Minutes of Regional Council Meeting

1. Welcome/Prayer/Apologies/Notices

The Chairman welcomed everyone present to the meeting, and Councillor Beaven offered the prayer.

Resolution

RC34/14 That the apology for absence from Councillor Rick Barker be accepted.

Graham/Beaven

CARRIED

The Chairman reiterated the importance of the submissions and hearing process for the Annual Plan.

2. Conflict of Interest Declarations

Councillor Dick advised his resignation as Interim Chairman of the Napier Gisborne Rail Establishment Group.

Councillor Scott advised her interest in Environment, Justice and Peace Network (EJP) and TANK, both of whom have submitted on the Annual Plan however further advised that she has taken no part in development of those submissions or any subsequent discussions of the contents therein.

There were no conflict of interest declarations.

Submissions on the Draft Annual Plan 2013-14

The confirmed timetable for the day was tabled, and Mrs Lambert explained the process of hearing submissions, as outlined in the Agenda Item.

It was noted that the joint meeting with CHB was attended by around 40-50 people.

RC35/14

Resolutions

That Council:

1. Agrees that the decisions to be made on issues submitted on the draft Annual Plan 2014-15 are made after the provisions included in sections 83 and 85 of the Local Government Act 2002 have been followed.

2. Receives and considers the verbal and written submissions.

Scott/Beaven

CARRIED

Submissions on the Draft Annual Plan 2013-14

Council commenced hearing the verbal submissions from members of the public.

Energy Efficiency & Conservation Authority (1) Robert Linternan, General Manager provided an explanation of how the grants and loan funding programmes worked and congratulated the Heat Smart project staff, including Mark Heaney, on the success of the programme in HB which has already resulted in a 5 fold drop in hospital admissions. 250,000 homes insulated nationally, around 30% of those being rental properties. New programme targets low income, high health needs communities using MSD information. Part of future programme is to identify the 10 most important things to do to improve the ‘thermal envelope’ of your home.

HB Rescue Helicopter Trust (Ian Wilmot)(33) requests 3 years support at $10k per year. Provided an overview of the past contributions to the Trust by Council. Rescue services provided for the same area that Council has responsibility for.

Film Hawke's Bay Trust (Tessa Tylee)(5) Involved with Film HB since its inception approximately 5 years ago. Regional Film office charged with attracting film production to the region. Considers HB an economy that can grow. International protocol is such that they are not able to charge production companies for the services/assistance that they provide. Recent example of work was OPSM advertising campaign. Asking for money so that they can bring location scouts (3 visits) to the area and market HB in the industry magazine. Approaches to HB Tourism and Business HB unsuccessful to date.

Gerard Pain (21) Worked through the summary provided in Our Place. In relation to Oil & Gas Exploration policy development, noted that his opposition is to fracking, not exploration. In relation to investment, suggests that the ends don’t justify the means and Ngaruroro feasibility should be halted, supports re-establishment of the Napier Gisborne railway and agrees that Regional Council should step up in the absence of central government. In terms of Rates, opposes increase this year and suggests that investment income should subsidise rates and/or provide financial incentives to landowners for riparian planting and on-farm water storage.

Federated Farmers HB (Rhea Dasent)(42) Requests clear reporting of the UAGC percentage of total rates and encourages maximum use of the UAGC. Look at shifting Strategic Planning, Governance and Community Engagement, and Regulation rating methods to UAGC. Appreciative of the pest control programmes, and suggests a new method of targeted rate and UAGC be used to fund pest control. Horizons examples of two tier rating for pest control. Notes that remission policies will be reviewed through LTP process and requests that Council develop specific policies for protected land. Seeks clarity in relation to QEII land being non-rateable.

June Graham(9) Feels council has done little to investigate alternative methods of land management. Pleased to hear that the insulation and clean heat programmes are proving successful. Suggests that better road crossings for elderly access to bus stops need to be provided. Appreciates Our Place publication for dissemination of information to those who don’t have access to computers. Expressed concern about costs to private citizens for participating in formal submissions processes like the recent RWSS and Plan Change 6 process.

The meeting adjourned at 10.15am and reconvened at 10.35am

Submissions on the Draft Annual Plan 2013-14

Council recommenced hearing submissions.

TBfree HB Committee (Dennis Mitchell)(2) and OSPRI NZ (John Deal, Communications Manager)(3) Expressed appreciation for the relationship and programmes with Council. Eradication confirmed as a realistic goal. Possums are the core TB challenges include funding surety and complacency of farmers. Advised that a TBfree field day will be held in the spring.

WOW (Keith Newman)(8). Supported by powerpoint presentation. Supports all of coast strategy but concerned that won’t be soon enough to get results for Haumoana. Asking for urgent damage control, temporary consent to act as ‘test case’ for the whole coast. Also ask confirmation of available, consentable gravel to build a small groyne field. HDC will apply for the consent but need confirmation that shingle will be made available for the project. $10M is for the full groyne field,

Clifton Marine Club (Paul Hursthouse) (13) Bringing gravity of the situation at Clifton to Council’s attention. Boating facilities in HB limited by the beaches and launch facilities. Ramp at Clifton provides a valuable community resource. Intervention to provide protection for the road to Clifton has been successful, but erosion continues and further protection is required. HDC stated publicly and perception of community that HBRC is the ‘problem’ or hold up. Believes an ‘extension’ of the current short term (5yr) consent to provide for 80 meter extension of the existing structure is workable. Have support of the Coastguard, and club has made 5 rescues from Clifton this year. Response from Mrs Lambert: “consent issued by HBRC processed in 6 working days, and no consent ‘extension’ application has been received. Until there’s an application HBRC cannot do anything but assurance that any application forthcoming would be dealt with expeditiously.

Draft Annual Plan 2014-15 Staff Internal Submission

Mr Drury explained the process for consideration of the Internal submission.

