Agenda of Corporate and Strategic Committee

HBRC Code of Conduct adopted November 2011

Attachment 1

HAWKE’S BAY REGIONAL COUNCIL

Code of Conduct

Adopted November 2011

Part One: Introduction

1.1 Schedule 7 of the Local Government Act 2002 (the Act) requires each local authority to adopt a Code of Conduct. Once adopted, all elected members are required to comply with the code.

This Code of Conduct provides guidance on the standards of behaviour that are expected from the Chairman and elected members of the Hawke’s Bay Regional Council. The Code applies to elected members in their dealings with:

§ each other

§ the Chief Executive

§ all staff employed by the Chief Executive on behalf of the Council

§ the media

§ the general public.

1.2 The objective of the Code is to enhance:

§ the effectiveness of the Council as an autonomous local authority with statutory responsibilities for the good governance of the Hawke’s Bay Region

§ the credibility and accountability of the Council within its community

§ mutual trust, respect and tolerance among the elected members as a group and between the elected members and management.

1.3 This Code of Conduct seeks to achieve its objectives by establishing:

§ an agreed statement of roles and responsibilities (recorded in Part Two of the code)

§ agreed general principles of conduct (recorded in Part Three of the code)

§ specific codes of conduct applying to particular circumstances or matters (also recorded in Part Three of the code).

1.4 Elected members are primarily accountable to the electors of the Region through the democratic process. Before taking office after election, each declares that he or she will “faithfully and impartially, and according to my best skill and judgement, execute and perform in the interests of the Hawke’s Bay Region the statutory powers, authorities and duties vested in or imposed upon me as a member of the Hawke’s Bay Regional Council”.

However members must note that the Auditor-General may hold them to account for unlawful actions or expenditure or for breaches of the Local Authorities (Members’ Interests) Act 1968.

1.5 General Principles of Good Governance:

This Code of Conduct is based on the following ten principles:

§ Public interest. Members should serve only the interests of the region as a whole and should never improperly confer an advantage or disadvantage on any one person.

§ Honesty and integrity. Members should not place themselves in situations where their honesty and integrity may be questioned, should not behave improperly and should on all occasions avoid the appearance of such behaviour.

§ Objectivity. Members should make decisions on merit including making appointments, awarding contracts, or recommending individuals for rewards or benefits. Elected members should also note that while representing their constituency, once elected their primary duty is to the interests of the entire region.

§ Accountability. Members should be accountable to the public for their actions and the manner in which they carry out their responsibilities, and should cooperate fully and honestly with the scrutiny appropriate to their particular office.

§ Openness. Members should be as open as possible about their actions and those of the Council, and should be prepared to justify their actions.

§ Personal judgment. Members can and will take account of the views of others, but should reach their own conclusions on the issues before them, and act in accordance with those conclusions.

§ Respect for others. Members should promote equality by not discriminating unlawfully against any person and by treating people with respect, regardless of their race, age, religion, gender, sexual orientation, or disability.

§ Respect for staff. Members should respect the impartiality and integrity of the Council staff.

§ Duty to uphold the law. Members should uphold the law, and on all occasions, act in accordance with the trust the public places in them.

§ Stewardship. Members must ensure that the Council uses resources prudently and for lawful purposes, and that the Council maintains sufficient resources to meet its statutory obligations.

§ Leadership. Members should promote and support these proposals by example, and should always endeavour to act in the best interests of the region.

Part Two: Roles and Responsibilities

This part of the Code describes the roles and responsibilities of elected members, the additional roles of the Chairman and Deputy Chairman, and the role of the Chief Executive.

2.1 Elected Members

Elected members, acting as the Council, are responsible for:

§ development and adoption of Council policy

§ monitoring the performance of the Council against its stated objectives and policies

§ prudent stewardship of Council resources

§ employment of the Chief Executive

§ representing the interests of the residents and ratepayers of the Hawke’s Bay Regional Council. (On election, the primary responsibility of members is to the Region as a whole.)

Unless otherwise provided in the Local Government Act 2002 or in standing orders, the Council can act only by majority decisions at meetings. Each member has one vote other than in the situation where there is a deadlock in voting in which case the Chairman can exercise a casting vote if so provided. Any individual member (other than the Chairman who has authority to act on behalf of the Council as reasonable needs require) has no authority to act on behalf of the Council unless the Council has expressly delegated such authority.

2.2 Chairman

The Chairman is elected by the members of the Council at the first meeting following the triennial election. The Chairman may be removed from office by resolution of Council.

As one of the elected members the Chairman shares the same responsibilities as other members of Council. In addition to this the Chairman has the following roles as a:

§ presiding member at Council meetings. The Chairman is responsible for ensuring the orderly conduct of business during meetings (as determined in standing orders)

§ advocate on behalf of the community. This role may involve promoting the community and representing its interests. Such advocacy will be most effective where it is carried out with the knowledge and support of the Council

§ ceremonial head of Council

§ provider of leadership and feedback to other elected members on teamwork and Chairmanship of committees

§ Justice of the Peace (while the Chairman holds office).

The Chairman is obliged to follow the same rules as other elected members in regard to making public statements and committing the Council to any particular course of action, unless acting in accordance with the rules for media contact on behalf of the Council under a delegation of authority from the Council.

2.3 Deputy Chairman

The Deputy Chairman must be elected by the members of Council, at the first meeting following the triennial election. The Deputy Chairman may be removed from office by resolution of Council.

The Deputy Chairman exercises the same roles as other elected members. In addition he or she must perform all the responsibilities and duties and may exercise all the powers of the Chairman (as summarised above), if the Chairman is temporarily absent, or is prevented by illness or other causes from performing duties, or while there is a vacancy in the office of Chairman.

2.4 Committee Chairman

The Council may create one or more committees of Council. A Committee Chairman presides over all meetings of the committee, ensuring that the committee acts within the powers delegated by Council, as set out in the Council’s Policy Handbook. A Committee Chairman may be called on to act as an official spokesperson on a particular issue. A Committee Chairman may be removed from office by resolution of Council.

2.5 Chief Executive

The Chief Executive is appointed by the Council in accordance with section 42 of the Local Government Act 2002. The Chief Executive is responsible for implementing and managing the Council's policies and objectives within the budgetary constraints established by the Council. In terms of section 42 of the Act, the responsibilities of the Chief Executive are:

§ implementing the decisions of the Council

§ providing advice to the Council and committees

§ ensuring that all responsibilities, duties and powers delegated to the Chief Executive or to any person employed by the Chief Executive, or imposed or conferred by any Act, regulation or bylaw are properly performed or exercised

§ managing the activities of the Regional Council effectively and efficiently

§ maintaining systems to enable effective planning and accurate reporting of the financial and service performance of the Regional Council

§ providing leadership for the staff of the Regional Council

§ employing staff on behalf of the Regional Council (including negotiation of the terms of employment for the staff of the Regional Council).

Under section 42 of the Local Government Act 2002 the Chief Executive employs all other staff on behalf of the Regional Council.

Part Three: Ethics, Relationships and Behaviour

This part of the Code sets out the Council’s agreed standards of behaviour. Some of the matters described in this part of the Code reflect other legislation such as the Local Authorities (Members’ Interests) Act 1968. The majority of the Code is material that the Council has decided to include on its own initiative.

