Agenda of Ordinary Council Meeting

Ordinary Council Meeting Agenda 17 December 2019

6 Mayor's Report

6.1 Mayoral Activities Report

File Reference: na

Attachments: 1. Te Wai Pounamu-South Island DMP-The Strategy Overview ⇩

Recommendations

That the report be received.

Activities

Meetings and Events

Since my last Mayoral Report at the September 2019 Council meeting, I engaged with the Community and Council in the following activities:

§ LINZ easement for A2O

§ Roading work at Lagoon area of Lake Ruataniwha

§ Woodburn log sale

§ Chinese delegation from Shanghai

§ Pukaki airport – skydiving activity

§ Tekapo Landco - resource content concern

§ Wilfred Road Ford closure

§ Tekapo trails

§ Designation Mackenzie & Responsible Camping free Wi-Fi location input

§ Cannington Bridge/Pareora River

§ Twizel multi-banking hub

§ Lake Alexandrina

§ MTFJ Outward Bound Scholarship

§ TUIA Rangatahi Leadership Programme

§ Tekapo's new Sustainable Community Project

§ Cycle track – Lake McGregor

§ Environmental Issues Roadshow

§ Tekapo to Takapō name change

§ Dark sky conference Tekapo

§ Thumbs Up New Zealand – Petition

§ 5006 Tekapo-Twizel Road – building a camping area

§ Ben Ohau Golf Club

§ Twizel Squash Club

§ Re-zoning Tekapo

§ Mackenzie Pharmacy Verandahs

§ Pivotal Irrigators on Simons Pass

§ Lake Tekapo Pub and Restaurant fire and temporary pop up bar

§ Pukaki Airport board

§ Ben Ohau Road dust issue

§ Property owners Erebus Place, Lake Tekapo

§ Albury memorial mowing

§ Mackenzie Rec Riding Group

§ Health Warning Alert - Lake Tekapo

§ Gogyro Ltd Stage 2 Build decision

§ NZTA fill side road of Edwards Stream

§ Public meeting in Lake Tekapo

§ AEC Ltd re-engagement on Destination Mackenzie Project

§ KiwiCamp Digital Honesty Box

§ Speed humps in Pioneer Drive, Tekapo

§ John Fahey complaint around building costs

MEETINGS AND EVENTS

Regional Transport meeting update

At the Regional Transport meeting on 28 November, the importance of a regional joint approach to improve regional transport infrastructure, was emphasized.

Walk and cycle ways across councils need improvement and there is a hard focus on safety on roads. It is important for Mayors to unite at the table and tell the full story about how these concerns affect their councils. Advocacy to and engagement with government on their strategies is key.

We need to consider how we get enough money in the system to do what we need to do. The example of 3-Waters and roading was illustrated as a perfect storm if we don’t plan it well enough.

Amendments to roading GPS are being reviewed. Other important documents to consider in the near future will be the Regional Land Regional Transport Plan and the Araoki 10-year plan.

We need an accessible, affordable, integrated, safe, resilient and sustainable system for Canterbury. Issues facing the region currently include speed issues especially those around schools and public transport fare policy changes. Successive governments have promised special funding to address those issues, which has not happened, therefore it is important we ensure that it does happen.

Councils will need to tell a good story around the issues they face in their Long Term Plans, and align those stories to that of the Regional Transport Long Term Plan for us to successfully advocate for extra funding.

Mayoral forum update

Mayor Sam Broughton was appointed Chair with Deputy Chair Nigel Bowen.

Discussions took place around the benefit of regular engagement with senior Government Ministers. The Triennial agreement is to be reviewed, with all Canterbury Mayors’ support needed to collaborate, including with the local Rūnanga who should be present at Mayoral Forums.

There were general discussions around the purpose and impact of the Mayoral Forum, especially around putting forward a clear message in our local interests. We need new ideas with clear measurable outcomes. After a disaster comes opportunity as per what has happened in Christchurch. Community well beings and social impacts have become very important aspirations to councils.

Mackenzie is a district where anything is possible, and we need to ensure our communities own their destination. We also need to ensure we have skilled staff to meet demand for workers in the region.

Warren Gilbertson, MBIE presented to the Forum. Canterbury is on the back foot when it comes to funding. For example, PGF funding of $50m has been allocated to Canterbury while Northland has received $400m. Ministers are pushing their own agendas and competing for the funding. Canterbury Mayors need to push for more PGF funding.