310 Regional Groundwater Research and 339 Regional Land Research & Investigation projects request carry forward of consultant funds for work on the development of a coupled surface-groundwater model and solute transfer model for use by the TANK plan change process under way. In response to a query, Mr Maxwell explained the way section 36 costs are recovered from consent holders after work has been completed.

341 Air Quality project requests carry forward of consultant funds to pay contractors as they complete their work at the end of winter.

385 Regional Park Reserves (Other Open Space Projects) project requests carry forward of land acquisition funds to provide for enhancements or new projects submitted to Council through this annual plan process. Projects will be assessed by staff in line with established criteria and then Council approval sought before funding allocated.

RC36/14

Resolutions

That Council:

1. Agrees that the decisions to be made on the issues submitted to the draft Annual Plan 2014-15 are made after the provisions included in sections 83 & 85 of the Local Government Act 2002 have been followed.

2. Receives and considers Council’s internal submission.

Projects 310 Regional Groundwater Research and 339 Regional Land Research & Investigation

3. Approves the carry forward in project 310-2380 (consultants) of $180,000 and 339-2380 (consultants) of $253,000 from 2013-14 to 2014-15 and the associated section 36 charges relating to this expenditure of $63,000 in project 310.

Beaven/Scott

CARRIED

Project 341 – Air Quality

4. Approves the carry forward in project 314-2380 (Air Quality -consultants) of $30,000 from 2013-14 to 2014-15.

Graham/Scott

CARRIED

Project 385 – Regional Park Reserves (Other Open Space Projects)

5. Approves the carry forward in project 385-2650 (land acquisition) of $700,000 to assist with the funding of open space enhancements or new projects submitted to Council for funding and also the corresponding loan be carried forward of $700,000 from 2013-14 to 2014-15.

Graham/Pipe

CARRIED

Submissions on the Draft Annual Plan 2013-14

Council recommenced hearing submissions from members of the public.

Pure Hawke's Bay (Bruno Chambers)(18) Pure HB proposing joint funding of economic study into the economic benefits of HB being a GM Free food producing (marketing and branding opportunities) regional. Sees the regional council as the Economic development agency. Primary produce grown in HB. Partnership to produce a scoping report on the benefits of GM free to the economy. Some producers are currently marketing as GMO Free and can quantify the benefits for themselves.

HB District Health Board (Dr Nick Jones)(19) The DHB reiterated their support for keeping stock out of waterways to protect public health, their support of the Heat Smart programmes and work associated with improving Air Quality. PM_2.5 monitoring would provide additional information to identify related health issues. In relation to oil and gas exploration and production, sees there would be a need for cumulative effects monitoring in addition to individual consent conditions.

Guardians of the Aquifer (Pauline Doyle)(22). Supported with a map showing the Endeavour Energy permit area, which covers catchments that provide 70-80% of the recharge to the Heretaunga Plains aquifer.

Don't Frack the Bay (Chris Perley)(23) Group suggests that Council needs a strategy for oil and gas exploration, urgently, and that the consultation process needs to include more than corporate ‘stakeholders’. Council needs to be Strategic, not just regulatory. Requests specific provisions for strategy development be included in the Annual Plan for immediate undertaken. Initial consultation to be open ended.

Draft Annual Plan 2014-15 Staff Internal Submission

Council continued consideration of the Internal submission.

877 Specific Regional Projects requests that $25,000 in the contributions budget is carried forward to be used for the upgrade of the Tsunami display at the National Aquarium. This money was put aside by the Leasehold Land Endowment Act for spending on education on earthquake and tsunami natural hazards. Councillors requested additional information on specifically what this money was meant to be spent on.

893 Regional Infrastructure project requests carry forward of contributions funding for the Wairoa Community Centre upgrade and the Te Mata Park Visitor Centre – for work that they have yet to commence.

913 Financial Systems Enhancements project requests carry forward of $30k from the consultants budget for the completion of financial systems enhancements, which include a full redevelopment of the Regulatory billing solutions.

In December 2013 Council agreed to proceed with refurbishments to the office accommodation building at the Works Group Guppy Road site. Currently, the consultant architects have designed the remedial work and enhancements to be carried out and this plan is now out to tender. It is not envisaged that work will commence on this project until July 2014, therefore staff request that $396,000 be carried forward to 2014-15.

Council also, in March 2014, agreed to proceed with improvements to the Wairoa Office at an estimated cost of $225,000, with construction work not committed until Council has a long term lease with the Department of Conservation for them to share the property, including office accommodation and storage. It is envisaged that both the design work and the lease agreement with the Department of Conservation will be completed by mid to late June 2014, and therefore construction will not proceed until the 2014-15 year.

Science technical capital budget requests carry forward of $10k for coastal water quality buoy redeployment which has been delayed until July-August (weather dependant).

RC37/14

Resolutions

That Council:

Project 893 – Regional Infrastructure

7. Approves the carry forward in project 893-2395 (contributions) of $500,000 for the Wairoa Community Centre upgrade and $500,000 for the Te Mata Park Visitor Centre from 2013-14 to 2014-15, and also the associated loan funding of $1,000,000.

Graham/Belford

CARRIED

Project 913 – Financial Systems Enhancements

8. Approves the carry forward in project 913-2380 (consultants) of $30,000 from 2013-14 to 2014-15 to complete the financial systems enhancements.

Pipe/Graham

CARRIED

Works Group Guppy Road Office Building Extensions

9. Approves the carry forward of $396,000 of capital expenditure and associated external loans for the deferred maintenance and extension of the Works Group offices at Guppy Road from 2013/14 to 2014/15.

Improvements to Council’s Wairoa Office

10. Approves the carry forward of $225,000 of capital expenditure and associated external loans for the improvements to its Wairoa Office from 2013-14 to 2014-15.

Beaven/Hewitt

CARRIED

Technical Capital – Science

11. Approves the carry forward of $10,000 Science Technical Capital funds from 2013-14 to 2014-15.

Graham/Beaven

CARRIED

The meeting adjourned at 12.35pm and reconvened at 1.10pm

Submissions on the Draft Annual Plan 2013-14

Council recommenced hearing submissions from members of the public.

