phosphorus levels have both improved at one monitored site.

25. Estuaries are the receiving environments for river processes, coastal processes and the products of land-use activities. For example, initial work in the Ahuriri estuary indicates its sediments are contaminated with metals delivered in stormwater.

26. The ecology of beaches is dominated by marine worms at places like Opoutama, where the organic material loved by worms washes ashore. Further south bivalves and crustaceans are more common. New programmes of work have been established to monitor the ecology of beaches and intertidal areas.

Financial and Resource Implications

27. There are no financial or resource implications for Council resulting from this report.

Decision Making Process

28. Council is required to make a decision in accordance with the requirements of the Local Government Act 2002 (the Act). Staff have assessed the requirements contained in Part 6 Sub Part 1 of the Act in relation to this item and have concluded the following:

28.1. The decision does not significantly alter the service provision or affect a strategic asset.

28.2. The use of the special consultative procedure is not prescribed by legislation.

28.3. The decision does not fall within the definition of Council’s policy on significance.

28.4. The decision is not inconsistent with an existing policy or plan.

28.5. Given the nature and significance of the issue to be considered and decided, and also the persons likely to be affected by, or have an interest in the decisions made, Council can exercise its discretion and make a decision without consulting directly with the community or others having an interest in the decision.

Recommendations

That Council:

2. Adopts the “State of Our Environment Five-Yearly Summary” report for publication.

Dr Stephen Swabey

Manager, Science

Iain Maxwell

Group Manager
Resource Management

Attachment/s

There are no attachments for this report.

HAWKE’S BAY REGIONAL COUNCIL

Wednesday 25 March 2015

Subject: Clifton to Tangoio Coastal Hazards Strategy Joint Committee Terms of Reference and Update

Reason for Report

1. At its meeting in April 2014, Council agreed that the Joint Committee should be established with Hastings District Council (HDC) and Napier City Council (NCC) to develop a Coastal Hazards Strategy for the Hawke’s Bay coastline between Clifton and Tangoio. This was subsequently also agreed by HDC and NCC.

2. The three councils agreed to delegate authority to the Joint Committee to determine its Terms of Reference, the Terms of Reference for a Technical Advisory Group, and the scope and timeline for the project, taking into account the size of the project and the resource available to it.

3. A Terms of Reference has been developed by the Clifton to Tangoio Coastal Hazard Strategy Joint Committee which has requested that this Terms of Reference be endorsed by the respective councils.

4. This paper seeks endorsement of the Terms of Reference for the Clifton to Tangoio Coastal Hazard Strategy Joint Committee.

5. Chairman of the Joint Committee, Councillor Peter Beaven, and/ or staff representative, Group Manager Asset Management, will provide a verbal update on the Joint Committee meeting held on 6 March 2015 at the meeting.

Decision Making Process

6. Council is required to make a decision in accordance with the requirements of the Local Government Act 2002 (the Act). Staff have assessed the requirements contained in Part 6 Sub Part 1 of the Act in relation to this item and have concluded the following:

6.1. The decision does not significantly alter the service provision or affect a strategic asset.

6.2. The use of the special consultative procedure is not prescribed by legislation.

6.3. The decision does not fall within the definition of Council’s policy on significance.

6.4. The persons affected by this decision are all persons with an interest in the Council’s management of Clifton to Tangoio Coastal Hazards.

6.5. As the Clifton to Tangoio Coastal Hazard Strategy Joint Committee specifically requested Council’s endorsement, no other options were considered.

6.6. The decision is not inconsistent with an existing policy or plan.

7. Given the nature and significance of the issue to be considered and decided, and also the persons likely to be affected by, or have an interest in the decisions made, Council can exercise its discretion and make a decision without consulting directly with the community or others having an interest in the decision.

Recommendations

That Council, receives the verbal report and:

2. Endorses the Terms of Reference for the Clifton to Tangoio Coastal Hazard Strategy Joint Committee.

Mike Adye

Group Manager Asset Management

Liz Lambert

Chief Executive

Attachment/s

Clifton to Tangoio Coastal Hazards Strategy Joint Committee Terms of Reference

Clifton to Tangoio Coastal Hazards Strategy Joint Committee Terms of Reference

Attachment 1

Terms of Reference for the
Clifton to Tangoio Coastal Hazards Strategy Joint Committee

December 2014

1. Definitions

For the purpose of these Terms of Reference:

· “Act” means the Local Government Act 2002.

· “Administering Authority” means Hawke’s Bay Regional Council.

· “Coastal Hazards Strategy” means the Coastal Hazards Strategy for the Hawke Bay coast between Clifton and Tangoio^{^[1]}.

· “Council Member” means an elected representative appointed by a Partner Council.

· “Hazards” means natural hazards with the potential to affect the coast, coastal communities and infrastructure over the next 100 years, including, but not limited to, coastal erosion, storm surge, flooding or inundation of land from the sea, and tsunami; and includes any change in these hazards as a result of sea level rise.

· “Joint Committee” means the group known as the Clifton to Tangoio Coastal Hazards Strategy Joint Committee set up to recommend both draft and final strategies to each Partner Council.

· “Member” in relation to the Joint Committee means each Council Member and each Tangata Whenua Member.

· “Partner Council” means one of the following local authorities: Hastings District Council, Napier City Council and Hawke’s Bay Regional Council.

· “Tangata Whenua Appointer” means:

o The trustees of the Maugaharuru-Tangitu Trust, on behalf of the Maugaharuru-Tangitu Hapu;

o Mana Ahuriri Incorporated, on behalf of Mana Ahuriri Hapu;

o He Toa Takitini, on behalf of the hapu of Heretaunga and Tamatea.

· “Tangata Whenua Member” means a member of the Joint Committee appointed by a Tangata Whenua Appointer

2. Name and status of Joint Committee

2.1 The Joint Committee shall be known as the Clifton to Tangoio Coastal Hazards Strategy Joint Committee.

2.2 The Joint Committee is a joint committee under clause 30(1)(b) of Schedule 7 of the Act.

3. Partner Council Members

3.1 Each Partner Council shall appoint two Council Members and alternates to the Joint Committee. If not appointed directly as Council Members, the Mayors of Hastings District Council and Napier City Council and the Chairperson of Hawke’s Bay Regional Council are ex officio Council Members.

3.2 Under clause 30(9) Schedule 7 of the Act, the power to discharge any Council Member on the Joint Committee and appoint his or her replacement shall be exercisable only by the Partner Council that appointed the Member.

4. Tangata Whenua Members

4.1 Each Tangata Whenua Appointer may appoint one member to sit on the Joint Committee.

4.2 Each Tangata Whenua Appointer must make any appointment and notify all Tangata Whenua Appointers and Partner Councils in writing of the appointment.

4.3 The Tangata Whenua Members so appointed shall be entitled to vote.

4.4 Under clause 30(9) Schedule 7 of the Act, the power to discharge any Tangata Whenua Member on the Joint Committee and appoint his or her replacement shall be exercisable only by the Tangata Whenua Appointer that appointed the Member.

5. Purpose of Terms of Reference

5.1 The purpose of these Terms of Reference is to:

6.1.1 Define the responsibilities of the Joint Committee as delegated by the Partner Councils under the Act.

6.1.2 Provide for the administrative arrangements of the Coastal Hazards Strategy Joint Committee as detailed in Appendix 2.

