Agenda of Regional Council Meeting

	Agenda Item	Action	Person Responsible	Due Date	Status Comment
1.	Ruataniwha Plains Water Storage Project	Regular updates to Council or Committee when each milestone is achieved	AN/ GH	Ongoing
2.	Air Quality Plan Change	Wording of Policy 69a, 5.3.3D to be examined and reworded if necessary for clarity	BR		Policy 69a, 5.3.3D reworded and now reads: “The Hawke’s Bay Regional Council will monitor changes in PM₁₀ concentrations in these airsheds. If monitoring indicates that Objective 39b will not be met, or that Objective 39c is at risk of being compromised, the Hawke’s Bay Regional Council will initiate further measures, in addition to those outlined in the Plan. These measures may be regulatory, non-regulatory, or a combination of both.”
3.	Notices	Letter of congratulations on re-election and ministerial appointments to Chris Tremain and Craig Foss	FW		Letter sent
4.	Action Items	A copy of the ‘looking forward’ report to be distributed to each of the region’s mayors in an effort to keep TLAs informed of Council’s activities	LH/DW		Paper will be emailed to Mayors commencing February 2012
5.	Verbal update from Maori Committee Chairman	Staff to investigate making a Cultural Impact Assessment a requirement for any applications for resource consents associated with oil and gas exploration activities as per request from Maori Committee	EO/MM /IM/BL		The RMA requires that resource consent applications address effects on the environment, including cultural effects where relevant / significant. Consents Officers will specifically discuss this requirement with Apache and all future applicants to ensure that they know that this is HBRC’s expectation for their applications.

HAWKE’S BAY REGIONAL COUNCIL

Wednesday 29 February 2012

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 62

DP 11717

CT C3/79

- Agreement for Sale and Purchase

(discount 10% landlord)

- Transfer

1.1.2 Lot 122

DP 14449

CT G2/706

- Agreement for Sale and Purchase

(discount 17.5% resides at property)

- Transfer

1.1.3 Lot 117

DP 11717

CT C3/82

- Transfer

1.1.4 Lot 5

DP 4488

CT 55/123

- Transfer

1.1.5 Lot 99

DP 11780

CT C3/520

- Transfer

1.1.6 Lot 84

DP 11780

CT C3/512

- Agreement for Sale and Purchase

(discount 10% landlord)

1.1.7 Lot 37

DP 4488

CT 55/138

- Agreement for Sale and Purchase

(discount 10% landlord)

- Transfer

1.1.8 Lot 46

DP 12226

CT D2/157

- Agreement for Sale and Purchase

(discount 17.5% resides at property)

- Transfer

1.1.9 Lot 59

DP 10121

CT C3/1177

- Transfer

1.1.10 Lot 47

DP 13039

CT E2/1226

- Agreement for Sale and Purchase

(discount 10% landlord)

Transfer

1.1.11 Lot 34

DP 13217

CT E4/417

- Agreement for Sale and Purchase

(discount 10% landlord)

- Transfer

1.1.12 Lot 8

DP 7893

CT G1/1182

- Agreement for Sale and Purchase

(discount 10% landlord)

Transfer

1.1.13 Lot 56

DP 11604

CT C2/566

- Agreement for Sale and Purchase

(discount 10% landlord)

- Transfer

1.1.14 Lot 13

DP 11027

CT B3/1374

- Agreement for Sale and Purchase

(discount 10% landlord)

1.1.15 Lot 6

DP 3976

CT 54/227

- Agreement for Sale and Purchase

(discount 10% landlord)

- Transfer

1.1.16 Lot 28

DP 13693

CT F2/1290

- Transfer

1.1.17 Lot 205

DP 11967

CT D1/86

- Agreement for Sale and Purchase

(discount 17.5% resides at property)

- Transfer

1.1.18 Lot 44

DP 13216

CT E4/371

- Transfer

1.1.19 Lot 235

DP 6421

CT E2/1427

- Agreement for Sale and Purchase

(discount 17.5% resides at property)

1.1.20 Lot 289

DP 10632

CT B4/413

- Agreement for Sale and Purchase

(discount 10% landlord)

- Transfer

1.1.21 Lot 99

DP 7201

CT B4/817

- Agreement for Sale and Purchase

(discount 10% landlord)

- Transfer

1.1.22 Lot 771

DP 11194

CT B3/86

- Transfer

1.1.23 Lot 200

DP 6598

CT C2/394

- Agreement for Sale and Purchase

(discount 17.5% resides at property)

1.1.24 Lot 23

DP 13066

CT E3/404

- Agreement for Sale and Purchase

(discount 10% landlord)

- Transfer

1.1.25 Lot 91

DP 6481

CT C2/418

- Agreement for Sale and Purchase

(discount 17.5% resides at property)

- Transfer

1.1.26 Lot 462

DP 2451

CT 55/203

- Agreement for Sale and Purchase

(discount 10% landlord)

- Transfer

1.1.27 Lot 13

DP 7201

CT B4/926

- Agreement for Sale and Purchase

(discount 17.5% resides at property)

- Transfer

1.1.28 Lot 49

DP 14228

CT G1/47

- Agreement for Sale and Purchase

(discount 17.5% resides at property)

- Transfer

1.1.29 Lot 98

DP 6481

CT C2/422

- Agreement for Sale and Purchase

(discount 17.5% resides at property)

1.1.30 Lot 4

DP 13307

CT F1/1404

- Agreement for Sale and Purchase

(discount 17.5% resides at property)

- Transfer

1.1.31 Lot 373

DP 11103

CT B2/1282

- Agreement for Sale and Purchase

(discount 10% landlord)

1.1.32 Lot 66

DP 12309

CT D2/510

- Agreement for Sale and Purchase

(discount 17.5% resides at property)

1.1.33 Lot 107

DP 6598

CT C2/379

- Agreement for Sale and Purchase

(discount 17.5% resides at property)

1.1.34 Lot 24

DP 11689

CT C3/28

- Agreement for Sale and Purchase

(discount 10% landlord)

3181

3182

3183

3197

3184

3185

3186

3187

3188

3200

3190

3210

3191

3193

3205

3194

3215

3195

3206

3196

3211

3198

3199

3223

3201

3202

3227

3203

3204

3207

3225

3208

3232

3209

3212

3213

3214

3216

3233

3217

3224

3218

3220

3219

3226

3221

3222

3231

3228

3229

3230

3234

13 December 2011

18 January 2012

13 December 2011

10 January 2012

13 December 2011

15 December 2011

13 January 2012

19 December 2011

24 January 2012

19 December 2011

4 January 2012

18 January 2012

5 January 2012

30 January 2012

5 January 2012

20 January 2012

5 January 2012

26 January 2012

13 January 2012

3 February 2012

13 January 2012

16 January 2012

10 February 2012

18 January 2012

20 January 2012

10 February 2012

20 January 2012

17 February 2012

20 January 2012

26 January 2012

27 January 2012

30 January 2012

17 February 2012

30 January 2012

3 February 2012

30 January 2012

31 January 2012

10 February 2012

1 February 2012

2 February 2012

17 February 2012

14 February 2012

15 February 2012

22 February 2012

1.2

Esplanade Strip Agreement

Pt 3A1B1

3189

19 December 2011

1.3

Deed of Grant of Easement

Lot 1 DP14125 CT F4/1442

(for river control and soil conservation purposes)

3192

19 December 2011

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

Andrew Newman

Chief Executive

Attachment/s

There are no attachments for this report.

HAWKE’S BAY REGIONAL COUNCIL

Wednesday 29 February 2012

SUBJECT: Regional Sport and Recreation Strategy - Terms of Reference

Reason for Report

1. In October 2011 Hawke’s Bay Regional Council considered the Terms of Reference of the Hawke’s Bay Sport and Active Recreation Strategy. This strategy is being prepared by the Hawke’s Bay Sports Council representing the local bodies of Hawke’s Bay and a number of summer and winter sporting codes.

2. At the October meeting HBRC let the item lie on the table while additional details were sought on the outcomes that the Strategy was expected to achieve.

Financial and Resource Implications

3. In the 2011/12 Annual Plan HBRC has set aside $10,000 (Project 874) towards the strategy subject to:

3.1. HBRC involvement in the Review process (being achieved through Sports Council membership and consideration of the Terms of Reference)

3.2. Balance of funding being secured (this is being provided by the territorial authorities).

4. The balance of funding has been secured and, if HBRC approves the Terms of Reference, the development of the Strategy can proceed.

Discussion

5. A working party preparing the Terms of Reference has met three times since October 2011 to work through HBRC’s requirements and to further progress the detail required prior to commencing the Strategy.

6. In respect of the outcomes the Working Party has agreed that the outcomes would strongly reflect the ethos of collaboration as without stakeholder collaboration the strategy would fail to deliver.

7. The draft outcomes proposed for the strategy are as follows.

7.1. Participation

Growth in junior and adult active participation levels in schools and community sport and recreation through, clubs, regional organisations and events

Growth in the number of coaches and officials (referees and umpires)

Measures - It is important to have a good understanding of current situation – Sport Hawke’s Bay has much of the baseline information currently and this can be used to gauge improvements. The most recent SPARC physical activity survey was carried out in 2008 – the next is scheduled for 2013.

7.2. Collaboration

Key regional stakeholders work together to achieve the outcomes of the regional strategy.

Measures – no. of joint projects, implementation of Regional Events Strategy, no of forums held.

7.3. Capability

Sport and recreation organisations are more effective and professionally run

Coaches and officials (referees and umpires) are capable, competent and more qualified

Growth in the number of volunteers

Measures – these are qualitative as well as quantitative

7.4. Performance

A rise in the number of Hawke’s Bay representative teams and individuals achieving a top 5 finish in national tournaments, competitions and events

Measure – increase measured

7.5. Community Vibrancy

Growth in community pride, optimism and “feeling good about Hawke’s Bay”

Measure – community surveys

7.6. There was general consensus among the Working Party members that the outcomes should ‘paint a picture’ of what the strategy would like to achieve and that the outcomes were high level. It was emphasised that the coordinated development of facilities and potential funding mechanisms would need to appear – most likely as a contribution towards the collaboration outcome.

Next Steps

8. Development of a detailed brief is underway. This will include an environmental scan (collecting a wide range of existing information), which is to be carried out collectively by all the agencies, and a SWAT analysis. A contractor will be engaged to analyse the information, and possibly draft the strategy (although the latter could also be done “in-house”). Deadline for the completion of a draft strategy ready for public consultation is 30 June 2012.

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 all ratepayers in the region.

9.5. Options that have been considered include not being involved in the Strategy (i.e. doing nothing).

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. Approves the outcomes for the Review of the Regional Sport and Active Recreation Strategy as the final endorsement of the Terms of Reference.

Liz Lambert

Group Manager

External Relations

Andrew Newman

Chief Executive

Attachment/s

There are no attachments for this report.

HAWKE’S BAY REGIONAL COUNCIL

Wednesday 29 February 2012

SUBJECT: Hearing Panel Recommendations on the Proposed Regional Pest Management Strategy and the Proposed Regional Phytosanitary Pest Management Strategy

Reason for Report

1. The process of reviewing Council’s Regional Pest Management Strategy (RPMS) and Regional Phytosanitary Pest Management Strategy (RPPMS) is now largely complete. Council are reminded that these two strategies are essentially unchanged from the 2006 Strategies. This is because amendments are expected to the Biosecurity Act 1993 within the next 2 years and these are likely to require significant changes to these Strategies within 2 years of the Act being amended.

2. Council in accordance with Section 79b of the Biosecurity Act 1993 (the Act) is now requested to consider the RPMS and RPPMS, and subject to its satisfaction with regard to the process of reviewing the Strategies and their compliance with the Act, to adopt the decisions of the Hearings Panel and give public notice of its decision.

3. In accordance with Section 79b(2) of the Act, Council on completion of its consideration must prepare a written report on the proposed Strategies, and the matters raised by the submissions, and must give its decision including the reasons for accepting or rejecting any submissions or group of submissions.

4. This agenda item together with appendices serves as Council’s written report on the RPMS and RPPMS.

Background

5. The following appendices form part of this report. Appendices 1 and 2 only are attached to this agenda item and have been provided to Councillors only but are available to others on request. Copies of the remaining Appendices are available on request.