Sport Hawke's Bay (Colin Stone)(4) Around regional events and developing a Regional Events Underwrite fund to act as a safety net, encourage councils and HB Tourism to work together to this end. For events that would have a ‘return’ for the region, i.e. Wellington Phoenix event underwrite provided by HB philanthropic businesses. Not asking for money, rather wanting discussions to be initiated. Events may be ‘underwritten’ rather than part funded by Councils, i.e. guaranteeing against loss. Regional Events Strategy group is working well, and more active than ever before.

Tim Gilbertson (10) Feral cats are a significant issue requiring more action by Council’s pest management programmes, and more work needs to be done in the area of soil conservation and erosion. Suggestion that cats should be registered the same as dogs. In relation to Lake Hatuma, it was noted that the majority of the land surrounding the lake is in private ownership, with only a small proportion being DoC owned. Advocates for integrated management plans for erosion control.

Bernie Bowden (7) Climate change is a grave and imminent problem and steps need to be taken immediately to lessen our local carbon footprint, including a rapid change to renewable energy and mass transport systems that will reduce CO2 emissions. Local councils must lead the way by bringing pressure on central government on the way forward in combating climate change

Draft Annual Plan 2014-15 Staff Internal Submission

Council recommenced consideration of the Internal submission.

Money specifically for public education displays related to natural hazards risks.

RC38/14

Resolutions

That Council:

Project 877 – Specific Regional Projects

6. Approves the carry forward in project 877-2395 (contributions) of $25,000 from 2013-14 to 2014-15 to assist with the funding of Civil Defence Emergency Management key messaging to the public associated with the Tsunami display, with the final form and venue to be approved by Council.

Dick/Scott

CARRIED

Submissions on the Draft Annual Plan 2013-14

Council recommenced hearing submissions from members of the public.

NCC Tourism Services (Neil Fergus) (39) Submission in support of HB Tourism and the strong, positive working relationship that NCC has with HBT. 100,000+ visitors to the Aquarium each year. City Development working group looking for development opportunities to attract visitors to Napier. Expressed there is a good working relationship between HDC, NCC and HBT and recent examples of combining forces to achieve better results.

Napier Tourism Assn (David George) (40) Continued decline in visitor numbers attributed to wrong marketing model – considers that Destination Tourism marketing model, not a regional, commodity marketing model should be used. Asks why visitor numbers are so much lower than national figures.

Barrie Crabbe (46) Spoke in support of re-establishment of the Napier-Gisborne railway line and in opposition to developing the line as a cycleway. Shingle renourishment of Westshore Beach from the Marine Parade foreshore is not working – previous use of material dredged from Pandora Pond (containing binders) worked well and encourages a trial along a stretch of Westshore Beach be undertaken. Suggested using a series of dams to act as flood protection.

Christine Briasco (31) While realistic about reinstatement of Express service, request that Council considers provision of at least partial service in early morning and evening ‘rush’ periods. Patronage decreased immediately after newspaper article advising of Council’s decision to discontinue the service.

Derek Williams (101) tabled photos of the Papanui Stream downstream of the Otane wastewater treatment plant discharge. Believes efforts by CHB to achieve requirements of consent with alternative means of wastewater treatment will not be successful and that they need to re-examine options for discharging to land.

The meeting adjourned at 3.00pm and reconvened at 3.20pm

Council recommenced hearing submissions from members of the public.

Clifton Reserve Society (Sue Willington) (14) serious erosion problem has continued to worsen and entering into further negotiations with adjacent landowner to use land to shift the road (for the third time). Looking to Regional Council for support with the HDC application for resource consent to extend the existing protection works (temporary, for five years). Feedback from HDC submission hearing this morning was positive.

3. Confirmation of Minutes of the Regional Council Meeting Held on 28 May 2014

RC39/14

Resolution

Minutes of the Regional Council Meeting held on Wednesday, 28 May 2014, a copy having been circulated prior to the meeting, were taken as read and confirmed as a true and accurate record.

Dick/Wilson

CARRIED

4. Matters Arising from Minutes of the Regional Council Meeting Held on 28 May 2014

There were no matters arising from the minutes.

Submissions on the Draft Annual Plan 2013-14

Council commenced deliberating on the public submissions.

Submissions from HB TBfree Committee (2) and OSPRI NZ (3) relating to vector control raised the issue of an upcoming funding review and possible

The submission from Sport Hawke’s Bay sought the initiation of discussions around possibilities for providing a regional underwrite fund for events that would potentially have a regional economic impact or benefit.

Submissions relating to Coastal Erosion raised issues about hard engineering solutions to protect the Haumoana/Te Awanga coastline. Mr Adye is aware of some shingle available for the project, however as part of the consent process issues of gravel deficit and effects of works in one location on another further down the coastline.

In relation to the consents required for extending the coastal protection at Clifton, before a consent can be granted this Council needs to receive an application.

The larger protection issue at Haumoana/Te Awanga needs to be addressed as part of the Regional Coastal Strategy.

RC40/14

Recommendations

That Council:

3. Considers the submissions from HB TBfree Committee (2) and OSPRI NZ (3) and the comments and proposals made by staff and makes no change to the Annual Plan.

4. Endorses the proposed process for an HBRC submission on the funding methodology for the National Pest Management Plan for Bovine TB.

Scott/Pipe

CARRIED

5. Considers the submission from Sport HB and the comments and proposals made by staff and makes no change to the Annual Plan.

6. Indicates to the submitter that discussions exploring development of a Regional Events Underwrite fund will be initiated through the upcoming Long Term Plan process in liaison with territorial authorities.

Dick/Wilson

CARRIED

The meeting adjourned at 4pm on Wednesday 4 June 2014 and reconvened at 9.25am on Thursday 5 June 2014.