6. Meetings

6.1 Members, or their confirmed alternates, will attend all Joint Committee meetings.

7. Delegated authority

7.1 The Joint Committee has the responsibility delegated by the Partner Councils for:

· Considering and recommending a draft strategy to each of the Partner Councils for public notification;

· Considering comments and submissions on scenarios and the draft strategy and making appropriate recommendations to the Partner Councils;

· Considering and recommending a final strategy to each of the Partner Councils for approval.

8. Powers not delegated

8.1 The following powers are not delegated to the Joint Committee:

· Any power that cannot be delegated in accordance with clause 32 Schedule 7 of the Local Government Act 2002.

· The determination of funding for undertaking investigations, studies and/or projects to assess options for implementing the Coastal Hazards Strategy.

9. Remuneration

9.1 Each Partner Council shall be responsible for remunerating its representatives on the Joint Committee and for the cost of those persons' participation in the Joint Committee.

9.2 The Administering Authority shall be responsible for remunerating the Tangata Whenua Members.

10. Meetings

10.1 The New Zealand Standard for model standing orders (NZS 9202:2003), or any New Zealand Standard substituted for that standard, will be used to conduct Joint Committee meetings as if the Joint Committee were a local authority and the principal administrative officer of the Hawke’s Bay Regional Council or his or her nominated representative were its principal administrative officer.

10.2 The Joint Committee shall hold all meetings at such frequency, times and place(s) as agreed for the performance of the functions, duties and powers delegated under this Terms of Reference.

10.3 Notice of meetings will be given well in advance in writing to all Joint Committee Members, and not later than one month prior to the meeting.

10.4 The quorum shall be 5 Members.

11. Voting

11.1 In accordance with clause 32(4) Schedule 7 of Act, at meetings of the Joint Committee each Council Member has full authority to vote and make decisions within the delegations of this Terms of Reference on behalf of the Partner Council without further recourse to the Partner Council.

11.2 Where voting is required, all Members of the Joint Committee have full speaking rights.

11.3 Each Member has one vote.

11.4 Best endeavours will be made to achieve decisions on a consensus basis.

11.5 Standing Orders 2.5.1(2) and 3.14.2 which state: The Chairperson at any meeting has a deliberative vote and, in the case of equality of votes, also has a casting vote” do not apply to the Joint Committee.

12. Election of Chairperson and Deputy Chairperson

12.1 On the formation of the Joint Committee the members shall elect a Joint Committee Chairperson and may elect up to two Deputy Chairpersons. The Chairperson is to be selected from the group of Council Members.

12.2 The mandate of the appointed Chairperson or Deputy Chairperson ends if that person through resignation or otherwise ceases to be a member of the Joint Committee.

13. Reporting

13.1 All reports to the Committee shall be presented via the Technical Advisory Group^{^[2]} or from the Committee Chairperson.

13.2 Following each meeting of the Joint Committee, the Project Manager shall prepare a summary report of the business of the meeting and circulate that report, for information to each Member following each meeting. Such reports will be in addition to any formal minutes prepared by the Administering Authority which will be circulated to Joint Committee representatives.

14. Good faith

14.1 In the event of any circumstances arising that were unforeseen by the Partner Councils, the Tangata Whenua Appointers, or their respective representatives at the time of adopting this Terms of Reference, the Partner Councils and the Tangata Whenua Appointers and their respective representatives hereby record their intention that they will negotiate in good faith to add to or vary this Terms of Reference so to resolve the impact of those circumstances in the best interests of the Partner Councils and the Tangata Whenua Appointers collectively.

15. Variations to these Terms of Reference

15.1 Any Member may propose a variation, deletion or addition to the Terms of Reference by putting the wording of the proposed variation, deletion or addition to a meeting of the Joint Committee.

15.2 Amendments to the Terms of Reference may only be made with the approval of all Members.

16. Adopted by

16.1 The Coastal Hazards Strategy Joint Committee made up of the following:

Napier City Council represented by Cr T Jeffery

Cr F White

Refer to Council paper 21 May 2014

Refer to Council paper 17 December 2014

Hastings District Council represented by Cr T Kerr

Cr G Lyons

Refer (HDC 14/510) of Planning & Regulatory Committee paper 19 June 2014

Hawke’s Bay Regional Council represented by Cr P Beaven

Cr C Scott

Refer to Council paper 30 April 2014

Maungaharuru-Tangitū Trust (MTT) represented by Mrs T Hopmans

Mana Ahuriri Inc represented by Mr P Prentice

He Toa Takitini represented by Mr P Paku

Appendix 1 – Project Background

Project Goal

A Clifton to Tangoio Coastal Hazards Strategy will be developed in co-operation with the Hastings District Council (HDC), the Hawke’s Bay Regional Council (HBRC), the Napier City Council (NCC), and groups representing Mana Whenua and/or Tangata Whenua. This strategy will be developed to provide a framework for assessing coastal hazards risks and options for the management of those risks for the next 105 years from 2015 to 2120.

The long term vision for the strategy is that coastal communities, businesses and critical infrastructure from Tangoio to Clifton are resilient to the effects of coastal hazards.

Project Assumptions

The Coastal Hazards Strategy will be based on and influenced by:

· The long term needs of the Hawke’s Bay community

· Existing policies and plans for the management of the coast embedded in regional and district council plans and strategies.

· Predictions for the impact of climate change

· The National Coastal Policy Statement

Project Scope

The Coastal Hazards Strategy is primarily a framework for determining options for the long term management of the coast between Clifton and Tangoio. This is expected to include:

· An assessment of the risk from natural hazards with the potential to impact on the coastal environment. This may include a range of return periods for each hazard and a determination of acceptable risk to the community for various return period events.

· Sea level rise and increased storminess predicted to occur as a result of climate change and a determination of acceptable risk to the community for various scenarios.

· Identification of areas of community risk and/or specific community risks and opportunities for improving community resilience. This may include a protocol for assessing community consequences and comparing and prioritising mitigation approaches.

· Approaches to quantify the potential impacts including computer modelling and specific underlying parameters and assumptions that are used in the development of those models.

· Stakeholder involvement and participation.

· Protocols for expert advice and peer review.

· An action plan of ongoing activity assigned to various Members.

The Strategy will:

· Describe a broad vision for the coast in 2120, and how the Hawke’s Bay community could respond to a range of possible scenarios which have the potential to impact the coast by 2120.

· Propose policies to guide any intervention to mitigate the impact of coastal processes and hazards through the following regulatory and non-regulatory instruments:

o Regional Policy Statement

o District Plans

o Council long-term plans

o Infrastructure Development Planning (including both policy and social infrastructure networks).

HAWKE’S BAY REGIONAL COUNCIL

Wednesday 25 March 2015

Subject: Appointment of Finance, Audit and Risk Sub-committee Members

Reason for Report

1. At the Council meeting on 25 February, Council resolved to establish a Finance, Audit and Risk Sub-committee of the Corporate & Strategic Committee, and adopt the Terms of Reference including amendments as agreed at the Corporate and Strategic Committee, with the appointees to be determined at the March Council meeting.

2. The purpose of this report is to appoint councillors to the sub-committee. The first meeting of the sub-committee is scheduled for 21 April 2015.

