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Meeting of the Hawke's Bay Drinking Water Governance Joint Committee

 

Date:                 Friday 2 July 2021

Time:                10.00am

Venue:

Council Chamber

Hawke's Bay Regional Council

159 Dalton Street

NAPIER

 

Agenda

 

Item        Title                                                                                                                            Page

 

1.         Welcome/Karakia/Notices/Apologies

2.         Conflict of Interest Declarations

3.         Confirmation of Minutes of the Hawke's Bay Drinking Water Governance Joint Committee held on 29 March 2021

4.         Call for Minor Items Not on the Agenda                                                                        3

5.         Taumata Arowai Presentation                                                                                       5

6.         Review of Terms of Reference for the Hawke’s Bay Drinking Water Governance Joint Committee                                                                                                                     7

7.         Report on the Joint Committee's Verbal Submission to the TANK Hearing Panel    13

8.         Discussion of Minor Items not on the Agenda                                                            23

 


 

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Hawke's Bay Drinking Water Governance Joint Committee

Friday 02 July 2021

Subject: Call for Minor Items Not on the Agenda

 

Reason for Report

1.      This item provides the means for committee members to raise minor matters they wish to bring to the attention of the meeting.

2.      Hawke’s Bay Regional Council standing order 9.13 states:

2.1       A meeting may discuss an item that is not on the agenda only if it is a minor matter relating to the general business of the meeting and the Chairperson explains at the beginning of the public part of the meeting that the item will be discussed. However, the meeting may not make a resolution, decision or recommendation about the item, except to refer it to a subsequent meeting for further discussion.

Recommendation

That the HB Drinking Water Governance Joint Committee accepts the following “Minor Items Not on the Agenda” for discussion as Item 8:

 

Topic

Raised by

 

 

 

 

 

 

 

Authored by:

Leeanne Hooper

Team Leader Governance

 

Approved by:

Desiree Cull

Strategy and Governance Manager

 

 

Attachment/s

There are no attachments for this report.  


 

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Hawke's Bay Drinking Water Governance Joint Committee  

Friday 02 July 2021

Subject: Taumata Arowai Presentation        

 

Reason for Report

1.      This item introduces Bill Bayfield, Chief Executive of Taumata Arowai, who has been invited by the Committee’s Chair to join the meeting via Zoom.

Introduction

2.      Taumata Arowai became a new Crown entity in March 2021. When the Water Services Bill is passed, expected to be in the second half of 2021, Taumata Arowai will become the country’s dedicated water services regulator.

3.      Bill Bayfield became the establishment Chief Executive of Taumata Arowai in May 2020, following CEO roles at both Environment Canterbury Regional Council and the Bay of Plenty Regional Council. He has also held senior roles at the Ministry for the Environment and Taranaki Regional Council.

Discussion

4.      Bill Bayfield will present to the Committee on the role and purpose of Taumata Arowai, the approach it is taking, and how it will work to deliver the standards and rules to achieve acceptable solutions. He will also cover transitional arrangements.

5.      The table below gives an at-a-glance overview of the roles of respective agencies in working to implement Te Mana o Te Wai. 

 

Freshwater

 

Drinking Water

 

Wastewater

 

Stormwater

Regulator

Regional Councils

 

Taumata Arowai

 

Regional Councils

 

Regional Councils

 

 

 

 

 

 

 

 

Oversight

Ministry for the Environment

 

Department of Internal Affairs

 

Taumata Arowai

 

Taumata Arowai

 

 

 

 

 

 

 

 

Policy

Ministry for the Environment

 

Ministry of Health

 

Ministry for the Environment

 

Ministry for the Environment

6.      Mr Bayfield will respond to any questions from members of the Committee, and from the Working Group, directed through the Chair.

7.      A copy of Mr Bayfield’s presentation will be made available following the meeting.


 

Decision Making Process

8.      Staff have assessed the requirements of the Local Government Act 2002 in relation to this item and have concluded that, as this report is for information only, the decision-making provisions do not apply.