Appendix 1

The relevant sections of the RPMS and RPPMS which incorporate changes recommended by the Council Hearings panel as part of its consideration of submissions on the Strategies.

Appendix 2

Minutes of Meeting of the Hearings Panel on the RPMS and RPPMS dated 15 February 2012.

Appendix 3

The Principal Officer’s Report presented to and considered by Council’s Hearings Committee, including staff comment on submissions received.

Appendix 4

Copies of written submissions received on the Proposed Strategies.

Appendix 5

The Proposed RPMS and RPPMS.

6. In accordance with Section 79b of the Act, Council in considering a proposed regional pest management strategy must have regard to:

6.1. All submissions

6.2. All relevant provisions of this part of the Act

6.3. A report on the proposed strategy made by its Principal Officer

6.4. Any report and recommendations of a Hearings Commissioner.

7. It should be noted by Council that a Council Hearing Panel heard all verbal submissions on the Strategy and considered all written submissions in accordance with the authority delegated to that Panel by Council, and therefore the minutes of Council’s Hearing Panel can be considered as a report and recommendations of a Hearings Commissioner in accordance with Section 79Ba) iv) of the Act.

8. As set out in the Principal Officer’s Report under Appendix 3 to that report (not included as part of this agenda item), Council has reviewed the RPMS and RPPMS, and undertaken public consultation on the Strategies in accordance the relevant sections of Part 5 of the Biosecurity Act.

9. What remains is for Council to adopt the recommendations made to it by the Hearings Panel of Council, make any further amendments that it deems appropriate, and to advise the public of that decision. Public notice to that effect will be placed in Hawke’s Bay Today on 10 March 2012, and every submitter on the Strategies will be individually advised of that decision, and the reasons for Council accepting or rejecting their submission.

10. Any submitter that is dissatisfied with Council’s decision may refer to the Environment Court any matter on which they have submitted within 15 days of being served the decision of Council. Subject to there being no references made to the Environment Court, Council will be able to “make” these Strategies at its meeting on 18 April 2012.

Decision Making Process

11. 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:

12. Section 88 of the Act covering the changing mode of delivery for example, where a local Council that has in the past delivered an activity transfers the delivery of that activity to a Council-controlled organisation or to another private organisation or person etc., does not apply.

13. Section 97 of the Act which covers a significant change in the intended level of service provision of a significant activity may apply.

14. Section 84 of the Act where a special consultative procedure is used in relation to an amendment to a Long Term Plan does not apply as no changes are required to Council’s LTP 2012/22. However, it should be noted that a consultative process has been used in the development of the Strategy, which meets the requirements of Section 84 of the Local Government Act.

15. The decision may fall within the definition of the Council's Policy on Significance, specifically to a criteria ''the impact or consequences of the decision or proposal on the effected persons (being a large proportion of the local community) will be substantial''.

16. The persons affected by this decision in this paper will be the public of Hawke's Bay both as funders of the Strategies and land occupiers potentially affected by the Strategies.

17. Section 80 of the Act covering decisions that are significantly inconsistent with any existing policy or plans does not apply.

RECOMMENDATIONS

That Council:

1. Agrees that the decisions to be made are significant under the criteria contained in Council’s adopted policy on significance, and so the review of the Regional Pest Management Strategy (RPMS) and Regional Phytosanitary Pest Management Strategy (RPPMS) have been subject to a consultative process set out in the Biosecurity Act 1993, which meets the requirements of a special consultative procedure in accordance with the Local Government Act 2002.

2. Adopts the minutes of the Council Hearings Panel meeting on 15 February 2012 and specifically the recommended changes to the RPMS and RPPMS.

3. Advises the public and each submitter in accordance with Sections 79b(4) and 79c of the Biosecurity Act 1993 of Council’s decision to adopt the recommendations of the Hearings Panel on the RPMS and RPPMS, and any other changes Council may wish to make.

Mike Adye

Group Manager

Asset Management

Andrew Newman

Chief Executive

Attachment/s

1 View	Recommended Changes to RPMS and RPPMS
2 View	Minutes of Hearing Panel Meeting 15 Feb 2012

Recommended Changes to RPMS and RPPMS

Attachment 1

Amendments to be noted following Hearings Panel Meeting 15 Feb 2012

Proposed Regional Pest Management Strategy

Foreword

The Regional Pest Management Strategy 2011 has been developed from a review of the Hawke’s Bay Regional Plant Pest and Animal Pest Management Strategy 2006. Since the development of its first Pest Management Strategy in July 1996, significant benefits have accrued to the region’s economy and biodiversity from plant and animal pest control. This Strategy is essentially unchanged from the 2006 Strategy. This is because amendments are expected to the Biosecurity Act 1993 within the next 2 years and these are likely to require significant changes to the Strategy within 2 years of the Act being amended.

1.1 Title and purpose of the strategy

This Strategy is to be known as the “Regional Pest Management Strategy” for Hawke’s Bay. It has been made following the review and amendment of the Regional Pest Management Strategy 2006 by Hawke’s Bay Regional Council in accordance with the Biosecurity Act 1993, and has effect over Hawke’s Bay (see Figure 1).

This Strategy is essentially unchanged from the 2006 Strategy. This is because amendments are expected to the Biosecurity Act 1993 within the next 2 years and these are likely to require significant changes to the Strategy within 2 years of the Act being amended.

The purpose of the Strategy is to provide for the effective management of pests in the region, in order to:

· Eradicate certain pests;

· Control the spread of some established pests;

· Minimise the adverse and unintended effects of the pests;

· Monitor the presence of pests in the region; and

· Facilitate efficient pest control through a regionally co-ordinated approach.

This Strategy will be effective for a period of five years from the date it is made by Council, unless a review establishes that it should be amended at an earlier date. While the term of this Strategy is only five years, many of the goals listed for each pest are for longer periods to indicate Council’s long-term intentions for these pests.

KiwiRail

Kiwirail is a State owned enterprise that administers 18,000ha of railway land throughout NZ. Kiwirail is occupier of land that forms the rail corridor in Hawke’s Bay. Kiwirail has a legal responsibility under the Biosecurity Act 1993 to control pests on its land according to rules for land occupiers set out in this Strategy.

7.1 National Pest Plant Accord

Ministry of Agriculture and Forestry are responsible for coordinating the developing and managing the National Pest Plant Accord. The Accord is a list of plants that have been declared unwanted organisms, which regional councils have agreed to monitor for the purposes of breaches of section 52 and 53 of the Biosecurity Act.

HBRC undertakes regular surveillance for the unwanted organisms listed on the National Pest Plan Accord.

7.2 Surveillance

Authorised Council officers have the power to enter private property under Part 6 of the Biosecurity Act for surveillance purposes provided that the organism they have good reason to suspect is present is listed as a pest in at least one pest management strategy (national or regional). This is because:

● S55 applies to management and eradication of pests via pest management strategies not to surveillance of them outside of a strategy; and

● S103 allows a principal officer of a region to appoint authorised persons for the purpose of exercising functions, powers, and duties under the Biosecurity Act in relation to ascertaining the presence or distribution of any pest, pest agent, or unwanted organism;and

● S2 defines a “Pest” as an “organism specified as a pest in a pest management strategy”

If an organism is listed in any pest management strategy, it is legally defined as a pest for surveillance purposes under the Act, and Council through its authorised officers can undertake monitoring and surveillance for it, using the applicable powers in Part 6 of the Act.

Proposed Regional Phytosanitary Pest Management Strategy

Forward

The Hawke’s Bay region produces around 56% of the national apple and pear crop. The industry brings around $200 million to the Hawke’s Bay economy annually employs significant numbers of permanent and seasonal labour units and exports the bulk of its 180,000 tonnes of apples though the Port of Napier.

Most primary industries are cyclic in nature. Good profitable years are followed by years of poor returns. During downturn years some members of the industry seek to exit. This strategy is designed to ensure those leaving the industry do not impose, inadvertently or otherwise, undue phytosanitary burden on those remaining. This undue burden is likely to be in the form of increased pest and disease pressures from unmanaged production sites. This pressure leads to increased production costs, increased levels of agrichemical input and increased risks to the market acceptability of crop produced under increased pest and disease pressures.

Pipfruit NZ Inc, Hawke’s Bay Fruitgrower’s Association and Horticulture NZ have worked with the Hawke’s Bay Regional Council to develop a mechanism (this strategy) that is fair and equitable to those exiting the industry and those remaining. Other horticulture sectors have expressed interest in this Strategy being expanded to include pests that have the potential to affect their sectors. HBRC will continue to work with the primary productive sector as a whole with a view to this Strategy being expanded at its next review.

The cost of the options given in the strategy are greatly outweighed by the benefits bestowed by the strategy implementation. It is hoped with industry education and independent intervention however, that issues of this nature that have occurred in the past can be prevented and recourse to the strategy is a last resort.

Pipfruit NZ Inc would like to thank both the Hawke’s Bay Regional Council and the Hawke’s Bay Fruit Growers’ Association for their support and involvement in developing the strategy.

Introduction

1.1 Title of the strategy

This Strategy is to be known as the “Hawke’s Bay Regional Phytosanitary Pest Management Strategy”. Pipfruit New Zealand in accordance with the Biosecurity Act 1993 has prepared this Strategy. This Strategy is essentially unchanged from the 2006 Strategy. This is because amendments are expected to the Biosecurity Act 1993 within the next 2 years and these are likely to require significant changes to the Strategy within 2 years of the Act being amended.

This Regional Phytosanitary Pest Management Strategy has effect over Hawke’s Bay (see Error! Reference source not found.).

KiwiRail

Minutes of Hearing Panel Meeting 15 Feb 2012

Attachment 2

1. WELCOME/APOLOGIES/NOTICES

Chairman Scott declared the meeting open and advised that the Hearing Panel was conducting an inquiry and sitting as a Board of Inquiry as set out under section 79B of the Biosecurity Act 1993.

2. Verbal submissions will be presented to the Hearing Panel throughout the morning, as scheduled.

Proposed Regional Pest Management Strategy and Proposed Regional Phytosanitary Management Strategy

HC1/12

Resolution:

That the Hearings Panel:

1. Hear the verbal submission on the Proposed Regional Pest Management Strategy and Proposed Regional Phytosanitary Pest Management Strategy.

2. Consider the written and verbal submissions on the Proposed Regional Pest Management Strategy and Proposed Regional Phytosanitary Pest Management Strategy.

3. Consider the Principal Officer’s Report on the Proposed Regional Pest Management Strategy and Proposed Regional Phytosanitary Pest Management Strategy and recommendations included within that report.

von Dadelszen/Rose

CARRIED

The Hearing Panel commenced hearing verbal submissions.

Submission 7. Bruce Jans, Seafield Farm HB Ltd

The Chairman welcomed Mr Jans and introduced members of the Panel and Staff present.

Mr Jans gave an oral presentation and circulated a paper and photos for the reference of the Panel.

The Chairman reminded Mr Jans that anything not relevant to the Strategy would not be accepted.

The Panel heard Mr Jans submission and thanked him for attending. He was advised that all submitters would be responded to following the adoption of the Strategies following the 29 February Regional Council meeting.

Submission 2. Brad Siebert, Kiwifruit Vine Health Inv (KVH)

The Chairman welcomed for Mr Siebert and introduced members of the Panel and Staff present.

Mr Siebert provided the Panel with an update on PSA and the threat of wild kiwifruit in the HB Region.

He was not seeking a change to either Strategy at this time however believed putting in place a Memorandum of Understanding (MOU) between HBRC and the Kiwifruit industry would be appropriate. He advised that he had been in discussions with Campbell Leckie.

The Committee then considered all submissions

Submission 1. Dianne Vesty, Hawke’s Bay Fruit Growers Assn

Mr Adye confirmed that HBRC will continue to work with industry and central government to identify a pragmatic and effective approach to managing potential threats to the horticulture industry.

Suggested amendments

No amendments to either the Regional Pest Management Strategy or the Regional Phytosanitary Pest Management Strategy are suggested as a result of this submission, however staff will continue to work with Hawke’s Bay Fruitgrowers Association to review the Strategies once the proposed revisions to the Biosecurity Act are passed into law.