Meetings and events of note that I have attended since the last Mayor’s report to Council in September:

September 2019

§ Lake Tekapo Trails Society AGM, 23 September

§ Tekapo Power Scheme Annual Community meeting, 24 September

§ Mackenzie College Year 9 presentation, 26 September

§ Meeting with Jackie Dean MP, 26 September

§ Andrew Tombs, Alpine Energy, 27 September

October 2019

§ Forestry Management Ltd, 2 October

§ District Tour, 3 October

§ Jacqui Dean MP, 7 October

§ John Mackey, Audit NZ, 9 October

§ Alpine Shareholders meeting, 10 October

§ Aged care meeting Heartlands, 14 October

§ Environmental Issues Workshop, Twizel, 16 October

§ Presentation Lincoln University, Farming – can you have your cake and eat it?, 23 October

§ Law 1-1 Workshop, 25 October

§ Mayor’s Induction, 29 October

§ Elected Members’ Induction training, 30 October

§ Te Manahuna Kahui Ako Celebration, Mackenzie College, 31 October

November 2019

§ Pet Day Judging, Fairlie Primary School, 1 November

§ Opuha Water 21^st Birthday, 1 November

§ Jacqui Dean MP, 4 November

§ South Canterbury Mayoral Gathering, Waimate, 4 November

§ Arowhenua Marae, 6 November

§ A20 Joint Committee meeting, 7 November

§ NZCT Lunch, 7 November

§ Armistice Day, 11 November

§ EOC training day, 12 November

§ Zone 5&6 meetings, 18 – 19 November

§ MDC Executive team meeting, 20 November

§ Rural Provincial meeting, 21 – 22 November

§ Civil Defence Ex PANDORA Joint Committee, 26 November

§ Public meeting Tekapo, 27 November

§ Alpine Shareholders meeting, 28 November

§ Regional Transport Meeting, 28 November

§ Canterbury Mayoral Forum, 29 November

December 2019

§ Tekapo Squash Club, 4 December

§ Ben Ohau Golf Club, 4 December

§ Tekapo Community Board meeting, 4 December

§ AEL Shareholder meeting, 5 December

§ Twizel Area School prize giving, 6 December

§ Mackenzie College prize giving, 6 December

Invitation received but not accepted

§ Albury Hall AGM, 28 November (due to clashing commitment with Mayoral Forum)

§ Jerome Sheppard LINZ visit 21 - 22 November (due to Rural Provincial Meetings in Wellington)

Communications and publications

I contributed articles to the following publications:

§ The Mackenzie Messenger

§ Fairlie Accessible

I wrote the following Letters of Support

§ Karl Burtscher – Character Reference

§ Kylie Murphy – Character Reference

I responded to the following media queries:

§ Tekapo Hotel Development

Type here

Ordinary Council Meeting Agenda 17 December 2019

8 Reports

8.1 Chief Executive Officer's Activities Report

File Reference: na

Author: Suzette van Aswegen, Chief Executive Officer

Authoriser: Suzette van Aswegen, Chief Executive Officer

Attachments: Nil

Staff Recommendations

1. That the report be received.

Activities

As a CEO report was not presented at the Council meeting of 31 October due to the post elections processes including inauguration, this report covers activities for the period following the September Council meeting.

I attended the CE Forum at the SOLGM summit in Napier, the Zone 5 & 6 meetings in Oamaru, and the Rural Provincial meetings in Wellington.

Mayor Graham and I met with Jacqui Dean MP to promote Destination Mackenzie and we are seeking future appointments with Ministers Eugenie Sage and Hon Shane Jones.

I have attended two Tourism workshops hosted by Minister Kelvin Davis and Ministry of Business, Innovation and Employment (MBIE).

MBIE is on a journey to improve the tourism information and data system. In 2018, they worked closely with the sector to develop the Tourism Data Domain Plan. That Plan identified a prioritised list of data, insight, and research projects, and work has begun on some of them by MBIE and industry. Other challenges being faced in providing existing data include cost pressures or techniques that have become less effective. An informal working group has been tasked with ensuring the sector (industry, central and local government, and researchers/consultants) can work together to achieve an information and data system that is agile, that makes the most of its resources, and which delivers on the sector’s information needs.

Engagement activities in the District were bolstered by a hui with the three Rūnanga Chairs at the Arowhenua Marae in September during a Mackenzie Basin Alignment CE Forum. This was followed by a further hui at Arowhenua Marae attended by full MDC Council and the Executive Team. A response from the Rūnanga on their plans for engagement in the Destination Mackenzie project is pending.

Audit NZ worked onsite in the Fairlie offices in September and October for the audit of the Council’s Annual Report 2019/20, which was successfully adopted at the Council meeting on 31 October.

Preparation for the Long Term Plan has started, with a number of webinars attended by staff and a Project Plan and timeline schedule completed.

Staff also attended climate change workshops in Timaru and Christchurch. The workshops focused on identifying the risks of climate change to Canterbury. In particular, the risk screening aims to identify risks to Canterbury’s natural environment, built environment, social and human capital, Culture, and economy. The risk screening results will be used to inform the Canterbury climate change risk screening project. This project is carried out in partnership with Canterbury territorial authorities, Te Rūnanga o Ngāi Tahu and Environment Canterbury (ECAN) who is also funding the project.

