Agenda of Ordinary Council Meeting - Monday, 11 April 2022

11 April 2022

11.1 Council Controlled Organisations' Half Yearly Reports to 31 December 2021

File Number: A13191790

Author: Josephine Meuli, CCO Specialist

Authoriser: Barbara Dempsey, Acting General Manager: Community Services

Purpose of the Report

1. To present the half yearly reports to 31 December 2021 of Tauranga City Council’s five council-controlled organisations.

Recommendations

That the Council:

(a) Receives the Council-Controlled Organisations’ Half Yearly Reports to 31 December 2021 Report.

(b) Receives Bay Venues Limited’s report on its performance for the six months to 31 December 2021, as required by the 2021-2022 Statement of Intent.

(c) Receives Bay of Plenty Local Authority Shared Services Limited’s report on its performance for the six months to 31 December 2021, as required by the 2021-2022 Statement of Intent.

(d) Receives Tauranga Art Gallery Trust’s report on its performance for the six months to 31 December 2021, as required by the 2021-2022 Statement of Intent.

(e) Receives Tourism Bay of Plenty’s report on its performance for the six months to 31 December 2021, as required by the 2021-2022 Statement of Intent.

(f) Receives the Local Government Funding Agency’s report on its performance for the six months to 31 December 2021, as required by the 2021-2022 Statement of Intent.

Executive Summary

2. Bay Venues Limited (Bay Venues) and Tauranga Art Gallery Trust (TAGT) are Tauranga City Council’s (TCC) council-controlled organisations. Tourism Bay of Plenty (TBOP) is a joint-shareholder council-controlled organisation between TCC and the Western Bay of Plenty District Council (WBOPDC).

3. Bay of Plenty Local Authority Shared Services Limited (BOPLASS) and the Local Government Funding Agency (LGFA) are also council-controlled organisations, that provide opportunities for TCC and other local government agencies to become either members, shareholders or borrowers seeking access to improved levels of services, reduced costs, joint procurement and funding.

4. In accordance with the Statement of Intent and the Local Government Act 2002 (LGA) the five council-controlled organisations are required to report six monthly and annually to Council on their financial and non-financial performance by 28 February 2022. All the council-controlled organisations provided their reports to Council as required, although two came in just after the deadline.

5. Each council-controlled organisation’s report for the six months to 31 December 2021 is provided as Attachments 1 to 5, with a brief summary in the main body of this report. The reports summarise the financial performance for the period ended 31 December 2021, and performance against objectives/targets.

Background

Bay Venues Limited (Bay Venues)

6. Bay Venues’ report for the six months to 31 December 2021 was received by Council on 1 March 2022 and is included as Attachment 1.

7. COVID-19 restrictions have once again affected Bay Venues’ planned programmes and events during the first six months.

8. Bay Venues’ financial summary including earnings before tax, interest, depreciation and amortisitation (EBITDA) shows a loss of $1.2 million, a decline of $1.4 million, against budget.

9. Events and associated activities have been hit hardest over this six-monthly report period, with a combined decline of $1.26 million across the Events, Catering and Audio-Visual business units.

10. The forecast loss for year-end 2022 has been further revised to -$3.61 million for 2022, a further decline of $1.56 million.

11. Bay Venues also faced a number of challenges during the six-month period including:

(a) recruiting good quality staff

(b) rising construction costs putting pressure on capital and operating costs

(c) increasing security incidents of theft and anti-social behaviour – Bay Venues is placing priority on monitoring safety of staff and patrons

(d) total visits are down by 34% compared to the same period in 2020 (and 37% down across the previous three-year forecast)

(e) over 50 events have been cancelled at a proposed revenue loss of $600,000, and cancellations continue with no significant bookings for year-end 2022.

12. Despite the growing challenges due largely to COVID-19 and its ongoing restrictions, Bay Venues have successfully progressed a number of initiatives, including:

(a) the Living Wage was introduced across the organisation, with all staff being paid at least the minimum living wage from January 2022

(b) an increased focus on Health and Safety reporting, analysis and systems to support staff and customer wellbeing

(c) Ngāi Tūkairangi Hapu, designed by local artist Tiare Dickson, was officially unveiled He Pou Rarama. The Pou stands outside the Mount Hot Pools and translates to reflection of the light being an expression of local history, culture and people manifested in a physical form

(d) events revenue is down but has been offset by long term tenancies at Baypark, including the DHB vaccination and testing centres and Envirowaste

(e) acknowledging Council’s financial contribution to Bay Venues the incorporation of TCC’s logo onto venue signage and facility websites is gradually being implemented.

13. Senior Bay Venues staff are actively participating in workshops with TCC staff to embed the work from the recommendations outlined in the 2021 strategic review, including the Price Waterhouse Cooper (PwC) financial aspects of the review.

14. Bay Venues’ board and management are reviewing their business continuity plans to ensure contingency across the facilities and centres to take account of the increasing numbers of staff testing positive and others needing to isolate.

Bay of Plenty Local Authority Shared Services Limited (BOPLASS)

15. BOPLASS’s report for the six months to 31 December 2021 was received by Council on 25 February 2022 and is included as Attachment 2.

16. Financial performance for the year to date shows an operational deficit of $2,408. Total operating revenue of $1,146,497 was higher than budgeted $1,010,172, and total operating expenditure of $1,148,905 also higher than the budgeted amount of $1,015,201.

17. Despite the deficit, BOPLASS believe that the organisation is operating within budget and has achieved a reasonable revenue stream for the first half of the year.

18. Variances on some areas include aerial photography revenue and expenditure being higher than budget, and December salaries including an accrual and variances with lease revenue and expenditure.

19. The BOPLASS board believe that all targets are being achieved or on track to be achieved.

20. Of interest to TCC are the following initiatives and outcomes:

(a) Insurance Renewals: to retain a competitive advantage and secure minimal premium increases (and favourable terms are negotiated), BOPLASS has worked with brokers to ensure accurate and up to date asset schedules and hazard mapping are provided to insurers, as they seek to understand regions and areas susceptible to flood or sea inundation

(b) Insurance - Cyber Security: BOPLASS engaged with councils who were deemed at-risk of inappropriate cyber security controls to ensure clarity on their Information Technology (IT) and cyber security roadmaps.

Tauranga Art Gallery Trust (TAGT)

21. TAGT’s report for the six months to 31 December 2021 was received by Council on 28 February 2022 and is included as Attachment 3.

22. Despite the ongoing disruptions and closure periods throughout the six-monthly report period, TAGT have managed to finish this period with a surplus of $41,567 having made significant reductions in expenditure during this time.

23. The visitor satisfaction survey was completed by 404 visitors, this represents a 45% drop on 2020 (775).

24. Eight exhibitions were delivered during the period, against a target of 12. The most ambitious being Mānawatia Takatāpui - Defending Plurality. With an estimated 53,858 visitors in attendance, the exhibition was successfully staged across two levels of the gallery and through five offsite venues.

25. Students participated in Tauranga Art Gallery EOTC (Experiences Outside the Classroom) programmes during the period, with staff presenting education programmes to schools, kura and TAGT’s ArtBus. An outreach programme is being trialled for the second half of the financial year for Years 0 - 8. Education highlights are shown on page 11 of TAGTs report.

26. Of the 44 Statement of Intent performance measures (on pages 14 - 19), 12 are off track but likely to be on target at year end, two are off track and requiring monitoring, and the remaining 30 are on track and remaining so.

Tourism Bay of Plenty (TBOP)

27. TBOP’s report for the six months to 31 December 2021 was received by Council on 3 March 2022 and is included as Attachment 4.

28. TBOP finishes the six-month period in a sound financial position, with a surplus of $141,004 from total revenue of $1,290,959, compared to budgeted $1,149,955.

29. This is partly due to a reduction in total expenditure and reduced expenses, including some vacant positions remain unfilled, and events being delayed due to COVID (to be pushed out to the second half of 2022).

30. TBOP has maintained a working capital ratio of not less than 1 (Actual 2.7) and equity ratio above 0.5 (Actual 0.7).

31. TBOP’s progress to date shows 26 of 33 objectives on track, five at risk, and the remaining two no longer applicable as they relate to the visitor spend (cruise industry) and the Qualmark Assessment, which has been pushed out to August-September 2022.

32. TBOP still managed to deliver a number of key outcomes, including the rollout of the Flavours of Plenty brand and Food Festival for April 2022, the development of a carbon waste reduction programme and confirming a Memorandum of Understanding (MOU) between a local hapū and an award-winning tourism operator.

33. While the domestic visitor spend across New Zealand reduced by 11%, it is pleasing to note that with the local promotions and destination management projects, the Coastal Bay of Plenty showed a minimal decrease of 5%.

34. The Domestic Visitor Satisfaction survey for tourism in the Coastal Bay of Plenty has achieved an 86% satisfied or very satisfied rating.

35. While Total Visitor Numbers are considerably lower across Tauranga and Western Bay of Plenty (-16%) it is encouraging to note that jobs in tourism show an increase of 2% compared to July - December 2020.

Local Government Funding Agency (LGFA)

36. The LGFA half year report to 31 December 2021 was received by Council on 28 February 2022 and is included as Attachment 5.

37. LGFA’s total interest income for the six-month period of $185.9 million was a 2.4% decrease on the previous year, while net operating profit for the six months ended 31 December 2021 was $5.94 million, close to the previous year (0.3% increase). Both results were slightly ahead of the Statement of Intent forecast for the period.

38. LGFA issued $1.64 billion of bonds over the six-month period, lower than the record issuance for the same period last year of $1.9 billion. Total bonds and bills on issue now sits at $16.3 billion.