Recommendation

1. That there be no change to the Proposed Regional Pest Management Strategy

2. That there be no change to the Proposed Regional Phytosanitary Pest Management Strategy.

Submission 2. Brad Siebert, Kiwifruit Vine Health Inv (KVH)

Suggested amendments

No amendments to either the Regional Pest Management Strategy or the Regional Phytosanitary Pest Management Strategy are suggested as a result of this submission, however staff will continue to work with KVH in support of the development of a National Pest Management Strategy for PSA, and in the development of and implementation of a Memorandum of Understanding to control any wild kiwifruit reported to Council, and to minimise the potential for PSA to infect commercial kiwifruit orchards.

Recommendation

1. That there be no change to the Proposed Regional Pest Management Strategy

2. That there be no change to the Proposed Regional Phytosanitary Pest Management Strategy

Submission 3. Ru Collin, HorticultureNZ

Suggested amendments

No amendments to either the Regional Pest Management Strategy or the Regional Phytosanitary Pest Management Strategy are suggested as a result of this submission, however staff will continue to work with the horticulture industry in Hawke’s Bay to review the Strategies once the proposed revisions to the Biosecurity Act are passed into law.

Recommendation

1. That there be no change to the Proposed Regional Pest Management Strategy

2. That there be no change to the Proposed Regional Phytosanitary Pest Management Strategy.

Submission 4. Waikato Regional Council

The support and interest from Waikato Regional Council is noted and appreciated. The RPMS outlines both the monitoring requirements of the possum control area programme and the compliance targets.

Suggested amendments

Staff suggest the following word changes with relation to Kiwirail in the Regional Pest Management Strategy.

Staff suggest amending the foreword and introduction to note the amendments expected to the Biosecurity Act 1993 within the next 2 years which are likely to require significant changes to both Strategies.

Recommendation

1. That the following changes be made to the Proposed Regional Pest Management Strategy.

1.1. Amend the Subheading ‘OnTrack’ to read ‘KiwiRail’

Remove the wording in clause 2.3 Paragraph 6 subheading ‘ KiwiRail’ and add:

1.2. Foreword

1.3. Title and purpose of the strategy

2. That there also be a change to the Foreword and Introduction to the Proposed Regional Phytosanitary Pest Management Strategy.

Submission 5. Horizons Regional Council

Suggested amendments

Staff meet with staff from neighbouring regional councils on a regular basis. Potential pest plants that are found near the common regional boundary are on the agenda for those meetings.

Staff believe that these ongoing operational meetings are valuable and more effective than any attempt to include all possible pests that have the potential to pose a threat into a RPMS.

Recommendation

Council as part of its review process has received advice from senior MAF policy staff on how surveillance powers operate under the Biosecurity Act.

1. That the following changes be made to the Proposed Regional Pest Management Strategy.

Amend the wording to read:

Authorised Council officers have the power to enter private property under part 6 of the Biosecurity Act for surveillance purposes provided that the organism they have good reason to suspect is present is listed as a pest in at least one pest management strategy (national or regional). This is because:

● S55 applies to management and eradication of pests via pest management strategies not to surveillance of them outside of a strategy. And

● S103 allows a principal officer of a region to appoint authorised persons for the purpose of exercising functions, powers, and duties under the Biosecurity Act in relation to ascertain the presence or distribution of any pest, pest agent, or unwanted organism, And

● S2 defines a “Pest” as an “organism specified as a pest in a pest management strategy”

So if an organism is listed in any pest management strategy, it is legally defined as a pest for surveillance purposes under the Act, and Council through its authorised officers can undertake monitoring and surveillance for it, using the applicable powers in part six of the Act.

2. That there be no change to the Proposed Regional Phytosanitary Pest Management Strategy.

Submission 6. Federated Farmers of New Zealand

The submitter raises a number of issues. Many of these are in support of the current HBRC approach to pest management. Staff acknowledge that the expected revisions to the Biosecurity Act will result in a thorough review of the HBRC RPMS. As part of the development of a discussion document that will precede that review it will be appropriate that staff meet with Federated Farmer representatives and discuss a number of the issues raised in this submission.

Recommendation

1. That there be no change to the Proposed Regional Pest Management Strategy

2. That there be no change to the Proposed Regional Phytosanitary Pest Management Strategy.

Submission 7. Bruce Jans, Seafield Farm HB Ltd

Advise Mr Jans that contact will be made with Napier City Council in relation to the Privet tree in Ormond Reserve, Napier.

Recommendation

1. That there be no change to the Proposed Regional Pest Management Strategy

2. That there be no change to the Proposed Regional Phytosanitary Pest Management Strategy.

The Meeting broke for lunch at 12.15 pm and recommenced at 12.45 pm

Following discussions the panel requested staff circulate revisions discussed for both the Proposed Regional Pest Management Strategy and Proposed Regional Phytosanitary Strategy.

HC2/12

Resolution:

That the Hearings Panel:

Recommend Council adopt the Proposed Regional Pest Management Strategy and Proposed Regional Phytosanitary Pest Management Strategy with the amendments as circulated.

von Dadelszen/Rose

CARRIED

Adjourned:

There being no further business the Chairman adjourned the meeting at 1.05 pm Wednesday 15 February 2012.

Signed as a true and correct record.

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

HAWKE’S BAY REGIONAL COUNCIL

Wednesday 29 February 2012

SUBJECT: Hawke's Bay Investment Company - Inaugural Board Meeting

Reason for Report

1. The Council approved the establishment and appointed the Transition Board of the Hawke’s Bay Regional Investment Company Limited (“HBRIC”) at its meeting on 14 December 2011.

2. The first meeting of the Board of Directors of HBRIC was held on 20 February 2012.

3. In the course of their meeting the Directors of HBRIC requested the Council:

3.1. Defer the date of transfer of the Port of Napier (“PONL”) shareholding to HBRIC until such date as the revaluation of the PONL shares as at 31 March 2012, required in accordance with the Council’s existing policy to revalue PONL shares every three years, is completed.

3.2. Transfer the PONL shares to HBRIC at their then revalued price.

3.3. Subscribe $100,000 for 100,000 ordinary shares of $1 each, fully paid, in HBRIC now to fund its initial working capital requirements rather than the Council paying all HBRIC’s operating expenses in the meantime and being repaid from part of the PONL dividend due in June 2012.

4. This report reviews these requests below and recommends the Council accept them.

Port of Napier Share Revaluation

5. On 14 December 2011, the Council resolved “Subject to any decisions to be made on valuation, approves the transfer of its shareholding in the Port of Napier Limited to the investment company with effect from 1 February 2012”

6. The Report to Council on Establishment of the Investment Company dated 14 December 2011 recommended the transfer of the Council’s entire shareholding in PONL to HBRIC “at the value recorded in the financial statements of the Hawke’s Bay Regional Council as at 30 June 2011, unless the shareholding is revalued in accordance with Council policy or directives between 30 June 2011 and the date of transfer, in which case the transfer will be made at the then revalued figure” (Section 27.1).

7. Currently, Deloitte is undertaking a revaluation of the PONL shares as at 31 March 2012 in accordance with the Council’s investment policy to revalue the shares every three years.

8. It is expected Deloitte’s report will be available in April 2012.

9. The HBRIC Directors are of the view that Deloitte will value the PONL shares higher than the 2009 year value of $5.74 each, which was used to value the PONL shareholding in the Council’s financial statements for the 2010/2011 year.

10. Transfer at a higher valuation prior to 30 June 2012 will increase the base value of the PONL investment in HBRIC from the current $120.540million to a higher (but currently unknown) amount, and thereby:

10.1. Strengthen the HBRIC balance sheet and provide a higher valued platform from which to leverage it, or realise value in the PONL shares should some form of share sale or issue be contemplated by HBRIC and the Council in the future; and,

10.2. Generate a surplus for the Council on account of PONL in its investment portfolio performance in the year ended 30 June 2012.

11. Any surplus on revaluation will be received by the Council whether directly, prior to transfer of the PONL shares to HBRIC, or, eventually, on revaluation of HBRIC itself. However making the transfer after revaluation ensures any surplus is directly reflected in the Council’s financial performance for the 2011/2012 financial year.

12. Accordingly it is recommended the Council approve deferring the transfer of PONL shares to HBRIC by around two months until Deloitte’s revaluation is available and that it agrees to make the transfer at the 2012 share value once it is available.

Working Capital Funding

13. As HBRIC had no cash funds on its establishment Council planned to pay all its operational expenses until HBRIC received the budgeted PONL dividend (estimated to be $2.883million) in June 2012, part of which would be retained as working capital and used to repay the Council for its expenditures on HBRIC’s behalf.

14. The current budget for HBRIC expenses for the period from 20 February 2012 to 30 June 2012 is $91,000 for establishment and support costs, director’s fees, professional advice, accounting services and management services.

15. Rather than the Council pay these expenses and be reimbursed by HBRIC at the end of the financial year as previously planned, HBRIC now requests the Council subscribe $100,000 for 100,000 $1 ordinary shares, fully paid, in HBRIC, for it to use to pay its own expenses.

16. This subscription for shares in HBRIC would be an initial instalment of capital proposed to be issued to fund the transfer of PONL shares to HBRIC.

17. The net cash effect of this implementing this request on the Council will be nil.

18. The Council will continue to record all HBRIC expenses transactions through its general ledger, and audit trails will be maintained accordingly.

19. Accordingly it is recommended Council now subscribe and fully pay up for 100,000 ordinary shares of $1 each in HBRIC to fund its initial working capital.

Decision Making Process

20. Council completed a special consultative process on the proposal to consider the establishment of an investment company and the proposed transfer of 100% shareholding in the Port of Napier Limited to this investment company. This consultation process was undertaken during April and May 2011.

Recommendations

That Council:

1. Notes that a special consultative process has been undertaken during April and May 2011 on the proposal to consider the establishment of an investment company and the proposed transfer of 100% shareholding in the Port of Napier Limited to this investment company.

2. Approves the deferment of the transfer of its shareholding in PONL to HBRIC in accordance with its 14 December 2011 resolution until such time as the Deloitte revaluation of these shares is completed and available to Council.

3. Agrees to amend the price at which the PONL shares are transferred to HBRIC to the revalued price determined by Deloitte as at 31 March 2012.

4. Agrees to subscribe to, and fully pay up, 100,000 $1 ordinary shares in HBRIC as an initial capital subscription of $100,000 to fund HBRIC’s planned working capital requirements.

Paul Drury

Group Manager

Corporate Services

Andrew Newman

Chief Executive

Attachment/s

There are no attachments for this report.

Liz Remmerswaal Notice of Motion Background and Report

Attachment 1

1. BACKGROUND & REPORT

There is a lot of public interest in the topic of petroleum exploration locally and nationally, including hydraulic fracturing, and HBRC has limited experience in dealing with these issues.

Council staff may lack expertise in assessing the merits and risks associated with mining applications, particularly new technologies such as hydraulic fracturing. A growing body of evidence (a brief list of some of the latest studies, jurisdiction bans and expert opinion on fracking) is attached as Appendix One.

This paper recommends the Committee make an initial request to the Parliamentary Commissioner for the Environment, or another similarly independent and reputable scientific authority, to lead a study and share its findings on the likely risks and benefits of oil exploration using hydraulic fracturing in Hawke's Bay.

The purpose of the PCE is to maintain or improve the quality of the environment by providing robust independent advice that influences decisions

It is possible that the terms of reference could be agreed upon with stakeholders including the Council, iwi representatives, Apache Corporation and TAG Oil Ltd.

Such a study should be cost neutral to Hawke’s Bay ratepayers

2. SIGNIFICANCE

The decision of this paper is not significant as determined by the Council’s Significance Policy.

3. CONSULTATION

No consultation is required for this initial request, the scope of any study should have some input from interested stakeholders.

4. COMMUNITY OUTCOMES

Such a study would contribute to the Council’s vision statement of “A region with a vibrant community, a prosperous economy, a clean and healthy environment, now and for future generations" by ensuring no significant fossil fuels exploration occurs without Council being convinced it can be done in a way that is safe, healthy, sustainable and is not likely to negatively impact on existing businesses and the environmental wellbeing of the district.

5. LEVELS OF SERVICE

This proposal is unlikely to require significant staff time and therefore should not negatively affect existing levels of service.

6. FINANCIAL

Apart from a few hours of staff time this proposal has no new financial implications for Council.

