Minutes of Regional Council Meeting

1. Welcome/Prayer/Apologies/Notices

The Chairman welcomed everyone to the first meeting of the Council for 2016, and offered the prayer.

Mrs Lambert introduced James Palmer, the new Group Manager Strategic Development who started with Council on 18 January.

2. Conflict of Interest Declarations

There were no conflict of interest declarations.

3. Confirmation of Minutes of the Regional Council Meeting Held on 16 December 2015

RC1/16

Resolution

Minutes of the Regional Council Meeting held on Wednesday, 16 December 2015, a copy having been circulated prior to the meeting, were taken as read and confirmed as a true and correct record.

Scott/Beaven

CARRIED

4. Matters Arising from Minutes of the Regional Council Meeting Held on 16 December 2015

In response to a query, Mrs Lambert advised that legal advice has been sought on whether Council followed due process in the sale of land at the Marewa Shops relating to item 7 Affixing of Common Seal on page 3.

There were no further matters arising from the minutes.

Follow-up Items from Previous Regional Council Meetings

Mrs Lambert provided updates on the status of the items for follow-up, and it was agreed that a further discussion about water royalties will be brought to a future Council meeting.

RC2/16

Resolution

1. That Council receives the report “Follow-up Items from Previous Regional Council meetings”.

Scott/Belford

CARRIED

Call for any Minor Items not on the Agenda

Recommendation

That Council accepts the following minor items not on the Agenda, for discussion as Item 16:

1. Belford – water symposium

2. Barker – Tyres

3. Graham – Waitangi Day hikoi

Affixing of Common Seal

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 68

DP 14450

CT G2/725

- Transfer

1.1.2 Lot 92

DP 13696

CT F2/1339

- Agreement for Sale and Purchase

- Transfer

1.1.3 Lot 22

DP 9652

CT D1/772

- Agreement for Sale and Purchase

- Transfer

1.1.4 Lot 34

DP 13692

CT F2/1274

- Agreement for Sale and Purchase

- Transfer

1.1.5 Lot 41

DP 14224

CT F4/1488

- Transfer

1.1.6 Lot 14

DP 13111

CT E3/555

- Agreement for Sale and Purchase

- Transfer

1.1.7 Lot 10

DP 11626

CT C2/604

- Agreement for Sale and Purchase

1.1.8 Lot 1

DP 18490

CT L1/645

- Agreement for Sale and Purchase

1.1.9 Lot 144

DP 6598

CT C2/324

- Agreement for Sale and Purchase

1.1.10 Lot 486

DP 2451

CT 55/118

- Agreement for Sale and Purchase

3876

3877

3891

3878

3890

3879

3880

3881

3884

3885

3886

3887

3888

3889

14 December 2015

19 January 2016

16 December 2015

15 January 2016

16 December 2015

17 December 2015

5 January 2016

8 January 2016

12 January 2015

15 January 2015

1.2

Agreement for Lease

Waipukurau Forest Block to Rotary Rivers Pathway Trust

3882

17 December 2015

1.3

Staff Warrants

1.3.1 L. Lambert – Update due to Legislative Change

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

1.3.2 L Lambert – Update due to Legislative Change

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

1.3.3 J. Lomas

L. Lambert – Update due to Legislative Change

(Delegations under Biosecurity Act 1993; Civil Defence Act 1983 (s.60-64); Civil Defence Emergency Management Act 2002 (s.86-91)and Local Government Act 2002 (s.174))

3883

3875

3883

18 December 2015

10 December 2015

18 December 2015

RC3/16

Resolutions

That Council:

1. Agrees that the decisions to be made are not significant under the criteria contained in Council’s adopted Significance and Engagement Stategy, and that Council can exercise its discretion and make decisions on this issue without conferring directly with the community.

2. Confirms the action to affix the Common Seal.

Pipe/Wilson

CARRIED

Maungaharuru-Tangitū Trust – Mana Enhancing Agreement

Mr Mohi welcomed members of the Maungaharuru-Tangitū Trust –Tom Manaena (Chairman), Shayne Walker (General Manager), and Ina Kara-France (Senior Policy Advisor).

Mr Adye introduced the item, outlining the purpose of the agreement and management of Tangoio Soil Conservation.

There were discussions traversing confidentiality about the management of the relationship to protect hapu interests, the ongoing discovery of sites of significance, the definition of Mana along with the philosophy of enhancing the relationship between iwi and the Council, and Mr Manaena provided an overview of the history of the iwi.

There was further discussion around the parts of the soil conservation reserve involved, the extent of the rohe and the staff financial delegations for the new fund being established.