39. LGFA is focussing on sustainability and looking to assist the sector in sustainable outcomes and managing sustainability. During the six months, LGFA launched the Green Social and Sustainability (GSS) loans to councils, where councils receive a discounted borrowing margin for eligible products. Wellington City and Greater Wellington Council have both borrowed under this loan programme.

40. There have been no events of review in respect of any participating council. The total number of member councils is now 74.

41. The LGFA retains the S&P Global (Standard and Poors) rating at AAA, the same as the New Zealand Government.

Strategic / Statutory Context

42. In accordance with the Statement of Intent and the LGA 2002, council-controlled organisations are required to report to Council on their financial and non-financial performance six monthly and annually.

43. Council’s partnerships with its council-controlled organisations help us successfully deliver our community outcomes and be a city that attracts businesses, people and visitors, is well planned, with a variety of successful and thriving compact centres, and is inclusive, safe, resilient and healthy.

44. As Council develops its strategic priorities and works with council-controlled organisations on how they can help achieve these, the Letters of Expectation and Statements of Intent will become more aligned with our strategic outcomes.

Options Analysis

45. As this report, and the half yearly reports received from the council-controlled organisations are for receipt only, there are no options.

Financial Considerations

46. The financial implications are outlined in the above report and attachments.

Legal Implications / Risks

47. There are no legal implications.

48. While this report outlines council-controlled organisation performance against Statement of Intent measures for the first half of the year, with the ever-changing economic climate as a result of the global pandemic of COVID-19, there is some risk that the council-controlled organisations may not meet all their Statement of Intent measures by the year end.

Consultation / Engagement

49. Staff have shared the six-monthly reports across the organisation, and they will become available here on TCC’s website following the meeting.

Significance

50. 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.

51. 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 matter.

ENGAGEMENT

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

Next Steps

53. A copy of this report and the resolutions will be sent to each of the council-controlled organisations.

54. As required by the amendment to the LGA, following receipt by Council, the half yearly reports to 31 December 2021 for Bay Venues, BOPLASS, TAGT and TBOP will be publicly available on the TCC website for the next seven years.

Attachments

1. Bay Venues Limited - Half Yearly Report to 31 December 2021 - A13284260 (Separate Attachments 1)

2. Bay of Plenty Local Authority Shared Services - Half Yearly Report to 31 December 2021 - A13284231 (Separate Attachments 1)

3. Tauranga Art Gallery - Half Yearly Report to 31 December 2021 - A13284273 (Separate Attachments 1)

4. Tourism Bay of Plenty - Half Yearly Report to 31 December 2021 - A13284243 (Separate Attachments 1)

5. Local Government Funding Agency - Half Yearly Report to 31 December 2021 - A13290851 (Separate Attachments 1)

Ordinary Council meeting Agenda

11 April 2022

11.2 Shareholder Feedback to the Draft Statements of Intent for Council Controlled Organisations 2022/2023 to 2024/2025

File Number: A13191580

Author: Josephine Meuli, CCO Specialist

Anne Blakeway, Manager: Community Partnerships

Authoriser: Barbara Dempsey, Acting General Manager: Community Services

Purpose of the Report

1. The purpose of this report is to provide shareholder feedback on the draft Statements of Intent for Tauranga City Council’s five council-controlled organisations by 1 May 2022, as required by the Local Government Act (2002), and also to request an increase of $5 million to the Intra-Group Two-Way Loan Agreement between Tauranga City Council and Bay Venues Limited.

Recommendations

That the Council:

(a) Receives the Shareholder Feedback to the Draft Statements of Intent for Council Controlled Organisations 2022/2023 to 2024/2025 report.

(b) Receives the draft Statements of Intent for Bay Venues Limited, Tauranga Art Gallery Trust, Tourism Bay of Plenty, Bay of Plenty Local Authority Shared Services Limited, and Local Government Funding Agency for 2022/23 to 2024/2025.

(c) Notes that as joint shareholder of Tourism Bay of Plenty, Western Bay of Plenty District Council (WBBOPDC) will be asked to approve the shareholder comments on the draft Statement of Intent for TBOP at their 6 April 2022 Council meeting.

(d) Approves a request, on behalf of Bay Venues Limited, for an increase of $5 million to the Intra-Group Two-Way Loan Agreement between Tauranga City Council and Bay Venues Limited, from $25 million to $30 million.

Noting that this is subject to Tauranga City Council being able to remain within its Treasury Policy limits, and to Bay Venues Limited continuing to work with Council staff in monitoring their cashflow position.

Executive Summary

2. Bay Venues Limited (Bay Venues), Tauranga Art Gallery Trust (TAGT), Tourism Bay of Plenty (TBOP), Bay of Plenty Local Authority Shared Services Limited (BOPLASS), and Local Government Funding Agency (LGFA) are council-controlled organisations. As such, they are required by the Local Government Act (2002) to prepare a draft Statement of Intent to cover the next three financial years, and provide a copy to their shareholder, Tauranga City Council (TCC), by 1 March each year.

3. All five Statements of Intent have met the statutory requirements as outlined in Schedule 8, section 9 of the Local Government Act.

4. Council has an opportunity to comment on the draft Statements of Intent before they are finalised by the council-controlled organisations. Shareholder comments must be provided by 1 May 2022.

5. There have been a number of discussions and informal briefings in relation to the draft Statements of Intent with staff from across various teams at TCC, and with the Commissioners. This report includes their combined feedback and suggested amendments.

6. The draft Statements of Intent (Attachments 1 to 5) have been assessed against the Letters of Expectation for council-controlled organisations for 2022/2023 (Attachments 6 to 8).

7. As Council is one of several shareholder members of Bay of Plenty Local Authority Shared Services Limited (BOPLASS) and the Local Government Funding Agency (LGFA), we don’t provide them with Letters of Expectation and don’t provide feedback to their draft Statements of Intent. These two council-controlled organisations provide opportunities for local authorities to access improved levels of service, reduced costs, joint procurement and funding.

8. Following the closure of all community facilities during the recent COVID-19 lockdown and the subsequent restrictions on large scale events as a result of the impact of the Government’s traffic lights system, Bay Venues Limited (Bay Venues) half yearly report shows a deficit of $1.6 million. Bay Venues has provided a revised cash forecast, which indicates a deficit at year-end of $3.6m, which would push Bay Venues close to their loan ceiling of $25 million.

9. In preparation for the continuing financial impact of the COVID-19 pandemic, and to enable Bay Venues to have the necessary flexibility to manage the timing of cashflows, they have formally requested an increase of $5 million in the Intra-Group Two-Way Loan Agreement between Tauranga City Council and Bay Venues, from the current $25 million to a proposed $30 million.

10. This would be subject to Tauranga City Council being able to remain within its Treasury Policy limits, and to Bay Venues continuing to work with Council staff in monitoring their cashflow position, including salaries and wages and other non-essential operating expenses.

11. This loan agreement would need to be reviewed again following the approval of the Annual Plan 2022/2023.

Background

General Comments

12. The chairs and executive of the respective council-controlled organisations have maintained regular communication with Council’s Commissioners, executive and staff. This regular engagement (formal and informal) has provided opportunities to embed the ethos of collaboration and partnership, along with the shareholder’s desire for improved community outcomes.

13. The three main council-controlled organisations (Bay Venues, TAGT and TBOP) note the value of having regular Governance-to-Governance meetings with the Commissioners and look forward to more opportunities this coming year.

14. Board members, executive and staff of the council-controlled organisations have embraced the opportunity to participate in the training opportunities provided by Council, including Cultural Connections. This has provided a greater understanding of Tauranga Moana, iwi and hāpu connections, and the high value that Council places on its iwi relationships.

15. Similarly, the transparency training provided by the Ombudsman was well attended. As outlined in the Letter of Expectation, the Commissioners are eager to see how each organisation will respond to applying a transparent approach through the board workings and the organisation as a whole.

16. Additionally, Pou Takawaenga continue to work with the council-controlled organisations across various work programmes including Mana Whenua board representation and will offer opportunities and training sessions to upskill internal capability and deepen the knowledge of tikanga within the organisations.

Bay Venues Limited (Bay Venues)

17. Overall, the Bay Venues’ Draft Statement of Intent (Attachment 1):

(a) Is considerably easier to read than in previous years, with a simpler approach

(b) Shows strong emphasis on community, collaboration, and partnership

(d) Is fully transparent about the financial deficit and ongoing impact of COVID-19 and resulting hesitancy in the events industry

(e) Shows that Bay Venues is midway through its change process following the review (May 2021), and now on a different journey.

18. The document provides explicit references to community benefit including:

(a) The organisation’s primary goal

(b) Support of 10 diversity and inclusion initiatives

(d) Develop a wellbeing reporting framework with the Council

(e) Be the Council’s strategic delivery partner for community facilities.

19. The document refers to Bay Venues, not BVL. The Board and Chief Executive believe this is a more appropriate organisational brand that is more widely recognised across the Bay of Plenty region.

Suggested amendments:

20. Strategic Vision Purpose (page 4) to read:

(a) We are the kaitiaki of Tauranga City Council’s strategic network of community facilities.

(b) Our Purpose – through our partnership with Tauranga City Council, we will deliver exceptional experiences to the community.

21. With a new section “High-Performing Organisation”, the following areas are highlighted:

(a) Develop an agreed Memorandum of Understanding with key iwi and Mana Whenua. This target to be amended to include the kaupapa (purpose) of the MOU and proposed outcomes to be achieved

(b) Implement easily understood transparent funding-finance model.

22. High Quality Facilities (pages 12-13) to include under Strategic Objectives (Capital and Renewals programme):

(a) Needs to refer to the whole network of facilities within Bay Venues kaitiaki (guardianship), including larger venues such as Baypark and Blake Park.