 

Recommendation

That the Hawke’s Bay Drinking Water Group Joint Committee receives and notes the “Taumata Arowai Presentation” report.

 

Authored and Approved by:

Liz Lambert

Consultant

 

 

Attachment/s

There are no attachments for this report.


 

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Hawke's Bay Drinking Water Governance Joint Committee  

Friday 02 July 2021

Subject: Review of Terms of Reference for the Hawke’s Bay Drinking Water Governance Joint Committee        

 

Reason for Report

1.      This report follows up on the item presented to the March 2021 meeting of the Joint Committee which agreed to give consideration to the Committee’s Terms of Reference and undertake a review, including a full refresh, with a proposal to be put forward at the July 2021 meeting.

2.      The Committee recommended that this refresh/review would be overseen by the Chair, Garth Cowie, and Councillors Ormsby and Simpson.

Officers’ Recommendation

3.      Officers recommend that the Hawke’s Bay Drinking Water Joint Governance Committee is disestablished, having concluded the functions for which it was set up, and that governance oversight of drinking water safety is transferred to the Regional Leaders’ Forum.

4.      Officers further recommend that the Drinking Water Joint Working Group is retained and that it reports directly to the Regional Leaders’ Forum, with its future institutional and administrative support to be agreed by that group.

Background

5.      As will be seen in the presentation from Bill Bayfield (CEO of Taumata Arowai) comprehensive water reform is occurring across New Zealand with regulatory reform through legislation, the formation of Taumata Arowai and service delivery reform of Three Waters. This led to a discussion at the March 2021 meeting of this Committee to revisit the Terms of Reference for the Committee to assess whether or not it is fit for purpose.

6.      The Terms of Reference for the Joint Committee are based on its establishment following the Havelock North drinking water contamination event, with its purpose being to provide governance oversight to the Joint Drinking Water Working Group regarding the implementation of recommendations from the Board of Inquiry and the evolution of the Joint Working Group into a more permanent officials working group.

7.      The Committee has met on ten occasions since it was established in 2017. The programme for the Committee has focused on completing the Board of Inquiry recommendations, the establishment of a communications protocol among agencies for drinking water contamination events, and the development of the source protection provisions for the TANK Plan Change. In addition, the Committee has approved the preparation and content of submissions to several pieces of proposed legislation and the TANK Plan Change.

Progress on Board of Inquiry Recommendations

8.      The Board of Inquiry issued 17 recommendations from the first stage of its Inquiry. These were developed in conjunction with the Water Safety Working Group (the precursor to the Joint Drinking Water Group), which at that stage comprised representatives from Hawke’s Bay Regional Council (HBRC), Hastings District Council (HDC), the District Health Board (DHB) and Drinking Water assessors. These recommendations were centred around the safety and integrity of the Brookfield Road bores and the wider Hastings District Council water supply. The recommendations are either part of ongoing maintenance and monitoring work or were completed within twelve months of being issued.

9.      Part 2 of the Board of Inquiry report looked at the wider management of drinking water and the 40 recommendations from Part 2 focussed on legislative reform (including to the Resource Management Act (RMA) for source protection), the establishment of a national drinking water regulator, and a range of recommendations to and for the Ministry of Health.

10.    Both the HB Drinking Water Joint Governance Committee and the Joint Drinking Water Group (JWG) have contributed to the development of these changes when given the opportunity to do so. Additionally, both groups have used the opportunities available to increase their understanding of the science underpinning drinking water status and supplies throughout Hawke’s Bay.

11.    A White Paper prepared by the JWG at its inception also included a range of actions to be undertaken by the Group to enhance its operations and effectiveness. These included agreement on a communications protocol to be used by the member agencies in the event of a drinking water contamination event (or potential event) and a project to look at digital data sharing. The communications protocol is in place and has been used. The data sharing project has not been completed, due in part to the precedence given to developing the TANK source protection plan provisions and in part to the establishment of Taumata Arowai as the national drinking water regulator and gaining an understanding of its role in data collection and distribution.