A quarterly report on Organisational Capacity Building will be presented to the Audit & Risk Committee meeting in December.

A Strategy Workshop with full Council and Executive Team facilitated by Alicia Mackay is being planned for February 2020.

The annual ECAN Councillor / MDC Councillor Meeting is being planned for 11 March 2020.

CEO MEETINGS AND EVENTS

Meetings and events of note attended since the last Council meeting on 24 September 2019 include:

September 2019

· CE Forum at SOLGM, Napier, 25 – 27 September

· Jacqui Dean MP meeting, 26 September

October 2019

· Tourism Information and Data Hui, 3 October

· Murray Weakley meeting, 4 October

· John Mackey, Audit NZ, 9 October

· Tourism Information and Data Hui, 17 October

· Destination Mackenzie project meeting, 18 October

· Law 1-1 Workshop, 25 October

· Induction training, 29 and 30 October

November 2019

· Canterbury Chief Executives Forum, 4 November

· Arowhenua Marae visit, Councillors and Executive Team, 6 November

· Zone 5 & 6 Meetings, 18 and 19 November

· Fairlie Inaugural Meeting and Swearing In Ceremony, 19 November

· Rural Provincial Meetings, 21 and 22 November

· Twizel Inaugural Meeting and Swearing In Ceremony, 25 November

· Alpine Energy Shareholder workshop, 28 November

· Regional Transport Committee, 28 November

· Canterbury Mayoral Forum, 29 November

· CDEM Joint Committee meeting, 29 November

December 2019

· Mackenzie CE’s Forum, 6 December

PEOPLE & CULTURE UPDATE

Organisation values - November saw the rollout of our “Above / Below the Line” model alongside our core behaviours of Teamwork, Communication, Integrity and Accountability. These are closely linked to our overarching Values and will help us to ensure our behaviours and actions are in line with our Values. They are also a way for us to measure our behaviour and actions on a daily basis.

A flexible working arrangement policy has been drafted and went out to all our team members to review and provide comment on. Once the feedback has been gathered, it'll be reviewed and any changes included in the policy. The aim is to have this finalised prior to Christmas.

The Collective Agreement has finally been completed, signed off by MDC and the Union as well as lodged with MBIE.

New Team Members / Appointments:

§ Customer Service Officer, full time based in Fairlie: Evangeline Versfeld has accepted the role and starts 2 December 2019.

§ Resource Management Planner, full time based in Fairlie: Melissa McMullan started 25 November 2019.

§ Property and Commercial Manager, fixed term covering maternity leave: Mark Samways has accepted the role and started 2 December 2019.

§ Quality Assurance Coordinator, fixed term based in Twizel: Sarah Abrey has accepted the role and started 10 December 2019.

Resignations / Departures:

§ Liz Law, Records and Information Manager

§ Pieter Albertyn, Administration Support Officer (Planning)

§ Simon Mackenzie, General Manager Operations

Current vacant positions:

§ Planning Team Leader, full time based in Fairlie - role currently being advertised.

§ Administration Support Officer (Planning), full time based in Fairlie – a role to be advertised in the New Year and a temp to be sourced in the interim.

§ Principal Building Control Officer, full time based in Twizel – a role currently being advertised and an interview has been scheduled.

§ Senior Building Control Officer, full time based in Twizel – a role currently being advertised.

§ Customer Service Officers x2, fixed term part time(weekends) based in Twizel – a role currently being advertised however only one candidate identified at this stage and two are required to be on duty at the same time to provide weekend coverage.

§ Pool Crew, fixed term part time - x2 roles currently being advertised.

Health, Safety & Wellbeing

The Health, Safety, Environment and Wellbeing Management Plan has been signed off and is ready to be communicated to all our team members within Council. This plan defines the Health, Safety and Environmental principles, processes, procedures, systems, tools, and templates implemented for use throughout the council’s operations. A Wellbeing Plan has yet to be developed, but work on this will be underway in the New Year. A revised Health & Safety Policy is currently being drafted.

Lost Time Injuries / Near Misses / Incidents / Work & Non-Work Related Injuries:

§ There have been no work-related injuries or lost time injuries reported in November.

§ There have been four traffic-related incidents/near misses reported during the month of November all of which occurred on the highway between Fairlie and Twizel.

§ A near miss/incident was reported regarding the felling of trees within the Twizel Market Place area by Whitestone Roading. This incident was reported as a near miss due to there being a no exclusion zone and fenced off to the public whilst the work was being undertaken and there were only 'spotters' on site. This incident/near miss has been investigated and the parties involved have been reminded of their obligations i.e. to isolate the tree felling hazard and ensure it is fenced off from public access.