Increase to the two-way loan agreement between Tauranga City Council and Bay Venues

23. On 21 April 2020, following the closure of community facilities during the first COVID-19 lockdown period, Council approved a request from Bay Venues for a short-term increase of $4.9 million to the Intra-Group Two-Way Loan Agreement, bringing the total loan agreement to $25 million.

24. Following a second lockdown period and the ongoing impact of COVID-19, things are likely to continue to remain volatile and uncertain over the next 6 to 12 months, particularly with Baypark Events and its associated catering and audio visual business units, as well as with Healthy School Lunches which have been impacted by increased absenteeism in schools.

25. In addition, the aquatics network has also been heavily impacted by the current settings, with a decline in visitation of approximately 20%, which Bay Venues expects to remain through the next six months.

26. To offset this negative impact, Bay Venues management have reviewed all cost centres and forecast a combined $0.33 million reduction in expenses against the last forecast across busines support and Baypark operations. This cost reduction will be achieved by pausing new recruitment and reducing non-critical expenses where possible. Bay Venues have also reduced the use of casual staff across the business to the bare minimum. Other mitigation strategies have also been considered by the Board.

27. Bay Venues have provided TCC staff with a revised “best estimate” of financial performance until 30 June 2022 in the context of that uncertainty. Bay Venues will continue to monitor the forward position and identify ways to adapt as required.

28. FY22 Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) has been re-forecasted to -$3.6 million – a reduction of $1.56 million against the prior forecast of -$2.02 million (October 2021). Bay Venues have assumed that they will remain under the current “red” traffic light setting through to the end of FY22, meaning all events over 100 people* have been removed.

* Since the forecast was provided by Bay Venues, there has been a Government announcement increasing red indoor capacity limits from 100 to 200, and removing outdoor capacity limits, with a further review set for 4 April. But it will take Bay Venues a significant amount of time to rebuild their events business.

29. The current loan balance with Tauranga City Council is $18.3 million. Bay Venues expect this to increase to $23.2 million by the end of FY22. With a loan ceiling of $25 million, this leaves a narrow headroom of $1.8 million.

30. For the Board to be satisfied that Bay Venues is in a position to continue to meet its debts and obligations as they fall due, they have asked for a formal extension of the two-way loan agreement of $5 million, from $25 million to $30 million before the financial year end on 30 June 2022.

Tauranga Art Gallery Trust (TAGT)

31. Overall TAGT’s Statement of Intent (Attachment 2) is very aspirational and requires a few amendments (and deletions) in the Performance Target areas, in particular with the repetition of financial targets, as detailed below:

Performance Targets (Page 8)

(a) A minimum of 35,000 visitors to the gallery for 2022/23; 35,000 for 2023/24 and 38,000 for 2024/25, with an 85% highly satisfied / positive rating.

(b) Deliver a range of learning opportunities for targeted groups, families and whanau - a minimum of 4 in 2022/23, a minimum of 6 in 2023/24, and a minimum of 8 in 2024/25.

Financial Government and Management (Page 9)

(c) Social Return on Investment (SROI) – needs to include a timeline for reporting back through the Annual Report (2021/22).

(d) New measures and statistics are identified, in addition to ongoing visitor attendance and feedback surveys, by 31 December 2022 (not required if SROI is implemented).

(e) TAGT to set a target of 20% increased alternative revenue across the three yearly Statement of Intent timeline.

(f) “Ensure TAGT has a clear vision and purpose” – to be deleted.

Infrastructure and Facilities (Page 9)

(g) An Asset Management Plan is developed including a well-planned repairs and maintenance programme, renewals, and future CAPEX priorities by 31 December 2022.

(h) TAGT achieves a sustainability accreditation by (proposed) 2024.

People and Organisational Culture (page 10)

(i) TAGT annual staff survey to be undertaken, potentially in collaboration with Council, with a staff rating of 80% staff satisfaction.

(j) “A strong and positive relationship between Chair and the Director” – to be deleted.

32. TAGT need to include a separate section on Approach to Governance, aligned with Council’s values, collaborating on the Council city brand, City Events Strategy and Governance to Governance meetings.

33. Targets that refer to tangata whenua need to refer to art and the Gallery generally. Other areas that relate to relationship/partnership need to refer to mana whenua.

Tourism Bay of Plenty (TBOP)

34. There is general agreement with the draft Statement of Intent content (Attachment 3), providing specific reference to matters outlined in this year’s Letter of Expectations (Attachment 8).

35. Overall, the TBOP Statement of Intent is a more considered and realistic document than previously, with fewer targets (reduced as recommended in the Letter of Expectations), and again openly frank about the areas that are of concern to the organisation.

36. Minor amendments would include:

(a) TBOP staff engagement survey – percentage has been reduced (from 80% to 76%). It would be more useful to have a range of targets across the three-year period of the Statement of Intent.

(b) TBOP need to include a reference to implementing the Living Wage across its organisation (this may be because most staff already receive the Living Wage as a minimum).

37. TBOP’s Destination Management:

(a) Target to facilitate leads and bids for business events to the region - increase the target of one lead to three by 2023.

38. Approach to governance needs to include:

(a) Regular governance to governance meetings with Council’s Commissioners.

(b) Half-yearly / Annual Report – presentation to both Councils.

39. Staff recommend that TBOP liaise with TCC’s Spaces and Places team to increase their understanding of Tauranga’s destination opportunities, in particular TECT park and other parks, the proposed destination skate park and the cycling trails.

Bay of Plenty Local Authority Shared Services Limited (BOPLASS)

40. As Tauranga City Council is one of nine shareholding councils, there was no Letter of Expectation provided to BOPLASS.

41. There is general agreement with the draft Statement of Intent submitted (Attachment 4).

42. While not a lead agency in the government reforms and changes (Three Waters Reform), BOPLASS offer their expertise and assistance in managing collective regional outputs from these projects.

43. As was reported in 2021, the same issues with the global insurance markets result in fewer cost-effective placements and coverage again is more challenging to achieve.

44. BOPLASS have developed the Collaboration Portal, which offers shared-services and joint procurement information to be made available within the wider community. Tourism Bay of Plenty have held initial discussions with BOPLASS on the available and most relevant suite of services that would be available.

45. BOPLASS’ performance targets remain unchanged from 2021.

46. BOPLASS note as at 30 June 2021 the consolidated shareholder funds comprised $45,826 (compared to $29,856 in 2020), and the total assets were $1,492,395 (compared to $1,384,644 in 2020). The resulting ratio is 3.07% (compared to 2.16% in 2020).

Local Government Funding Agency (LGFA)

47. LGFA’s draft Statement of intent is provided as Attachment 5. Points noted from the letter to shareholders include:

(a) Profitability is forecast to remain strong with projections for Net Operating Gain of $9.9 million, $11.7 million and $10.0 million for the next three years.

(b) Councils have placed their borrowings on the assumption that the Three Waters reforms are not progressing. LGFA have applied the same assumptions in their forecasts for 2023/24 and 2024/25 financial years. If reforms proceed, these borrowings may need to change.

(c) The forecasts for council loans (short and long-term) outstanding at June 2023 of $14.6 billion and $15.6 billion at June 2024, in line with forecast Statement of Intent.

(d) Compared to the prior year, issuance and operating expenses, excluding Approved Issuer Levy, are forecast to be approximately $400,000 higher in the 2022/23 financial year. This is due to higher costs associated with the increased focus on sustainability, higher personnel costs, and expected costs relating to Three Waters Reforms.

(e) There may be some timing uncertainty in forecasting year three (2024/25) as the LGFA bonds ($5.3 billion) and council loans ($5.7 billion) mature.

Strategic / Statutory Context

48. The Statement of Intent is one of the council-controlled organisation’s key governance and planning documents. Engaging with the council-controlled organisations throughout the development of the annual Statements of Intent is one of the main ways Council can influence its council-controlled organisations, while ensuring they are aligned with Council’s strategic outcomes.

Options Analysis

Option 1: Receive the draft Statements of Intent and approve the feedback to be provided to the council-controlled organisations - RECOMMENDED

49. Receive the draft Statements of Intent from Bay Venues, TAGT, TBOP, BOPLASS, and LGFA. Agree with the suggested shareholder comments outlined in this report, noting that WBOPDC will confirm shareholder feedback to TBOP at their 6 April 2021 Council meeting.

Advantages

Disadvantages

· The Council-controlled organisations will receive useful information to ensure their final Statements of Intent meet Council’s expectations.

· Council meets its legislative requirements under the Local Government Act by formally receiving the draft Statements of Intent and providing feedback within the required timeframe.

· Final Statements of Intent are aligned with Council’s strategic direction.

· None

Option 2: Receive the draft Statements of Intent and do not approve the feedback to be provided to the council-controlled organisations

50. Receive the draft Statements of Intent from Bay Venues, TAGT, TBOP, BOPLASS and LGFA. Do not agree with the suggested shareholder comments outlined in this report, noting that WBOPDC will confirm shareholder feedback to TBOP at their 6 April 2021 Council meeting.

Advantages

Disadvantages

· Council meets its legislative requirements under the Local Government Act by formally receiving the draft Statements of Intent and deciding not to provide feedback within the required timeframe.

· The council-controlled organisations do not receive any useful information on Council’s expectations about the content of their final Statements of Intent.

· The final Statements of Intent may contain inaccurate information or be misaligned with Council’s strategic direction.

Option 3: Approve the proposed increase to the Intra-Group Two-Way Loan Agreement between Bay Venues and TCC - RECOMMENDED

51. Council approves the proposed increase of $5 million to the Intra-Group Two-Way Loan Agreement between Bay Venues and TCC from the current $25 million to a proposed $30 million.

Advantages

Disadvantages

· Brings the limit in line with Bay Venues’ forecast operational spend to 30 June 2022.

· Ensures a maturity date of greater than one year is maintained for the loan agreement at any time, to enable disclosure as ‘non-current debt’ for the Annual Report.