Three Waters Reform

12.    In early 2019, Central Hawke’s Bay District Council, Hastings District Council, Napier City Council, Wairoa District Council and Hawke’s Bay Regional Council began working together to review the current and potential service delivery options for drinking water, wastewater and stormwater for all of Hawke’s Bay. The project aligned with the five councils’ strategic priority for the 2019-22 triennium; water safety, security and planning. Governance oversight of this project was provided by the region’s four Mayors, the Chair of HBRC and the CEs of the five councils.

13.    In July 2020, the Government announced a $710 million funding package to support economic recovery relating to COVID-19, and to start to address the persistent issues facing the three waters sector, through a combination of infrastructure investment stimulus and service delivery reform. Councils that agreed to participate in the initial phase of the reform programme were eligible to receive a share of this funding package. Hawke’s Bay’s four territorial authorities all opted into the initial phase of the reform.

14.    Since then, a comprehensive service delivery reform programme has been established by the Department of Internal Affairs, using a partnership approach between central and local government. Cabinet has agreed there will be a centrally-led process to determine the boundaries and number of new entities. This will mean that councils will not choose which neighbours/entity to join, but may choose to opt-out of the entity they are assigned when fully equipped with the information of what this might mean locally.

15.    The Department of Internal Affairs (DIA) has recently released national level analysis and modelling to advance the evidence base informing the case for change for the Three Waters Reform Programme.

16.    The reports include analysis of the economic benefits of reform by the Water Industry Commission of Scotland (WICS), independent reviews of WICS’ methodology by Farrierswier and Beca, and an analysis of the effects of the proposed reform on the economy and affected industries by Deloitte.

17.    The reports highlight the huge investment required over the next 30 years to ensure that New Zealanders have access to safe drinking water and that wastewater and stormwater networks achieve good environmental outcomes.

18.    Work is still underway to inform cabinet decisions as to the scope of stormwater functions that may be transferred from territorial and regional councils to multi regional Three Waters service provider.

19.    The timeline for further decisions on the construct of the Three Waters entities and their governance constructs is still not clear. Any update on transition arrangements is delayed until government decisions are made, and this could be mid-late 2021.

Joint Drinking Water Group

20.    The Hawke’s Bay JWG is the group of officials from the agencies involved in the management and/or delivery of safe drinking water. The JWG was set up at the conclusion of Stage 1 of the Havelock North Board of Inquiry process with its core functions being inter-agency collaboration and maintenance of public health through the delivery of drinking water.

21.    The agencies represented on the JWG now include all five councils, the Hawke’ Bay District Health Board through its Public Health Unit and Drinking Water Assessors. Ngāti Kahungunu Iwi Inc. was also represented on the JWG but chose to leave the group following the work on the TANK Plan Change.  Iwi/hapū representation is important for any ongoing management/delivery entity and needs to be addressed at the time a decision is made.

22.    The JWG continues to implement the work programme set by the Joint Committee. Up until the Level 4 lockdown, the JWG would meet approximately every two months and since that time has met less regularly, but still meets as the work programme necessitates to exchange information, to progress actions and to prepare for Joint Committee meetings.

Discussion

23.    Since the March 2021 Joint Committee meeting the sub-group (Garth Cowie and Councillors Hinewai Ormsby and Nigel Simpson) met to discuss the way forward for the Joint Committee and to make appropriate amendments to the Terms of Reference if required. Members of the JWG held a separate workshop on this topic.

24.    The sub-group considered the potential for the Committee to provide a feedback mechanism to the new Three Waters Entity and to provide closer oversight of the service delivery aspects of three waters infrastructure for Hawke’s Bay.  They also saw the opportunity for the Committee to become a key advisory or advocacy group.

25.    The sub-group considered that the Committee potentially had a more aspirational role to play in governance in this area. However, in the absence of any clear decisions about the construct of the new entities this was not able to be pursued in any detail.