7. LEGAL

N/A

8. POLICY

The outcomes from such a study may be used to strengthen Council policy.

APPENDIX ONE

A brief list of some of the latest studies, jurisdiction bans and expert opinion on fracking.

The Council of Scientific Society Presidents—which represents 1.4 million scientists from more than 150 scientific disciplines - reported to the Obama administration in May 2010, “some energy bridges that are currently encouraged in the transition from GHG-emitting fossil energy systems have received inadequate scientific analysis before implementation, and these may have greater GHG emissions and environmental costs than often appreciated.” The development of unconventional gas from shale deposits, the Council warns, is an “example where policy has preceded adequate scientific study.”	http://tiny.cc/uweez
The Tyndall Centre for Climate Change Research (a partnership between Cambridge University, Oxford University and seven other universities) found heavy CO2 emissions are linked back to the engine-powered fracking process, including the blending of fracturing chemicals and sand that are pumped from storage, and the high- pressure compression, injection and recovery of materials into and out of the well.	http://tiny.cc/g1ui5
Dr. Anthony Ingraffea of Cornell University, a hydraulic fracturing expert, claims unconventional wells have a greater total length than conventional wells, due to their lateral extensions underground. This greater total length means that unconventional gas wells require more and heavier drilling equipment, longer drilling time, higher probability of drilling problems, and more venting during drilling. In addition, these longer wells require more and heavier fracking equipment, more stages and volume per stage, more plugs and longer drill-out periods. Also significant, these large-scale drilling operations produce more flowback waste and produced water, which in turn means higher volumes of waste for longer periods and more venting and flaring of gas.	http://tiny.cc/b92w8
Gas extraction underwent a significant technological transformation in the 1990s, when operators began using a technique developed for oil extraction: horizontal drilling.	http://tiny.cc/n2x8a
With the combination of hydraulic fracturing and horizontal drilling into a new technique known as High Volume Slickwater Hydraulic Fracturing, the overall scope of gas extraction has transformed, calling for unprecedented amounts of water, chemical additives and drilling pressure. Hydraulic fracturing experts like Dr. Anthony Ingraffea consider current gas drilling “a relatively new combined technology.” Although industry likes to characterize the process as successfully proven for over six decades “what they fail to say is that they’ve had fewer than 10 years of experience on a large scale using these unconventional methods to develop gas from shale…”	http://tiny.cc/yjj9a
Chemical additives are used in the primary stages of drilling and in the fluids prepared for the fracking process. Drilling muds or slurries are a mixture of chemicals and fluids used to facilitate boring. Although fracturing fluids are more commonly known to contain chemicals linked to cancer, organ damage, nervous system disorders and birth defects, drilling muds or slurries can contain a number of the same chemical constituents used in fracturing fluids.	http://tiny.cc/uweez http://63.134.196.109/ documents/RiskAssessment NaturalGasExtraction.pdf
An estimated 30% to 70% of the fracking fluid initially remains underground, although more of the contaminated fluid continues to surface for the life of the well, up to 20 or 30 years.	http://tiny.cc/cb801 http://tiny.cc/yjj9a
It is well documented that some chemicals employed in fracturing and drilling, as well as unearthed substances in flowback water, are known to cause cancer, birth defects and nervous system disorders.	http://tiny.cc/1tnzu http://tiny.cc/uweez http://riskassessmentnaturalgasextraction.pdf/
“Even if you adopt industry’s definition of hydraulic fracturing (thus excluding incidents from drilling damage, failed well casings, spills, erosion and sedimentation, or tanker accidents), there is now evidence...that the isolated process of hydraulic fracturing has been responsible for water contamination.” - Dr. Ronald Bishop. February 23, 2011.	http://tiny.cc/vayim
How water contamination occurs due to gas drilling operations can at times be difficult to determine, although the growing number of documented cases point to a variety of contamination sources.	http://tiny.cc/9lyvp
An internal document from Pennsylvania’s Department of Environmental Protection outlines over 60 instances of water contamination and fugitive methane migration from drilling operations, many of which were due to unexpected pockets of underground pressure, the failure to contain well pressure, faulty production casing, or the accidental drilling into other abandoned or producing wells.	http://tiny.cc/ku3po
Wastewater disposal through underground injection has recently been connected to a scourge of over 800 earthquakes in Guy, Arkansas. Geologists from the American Geological Survey report that a “direct correlation” can be seen between the quakes and wastewater injection disposal sites.	http://tiny.cc/njclx http://tiny.cc/6cblw
Regions which are “seismically active or intensively fissured pose greater risks for contamination than regions which are geologically stable.” - Dr. Ronald Bishop. February 23, 2011.	http://tiny.cc/vayim
An upswing in earthquakes in areas experiencing drilling has recently become cause for additional concern. After drilling began in Cleburne, Texas, the town experienced more earthquakes in eight months than in the previous 30 years combined.	http://tiny.cc/lhxs9
High-pressure fluid injection has the potential to activate faults, a concern for Jack Century of J.R. Century Petroleum Consultants Ltd., who cautions “when we start perturbing the system by changing fluid pressure, we have the potential for activating faults,” adding, “once local seismicity starts, it can’t be turned off.” Most of the earthquakes experienced in these areas are relatively small, but pose a threat to cement casings, the only measure in place to protect drinking water from gas wells and underground disposal sites.	http://tiny.cc/omp1p
The European Association of Geoscientists & Engineers provides a large body of peer-reviewed literature on the level of risk of damage inducing earthquakes caused by fracking.	http://tiny.cc/5y7pn
In August 2011 the US Geological Survey released a preliminary report establishing a link between fracking and earthquakes. The report is still under peer review.	http://tiny.cc/k30o9 http://tiny.cc/taqvk
Various other peer-reviewed empirical studies are being published on a regular basis over the past two years raising concerns about fracking as a cause of serious problems.	http://tiny.cc/m3gn2 http://tiny.cc/awfea
In November 2011, Cuadrilla Resources, a British energy company, admitted that its hydraulic fracturing operations were likely to have caused a spate of earthquakes near Lancashire. The practice has been suspended pending a review by the UK Department of Energy and Climate Change.	http://tiny.cc/zxhcx
In December 2011, a study by the US Environmental Protection Agency (EPA) into hydraulic fracturing reported finding a host of chemicals in the groundwater around fracked wells in Wyoming state. These included petroleum hydrocarbons such as benzene, and tert-butyl alcohol, a fuel additive, which is among the more than 500 chemicals that are typically mixed with sand and water and blasted into shale to fracture the rock and release the gas.	http://tiny.cc/e04uw
In addition to complete bans and moratoria in places like France, Switzerland, New Jersey, South Africa, New South Wales, New York State and a number of counties in the USA, local authorities in County Clare, Donegal, Sligo Roscommon & Leitrim in Ireland have all resolved to not allow fracking. Bulgaria has also banned fracking in the last month.	http://tiny.cc/p68iu http://tiny.cc/k1bqr http://tiny.cc/asr5p http://tiny.cc/6r017

HAWKE’S BAY REGIONAL COUNCIL

Wednesday 29 February 2012

SUBJECT: Quarterly Significant Initiatives Update for Council

Reason for Report

1. Significant Council resources are being directed toward various initiatives which reflect the Council’s evolving agenda and it is considered important that Council is more consistently informed on progress in areas that have a high external profile.

2. This is not intended to be a ‘repeat’ of information reported through the Project Narratives or Group Summaries, but rather ‘additional’ information or statistics not contained within those documents. Staff will provide these updates within the quarterly Annual Plan reporting timeframes.

Water

Water Metering

3. Water use is now being reported for 890 resource consents.

4. 288 consent holders, covering 537 individual resource consents, are now using Council’s web entry system to report their water use, with more consent holders joining weekly. This is an increase of 42 individual resource consents since the last quarterly update.

5. 111 consents are using Council’s telemetry system to report their water use and then viewing their wateruse as it is displayed on Council’s website.

6. The uptake of consents using either telemetry or the Council web entry system has already surpassed the projected target of 400 consents using these methods by June 2012. The objective is now to have a further 450 consents metered by the end of November 2012.

7. Since the last quarterly update in November 2011, 127 new water meters have been installed, for a total of 247 since the programme began. These are only meters that have been put in by approved installers.

8. Over summer the Web water use entry page has had an update which allows users to view a graph of the river flows at the low flow monitoring point on their consent.

Water Storage

Ruataniwha Water Storage

9. Work is proceeding in a multitude of areas for the Ruataniwha project with significant emphasis on Dam pricing refinement, optimisation of the headrace and reticulation network and costing, findings from the aquatic and terrestrial studies are due to be reported back at the end of February, first draft reports for all the non-science works have been received (Noise, Recreation, Road and Traffic, Archaeology & Landscape).

10. Land use intensification studies are on-going with nutrient modelling, groundwater/surfacewater modelling now well advanced and initial work on mitigation options commencing.

11. Economic studies are also progressing to plan with further on farm economic reviews scheduled, a request for proposal prepared for scheme financing and industry sector groups well engaged. Scheduled stakeholder and Leadership meetings have been held and media enquiries and newsletter have been produced.

12. The first claim from the MAF Irrigation acceleration fund has been prepared for $800,000 with approval expected this month.

13. The overall project is currently on track for programme and budget at this time.

Ngaruroro Water Storage

14. The prefeasibility stage of the project was completed in June 2011 and an interim on-farm economic analysis as a means of determining project viability is to be carried out by May 2012. MacFarlane Rural Business and HBRC staff will undertake this work.

15. An application has been developed seeking funding for 50% of the cost of this work from the MAF Irrigation Acceleration Fund, for the amount of $35,000, with the remaining contribution to be confirmed by Council. This work will be completed prior to seeking direction from Council as to taking this project to full feasibility.

Central Hawke’s Bay Wastewater Treatment and Discharge

16. Resource consent application notified 28 January 2012.

17. Submissions close 29 February 2012

18. Hearing tentatively set for first week of April

19. Detailed design now underway for irrigation to Waipawa forest block

Mahia Wastewater Treatment and Discharge

20. Forest planted 2011 winter.

21. Staff working with Wairoa District Council, their consultants, and other stakeholders regarding detailed design issues, and catchment planning associated with the Whangawehi catchment as required by the resource consent conditions.

22. Legal Agreement between Wairoa District Council and HBRC regarding use of the land being developed.

Tutira

23. Contractual arrangements for the development of a high UMF Manuka block within Tutira Country Park in final stages of preparation.

24. A proposal to develop a concept plan for recreational opportunities including Waihapua and Tutira Country Parks has been received and is being considered.

Flood Control and Drainage Schemes

25. Asset Management Plans for the major flood control and drainage schemes administered by Council completed and submitted for audit

26. A proposal in improve the level of service provided by the Heretaunga Plains Scheme – Rivers being consulted on through the Long Term Plan process.

27. Issues with Makara Flood Control Scheme being discussed with Community on 1 March 2012.

28. Proposal to develop a Community Scheme for Kairakau presented to community representatives. Public meeting will be held subject to feed back from community representatives.

29. Working with the Waimarama Community with regard to the establishment of a flood control scheme for that community.

Biosecurity

30. Regional Pest Management Strategy and Regional Phytosanitary Pest Management Strategy review progressing. Hearing held 15 February 2012. Subject to Council adoption of Hearings Panel recommendations, and no references to the Environment Court being received, it is planned for Council to “make” the Strategies on 22 April 2012.

31. Negotiations underway with Animal Health Board regarding HBRC’s ongoing involvement in vector management in Hawke’s Bay following expiry of current service delivery contract 30 June 2013.

32. Discussion being held with horticultural industry sector and MAF regarding expected changes to Biosecurity Act, proposed Government Industry Agreements, and how risks of pest or disease incursion can be proactively managed in Hawke’s Bay.

HB Land and Water Management Strategy

33. The Hawke’s Bay Land and Water Management Strategy was launched at the 2^nd Water Symposium in November 2011. At the same time, the Tukituki River Catchment was presented as a case study. Implementation of the Strategy includes the preparation of annual action plans and monitoring reports.