Discussion

3. The Terms of Reference for the Finance, Audit and Risk sub-committee provides for the following responsibilities:

3.1. Consider the appropriateness of the Council’s existing accounting policies and principles and any proposed changes

3.2. Enquire of internal and external auditors for any information that affects the quality and clarity of the Council’s financial statements and statements of service performance, and assess whether appropriate action has been taken by management in response to this

3.3. Satisfy itself that the financial statements and statements of service performance are supported by adequate management signoff and adequate internal controls and recommend adoption of the Annual Report by Council

3.4. Confirm that processes are in place to ensure that financial information included in Council’s Annual Report is consistent with the signed financial statements

3.5. Review whether Council management has in place a current and comprehensive risk management framework and associated procedures for effective identification and management of the council’s significant risks

3.6. Undertake periodic monitoring of corporate risk assessment, and the internal controls instituted in response to such risks

3.7. Undertake systematic reviews of Council operational activities against Council stated criteria

3.8. Confirm the terms of appointment and engagement of external auditors, including the nature and scope of the audit, timetable, and fees

3.9. Receive the external audit report(s) and review action to be taken by management on significant issues and audit recommendations raised within the report(s)

3.10. Conduct a committee members-only session with external audit to discuss any matters that the auditors wish to bring to the Committee’s attention and/or any issues of independence

3.11. Review the effectiveness of the system for monitoring the Council’s compliance with laws (including governance legislation, regulations and associated government policies), Council’s own standards, and best practice guidelines; including health and safety.

4. The Terms of Reference also provide for an external appointee to the sub-committee. The external appointee brings an independent view to the sub-committee and can be appointed to provide skills or experience that would be useful to the sub-committee. It is therefore suggested that no external appointee be considered until the councillor appointees are determined. The sub-committee could be tasked with identifying potential external appointees with a final decision to be made by Council.

5. Following the appointment of the four councillors on to the sub-committee one of the appointees should be appointed as Chairman.

Decision Making Process

6. Under the Local Government Act 2002 (LGA) Council has a specified power and mandate to establish such committees, sub-committees and other subordinate decision making bodies that it considers appropriate. Therefore, staff do not believe that the decision making process contained within the LGA applies in this instance.

Recommendations

That Council:

2. Nominates Councillor xx for the membership on the Finance, Audit and Risk Sub-committee.

3. Elects Councillor xx to the Finance, Audit and Risk Sub-committee.

4. Nominates Councillor xx for the membership on the Finance, Audit and Risk Sub-committee.

5. Elects Councillor xx to the Finance, Audit and Risk Sub-committee.

6. Nominates Councillor xx for the membership on the Finance, Audit and Risk Sub-committee.

7. Elects Councillor xx to the Finance, Audit and Risk Sub-committee.

8. Nominates Councillor xx for the membership on the Finance, Audit and Risk Sub-committee.

9. Elects Councillor xx to the Finance, Audit and Risk Sub-committee.

10. Nominates Councillor xx as Chair of the Finance, Audit and Risk Sub-committee.

11. Elects Councillor xxx as Chair of the Finance, Audit and Risk Sub-committee.

Liz Lambert

Chief Executive

Attachment/s

There are no attachments for this report.

HAWKE’S BAY REGIONAL COUNCIL

Wednesday 25 March 2015

SUBJECT: Appointment of Representative to the HB Sports Council

Reason for Report

1. Collaborative stakeholder groups provide HBRC with valuable input into policy, plan and strategy development processes.

2. Councillors are also appointed to various external bodies where representation from the HBRC has been requested, and/or where HBRC has a financial interest.

3. The role of councillors on these various organisations is not to direct or lead the group (except where appointed by the group to do so) but instead to inform the group of Council’s view and to act as a conduit for the group back to Council.

4. At the commencement of the current Council term Councillor Barker was appointed to represent HBRC on the Hawke’s Bay Sports Council. Councillor Barker regretfully advises that he is no longer able to fulfil this obligation and a replacement appointee is sought.

Discussion

Hawke’s Bay Sports Council

5. The Hawke’s Bay Sports Council is a forum of members directly involved in the provision of sport and active recreation opportunities for the people of Hawke’s Bay. It exists to ensure that those organisations with fundamental roles in the provision of sport and active recreation opportunities engage in a collaborative, structured, transparent and strategic manner to ensure a successful regional model for sport and active recreation provision.

6. The Council meets on a quarterly basis at Sport Hawke’s Bay’s offices.

7. It is recommended that one councillor be appointed to the Hawke’s Bay Sports Council.

Decision Making Process

8. Council is required to make a decision in accordance with the requirements of the Local Government Act 2002 (the Act). Staff have assessed the requirements contained in Part 6 Sub Part 1 of the Act in relation to this item and have concluded the following:

8.1. The decision does not significantly alter the service provision or affect a strategic asset.

8.2. The use of the special consultative procedure is not prescribed by legislation.

8.3. The decision does not fall within the definition of Council’s policy on significance.

8.4. The persons affected by this decision are all persons with an interest in the Council’s management of regional resources.

8.5. Options that have been considered include not making any appointments to the HB Sports Council.

8.6. The decision is not inconsistent with an existing policy or plan.

8.7. Given the nature and significance of the issue to be considered and decided, and also the persons likely to be affected by, or have an interest in the decisions made, Council can exercise its discretion and make a decision without consulting directly with the community or others having an interest in the decision.

Recommendations

That Council:

2. Appoints Councillor __________ as its representative to the Hawke’s Bay Sports Council.

Liz Lambert

Chief Executive

Attachment/s

There are no attachments for this report.

HAWKE’S BAY REGIONAL COUNCIL

Wednesday 25 March 2015

Subject: Appointment of Regional On-Scene Commander

Reason for Report

1. This paper is to confirm the appointment of a new Regional On-Scene Commander, and to affirm the appointments of the current Regional On-Scene Commanders pursuant to Section 318 (1) of the Maritime Transport Act 1994.

Approval Process

2. While Section 2.1.1 of the Hawke’s Bay Regional Marine Oil Spill Contingency Plan (Tier 2 Plan) names the Regional On-Scene Commanders (ROSC) as Ian Lilburn, with Iain Maxwell, and Don Scott as the Alternate Regional On-Scene Commanders, it also notes only Regional On-Scene Commanders with appropriate current Maritime New Zealand (MNZ) qualifications are able to act in this role.

3. Council received a letter from the Director of MNZ dated 6 March 2015, Reference OSC15A advising Iain Maxwell, following successful completion of Maritime’s On-Scene Commander course, is approved for appointment as a Regional On-Scene Commander. While both Ian Lilburn and Don Scott where approved and appointed several years ago, both re-qualified as Regional On-Scene Commanders on 9 June 2014 and letters of approval were received from the Director of MNZ dated 25 August 2014 Ref OSC14.

4. Under Section 318 of the Maritime Transport Act 1994 regional councils must from time to time appoint a regional on-scene commander, subject to the approval of the Director of Maritime New Zealand.

Financial and Resource Implications

5. Hawke’s Bay is provided with sufficient equipment, training and other resources to allow it to effectively respond to small and larger spills (Tier 2) within the coastal marine area. In the event of a larger, or more catastrophic spill, we can expect the support of Maritime New Zealand.

6. The plan provides financial authority for the appointed Regional On-Scene Commanders to expend up to $250,000 in a response, subject to Plan requirements and MNZ qualifications.

7. Costs are recovered from the spiller or the Marine Pollution Fund administered by Maritime New Zealand.

Next Steps

8. Now that we have the Director’s approval, Council can formally appoint Iain Maxwell as a Regional On-Scene Commander, and reaffirm the appointments of Ian Lilburn and Don Scott following their requalification and approval on 25 August 2014.