26.    The JWG workshop traversed the future role of the Joint Working Group. The consensus is that there is value in retaining the JWG for several reasons, including:

26.1.    The Havelock North Board of Inquiry recommended the establishment of collaborative cross-agency groups to ensure improved communications and understanding between those agencies on drinking water matters. The JWG arose during the Board of Inquiry.

26.2.    The JWG has strong input from a public health perspective, which does not appear to be prevalent in the development of the new infrastructure entities. This will provide additional support in this important area.

26.3.    Given the level of reform there will be the need to develop new policies and by-laws, and potentially codes of practice, and the JWG would be a suitable vehicle for working through these collaboratively.

27.    The future of the Drinking Water Governance Joint Committee was also raised with the region’s CEs. They have reflected back the views of the HB Leaders Forum that the oversight of the broader Three Waters Reform in Hawke’s Bay should continue to occur at the leaders’ (Mayors and HBRC Chair) level. They have signalled that the Regional Leaders believe that the Committee has achieved what it was established to do – to oversee the work of the JWG in implementing the Board of Inquiry recommendations and the evolution of the JWG into a more permanent Working Group – and that the Joint Committee should be wound up.

28.    The ongoing oversight of the Working Group’s work programme will be undertaken directly by the Regional Leaders, in conjunction with the work being undertaken in the Three Waters space, led by Toni Goodlass.  The kaupapa of the Regional Leaders around infrastructure planning and operational delivery will require the Working Group to continue to ensure that public health issues are also considered within the wider work programme.

Options Assessment

29.    Two options have been identified for the Committee’s consideration:

29.1.    Option One – to advise the member agencies that the Hawke’s Bay Drinking Water Governance Joint Committee is to be disestablished, with its governance role to be undertaken by the Regional Leaders Forum

29.2.    Status Quo – the Committee continues to function for the remainder of the triennium with a focus solely on drinking water safety and with its current Terms of Reference.

30.    Option One is the desire of the Regional Leaders Forum. It will mean that not only the financial aspects of Three Waters Reform are overseen by the Regional Leaders, but also the advocacy and communications aspects of the transition. It will allow for the Working Group to be realigned to ensure that all three waters activities, and all relevant parties, are represented on the Working Group.

31.    Option Two will be less efficient and effective in that the work on the drinking water recommendations from the Havelock North Board of Inquiry has largely been achieved. This option is likely to ensure the maintenance of transparency with the community as to maintaining a strong regional dialogue and progress on drinking water improvement initiatives.

Strategic Fit

32.    The governance and management of drinking water safety aligns with the five councils’ strategic priorities for the 2019-22 triennium; water safety, security and planning.

33.    It is not proposed to reduce either governance or management for water safety, security and planning, but for the governance to occur through a different vehicle, being the Regional Leaders’ Forum.

Significance and Engagement Policy Assessment

34.    A decision on whether or not to amend the Terms of Reference for the Committee, or to revisit the ongoing operation of the Committee is not significant under the criteria contained in the Hawke’s Bay Regional Council’s adopted Significance and Engagement Policy, and therefore the Joint Committee can exercise its discretion and make decisions on the issue without conferring directly with the community or persons likely to have an interest in this decision.

Financial and Resource Implications

35.    The costs of both the Joint Committee and Working Group lie where they fall, i.e. with each member agency paying for the costs of their own representation, and joint costs (for independent Chair, independent consultant, and any agreed consultancy work) being divided among them.

36.    Should the decision be made to disestablish the Committee and continue with the JWG a separate item will be prepared for the Regional Leaders Forum on the institutional and administrative support required for the ongoing operation of the Working Group, including the incorporation of the public health and tangata whenua inputs.

Consultation

37.    Consultation on the matters in this item has occurred across representatives of the member agencies through the HB Regional Leaders, the ToR Review sub-group and staff members of the JWG.

38.    Ngāti Kahungunu Iwi Inc (NKII) was previously represented on the Joint Committee, but chose to step away from the Committee and the Working Group in 2020.

39.    Water is a taonga to Māori and it would be valuable to have iwi/hapū represented around the table again. The broader kaupapa of three waters may appeal to the wider concerns of iwi/hapū and an approach to iwi/hapū to be part of the discussions may be received more positively.