Resource Management Plan Changes

34. The table below documents the current status of various Plan Change processes.

Change	Indicative notification timeframe
Regional Coastal Environment Plan	N/A (appeal resolution only)
Air Quality	Operative from 1 January 2012
Rivermouth hazard areas	N/A (submissions closed, hearing to be scheduled)
Onsite wastewater discharges	N/A (submissions closed, hearing to be scheduled)
Taharua strategy and plan change	Update presented to Environmental Management Committee on 8 February 2012. Committee endorsed broader geographic scope to cover whole Mohaka River catchment, subject to staff identifying appropriate funding methods for extended scope and reported back to Council.
Built Environment RPS Change (aka ‘Growth Management’)	Notified on 7 Dec 2011. Staff currently summarising the 45 submissions received. Further submissions to be invited March/April. Hearings late 2012 by panel of HBRC, Napier CC and Hastings DC representatives.
Stormwater strategy and plan change	Draft Regional Stormwater Strategy released for informal public feedback Dec-Feb. Strategy will inform plan change preparation. Notification timeframe TBC, subject to scope and content of submissions received on stormwater-related provisions in Built Environment RPS Change.
Freshwater flows / allocation	Consultants have been engaged to project manage the development of policy for the Tukituki Catchment. This policy development will address water allocation and minimum flows as well as setting water quality limits. While there is considerable work to do, it is on track for adoption in July, in order for the new policy to be in place for the consent processes in 2013. 30 Karamu consents also expire in 2013. Council has resolved to take an integrated approach to managing the surface and groundwater resources of the Heretaunga zone which includes Tutaekuri and Ngaruroro rivers, Karamu and Clive rivers and the Heretaunga Plains groundwater system. This will include water quantity and quality. Staff are working on the consent process for the Karamu to ensure that it is as streamlined as possible. Staff have also met with a group of consultants working on a FRST funded project with a view that the Heretaunga Zone project could be used as a case study.

Future Scenarios Utilisation Plan

35. HB 2050 Land River Us comprises three scenarios supported by a considerable amount of information about different factors which have the potential to impact and influence Hawke’s Bay futures. It is, in itself an output, which when used as a tool becomes an input into discussions about what the future may hold.

36. While little progress has been made on the socialisation plan, there have been a range of discussions across the region over the last six months which have incorporated the ‘futures thinking’ that the scenarios were designed to foster. This includes the Regional Economic Development Strategy, the project brief for the ‘Prosperity Study’, the Council’s own Strategic Plan and the HB Land and Water Management Strategy.

Transport

37. The Heretaunga Plains Transportation Study was adopted by the Regional Transport Committee recently. This was a 2 year project jointly funded by New Zealand Transport Agency, Hawke’s Bay Regional Council, Hastings District Council and Napier City Council. It modelled the future land use from the Heretaunga Plains Urban Development Study and has identified key strategic roading projects to improve transport infrastructure for economic productivity, bearing in mind the potential transport requirements should land use intensification occur in Central Hawke’s Bay as a result of improve water security.

38. The technical recommendations from this report will be considered as part of the Regional Land Transport Progamme and the Regional Land Transport Strategy which is to be consulted on concurrently with the Long Term Plan.

Land

Council owned Forestry

39. Council forestry assets include the following:

39.1. Tutira Park 120 ha (Pinus Radiata)

39.2. Waipawa 85 ha (mainly eucalyptus but a few pines on harder faces)

39.3. Waipukurau 100 ha (mainly eucalyptus but a few pines on harder faces)

39.4. Waihapua Forest Park 116 ha eucalyptus and 24ha Redwoods and mixed dryland species planted. Balance to be planted in 2012.

39.5. Mahia 40 ha planted this winter (mainly eucalyptus but a few pines on harder faces)

39.6. Tangoio (managed by Council on behalf of Central Government) 550 ha of which 300 ha is production forestry, mainly Pinus Radiata.

40. Staff are currently:

40.1. Developing a business case for a regional afforestation project for the planting of approx 15,000ha of forest over the next 10 years. This planting to be integrated into pastoral farming systems with the key objective of reducing soil erosion on the steepest land in the region.

40.2. Establishing a management, monitoring and reporting framework for HBRC current forestry assets.

40.3. Discussing with Office of Treaty Settlements and Land Information NZ the transfer of Tangoio Soil Conservation Reserve to HBRC ownership

Community

Heat Smart

41. The annual plan targets were reviewed as part of planning processes late last year and revised targets have been agreed based on the assumptions presented to Council at the planning workshops. The programme is meeting the revised targets. As can be seen from the financial report this month the number of applications for grants and loans have increased significantly. This is due to increased public awareness of both the first phase out date for fires in January 2012, and the introduction of the ‘point of sale’ rule which was publicized through the Real Estate Institute and the local media.

42. One supplier has been particularly active in telemarketing and this has resulted in a substantial increase in applications for grants and loans. In January 2011 the Clean Heat Programme processed 16 applications and in January 2012, 85 applications were processed. Financially, the programme is on track and the balance of loans and grants is being monitored. While the volume of loans has increased the value of the loans is less than was budgeted last year. At this point in the year we are looking for 58% of activity being completed. With the applications in process and completed, as of the end of January we are at 66%.

43. Between July 2011 and January 2012 HBRC have approved and provided grants and loans to a total of 950 homes. EECA in the same period have provided 1978.

National Cycleways

Work continues on the various rides with progress as follows.

44. Landscapes – Work has now been substantially completed on the Tukituki road (Red bridge to Moore Road), Smalls section (Red Bridge to Craggy Range winery) and the River Road section. The last remaining section of this trail to complete is from River Road to Craggy Range Winery where negotiations are well advanced in agreeing an acceptable alignment with HDC and landowners.

45. Water – Significant progress has been made on the outstanding sections of trail for this ride. Resolution was achieved with the pistol club that has allowed the section of trail around Rorookuri and Onehunga to be completed and opened. An alignment for the section of trail through the Pandora wetland has also been agreed between HBRC, NCC and DOC with final detail being completed by NCC and work due to commence soon. Additional detail on the Taipo section of trail in Church Road is nearing completion and awaiting NCC’s decision, in the hope that this section of construction will also proceed. Detail for a small section of trail adjacent to the Pettigrew Green Arena has finalised and is also ready for construction.

46. Winery – The first section of trail from Ormond Road to Fernhill, on the Ngaruroro stopbank has now been completed and opened. Contracts have been let for 3 other major sections of trail around the Ngatarawa, Bridge Pa and Stock Road areas with work now due to commence. Further negotiations are required with NZTA for a section of trail on SH50 and Maori trustees on the Fernhill reserve section of land with resolution expected in this areas.

47. The overall HB Trails project currently remains on track for programme and budget.

Leasehold Land (1 July – 31 January 2012)

48. The strategy for the sell down of Napier leasehold property is progressing.

· 88 lessees have freeholded their properties, at the value of $7,229,540.

· 31 leasehold properties transferred ownership.

· 9 properties are utilising the deferred payment scheme.

· 99 freeholding valuations, for 112 lessees, have been requested.

Treaty Settlements and the Establishment of the Regional Plan Committee

49. The relationships between Council and the various Treaty settlement groups with interests in Hawke’s Bay continue to develop at various rates.

50. Involvement of Council in specific Treaty settlement negotiations and the status of each of those settlements are as follows.

50.1. The Deed of Settlement between the Crown and Ngati Pahauwera was signed in December 2010. The Settlement legislation was introduced into the House in June 2011. The second reading of the legislation occurred in the second week of February 2012 and, at this stage, the Bill is expected to be passed in April.

50.2. An Agreement in Principle between the Crown and Maungaharuru-Tangitu Inc was signed at Parliament on 22 September 2011.

50.3. The mandate of Te Tira Whakaemi o Te Wairoa (roughly Wairoa to Mahia) was recognised by the Crown in February 2011 and that of He Toa Takitini (Heretaunga and Tamatea) was recognised in December 2010.

51. Progress in determining the principles and procedures for the establishment and operation of the Regional Planning Committee is as follows:

51.1. A Deed of Commitment, describing why the parties are sitting around the table together and establishing a vision and principles for the ongoing relationship of tangata whenua and the Regional Council was endorsed by Council in September 2011. It is being circulated to the Treaty claimant groups for signing.

51.2. Terms of Reference for the Regional Plan Committee have been adopted by Council. The Treaty claimant group have been invited to advise Council of their appointees to the Regional Planning Committee, for formal approval by Council. This will occur at the Council meeting of 21 March 2012. The first meeting of the RPC scheduled in Council’s meeting calendar for the 8^th March, will now be an Environmental Management Committee meeting. The first meeting of the Environment and Services Committee, scheduled for 4 April, will now be the first meeting of the Regional Planning Committee. Several training sessions with the new Committee members will occur in April-June with the new Committee structure expected to be in place from 1 July.

Business Hawke’s Bay

52. Business Hawke’s Bay has its launch on Wednesday 29 February. Up until now it has been operating well under an Advisory Group consisting of economic development related practitioners from councils and associated organisations, governed by a Board of private sector representatives. The Statement of Corporate Intent outlining its structure, objectives and operating parameters is attached.

Decision Making Process

53. 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 to be made, the decision making provisions of the Local Government Act 2002 do not apply.

Recommendation

1. That Council receives the report titled ‘Quarterly Significant Initiatives Update for Council’.

Mike Adye

Group Manager

Asset Management

Helen Codlin

Group Manager

Strategic Development

Paul Drury

Group Manager

Corporate Services

Graeme Hansen

Group Manager

Water Initiatives

Liz Lambert

Group Manager

External Relations

Andrew Newman

Chief Executive

Attachment/s

1 View

Business Hawke's Bay Statement of Corporate Intent

Business Hawke's Bay Statement of Corporate Intent

Attachment 1

Business Hawke’s Bay

STATEMENT OF CORPORATE INTENT

2011/2012
CONTENTS

1 INTRODUCTION.. 3

2 OBJECTIVES. 4

2.1 Vision. 4

2.2 Mission Statement 4

2.2(a) Business Style..................................................................................................................... 4

2.3 Principle Objectives.......................................................................................... 4

2.4 The Business Hawkes Bay Board’s Approach to Governance. 6

3 NATURE AND SCOPE OF ACTIVITIES. 7

4 STRATEGIC DIRECTION FOR 2011/12. 8

4.1 Financial Sustainability. 9

4.2 (Business ) Community “Ownership”. 9

4.3 Hub for Business and Centre for Regional Business Marketing. 10

4.4 Customer Service. 11

5 FUNDING AGREEMENT. 12

6 PERFORMANCE MONITORING, ACTIVITY OBJECTIVES
AND PERFORMANCE TARGETS. 13

6.1 Financial Sustainability. 14

6.2 Identifiable Business Retention, Growth and Success Processes ……..……….14

8 EVENTS REQUIRING THE APPROVAL OF THE CHAMBER. 17

9 INVESTMENT IN OTHER ENTITIES. 18

1. INTRODUCTION

Business Hawke’s Bay commenced in August 2011 following an initiative of the Hawke’s Bay Chamber of Commerce (”the Chamber”) and intensive discussion with sponsors and local governments in the Bay, to operate and deliver a collaborative activity for fostering business development and business growth in the Bay and to promote and market Hawke’s Bay as an attractive place to start, grow and relocate businesses.

Business Hawke’s Bay is an autonomous, arms-length business unit and activity of the Chamber with a separately appointed Board (by the Chamber) and acting within this SCI . Issues related to Hawke’s Bay business development that in the opinion of the Business Hawke’s Bay Board that require public comment will be referred back to the Chamber board for relevant advocacy and lobbying.

The following Statement of Intent has been prepared and explains the intentions and expectations of Business Hawke’s Bay as at November 2011.

The purpose of this Statement of Intent is to:

· Outline the proposed activities, intentions and objectives of Business Hawke’s Bay for the period 1 November 2011 to 31 October 2012.

· Provide an opportunity for the Chamber and other stakeholders to influence the direction of the organisation.

· Provide a basis for accountability of the board to their stakeholders for the performance of the organisation.

Business Hawke’s Bay provides the wider business community with a governance structure for the delivery of activities.

An arms-length Board provides a sound platform for achieving an existing legal structure without being too expensive with alternate overhead costs, as well appropriately integrating Chamber back up and support from the private sector.