Decision Making Process

9. Council is required to make a decision in accordance with the requirements of the Local Government Act 2002 (the Act). Staff have assessed the requirements contained in Part 6 Sub Part 1 of the Act in relation to this item and have concluded the following:

9.1. The decision does not significantly alter the service provision or affect a strategic asset.

9.2. The use of the special consultative procedure is not prescribed by legislation.

9.3. The decision does not fall within the definition of Council’s policy on significance.

9.4. The persons affected by this decision are the Regional On-Scene Commanders themselves, all Hawke’s Bay ratepayers, coastal communities and the maritime industry.

9.5. Council has a statutory responsibility under Section 318 of the Maritime Transport Act 1994 to appoint a regional on-scene commander from time to time, subject to the approval of the Director of Maritime New Zealand. Therefore no alternative options have been considered.

9.6. The decision is not inconsistent with an existing policy or plan.

9.7. Given the nature and significance of the issue to be considered and decided, and also the persons likely to be affected by, or have an interest in the decisions made, Council can exercise its discretion and make a decision without consulting directly with the community or others having an interest in the decision.

Recommendations

That Council:

2. Appoints Iain Maxwell as Regional On-Scene Commander in accordance with Section 318 of the Maritime Transport Act 1994, following the approval from the Director of Maritime New Zealand dated 6 March 2015.

3. Reaffirms Ian Lilburn and Don Scott as Regional On-Scene Commanders in accordance with Section 318 of the Maritime Transport Act 1994 and the approval from the Director of Maritime New Zealand dated 25 August 2014.

Lisa Pearse

Emergency Management Coordinator

Liz Lambert

Chief Executive

Attachment/s

There are no attachments for this report.

HAWKE’S BAY REGIONAL COUNCIL

Wednesday 25 March 2015

Subject: Confirmation of HBRIC Ltd Board of Directors Appointments

Reason for Report

1. The current directors of Hawke’s Bay Regional Investment Company (HBRIC) Ltd have been appointed, and had their various terms of appointment extended, via a series of different council decisions at various dates. These have included decisions approving the Statement of Intent rather than specific decisions to approve the terms of individual director appointments.

2. The date of appointment of a permanent Board has recently been determined by HBRC to be 1 July 2015 if, and only if, RWSS financial close is achieved by that date. It has become clear that the current timing of the consenting decision process makes 30 June 2015 an impossible date for such appointments.

3. It is desirable and prudent to clarify the term of appointment for the current directors, for a suitable period to bring the RWSS project to a conclusion, and to allow sufficient time for HBRC to complete its process to appoint a mix of independent and councillor directors to the permanent Board.

Discussion

4. The various dates that have been selected for Financial Close on the RWSS in the past have been predicated on the expected conclusion of the regulatory process for the Tukituki Catchment Proposal i.e. Plan Change 6 and RWSS resource consents. HBRIC Ltd has decided that the definition of financial close for the RWSS projects is to be the date four months post receipt of consents that are workable for the RWSS and no longer subject to further appeals or legal challenge.

5. On 12 March 2015 the Board of Inquiry Issued Minute 41 which has provided parties with a progress report in relation to the matters referred back to the Board by the High Court. To ensure that parties have a fair opportunity to comment on the final version of Rule TT1(j) and also on any consequential amendments to the RWSS consent conditions, the Board will issue a draft decision which will be open for comment for a period of 10 working days.

6. The Board hopes that a draft decision will be issued by the end of April 2015. A final decision will be issued by the Board as soon as possible after comments relating to the draft report have been considered.

7. In the HBRIC Ltd Update paper, also on this agenda, HBRIC Ltd has provided a scenario and budget for the period to February 2016, the latest date for Financial Close of a range of scenarios it has considered.

8. In addition to this HBRIC Ltd directors consider it would be prudent to allow sufficient time post-Financial Close for HBRC to run its process for selecting Councillors and independent directors to ensure a smooth transition to the permanent Board. It is suggested that HBRC may wish to have a period of not less than 60 days and not more than 90 days for this purpose.

9. It may also be appropriate for an incoming Board to commence at the start of the financial year, i.e. 1 July 2016.

Decision Making Process

10. Council is required to make a decision in accordance with the requirements of the Local Government Act 2002 (the Act). Staff have assessed the requirements contained in Part 6 Sub Part 1 of the Act in relation to this item and have concluded that:

10.1. The decision does not significantly alter the service provision or affect a strategic asset.

10.2. The use of the special consultative procedure is not prescribed by legislation.

10.3. The decision does not fall within the definition of Council’s policy on significance.

10.4. The persons affected by this decision are councillor and independent directors of the HBRIC Ltd Board.

10.5. The decision is not inconsistent with an existing policy or plan.

10.6. Given the nature and significance of the issue to be considered and decided, and also the persons likely to be affected by, or have an interest in the decisions made, Council can exercise its discretion and make a decision without consulting directly with the community or others having an interest in the decision.

Recommendations

That Council:

2. Approves the re-appointment, subject to each person’s agreement, of:

2.1. Danelle Raewyn Dinsdale

2.2. David John Faulkner

2.3. Andrew John Pearce (Chairman)

2.4. Samuel Amuri Robinson, and

2.5. James Allan Scotland

as directors of HBRIC Ltd until the earlier of 30 June 2016 or 60 days post-Financial Close of the Ruataniwha Water Storage Scheme.

Liz Lambert

Chief Executive

Attachment/s

There are no attachments for this report.

HAWKE’S BAY REGIONAL COUNCIL

Wednesday 25 March 2015

Subject: RWSS financing request of the Regional Council

Reason for Report

1. The annexed paper (Attachment 1) has been received from HBRIC Ltd. It seeks shareholder approval for a borrowing facility to meet the costs for the RWSS project incurred by delays to the consenting process.

2. In December 2014 HBRIC Ltd first discussed with HBRC the potential financial impacts to HBRIC Ltd of delays caused by the Board of Inquiry/High Court consenting process. This was further traversed in the February 2015 HBRIC Ltd update to Council where HBRC was advised that HBRIC Ltd’s application to the Irrigation Acceleration Fund did not meet the IAF criteria for funding of geotechnical work. At the time HBRIC Ltd was waiting on a decision from CIIL and has since been advised by CIIL that this tranche of work does not meet the CIIL definition of “investment ready”.

3. HBRIC Ltd is therefore looking at the option of debt financing and requires Council approval for this. The Chairman of HBRIC Ltd will be attending the meeting for this paper.

Discussion

4. The existing situation is as follows.

4.1. HBRIC Ltd was initially established with a very constrained set of rules over the financing activity of the company. It has a balance sheet that is 100% equity.

4.2. HBRIC Ltd is also required to pay 100% of their net profit as dividend to their shareholder. This means that HBRIC Ltd does not have any retained earnings.

4.3. HBRIC Ltd is also prevented from borrowing, without shareholder approval, by their Statement of Intent.

5. HBRIC Ltd is requesting to be able to borrow up to the lesser of 2% value of their balance sheet equity on 30 June 2015 or $4million, either from HBRC or from banking sources, or from CIIL. Two per cent of the balance sheet as debt is a very low level of gearing, which for many CCTOs would be up to 30%.

6. Provision for allowing HBRIC Ltd to be able to borrow funds within a confined range makes sound commercial sense. Any borrowing under this scenario would be required to be reported on by HBRIC Ltd during its regular update reporting to HBRC.