Present: F Wilson - Chairman

R Barker

P Beaven

T Belford

A J Dick

R Graham

D Hewitt

D Pipe

C Scott

In Attendance: M Mohi – Chairman – Maori Committee

E Lambert – Chief Executive

L Hooper – Governance & Corporate Administration Manager

P Drury – Group Manager Corporate Services

M Adye – Group Manager Asset Management

7. Welcome

The Chairman welcomed everyone to the second day of Annual Plan hearings, including Councillor Barker who was absent from the first day of proceedings.

Submissions on the Draft Annual Plan 2013-14

Council recommenced hearing submissions from members of the public.

Environment, Justice and Peace Network (45) (Judith Mills) Supports re-establishment of the railway for rail transport, and opposes conversion of the line to a cycle way or progression of any feasibility studies into that. In relation to climate change suggests that it appears unfocussed and seeks further information about regional carbon emissions monitoring.

Citizens Environmental Advocacy Centre Inc (Ken Crispin)(44) advocates for re-establishment of the Napier to Gisborne railway line.

Democrats for Social Credit (57) (Dick Ryan) Responsibility of central government to repair the line, and regional council should not to bear those costs. Supports private investment proposal.

Tim Tinker (62) Does not support the regional council paying for repairing the line, and only supports re-establishment of the line if central government pays for it. If HBRC does decide to invest, then it needs to have clear outcome expectations. Does not believe it is an economic proposition.

Rex McIntyre (76) Completely opposed to Council investing in reestablishment of the railway line. Suggests that land the line uses could be used to better align and ease gradient of the highway adjacent, making better use of the rail corridor. Observations, living overlooking the railway line, disprove the assumptions of the amounts of freight available for moving by rail.

Takitimu District Maori Council (Des Ratima) (83) Chairman of the Takitimu District Maori Council and speaking on the Council’s behalf in support of reestablishment of the Napier Gisborne railway to provide employment opportunities. Land taken under the Public Works Act – and if not used as a railway corridor Maori want the land back.

The meeting adjourned at 10.30am and reconvened at 10.50am

Submissions on the Draft Annual Plan 2013-14

Council recommenced hearing submissions from members of the public.

Barry Pulford (74) Long time rail enthusiast supportive of reestablishment of the Napier-Gisborne line. Prepared to invest himself, supports additional investment by Council to re-establish the line should the Government not pay for it.

Paul McArdle (95) Asking that HBRC carries out a feasibility study into the economic impact of conversion of the Napier Gisborne railway line to a cycle trail if reestablishment of the line for rail does not happen. World Class extension of current HB Trails to generate significant economic and social outcomes for the region. Advantages include climate allowing all year access, location between Auckland and Wellington, flat and easy gradient, plus attractive bridges tunnels and coastline features. Would be the best cycle trail in New Zealand.

Malcolm Eves (97) HB needs a project to boost the economy and believes conversion of the rail corridor to a cycleway would be a ‘game changer’ for the region. Understands that a petition to central government has requested that it funds a feasibility study for conversion. Highlights economic benefits of the Otago and Rotorua cycle trails for their relative districts.

Brian Fisher (99) Requests HBRC commissions an economic and engineering feasibility study into whether a cycleway on the Napier-Gisborne rail corridor is viable. Suggests such a study would cost around $100k.

Paul Bailey (17) Comfortable with the staff response in relation to submission points on Plan Change 6 implementation and costs. In relation to Cadmium monitoring – suggests that the monitoring results are available to the public. Supports extending webcasting programme to include Committee meetings. In terms of public consultation, suggests process used by Green Party may be helpful and is willing to discuss further with Council. Ask the open ended question first, prior to suggesting a direction. Supports reestablishment of the East Coast rail line for freight and passenger transport.

Clive Community Group (Tony Loversuch) (34) Volunteer group carries out enhancement and maintenance works in the Clive area. Enhancement of the BMX track this year was a combined effort between HBRC and the BMX club. Requests Council carries out lawn mowing north of the BMX track monthly, that the boat ramp signs area gets tidied up and that a boardwalk be built alongside part of the limestone path.

Napier Gisborne Railway Shortline Establishment Group (69) (Ian Welch, Don Selby & Neil Buchanan) Approached HBRC with proposal for investment. Objective of the company is to re-establish the Napier Gisborne railway in order to operate it on the American Shortline Model – which is very different from the way Kiwirail operates. Outline of expected freight volumes, company focuses only on the ‘short’ line they run.

Council recommenced deliberating on the public submissions.

Submissions relating to Air Quality and Heat Smart were generally in support of Council’s work programmes. Discussions traversed orchard burn-offs requiring resource consents, monitoring of PM2.5 and targeting the Heat Smart loans and grants programme.

Submissions on Economic Development and Tourism covered funding for HB Tourism, the economic development rate applied to Wairoa and budgeting for economic development study, including the decline of dairy, with a focus on Wairoa. The issue raised in relation to statistical analysis of visitor arrivals, has been referred to HB Tourism for response.

Submissions raising Climate Change covered a lack of clarity of the role of the Council in relation to climate change, whether the climate change activities would be better sited within the Strategic Planning activities rather than Governance and Community Engagement.

Submissions on Community Engagement covered how Council carries out engagement with the community on issues and the use of open ended questions rather than asking for comments on a proposal, a request for the Council to webcast committee meetings in addition to Council, and the possible use of online survey tools and social media as well as rural broadband limitations.