3.1 Ethics

Hawke’s Bay Regional Council seeks to promote the highest standards of ethical conduct amongst its elected members. Accordingly, elected members will:

§ claim only for legitimate expenses as laid down by any determination of the Remuneration Authority then in force, and any lawful policy of Council developed in accordance with that determination

§ not influence, or attempt to influence, any Council employee to take actions that may benefit the member, or the member’s family or business interests

§ not use Council resources for personal business (including campaigning)

§ not solicit, demand, or request any gift, reward or benefit by virtue of their position

§ where a gift to the value of $100 or more is offered to a member, immediately disclose this to the Chief Executive for inclusion in the publicly available register of interests.

§ be respectful when referring to each other or to other people

§ not use offensive or derogatory language when referring to the Council, other Councillors, any employee of the Council or any member of the public.

3.2 Relationships with Other Members

Successful teamwork is a critical element in the success of any democratically elected organisation. No team will be effective unless mutual respect exists between members. With this in mind elected members will conduct their dealings with each other in ways that:

§ maintain public confidence in the office to which they have been elected

§ are open and honest

§ focus on issues rather than personalities

§ avoid aggressive, offensive or abusive conduct.

3.3 Relationships with Staff

The effective performance of Council also requires a high level of cooperation and mutual respect between elected members and staff. To ensure that level of cooperation and trust is maintained, elected members will:

§ recognise that the Chief Executive is the employer (on behalf of Council) of all Council employees, and as such only the Chief Executive may hire, dismiss, instruct or censure an employee

§ make themselves aware of the obligations that the Council and the Chief Executive have as employers and observe those requirements at all times

§ treat all employees with courtesy and respect (including the avoidance of aggressive, offensive or abusive conduct towards employees)

§ observe any guidelines that the Chief Executive puts in place regarding contact with employees

§ do nothing which compromises, or could be seen as compromising, the impartiality of an employee

§ avoid publicly criticising any employee in any way, but especially in ways that reflect on the competence and integrity of the employee

§ raise concerns about employees only with the Chief Executive, and concerns about the Chief Executive only with the Chairman or the Executive Committee.

Elected members should be aware that failure to observe this portion of the Code of Conduct may compromise the Council’s obligations to act as a good employer and may expose the Council to civil litigation and audit sanctions.

3.4 Relationships with the Community

Effective Council decision-making depends on productive relationships between elected members and the community at large.

Members should ensure that individual citizens are accorded respect in their dealings with the Council, and have their concerns listened to, and deliberated on in accordance with the requirements of the Act.

Members should act in a manner that encourages and values community involvement in local democracy.

3.5 Contact with the Media

The media plays an important part in local democracy. In order to fulfill this role the media needs access to accurate, timely information about the affairs of Council. The Hawke’s Bay Regional Council will continue to be proactive in disseminating accurate and informative information through the Chief Executive to the media. From time to time, however, an individual member might be approached to comment on a particular issue either on behalf of Council, or as an elected member in his or her own right. This part of the Code deals with the rights and duties of Councillors when speaking to the media on behalf of Council, or in his or her own right.

The following rules apply for media contact on behalf of Council:

The Chairman of the Council or of any Committee of the Council, is able to make media releases on behalf of the Council or the Council Committees. In order to ensure that:

i) these are factually correct

ii) they send a consistent message so there is no confusion in the eyes of the public

iii) they reflect Council policy, or are sufficiently qualified where the Council may not have considered the matter

All press releases and comments should be coordinated and developed through the Council’s Communications Coordinator who will ensure the appropriate staff input is obtained and, where appropriate, the Chief Executive has input into the process.

Where the Communications Coordinator is not available, the Chairman’s Executive Assistant should be the point of contact.

The Councillor spokesman for the Committees of the Council should be the Chairman of the Committee concerned.

Elected members are free to express a personal view in the media, at any time, provided the following rules are observed:

§ media comments must not state or imply that they represent the views of Council

§ where an elected member is making a statement that is contrary to a Council decision or Council policy, the member must not state or imply that his or her statements represent a majority view

§ media comments must observe the other requirements of this Code of Conduct. For example, they should not disclose confidential information, or compromise the impartiality or integrity of staff, and at all times should demonstrate respect for fellow Councillors and their views, opinions and lawful actions, and should not use language which might be deemed offensive, derogatory or embarrassing to the Council, other Councillors, any employee of the Council or any member of the public.

3.6 Representing the Council

Elected members who are invited or wish to represent the Council at an event such as a Seminar or Conference which will have a charge for attendance, must meet the following conditions:

§ The Chairman must approve the request.

§ Following their attendance and upon request from the Chairman, the member must present a report to the Council summarising the event, and including the Councillor’s opinion of its potential significance to the Hawke’s Bay Regional Council.

3.7 Confidential Information

Elected members have the responsibility to see whenever possible that business is conducted in “open” meeting. Powers to exclude the public should be used only when absolutely necessary and for the reasons permitted by law. Business conducted where the public is excluded remains confidential and should not be disclosed to the public until either the Council decides by resolution to make it public or the Chief Executive determines in response to a request under the Local Government Official Information and Meetings Act 1987, or the Privacy Act 1993 that there is no longer good reason to withhold the information.

In addition during the course of their duties members will occasionally receive information that may need to be treated as confidential. This will generally be information that is either commercially sensitive or is personal to a particular individual or organisation.

Elected members must not use or disclose confidential information for any purpose other than the purpose for which the information was supplied to the elected member.

Elected members should be aware that failure to observe these provisions will impede the performance of Council by inhibiting information flows and undermining public confidence in the Council. Failure to observe these provisions may also expose Council to prosecution under the Privacy Act 1993 and/or civil litigation.

3.8 Conflicts of Interest

Elected members must be careful that they maintain a clear separation between their personal interests and their duties as an elected member. This is to ensure that people who fill positions of authority carry on their duties free from bias (whether real or perceived). Members therefore need to familiarise themselves with the provisions of the Local Authorities (Members’ Interests) Act 1968 which concerns financial interests, and with other legal requirements concerning non-financial conflicts of interest.

The Act provides that an elected member is disqualified from office, or from election to office, if that member is concerned or interested in contracts under which payments made by or on behalf of the Council exceed $25,000 in any financial year.

Additionally, elected members are prohibited from participating in any Council discussion or vote on any matter in which they have a pecuniary interest, other than an interest in common with the general public. The same rules also apply where the member’s partner or spouse contracts with the authority or has a pecuniary interest. Members must declare their interests at Council meetings where matters in which they have a pecuniary interest arise.

Members shall annually make a general declaration of interest as soon as practicable after becoming aware of any such interests. These declarations are recorded in a register of interests maintained by Council. The declaration must notify the Council of the nature and extent of any interest, including:

§ any employment, trade or profession carried on by the member or the member’s partner or spouse for profit or gain

§ any company, trust, partnership etc for which the member or their partner or spouse is a director, partner, trustee or beneficiary

§ the address of any land in which the member has a beneficial interest and which is in the Regional Council’s area.