Decision Making Process

7. Council is required to make a decision in accordance with the requirements of the Local Government Act 2002 (the Act). Staff have assessed the requirements contained in Part 6 Sub Part 1 of the Act in relation to this item and have concluded the following:

7.1. The decision does not significantly alter service provision but does affect a strategic asset.

7.2. The use of the special consultative procedure is not prescribed by legislation.

7.3. The decision does not fall within the definition of Council’s policy on significance.

7.4. The persons affected by this decision are the Board of HBRIC Ltd.

7.5. Options that have been considered are outlined in the paper.

7.6. The decision is not inconsistent with an existing policy or plan.

7.7. Given the nature and significance of the issue to be considered and decided, and also the persons likely to be affected by, or have an interest in the decisions made, Council can exercise its discretion and make a decision without consulting directly with the community or others having an interest in the decision.

Recommendations

That Council:

2. Approves HBRIC Ltd being able to borrow up to the lesser of 2% of the value of its balance sheet equity on 30 June 2015 or the sum of $4 million either from Council, or from banking sources, or from CIIL; whichever provides the best combination of financial terms and other requirements.

3. Notes that, if the proposed borrowing is approved by Council, HBRIC Ltd will report on the extent of drawdown of debt finance and the purpose for which it has been used as part of its regular reporting to Council.

Liz Lambert

Chief Executive

Attachment/s

RWSS Financing Request of the Regional Council

HBRIC Ltd and RWSS March 2015 Update

Attachment 1

HAWKE’S BAY REGIONAL INVESTMENT COMPANY LIMITED (HBRIC Ltd)

Report to Hawke’s Bay Regional Council

25 March 2015

Summary

This report covers the following issues:

· HBRIC Ltd Strategic Planning and Risk Assessment process;

· Progress report on each RWSS work stream;

· The RWSS work programme through to 31 March 2015; and

· HBRIC Ltd February 2015 Financial Report.

HBRIC LTD Strategic Plan and Risk assessment process

Governed by the principles adopted by the Regional Council on 29 October 2014, HBRIC Ltd is progressing with a strategic planning and formal risk assessment process. HBRIC Ltd has engaged John Mendzela of Mendhurst Associates to facilitate this task.

As the outcomes of this process take shape HBRIC Ltd will be seeking to engage with the Council on an interactive process to ensure the ultimate outcome is owned by the shareholder and consistent with and supportive of the Councils broader objectives.

RWSS development

Consent Work-stream

The Board of Inquiry (the Board) review of Plan Change rule TT1(j) and what, if any, amendment to the RWSS land use consent conditions is moving slowly. The Board released a Memorandum on 12 March suggesting a timeline for a draft decision as being the end of April with a final by approximately mid-May.

Earlier the Board had approached Justice Collins of the High Court seeking clarification of some seeming ambiguity in his decision. The response was that the process was out of his hands but that he was happy to assist provided all submitters to the High Court process agreed. HBRIC Ltd agreed to this process but some submitters did not and as a consequence this potential step is no longer part of the Board’s process.

All the RWSS consents have, however, been granted. The granting of the consents is beyond appeal and amendments, if any, to the RWSS consents cannot frustrate the application of those consents.

Because of the slow rate of progress to date, and the possibility of further delays which are not within HBRIC Ltd’s control, we have decided to set Financial Close as being the date four months post receipt of consents that are workable for the RWSS and are no longer subject to further appeal processes.

Design and Construction

The HBRIC Ltd Board is maintaining a “wait and see” position regarding the Board of Inquiry’s consideration of the RWSS consents before considering whether or not to progress with geotechnical work on the dam foundations, diversion tunnel and headrace. Clearly this consideration is governed by the ability to finance any such work.

Land Transactions

The proposed land swap between the Department of Conservation and HBRIC Ltd, which is subject to a statutory process being undertaken by DOC, has received some publicity in recent times. We expect a decision on this arrangement by the end of March and note that any transaction clearly remains conditional on the RWSS proceeding.

Water uptake

RWSS Database Summary as at 19 March 2015

Key to Funnel Stages	Stage 3 and above 26,881
0 - Opportunity
1 - Individual visit
2 – Second visit
3 – Volume and Area confirmed, Contract Requested
4 – Agreement populated
5 – Agreement with WU and Professionals
6 – Signed
NP – Not progressing

	Funnel Stage
Detail	6	5	4	3	2	1	0	NP	Totals
FMI’s in each stage	38	37	4	8	31	128	84	48	378	FMI’s

New water in m³ (000)	11,357	5,176	830	3,677	8,667	11,970	209	-	41,967	Water (000)
Deep water in m³ (000)	3,804	1,062	-	200	1,735	4,670	75	-	11,546
Total water in m³ (000)	15,161	7,013	830	3,877	10,402	16,640	365	-	54,288
FMI data provided for	38	37	4	8	26	54	4	-	171
% detail provided*	100%	100%	100%	100%	84%	42%	5%	0%	45%

* Represents the number of FM’s that detail is captured for dividend by the FMI’s in this stage

Notes

Potential water users have now in total requested contracts for c. 27M m³ of water and over 15M of those have signed and returned the contracts to HBRIC Ltd. It is worth noting that the properties that have requested contracts are looking initially on average to irrigate 60% of their irrigable area. If they elected to irrigate to their full potential purely on a hectares basis then their volume would increase to 42M m³ of water.

Based on the current water volumes we are seeing contracted we would be able to irrigate circa 28,000 ha however we expect the volume per ha to increase in time which could lead to this footprint reducing slightly.

We continue to increase the detail of information we hold on individual properties in the proposed irrigation footprint. We have identified 35,000 ha of irrigable land so far and expect this to increase to approximately 40,000 ha in time.

In summary, these results (irrigable ha vs ha being initially contracted and volumes per ha) indicate a hedging behaviour which is to be expected – potential customers are in many cases expecting to expand irrigable area over time, and they are on average contracting at the 70% level whereas professional advice would suggest contracting at an 85% level will drive higher productivity.

Our sales process over the next three months anticipates the following focus, assuming we maintain the investment and resourcing in this workstream:

a. Converting as many 3s-5s to 6s as possible in March/early April

b. In April May we focus on moving 0s/1s/2s to 3s i.e., we build real depth into the pipeline

c. In June we focus on moving 3s to 6s

d. This does not mean we lose sight of the whole pipeline but rather that resource allocation is differentially weighted through these phases.

Of the properties visited some 48 or approx. 12% have indicated that they are not proceeding with the reasons either being they are looking to change the property tenure or in a couple of cases, simply due to physical constraints associated with irrigation, i.e. property shape, scale etc. Very occasionally the reason given for not proceeding is opposition to irrigating altogether or opposition to the RWSS specifically. There are nine parties in this category. We are gathering information on the potential irrigable area for each of these properties as if sold a new owner may in fact be interested in irrigating.

Financing

As advised in December, Due Diligence (DD) work is underway and will be in part relied on by other investors such as CIIL and Institutional and Banks (in the event of debt finance). The DD process is scoped for the most demanding of financiers – bank debt.

We have active interest from three Institutional parties all capable of funding the institutional tranche in their own right.

HBRIC Ltd Financial REPORT

Table 1 sets out the February 2015 Financial Report for HBRIC Ltd.

The report sets out the actual costs incurred for both the month and the year to date against the full year budget and reforecast to 30 June 2015 (operating) and project budget to 31 March 2015 (RWSS phase 2 development expenditure).