OPERATIONS UPDATE

Water Supplies

There was a failed water test on the Allandale supply with a count of 4. After carrying out an investigation could not determine the cause of the failure.

Resource Consents

For the period 1 October – 30 November, 48 resource consents applications were received. 40 were issued (92.5% within statutory timeframes).

Building Consents

For the period 1 -30 November 2019, 40 building consents applications were received. We granted 32 consents under Delegated Authority.

CORPORATE SERVICES UPDATE

Complaints/Service Requests for October and November 2019

For the period 1 October to 30 November there were 125 customer service requests received of which 93 were completed and 32 remain open.

Local Government Official Information Meeting Act (LGOIMA) Requests

The following LGOIMA requests were received since the September Council meeting:

Date Received	For Whom	Nature of Request
30/09/2019	Alice Geary, Fairfax	Resource Consent for Radissons Hotel Group in Tekapo
27/09/2019	Adam Benli, NZ Green Building Council	Building Energy Performance
27/09/2019	Christopher Robinson, BizMath	Rating Information
01/10/2019	Chris Macdonald	Comms between CEO & Planning Mgr re Pukaki, Mt Cook & Tekapo Airports
01/01/2019	Alice Geary, Fairfax	Lake McGregor Draft Management Plan
04/10/2019	Liz Weir, Mackenzie Guardians	RCs for Simons Pass
06/10/2019	Candy Nalder	Spraying Roadside, culverts and parks
06/10/2019	Gavin Rooks, UK Student	Flood Risk Mapping/Model Data
11/10/2019	Tamsin Gorman, Berry Simons Environmental Law	Request for Legal Opinion
15/10/2019	Tamsin Gorman, Berry Simons Environmental Law	Request for Legal Opinion
14/10/2019	Luke Redward, Taxpayers Union	Staff Salary Exceeding $250k
17/10/2019	Vincie Billante	Transferred LGOIMA - Landfill Sites
23/10/2019	Benn Bathgate, Stuff	External Catering Spend
24/10/2019	Natalia Zuleta, NZ Accident & Medical	Copies of RM160190 and RM1400044
29/10/2019	Natalia Zuleta, NZ Accident & Medical	Map Showing Council-Owned Land on Tekapo Waterfront
31/10/2019	Bruce Kivi	Lake McGregor - minutes Council received draft report / Draft Management Plan 1980s
05/11/2019	Hamish Osborne	Motuariki & Simpson Lane BC's and RC's
12/11/2019	Emma Dangerfield, Stuff	Recycling Data
04/11/2019	Gen Toop, Greenpeace	Simons Pass consents
15/11/2019	Barbara Valentine	Simons Pass consents
17/11/2019	Natalia Zuleta	Further info re Tekapo Sky Hotel Development
19/11/2019	Natalia Zuleta	Tekapo Developer Contributions to Parks & Reserves Fund
20/11/2019	Tabitha Lorck, Taxpayers Union	Flights & International Trips
28/11/2019	Kathryn Lett	Consents for 1090 Clayton Road
29/11/2019	Natalia Zuleta	Emails between Nathan Hole & Conrad Anderson in Nov 2016
26/11/2019	Natalia Zuleta	Building consent status - Tekapo Sky Hotel

CIVIL DEFENCE UPDATE

A new National Emergency Management Agency (NEMA) became operational on 1 December 2019. On this day all of the existing functions and staff of the Ministry of Civil Defence & Emergency Management transfers into the new National Emergency Management Agency and the Ministry will cease to exist.

NEMA will assume all of the current responsibilities of the Ministry of Civil Defence & Emergency Management under the Civil Defence Emergency Management Act 2002 and the National Civil Defence Emergency Management Plan 2015.

As at the time of reporting, we were in the middle of a significant weather event with Aoraki/ Mt Cook experiencing 400mm over 4 days.

MDC conducted our annual CDEM exercise Pandora on Tuesday 12 November when we tested our capabilities to activate our EOC and respond to an emergency. This was successful with the Emergency Management Officer working on a corrective action plan and report relating to this exercise.

There were no responses from CDEM Mackenzie or anywhere else in the Canterbury region over this reporting period.

ON THE HORIZON

The following are active Central Government consultations that affect the operations of Council.