· Nil

Option 4: Does not approve the proposed increase to the Intra-Group Two-Way Loan Agreement between Bay Venues and TCC

52. Council does not approve the proposed increase of $5 million to the Intra-Group Two-Way Loan Agreement between Bay Venues and TCC from the current $25 million to a proposed $30 million.

Advantages

Disadvantages

· Nil

· Keeping the loan limit at the current $25 million does not reflect forecast operational spend to 30 June 2022.

· The responsibility for operational funding will likely fall on Council.

· Does not ensure a maturity date of greater than one year is maintained for the loan agreement at any time, to enable disclosure as ‘non-current debt’ for the Annual Report.

Financial Considerations

53. Budgets for all council-controlled organisations, including Council’s contributions, are included in the draft Statements of Intent.

54. TCC’s Finance team have reviewed the draft amounts against the figures outlined in Council’s Long-Term Plan and have asked for amendments where relevant.

Legal Implications / Risks

55. If Council does not approve the provision of the suggested feedback to the council-controlled organisations, the final Statements of Intent may not be consistent with Council’s strategic direction and may contain inaccuracies (financial and governance risk).

56. The proposed increase of $5 million to the Intra-Group Two-Way Loan Agreement between Bay Venues and TCC from the current $25 million to a proposed $30 million would be subject to TCC being able to remain within its Treasury Policy limits and subject to Bay Venues continuing to work with TCC staff in monitoring their cashflow position.

Consultation / Engagement

57. It is not required or expected to consult on a Statement of Intent or an increase to a two-way loan agreement under the Local Government Act.

Significance

58. 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.

59. 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 issue, proposal, decision, or matter; and

60. Under Council’s Significance and Engagement Policy this matter is of medium significance as the Council-controlled organisations’ activities have an impact on a sub group of people within the city and it is likely these documents will be of moderate public interest.

ENGAGEMENT

61. Taking into consideration the above assessment, that this matter is of medium significance, officers are of the opinion that no further engagement is required prior to Council making a decision.

Next Steps

62. A copy of this report and the resolutions will be provided to each council-controlled organisation by 30 April 2022, together with the report and resolutions from the 6 April 2022 Western Bay of Plenty District Council meeting for TBOP.

63. Any feedback provided in this report should be given consideration by the council-controlled organisation boards when producing their final Statements of Intent.

64. The final Statements of Intent are to be delivered to Council by 30 June 2022. Staff will review the final Statements of Intent and present a report to Council for approval in July 2022.

65. Following Council’s approval of the $5 million increase, a variation of the Intra-Group Tow-Way Loan Agreement would be drafted by TCC’s Legal team, for sign off by the Commission Chair, TCC Chief Executive and Chair of Bay Venues. This loan agreement would need to be reviewed again following the approval of the Annual Plan 2022/2023.

Attachments

1. Bay Venues Limited - Draft Statement of Intent (2022-2025) - A13289955 (Separate Attachments 1)

2. Tauranga Art Gallery Trust - Draft Statement of Intent (2022-2025) - A13289973 (Separate Attachments 1)

3. Tourism Bay of Plenty - Draft Statement of Intent (2022-2025) - A13284259 (Separate Attachments 1)

4. Bay of Plenty Local Authority Shared Services - Draft Statement of Intent (2022-2025) - A13289950 (Separate Attachments 1)

5. Local Government Funding Agency - Draft Statement of Intent (2022-2025) - A13294735 (Separate Attachments 1)

6. Bay Venues Limited - Letter of Expectation from TCC for 2022-2023 - A13099414 (Separate Attachments 1)

7. Tauranga Art Gallery Letter of Expectations from TCC for 2022-2025 - A13099435 (Separate Attachments 1)

8. Tourism Bay of Plenty Letter of Expectations from TCC for 2022-2023 - A13099399 (Separate Attachments 1)

Ordinary Council meeting Agenda

11 April 2022

11.3 Executive Report

File Number: A13330914

Author: Nic Johansson, General Manager: Infrastructure

Barbara Dempsey, Acting General Manager: Community Services

Paul Davidson, General Manager: Corporate Services

Christine Jones, General Manager: Strategy & Growth

Tony Aitken, Acting General Manager: People and Engagement

Gareth Wallis, General Manager: Central City Development

Steve Pearce, Acting General Manager: Regulatory and Compliance

Authoriser: Marty Grenfell, Chief Executive

Purpose of the Report

1. To provide updates on key projects and activities.

Recommendations

That the Council:

(a) Receives the Executive Report

(b) Approves the recommendation to formally deaccession 15 items from the Civic Art Collection.

Civic Art Collection

2. Arts and Culture staff have undertaken a review of the Civic Art Collection (the Collection), prior to the commencement of a full condition assessment, valuation and audit.

Current situation

3. Tauranga City Council has acquired original works of art for decades through gifts from the community, Council departments, former and current Mayors and/or Councillors. The collection consists of paintings, prints, photographs, sculptures and craft work. Most of the works are by local artists. The Collection currently consists of approximately 350 works from the 1850s through to 2017. In June 2003, a full conservation report was carried out. The key collection works were examined, condition reports were provided along with recommendations for treatment, storage and display.

4. The Civic Art Collection Policy was adopted in 2008 and amended with a Schedule of Works in 2012. It has not been formally reviewed since. The intent of the original policy was for the Tauranga Art Gallery (TAG) to administer, care for and maintain the Collection. However, resourcing constraints have meant that the Gallery is no longer able to undertake these functions. Currently, there is no activity involving the Collection and its presentation. The majority of works are being stored alongside the Tauranga Heritage Collection and are overseen by the Tauranga Heritage Collection team.

Proposed future direction for the Civic Art Collection

5. Staff are proposing a refresh of the Civic Art Collection policy, in response to Tauranga’s growth, to establish new parameters for collecting, acquisitioning and deaccessioning. A refreshed policy would seek to establish a robust structure for the correct care and presentation of the work, in line with collection best care practice. A renewed focus on public display would aim to foster a stronger relationship with the community of Tauranga and enable the collection to be more visible and readily accessible.

6. Staff are proposing to establish a collection management system for the Civic Art Collection. This will ensure that all details for the works are kept within one database. It also streamlines collection, display, maintenance and deaccession activities. A collection management system will store all details about the artworks, including their provenance, location, any planned loans for exhibitions, condition reports, correct storage and display for the type of work, and valuations.

7. The collection management system chosen will also have the capacity to publish the Collection (and details of the works) online. This will act as a community engagement tool, making the Collection readily accessible for many residents. It will also act as a tool for other galleries and museums to see what is in the Collection for potential loans for exhibitions, increasing the opportunity for more of the artworks to be displayed and seen by the public.

Stocktake and valuation

8. The last formal stocktake and valuation of the Collection occurred in 2015, undertaken by Art + Object. The Collection should be formally reviewed and valued every three years in order to correctly value the Collection as a Council asset, and to ascertain if any works need conservation or treatment. The Collection is therefore overdue for its latest stocktake and valuation. Staff are currently seeking competitive quotes for this work, which will be carried out before the end of the financial year.

Deaccessioning prior to stocktake and valuation

9. Staff recommend that there are 15 works currently in the collection that would be suitable for deaccessioning, prior to the commencement of the stocktake. These works either:

(a) do not fit within the current or prospective collection parameters;

(b) are too damaged to repair; or

10. Deaccessioning these works prior to the stocktake will save the time and money that would have been spent formally assessing them.

11. The current Civic Art Collection policy allows for works to be deaccessioned, subject to approval by Council.

12. Please refer to Attachment A for full details of the works recommended for deaccessioning.

Infrastructure Group

Sub-regional long-term system view for water

13. Tauranga faces a range of challenges around our three waters delivery, which includes catering for ongoing growth, the need to adapt to climate change, changes in regulation, and a potentially new service delivery model. Embedded in these changes is the requirement for council to give effect to Te Mana o Te Wai, which is an update to the National Policy Statement for Freshwater Management. Te Mano o te Wai (the mana of water) relates to the integrated and holistic well-being of water.

14. Council’s 30-year Infrastructure Strategy identified these issues and listed associated actions to address these. The infrastructure strategy emphasised the need to interlink the three waters in a holistic manner, which would best be done on a sub-regional scale. The development of such a programme was endorsed in principle by the Strategy, Finance and Risk Committee in December 2021.

15. A first step to establish a sub-regional working group with representatives from BOPRC, WBOPDC, and TCC has been made by setting up a specific group with a focus on water allocation for municipal supply for the short- to medium-term.

16. Further discussions are currently being held between TCC and WBOPDC on the establishment of working relationships and a potential joint sub-regional, integrated three waters management approach.

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Reconsenting of existing water takes

17. The Joyce and Oropi consents are due for re-consenting in 2026. The Waiāri consent is due in 2042.

18. The 30-year infrastructure plan flagged issues with potential over-allocation, as BOPRC considers all streams these supplies are drawn from to be over-allocated. There is a possibility that the consent across all water takes will be re assessed at a lower level to meet National Policy Statement – Freshwater Management limits. If this is the case, then alternative raw water supply sources will need to be investigated to address a potential shortfall in consented supply.

19. The first phase of this project is the preparation of a consenting and engagement strategy, which is underway. This strategy is expected to be delivered by mid-2022.

Water Watchers Plan Update

20. Water Watchers is a proactive plan which ensures water demand is kept at sustainable levels all year round, to protect stream health and ensure compliance with consent requirements. The Plan, which was launched via a video and Facebook post on the council Facebook page, successfully curbed water demands throughout the 21/22 summer.

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21. The above dashboard shows our Water Watchers Plan is working. Water demand held at around 50,000m³ a day – despite a very hot summer and the challenge of meeting the ever-increasing water demands of a growing city.