Decision Making Process

40.    Council and its committees are required to make every decision in accordance with the requirements of the Local Government Act 2002 (the Act). Staff have assessed the requirements in relation to this item and have concluded:

40.1.    The decision does not significantly alter the service provision or affect a strategic asset, nor is it inconsistent with an existing policy or plan.

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

40.3.    The decision is not significant under the criteria contained in Council’s adopted Significance and Engagement Policy.

40.4.    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 the Hawke’s Bay Drinking Water Governance Joint Committee:

1.      Receives and considers the “Review of Terms of Reference for the Hawke’s Bay Drinking Water Governance Joint Committee” staff report.

2.      Agrees that the decisions to be made are not significant under the criteria contained in Hawke’s Bay Regional Council’s adopted Significance and Engagement Policy, and that the Joint Committee can exercise its discretion and make decisions on this issue without conferring directly with the community or persons likely to have an interest in the decision.

3.      Recommends to the Hawke’s Bay Regional Council and all other member agencies that:

3.1.      The Hawke’s Bay Drinking Water Governance Joint Committee be disestablished, having concluded the functions for which it was set up, and that governance oversight of drinking water safety be transferred to the Regional Leaders’ Forum.

3.2.      The Hawke’s Bay Drinking Water Joint Working Group be retained and report directly to the Regional Leaders’ Forum, with a report on its future institutional and administrative support to be prepared for consideration and approval by the Regional Leaders’ Forum.


 

Authored by:

Liz Lambert

Consultant

 

Approved by:

Katrina Brunton

Group Manager Policy & Regulation

James Palmer

Chief Executive

 

Attachment/s

There are no attachments for this report.


 

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Hawke's Bay Drinking Water Governance Joint Committee  

Friday 02 July 2021

Subject: Report on the Joint Committee's Verbal Submission to the TANK Hearing Panel        

Reason for Report

1.      This agenda item provides a report-back to the Joint Committee on the verbal submission made to the TANK (Plan Change 9) Hearing Panel on behalf of the Committee.

Executive Summary

2.      Plan Change 9 to the Hawke’s Bay Regional Resource Management Plan covers new provisions to manage water quality and quantity for the Tūtaekurī, Ahuriri, Ngaruroro and Karamū (TANK) catchments. 

3.      It includes new polices and rules for the identification and management of source protection zones for drinking water.

4.      The Hawke’s Bay Drinking Water Governance Joint Committee (HBDWGJC) lodged a submission and then a further submission on Plan Change 9. Representatives of the Committee appeared before the Plan Change 9 Hearings Panel on 8 June 2021.

Background

5.      The development of Plan Change 9 occurred over a number of years via a multi-member TANK Stakeholder Group. Following the establishment of the Hawke’s Bay Drinking Water Group Joint Committee (HBDWGJC), and the supporting Working Group, by the Havelock North Board of Inquiry the Committee was recognised as a TANK working group tasked with developing draft policies and rules for the protection of drinking water sources for inclusion in the Plan Change.

6.      Recommendations on plan provisions were presented by the Committee and Working Group to the TANK Stakeholder Group in July 2018. Plan Change 9 was publicly notified in May 2020 and the Committee lodged both a submission and, later a further submission, on the drinking water source provisions. These have both been circulated and adopted by the Committee at previous meetings...

Officer’s Report

7.      The s42A Report – the recommendations on submission and further submissions – was released in mid-April 2021. Of the 24 itemised points of submission from the Committee 21 were accepted either in full, or in part. Where they were accepted in part the specific recommendation did not deviate from our underlying support for the security of water quality and adequate access to drinking water being major issues for public health, and we were comfortable in accepting the Officer’s recommendations on these.

8.      There were three outstanding points of submission which we then chose to speak to in the verbal presentation of our submission, made to the TANK Hearings Panel on 8 June 2021.

Verbal submission

9.      A copy of the verbal submission was previously circulated to all members of the Committee and Working Group, and is also attached for public record.