§ the address of any land where the landlord is the Hawke’s Bay Regional Council and:

- the member or their partner or spouse is a tenant, or

- the land is tenanted by a firm in which the member or partner or spouse is a partner, or a company of which the member or spouse is a director, or a trust of which the member or spouse is a trustee or beneficiary

any other matters which the public might reasonably regard as likely to influence the member’s actions during the course of his or her duties as a member.

If the member is in any doubt as to whether or not a particular course of action (including a decision to take no action) raises a conflict of interest, then the member should seek guidance from the Chief Executive immediately.

Members may also contact the Audit Office for guidance as to whether that member has a pecuniary interest. If there is a pecuniary interest, the member may seek an exemption to allow that member to participate or vote on a particular issue in which they may have a pecuniary interest. The latter must be done before the discussion or vote. The Chief Executive must also seek approval from the Audit Office for contractual payments to members, their spouses or their companies that exceed the $25,000 annual limit.

Failure to observe the requirements of the Local Authorities (Members’ Interests) Act 1968 could potentially invalidate the particular decision made, or the action taken, by Council. Failure to observe these requirements could also leave the elected member open to prosecution under the Local Authorities (Members’ Interests) Act 1968. In the event of a conviction elected members can be removed from office.

3.9 Standing Orders

Elected members must adhere to any standing orders adopted by Council under the Local Government Act 2002. These standing orders are subject to the same legal requirements as a Code of Conduct with regard to their adoption and amendment.

3.10 Disqualification of Members from Office

Elected members are automatically disqualified from office if they are convicted of a criminal offence punishable by two or more years imprisonment, or if they cease to be, or lose their status as a parliamentary elector or if they are convicted of certain breaches of the Local Authorities (Members’ Interests) Act 1968.

Under the Local Government Act 2002, local authorities, when adopting a Code of Conduct, must consider whether or not they will require members to declare whether they are undischarged bankrupts. This Council believes that it should not require a member or newly elected member to decide whether or not the member or newly elected member is an undischarged bankrupt.

Part Four: Compliance and Review

This part deals with ensuring that elected members adhere to the Code of Conduct and mechanisms for the review of the Code of Conduct.

4.1 Compliance

Elected members must note that they are bound to comply with the provisions of this Code of Conduct (Local Government Act 2002, Schedule 7, section 15(4)).

Members are also bound by the Local Government Act 2002, the Local Authorities (Members’ Interests) Act 1968, the Local Government Official Information and Meetings Act 1987, the Secret Commissions Act 1910, the Crimes Act 1961 and the Securities Act 1978. The Chief Executive will ensure that an explanation of these Acts is made at the first meeting after each triennial election an that copies of these Acts are freely available to elected members. A brief explanation about the obligations that each of these has with respect to conduct of elected members is attached in the Appendix to this code.

Compliance will be monitored by the Council as a whole. All alleged breaches of the Code will be reported to the Chairman. Any allegation of a breach of this Code of Conduct must be in writing, make a specific allegation of a breach of the Code of Conduct, and provide corroborating evidence.

The Chairman will investigate the alleged breach and prepare a report for the consideration of Council. Before beginning any investigation, the Chairman will write to the elected member(s) involved, advising about the complaint and will explain when and how there will be an opportunity to respond to the complaint.

The Council will consider the report in open meeting of Council, except where the alleged breach relates to the misuse of confidential information or could impinge on the privacy of an elected member, member of staff or of the general public.

4.2 Responses to Breaches of the Code

The exact nature of the action the Council may take depends on the nature of the breach and whether there are statutory provisions dealing with the breach.

Where there are statutory provisions:

§ breaches relating to members’ interests render members liable for prosecution by the Auditor-General under the Local Authority (Member’s Interests) Act 1968

§ breaches which result in the Council suffering financial loss or damage may be reported on by the Auditor-General under the Local Government Act 2002, which may result in the member having to make good the loss or damage

§ breaches relating to the commission of a criminal offence may leave the elected member liable for criminal prosecution.

In these cases the Council may refer an issue to the relevant body, any member of the public may make a complaint, or the body itself may take action of its own initiative.

Where there are no statutory provisions, the Council may take the following action:

§ censure

§ removal of the elected member from Council committees and/or other representative type bodies

§ dismissal of the elected member from a position as Deputy Chairman or Chairman of a committee.

A decision to apply one or more of these actions requires a Council resolution to that effect.

4.3 Review

Once adopted, a Code of Conduct continues in force until amended by the Council. The Code can be amended at any time but cannot be revoked unless the Council replaces it with another code. Once adopted, amendments to the Code of the Conduct require a resolution supported by at least 75 per cent of the members of the Council present.

Council will formally review the Code prior to the end of each three year term and any suggestions for improvement and recommended amendments will be noted and referred to the new Council. As soon as practicable after the triennial election, results of that review will be presented to the new Council for consideration and adoption.

APPENDIX TO THE CODE OF CONDUCT

Legislation Bearing on the Role and Conduct of Elected Members

This is a summary of the legislation requirements that has some bearing on the duties and conduct of elected members. Copies of these statutes are available from the office of the Chief Executive.

Local Authority (Members’ Interests) Act 1968

This Act regulates situations where a member’s personal interests impinge, or could be seen as impinging on, his or her duties as an elected member.

The Act provides that an elected member is disqualified from office if that member is concerned or interested in contracts under which payments made by or on behalf of the regional Council exceed $25,000 in any financial year.

Additionally, elected members are prohibited from participating in any Council discussion or voting on any matter in which they have a pecuniary interest, other than an interest in common with the general public. The same rules also apply where the member’s spouse contracts with the authority or has a pecuniary interest.

Members may also contact the Audit Office for guidance as to whether that member has a pecuniary interest, and if so, may seek an exemption to allow that member to participate or vote on a particular issue in which they may have a pecuniary interest. The latter must be done before the discussion or vote. The Chief Executive must also seek approval from the Audit Office for contractual payments to members, their spouses or their companies that exceed the $25,000 annual limit.

Failure to observe these requirements could also leave the elected member open to prosecution under the Local Authority (Members’ Interests) Act 1968. In the event of a conviction elected members can be ousted from office.

(The Office of the Auditor-General publication Guidance for members of local authorities about the law on conflicts of interest (2007) provides further guidance on this Act).

Local Government Official Information and Meetings Act 1987

The Local Government Official Information and Meetings Act 1987 sets out a list of meetings procedures and requirements. Of particular importance for the roles and conduct of elected members is the fact that the Chairman has the responsibility to maintain order at meetings, but all elected members should accept a personal responsibility to maintain acceptable standards of address and debate. No elected member should:

§ create a disturbance or a distraction while another Councillor is speaking

§ be disrespectful when referring to each other or to other people

§ use offensive language about the Council, other Councillors, any employee of the Council or any member of the public.

Secret Commissions Act 1910

Under this Act it is unlawful for an elected member (or officer) to advise anyone to enter into a contract with a third person and receive a gift or reward from that third person as a result, or to present false receipts to Council.

If convicted of any offence under this Act a person can be imprisoned for up to 2 years, or fines up to $1000, or both. A conviction therefore would trigger the ouster provisions of the Local Government Act 2002 and result in the removal of the member from office.