As part of the presentation of the January 2015 Financial Report for HBRIC Ltd it was requested by Council that HBRIC Ltd provide detail of the monthly budget for which a comparison of the actual costs can be made, and that a copy of the HBRIC Ltd Parent Balance Sheet also be provided. Detail of the monthly budget has been incorporated into Table 1, with a copy of the HBRIC Ltd Parent Balance Sheet set out separately in Table 2.

A summary of the key elements outlined in the report for the month of February is as follows:

OPERATING INCOME & EXPENDITURE

There was a total of $33,689 of operating expenditure in the month of February with a breakdown of these costs set out as follows:

- $14,500 for Board Fees for the Chairman and four non-executive Directors.

- $12,734 for Management Services provided by HBRC staff.

- $2,000 for Consultancy Fees which includes preparation costs for the facilitation of a risk workshop, and fees for the independent RWS Board Committee member for the month of February.

- $4,455 for other expenditure which includes meeting expenses, travel and expenditure for Directors and the independent RWS Board Committee member, and accruals for audit fees and insurance.

RWSS PHASE 2 DEVELOPMENT EXPENDITURE

The total RWSS Phase 2 Development Expenditure budget to 31 March 2015 reflects the most recent reforecast budget approved by Council on 27 August 2014.

Details of the expenditure for the month of February are set out following.

RWSS Phase 2 Costs ($185,883)

The $49,866 of HBRC internal staff time for January covers a number of work streams including:

- Ongoing landowner liaison meetings with dam, reservoir and Zone M landowners.

- Ongoing investor negotiations.

- Ongoing negotiations with OHL-Hawkins with respect to early works and geotechnical programme.

- Work associated with new consent applications.

- Work associated with identifying and quantifying downstream user opportunities.

- Input into various due diligence studies.

- Ongoing project management.

An accrual of $50,000 for work associated with due diligence studies which will be in part relied on by other investors.

The $86,017 of Other Consultants costs covers off a number of pieces of work including:

- Various landowner negotiations which includes meeting and negotiating with landowners and receipts of letters of intent.

- Development of phase 3 construction and commissioning work programme for Technical Advisor role.

- Water contract and sales advisory costs.

- Work associated with new consent applications.

- Other miscellaneous expenditure including meeting and travel expenses.

EPA Process Costs ($35,928)

An accrual of $35,928 for the month of February that relates to the costs associated with the High Court’s decision to refer the matter back to the Board of Inquiry. The budget provision for this work stream reflects additional external consultant costs to undertake the process through the BOI and costs from the EPA. At this point in time this is just an estimate with no indication provided from the EPA as to the level of fees expected.

RWSS Project Reforecast

As outlined in an earlier section of this report it is projected that the Financial Close date will be four months post receipt of consents that are workable for the RWSS and are no longer subject to further appeal processes. On this basis, and consistent with the reforecast budget presented in item 15, a project reforecast through to February 2016 has been provided in Table 1.

HAWKE’S BAY REGIONAL COUNCIL

Wednesday 25 March 2015

SUBJECT: Monthly Work Plan Looking Forward Through April 2015

Reason for Report

1. The table below is provided for Councillors’ information, to provide them with an indication of issues and activities coming up over the next month in each area of Council.