Following the resolutions being passed, the Chairman of HBRC and the Chairman of Maungaharuru-Tangitū Trust signed the agreement and Mr Mohi thanked and farewelled the Maungaharuru-Tangitū Trust representatives.

RC4/16

Resolutions

That Council:

1. Agrees that the decisions to be made are not significant under the criteria contained in Council’s adopted Significance and Engagement Policy, and that Council can exercise its discretion and make decisions on this issue without conferring directly with the community.

2. Endorses the Mana Enhancing Agreement between Maungaharuru-Tangitū Trust and HBRC attached to this briefing paper, and authorises the Chairman to sign the Agreement on behalf of Council.

3. Agrees that staff financial delegations established for financial management within HBRC are applicable to the Catchments Fund established in accordance with the Maungaharuru-Tangitū Hapu Claims Settlement Act 2014.

Scott/Graham

CARRIED

Xuzhou Sister City Relationship

Mr Adye introduced the item, explaining that 2016 is the tenth anniversary of the signing of the sister city relationship with Xuzhou and hence the reason for this request to fund an HBRC delegation to China. Mr Drury explained where the budget might be found, as provision was not made in the 2015-16 annual plan budgets.

RC5/16

Resolutions

That Council:

2. Agrees to a delegation from HBRC visiting its Chinese Sister City of Xuzhou to maintain potential trade relationships, and the promote Hawke’s Bay as a tourist destination, and agrees to a budget of $15,000 to meet the cost of the trip for the Chairman, an interpreter and staff, and contributes, as funding allows, to the cost of accompanying Councillors.

3. Invites participation in the exchange from the business community, at their own expense, through the Chamber of Commerce and HB Tourism.

Dick/Scott

CARRIED

11.

HBRIC Ltd Funding Request and January 2016 Update

Mr Newman provided an update of negotiations with potential investors (2) and water uptake given a ‘wind back’ of time spent on this work stream over the December-January holiday period.

There was discussion traversing the water uptake curve and influences on that, and the view that receiving the Judicial Review decision and the Investor announcement will remove uncertainty and positively impact on water uptake.

Dr Pearce outlined the rationale for seeking additional borrowing capacity of $500,000 to cover a shortfall to fund geotechnical works required to finalise details of the dam design. Irrigation Acceleration Fund declined funding for this work on the basis that it is not required to reach financial close. Concern was raised, that the ‘geotechnical work’ was actually the commencement of dam construction, however it was explained that the work is required to finalise the design of the dam and maintain the critical path for water delivery for the 2019-20 irrigation season.

RC6/16

Resolutions

That Council:

2. Receives and takes note of the HBRIC Ltd January 2016 update.

3. Approves HBRIC Ltd being able to increase its approved borrowing level from $2.5m to $3.0m.

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

Dick/Scott

CARRIED

10.

Science and Technology Research Strategy for Adoption

Mr Maxwell introduced the item, and Mr Douglas Bernie of Sapere Research Group.

Mr Bernie provided a presentation expressing the reasons why a strategy is required, and the findings from discussions with wide ranging stakeholders throughout the development of the strategy, along with the risks for Council of not having a strategy and initiatives for implementation through the Strategy.

There was discussion traversing:

· how different science streams/areas add to and assist each other, i.e. leveraging soil science for use in high nutrition food research

· core science staff expertise retention and succession planning as well as building relationships with universities and other scientists to fill gaps when they do occur

· who is commissioned to carry out science research perceived to be relationship based, and what research carried out influenced by the issues of interest to the scientist carrying out the work

· formal prioritisation of what science is commissioned in alignment with the LTP and relevant strategies, e.g. Land and Water Management Strategy

The meeting adjourned at 3.40pm and reconvened at 3.50pm, with Councillor Dick absent.

Further discussion covered:

· a list of stakeholders consulted will be added to the ‘acknowledgements’ section of the Strategy

· tensions between some stakeholders and the science being undertaken with concerns on the adequacy of considering all of the issues and the transparency as to what science and how that is being done

· the use of umbrella contracts

· independence of the science team

· science being kept separate from Council decisions and involving stakeholders in the science from the outset

· perfect science, and providing stepped or staged science findings to enable interim decision making

RC7/16

Resolutions

That Council:

2. Adopts the Hawke’s Bay Regional Council Science and Technology Strategy 2015-2025.

Graham/Scott

CARRIED

Item 11 was heard immediately following item 9.

12.

Verbal Update on Waihi Dam

Mr Iain Maxwell and Mr Wayne Wright provided an update on what happened to the dam and the Waiau Stream subsequent to a severe weather event in September 2015, what the current situation is, and what investigations and works to rectify the situation (stop the silt flow into the river) are under way.