Crimes Act 1961

Under this Act it is unlawful for elected members (or officers) to:

§ accept or solicit for themselves (or anyone else) any gift or reward for acting or not acting in relation to the business of Council

§ use information gained in the course of their duties for their, or another persons, monetary gain or advantage.

These offences are punishable by a term of imprisonment of 7 years or more. Elected members convicted of these offences will also be automatically ousted from office.

Securities Act 1978

The Securities Act 1978 essentially places elected members in the same position as company directors whenever Council offers stock to the public. Elected members may be personally liable if investment documents such as a prospectus contain untrue statements and may be liable for criminal prosecution if the requirements of the Act are not met.

HAWKE’S BAY REGIONAL COUNCIL

Corporate and Strategic Committee

Wednesday 04 September 2013

SUBJECT: Sports Park Hawke's Bay Hockey Turf Project Proposal

Reason for Report

1. As part of its decision-making during the development of the 2012-22 Long Term Plan Council considered a request from the Sports Park Trust (SPT) for international hockey facilities and resolved that:

“$2M provision is made for regional hockey turf facilities in Hawke’s Bay, requiring that the HB Hockey Association, the Hawke’s Bay Hockey Artificial Surfaces Trust, the Regional Sports Park Trust and the Napier City and Hastings District councils, produce an acceptable and agreed Plan for any new Regional hockey turf facilities that complies with Council’s Regional Community Facilities fund policy.”

2. While the funds were not accessed during the 2012/13 year the Draft Annual Plan made provision for the funding to be carried forward with a proviso that a final decision be made by Council by 30 September 2013.

3. A final proposal is now being submitted by the Sports Part Trust for Council’s approval. A copy of this business case is appended as Attachment 1.

Financial and Resource Implications

4. No new funding is sought. The total amount earmarked for this project is $2,000,000. This comprises $750,000 from Project 893 and loan funding of $1,250,000. Total funding has been provided for in the LTP and carried forward to the 2013/14 Annual Plan.

Description

5. The Sports Park Trust has presented a case for a Tier 1 hockey facility at its site in Percival Road. A map showing the location of the facility is appended as Attachment 2.

6. The proposal is based upon the hosting of an international women’s hockey tournament in March/April each year for up to ten years with a review period after two years. The event is being put together by the SPT, the Hawke’s Bay Sports Events and Education Consortium Inc (HBSEEC) and Hockey New Zealand. While the negotiations to date have necessarily had a confidentiality component to them, where possible evidence of the strength of the commitment of all parties to this event will be tabled at the meeting. Where this may not be possible the Committee Chair and Interim Chief Executive expect to have sighted the relevant documentation ahead of the meeting.

7. In addition to the actual turf a Tier 1 facility as the following main additional requirements:

7.1. A half turf and lights for teams to warm up

7.2. Higher lux level of turf lights to meet television requirements

7.3. Spectator seating

7.4. Two additional changing rooms

7.5. Adaptation to some grandstand facilities (e.g. temporary media facilities)

7.6. Corporate entertaining areas

7.7. Television tower

7.8. Additional space for expo and entertainment activities

8. The total costs of the Tier 1 hockey stadium is $3,633,000. Funding for this is proposed to be from the following parties.

8.1. Hawke’s Bay Regional Council 2,000,000

8.2. Hastings District Council 663,000

8.3. Lotteries 605,000

8.4. Sponsorships 100,000

8.5. National Trust funding 100,000

8.6. Local Charitable Trusts 100,000

$3,568,000 (Deficit = $65,000)

9. The SPT has secured $705,000 of this funding. It is expecting responses from HBRC (4 September) and HDC (10 September) which will leave only the $200,000 of national and local trusts outstanding.

10. The SPT has requested from HBRC that funding be confirmed for the development of an international hockey stadium as follows.

10.1. $2M in funding is made available for the facility and works commence on September 16

10.2. Work on the international components will not commence until a full agreement between the SPT and the Hawke’s Bay Sports Events and Education Consortium Inc (HBSEEC) has been signed

10.3. If the Memorandum of Understanding between the SPT and HBSEEC is not converted into full agreement, the Trust will continue with works for a local turf only, in consultation with the HBRC CEO. This will require less funding from HBRC and the Trust will provide an update on this to the first HBRC meeting after the elections

Discussion

11. There are two key components to Council’s decision of 11 June 2012 - agreement on an accepted plan by the named parties, and compliance with the Council’s Regional Community Facilities Fund policy. To deal with the latter first, the following table provides an assessment of the funding criteria requirements.

Criteria	Assessment
The facility must be owned or managed by a Territorial Local Authority or a Council Controlled Organisation	The Regional Sports Park Trust develops and manages facilities at the Park. HDC owns the land. The Trust is responsible for the maintenance and renewal of facility assets.
The project must be of benefit to the whole Hawke’s Bay region or at least of benefit to a significant sub-region (eg: Wairoa or Central Hawke’s Bay).	This requirement is met
The project must have a minimum capital value of $5 million in the instance of Napier or Hastings or $500,000 in the instance of Wairoa or Central Hawke’s Bay.	The capital value of the project is $3.5 million. The Trust is able to deliver the facility for this amount because much of the required is already at the Park. This especially applies to existing grandstand infrastructure, roading, carparking and services to the site. If the facility was being developed on a greenfields site it would exceed the $5m capital value
The fund will support projects to establish or upgrade community infrastructure such as halls, museums, sports facilities, community centres, which are available for use by the community at large	This requirement is met
The fund would not normally support basic local authority infrastructure such as drainage, water supply, sewage or waste disposal or roading	This requirement is met
The fund would contribute to capital costs of facilities but not to operating costs	This requirement is met
The project should demonstrate local community support through the applicant’s LTCCP or Annual Plan process	This requirement is met
The sponsoring TLA must undertake responsibility for maintenance and renewals, preferably with depreciation funded	HDC funds approx 1/3 of costs of park. They have assisted the SPT to compile its comprehensive asset management plan.
The Regional Council should be satisfied that management and/or governance of the facility will be competent	This requirement is met
The Regional Council would expect the sponsoring Council to be directly funding or have received funding for at least 75% of the value of the project and the Regional Council would in no instance contribute more than 50 % of the cost of the projects	HBRC is contributing 57% of the cost of the project. The Trust is obtaining 43% of funding from non HBRC sources. For its part Hastings District Council has provided $18m to the Park’s development to date. This includes infrastructure that is either directly or indirectly required by the hockey facility.

12. The other component of the Council resolution is that an agreed and acceptable plan for any new regional hockey turf facilities is produced with the agreement of Hawke’s Bay Hockey, the Artificial Surfaces Trust, the Regional Sports Park Trust and the Napier City and Hastings District Councils. In order to try and meet this requirement the HBRC Chairman called a meeting of all parties on 22 August. By and large agreement was reached on the proposal for a Tier 1 facility at the Sports Park, although final confirmation of this is expected to be tabled at the meeting by the SPT.

13. It is noted that the agreement of one or more parties may be contingent upon the securing of an international tournament over several years.