Item	Agency	Submissions due
Freshwater proposals The Government’s Essential Freshwater proposals (EFW) have attracted some 17,500 submissions. Officials are currently analysing these and providing advice to the Freshwater Independent Advisory Panel (the Panel), chaired by Judge David Sheppard. The Panel is considering submissions, but not hearing submissions in the way a select committee or local government hearings panel does. The Panel will provide its report and recommendations to the Minister in mid- February 2020	MfE	Recommendations due February 2020
Resource Management Amendment Bill. Bill has passed its first reading. Report due in March 2020.	Select Committee	26 Mar 2020
NPS for Highly Productive land. Closed 10 October 2019, now proceeding to select committee.	MPI	October 2019
NPS for Indigenous Biodiversity	MfE	14 March 2020
Consultation on Landfill Levy – Reducing waste	MfE	3 February 2020
Consultation on the Burial and Cremation Act 1964 and related legislation	MOH	28 February 2020
Workshop -MBIE reviews electricity lines tree rules	MBIE	16 December 2019
Tackling Unsafe Speeds Programme	NZTA	Ongoing
Review of Crown Minerals Act 1991	MBIE	27 January 2020
Three Waters bill	Select Committee

Suzette van Aswegen

Chief Executive Officer

Ordinary Council Meeting Agenda 17 December 2019

8.8 Standing Committees Ratification

File Reference: na

Author: Connie Giquel, Executive Advisor

Authoriser: Paul Numan, General Manager Corporate Services

Attachments: Nil

Council Role:

☐ Advocacy	When Council or Committee advocates on its own behalf or on behalf of its community to another level of government/body/agency.
☐ Executive	The substantial direction setting and oversight role of the Council or Committee e.g. adopting plans and reports, accepting tenders, directing operations, setting and amending budgets.
☒ Legislative	Includes adopting District Plans and plan changes, bylaws and policies.
☐ Review	When Council or Committee reviews decisions made by officers.
☐ Quasi-judicial	When Council determines an application/matter that directly affects a person’s rights and interests. The judicial character arises from the obligation to abide by the principles of natural justice, e.g. resource consent or planning applications or objections, consents or other permits/licences (e.g. under Health Act, Dog Control Act) and other decisions that may be appealable to the Court including the Environment Court.
☐ Not applicable	(Not applicable to Community Boards).

Purpose of Report

Committee structures for the new triennium and appointment of officers for these committees have been confirmed by the Mayor. To complete the process, these committees and appointees need to be ratified at a Council meeting.

This report describes the Standing Committees and appointees.

Staff Recommendations

1. That the report be received.

2. That the new Standing Committees and appointees thereof be ratified.

Background

STANDING COMMITTEES FOR THE TRIENNIUM 2019-2021

The following Standing Committees and appointees thereof have been finalised by the Mayor in accordance with his delegated authority:

Engineering and Services

· Chairman: Councillor Stuart Barwood

· Deputy Chair: Councillor Matt Murphy

Audit and Risk

· Chairman: Bruce Mincham (independent)

· Deputy Chair: Councillor James Leslie

Planning and Regulation

· Chairperson: Councillor Anne Munro

· Deputy Chair: Councillor Emily Bradbury

Commercial and Economic

· Chairman: Councillor Murray Cox

· Deputy Chair: Mayor Graham Smith

Strategy

· Chairman: Councillor James Leslie

· Deputy Chair: Councillor Emily Bradbury

Conclusion

It is recommended that the Council ratifies these Standing Committees and the appointees thereof.

Suzette van Aswegen

Chief Executive Officer

Ordinary Council Meeting Agenda 17 December 2019

8.12 References to Tekapo/Takapō

File Reference: na

Author: Katherine Hill, Senior Corporate Planner

Authoriser: Darren Brown, Information and Engagement Manager

Attachments: Nil

Council Role:

☐ Advocacy	When Council or Committee advocates on its own behalf or on behalf of its community to another level of government/body/agency.
☒ Executive	The substantial direction setting and oversight role of the Council or Committee e.g. adopting plans and reports, accepting tenders, directing operations, setting and amending budgets.
☐ Legislative	Includes adopting District Plans and plan changes, bylaws and policies.
☐ Review	When Council or Committee reviews decisions made by officers.
☐ Quasi-judicial	When Council determines an application/matter that directly affects a person’s rights and interests. The judicial character arises from the obligation to abide by the principles of natural justice, e.g. resource consent or planning applications or objections, consents or other permits/licences (e.g. under Health Act, Dog Control Act) and other decisions that may be appealable to the Court including the Environment Court.
☐ Not applicable	(Not applicable to Community Boards).

Purpose of Report

The purpose of this report is to confirm Council’s intention to use the dual names: Lake Tekapo / Takapō in all Council produced material.

Staff Recommendations

1. That the report be received.

2. That Council resolve to use the dual names of Lake Tekapo / Takapō in all Council documentation.

Background

Takapō is one of the lakes referred to in the tradition of “Ngā Puna Wai Karikari o Rakaihautu” which tells how the principal lakes of Te Wai Pounamu were dug by the rangatira (chief) Rakaihautu. Rakaihautu was the captain of the canoe, Uruao, which brought the tribe, Waitaha, to New Zealand. Rakaihautu beached his canoe at Whakatū (Nelson). From Whakatū, Rakaihautu divided the new arrivals in two, with his son taking one party to explore the coastline southwards and Rakaihautu taking another southwards by an inland route. On his inland journey southward, Rakaihautu used his famous kō (a tool similar to a spade) to dig the principal lakes of Te Wai Pounamu, including Takapo.