22. From 1 April, the next phase of the Water Watchers plan starts and water restrictions ease to reflect cooler weather and typically decreased water demand. Targeted communications throughout the year will encourage our community to forward-plan outdoor water use activities and not wait until summer to complete outdoor water use tasks.

23. Alternative water sources, primarily water bores, continue to be popular, especially along the coastal strip. 180 new bores were registered with Tauranga City Council between November and March and are visible on Smart Zoom to help the contact centre team identify whether a property is breaching the Water Watchers plan. The number of calls the contact centre received this summer was consistent with previous water restriction periods and no enforcement of the plan was required.

24. Smart Water plans are required for any water use outside of the Water Watchers plan. 106 plans were received, reviewed, resulting in some great water saving wins and achieving buy-in from our community. Our business units need to keep water conservation top of mind and consider alternative water sources or business practices to ensure we also comply with the plan.

25. Over the coming months, the City Waters team will continue to focus on the Water Watchers plan in preparation for next summer. The plan will be reviewed and lessons learned will be implemented. There will be a focus on engaging with business, internal council teams and launching a supporting long-term water conservation campaign.

26. The Facebook launch post/video for the Water Watchers Plan is pictured below; this post reached over 89,000 people.

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Maunganui Road Project

27. Construction is well underway on the next stage of the Maunganui Road project, from Golf Road to Dee Street.

28. Progress has been hampered by the availability of contractor resources due to the impact of Covid.

29. As part of the project, we are installing a series of drainage cells that will capture stormwater and divert this to ground rather than the existing network, which is currently experiencing capacity issues in heavy rain events.

30. The current stage (Mount College to Tui St) is largely expected to be completed by mid-May, with a portion of this work delayed until the July school holidays. This planned postponement has meant that an additional project (signalised crossing on Golf Road) can be undertaken, allowing the works which require a significant pedestrian detour to be undertaken when students will not be using the area.

31. The next stage of the works (Hinau St to Sutherland Ave) is expected to commence in early-April, having been timed to avoid the Women’s World Cup and address feedback from businesses in the area.

Cameron Road Stage 1 (Building our Future)

32. Work continues along Cameron Road and we are continuing to complete sections on the east side. At the Harington Street end, work has switched to the west side of the road.

33. There are still some material supply issues (concrete pavers), but alternatives are being investigated to ensure progress is maintained.

34. The contract completion date is still October 2023, as agreed with CIP as part of the funding approval.

Cameron Road Stage 2 (Building our Future)

35. The business case has been tendered and a preferred consultant has been selected. Work is planned to get underway from April this year, with the business case finalised early in 2023.

Greenpark School Signalised Crossing

36. A new set of traffic signals has been installed on Cameron Road outside Greenpark School. These will allow students to safely cross Cameron Road to and from the recommended parking areas for parents at the racecourse and in Marshall Avenue.

37. The signals were originally planned to be installed in 2021, but due to Covid-related contractor resource issues, they have been finished this year.

38. We are awaiting the final power connection, so have been powering the traffic signals via a generator in the interim, to ensure operation commenced as quickly as possible.

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Kennedy Road Embankment Dam Project

39. The Kennedy Road Embankment Dam Project (KREDP) is one of a suite of stormwater projects designed to manage stormwater effectively and sustainably in the catchment of the Nanako Stream, Pyes Pa West – specifically in the area that extends from Kennedy Road to Freeburn Road. The objective of these projects is to limit the potential impacts of flows from existing and future development around the Nanako Stream, and on other land and properties in the catchment.

40. The KREDP will enhance the environment through improving water quality, mitigate flooding from rain events and allow the delivery of 108 housing lots. It includes strengthening of the current Kennedy Road embankment to meet dam safety design standards and the installation of a new 2500mm diameter culvert to accommodate a 100 Annual Recurrence Interval event.

41. This $60m project has involved creation of a stormwater retention pond and a discharge pipe under Kennedy Road to address potential flooding in this area. Physical construction works for this project are now completed; the current focus is on finishing the upstream section, with only topsoil and planting to be completed [pictured above].

42. Meanwhile, the downstream section is complete and we are just waiting for the grass to grow. Hay has been placed over the area to prevent it from becoming too boggy in the interim.

Esmeralda Street Stormwater Upgrade Project

43. The purpose of this project is to reduce the chance of flooding during storm events by providing a directed flow-path. The photos below show the area before and during the works.

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44. The existing stream near Esmeralda Street in Welcome Bay has been diverted to allow the construction of a new water course. The sides of the channel are created and reinforced by wire baskets full of similar sized rocks, stacked in layers. The baskets sit on geotextile cloth, which provides a further barrier to stop banks from washing away.

45. This project, worth $1.5m, is due to be completed in May this year.

Sustainability and Waste Update

46. Due to many workers isolating with Covid in March, we had to reduce our recycling and glass collection services. In response, we prioritised those services that were able to be undertaken with reduced staffing levels, while also allowing us to collect the highest waste volume possible under the circumstances. As soon as staffing levels allow, the regular collection service will be resumed. We were able to maintain our general rubbish collection throughout the peak of the pandemic.

47. To communicate the restoration of service, we will undertake education advertising and a specific communications plan to encourage behaviour change, in particular the use of the food waste bin.

48. To reduce the amount of waste sent to landfill and reduce littering in the downtown Tauranga and Mount mainstreet areas, we’ve started working with local businesses to trial reusable coffee cups and takeaway containers. We’ve also prioritised team resources to work with other Councils, our contractors and our community on a targeted behaviour change, to improve our collections and foster a sense of ownership of our shared public places.

Community Services

Arts and Culture

49. Creative Bay of Plenty has submitted its six-month progress report for the period ending 31 December 2021. The report shows considerable improvements across a range of key performance indicators and evidence of greatly improved sector relationships with key stakeholders. This report is the first to be received since the cessation of the previous GM contract; and demonstrates a commitment from both the board and management to lift performance, following a period of consultation with our staff in 2021. The progress captured in the report aligns with stakeholder feedback that Creative Bay of Plenty is working hard to focus on core operations and to build stronger relationships across the arts and culture sector. The full six-monthly report can be viewed here.

50. Staff are working across a range of council teams to develop a new Art in Public Places Framework, which is intended to replace the current Public Art Policy. A report with recommendations will be presented to the Strategy, Finance and Rick Committee in May and will include a summary of the current situation; the proposed new framework, including its alignment with the sub-regional Arts and Culture Strategy, Toi Moana (2018); a transparent assessment and approvals process; details of a new initiative called “one percent for art”; and an action plan detailing next steps for timely delivery.

51. The Library Heritage Team have moved into the newly completed space at Newton Street, with the Library archive now housed in the same space as the Heritage Collection. The upgrades to Newton Street have created a dedicated ‘cool room’ for storage of light and heat sensitive documents and artefacts, as well as general improvements to security systems and management of light levels at 32 Newton Street. Both Library and Heritage Collection staff are excited by the co-location, with opportunities for improved collaboration on future projects being explored.

52. Heritage collection staff are planning to deliver a series of ‘behind the scenes’ tours of the Heritage Collection storage facility in Newton Street, as part of the LTPA consultation period. The guided tours will run on Saturday 9 April and Saturday 23 April, with four tours offered each day. The tours will give the community the opportunity to see taonga that have never been on public display and will provide some insight into the kind of artefacts that could be displayed in the Museum. The tours will also cover the research, conservation, education and outreach work that the Heritage collection staff undertake.

Community Partnerships

53. The second round for Community Grants applications closed on Monday, 21 March. 51 applications were received. A second round for Match Fund Grants applications will open on Monday 28 March.

54. The City Partnerships Specialist commenced her 0.5 FTE role on 14 March. Letters of Expectation will go out to the four Mainstreet organisations in the next week, as the first stage of developing a new accountability regime to ensure greater strategic alignment with council.

55. Staff are investigating opportunities to better promote existing accessible facilities, both to the disability community and older people. Planning will occur during winter months on events and projects to encourage greater use of the facilities we already have, ahead of the 2022/23 summer period. We have engaged a consultant to provide lived-experience input into accessibility planning and delivery, to better meet the needs of residents and visitors with a disability.

56. The Matapihi Pou project includes the installation of carved Pou Whakairo symbolising the area’s tipuna (ancestors) along Matapihi Road. The objective is to increase community pride and share knowledge of the area and people with the many commuters who use Matapihi as a thoroughfare between Bayfair and the CBD. This process will see local whanau, hapu, marae and kura involved in the creation of the many pou throughout Matapihi. This project is community-led and driven, and as a team, we are privileged to be a part of their journey and contribute to the inter-generational impact these pou will have.

57. Kāinga Tupu teamed up with Corrections to deliver the first training of 2022, Trauma Informed Practice, to members of our Homeless Provider Network. Due to the level of interest, we are hosting another Corrections-led workshop, Task-based Risk Assessment, on 30 March. Training opportunities such as these help our provider network to upskill and better support our homeless community.

58. Council donated 117 pre-loved iPhones to Kāinga Tupu to give to our community providers. Kāinga Tupu and Spark co-funded the purchase of chargers, SIM cards and a $50.00 credit on each phone, to help those experiencing homelessness to get connected. These phones are going to be distributed to Tauranga Women’s Refuge, Shakti Tauranga, Tauranga Living Without Violence, and Pacific Island Community Tauranga Trust.

59. The Impact and Insights Specialist is supporting the Kāinga Tupu work programme by developing the Western Bay of Plenty Homelessness Dashboards (a New Zealand first). Kāinga Tupu has extended a partnership opportunity to SmartGrowth to concurrently develop housing dashboards, so that the finalised product will provide access to sub-regional data across the full housing spectrum. These dashboards will be ready for testing in June 2022.