Group	Area of Activity	Activity Status Update
External Relations/ CE’s office		- Continued liaison with stakeholders, including NGR, on the form of future work on the Napier-Gisborne line - LTP Consultation – four public meeting between release of Consultation document and April Council meeting (Taradale, Havelock North, CHB, Hastings)
Corporate Services		- LTP consultation commences – 10 April 2015 - Inaugural meeting of the Finance Audit and Risk Subcommittee on 21 April 2015 - Finance internal audit to be carried out by Pricewaterhouse Coopers in April 2015
Civil Defence & Emergency Management	Emergency Readiness & Response Reduction	- Review of the region’s control and coordination facilities including TLA emergency operations centres and Group emergency coordination centre now complete. Implementation plan now being developed - Group Structure and Resourcing Review now decided by CEG. Decision to be considered for endorsement by Joint Committee in late March - In conjunction with these reviews developing detailed Group Work Programme to implement Group Plan. - Planning for major Group exercise 11-12 November 2015 is progressing well.
Asset Management & Biosecurity	Coastal Biosecurity	- Coastal strategy development continues, programme of technical work has commenced following agreement by governance group and HBRC Tenders Committee at their meeting in March. - A review of tendering and contracting procedures has been completed and is being implemented. Most of the 2015-16 biosecurity work will be tendered in April. - The Cape to City widescale predator control project is underway. Activities include a wireless trap monitoring trial and community focus groups on citizen science biodiversity monitoring. - HBRC staff continue to participate in a collective Regional Pest Management Plan process with other RC staff. Possible opportunities for RPMP rule alignment are an early part of the collective discussion. - The National Policy Direction under the Biosecurity Act 1993 will be promulgated in early June/July 2015.
Asset Management & Biosecurity	Engineering	- Asset Management Plans to be updated following peer review. AMP’s will include programmes of work set out in draft LTP and 30 year infrastructure strategy. Further work needed on budgets and long term programmes before able to be considered by Council for adoption. Now programmed for May or July E&S meeting. - The gravel resource and supply and demand assessment reports expected end of February. These will be circulated to gravel extractors once they are to hand. - A programme for levels of service reviews for the Heretaunga Plains drainage areas will be progressed. - Upper Tukituki Scheme review programme agreed at March E&S Committee. Public meeting outlining proposed review to be arranged in CHB during March or early April.
Asset Management & Biosecurity	Land Management	- The land management team is nearly back to a full complement of staff with the recent appointments of Colin Tyler (Senior Land Management Advisor) and Paul Train (Land Management Advisor) who will be involved in a range of Land Management functions. They will have particular emphasis on the progression of the FEMP process, engaging with a variety of external stakeholders and helping support understanding and implementation of PC6 with Landholders in the Tukituki. - A number of meetings have been held recently with a range of potential private and industry providers of FEMPs to understand both our needs and outline what role they can provide. The Beef & Lamb FEMP template has been accredited for use in Hawke’s Bay and the DairyNZ template is currently going through the consideration process. Meetings will be held in April with a steering group of established FEMP providers to assist in the development of the accreditation and auditing processes. - The final preparations for the Manuka and Profitable Marginal Land Use conference will be undertaken in April. The conference will be held May 6 at the Napier War Memorial Hall http://www.hbrc.govt.nz/News-Events/Media-Releases/Pages/Manuka,-Marginal-Land-Use-Seminar.aspx Speakers will be covering topics like Tree’s for Bee’s, Manuka Honey, results from trials around the country and a visit to the trial site at Tutira. - A case study is being developed between Landcare Research and HBRC to investigate how their science can better integrate into our policy implementation work in the Tukituki priority sub-catchments. Through the use of systems thinking the case study will explore the implications of decision making trade-offs on environmental outcomes and how science can be used to inform these decisions.
Resource Management	Compliance	- The Central Hawke’s Bay District Council Wastewater Treatment plant at Waipawa is required to have a new clarifier refitted by 25 April and installed by 8th May. Will continue to work with CHBDC to ensure time frames [as set out in the abatement notice] are being met. - The Central Hawke’s Bay District Council Wastewater Treatment plant at Waipukurau is required to have site works completed in preparation for the installation of a new clarifier by 24 April. Will continue to work with CHBDC to ensure time frames [as set out in the abatement notice] are being met. - Te Mata Mushrooms have ongoing odour discharge problems and have not completed the construction of an enclosed building as required by their resource consent. We continue to work with the company and residents to find a solution. Legal advice has been sought before deciding on a way forward. - Work will continue on a region wide risk assessment and review of the current navigational safety work programme due for completion by 1 July 2015.
Resource Management	Science	- Environet Ltd will undertake an Air Emissions Inventory this winter. - PM₁₀ monitoring at Port Ahuriri School will commence at the start of April. Work will commence to reconfigure the Awatoto and St John’s College PM₁₀ monitoring sites to allow additional PM_2.5 monitoring. - A study is underway looking at the drivers of extreme weather events (droughts, heavy rainfall) and should be completed by June. - Land use mapping continues in the TANK catchments - Ngaruroro Biodiversity report to be reviewed - S-mapping (soil mapping) to continue in the TANK catchments - Sediment modelling continuing in the TANK catchments - Peat soil workshop to be held early April - The land-science sections of the Mohaka Characterisation report under review - Upgrade of iQuest loggers continues - Waiau at Otoi site will be transferred from NIWA to HBRC - Parks Peak rain gauge site will receive a full upgrade - Weed surveys will be undertaken to understand effect of diquat herbicide - Tukipo gauging weir will be repaired and refurbished - Envirolink medium advice grant focused on developing a decision support system for management of intermittently open and closed lake/lagoons (ICOLLs), specifically directed at Whakaki Lake - Preliminary results of model simulations from University of Waikato Lake Tūtira work, investigating alternative management scenarios for the lake will be received - Ongoing trials will occur to test potential ramps for overcoming fish barriers – looking at designs for pre-fabricated fish ramps - Surveys of inanga populations in urban stream environments, with DoC - Cawthron Institute is continuing to work on MCI regional optimisation, improving current MCI predictive models to suit regional studies and regional limit-setting - Work continues on developing the TANK steady-state groundwater model, including preparation of datasets for the modelling - Data on spatial-oxygen distributions in the Karamu catchment will be examined - Preparation of data for the surface water and groundwater State of the Environment technical reports continues - Various systems projects will be undertaken intended to ensure continued compliance with the ISO9001:2008 registration standards for a quality management system
Strategic Development	Transport	- The Regional Public Transport Plan and the Regional Land Transport Plan are due to be signed off by the Council in April. - The draft Regional Cycle Plan will be signed off by the governance group in March and then presented to the respective councils before the final version is adopted in May 2015. - Work is underway to complete the HBRC Transport Procurement Strategy, which needs to be approved by NZTA before we can commence re-tendering the bus service in mid-2015. - A Hawke’s Bay Bus User’s Group has been established to provide a forum for testing new ideas and hearing feedback on the service. - Tori Morrison has been appointed as Road Safety Coordinator for Central Hawke’s Bay and we are seeking a coordinator for Wairoa District.
Strategic Development	Resource Management Planning	- Still awaiting Environment Court’s decision on two outstanding appeal points by NKII against Change 5. Hearing was held 3 & 4 December 2014. - Work continues on PC6 Implementation Plan across Council groups. - TANK Group meeting #15 held on 10 March 2015. Next meetings are currently being scheduled to fit work programme. - Setup phases continue for project funded by MfE’s Community Environment Fund ($80K) to develop criteria and methodology for the identification of ‘outstanding freshwater bodies’ in the context of the NPSFM2014. - Regional Biodiversity Strategy Steering Group has worked through public feedback received on the Draft strategy and the document is being finalised. - Whakatu arterial roading designation hearing held on 2 February by commissioner appointed by Hastings DC. Decision is pending. - Hastings DC’s district plan hearings continue into the first quarter of 2015. - Napier CC District Plan Change 10 hearing scheduled for 23-24 March. - All parties involved in HBRC’s appeal against HastingsDC’s decision to grant consent for 15 lot subdivision at Whirinaki have agreed to participate in Environment Court-assisted mediation. No date for mediation has been scheduled yet. - Draft decision from Board of Inquiry expected by end of April 2015 and a 10 working day period for comments will follow before the final decision is made.
Strategic Development	Economic Development	- Business Hub – Establishment project for April launch, including on-site matters and membership of Governance Group. - REDS – agreement has been reached with HDC and NCC for a jointly managed review of REDS. Underway. - Maori Economic Development. – Underway, looking at how this should be aligned with the REDS review. - Wairoa Agribusiness - Ata Milk market validation study due shortly. We have also received an initial request to support a business attraction study to be managed between the Icehouse and the Wairoa HorizonsTrust. - Non-bovine dairy – building towards BHB-led ‘symposium’ later in the year. - As required and where appropriate, support RWSS work-streams.

Group

Area of Activity

Activity Status Update

External Relations/
CE’s office

- Continued liaison with stakeholders, including NGR, on the form of future work on the Napier-Gisborne line

- LTP Consultation – four public meeting between release of Consultation document and April Council meeting (Taradale, Havelock North, CHB, Hastings)

Corporate Services

- LTP consultation commences – 10 April 2015

- Inaugural meeting of the Finance Audit and Risk Subcommittee on 21 April 2015

- Finance internal audit to be carried out by Pricewaterhouse Coopers in April 2015

Civil Defence & Emergency Management

Emergency Readiness & Response

Reduction

- Review of the region’s control and coordination facilities including TLA emergency operations centres and Group emergency coordination centre now complete. Implementation plan now being developed

- Group Structure and Resourcing Review now decided by CEG. Decision to be considered for endorsement by Joint Committee in late March

- In conjunction with these reviews developing detailed Group Work Programme to implement Group Plan.

- Planning for major Group exercise 11-12 November 2015 is progressing well.

Asset Management & Biosecurity

Coastal

Biosecurity

- Coastal strategy development continues, programme of technical work has commenced following agreement by governance group and HBRC Tenders Committee at their meeting in March.

- A review of tendering and contracting procedures has been completed and is being implemented. Most of the 2015-16 biosecurity work will be tendered in April.

- The Cape to City widescale predator control project is underway. Activities include a wireless trap monitoring trial and community focus groups on citizen science biodiversity monitoring.

- HBRC staff continue to participate in a collective Regional Pest Management Plan process with other RC staff. Possible opportunities for RPMP rule alignment are an early part of the collective discussion.

- The National Policy Direction under the Biosecurity Act 1993 will be promulgated in early June/July 2015.

Asset Management & Biosecurity

Engineering

- Asset Management Plans to be updated following peer review. AMP’s will include programmes of work set out in draft LTP and 30 year infrastructure strategy. Further work needed on budgets and long term programmes before able to be considered by Council for adoption. Now programmed for May or July E&S meeting.

- The gravel resource and supply and demand assessment reports expected end of February. These will be circulated to gravel extractors once they are to hand.

- A programme for levels of service reviews for the Heretaunga Plains drainage areas will be progressed.

- Upper Tukituki Scheme review programme agreed at March E&S Committee. Public meeting outlining proposed review to be arranged in CHB during March or early April.

Asset Management & Biosecurity

Land Management

- The land management team is nearly back to a full complement of staff with the recent appointments of Colin Tyler (Senior Land Management Advisor) and Paul Train (Land Management Advisor) who will be involved in a range of Land Management functions. They will have particular emphasis on the progression of the FEMP process, engaging with a variety of external stakeholders and helping support understanding and implementation of PC6 with Landholders in the Tukituki.