For Ngāi Tahu, traditions such as this represent the links between the cosmological world of the gods and present generations, these histories reinforce tribal identity and solidarity, and continuity between generations, and document the events which shaped the environment of Te Wai Pounamu and Ngāi Tahu as an iwi.

Takapō was often occupied by Ngāi Tahu whanau and, like most lakes, there are traditions of a taniwha connected with it. Tradition has it that the tohunga Te Maiharoa is the only person to have swum the lake and escaped the taniwha. This story is told to demonstrate that the mana of Te Maiharoa was greater than that of the taniwha of the lake.

As a result of this history of occupation, there are a number of urupā associated with the lake. Urupā are the resting places of Ngāi Tahu tūpuna and, as such, are the focus for whānau traditions. These are places holding the memories, traditions, victories and defeats of Ngāi Tahu tūpuna, and are frequently protected by secret locations.

Takapō served as a mahinga kai for South Canterbury Ngāi Tahu. Waterfowl and eel were the main foods taken from this lake. The tūpuna had considerable knowledge of whakapapa, traditional trails and tauranga waka, places for gathering kai and other taonga, ways in which to use the resources of the lake, the relationship of people with the lake and their dependence on it, and tikanga for the proper and sustainable utilisation of resources. All of these values remain important to Ngāi Tahu today.

The mauri of Takapō represents the essence that binds the physical and spiritual elements of all things together, generating and upholding all life. All elements of the natural environment possess a life force, and all forms of life are related. Mauri is a critical element of the spiritual relationship of Ngāi Tahu Whānui with the lake.

In recognition of the importance of the area to mana whenua, the area was recognised as a statutory acknowledgement area in the Ngāi Tahu Claims Settlement Act 1998.

The Proposal

Council indicated their support for the use of Takapō at the workshop on 18 July 2019. This paper has been developed following the workshop, in consultation with Chief Executive Suzette van Aswegen.

It is proposed that, it recognition of the historical and cultural significance of the name to our community, district and mana whenua, Lake Tekapo / Takapō be used in all Council documentation as a dual reference.

The dual name is proposed to be used to avoid confusion and to allow the opportunity to increase the use of Takapō.

Implications of the Decision

This is a Council driven decision regarding our publications and material. Whilst Council will endeavour to use the dual reference of Lake Tekapo / Takapō there will remain instances where the name of Lake Tekapo will be used. This may include reference to the Tekapo Community Board and geographic descriptions of the legal area.

Subsequent applications or considerations of review of the place name will be brought before Council at the appropriate time.

Consultation

Consultation with ngā papatipu rūnanga.

Policy Status

Not applicable – there are no policy implications arising from this matter.

Significance of Decision

This decision is not considered to be significant, in accordance with Council’s Significance and Engagement Policy.

Options

The Council has the following options:

1. To resolve to use Lake Tekapo / Takapō as a dual reference in all Council documentation; or

2. To decline to use a dual reference of Lake Tekapo / Takapō and continue to refer to the area as Tekapo.

In recognition of the historical and cultural significance of the area, and in recognition of mana whenua, it is recommended that Council resolve to use dual references (option 1).

Considerations

Legal

While there are no direct legal implications arising from this matter, the inclusion of Takapō is in line with the recognition as a statutory acknowledgement area.

Financial

There are no financial implications resulting from the recommendation. All existing documentation will continue to be used. Publications following the date of the meeting will include the dual reference to the area.

Conclusion

Takapō, meaning “to leave in haste at night” recognises the significance of the area to Ngāi Tahu whanau. Takapō was a traditional mahika kai (food gathering) site used by Ngāi Tahu hapū on their seasonal mahika kai expeditions to Te Manahuna (Mackenzie Basin).

This paper seeks that Council recognise the historical and cultural significance of the name Takapō to our community, district and mana whenua. It seeks that Council resolve to use Lake Tekapo / Takapō in all Council documentation as a dual reference.