60. The Impact and Insights Specialist is also reviewing the Vital Update: Tauranga research project, with the intention of running a city-wide survey in October 2022. A new addition to this work programme will be the inaugural Tauranga Child Wellbeing Study, which will run as part of the broader Vital Update project but will utilise different methodology and engagement techniques.

61. Staff supported two community engagement sessions focusing on ethnic and Pacific communities, to get their views on options for the Greerton Maarawaewae Study and an introduction to the Otumoetai Spatial Plan. Council co-hosted the sessions with Multicultural Tauranga and Pacific Island Community (Tauranga) Trust and received valuable community feedback, including the desire for a cultural hub.

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62. During March, staff coordinated a programme of activities to celebrate Cultural Diversity in alignment with NZ Race Relations Day, in collaboration with Tauranga City Libraries and Western Bay of Plenty District Libraries and community stakeholders. Unfortunately, some of the activities/events were postponed due to COVID-19.

63. Staff are currently working in collaboration with Western Bay of Plenty District Council and NZ Police to run the first Multi-Ethnic Forum on 31 March. The purpose of this community special interest forum is to discuss issues related to ethnic communities, based on lived experiences, support inclusion of ethnic perspectives and provide advice and feedback to council and local agencies on strategies, plans and policies, and to strengthen connections across communities.

Libraries

64. Public internet and WiFi provision have been moved to a Department of Internal Affairs subsidised model. The Aotearoa People’s Network Kaharoa (APNK) covers total service, support and hardware replacement, saving capital expenditure and Digital Services team support time.

65. A Fill-a-bag Book Sale was held over three Fridays on The Strand waterfront. This served a dual purpose of lightening the number of books to move and highlighting the city library closure. Because this event was held outdoors, all members of the community could attend and it was quite a hit, with almost 400 people involved.

66. He Pī Ka Puāwai is a new six-week programme for parents and babies under one years of age, developed with initial input from Sport Bay of Plenty. This programme is being trialled at Greerton Library, with the first session having 11 Mums and babies attending.

67. With in-library school visits coming to a halt, staff have developed a new outreach offering, The Great NZ Author Jollification. Following is an example of the feedback from schools: “You did a great job getting the kaimanawa involved and delivered the stories with lots of expression. Fun reading experience. A different way of delivery for each story. Great visuals & using the kaimanawa to be part of the story. Getting them hooked into story. Awesome questions at the end - getting the children to think about the story in more depth.” Te Manawa ō Pāpāmoa.

68. Libraries followed their Business Continuity Plan (BCP) by closing for half days when staffing numbers dropped below minimum due to COVID. This occurred twice at Greerton and Papamoa Libraries. The community response was very understanding. The mobile library put on extra stops and the pick-up locations for hold items were moved to Greerton while Tauranga library was closed.

69. Libraries and the Civic Redevelopment team completed a major milestone, moving 120,000 books downtown and the entire Library Archives to Newton Road. This was the result of six months of work planning the spaces and packaging the archives. Many difficulties were overcome in the move, including staff and contractors having COVID, delay in the supply of building materials and torrential rain. The libraries and project members worked long hours and constantly updated their contingency plans to adapt to every scenario as it played out. The new space at He Puna Manawa opened on Monday 4 April.

Crown movers and library teams moving.

Compact Archive shelving racks and the gas fire suppression system in the climate-controlled archive at Newton Street.

Space and Places

70. The Spaces and Places team commenced construction of a walking and cycling network in Pyes Pa, called ‘Pyes Pa Connections’, in March. The aim of this project is to create generous, safe and functional pathway connections through the drainage reserves and local road connections between SH29A and Mortlake Heights. The first stage will connect Cheyne Road with Condor Drive. The construction of the path through the stormwater reserve network in this area has been extremely well-received by local residents and they are looking forward to the creation of improved community connections and a higher standard of amenity in local reserves.

71. Tauranga Domain Grandstand is having work undertaken to upgrade its seismic resilience and install a platform to enable media to safely undertake filming activities. Work started on 14 March and is expected to be completed on 27 May.

72. Earthworks commenced on the construction of the southern section of the Kopurererua Stream Realignment Project in February. This is a significant project milestone in the three-year restoration project. The southern section sees the creation of a new stream alignment with bridges, new cycleway connections and extensive restoration plantings.

73. The Kulim Park Upgrade project is due for completion at the end of March, with the project team currently installing a new 3x3 basketball court. The carpark, boardwalk, and footpath connections are all complete.

74. The Destination Skatepark project has held its first workshop with the 24-member community design group. The workshop has informed the site selection process and shortlisted options will be assessed. Once the project site is confirmed, we will complete the design (with the community design group) and deliver the project in 2023, as programmed.

75. Council is supporting the Pukehinahina Charitable Trust and Ngāi Tamarāwaho to deliver significant improvements to the historic reserve at Te Ranga. The historic reserve will commemorate the loss of Māori life during the battle of Te Ranga; provide a place to educate visitors on the history of the New Zealand Wars; and create a native plant reserve. The masterplan proposes a new carpark and tomokanga (entranceway) telling the site’s history, urupā, and a walkway to a new memorial and trench markings. Works will begin next month to construct the bund along the Pyes Pa Road boundary and local hapu, schools and community members will come together to plant the embankment in May-June.

76. Mauao

(a) 12 children and parents from local schools collected native seeds from Mauao. This great engagement programme sees children collect seeds, propagate the seeds at school and then return their plants to Mauao and provides learnings about our natural environment.

(b) The maunga became the new home to 32 native Copper Skinks. This project has been a collaboration between Nga Poutiriao o Mauao (joint management board), Waka Kotahi, DoC and Wildlands Consulting. The skinks have been relocated from the new TNL roading construction. To welcome Mauao’s new residents, a lot of preparation has taken place, including pest control targeting mice and construction of a release pen to house and monitor the skinks. All this work was overseen by our staff, cultural monitors and an archaeologist and the project has been a great success.

(c) The renewal of the Oruahine track midway up Mauao, on the northern face, has been completed. The renewal included a number of safety improvements, including the widening of the track, stairs, and creation of a formed edge for the track.

77. A wide variety of renewals and minor capital projects are underway and/or have been recently completed by the Parks and Recreation team, including:

(a) The public toilet in Salisbury Ave in Mount Maunganui was set on fire on 27 January 2022, resulting in an insurance pay-out of $23,000, which is not enough to replace the old building. Work is ongoing to demolish the damaged building and scope and price a new public toilet facility.

(b) Final design plans and consent applications have been submitted for approval for a new modular concrete seawall at the Anchorage Grove Reserve, Maungatapu, to replace the current dilapidated seawall at this location. The new seawall will include enhanced features improving access to the harbour.

(c) Pacific Park playground is up for renewal this year, with plans to deliver a much-improved experience for the residents this in this area, including shade and accessibility features.

(d) Shade installation has been completed at three reserves to date and we have now added additional suppliers, to reduce risk of supply chain issues and speed-up delivery across the city.

(e) The remnants of cyclone Dovi saw winds exceeding 160 km/h in some areas, causing a significant amount of tree-related issues throughout the city. Our Urban Foresters and their contractor acted quickly and worked with their transport colleagues to ensure issues were attended to promptly and sites made safe quickly.

(f) The Graham Park (next to Takitimu Drive) carpark is being resealed, as there were many potholes and a tomo had formed. This work will be completed by 1 April.

(g) Over the summer, an increased and more-focused approach to pest animal control across our reserves, including McLaren Falls and Mauao, has seen great results, with trip counts dropping significantly. A Canadian Goose control programme has also been initiated across a number of the city’s reserves.

(h) Mount Beachside Holiday Park’s new Cabins are almost open to the public. The park is receiving enquiries from Australia now that the borders are opening and there’s no need to quarantine.

Venues and Events

78. Tauranga city hosted the ICC Women’s Cricket World Cup 2022 from March 4 – 18, with seven matches played at Bay Oval. Hosting a tournament of this scale required a city-wide effort from many including volunteers, mana whenua, our city partners, the Bay Oval team, Tauranga Airport, city operations stakeholders, hotels, catering companies, our own Tauranga City Council team and so many others. The manaakitanga of Tauranga has been felt by our visitors with wonderful feedback such as, “the team absolutely loved the earrings and the welcome letter from the city. Many of the players have been wearing the earrings this week…. thank you and the city for your generosity.” (Team Pakistan). Our locals have also loved the opportunity to be involved in the event, “It has been a momentous event for my kids to be a part of such a remarkable day for Tauranga (Hosting Women’s World Cup 2022).” (Mother of child in opening ceremony).

The tournament has been an opportunity to showcase Tauranga Moana on the world stage, with our city being broadcast to millions across the globe. Proactive communication highlights included ICC Digital coverage showcasing Tauranga to a social media audience of more than 11 million. Coverage of local activities included: SUP boarding; a helicopter ride around Mauao; exploring a local kiwifruit orchard; and a boat cruise around Tauranga harbour.

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Pictured left to right:

Grant Robertson and Anne Tolley at the opening match of the ICC Women's Cricket World Cup 2022.

Josh Te Kani and members of Whareroa Marae from the hapū of Ngāi Tūkairangi and Ngāti Kuku opening the ICC Cricket World Cup 2022.

Team Pakistan with Paua earrings gifted from Tauranga city.

Sanjana Ganesan takes a helicopter ride past Mauao on a video streamed across ICC digital platforms.

79. Staff have commenced the annual event scheduling process for the coming 2022/23 year, with event organisers applying to hold events in Tauranga’s public open space. The team takes a city-wide approach to this process, working with multiple stakeholders across Council, CCOs and privately managed venues and organisations such as NZ Police and Waka Kotahi New Zealand Transport Agency to ensure that planned projects, scheduled works and operational resourcing are considered as a part of the planning. To date, requests are tracking similarly to pre-COVID-19, with over 350 booking requests already received.