RC41/14

Recommendations

That Council:

7. Considers the submissions from #1 EECA, #6 Jeremy Dunningham, #9 June Graham, #19 HB District Health Board, # 20 Katherine Bayliss, and #45 Environment, Justice and Peace Network related to Air Quality and Heat Smart and comments and proposals made by staff

8. Acknowledges support for continuation of Council’s Heat Smart loan and grant schemes and efforts to improve Air Quality to meet National Environmental Standards requirements

9. Agrees to support initiatives to promote solar energy when they become financially viable in conjunction with territorial local authorities

10. Makes no change to the Annual Plan.

Scott/Pipe

CARRIED

11. Considers the submissions from #4 Sport Hawke’s Bay, #36 Neil Barber, #37 Art Deco Trust, #38 Michele Cole, #39 NCC Tourism Services, #40 Napier Tourism Association; #41 Simon Bevan, #42 Federated Farmers and #43 Denys Caves relating to Economic Development and Tourism, and comments and proposals made by staff

12. Acknowledges industry support for HB Tourism

13. Makes no change to the Annual Plan.

Scott/Belford

CARRIED

14. Considers the submissions from #7 Bernie Bowden, #19 HB District Health Board and #45 Environment, Justice & Peace Network relating to Climate Change and comments and proposals made by staff

15. Amends the Annual Plan to include a statement, in the Introduction section, on the proactive role of the Regional Council in regard to Climate Change.

16. Recommends that, in future Plans, the Climate Change activities of Council be included in the Strategic Planning group of activities.

Pipe/Beaven

CARRIED

17. Considers the submissions from #7 Bernie Bowden, #9 June Graham, #17 Paul Bailey, #20 Kathryn Bayliss and #47 Pauline Tangiora relating to Community Engagement and the comments and proposals made by staff

18. Makes no change to the Annual Plan.

Scott/Hewitt

For: Dick, Hewitt, Scott, Graham, Pipe, Wilson

Against: Beaven, Barker, Belford

CARRIED

The meeting adjourned at 12.30pm and reconvened at 1.00pm

Submissions on the Draft Annual Plan 2013-14

Council recommenced deliberating on the public submissions.

Submissions on Council’s proposal to invest in the Napier-Gisborne Rail project raised issues with costs of re-establishing the line due to its state of disrepair, proposals for its alternative use as a cycle trail and the East Coast Economic Development Study. The Regional Transport Committee has remained unanimous in its support for keeping the rail line open as a means of ensuring modal choice and pricing competition. Decision today is whether or not to provide provision for the investment should the business case be proven – not to make the investment. Further discussion traversed whether further investigation should be transferred to HBRIC Ltd, and that any assessments of economic feasibility and benefits to be scoped to deliver the ‘best’ use of the rail corridor.

Submissions in relation to Coastal Erosion along the Te Awanga-Haumoana-Clive coast line raised gravel supply from the Tukituki River and other sites to contribute to building a groyne field. Mr Adye advised that he had sought more information about gravel sources as discussed yesterday, and that he had been informed that Council’s Engineer, Gary Clode, met with WOW representatives and discussed possible sources but that nothing definite or guaranteed had come from those discussions. Mr Adye further advised that he contacted John O’Shaughnessay at Hastings District Council in relation to WOW’s presentation and was advised that HDC was unaware, until yesterday, of the new proposal for a smaller groyne field and that the Council will need to assess it before deciding whether or not to apply for a resource consent.

Submissions asking for Extension of Coastal Protection at Clifton raised issues with the temporary protection works in place being further eroded and the need for an extension to that revetment wall. Mr Maxwell advised that depending on the scale of the extension and whether that could have impacts further along the coastline, it could be that additional ‘affected parties’ may need to be consulted as part of the resource consent process. There had been no discussions with HDC indicating that they are ready to lodge a consent application.

Submissions relating to Council Investments stated that no investment should be made until after the reorganisation process is completed, support for development of a Rail-Road Hub at Whakatu, funding for the Ngaruroro feasibility study, and the purpose of the dividend equalisation reserve.

The submission from Tim Gilbertson raised points in relation to Lake Hatuma, control of feral cats, soil erosion and soil conservation as well as support for Council’s contribution to the CHB cycleways projects. In the past it was noted that Council had spent a lot of effort on work at Lake Hatuma as a priority wetland, however given up after meeting resistance from private landowners and Mauri Protection Agency and re-focussed efforts and spending on council-owned wetlands.

Requests for funding were received from Film Hawke’s Bay Trust, Wairoa Young Achievers Trust, and Enviroschools. Mr Drury ran through a presentation to provide an overview of where funding for different types of requests is provided from and also where specific requests were or were not provided for within existing budgets. Mr Adye noted that the Upstream Wairoa vegetation project is covered within a current work plan for the area.

Mr Drury advised that for every $10k of new spending approved, a subsequent 0.07% increase of the overall rate is required to provide the funding. There was discussion around funding provisions and how provision may be provided for additional contingency funds of $100k and funding to initiate a plan change to give effect to recommendations from the PCE’s report on Oil and Gas Exploration and fracking.

The Destination Playground project is one that fits within the role and functions of the Wairoa District Council, rather than the regional council. The Chairman, in discussions with the Wairoa Mayor about the project suggested that WDC look for a ‘partner’ from local business or industry to help fund it. Mrs Lambert advised that the Enviroschools request for increased funding would require additional funding in the project to cover it.

Although Film HB adds value to the economy, but it is not the function of the regional council to provide operational funding for organisations at a cost to ratepayers, without the ratepayers explicit agreement.

RC42/14

Recommendations

That Council:

19. Considers the submissions from #7 Bernie Bowden, #17 Paul Bailey, #21 Gerard Pain, #44 Ken Crispin on behalf of Citizens Environmental Advocacy Centre Inc, #45 Environment, Justice and Peace Network, #46 Barrie Crabbe, #47 Pauline Tangiora, #48 David Renouf,#49 Margaret Gwynn, #50 Gisborne Rail Action Group, #51 Hilary Burrows, #52 Robin Gwynn; #54 Jym Clark, #55 Katrina Hughes, #56 Neville Tobin, #57 Democrats for Social Credit, #58 David Pryor, #59 Steam Incorporated, #60 Mike Nicholson, #61 Tony Hurst; #63 Janet Crispin, #64 Reefton Historic Trust Board, #65 Geoff Blackmore, #66 Stuart Dow, #67 Geoff Rossiter, #68 Reid McNaught, #69 Napier Gisborne Railway Shortline Establishment Group, #70 Lindsay Benbrook, #71 John Hill, #72 Peter Paulson, #73 Mainline Steam Heritage Trust, #74 Barry Pulford, #75 Cran Julian, #77 David Rowell, #78 Barry O'Donnell, #79 Noel Maginnity; #80 Elizabeth Tatlor; #81 Matthew Hitchcock, #82 Niall Robertson, #83 Takitimu District Maori Council, #84 Rosa Amini, #85 Pieta Keene, #86 Mary Liza Manuel, #87 Nigel Smith; #88 Hugh Isdale, #89 Federation of Rail Organisations of NZ, #90 Mike Lynch, #91 Taieri Gorge Railway, #92 Sam Somers, #93 The Campaign for Better Transport Inc, #100 Barry Pearson, #102 Randall Prestidge In Support; #10 Tim Gilbertson, #20 Kathryn Bayliss, #53 James Phillips, #62 Tim Tinker, #76 Rex McIntyre, #103 Stuart Morice In Opposition; and #94 Chris Tremain, #95 Paul McArdle; #96 Wayne Walford; #97 Malcolm Eves; #98 Craig Foss; #99 Brian Fisher Opposing and Proposing Alternative – in relation to Council’s investment in Napier Gisborne Rail and comments and proposals made by staff.

20. Retains the principle of investing in restoration of the Napier-Gisborne rail line, indicating it will consider a revised proposal and business case from the Napier Gisborne Rail Establishment Group, subject to independent peer review, before considering investment.

21. Participates in any feasibility study on the best use of the Napier-Gisborne rail corridor going forward.

22. Makes no change to the Annual Plan.

Graham/Scott

CARRIED Unanimously

23. Considers the submissions from #8 WOW Inc and #46 Barrie Crabbe relating to Coastal Erosion and the comments and proposals made by staff.

24. Makes no change to the Annual Plan, however advises WOW Inc that any application for resource consent forthcoming will be processed in accordance with best practice and RMA requirements.

Scott/Wilson

CARRIED

25. Considers the submissions from #13 Clifton Marine Club and #14 Clifton Reserve Society relating to Extending Coastal Protection at Clifton and comments and proposals made by staff

26. Makes no change to the Annual Plan, however advises the submitters that any application for resource consent forthcoming will be processed in accordance with best practice and RMA requirements.

Beaven/Pipe

CARRIED

27. Considers the subissions from #6 Jeremy Dunningham, #9 June Graham #20 Kathryn Bayliss, #21 Gerard Pain’ and #28 HB Fruitgrowers Association relating to Council Investments and the comments and proposals made by staff

28. Makes no change to the Annual Plan.

Dick/Scott

CARRIED

29. Considers the submission from #10 Tim Gilbertson and the comments and proposals made by staff

30. Makes no change to the Annual Plan, however advises the submitter of the 50% subsidy available to rural landowners through Council for purchase of cat traps at Farmlands and that the issue of pest control for feral cats will be investigated through the review of the Regional Pest Management Strategy.

Graham/Barker

CARRIED

31. Considers the application for funding from #5 Film Hawke’s Bay Trust for $10,000 to assist in contributing to the costs of the projected annual $60,000 budget of the Film Hawke’s Bay Trust and the comments and proposals made by staff.

32. Declines the request and makes no change to the Annual Plan.

Scott/Barker

CARRIED

33. Considers the request for funding from #11 Wairoa Young Achievers Trust for $100,000 as a contribution for a ‘Destination Playground’ to be constructed in Wairoa.

34. Declines the request and makes no change to the Annual Plan.

Pipe/Graham

CARRIED

35. Considers the application for increased funding from #12 The Enviroschools Foundation (895) and the comments and proposals made by staff.

36. Approves the increase to $20,000, representing an increase of $1600 in project 895 and amends the Annual Plan accordingly.

Scott/Pipe

For: Dick, Hewitt, Scott, Graham, Pipe, Beaven, Belford, Wilson

Against: Barker

CARRIED

The meeting adjourned at 3pm and reconvened at 3.15pm

Submissions on the Draft Annual Plan 2013-14

Council recommenced deliberating on the public submissions.

Requests for funding were received from:

· Wairoa District Council’s Economic development team – to fund an economic study into the decrease of dairy industry in the area. An economic development study for the Wairoa area is included in the Annual Plan, so research will include a section on the dairy industry.

· Upstream Wairoa Inc to fund a vegetation and enhancement project. Mr Adye advises that work with the community and WDC is ongoing within project budgets.

· Pure Hawke’s Bay to joint fund an economic analysis of the commercial benefits of GM free branding. It was suggested that the scope of the study be extended to include other ‘advantages’. Further discussion covered marketing HB in a wider sense and whether the proposal by Pure HB was specifically benefitting a few private individuals who are already aware of the branding benefits to their businesses. The economic benefits of GE/GM Free have already been the subject of a study and report – by Dr John Knight of Otago University.

Submissions relating to Land Management raised support for science informed land management, concerns surrounding land use intensification, Plan Change 6 implementation, Financial support for landowners re riparian planting, creating wetlands, etc, Cadmium monitoring and farm compliance with consent conditions. Mrs Lambert advised that some budgets in 2014-15 were attributed to implementing the Plan Change 6 decisions, however the bulk of the costs associated would need to be budgeted, once the final decision was known, through the Long Term Plan process.