Timing and Certainty

14. If the international hockey tournament is secured the first event will be held in just over six months time. This makes the start of building the facility urgent and the SPT is keen to start building on 16 September. However confirmation of the event will not be available until 30 September. If the event is not secured there is no requirement for a Tier 1 facility at this time. And the SPT request confirms that it would instead build a local turf only. This has implications for the level of funding sought from this Council.

15. The potential difficulty facing this Council is one of timing. At present the key milestones for the project are as follows.

Present to HBRC Sept 4

Present to HDC Sept 10

Work commences Sept 16

International status confirmed Sept 30

Facility complete March 1

16. The issue is that Council is expected to confirm its funding for a Tier 1 facility prior to confirmation of international status on 30 September. In any event Council’s last meeting is 25 September so a decision needs to be made by then. This issue could be addressed by Council funding being contingent upon international status being confirmed.

17. As a funding partner in the facility certainty is also required around the balance of funding for the international tournament. While HBSEEC is working to put together a consortium of Hawke’s Bay companies who will underwrite the event and will have the management rights Council needs to consider the risk that the financial costs of operating the event could fall on current and future ratepayers of the district. This issue could be addressed by Council funding being contingent upon the underwriting process being secured.

Decision Making Process

18. 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:

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

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

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

18.4. The persons affected by this decision are the ratepayers of the region and in particular the ratepayers within Hastings district.

18.5. Options that have been considered include are line with previous resolutions and decisions made by the Hawke’s Bay Regional Council

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

18.7. 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

The Corporate and Strategic Committee recommends 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. Approves the release of $2 million funding to the Regional Sports Park Trust for the construction of a Tier 1 hockey facility subject to:

2.1. The funding being released following confirmation in writing of an annual international hockey tournament for the venue (with a minimum commitment from the appropriate sanctioning body of five years); and

2.2. The funding being released following confirmation to the Council in writing of full agreement reached between the Regional Sports Park Trust, HBSEEC and Hockey New Zealand to the staging of the international event.

3. Notes that in the event that the conditions set out in 2.1 and 2.2 cannot be met the Council will consider its level of financial contribution to a local turf at a future date.

Liz Lambert

Interim Chief Executive

Attachment/s

1 View	Regional Sports Park Trust - Proposal for Tier 1 hockey facility
2 View	Regional Sports Park Trust - map of facility

Regional Sports Park Trust - Proposal for Tier 1 hockey facility

Attachment 1

$Description: C:\Users\Jock\Documents\Jock\contracting\RSP4\branding\brand\RSP Final LOGO on White.jpg$

29 August 2013

International hockey stadium at Sports Park Hawke’s Bay

Background and executive summary

Hawke’s Bay Regional Council has also allocated funding ($2 million) in its 2012-22 LTP for hockey development.

The HBRC resolution is:

$2m provision is made for regional hockey turf facilities in Hawke’s Bay, requiring that the Hawke’s Bay Hockey Association, Artificial Surfaces Trust, Regional Sports Park Trust, Napier City and Hastings District Councils produce an acceptable and agreed plan for any new regional hockey turf facilities that complies with the Regional Community Facilities fund policy.”

HBRC’s resolution is responding to a request from the Sports Park Trust to build an international hockey stadium at the Sports Park.

In support of its funding request, the Sports Park Trust has signed a Memorandum of Understanding (MOU) for an annual 6-8 nation international women’s tournament to be hosted by the proposed new venue at the Park. Hosting rights are for ten years, subject to two yearly reviews.

This paper seeks confirmation of HBRC funding so that works can commence as soon as possible.

Hockey offers exciting prospects

In its original planning, the Sports Park Trust noted the importance of having a national facility at the Park. Such facilities generate economic benefit for the region and add an “x factor” to the Park.

Hockey has been a sport that has pressed its case for inclusion in the Park’s facility mix. This is primarily driven by growth in player numbers which mean there is now considerable pressure on the existing two turfs at Park Island.

During its investigations into hockey viability, an additional opportunity emerged. There is a gap in the Women’s global hockey calendar for an international tournament. The prospect of hosting such a tournament is exciting for the region and New Zealand. Indeed the Trust is not aware of any other significant international event (outside the Wellington 7s) that is hosted in New Zealand for the ten year duration that is proposed for this event.

The tournament will take place in March / April being the shoulder season of the tourism calendar and providing a welcome boost to tourism operators in Napier and Hastings especially. Tourism Hawke’s Bay notes that a tournament during the shoulder season fits very well with its regional events strategy. Indeed the region’s tourism body is excited by the long term nature of the event

Teams have been invited by Hockey New Zealand for the 2014 event and Hawke’s Bay is the preferred location. If Hawke’s Bay is unable to host the event, Hockey NZ will find an alternative venue for the 2014 event.

Global television audiences are an important benefit associated with the event, especially for Hawke’s Bay. As an example the 8 nation Champions Trophy, that took place in Auckland at the end of 2012 attracted a cumulative global audience of over 90 million viewers. Asia is a particularly important market because of interest in the sport there and large viewer numbers. The region intends to leverage this through naming the event “The Hawke’s Bay Cup”.

Who is involved in staging the International event?

There are three main groups who are putting the event together

Group	role
HB Regional Sports Park Trust	The Trust’s main responsibility is to build the facility and host the event
Hawke’s Bay Sports Events and Education Consortium Incorporated. (HBSEEC)	HBSEEC comprises a group of Hawke’s Bay companies who will underwrite the event and will have the management rights. This group is drawn from those who provided the pre-Olympic sponsorship to the Black Sticks. HBSEEC has responsibility for the management and delivery of the event.
Hockey New Zealand	Hockey New Zealand is responsible for inviting the teams to participate in the tournament. They are also responsible for obtaining an FIH sanction for the event, identifying and appointing umpires and officials and other sports related activity required for the running of an FIH sanctioned international hockey tournament,

The Sports Park Trust has signed a memorandum of understanding with HBSEEC and HBSEEC, in turn, has an MOU with Hockey New Zealand. In both cases the MOUs are for ten year hosting rights subject to two yearly reviews. The review criteria relate agreed objectives between Hockey New Zealand and HBSEEC.

Full agreements between the parties are due to be completed by 30 September 2013. In the unlikely event that full agreements are not concluded, the Trust will consult the Council’s CEO with the fall-back position being the development of a local turf. A local turf would require less funding from HBRC and the Trust would expect to provide an update on this to the first HBRC meeting after the elections should this unlikely situation eventuate.

What is required for an international “Tier one” facility

A key reason for locating an international turf at the Sports Park is the fact that many of the requirements for an international facility exist within current park infrastructure. This especially applies to the existing grandstand which is an internationally certified building incorporating such things as drug testing and first aid rooms, toilets, showers and changing rooms. Hockey New Zealand has confirmed that these existing facilities meet international requirements. The park also has considerable car parking. An updated masterplan illustrating the location of the new turf is attached.