2. OBJECTIVES

2.1 Vision

GROW THE BAY

2.2 Mission Statement

To retain, grow and attract vibrant businesses and people talent, making Hawke’s Bay the best regional location in which to work, invest, live and grow

2.2(a) Business style

Business Hawke’s Bay is a collaborative and complementary organization that makes best use of resources available in the region. The advisors to the Board will include all the Council Economic Development Managers in the region as well as the Chamber of Commerce CEO and GM Hawke’s Bay Tourism. This is to ensure full advice, project and activity alignment and strategic agreement. i.e. one economic support approach for the Bay.

2.3 Principle Objectives

Business Hawke’s Bay will meet its Mission and meet its obligations to the many and varied stakeholders through the following objectives:

Foundation Work.^{^[1]}

1. Prepare a coherent, consistent and co-ordinated business advisory service plan to encourage business start-ups, business growth and business attraction.

2. Set up a clear digital strategy for Hawke’s Bay that demonstrates productivity gains from these transformation technologies.

3. Contribute to labour market planning in association with partners in training, skill acquisition and workforce development.

Advocating for a seamless Hawke’s Bay wide, local government economic support services that are consistent in application and effect.

Tactical

1. Market the region as a best regional place for business.

2. Execute a planned and systematic approach to business relocation attraction activity including relevant support to PONL on their Business Migration project, surgical identification and work to attract relocations (import hubbing and distribution).

3. Advocate for and lead the development of business innovation centres of excellence in the areas of:

a. Agri-Food commercialization and value add, horticulture & nutraceuticals

b. Added value to rural industries-additional processing and food engineering

c. Information and communications technology (ICT)

d. Distribution

4. Facilitate business growth (existing businesses) enabling them to profitably grow and expand.

5. Actively promote coordinated business support services to businesses.

6. Co-ordinate and promote skill and training support to all business.

7. Target high net worth migrants both from elsewhere in New Zealand and overseas, to invest and live in Hawke’s Bay.

8. Capture and utilise private sector investment. i.e. Angel and early stage investment.

Strategic

1. Research and assess future economic directions.

2. Advocate in regard to necessary infrastructure.

3. Identify and promote long term strategic imperatives.

4. Facilitate some key initiatives and structures that would deliver targeted economic outcomes that would have long term beneficial effect.^{^[2]}

5. Build business confidence

2.4 The Business Hawkes Bay Board’s Approach to Governance

Notwithstanding that the Business Hawkes Bay Board is an arms-length appointment of the Chamber, the Business Hawkes Bay Board’s approach to governance is to adopt “best practice” as recommended by the Institute of Directors in New Zealand Inc. with respect to:

1. The operation of the Board.

2. The performance of the Board.

3. Managing the relationship with the Chief Executive Officer.

4. Accountability to stakeholders.

5. Professional development of directors (as appropriate).

The Business Hawkes Bay Board works collaboratively with core Chamber operations, as the key stakeholder, but equally with the key funders and councils and endeavours to ensure a “no surprises” relationship. Informing stakeholders well in advance of issues considered potentially contentious in the public arena, whether the issue is inside or outside the issues outlined in the SOI. The Business Hawke’s Bay Board also works with the wider Reference Group consisting of any group that considers it has an involvement in economic matters pertaining to Hawke’s Bay, to gain information, alignment and congruence with overall economic directions and initiatives.

Business Hawke’s Bay Reference Group- meets each four months

3. NATURE AND SCOPE OF ACTIVITIES

Business Hawke’s Bay delivers collaborative activities related to economic development in Hawke’s Bay and markets for economic development opportunities outside Hawke’s Bay.

Central to its activities is the Advisory Group consisting of the Economic Development Managers of the five councils, Hawke’s Bay Tourism and the Chamber. This group acts as a clearing house for ideas and initiatives and commits to fully aligning economic activities Hawke’s Bay with different members taking lead in specific areas or agreeing that it requires Business Hawke’s Bay directly to take the lead. Other members may be added to the advisor group as they offer value to the connection. Currently these additional members include representatives from MSD/WINZ and Hawke’s Bay Airport Ltd. The advisory group is operationally focused with new initiatives being referred to the business Hawke’s Bay board for decision and direction.

Among other things, Council’s take the lead role in regard to infrastructural support for economic development and facilitation roles.

Business Hawke’s Bay plays a leading role across the Hawke’s Bay business community and undertakes a significant range of business development activities each year in this collaborative model.

4. STRATEGIC DIRECTION FOR 2011/12

Business Hawke’s Bay is a newly formed entity.

During its first year of operation, the strategic direction will focus on the following areas:

Consolidation: Ensuring that the foundation activities outlined above are seamlessly operating.

1. Set up a clearly identifiable business retention, growth and attraction process with appropriate collateral and actions to advance this part of the agenda.

2. Provide a known e-commerce business hub and ICT cluster process that demonstrates the benefits of digital commerce and its critical place in boosting profitable business outcomes.

3. Co-ordinate and where appropriate, deliver a business advisory service with partners that is seamless for start up and ongoing support to business owners and managers.

4. Demonstrate in all activities a collaborative approach in support of partners to deliver the total Hawke’s Bay business development agenda.

Planning for Growth: Ensuring that Business Hawke’s Bay actively pursues planning for future growth and associated opportunities that meet community needs in the medium and long term;

1. Provide support to existing businesses to expand their sales and profitability through cluster market efforts, research and innovation support.

2. Target potential relocations and actively pursue Hawke’s Bay options to be relentlessly readied.^{^[3]}

3. Identify growth of either existing or new/attracted businesses that have resulted from Business Hawkes Bay activity with partners/stakeholders.

Financial Control and Accountability: ensuring that stakeholder investment is managed and controlled in a responsible manner while meeting the strategic objectives of the organisation.

4.1 Financial Sustainability

To develop financial models and systems that will enable the activity to thrive.

Context:

Initial funding is on a three year commitment. However it is hoped that this commitment can be a rolling three year programme. It is the Hawke’s Bay Chamber of Commerce’s responsibility to seek funding and in-kind support, however the performance of Business Hawke’s Bay will inform the success of this.

It is critical that (financial) stakeholders are convinced that Business Hawke’s Bay is value for money. Strong financial systems and policies will be important, as will running the activity on sound business principles and practices. Clear information flows to stakeholders will also be important.

Key Strategies:

· Developing successful business support and economic development activity.

· Exploring funding and sponsorship opportunities (with the Chamber).

· Maximising activities that has income generating potential.

· Establishing prudent financial management systems.

4.2 (Business) Community “Ownership”

Ensure that Business Hawke’s Bay has a strong sense of (business) community ownership and appropriate participation.

Context:

Ensuring the (business) community has a sense of ownership of and involvement in Business Hawke’s Bay and is seen as critical in adding value to businesses and adding value to the economic development of the community.

A key driver in achieving a sense of ownership is celebrating success and telling the business story.

Key Strategies:

· Ensure that stakeholders are involved through either the Reference Group or other communications.

· Develop low cost initiatives that will encourage the public into being supportive of Business Hawke’s Bay or at least to know about its operations.

· Develop initiatives to improve information flows to existing businesses, to involve them as appropriate in activities or at least to encourage them to automatically seek Business Hawke’s Bay support, when considering expansion.

· Develop partnerships with key, mutually supportive organisations.

· Celebrate business success.

4.3 Hub of business and centre regional business marketing.

Position Business Hawke’s Bay as the regional conduit for business grow- support, attraction and marketing

Context:

Hawke’s Bay has to feel good about itself to reinforce local business investment as well as attract new sources. Deepening and enriching the business experience is essential to balance commodity business bias. Having a variety of quality businesses will create a vibrant economy. It is - securing business from outside the region that makes the greatest economic impact and increases the national profile of Hawke’s Bay. The challenge will be to strike the right balance between growing existing and attracting new. Hawke’s Bay Today and other publications have indicated a willingness to partner to this end.

Key Strategies:

· Develop a proactive approach to communicate Business Hawke’s Bay’s overall strategy and activities and target influential groups for maximum exposure.

· Develop strategic partnerships and working relationships with existing regional stakeholders.

· Work with existing businesses to actively grow their businesses initially through several clusters.

· Ensure staff and contractor skills are appropriate to deliver results.

4.4 Customer Service

Business Hawke’s Bay will provide excellent customer service to achieve high levels of customer satisfaction.

Context:

In economic development terms, customer service is about being forward looking; in understanding customer needs and all staff have a commitment to identifying and meeting these needs and following up enquires with speed, efficiency and integrity.

Key Strategies:

· Staff are focused on customer care across all areas of the operation.

· Services provided to a high standard so that business comes to us.

· We ask for the business.

5. FUNDING AGREEMENT

The Business Hawke’s Bay Board and the Chamber will enter into a Funding Agreement for the operation and management of the activity for the year commencing 1 October 2011.

The Funding Agreement will set out the services to be delivered and the agreed minimum levels of performance that are to be achieved in each service area, which will include:

· The scope of services.

· The methods by which those services are to be delivered.

· Key performance indicators and performance standards.

· Provision for auditing of the adequacy of systems, processes and performance.

The Funding Agreement will also detail such other matters as need to be established between Board and the Chamber including:

· The level of funding available from the Chamber.

· Back office support to the Board.

· Insurance.

· Term and review of the agreement.

· Communications protocols and integration with the Chamber.

· Performance monitoring and reporting.

The Funding Agreement will provide for performance indicators and standards to be reviewed annually.

6. PERFORMANCE MONITORING, ACTIVITY OBJECTIVES AND PERFORMANCE TARGETS

Performance monitoring will occur against both the Statement of Intent and the Funding Agreement. The Chamber will monitor the performance of the Business Hawke’s Bay Board to evaluate its contribution to the achievement of:

a) The performance targets detailed in the Statement of Intent and the Funding Agreement.

It is acknowledged that Business Hawke’s Bay is predicated on the longer term growth of Hawke’s Bay. Many initiatives will be strategic in context, content and delivery will be collaborative in process so that performance will often be a function of partnerships.

The actual performance of Business Hawke’s Bay will be reported regularly to the Chamber in accordance with the Funding Agreement and the requirements outlined in this document and broadly cover matters including:

· Identifiable Business retention, growth and attraction,

· Planning for Growth.

· Financial Sustainability.

· (Business) Community “Ownership”.

· Hub of business and centre regional business marketing.

· Customer Service.

· Level of engagement and support from key stakeholders.

6.1 Financial Sustainability

Outcome: To develop financial models and systems that will enable Business Hawke’s Bay to be financially sound.

Objective

Performance Indicator

Ensure that the Board’s financial targets are within the funding available from the Chamber

Actual financial performance is consistent with the funding available from the Chamber

	2011/12	2012/13	2013/14
	($000)	($000)	($000)
Total Revenue	$240	$240	$240
Net profit (Loss)	0	0	0

6.2 Identifiable Business Retention, growth and success processes

Outcome: Clear strategies to support business in Hawke’s Bay to grow and actions to attract new businesses.

Objective

Performance Indicator

a. Provision of an integrated Business Grow Activity

b. An active Business Attraction Activity

a. At least 600 businesses actively get involved in Business Grow.

b. At least 6000 businesses registered in the integrated HB business directory

c. At least 100 external leads are followed up with a ‘strike rate’ of at least 10%

6.3 Business foundation services

Outcome: Ensure e-commerce, business advisory services, skill/training integration is co-ordinated and positively available for businesses to access or develop.

*Objective*	*Performance Indicator*
Seamless set up by February 2012	Full launch in February with business grow and business attraction fully operational and at least 2 business enabling projects underway.

6.4 Collaboration

Outcome: Ensure Business Hawke’s Bay in all matters is seen as collegial in operation and adds value to joint initiatives.

Objective

Performance Indicator

Activities are seen as seamless

Minimal overlaps or duplication

6.5 Relationship with Stakeholders

Outcome: Stakeholders are satisfied with Board’s approach to its activities and are publically supportive.

Objective

Performance Indicator

Ensure that stakeholders^{^[4]} are kept informed of all significant matters .

The “no surprises” policy is adopted at all times.

Business Hawke’s Bay has an active communication engagement with the business community and the wider community where relevant.

Communications plan in place and reviewed 6 monthly.

7. INFORMATION TO BE PROVIDED TO THE CHAMBER BOARD

Annual Statement of Intent

The Business Hawke’s Bay Board will provide an SOI for each future financial year within one month prior to the end of the current financial year.