Submissions relating to Oil and Gas Exploration raised points about community consultation and input into Policy Development, membership of any ‘stakeholder groups’, placing a ‘moratorium’ on oil and gas exploration until adequate regulations can be put in place, and prohibiting hydraulic fracturing. The Parliamentary Commissioner for the Environment released her report yesterday afternoon and staff have not yet had time to assess how Council can best implement the recommendations from that report. If a Plan Change is required, then a statutory plan change process will be embarked upon, initially through a report to the Regional Planning Committee. Mr Maxwell advised that any applications for exploration activities will be processed under current rules and policies while any plan change process is under way, and that the permit referred to by submitter 22 was subject to a permit application granted in 2011 and not subject to any consultation with HBRC while the Block Offer recently. In response to queries, Mr Maxwell explained the RMA assessments and thresholds required to determine whether or not a consent application requires notification, and requirements for dealing with different types of activities (controlled, discretionary) and also the type of information that consent officers will require and consider in processing applications. It was suggested that Council needs to embark on a plan change immediately, and additional funding added to budgets to enable that to start in the 2014-15 financial year. PCE, in her report, was also clear in her report that regulation and policy development should be considered collaboratively between regional councils as having differing policy and rule frameworks between regions is nonsensical.

In terms of Water Management Council staff have started on the process to change the Regional Policy Statement to give effect to the National Policy Statement for Freshwater Management in relation to the identification of outstanding freshwater bodies, catchment based planning is part of the process underway with the TANK and Mohaka-Taharua stakeholder groups, and implementation of Plan Change 6 is part of the work programme for 14-15 and will require further development once the final decision is issued as previously discussed in relation to Land Management.

June Graham’s submission covered a number of points, but there was nothing specific sought.

In relation to Public Transport the most specific request came from submitters asking that retention of at least partial ‘express’ bus service from Napier to Hastings be considered. It was suggested that the operational details of this issue needed to be sorted out by staff qualified, and in possession of all of the information required to make this operational decision.

The submision from HBDHB supports funding assistance for unsewered communities and Clean Heat as well as continued development of the contaminated sites database, and requests cross referencing ‘a lifetime of good health and well-being in strategic planning outcomes.

#27 Ewan McGregor relating to Pakowhai Country Park sought a review of the tree species being planted there.

#28 HB Fruitgrowers Association Inc and #42 Federated Farmers relating to Biosecurity were relatively supportive of the process underway at the moment to review the pest management plans, currently awaiting National Policy direction under the Biosecurity Law Reform Act which isn’t expected to be released until 2015.

The request from #33 Hawke’s Bay Rescue Helicopter Trust for $10,000 as a platinum sponsor is included in the Annual Plan budgets.

The Clive Community Group submission asked for maintenance and enhancement work to be carried out on land adjacent to the BMX track and boat ramp at Clive. Mr Adye advised that further discussions will take place around a boardwalk, which would incur significant cost. In terms of mowing, Mr Adye advised that tight budgets mean that there isn’t money available to mow more frequently, however HDC does do some mowing very inexpensively and that an approach might be made to see whether they’d be willing to do it. The enthusiasm of the CCG got the capital works done, but the enthusiasm for the ongoing maintenance doesn’t seem to be there.

Submissions relating to Rates asked Council to disclose the extent of UAGC’s and targeted rates, which for this Council f2014-15 is 23.28%, and staff agree it is simple enough to include an additional paragraph to make this clear in the Plan. Mr Drury explained Uniform Annual General Charge and Uniform Annual Charge being that the UAC is a targeted rate whereas everyone pays a UAGC. Submitters also queried the Funding Impact Statement tables, emphasised their desire that where groups of ratepayers specifically benefit from a Council service, these services are funded by targeted rate and not general rate, requested that Council supports the development of a rates remission policy to ensure that land that is protected for ecological or landscape purposes isn’t subject to rates, and queried whether the sale of the cash flows for Napier leasehold land has affected the extent to which the rates need to increase in the Annual Plan.

Hawke’s Bay Fruitgrowers’ Association submission in relation to Resource Management charges suggested that charges may be able to be lowered, however Mr Maxwell explained that the reason why charges had not increased over the past couple of years was due to staff finding efficiencies rather than costs going down. Mr Maxwell clarified that the submission related to the fixed charge and not the hourly rate. In relation to hourly rates, Mr Maxwell was asked to provide Councillors figures to show how much those had increased or changed over the last 10 years and also how this Council’s charges compare to other Councils.

Submissions about the Opoho Flood and Drainage Scheme queried the way the rates for the scheme are allocated, and Mr Adye advised that although it meant no change to the Annual Plan it would need to be taken into account when setting the Rates.

Ray and Leslie Thompson’s submission related to Opoutama drainage and stream control and Mr Adye advised that he would be taking this issue through to Wairoa District Council and the Thompsons for further discussion.

The submission from Denys Caves, specifically relating to the Wairoa economic development rate and coastal erosion at Mahanga. Mrs Lambert advised that the issues at Mahanga are being worked through with WDC and the community.

Pauline Tangiora’s submission raised issues relating to fracking, sustainable development and marine oil spill response.

Derek Williams submission covered two topics, neither of which is related to the Annual Plan process. Mr Maxwell advised that in relation to CHB, HBRC is the regulator and CHB is expected to meet the conditions of their consent by September 2014.

RC43/14

Recommendations

That Council:

37. Considers the request for funding from #15 WDC Economic Development Team to research the decline of Dairy in the Wairoa area

38. Accepts the request, but makes no change to the Annual Plan as there is already budget provision made in Economic Development for a wider report for the Wairoa area.

Pipe/Wilson

CARRIED

39. Considers the request for funding from #16 Upstream Wairoa Inc for a walkway vegetation project and the comments and proposals made by staff

40. Makes no change to the Annual Plan, however advises the submitter that HBRC staff will continue working with WDC and Upstream Wairoa on the project.

Barker/Wilson

CARRIED

41. Considers the application for funding from #18 Pure Hawke’s Bay to joint fund a research project into economic benefits of positioning Hawke’s Bay as a GM Free region - at a cost of $12,500 to Council and the comments and proposals made by staff.

42. Declines the request and makes no change to the Annual Plan.

Barker/Hewitt

CARRIED

43. Considers the submissions from #6 Jeremy Dunningham, #9 June Graham, #10 Tim Gilbertson, #17 Paul Bailey, #21 Gerard Pain and #47 Pauline Tangiora relating to Land Management and the comments and proposals made by staff.