The main additional requirements for a tier one facility are:

· A half turf and lights for teams to warm up on while others are playing

· Higher lux level (brightness) for turf lights so they are suitable for television

· Spectator seating

· Two additional changing rooms (in addition to the two already in the grandstand)

· Adaptation to some grandstand facilities – for example providing a temporary media facility

· Corporate entertaining areas

· Television tower

· Additional space for expo and entertainment activities

Timetable

date	milestone
2013
completed	MOUs signed by parties
4 September	HBRC meeting requesting confirmation of funding
10 September	HDC meeting requesting confirmation of funding
16 September	Construction commences. *
30 September	Full agreements signed by the parties
2014
1 March	Facility complete
Early April	Tournament commences

* The Trust aims to commence works two weeks prior to the completion of full agreement between the parties. This is to enable the full project to be complete by 1 March 2014. Work on the international components of the facility will not commence until full agreements have been signed.

Local need underpins project

While the prospect of an on-going international event is exciting, it is local use that underwrites the turf’s operational viability.

Hockey New Zealand guidelines are for a region to have one artificial turf per 650 players, with a maximum of 850 players. Currently Hawke’s Bay has 1100 players per turf and is therefore well above the maximum level. The following table summarises the “before and after” situation.

“Before” situation with 2 turfs servicing the HB region	Player numbers
Hockey players in HB region	2200
Number of players per turf (2 turfs)	1100
Hockey NZ recommended players per turf	650
Hockey NZ maximum players per turf	850

“After” situation with three turfs
Number of players per turf	730

The half turf also provides additional practice space for school teams in particular.

The Trust believes a third turf in the region, coupled with an international tournament, will ignite growth in the sport. Currently there is no artificial turf in close proximity to the Hastings community, even though over half the players reside in Hastings and surrounding districts. Consultation with the hockey community, schools and Maori hockey interests suggest this has been a major constraint to participation in the game. All of these groups cite travel (to Park Island) and its associated cost as the major barrier.

Hockey has historically been a strong sport among Maori, however travel and its associated costs has been cited as a barrier to participation.

As part of its consultation, the sport’s governing body, Hawke’s Bay Hockey, convened a public meeting of hockey interests to determine support for the proposal. The table following is summary of the participants’ verbal comments which were made following a presentation detailing what was proposed. All of the comments, except one, were supportive of the proposal.

Commentator	Comments made
*Positive responses*
Tracy Taylor Teacher and Hockey mum	The saving in travel time will enable me to get a life back
Neal Swindells Chair, HB Secondary Principals Assn	Turf was unanimously endorsed at meeting of Principals
Ken McLeod Rector, Lindisfarne College	Will be a major boost for the game
Anne Waapu Takitimu Hockey	There are many marae in Hastings and this will re-ignite interest. Can see a national Maori hockey tournament being played here
Andrew Watts Central Hawke’s Bay	Will make a huge difference to travel time
Tony Cosgrove Bay Independent Hockey Club, Napier	Fully support… turf shortage means training times are too late
Leanne Sutherland Napier Tech hockey club	Will free up space at Park Island so we fully support
Ross Barry Lindisfarne College	Need to show some leadership and get on with it
Blanche Paewai player	Many mothers refuse to travel to Park Island. My sister (Caryn, Former Back sticks player) supports as well
Rob Sturch Headmaster, Hastings Boys High Sch	We are only tapping into half the talent at present because of the transport barrier
Moana Stewart Former coach	I stopped coaching because I couldn’t do the travel. We have 40 marae near Hastings so there is a lot of potential
Judy Waapu Takitimu hockey	If the money is available we should get on with it
Andrew Knox HB Hockey Board member	I’m tired of Hastings taking a back seat. We need a smart facility here
Mahora School rep	Our school doesn’t play because transport to Park Island is too difficult
*Negative response*
David Smail (Life member)	I would prefer a third turf at Park Island. That would still free up practice time.

HBRC received 68 submissions in relation to the hockey development as part of its LTP consultation process. These were overwhelmingly supportive with 67 “for” and 1 “against”.

At a national level, Hockey New Zealand has provided the following commentary:

“As the demand for hockey grows it is important for people to have access to turfs in their local area without driving long distances to one centralised facility… In Hawkes Bay, there is an established two turf facility at Park Island, but because of the player population in Hastings and Havelock North, plus Southern Hawkes Bay, it makes sense to also develop facilities at a more conveniently located site. It is a huge added bonus that these facilities will include a range of features that will make it a world class facility that can host internationals, as well as meet the growing needs of the hockey community, so of course we support this development”.. Hockey NZ

Why not play the internationals at Park Island… or build the new facility there?

There are three main reasons for locating the new facility in Hastings:

· Hastings needs a turf. Although 55% of players are located in or near Hastings there is no artificial turf located near the city.

· Park Island is not an FIH sanctioned Tier one facility and is not suitable to host a tournament of the nature and scale that is proposed.

· The Sports Park has many of the facilities required for a tier one turf. This includes facilities within the existing grandstand and space for 1000 cars to be parked. This means the development of an international turf at Park Island would cost considerably more than at the Sports Park.

The HBRC resolution.

The HBRC resolution supporting the granting of funds to the Hockey facility stated:

A considerable amount of work has gone into getting plans to the stage they are now at. Recently, on 22 August, the Chair of HBRC convened a meeting of the interested parties (as detailed in the resolution) and a briefing was provided by the Sports Park Trust. The interested parties are confirming their positions following this presentation and letters confirming those positions are expected to be available for the HBRC meeting on September 4.

Operational feasibility

The Trust’s overall operations are able to generate solid financial surpluses because it:

· Is innovative in its use of the existing facilities

· provides a good experience which results in “repeat business”. For example a sample of 200 attendees at the 2011 Colgate Games were asked to rate the venue and event organisation. The following average scores were achieved:

o venue 9.3 out of 10

o organisation 8.6 out of 10

· has been effective in managing costs

· has negotiated long term and renewable sponsorship arrangements

The Trust will manage the operation of the artificial turf including irrigation, turf maintenance, grooming, lighting management and general administration. This is part of the Trust’s core business and will be integrated into its other operations.

In its forecasting the Trust has assumed:

· Pricing to hire the venue is the same as that charged at Park Island

· Sponsorship income will be comparable to other facilities

· Expenses are based on information derived from similar facilities

· The sum of $45,000 per annum will be deposited into a reserve to fund the replacement of the artificial turf

Revenue sources for the facility include:

· Sponsorship

· Hawke’s Bay Hockey games

· Practice use from schools and others

· Holiday programmes including hockey camps

· Non-hockey use – for example Futsal in summer.

The Trust expects the hockey stadium to contribute solid surpluses to the Park’s overall operations.

Project costs and funding

The following table illustrates the costs and funding associated with the international hockey stadium

The Trust is comfortable with its cost and funding projections for the following reasons

Costs

· Quotes have been received for two thirds of the work. Conservative estimates have been made for the balance of works in consultation with contractors

· There is a robust contingency

Funding

· If the Trust receives confirmation from HBRC and HDC it will have secured all of the funding except the $200,000 associated with National and Local Trusts.

· Verbal agreement has been reached with a main sponsor, however this remains confidential meantime.

· The Trust is confident of achieving sufficient additional support to cover the $65,000 deficit shown above.

What is requested of HBRC

The Sports Park Trust requests that funding be confirmed for the development of an international hockey stadium as follows:

· $2m in funding is made available for the facility and works commence on September 16

· Work on the international components will not commence until a full agreement between the Sports Park Trust and HBSEEC has been signed.