RC8/16

Resolution

1. That Council receives and takes note of the verbal update on Waihi Dam.

Wilson/Pipe

CARRIED

Mr Mohi was excused at 4.40pm

13.

European Water Quality Conference

Mr Maxwell provided a presentation outlining the presentations and themes covered at the European Water Quality conference he attended.

RC9/16

Resolution

1. That Council receives and notes the “European Water Quality Conference” report.

Graham/Hewitt

CARRIED

14.

Annual Plan Progress Report for Six Months to 31 December 2015

Mr Paul Drury outlined key budget variances and the reasons for those, including reforecasting for the Regional Income part of the budgets.

In response to a query, Mr Adye advised that the budgets for the Westshore Renourishment will need to be increased.

Mr Manton Collings provided an overview of the Disaster Damage Reserve fund variances.

In relation to the narratives:

· steady-state groundwater model due to be delivered middle of this year and scenario testing model toward the end of the year

· request for update on FEMP uptake by Farmers and options for improving and/or encouraging early adoption (required 2018)

· progress on Energy Strategy and possible Oil & Gas regulation paper for Regional Planning Committee consideration queried

· REDS process delayed due to Central Government requirement for ‘deep’ engagement with Maori which is being undertaken to put together a Maori Economic Development Strategy as a sub-set of the REDS

· request for refinement of narratives so they are consistent across Council, i.e. On Track, Off Track and Variance should have the same meaning across all projects, as well as additional graphs indicating progress in terms of percentage completed

· the role of HBRC in Glazebrook storage dam investigations

RC10/16

Resolution

1. That Council receives and notes of the “Annual Plan Progress Report for the first six months to 31 December 2015“.

Scott/Graham

CARRIED

15.

Monthly Work Plan Looking Forward through February 2016

Queries and discussions traversed Te Mata Trust draft proposal; the rail line between Wairoa and Gisborne; the removal of walnut trees in Havelock North; the Te Mata Mushrooms prosecution with Council providing information as to why it considers it is non-compliant with the resource consent; moving forward with the Upper Tukituki scheme rating review in light of the December stakeholder meeting having been cancelled; the Council’s 25% grant towards costs of getting a FEMP to encourage early uptake; Waitangi Estuary enhancement funding; the Lake Rotokare level control works; and the Cycle Trails Coordinator.

RC11/16

Resolution

1. That Council receives the Monthly Work Plan Looking Forward Through February 2016 report.

Barker/Hewitt

CARRIED

16.

Minor Items not on the Agenda

Item	Topic	Councillor / Staff
1.	Water symposium As a result of discussions at RPC, a symposium to bring together a range of interests to discuss a range of perspectives and views about water management, water quantity and allocation is planned in March.	Cr Belford
2.	Tyres Unaware of issues in the media recently and would like regular updates from Compliance about issues and enforcement as a standing item at the Environment and Services Committee	Cr Barker
3.	Waitangi Day hikoi Traditional Hikoi from Waipatu Marae (leaving at 7am) to Waitangi Park where the celestial compass will be located for anyone interested in joining	Cr Graham

17.

HBRIC Ltd 2015 Board Performance Review deferred to 24 February

To be considered at 24 February 2016 Regional Council meeting

RC12/16

Resolution

That this item be left to lie on the table until the 24 February 2016 meeting.

Scott/Pipe

CARRIED

18.

Confirmation of Public Excluded Minutes of the Regional Council Meeting Held on 16 December 2015

RC13/16

Resolution

That the Council exclude the public from this section of the meeting being Confirmation of Public Excluded Minutes Agenda Item 18 with the general subject of the item to be considered while the public is excluded; the reasons for passing the resolution and the specific grounds under Section 48 (1) of the Local Government Official Information and Meetings Act 1987 for the passing of this resolution being as follows:

GENERAL SUBJECT OF THE ITEM TO BE CONSIDERED	REASON FOR PASSING THIS RESOLUTION	GROUNDS UNDER SECTION 48(1) FOR THE PASSING OF THE RESOLUTION
Confirmation of Public Excluded Minutes of the Regional Council Meeting held on 25 November 2015	7(2)(a) 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 protect the privacy of natural persons	The Council is specified, in the First Schedule to this Act, as a body to which the Act applies.
Interim Chief Executive Remuneration Review	7(2)(a) 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 protect the privacy of natural persons	The Council is specified, in the First Schedule to this Act, as a body to which the Act applies.

Scott/Pipe

CARRIED

The meeting went into public excluded session at 5.30pm and out of public excluded session at 5.35pm

Closure:

There being no further business the Chairman declared the meeting closed at 5.35pm on Wednesday 27 January 2016.

Signed as a true and correct record.

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