80. On 21 March, SmartyGrants grants was launched for the Community Event and Event Support Funds. SmartyGrants is a centralised, cloud-based software system that will manage future event funding applications, improving both the customer experience for applicants and increasing the efficiency of the funding administration process for staff.

81. Baycourt Community & Arts Centre has seen a significant downturn with just two early-April ticketed events expected to proceed in this reporting period. Enquiries have been light, with what appears to be little appetite across the industry to stage indoor events at the present time, as event organisers continue to feel the long-term impacts of the current COVID ‘red’ restrictions on the events sector. Bookings for the remainder of the financial year are also light and as a result, this has significantly limited Baycourt’s ability to generate revenue.

82. The easing of some COVID restrictions on 26 March 2022 means that Baycourt can now double its current seated capacity to 200 people at the red setting of the COVID-19 Protection Framework (CPF) and remove vaccine pass mandates from 4 April. As this is a recent development, it remains to be seen whether this capacity increase will encourage an upsurge in event activity.

83. Baycourt Community & Arts Centre has been working closely with colleagues at Rotorua City Council as they inch closer to opening the redeveloped Sir Howard Morrison Centre in October 2022. The centre was closed to the public in November 2017 after a seismic assessment concluded that the building was severely earthquake-prone. The Baycourt team has provided and continues to provide support by sharing industry expertise and operating procedures in the technical/production and venue booking/contracting/pricing areas.

84. The Complex 1 fire remedial project and Building 25 (The Exchange) project at The Historic Village are now complete. The completion of these projects means the B25 space has now been tenanted to Young at Art and Leadlight, while Village Hall in Complex 1 is now open for business as an event venue space to hire. This is timely, as the easing of COVID restrictions on venues and events will hopefully result in new events bookings coming in.

85. Detailed design is complete and building consent exemption issued on stage two of the Building 89 – Envirohub project, allowing the procurement process to be progressed and a local contractor secured, with works to begin shortly. We envisage the project being completed in the 2022 financial year. This will mean Envirohub can move back to their building after a three-year temporary relocation while the Kollective development was completed. With Envirohub moving back to their home, this will free-up valuable space in the central retail section of The Historic Village, allowing an exciting new addition to the core Village retail offering, which gets us another step closer to delivering the new Historic Village Strategy to our community.

Corporate Services

Operational Activities of Tauranga Airport and Vessel Works

Vessel Works – Marine Precinct

86. The last quarter continued the trend of the marine industry being significantly impacted by Covid. This has resulted in a quiet hardstand, despite the travel lift being busy with a number of smaller quick lifts. To counter this, the team is working on a marketing push and face-to-face meetings with past and potential clients to lift the business on both the travel lift and hardstand over the next summer period.

87. Pricing has also been reset to move away from published price lists to a price on application approach, which is consistent with other yards. This will provide more equity in the pricing structure, particularly across vessel sizes and will assist in providing more competitive pricing across the yard, with a view to increasing throughput and overall financial performance.

From an operational perspective, much-needed repair work is commencing on Bridge Wharf (pictured below). This will ensure the wharf is in an operational state for several years while future development plans are established and implemented.

88. Tauranga City Council and Bay of Plenty Regional Council continue to work together to resolve issues related to several vessels moored at Bridge Wharf, as soon as possible.

Tauranga Airport

89. At the airport Air NZ has been and will continue to build back capacity from March to April, and will continue to monitor and adjust capacity as needed to ensure to match supply with demand as best as possible.

90. Flights have been operating with 20% less pre-COVID loadings between Christchurch/Wellington and Tauranga and 30% less loadings between Auckland and Tauranga. This Auckland-Tauranga sector has been hit the hardest of the Tauranga markets as pre-Covid, international connecting traffic on this route made up 30% of passengers. Capacity has been reduced to combat this and this is expected to continue through until the end of May. Most of the capacity reduction has affected the ‘middle of day’ flights to protect business travel times as business customers continue to account for half of the passengers on this route.

91. Whilst leisure demand is holding up well, business demand has halved on the Wellington sector. Bookings are now looking to be in line with last year moving forward into May and June. Easter is also showing strong bookings particularly across the Christchurch sector with both Christchurch and Wellington expecting to perform strongly over winter.

92. The table below shows capacity as a portion of pre-Covid levels and highlights the strength of the Christchurch sector at present.

	Seat Capacity % of 2019		Daily return Flights (based on sample week)
Route/Station	March	April	March	April
AKL-TRG	61%	68%	4-5	7-8
CHC-TRG	107%	137%	3	3
WLG-TRG	84%	80%	3-4	4-5
TRG Total	76%	83%	10-12	14-16

Dom Total	65%	83%

Legal & Commercial

93. The legal and commercial team is now focused on providing input to ensure a number of key projects across the city can be delivered in accordance with our plans.

94. In the city centre, a programme to better manage construction risk is now underway with the Civic Redevelopment team. A multi-disciplinary team has been established, including Insurance brokers, a local commercial lawyer and internal procurement staff.

95. To support transportation and in anticipation of Waka Kotahi’s investment audit from next month, KPMG has been brought in to assist with audit preparation. Further work also continues to establish new panels for low risk/cost transactions, to increase the efficiency of our transportation spend.

96. The legal team is also supporting preparations to secure new consents for the critical Waiorohi and Tautau (and possibly Waiāri) water takes. The success of these consents is critical to the future of the city and region (and will take 5-7 years). Highly skilled counsel with a proven track record in environmental law and an understanding of current legislation in this complex and changing environment are being sourced.

Digital Services

97. Focusing on Engagement with our Community through the right Channel, Print and Sustainability

98. The digital team continue to look for ways to improve engagement with our community. Historically, we have used traditional channels, such as print and mailouts, as a primary engagement method. While many people in our community still prefer these channels, as the demographics of the city change, so must our engagement methods. In 2021, we printed approximately 2 million pages of paper, with large citywide print runs still common. Not only is this approach costly, but for customers who do not prefer these channels it means we do not achieve the engagement reach we are seeking.

99. Within Council, as we move towards paper-lite work practices, we are looking at ways to be more aware of our in-office printing habits and alternative ways of working. To help gain more visibility, Digital Services will be sending out monthly notifications to high print users in the organisation and working on approaches which could reduce printing. In addition, we are also working with some departments to find alternative ways to achieve their desired outcomes, while still meeting legislative requirements.

SAP Finance Upgrade

100. As part of TCC’s programme to modernise our core technology platforms, the Digital Services team has been working closely with our partners and the Finance team to upgrade our SAP finance system. The upgrade is progressing to plan and is scheduled to be finished in time to support the end-of-financial-year processes. This upgrade will provide enhanced capability to support the migration of customer and property data to SAP and extend its capability beyond just finance.

101. This in turn will enable us to move capability from our legacy platforms to SAP, including rating, revenue, Customer Service management and regulatory compliance activities, amongst others.

Some interesting statistics

102. Over the last 12 weeks, the land parcel teams have completed the processing of 86 subdivisions, 371 new land parcels and 6 new road names. While there is some catch-up involved, these numbers confirm ongoing strong growth.

Strategy and Growth

Reduction in Te Papa Infrastructure Acceleration Fund (IAF) Request

103. In March, Kainga Ora (KO) asked us to significantly reduce our IAF application request for Te Papa peninsular intensification and explain the likely impact of that reduced funding. We were advised that while our proposal was considered to have some merit on a ‘standalone’ basis, funding the full amount requested would raise issues. A material reduction in the IAF funding requested doesn’t guarantee our application will be successful. However, demonstration that it would result in a viable solution, with an acceptable impact on housing outcomes, will increase the prospects of the proposal being recommended for progression to the negotiation stage. We understand KO has made this request to all applicants with larger applications, to help spread their funding pool over more projects and to achieve regional spread of the funding allocation.

104. In response, we reduced our application by about 30%, from $97m to $68m, the minimum reduction requested by KO. To achieve this, we prioritised funding for infrastructure that directly enables housing (namely, stormwater) and applied a pro rata reduction across all other infrastructure projects (transport – including Cameron Rd Stage 2 – and water supply). Staff were given a timeframe of four working days to revise and resubmit the proposal.

105. In our response to KO, we emphasised that while our projected volume of housing delivery had been retained, lower funding for transport and water supply could:

a) mean projects are reduced in scope, delayed or cancelled, thereby reducing the amenity and positive outcomes anticipated (mode-shift, emissions reduction, reinvigoration of city centre); and

b) shift a greater financial burden to developers and ratepayers through existing or novel funding sources.

106. We understand that KO expects to announce successful applications towards the end of April.

Plan Change 27

107. Plan Change 27 – Flooding from Intense Rainfall (PC27), together with Plan Change 26 (Housing Choice) and Plan Change 30 (Earthworks) were notified on 16 November 2020. After submissions and further submissions on the plan changes, a Hearings Panel was appointed to conduct hearings for Plan Changes 26, 27, and 30 and make decisions.

108. A hearing for Plan Change 27 was held from 30 November to 3 December 2021. On 21 March, Council received the final decision of the panel of Independent Hearings Commissioners.

109. The notification process will involve public notices in the Weekend Sun (Friday 8 April 2022) and Bay of Plenty Times (Saturday 9 April 2022). A copy of the public notice is required to be served on all submitters and further submitters, together with information on where the decision can be viewed. Submitters and further submitters will be sent a letter or email with this information prior to the date of notification of the decision.

110. All information will be available on the Plan Change 27 webpage on 11 April 2022.

111. Any appeals to the decision must be lodged with the Environment Court and Council by Wednesday 25 May 2022 (30 working days after service of the notice of the decision).

112. After the close of the appeal period, a report will be prepared for Council outlining whether any appeals have been received and next steps. If no appeals are received, the plan change can be made operative.