· In the unlikely event that the Memorandum of Understanding is not converted into full agreement, the Trust will continue with works for a local turf only, in consultation with the HBRC CEO. This will require less funding from HBRC and the Trust will provide an update on this to the first HBRC meeting after the elections.

Summary

Hosting an international hockey tournament represents an outstanding opportunity for Hawke’s Bay and New Zealand. Indeed, with the exception of the Wellington 7s, there is no comparable multi-year event that occurs in New Zealand in any other significant sport.

Hawke’s Bay can “own” the event for a period of 10 years and make it a show case tournament on the global hockey calendar. In achieving this it will yield outstanding results for the region, especially through international television exposure which will go into the homes of New Zealand’s major export markets, especially Asia and Australia.

The tournament will also deliver significant growth to hockey in Hawke’s Bay - a result of the increased profile for the game and better proximity for over half of the region’s players.

HAWKE’S BAY REGIONAL COUNCIL

Corporate and Strategic Committee

Wednesday 04 September 2013

SUBJECT: Update on 159 Dalton Street

Reason for Report

1. This paper updates Council on:

1.1. Progress with the remedial work on Council’s office building at 159 Dalton Street Napier.

1.2. The legal situation with regard to the High Court proceedings seeking the recovery of the cost of the remedial work.

Remedial Work

2. At a meeting on 20 February 2013, Council awarded the remedial works contract for the Council building to Mackersey Construction. The contract value was $1,922,002 + GST. It was noted at the time the contract was awarded that the full cost of the remedial work would not be known until cladding had been removed and the full extent of damage can be ascertained.

3. The remedial work is now approximately 55% complete. The cost has reduced because it is no longer necessary to remove windows, and a large part of the contingency sum included in the original contract has been deleted because there is now more certainty over the remainder of the work required.

4. However, offsetting this reduction is an increase in professional and legal fees associated with the project. The increased cost of the remediation contract management is a result of the need to provide detailed drawings for remedial work that was found to be different than the original contract drawings. This need arose because it was found that the construction of the original building varied from what was shown on the contract drawings. Additional detailing was also required as a result of the decision not to remove windows.

5. The table below was included in the 20 February 2013 paper to Council. Two additional columns have been added to update the estimate.

Description	Feb 2013 Estimate	Sept 2013 Estimate	Costs to date Sept 2013
Assessment of cladding defects	$60,000	$60,000	$60,000
Professional and consent fees to tender stage	$50,000	$50,000	$50,000
Remedial works	$1,922,000	$1,697,000	$983,000
Remediation contract management	$30,000	$75,000	$56,000
Legal fees	$120,000	$160,000	$102,000
Remediation specialist fees	$30,000	$30,000	$13,000
Total	$2,212,000	$2,072,000	$1,264,000

6. There is uncertainty at this stage in how the legal process will progress. It is therefore impossible to accurately estimate the likely legal costs and the associated costs of a remediation specialist.

7. The contract period for the remedial works is approximately 9 months. The work is currently programmed to be completed prior to Christmas, and the contractor is expecting to achieve this timeframe.

8. Some of the work required will prevent the use of the Council chamber. This work is programmed to be undertaken in late September and October 2013 when there are no Council meetings scheduled.

Legal proceedings

Chief Executive Delegation

9. At their meeting on 21 March 2012 Council resolved to delegate to the Chief Executive settlement through negotiation or mediation at any stage prior to the High Court hearing the case if, in his opinion and taking into account the advice from legal advisors, that negotiation or mediation was appropriate and required that should the Chief Executive exercise this delegation, a full report would be provided back to Council setting out the situation and providing details and justification for that course of action.

10. Since that time staff have continued to work with Council’s legal advisers to progress the case. Kensington Swan lawyers are representing Council on this issue.

Update on proceedings

11. Council filed proceedings against Herbert for breach of contract, negligence, and breach of a contractual warranty that Herbert provided in favour of the Council. Herbert then joined several third parties to the proceedings.

12. In June 2013, a creditor of Herbert made an application to put the company into liquidation. Therefore, on 21 June 2013, Council filed an amended statement of claim joining the following third parties as defendants:

12.1. Opus International Consultants Limited, on the basis that it was negligent in supervising the construction

12.2. Napier City Council, on the basis that it negligently inspected the building and issued the code compliance certificate

12.3. Wynards Masonry Limited, on the basis that it negligently carried out the cladding work

12.4. Toop Aluminium Limited, on the basis that it negligently carried out the aluminium work

12.5. Malcolm Herbert, on the basis that he was personally involved in the construction by way of project management and supervision.

Herbert’s status

13. Herbert was placed into liquidation on 25 July 2013.

14. Herbert’s liquidators have been notified of the Council’s claim against Herbert. Council is recorded as an unsecured (contingent) creditor. This means that if there are any funds to distribute from the company, Council will rank behind the preferential claims (such as liquidator’s cost, petitioning creditors, employee claims, and the IRD) in any distribution. It is highly unlikely that there will be any funds available to the Council.

Next steps

15. The next major step in the legal proceeding is discovery where each party is required to list and provide all relevant documents in their possession or control and inspect all other parties’ documents.

16. At a recent court case management conference, a timetable was set requiring the parties to discuss discovery by mid-September 2013 and update the Court at a further conference scheduled for 30 September 2013.

17. Council’s legal advice is that mediation should be proposed.

Decision Making Process

18. 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 the Corporate & Strategic Committee receives the “Update on 159 Dalton Street” report.

Mike Adye

Group Manager

Asset Management

Liz Lambert

Interim Chief Executive

Attachment/s

There are no attachments for this report.

HAWKE’S BAY REGIONAL COUNCIL

Corporate and Strategic Committee

Wednesday 04 September 2013

SUBJECT: 2012-13 Council Human Resources Report

Reason for Report

1. This agenda item is to provide Council with an overview of the key human resource metrics recorded for the year 1 July 2012 to 30 June 2013.

Key Metrics

Staff numbers (Previous year in brackets)

2. As at 1 July 2013 176.25 Full Time Equivalent (FTE) (180 FTE), made up of:

2.1. Dalton Street (including Wairoa and Waipawa offices) 146.25 (150) FTE

2.2. Works Group (Taradale and Waipukurau) 30 (30) FTE.

3. Staff turnover for the year ending 30 June 2013 was 9% (2012 – 7.8%). A total of 16 staff left during the year including 3 retirements (excludes 3 redundancies and 2 staff on parental leave). Two staff achieved career development through internal promotions into new roles.

4. The level of staff turnover continues at an acceptable level and compares favourably to the national average for equivalent local government entities as assessed against data provide by the OnLine Executive Search National Survey which stands at 10.3% for local government and 16.4% across all categories.

Staff Leave Usage

5. For the year ending 30 June 2013, the average number of sick leave days taken was 5.4 days down very slightly from 5.5 days in 2012. There was an increase in the percentage of staff taking more than the annual allocation of 10 days to 18% up from 16% in 2012.

6. The total number of sick leave days continues to trend upwards and for 2013 stood at 978 days. However during the year there was two staff who took a large number of accumulated sick days off due to longer term injury and illness.