Annual Report

Within 90 days after the end of each financial year, the Business Hawke’s Bay Board will deliver to the Chamber Board a ‘short form’ annual report which will consist of:

· A Chairman’s report

· A Chief Executive’s report, containing a review of operations with specific attention to the performance of the organisation against the key performance indicators established in the Service Level Agreement

· A comparison of actual performance with targeted performance

Financial Accounts

The Chamber will provide the Business Hawke’s Bay annual audited financial accounts with their accounts by 30 June each year and will include:

· Statement of Financial Position

· Statement of Financial Performance

· Statement of Cash flows

Meeting Minutes

Business Hawke’s Bay Board will provide a copy of its minutes to the Chamber Board, all councils and other relevant stakeholders and be prepared to verbally expand on these as requested.

8. EVENTS REQUIRING THE APPROVAL OF THE CHAMBER

The Chamber Board will ensure that the Business Hawke’s Bay Board- does not, without prior written approval from Chamber Board, do any of the following:

· Enter into any transaction or series of linked or related transactions which constitutes a material risk to the financial stability of the Chamber.

For the purposes of this SOI, “Material Risk” means:

· A transaction or series of linked or related transactions that will exceed the agreed revenue sum in the funding agreement advised by the Chamber Board to the Business Hawke’s Bay Board each year.

9. INVESTMENT IN OTHER ENTITIES

Unless authorised by the Chamber Board, the Business Hawke’s Bay Board will not purchase or acquire any shares in any other company or other organisation.

For and on behalf of Business Hawke’s Bay and the Hawke’s Bay Chamber of Commerce

Chairman Chairman

Hawke’s Bay Chamber of Commerce Business Hawke’s Bay

HAWKE’S BAY REGIONAL COUNCIL

Wednesday 29 February 2012

SUBJECT: Financial Report for the 7 Months Ended 31 January 2012

Reason for Report

1. This Annual Plan Progress Report is an abridged report and covers the first seven months of the 2011/12 financial year ending 30 June 2012. The report consists of commentary on financial results to 31 January 2012 and various financial reports

Summary of Financial Position to 31 January 2012

2. The actual result covering the Council’s general funded operations for the first seven months of 2011/12 is a surplus of $708,450. This compares with the Annual Plan budget deficit of $309,314 and forecast deficit of $308,314 for the full year.

3. The $1,000 decrease in the forecast deficit arises from Council’s decision to proceed with the Tutira manuka honey forestry proposal. Biosecurity staff time has been transferred from general funded activities to this activity, which is funded by the Sale of Land Reserves.

Comment on Financial Results for Seven Months to 31 January 2012

Groups of Activities

4. This report establishes that the net expenditure on groups of activities for the first seven months is 54% of the budgeted net funding requirement, as against an equal monthly pro-rata comparative of 58%. The comparative figure for the seven months to 31 January 2011 was 52%.

5. Strategic Planning shows a net expenditure of 45% of budget. While expenditure is tracking at 60% of budget, income is well ahead at 84% of budget after receipt of $160,000 from the Ministry for the Environment to assist in the funding of the National Environmental Monitoring Standards project.

6. Regional Resources shows both gross and net expenditure to be 44% of budget. While internal time costs are tracking appropriately at 55% of budget, expenditure on grants for the regional land scheme was only 16% of budget and expenditure on consultants and contractors was only 20% of budget.

6.1. Science project leaders advise that their projects are progressing well and expect that all projects will be completed on budget by year-end.

6.2. The land management project leader advises that regional land scheme grants are paid out towards the end of the financial year because most work is carried out by farmers in the summer and autumn and billed later in the year. However, the April 2011 storm event may result in farmers having less cash available to invest in regional land scheme works this year and therefore the regional land scheme take-up this year could be below budget as a result.

7. Regulation shows a net expenditure of 110% of budget. Expenditure on regulation activities is in-line with budget at 57%, however, billing for consents and compliance is not. Billing for compliance is traditionally completed at the end of the financial year and consents are preparing to complete the billing of approximately $400,000 for the Twyford consent process begun in 2009.

8. Emergency Management shows a net expenditure of 36% of budget. The budget includes costs to set-up a Group Emergency Coordination Centre based in Hastings, which has not come to charge. Napier staff members are scheduled to move to the Hastings based on 27 February 2012.

Operations Group

9. Operations Group reports a surplus of $270,914 for the seven months to 31 January 2012. $157,000 of the surplus relates to Council activities that will be created to the river control and flood protection schemes at the end of the financial year.

10. If these activities were excluded, the Operations Group result would be a surplus of $114,000. The Manager, Operations Group expects that the year-end result for external work will be approximately $130,000 due to a number of successful tenders for external work in the year to date. However, Operations Group staff are committed to Regional Council work for the remainder of the year and have little spare capacity for additional external work.

Regional Income

11. Total regional income represents 58% of the budgeted net funding contribution for the first seven months of the financial year, as against a pro-rata of 58%.

12. This result includes a Disaster Reserve deficit of $25,000 or 279% of budget. The Disaster Reserve project earns interest and dividends and pays for disaster insurance for Council assets. Insurance costs this year are nearly triple those paid last year and have been paid in advance, thus causing the deficit at the end of this period.

General Funding for Capital Projects

13. The general funding requirement for capital projects is $160,782 or 36% of budget and in line with the seasonal, pro-rata expectations for this time of year.

Healthy Homes – Summary Activity Report

Volumes

Loan Type	2011/12 Targets		7 Months to 31 January 2012
Loan Type	Annual Plan Nos.	Revised Nos.	Pro-rata Target Nos.	Actual Nos.	*Committed Nos.**	Total / Actual Committed Nos.	Actual / Committed Over Revised Target (%)
Insulation Loans	492	400	233	187	112	299	75%
Clean Heat Loans	310	250	146	84	56	140	56%
Clean Heat Grants	228	250	146	89	63	152	61%
Totals	1,030	900	525	360	231	591	66%

* Committed are applications that are approved but for which invoices have not yet been paid

Expenditure (excluding GST)

Loan Type	2011/12 Targets		7 Months to 31 January 2012
Loan Type	Annual Plan $’000	Revised $’000	Pro-rata Target $’000	Actual $’000	Committed* $’000	Total / Actual Committed $’000	Actual / Committed Over Revised Target (%)
Insulation Loans	971	788	457	289	224	513	65%
Clean Heat Loans	818	660	385	206	138	344	52%
Clean Heat Grants	159	152	88	55	38	93	62%
Totals	1,948	1,600	930	550	400	950	60%

* Committed are applications that are approved but for which invoices have not yet been paid

Notes

14. The number of insulation loans actioned during the year is higher than forecast due to a major supplier focusing on marketing campaigns aimed at the provision of insulation.

15. The numbers of applications for insulation and clean heat have shown substantial increases. For instance, in January 2011 the Clean Heat Programme processed 16 applications while in January 2012, 85 applications were processed. This increased level of applications is a result of the increased media coverage at the end of the 2011 calendar year.

16. The tables above indicate that while the volumes of loans have increased, the value of the loan against forecast has decreased.

Non-recoverable Costs of Consent Appeals and Direct Referrals to the Environment Court

17. For the year to date (to 31 January 2012) costs for appeals and referrals to the Environment Court have amounted to $102,610. This includes staff time and external costs.

18. The most significant appeal related costs this year are likely to arise from the Twyford appeals. HBRC has engaged NIWA to provide expert support for the Twyford appeals and this will add up if the appeal proceeds to the Environment Court. The contract has been set in stages so that it can be stopped if the appeal is resolved. A mediation meeting was held on 2 November 2011 but this was inconclusive. The appellants wish to engage consultants to do further work before deciding whether to proceed with the appeal.

19. The Opoutama appeal has been resolved in favour of the applicant and consistent with the HBRC decision. It is anticipated that Affco and Mexted appeals are close to being resolved. However the Affco appeal continues to require some expert input to finalise the conditions.

20. The Mahia direct referral costs have been repaid in part by Wairoa District Council.

21. Costs can be sought through the Environment Court and we will be looking to recover costs by this approach where appropriate. However as discussed with EMC there are limitations to recovering these costs.

22. The following table summarises costs for appeals and referrals for 2010/2011 and for the 2011/2012 year to date.

Appeal Summary As at 31 January 2012
Appeal Name	Date of Council Approval to Defend Appeal	Estimated Cost of the Appeal as Advised to Council	Actual Costs of Appeal (Appropriate Years)		Comments
Appeal Name	Date of Council Approval to Defend Appeal	Estimated Cost of the Appeal as Advised to Council	2010/11	2011/12 to date
Twyford / Raupare (402109)	Wed 25 May 2011	Noted $150,000.00 on similar appeal	$412 ext $22,506	$24325 ext $44,945	Appeal ongoing – mediation held 2/11/11. Agreed to allow consents to commence. Appellants to initiate study and advise by Easter 2012 if they wish to continue with appeal. Legal and consultant costs will accrue this year.
Opoutama (402102)	Wed 16 Feb 2011	Noted $5,000 - $10,000 if mediated, significantly higher if not mediated	$24,432 ext $35,317	$13,160 ext $15,649	Appeal resolved 11/08/11- upholding HBRC’s decision. Court hearing was required. Appeal was not able to be mediated.
AFFCO (402046)	Wed 23 Sept 2009	Not estimated	$64,095 ext $81,321	$28,349 ext $32,884	Appeal ongoing – differences are close to resolution, but Environment Court to set further mediation dates if required. ($19,365 pre 2010/11)
Mexted, Williams and Malherbe (402051)	Thurs 10 June 2010	Not estimated	$6431 ext $8,366	$827 ext $1130	Appeal ongoing - Environment Court scheduled and deferred, may be settled by consent order. Have received advice that a revised proposal is due. ($136 pre 2010/11)
Mahia Waste water Disposal (402060)	17 Mar 2010	WDC were expected to pay all costs	$131,176 ext $151,131	$3763 ext $4001	Direct referral to the Environment Court. Of the $121,908.66 invoiced, $78,214.44 has been paid by WDC. Legal costs were not covered. Unrecovered cost is $43,667.22
NCC BTF Waste water outfall (402113)				$3570 ext $4001	This was appealed by Mr Wayne Church but was lodged after time and the Environment Court has determined that the appeal is not to proceed.
External costs			$226,569	$73,994	The sum to date for external legal and consulting advice
Total costs			$298,641	$102,610	Total includes internal staff time plus external costs.

Balance Sheet

23. Public Equity, which reflects the net value of all the Council’s assets and liabilities, has increased by $487,000 or 0.12% since the beginning of the year.

24. Non-current property, plant & equipment, intangible and infrastructure assets have increased by $5,103,000 or 3.2% since the beginning of the year reflecting the purchase of fixed assets and construction of infrastructure assets in the period, off-set by depreciation and amortisation charges. Included in this increase is $1,922,000 of development expenditure on Ruataniwha Plains Water Augmentation project, $1,051,000 on cycleway projects and $791,000 on Council forestry projects.

25. Investment property has decreased by $6,356,000 or 6.93% since the beginning of the year reflecting the disposal of 63 endowment leasehold land properties. This year staff estimate that Council will dispose of around 102 properties generating around $9,200,000.

26. Trade receivables have increased since the beginning of the year by $7,587,000 and are $2,002,000 higher than at the same time last year. The main component of the trade receivables is rates receivable, which is $2.2 million higher than last year.

27. While the quantum of rates set for 2011/12 was only slightly higher than the previous year, the increasing numbers of ratepayers choosing to pay on-line at the last minute has meant a very large increase in rates transaction processing time by Finance staff. At the time of writing this report, staff had processed almost all rates bank statements to 31 January 2012 leaving a rates receivable balance of some $2,800,000 compared with a ledger balance at 31 January 2012 of $9,800,000.

28. Trade and Other Payables have decreased since the beginning of the year by $4,186,000 as year-end invoices have been paid and accruals reversed.

29. Income in advance is $4,539,000 more than the balance at the beginning of the year mainly due to the accrual of rates revenue in advance. Rates revenue will be recognised as income proportionately over the remaining five months of the 2011/12 financial year.

30. Total Cash, Cash Equivalents and Financial Assets show a decrease of $5,216,000 or 3.0% since the beginning of the year but are almost identical to this time last year.

Cash Reserve Investments

31. The average rate of interest being earned on liquid investments is currently 4.90%. This rate is higher than the average rate of 4.63% at 30 June 2011 and lower than the rate assumed in the 2011/12 Annual Plan of 5.0% for both short and long-term bank investments.