10.    There were two specific matters we spoke to at the hearing:

10.1.    the impact on the proposed provisions of changes to legislation and regulation at a national level, and

10.2.    the development of, and potential changes to, the Source Protection Zone (SPZ) maps.

11.    The reform of drinking water safety and wider three waters reform at a national level is happening across a range of government work programmes. Our original submission to TANK was premised in part on the ability for the Hearing Panel to respond to national direction as part of its decision making on Plan Change 9 and our submission was designed to provide the Panel with the scope to do this.

12.    In the meantime, work at a national level has not proceeded in accordance with the timeline originally provided and the increased level of certainty we had hoped would be in place by the time of the TANK hearings is not in place. What we do know at the moment is that:

12.1.    The Water Services Regulator Bill has passed into law and Taumata Arowai has been established

12.2.    The Health Select Committee has heard submissions to the Water Services Bill and has delayed its reporting back to Parliament, effectively delaying the implementation of the Bill from July until the last quarter of 2021. Once passed, this puts into place the new drinking water regulatory framework, including Taumata Arowai becoming the drinking water regulator, and obligations on water suppliers and local authorities to identify and assess risks to drinking water

12.3.    Once passed the Water Services Bill introduces s.104G into the Resource Management Act (RMA) which requires consent authorities, when making decisions on resource consent applications, to have regard to the effects of activities on registered drinking water sources and also the risks of the proposed activities as may be defined in a Source Water Risk Management Plan (SWRMP). S.104G of the RMA explicitly links SWRMP under the Water Services legislation to consent decisions under the RMA

12.4.    The review of the National Environmental Standards (NES) for Drinking Water is programmed to include amendments to enable better management of risks to source water in RMA decisions. To the best of our knowledge these amendments will be consulted on in the second half of 2021 with gazettal of the amended NES early in 2022.

13.    Because of these unknowns, we requested that the Hearing Panel takes into account the latest information available to it from the Water Services Bill and possibly the review of the NES for Drinking Water at the time of making their decisions.

14.    With respect to the Source Protection Zones we supported the Hastings District Council’s submission to include both the analytical and numerical models for their water supplies as providing extended protection. We noted that the s.42A Officer’s report recommended that all source protection zones be included in the Planning maps, rather than as a GIS layer outside the formal plan. While we still have concerns about the timing of plan change processes to include new areas, we are satisfied that the principal drinking water supplies for the TANK area – the Napier and Hastings urban supplies – are included in Plan Change 9, as the investigations have already occurred on these.

15.    Following our presentation, the Panel noted their appreciation for our support for the drinking water provisions and asked questions. These questions related to the definition of registered drinking water supplies and appropriate community size for source protection zones, and to the status of the maps.

Next Steps

16.    The Hearing Panel concluded hearing all verbal submissions on 23 June 2021 and has now adjourned to make decisions. Following the release of those decisions we will analyse them to determine whether there is any need to appeal any decisions, or to become a party to any other appeals around drinking water source protection.

Decision Making Process

17.    Staff have assessed the requirements of the Local Government Act 2002 in relation to this item and have concluded that, as this report is for information only, the decision-making provisions do not apply.

 

Recommendation

That the Hawke’s Bay Drinking Water Governance Joint Committee receives and notes the “Report on the Joint Committee's Verbal Submission to the TANK Hearing Panel” staff report.

 

Authored by:

Liz Lambert

Consultant

 

Approved by:

Katrina Brunton

Group Manager Policy & Regulation

 

 

Attachment/s

1

Joint Committee's Verbal Submission to TANK Hearing Panel

 

 

  


Joint Committee's Verbal Submission to TANK Hearing Panel

Attachment 1

 

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Hawke's Bay Drinking Water Governance Joint Committee  

Friday 02 July 2021

Subject: Discussion of Minor Items not on the Agenda        

 

Reason for Report

1.      This document has been prepared to assist Councillors note the Minor Items Not on the Agenda to be discussed as determined earlier in Agenda Item 4.

 

Topic

Raised by