7. Annual leave average usage rose to 22 days for Dalton street staff up from an average of 18 days the previous year.

Average Age/Tenure

8. For the year ending 30 June 2013, the average age of Dalton Street staff was 45 and the average number of years with Council remained at 10 years.

9. For the same period the average age of Works Group staff was 49 and the average numbers of years with Council was 12 years.

Staff Age Profile

	20-25	26-30	31-35	36-40	41-45	46-50	51-55	56-60	61-65	65+
Dalton St	4	12	20	18	25	18	18	15	9	5
Works Group	0	1	1	3	3	7	6	5	0	1

10. A conscious process is undertaken for the retirement of key staff to minimise any issues around the loss of ‘institutional knowledge’.

Health and Safety

11. There were 19 work related accidents recorded for Dalton street staff resulting in 91 days off work.

12. There were 5 work related accidents at the Works Group resulting in 27 days off work.

13. The majority of the work related accidents resulted in no time off work.

14. There were no accidents during the period that required notification to MoBIE as a serious harm accident.

15. There are 2 health and safety committees that meet on a regular basis and are made up of representatives from the work force. The committees review any relevant accidents or near miss reports as well as other health and safety issues brought up for consideration.

16. The Council are part of ACC’s Workplace Safety Management Practices (WSMP) programme and receive a 20% discount on our ACC levies having achieved tertiary level.

17. It should be noted that the Government have signalled significant changes to health and safety legislation to address the continued high level of injury and death as a result of work place accidents. New requirements of employers may necessitate increased resources to ensure compliance.

Staff Training and Qualifications

18. The overall training budget for the past year was 2.2% of the salary budget a slight drop on the 2012 figure (2.5%).

19. The focus of corporate training has again been to enhance leadership skills for staff with the potential to fill leadership roles.

20. A staff survey undertaken in October 2012 provided positive results overall and a very high level of engagement. A number of results that had been focused on since the previous survey showed a strong improvement. Results across the council were consistent.

21. In a survey of qualifications taken in late 2012 to which 114 staff replied, Council had 8 staff with a PhD, 17 with a Masters degree and 2 others that Council is assisting to achieve their Masters; and 55 with a relevant degree. The balance of those responding hold a diploma or certificate relevant to their work.

Industrial

22. All Managers are on individual employment agreements (IEAs).

23. There are two collective employment agreements (CEA). The Dalton Street CEA is due for re-negotiation in September 2013 and covers approximately 42 staff. The Works group CEA is due for re-negotiation in June 2014 and covers 18 staff. All other staff have chosen to be on IEAs (approximately 62 staff).

Decision Making Process

24. 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 the Corporate and Strategic Committee receives the “2012-13 Council Human Resources” report.

Viv Moule

Human Resources Manager

Liz Lambert

Interim Chief Executive

Attachment/s

1 View

HBRC Human Resources Highlights 2012-13

HAWKE’S BAY REGIONAL COUNCIL

Corporate and Strategic Committee

Wednesday 04 September 2013

SUBJECT: Public Transport Update

Reason for Report

1. This agenda item provides the Committee with an update on Council’s public transport services, including trends since the previous update in May 2013. The report contains patronage graphs which are updated each month and provided to this Committee and the Regional Transport Committee.

General Information

2. The overall performance of the bus service continues to be positive, with passenger growth still increasing.

3. In July 2013 the New Zealand Transport Agency gave approval for a 30 month contract extension. This means that under a contract extension variation agreement Go Bus Transport Ltd will continue to operate the urban bus contract until 30 June 2016. It is anticipated that the contract for the urban bus services will be released for tender in July 2015. The contract extension was necessary to ensure that new legislative requirements are able to be met – these include producing a new Regional Public Transport Plan and Procurement Strategy, by 30 June 2015.

Total Passenger Trips

4. The following graph shows total passenger trips from February 2009 to July 2013. Passenger trips from January to July were approx 10% higher than during the same period last year.

Diagram 1 – Total Passenger Trips – February 2009 – July 2013

5. Since 2009 the total numbers of trips per year and monthly averages have steadily trended upwards, as follows.

Total Yearly Trips Monthly Average

2009 434,231 36,186

2010 512,657 42,721

2011 616,198 51,350

2012 726,373 60,531

2013 (Jan-Jul) 459,174 65,596

Capacity

6. The following graph outlines the seat capacity utilised on a monthly basis from July 2012 to July 2013.

Diagram 2 – Capacity – July 2012 - July 2013

SuperGold Card Trips

7. SuperGold cardholders continue to make very good use of this scheme. The graph below shows the number of SuperGold cardholder trips made from July 2012 to July 2013.

Diagram 3 – SuperGold Card Trips – July 2012 - July 2013

Infrastructure

Bus Stops

8. goBay bus stop signs have been installed at nearly all Hastings bus stops and feedback from passengers and drivers has been very positive. It is pleasing to report that Regional Council staff are now working closely with Napier City Council roading staff to implement and roll out a staged signage programme at Napier bus stops.

9. All on-street posters will be updated at the end of August, to reflect minor changes and improvements to some services, effective from 1 September.

Bikes on Buses

10. The uptake of bikes on buses continues to increase, with almost 1700 bikes carried since January this year.

Other

11. In line with the three-year fare increase programme Council approved last year, the second stage of increases will be made on 1 September. This increase has been widely publicised both in the media and on board the buses.

12. A bus service review is currently underway. Ratepayers in Napier and Hastings have been invited to ‘Have Your Say’ on this review. Feedback forms are available in libraries; on Council’s website and Facebook; in ‘Our Place’ and community newspapers. Feedback from this review will be considered and form part of the new Regional Public Transport Plan which is due to be produced by the end of June 2015.

13. The mobile bus timetable application for smartphone users is proving to be very popular, with just over 2500 hits since May. The goBay web pages are the busiest on the HBRC web site, with approx 22% of all hits between May and July.

Total Mobility Update

14. The following table shows the Total Mobility Scheme statistics and expenditure for the full 2012/13 year. Uptake of this scheme is continuing to grow more than budgeted and staff are looking for opportunities to ensure that any budget overspend is minimised for the 2013/14 financial year.

Diagram 4 – Total Mobility Statistics – July 2012 - June 2013

Decision Making Process

15. 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 the Corporate and Strategic Committee receives the Public Transport Update.

Megan Welsby

Sustainable Transport Coordinator

Carol Gilbertson

Transport Manager

Attachment/s

There are no attachments for this report.

Agenda Item	Action	Person Responsible	Due Date	Status Comment
7 Top 10 Corporate Risks Assessment Issue 3 productive capacity of soil	What (if any) monitoring of cadmium levels in soil is being undertaken by Council	IM		Cadmium is routinely monitored at 60 sites part of the region’s new soil monitoring programme.

Health Checks	Eye Tests	Flu Injections	Buccaline Berna
5(11)	23 (22)	62 (63)	28 (30)

1 View	September - December 2013 Meeting Schedule
2 View	Proposed 2014 HBRC Meeting Schedule

	Average Age	Average Tenure (Years)
Dalton Street	45	10
Works Group	49	12