44. Makes no change to the Annual Plan.

Scott/Beaven

CARRIED

45. Considers the submisions from #7 Bernie Bowden; #17 Paul Bailey, #20 Kathryn Bayliss; #21 Gerard Pain, #22 Guardians of the Aquifer, #23 Don't Frack the Bay and #47 Pauline Tangiora relating to Oil and Gas Exploration Policy Development and the comments and proposals made by staff

46. Allocates $200,000 (to be reallocated from unspent Open Spaces budgets) to consult with the public and prepare a Plan Change addressing oil and gas development, including management of fracking, in accordance with the recommendations of the Parliamentary Commissioner for the Environment.

Belford/Graham

For: Dick, Graham, Beaven, Barker, Belford

Against: Hewitt, Scott, Pipe, Wilson

CARRIED

47. That pursuant to Standing Order 3.3.7, Council agrees to continue the meeting past the six-hour limit.

Wilson/Scott

CARRIED

Councillor Dick was excused from the meeting at 4.10pm

48. Considers the submissions from #6 Jeremy Dunningham, #9 June Graham, #17 Paul Bailey, #19 HB District Health Board, #20 Kathryn Bayliss, #21 Gerard Pain, #35 Vaughan Cooper on behalf of TANK collaborative group and #46 Barrie Crabbe in relation to Water Management

49. Makes no change to the Annual Plan

Wilson/Barker

CARRIED

50. Considers the submission from #9 June Graham and the comments and proposals from staff in relation to Shared Services, Council Investments, Water Management and Community Consultation

51. Makes no change to the Annual Plan

Barker/Graham

CARRIED

52. Considers the submissions from #9 June Graham; #19 HB District Health Board, #29 Joy Rycroft; #30 Graeme Thomas, #31 Christine Briasco, Deborah Richardson, Leonie Selby, #32 Natalie Baker; #45 Environment, Justice & Peace Network relating to Public Transport and the comments and proposals made by staff.

53. Makes no change to the Annual Plan, however advises submitters on the Express Bus service of the upcoming Regional Transport Strategy review which will present an opportunity for them to provide input to public transport planning.

Barker/Scott

CARRIED

54. Considers the submision from #19 Hawke’s Bay District Health Board and the comments and proposals from staff

55. Amends the Annual Plan by including cross references to ‘a lifetime of good health and well-being” in strategic planning outcomes.

Scott/Barker

CARRIED

56. Considers the submission #27 Ewan McGregor in relation to planting at Pakowhai Country Park and the comments and proposals from staff

57. Makes no change to the Annual Plan.

Scott/Beaven

CARRIED

58. Considers the submissions from #28 HB Fruitgrowers Association Inc and #42 Federated Farmers relating to Biosecurity, and comments and proposals made by staff

59. Notes that the review of the regional pest management plans will commence early in the 2014/15 financial year in order to ensure appropriate provisions for funding the implementation of future pest management plans is included into HBRC’s 2015-25 Long Term Plan.

60. Notes that how activities are funded will be discussed by the working group and any proposed changes consulted on through the Long Term Plan and/or review of pest management plans, and that throughout those processes, the inclusion of a flat fee per property under 4 ha as suggested by Federated Farmers may be considered.

61. Makes no change to the Annual Plan.

Scott/Graham

CARRIED

62. Considers the application for funding from #33 Hawke’s Bay Rescue Helicopter Trust for $10,000 per annum for three years as a platinum sponsor, to support the Trust’s work for those requiring urgent medical transportation and the comments and proposals made by staff

63. Approves the funding request and makes no change to the 2014-15 Annual Plan as provision made within existing budgets.

Scott/Belford

CARRIED

64. Considers the submission from #34 Clive Community Group relating to maintenance of land adjacent to BMX track and maintenance and enhancement of land adjacent to boat ramp and comments and proposals from staff

65. Refuses the request and makes no change to the Annual Plan, however notes that staff will continue to work with the Clive Community Group on enhancing and maintaining the park.

Scott/Belford

CARRIED

66. Considers the submissions from #20 Kathryn Bayliss, #21 Gerard Pain, #28 HB Fruitgrowers Association Inc, and #42 Federated Farmers relating to Rates, and comments and proposals made by staff

67. Amends the Annual Plan to include the following paragraph.

“Section 21 of the Local Government (Rating) Act 2002 requires that Uniform Annual General Charges and targeted rates set on a uniform basis are not to exceed 30% of the total revenue from all rates sought by Hawke’s Bay Regional Council (HBRC) for the budgeted year. The rates making up this category amount to 23.28% of Council’s total rates in 2014-15 and are therefore within the limits prescribed by the Act.”

Scott/Barker

CARRIED

68. Considers the #28 Hawke’s Bay Fruitgrowers’ Assocation submission in relation to Resource Management Charges and the comments and proposals made by staff

69. Makes no change to the Annual Plan

Beaven/Pipe

CARRIED

70. Considers the submissions from #6 Jeremy Dunningham, #24 Humphry Bayly and #25 Tim Powdrell relating to the Opoho Flood and Drainage Scheme and the comments and proposals made by staff

71. Makes no change to the Annual Plan.

Barker/Beaven

CARRIED

72. Considers the submission from #26 Ray and Leslie Thompson relating to Opoutama drainage and stream control and the comments and proposals made by staff

73. Makes no change to the Annual Plan

Wilson/Barker

CARRIED

74. Considers the submission from #43 Denys Caves and comments and proposals made by staff

75. Makes no change to the Annual Plan.

Pipe/Graham

CARRIED

76. Considers the submission from #47 Pauline Tangiora and comments and proposals made by staff

77. Makes no change to the Annual Plan

Scott/Wilson

CARRIED

78. Considers the submission from #101 Derek Williams and comments and proposals from staff

79. Makes no change to the Annual Plan.

Graham/Belford

CARRIED

Closure:

There being no further business the Chairman declared the meeting closed at 4.55pm on Thursday 5 June 2014.

Signed as a true and correct record.

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