- A number of meetings have been held recently with a range of potential private and industry providers of FEMPs to understand both our needs and outline what role they can provide. The Beef & Lamb FEMP template has been accredited for use in Hawke’s Bay and the DairyNZ template is currently going through the consideration process. Meetings will be held in April with a steering group of established FEMP providers to assist in the development of the accreditation and auditing processes.

- The final preparations for the Manuka and Profitable Marginal Land Use conference will be undertaken in April. The conference will be held May 6 at the Napier War Memorial Hall http://www.hbrc.govt.nz/News-Events/Media-Releases/Pages/Manuka,-Marginal-Land-Use-Seminar.aspx Speakers will be covering topics like Tree’s for Bee’s, Manuka Honey, results from trials around the country and a visit to the trial site at Tutira.

- A case study is being developed between Landcare Research and HBRC to investigate how their science can better integrate into our policy implementation work in the Tukituki priority sub-catchments. Through the use of systems thinking the case study will explore the implications of decision making trade-offs on environmental outcomes and how science can be used to inform these decisions.

Resource Management

Compliance

- The Central Hawke’s Bay District Council Wastewater Treatment plant at Waipawa is required to have a new clarifier refitted by 25 April and installed by 8th May. Will continue to work with CHBDC to ensure time frames [as set out in the abatement notice] are being met.

- The Central Hawke’s Bay District Council Wastewater Treatment plant at Waipukurau is required to have site works completed in preparation for the installation of a new clarifier by 24 April. Will continue to work with CHBDC to ensure time frames [as set out in the abatement notice] are being met.

- Te Mata Mushrooms have ongoing odour discharge problems and have not completed the construction of an enclosed building as required by their resource consent. We continue to work with the company and residents to find a solution. Legal advice has been sought before deciding on a way forward.

- Work will continue on a region wide risk assessment and review of the current navigational safety work programme due for completion by 1 July 2015.

Resource Management

Science

- Environet Ltd will undertake an Air Emissions Inventory this winter.

- PM₁₀ monitoring at Port Ahuriri School will commence at the start of April. Work will commence to reconfigure the Awatoto and St John’s College PM₁₀ monitoring sites to allow additional PM_2.5 monitoring.

- A study is underway looking at the drivers of extreme weather events (droughts, heavy rainfall) and should be completed by June.

- Land use mapping continues in the TANK catchments

- Ngaruroro Biodiversity report to be reviewed

- S-mapping (soil mapping) to continue in the TANK catchments

- Sediment modelling continuing in the TANK catchments

- Peat soil workshop to be held early April

- The land-science sections of the Mohaka Characterisation report under review

- Upgrade of iQuest loggers continues

- Waiau at Otoi site will be transferred from NIWA to HBRC

- Parks Peak rain gauge site will receive a full upgrade

- Weed surveys will be undertaken to understand effect of diquat herbicide

- Tukipo gauging weir will be repaired and refurbished

- Envirolink medium advice grant focused on developing a decision support system for management of intermittently open and closed lake/lagoons (ICOLLs), specifically directed at Whakaki Lake

- Preliminary results of model simulations from University of Waikato Lake Tūtira work, investigating alternative management scenarios for the lake will be received

- Ongoing trials will occur to test potential ramps for overcoming fish barriers – looking at designs for pre-fabricated fish ramps

- Surveys of inanga populations in urban stream environments, with DoC

- Cawthron Institute is continuing to work on MCI regional optimisation, improving current MCI predictive models to suit regional studies and regional limit-setting

- Work continues on developing the TANK steady-state groundwater model, including preparation of datasets for the modelling

- Data on spatial-oxygen distributions in the Karamu catchment will be examined

- Preparation of data for the surface water and groundwater State of the Environment technical reports continues

- Various systems projects will be undertaken intended to ensure continued compliance with the ISO9001:2008 registration standards for a quality management system

Strategic Development

Transport

- The Regional Public Transport Plan and the Regional Land Transport Plan are due to be signed off by the Council in April.

- The draft Regional Cycle Plan will be signed off by the governance group in March and then presented to the respective councils before the final version is adopted in May 2015.

- Work is underway to complete the HBRC Transport Procurement Strategy, which needs to be approved by NZTA before we can commence re-tendering the bus service in mid-2015.

- A Hawke’s Bay Bus User’s Group has been established to provide a forum for testing new ideas and hearing feedback on the service.

- Tori Morrison has been appointed as Road Safety Coordinator for Central Hawke’s Bay and we are seeking a coordinator for Wairoa District.

Strategic Development

Resource Management Planning

- Still awaiting Environment Court’s decision on two outstanding appeal points by NKII against Change 5. Hearing was held 3 & 4 December 2014.

- Work continues on PC6 Implementation Plan across Council groups.

- TANK Group meeting #15 held on 10 March 2015. Next meetings are currently being scheduled to fit work programme.

- Setup phases continue for project funded by MfE’s Community Environment Fund ($80K) to develop criteria and methodology for the identification of ‘outstanding freshwater bodies’ in the context of the NPSFM2014.

- Regional Biodiversity Strategy Steering Group has worked through public feedback received on the Draft strategy and the document is being finalised.

- Whakatu arterial roading designation hearing held on 2 February by commissioner appointed by Hastings DC. Decision is pending.

- Hastings DC’s district plan hearings continue into the first quarter of 2015.

- Napier CC District Plan Change 10 hearing scheduled for 23-24 March.

- All parties involved in HBRC’s appeal against HastingsDC’s decision to grant consent for 15 lot subdivision at Whirinaki have agreed to participate in Environment Court-assisted mediation. No date for mediation has been scheduled yet.

- Draft decision from Board of Inquiry expected by end of April 2015 and a 10 working day period for comments will follow before the final decision is made.

Strategic Development

Economic Development

- Business Hub – Establishment project for April launch, including on-site matters and membership of Governance Group.

- REDS – agreement has been reached with HDC and NCC for a jointly managed review of REDS. Underway.

- Maori Economic Development. – Underway, looking at how this should be aligned with the REDS review.

- Wairoa Agribusiness - Ata Milk market validation study due shortly. We have also received an initial request to support a business attraction study to be managed between the Icehouse and the Wairoa HorizonsTrust.

- Non-bovine dairy – building towards BHB-led ‘symposium’ later in the year.

- As required and where appropriate, support RWSS work-streams.

Decision Making Process

2. Council is required to make a decision in accordance with Part 6 Sub-Part 1, of the Local Government Act 2002 (the Act). Staff have assessed the requirements contained within this section of the Act in relation to this item and have concluded that as this report is for information only and no decision is required in terms of the Local Government Act’s provisions, the decision making procedures set out in the Act do not apply.

Recommendation

1. That Council receives the Monthly Work Plan Looking Forward Through April 2015 report.

Mike Adye

Group Manager
Asset Management

Helen Codlin

Group Manager
Strategic Development

Paul Drury

Group Manager
Corporate Services

Ian Macdonald

Group Manager/Controller Hawke's Bay Civil Defence Emergency Management

Iain Maxwell

Group Manager
Resource Management

Liz Lambert

Chief Executive

Attachment/s

There are no attachments for this report.

[1] The Coastal Hazards Strategy is further defined in Appendix 1 to these Terms of Reference.

[2] A description of the Technical Advisory Group and its role is included as Appendix 2 to these Terms of Reference.