Suzette van Aswegen

Chief Executive Officer

Ordinary Council Meeting Agenda 17 December 2019

8.13 Solid waste services - long term contract

File Reference: WAS 18/1

Author: Angie Taylor, Community Services and Solid Waste Officer

Authoriser: Simon Mackenzie, General Manager Operations

Attachments: Nil

Council Role:

☐ Advocacy	When Council or Committee advocates on its own behalf or on behalf of its community to another level of government/body/agency.
☒ Executive	The substantial direction setting and oversight role of the Council or Committee e.g. adopting plans and reports, accepting tenders, directing operations, setting and amending budgets.
☐ Legislative	Includes adopting District Plans and plan changes, bylaws and policies.
☐ Review	When Council or Committee reviews decisions made by officers.
☐ Quasi-judicial	When Council determines an application/matter that directly affects a person’s rights and interests. The judicial character arises from the obligation to abide by the principles of natural justice, e.g. resource consent or planning applications or objections, consents or other permits/licences (e.g. under Health Act, Dog Control Act) and other decisions that may be appealable to the Court including the Environment Court.
☐ Not applicable	(Not applicable to Community Boards).

Purpose of Report

To update Council on the Local Government Act 2002 Section 17A review and waste services procurement process and proposed scope; and seek approval for the term of the contract, and regional collaboration on processing and disposal and unbudgeted expenditure for the procurement process running earlier than previously planned.

Staff Recommendations

1. That the report be received.

2. That Council continues with the joint procurement process with Waimate District Council and Timaru District Council.

3. That the Council approves the continuation of the procurement process for a waste minimisation services contract to be entered into for a term of approx. 15 years with a five year extension clause.

4. That the Council approves the unbudgeted expenditure of approx. $30,000 for the early procurement process for the current financial year. The early procurement allows for the joint process with Waimate District Council and Timaru District Council.

Background

The current Solid Waste Services Contract 1196 includes the following activities:

· A three-bin kerbside collection service for residual waste, mixed recycling and glass

· Operation of Resource Recovery Parks at Fairlie, Tekapo and Twizel

Contract 1196 started in October 2011 and the 10 year term expires in October 2021. The contract and the waste services procurement process are underway in a joint process with Waimate District Council and Timaru District Council, with Morrison Low Ltd providing project management services.

Section 17A Review

As part of the review of future options for the waste minimisation services, a Section 17A review was undertaken. This requires a local authority to review the cost-effectiveness of current arrangements for meeting the needs of communities within its district or region for good-quality local infrastructure, local public services and performance of regulatory functions.” (S17A, LGA).

The Section 17A Review was undertaken jointly with Waimate District Council and Timaru District Council, as one of the key focus areas was around shared service opportunities; which has been successful in other service areas in the past i.e. roading.

A workshop with Councillors was held on 20 June 2019 to inform Councillors on work to date and the draft Section 17A Review

Section 17A outcomes and regional approach

The Section 17A review process identified that a joint waste procurement for the three councils is the preferred option for delivering waste services. This option allows the councils to fully test the market on what type and combination of services will best suit the three councils. The joint procurement gives the respective councils flexibility on what type of waste service they want and how it will be best managed for them, whilst at the same time utilising the potential economies of scale and efficiency savings gained from procurement with other local authorities.

Entering into a joint procurement process should create economies of scale for the contractors resulting in lower costs to the councils, both in terms of collection and processing.

Contract Scope

The future contract scope is proposed to continue with the three-bin kerbside collection service that currently includes:

· Rubbish: 140L red bin for residual material collected fortnightly basis.

· Recycling: 240L yellow bin for recyclable material collected on alternating fortnights to the rubbish.

· Glass: 45L crate collected weekly.

It is possible that the sizes/types of bins and frequency of collections may alter with a potential introduction of an organics collection or to improve efficiency or health and safety of collections.

Alongside this, the inclusion of an organics kerbside collection will be considered. The Council’s Waste Management and Minimisation Plan has highlighted organic waste as a key area where waste to landfill could be significantly reduced. Also, consultation on this plan indicated community support for a “green” kerbside bin. Further consultation will be required with our communities on an organics collection and it is considered this is best achieved during Long Term Plan consultation in 2021 prior to the start of the new contract. Therefore, it is proposed the procurement process will call for two options from the market, with and without an organics collection. This allows Council to select its preferred contractor, then finalise whether an organics collection is implemented following community consultation.

Timaru District Council has decided to no longer accept residual waste collections at Redruth Landfill that include organic material. Therefore, if the status quo service of residual waste including organics, this waste would need to go to an alternate landfill. However, if an organics collection was implemented, then the Redruth landfill in Timaru would be an option for residual waste from the Mackenzie.

Recyclables and Organics marketing and onwards sale of products is a significant risk area. Procurement needs to manage the risk of this more effectively, creating sustainable long-term markets for recycled and processed material. Recycling markets are a significant challenge for local authority recycling services in New Zealand. Since the introduction of China’s National Sword policy in late 2017, councils around New Zealand have felt the pressure of trying to source sustainable end-markets for recyclables. The policy effectively banned 25 different types of recyclables by attaching unachievable contamination levels to the import of this material. In response to this, countries including Thailand, Malaysia, and Indonesia have increased their capacity for this material. This has given the industry some short-term relief, however, these countries are also beginning to tighten import standards. Fundamentally, that this procurement considers how the impact of National Sword can be mitigated, both in the short term and for the duration of the contract.

