AGENDA

Late Reports

Ordinary Council meeting

Tuesday, 8 February 2022

 

Date:

Tuesday, 8 February 2022

Time:

10.30am

Location:

Bay of Plenty Regional Council Chambers

Regional House

1 Elizabeth Street

Tauranga

Please note that this meeting will be livestreamed and the recording will be publicly available on Tauranga City Council's website: www.tauranga.govt.nz.

Marty Grenfell

Chief Executive

 


Ordinary Council meeting Agenda

8 February 2022

 

Order of Business

11       Business. 4

11.7         Annual Plan 2022/2023 – Community Grant Fund. 4

 

 


Ordinary Council meeting Agenda

8 February 2022

 

11        Business

11.7       Annual Plan 2022/2023 – Community Grant Fund

File Number:           A13187192

Author:                    Richard Butler, Funding Specialist

Authoriser:              Gareth Wallis, General Manager: Community Services

 

Purpose of the Report

1.      To propose a budget increase for the Community Grant Fund to allow for Council’s commitments to ongoing funding for established partnership agreements.

Recommendations

That the Council:

(a)     Approves the inclusion of the following in the Draft Annual Plan 2022-23

(i)      A budget of $596,000 in 2022-23 to provide funding for Council’s established partnership agreements.

 

Executive Summary

2.      The Long-term Plan 2021-31 established a budget of $1.81 million per annum for community grants and partnership agreements. Over one third of this budget ($596,000 in 2022-23) is already committed to two established and significant arts and culture partnership agreements (i.e. The Incubator and The Elms).

3.      This effectively means that the total amount of funding available and contestable for new partnership agreements, and community grants, is approximately $1.2 million, not $1.81 million as was intended when the Community Grant Fund was established.

4.      Demand for community grants and new partnership agreements is high. To meet demand for community grants, it is proposed that additional budget of $596,000 in 2022-23 is added to the Community Grant Fund, to make the effective total of available and contestable funds $1.81 million, as was originally intended.

Background

5.      Council approved the Community Funding Policy on 26 July 2021. The intent of the policy is to make the process for supporting and funding community organisations more consistent, transparent and equitable.

6.      To enable the Community Funding Policy to be implemented, a Community Grant Fund of $1.81 million per annum for the next three years was established through the Long-term Plan 2021-31.

7.      In 2020-21 the Community Grant Fund comprised:

·    $1,146,000 for community grants and the Citizens’ Advice Bureau partnership agreement.

·    $504,000 for Arts and Culture partnership agreements (i.e. Incubator $250,000, The Elms $236,000, and Taonga Tu $20,000).

·    $160,000 Level of Service subsidies.

8.      As part of the Long-term Plan, the decision was made to increase The Incubator’s partnership agreement from $250,000 in 2021-22 to $360,000 in 2022-23, and to $470,000 in 2023-24, subject to meeting KPIs outlined in their partnership agreement.

 

9.      TCC held its first community grants round in October 2021. 57 applications totalling $2,119,339 were received. The assessment panel allocated $914,775 in funding to 25 of the applicants. A second round of applications for community grants will be held in the first half of 2022, with the majority of remaining funding available only for capital projects.

10.    The assessment panel identifed the Foodbank, Good Neighbour, Envirohub and Mental Health Solutions (HeretoHelpU) as potential candidates for future partnership agreements.

11.    The increase in the value of The Incubator’s partnership agreement means that there will effecively be $1.05 million available in 2022-23 to fund community grants and partnership agreements for groups other than the two arts and culture organisations, and the expected Level of Service subsidies. 

Strategic / Statutory Context

12.    The Community Grant Fund enables the Community Funding Policy to be delivered.

Options Analysis

Option 1: Funding allocated to the Community Grant Fund remains at $1.81 million for 2022-23 (status quo).

Advantages

Disadvantages

·    No impact on rates.

·    Signficantly more demand for community grants than TCC can meet.

·    Frustration from community organisations that $1.81m of contestable funding isn’t effectively available, as was originally intended.

·    Lack of transparency and equity in the way that Council provides support to community organisations.

Option 2: Increase the Community Grant Fund budget allocation by $596,000 in 2022-23 – RECOMMENDED

13.    This option will mean the effective amount of funding available to community groups for new partnership agreements and/or community grants will be $1.81 million, noting that demand in the first round of funding exceeded $2.1 million, with two rounds of contestable funding planned for each financial year.

Advantages

Disadvantages

·    Council is better able to meet the demand for community grants and partnership agreements.

·    Increased transparency and equity.

·    Improved community outcomes.

·    The Community Grant Fund will be able to operate as was originally intended.

·    Net increase in rates of $596,000 per annum.

Financial Considerations

14.    Option 2 will result in a net rates increase of $596,000 per annum.

Legal Implications / Risks

15.    There are no legal implications.


 

 

Consultation / Engagement

16.    Staff have received informal feedback from some community organisations expressing their frustration that arts and culture organisations were able to secure a significant level of community assistance through the Long-term Plan 2021-31 process, making the effective amount of funding available for other community groups significantly less than was originally envisaged.

17.    Consultation will be undertaken as part of the Annual Plan 2022-23 process.

Significance

18.    The Local Government Act 2002 requires an assessment of the significance of matters, issues, proposals and decisions in this report against Council’s Significance and Engagement Policy. Council acknowledges that in some instances a matter, issue, proposal or decision may have a high degree of importance to individuals, groups, or agencies affected by the report.

19.    In making this assessment, consideration has been given to the likely impact, and likely consequences for:

(a)   the current and future social, economic, environmental, or cultural well-being of the district or region.

(b)   any persons who are likely to be particularly affected by, or interested in, the proposal.

(c)   the capacity of the local authority to perform its role, and the financial and other costs of doing so.

20.    In accordance with the considerations above, criteria and thresholds in the policy, it is considered that the proposal is of low significance.

ENGAGEMENT

21.    Taking into consideration the above assessment, that the proposal is of low significance, officers are of the opinion that no further engagement is required prior to Council making a decision.

         Click here to view the TCC Significance and Engagement Policy

Next Steps

22.    Additional budget for the Community Grant Fund of $596,000 per annum is included in the 2022-23 Draft Annual Plan to go out for community consultation.

23.    Staff will continue to monitor the operation of the Community Grant Fund during the second round in early 2022, to look for any further opportunities for improvement.

Attachments

Nil