32. The pie chart entitled “Allocation by Institution” shows the percentage of Council investments placed with various institutions. Council policy requires that no more than 25% of investments be placed with any non government–guaranteed institution of groups of associated institutions.

Regional Disaster Reserve

	($’000)
Market Value of Investments and Cash at 1 July 2011	3,525	I
Plus/(Less) realised gain/(loss) from sale of equities	6
Plus /(less) realised gain/(Loss) from sale of bonds	0
Plus/(Less) unrealised gain/(loss) in value of equities	(79)
Plus/(Less) unrealised gain/(loss) in value of bonds	48
Increase / (decrease) of cash into the fund	0
Market Value of Investments and Cash at 31 January 2012	3,500
Plus actual and accrued interest and dividends	117
Adjusted Market Value of Investments and Cash at 31 January 2012	3,617	II

33. The return on total investments for the six months ended 31 January 2012 is 2.61% (i.e. the percentage increase from i to ii above). This compares with 6.6% for the nearest corresponding period ended 30 June 2011. This result reflects the recessionary conditions in both domestic and global equity markets.

34. The components of the $3.519 million accumulated as the Regional Disaster Damage Reserve are set out in the table following.

Regional Disaster Reserve Components	Purchase Cost ($’000)	Market Value @ 31 Dec 11 ($’000)	Market Value Percentage of Reserve	Percentage Ceiling
Equities	967	1,018	28.9%	30.0%
Þ New Zealand Equities	394	395	11.2%	10.0%
Þ Overseas Equities	573	623	17.7%	22.5%

New Zealand Bonds	2,353	2,484	70.6%	-
Short Term Bank Deposits	17	17	0.5%	-
Total	3,337	3,519	100.00%	-

Decision Making Process

35. 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 to be made, the decision making provisions of the Local Government Act 2002 do not apply.

Recommendation

1. That Council receives the Annual Plan Progress Report for the First Seven Months of 2011/12 Financial Year.

John Peacock

Corporate Accountant

Paul Drury

Group Manager

Corporate Services

Attachment/s

1 View

Period 07 2011-12 Financials

HAWKE’S BAY REGIONAL COUNCIL

Wednesday 29 February 2012

SUBJECT: February 2012 Work Plan - Looking Forward

Reason for Report

1. This report is provided in order to update Councillors about significant work activities under way over the next month in each area of Council.

Group	Area of Activity	Activity Status Update
Asset Management	· Asset Management Plan reviews	Reviews of Asset Management Plans substantially complete for HPFCS and UTTS. Currently being peer reviewed. AMPs for small schemes to be done.
	· Biosecurity	Regional Pest Management Strategy and Regional Phytosanitary Pest Management Strategy Hearing held 15 February 2012. For Council adoption of Hearings Panel recommendations 29Feb
	· Land Management	A number of strategies to improve effectiveness of Council land management investment have been developed for inclusion in the LTP 2012-22.
	· CHB District Council Wastewater project	Resource consent application notified 28 January 2012, submission close 29 February
	· Mahia Beach wastewater project	Staff working with WDC, their consultants and other stakeholders on detailed design issues and catchment planning associated with the Whangawehi catchment as required by the resource consent conditions
Resource Management	· Appeal mediation processes underway for · Large Consent processes/ applications	Twyford Court appointed mediation held on 2 November, attended by the appellants (Watering Society) HBRC, Fish and Game, DOC, and Te Taiwhenua of Heretaunga. Appellants advised that a report is being prepared for them by Aqualinc, but will not be ready until next year. Appellants will advise the Court before April 2012 if they intend to progress the appeals. AFFCO Further work and discussion is still ongoing, further mediation dates to be set by Court if required. Mexted & Williams Mexted et al have proposed a reduced no of lots as a solution to resolve the appeal. This is awaiting a response from the appellants. If not accepted this will go to appeal. NCC BTF plant No appeals accepted or received by the Court. Bridgeman Application went to a hearing on 1 & 2 February 2012, adjourned awaiting further information and applicants right of reply, decision late March/ early April. CHBDC waste water Application Notified and currently receiving submissions, submissions close 29 February 2012. Poukawa9 Discussions ongoing with applicants and stakeholders pre notification decision, notification likely April/May 2012
Resource Management	· Science Activities	Groundwater Ruataniwha scenario modelling to inform plan change has been completed and staff are continuing to work closely with the planning team with policy development for water allocation and water quality. Work is underway to delineate capture zones for community drinking water supplies to support the Wastewater plan change. Initial work coupling groundwater model with nutrient model (NIWA) has been completed. Staff are working closely with the consents team on draft consent application for Apache Oil drilling consent applications .Council is expecting consents to be lodge in March. Investigation work to support the extending the Taharua plan change to a wider Mohaka Catchment plan change is being fully scoped including discussions with Bay of Plenty Regional Council staff. Hydrology have negotiated with DOC to allow their Tui climate station data to be streamed through Hydrotel for our use. Pete Davis has become one of five nationally certified hydrologists under the soon to be rolled out NEMQ training scheme Hawkes Bay has helped developed. Pete has also qualified as one of five training assessors recognising his standing in the Hydrology profession Allocation modelling for plan change and storage project still progressing with issues around back editing of data being resolved to ensure robust data quality. IFIM assistance on Makaroro and preliminary work for Tutaekuri underway. Ecology Terrestrial surveys for strategic plan development and to inform future integrated management completed for Karamu and Tukituki, draft reports received and being reviewed. Work still to progress on the Ngaruroro with weather conditions unsuitable for aerial surveys over summer 2011/12. Work to resume on the Ngaruroro summer 2012/13.
Strategic Development	· Land and Water Management Strategy	Strategy implementation to be ongoing, including via 2012-22 LTP preparation.
	· Plan Change for freshwater management in Tukituki River catchment	Ongoing. Technical reports being used to develop the water allocation framework. Stakeholder engagement strategy presented to Environmental Management Committee on 8 February.
Strategic Development	· Rivermouth Hazard Areas in proposed Regional Coastal Environment Plan (Variation 1)	Schedule 1 RMA process. Officers’ report being prepared. Hearing to be scheduled early 2012.
	· Onsite Wastewater change (Change 3 + Variation 3)	Schedule 1 RMA process Officer’s report being prepared. Hearing to be scheduled early 2012.
	· RPS Change to incorporate HPUDS and wider infrastructure matters (Change 4)	Change 4 (Managing the Built Environment) publicly notified 7 December 2011. 45 submissions received. Further submissions to be invited March/Aril 2012. Hearing by end of 2012.
	Ÿ Taharua Strategy and plan change.	Ongoing. Possible broadening of plan change scope to cover whole Mohaka River catchment, subject to project funding alternatives. Preliminary stakeholder engagement commenced with wider Mohaka River interests.
	· Air Quality (Change 2 + Variation 2)	Change 2 operative from 1 January 2012, so Schedule 1 RMA process completed without need for any Court hearings. (Variation 2 merged into proposed Regional Coastal Environment Plan).
	Ÿ Proposed Regional Coastal Environment Plan	Ongoing. Negotiations on appeals nearing total settlement without need for any Environment Court hearing. Update report to Committee in early 2012.
	Ÿ Heretaunga Plains Urban Development Strategy (HPUDS)	Ongoing implementation as it relates to other actions where HBRC is a lead agency or a partner agency via HPUDS Implementation Working Party.
	Ÿ Regional Land Transport Programme and Regional Land Transport Strategy.	The projects in the Regional Land Transport Programme have been confirmed by the Regional Transport Committee. This Programme will form part of the Regional Land Transport Strategy that will go out for public consultation in April/May 2012.
	Ÿ Business Hawke’s Bay	Formal launch is set for 29 February and an update will be presented at 29 February Council meeting.
	Ÿ Tech NZ R&D funding as part of the Regional Business Partner partnership with HB Chamber of Commerce	Ongoing - $1,040,165.00 distributed to 20 companies, MSI are undergoing some restructuring and Hawke’s Bay is seen as one of the leading regions in the country for assisting to model the change processes.
Strategic Development	Ÿ Strategic Farming Initiative	Dairy cluster was successfully held in late January. The next meeting is planned for 1 March – will include Ruataniwha dam project update and visit.
	Ÿ Massey Strategic Relationship	The MoU was signed on 25 January. Progress continues with current projects.
Corporate Services	· Validation of assumptions made in the LTP to determine value of Napier leasehold sale of cash flows.	March 2012.
	· Assessment of selling cash flows from Napier leasehold land.	To be undertaken in August 2012.
	· Audited draft LTP for Council approval.	Council meeting - March 2012.
	· New website go live date.	Late May/early June 2012.
	· Delivery of newsletter to Napier leasehold lessees.	Early March 2012.
External Relations	· Freshwater Governance and Management – Collaborative sector approach to Implementation of NPS	Development of paper on behalf of Regional Sector Group to Land and Water Forum, outlining sector work.
	· Discussions with Treaty claimant groups on development of Regional Planning Committee Terms of Reference	Appointments being reported to Council in March. Inaugural meeting 4 April 2012.
	· Long Term Plan	Implementation of consultation plan for LTP
	· Community engagement / environmental education	Planning underway for Home & Garden Shor (May) Next edition of ‘Our Place’ will be released in March
Operations/ Water Group	· Ruataniwha Water storage	Work over the next month involves: - Reviewing initial project description and refining detail for sections to be completed by March project description deadline - All environmental work programmes are proceeding in accordance with programme and budget. 5 remaining non science work programmes have been tendered out. Significant effort is going into the land use intensification project at present with existing and proposed landuse models being developed. - Engage legal advisor for RMA and consents advice. - Stakeholder and leadership meetings to host.
	· Cycleways	· Landscapes – Work has now been substantially completed · Water – Significant progress has been made on the outstanding sections of trail for this ride · Winery – First section of trail from Ormond Road to Fernhill, on the Ngaruroro stopbank completed and opened
	· Ngaruroro Water storage project	On farm Economic Analysis confirmed and will seek Council guidance on funding (for completion by March 2012), prior to seeking Council direction as to whether this project moves to a full feasibility study.
CE’s Office	Ÿ Represent Regional Sector on Land and Water Forum “Small Group”	Meeting scheduled in March
	Ÿ Treaty Settlements – further work with Claimant Groups	Ongoing
	Ÿ Ongoing engagement in regional water strategy and Water storage feasibility projects	Ongoing
	Ÿ Commence work with TLA CEs on Study of Local Government Efficiency and Effectiveness	Terms of Reference for the study are close to being finalised after comment and input from all Councils
CE’s Office	Ÿ Continue work with Regional Sector CEs at Horizons and Greater Wellington plus Government Department CEs as appropriate on southern North Island partnership	Ongoing
	Ÿ Finalise Shared Services paper with Peter Winder	Council to consider the findings of the Shared Services report, and take part in appropriate discussions with Hawke’s Bay TAs and Horizons Regional Council.
	Ÿ Continue involvement with Ministry of Agriculture and Forestry Peak Group for Implementation of the ETS	Ongoing
	Ÿ Advisory Committee on Official Statistics	Ongoing

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 to be made, the decision making provisions of the Local Government Act 2002 do not apply.

Recommendation

1. That Council receives the November 2011 Work Plan Looking Forward report.

Andrew Newman

Chief Executive

Attachment/s

There are no attachments for this report.

[1] The initial work to ready the organization for task

[2] ‘Long term effect’ meant that the organization will not deal with short term high ground matters although it was intended to encourage others to do so such as work schemes, immediate business advice etc.

[3] Ensure Business Hawke’s Bay knows the market options for expansion or relocation.

[4] Stakeholders include sponsors, councils, reference group members.

GENERAL SUBJECT OF THE ITEM TO BE CONSIDERED	REASON FOR PASSING THIS RESOLUTION	GROUNDS UNDER SECTION 48(1) FOR THE PASSING OF THE RESOLUTION
Hawke's Bay Regional Investment Company Draft Statement of Corporate Intent	7(2)(i) That the public conduct of this agenda item would be likely to result in the disclosure of information where the withholding of the information is necessary to enable the local authority holding the information to carry out, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations).	The Council is specified, in the First Schedule to this Act, as a body to which the Act applies.

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