A challenge for this procurement will be establishing secure end-markets for the recycled products and compost produced for the duration of the contract term. ‘Closing the loop’ is a key factor in successful service. Although it is the supplier’s responsibility to source end-markets, ultimately it is a shared risk which needs to be best mitigated by this procurement and subsequent waste services.

Contract term

The current 10 year contract term is working well. The term of contracts is typically linked to the capital investment required and the period over which plant will typically last before requiring replacement. It also recognises the expense for both the council and the tender market in undertaking procurement processes which are getting more complex and expensive. For collection contracts, the contract term has been typically 5 - 7 years and for facilities 15 years. These contract terms have been increasing as more capital investment is often being required by councils and there has been a move to more collaborative/partnering arrangements.

It is proposed that the next contract be for a contract term of approximately 15 years to achieve cost efficiencies from depreciating collection vehicles over an appropriate term. The aim is to all for all three contracts to finish at the same time to allow for a future joint process. The current Timaru and Waimate contracts are due to finish earlier than Mackenzie’s, and therefore the term of the Mackenzie contract will be slightly less than 15 years. There will be the provision for a maximum 5-year extension period which may be awarded by council subject to satisfactory performance by the contractor.

The new contract will encourage innovations and efficiencies that can be further enhanced through the term of the contract, including:

· Innovations in processing and collections to be integrated into the service, i.e. potential organics collections

· Incorporation of sustainable practices into the service, as well as a new requirement for carbon monitoring and reduction

· Enhanced data management to improve customer service and contract management

· Partnering / Collaboration - arrangements with contractors that are based upon recognising collaboration and partnering provides greater value to the ratepayers. This aligns well with longer contracts that have specific governance arrangements, the sharing of pain/gain, risk reallocation and shared investment

Procurement process

A two-stage procurement process involving a mandatory Registration of Interest (ROI) and Request for Proposals (RFP) is underway. This process enabled the three Councils to receive information about innovation and best practice at an early stage with a supplier briefing in October 2019; this information to be included within the RFP documentation.

The RFP is likely to go out to contractors who engaged in the ROI in early February 2020. This will allow evaluation in April/May with a recommendation to Council in June to award the Contract.

It is noted that the solid waste contracts in Waimate and Timaru are due to end earlier than Mackenzie. Therefore, the joint process has required the timeframes for Mackenzie’s procurement process to be brought forward and be undertaken earlier than expected, resulting in the unbudgeted expenditure of approx. $30,000 for the current financial year. These are funds that would have been required to be spent for the process in due course but are considered to include some savings through being a joint process with two other Councils.

Policy Status

N/A

Significance of Decision

It is considered that the continuation of the existing waste services will not trigger the Significance and Engagement Policy. It is noted that the potential inclusion of an organics collection will form part of community consultation of the Long Term Plan in 2021, prior to the commencement of the contract.

Options

Procurement

· Option 1: complete the procurement process jointly with Waimate District Council and Timaru District Council. This is the preferred option offering efficiencies for the procurement and potential cost benefits for the contract.

· Option 2: complete the procurement process individually.

Term of contract

· Option 1: offer a shorter term.

· Option 2: offer an approximate 15-year term with no extension.

· Option 3: offer an approximate 15-year term with an extension of up to 5 years. This is the preferred option as it allows some flexibility at the end of the contract for benefiting Council and contractor and picking an appropriate time to complete the new procurement process. All three Councils contracts will have the same end date and allow for a future joint process. As the TDC and WDC contracts will commence first, the MDC contract term will be slightly less than 15 years to allow a combined end date.

Considerations

Legal

The waste services procurement will enable the continuation of the waste minimisation services as outlined in the Mackenzie District Council Waste Management and Minimisation Plan 2018.

Financial

The current waste services contract has an approximate annual value of $1 million.

Other

As previously noted, the option of an organics collection will be part of community consultation for the Long Term Plan in 2021, prior to the commencement of the contract.

Conclusion

The preferred options are that Mackenzie continues with the joint procurement process with Timaru and Waimate District Councils and that the contract is offered for a term of approximately 15 years with an extension of up to 5 years. It is considered that this provides efficiencies for the procurement process and will allow for overall cost benefits for the contract. The contract term will also for timing of a similar joint procurement process in the future, with the flexibility of up to 5 years of extension.

Also, is it considered appropriate to allow for the unbudgeted expenditure to enable the procurement process to be undertaken earlier than anticipated? This allows Mackenzie to take advantage of the opportunity to be involved in the joint procurement and the associated benefits.

Suzette van Aswegen

Chief Executive Officer