Use of Council Land Policy Project

113. On 13 December 2021, the Strategy, Finance and Risk Committee provided direction on the Use of Council Land policy project. As a result, further engagement will commence with stakeholders this month to test and refine areas of the policy that need further consideration. This includes work on refining the purpose and principles of the new policy, principles specifically for commercial activities (including mobile shops for which direction was provided by the same committee on 14 February 2022), lease lengths and community gardens, and updating the prioritisation criteria for booking outdoor spaces.

114. With regard to high use reserves (including Mount Main Beach, Coronation Park, Memorial Park, Tauranga Domain and nine others), the committee resolved to ‘set policy criteria for selected high use reserves to relieve current pressures’ (SFR7/21/2 (c)). While this resolution will continue to guide the project, the steering group has agreed to pause this particular workstream. This is because, after more detailed enquiries, we have found there is little current evidence upon which to build such policy criteria. In addition, reports from affected business units suggest that current site pressures are being addressed through other council work (for example, the Mount Maunganui Main Beach events approval process; interactions with Blake Park and Gordon Spratt user groups; and through the open space levels of service policy review)

115. While the high use reserves policy work is paused, we will increase monitoring of these spaces to support a better understanding of the patterns of use and particular pressure points and use this information to assess whether specific policy provisions should be recommended. This monitoring information will be reported back to the committee alongside further updates on other aspects of the policy development process.

People and Engagement

Democracy Services

116. The Minister of Local Government announced that elections for Tauranga City Council will be postponed from 8 October 2022 to July 2024. Further details are still to come, including the election date.

117. The Local Government Commission (LGC) on 9 March 2022 heard Council’s submission on, and appeals and objections to, the Final Proposal for the Representation Review. These documents are available on the Tauranga City Council website. The determination of the LGC is due on 10 April 2022 and the representation arrangements will take effect for the next election in July 2024.

118. The Governance and Administration Select Committee’s final report on the Local Government (Pecuniary Interests Register) Amendment Bill is available and recommends the Bill be passed. The Bill would amend the Local Government Act 2002 (LGA) to require elected members to complete a pecuniary interest return and for local authorities to maintain a register and publish a summary of this register. The Bill aims to improve transparency of the pecuniary (financial) interests of elected members and strengthen public trust and confidence in decision-making. It would better align the requirements for notifying and declaring pecuniary interests for local authorities with those of members of Parliament and the Executive Council. Currently there is no requirement under the LGA for a register to be maintained or publicly available, although the Code of Conduct does provide an option for councils to include this requirement and council publishes a summary of interests of elected members on its website.

119. The Epidemic Preparedness Notice has been extended from 18 March to 17 June 2022. This extended the Epidemic Preparedness (COVID-19) Notice 2020 (the Principal Notice) and several amendments relevant to local government remain in force while the Principal Notice applies. These relate to attending council and committee meetings via audio or visual link and enable those who attend remotely to be counted towards the quorum of meetings. It also enables meetings to be open to the public through online access and allows meeting agendas, reports, and minutes to be posted on council websites rather than being made available at physical locations. There are other provisions that enable various actions to occur remotely via audio/visual link, such as new members taking oaths of office and rates rebates statutory declarations and Order in Council mechanisms to enable changes to by-election timing.

Human Resources

120. In March, another pulse survey was conducted to check on the wellbeing of staff at Tauranga City Council during the Omicron peak. The result was the same as previous pulse surveys conducted in August and September 2021, indicating that overall, staff are managing to maintain their wellbeing during these times.

121. To manage Covid, all Tauranga City Council offices and work premises were Vaccination mandated from 4 February until 22 March 2022. During this time, Tauranga City Council had a goal of both keeping our people safe and working to a goal of no forced job losses. Significantly, both goals were achieved (which was greatly appreciated by our staff), ensuring ongoing delivery of services to the community.

122. Bargaining is in progress for the Treatment Plants Collective Agreement, which relates to our staff who work in the Water Treatment plants. This CEA is one of two Collective agreements that the Council has in place with the PSA and most of the staff who work in the Water Treatment plants are covered by this agreement.

123. The Remuneration project implementation is making good progress. All Job Descriptions now have new drafts completed. All tier 3 staff have both their job descriptions finalised and initial job evaluations completed. This project will ensure that the Council is competitive in the labour market and can continue to attract and retain great staff.

Health and Safety

124. Health and Safety staff have continued to support Council’s response to COVID-19 by: ensuring we have an adequate supply of RATs and that these are used according to best practice for surveillance monitoring and return to work; developing a risk assessment methodology for community engagement during COVID; and ensuring supplies of PPE are available where they are needed.

125. Following several national and international incidents involving Land Borne Inflatables (e.g. bouncy castles), the H&S team has supported the Council events team’s review their systems and processes, to ensure best practice is in place.

126. Best practice guidance around Contractor Prequalification and Health Monitoring has been prepared and issued for use across Council. This contributes to ensuring that our people and workplaces are kept safe, as well as ensuring that our business processes meet statutory and best practice requirements set out in law, by our regulator and by the industry we work in.

Community Relations

127. The media impact score rose to 2.9 in January then fell to 2.3 in February. Positive coverage remained consistently high, though there were more negative reports in February. Praise for council consultation and for overall performance continued.

128. The Community Relations team has been supporting many projects across the business, including the Ōtūmoetai Spatial Plan, He Puna Manawa and high-profile transport projects, but the biggest focus over the last two months has been on preparing engaging collateral and a wide range of engagement events for the 2021-31 Long-Term Plan Amendment process.

Te Pou Takawaenga

129. Te Pou Takawaenga has increased capacity to better support Council staff in three key areas – firstly by enabling more intensive support alongside staff for iwi and hapū engagement, especially through wānanga (workshops); secondly by improving and enhancing a very successful cultural competency training suite to ensure greater availability to staff and stakeholders and thirdly by creating strong links between representatives to enable clarity, understanding and synergy across the likes of Te Rangapū Mana Whenua o Tauranga Moana, the joint Tauranga City Council Tangata Whenua Standing Committee and the tangata whenua representatives on the Strategy, Finance, Audit & Risk Committee.

130. Te Rangapū Mana Whenua o Tauranga Moana has an active workload, in line with the actions required to deliver the Long-term Plan. There are 12 workshops between now and the end of May 2022, including Three Waters report responses, Long-term Plan Amendment updates through to prioritised Plan Changes and the co-design of freshwater management tools to best plan water take consents in a sustainable manner.

131. Tauranga City Council Wānanga/co-design approach involves engaging tangata whenua earlier and with more information to support open discussion on how mātauranga Māori (Māori knowledge systems) can add to community outcomes. This approach has achieved growing success, as seen in Te Papa Spatial Plan, Te Manawataki o Te Papa, He Puna Manawa, Omanawa and in the development of a Te Ao Māori strand for strategic decision-making. In all cases, mātauranga Māori has been carefully valued alongside existing processes, with tangata whenua closely involved to monitor and respect its application alongside the technical expertise of staff and providers. This has resulted in a more joined-up approach to many initiatives and has reduced costs for ratepayers by planning for cultural considerations, rather than being challenged on them later in the process.

132. The last leg of the Omokoroa-Tauranga cycleway has been cleared to proceed, in partnership with hapū. The Whareroa community has a safer and cleaner environment as a result of a kaitiaki arrangement to manage any issues arising at the boat ramp area, alongside better reserve management, and users have already reported safer conditions with a more collaborative approach. Omanawa Falls saw a joint application for resource consent by Council and hapū. In addition, iwi and hapū are demonstrating stronger interest in city matters, resulting in clarity and open discussion that enables Council to find mutually beneficial solutions.

Customer Services

133. Cabinet has approved amending the Local Government and Official Information and Meetings Act 1987 to introduce changes to the LIM system. DIA is currently consulting informally with stakeholders on proposed changes, which are primarily designed to improve consistency of natural hazard information disclosure on LIMs. This is more about what goes into a LIM and when and how it is presented. It is not intended that the revised legislation will increase, change or impact how natural hazard risk assessment is carried out by councils. One change will include a new statutory provision for regional councils to provide any natural hazard information that they collect to territorial authorities. A draft bill is expected to go before the house by the end of the year, with an expected implementation date of mid-2023.

134. Tauranga City Council is establishing a cadetship programme, commencing in July, aimed at local unemployed youth aged between 18 and 24. Cadets will be placed in 3-5 departments for 12 months work experience and skill development. After that time, they will transition out of TCC, or if there is a suitable position available internally, apply for that role. Council is working with MSD with respect to cadet identification and funding assistance for the programme.

Regulatory and Compliance

Environmental Regulation

Regulation Monitoring

135. During 2022, we’re seeing a noticeable decrease in the number of vehicles parking in the CBD.

136. So far this year, we have issued over 3,000 parking infringements for overstaying the 2-hour free on-street parking via our Licence Plate Recognition system (LPR). These infringements have been issued to 1709 individual vehicles showing that there are a large number of recidivist offenders.

137. Due to the lengths of overstays and the regularity of infringements, this data would indicate that most of the current infringements are by commuters and CBD workers.

Environmental Health and Licensing

138. The IANZ assessment commissioned by the Ministry of Primary Industries (MPI), which was rescheduled for 17 February, took place on 3 March due to a COVID close-contact issue.

139. As a result of the assessment, 3 Non-Conformances were identified, these being:

a. A large number of overdue food verifications (approx. 299)

b. Further education with regard to which National Programme food sectors council is allowed to verify

c. Further education for staff around report writing and ensuring corrective actions are applied for identified non-compliance issues during verifications.

140. We will now provide the Ministry of Primary Industries (MPI) with an action plan of how we intend to address these non-conformances.

141. The assessor has stated that she will be recommending to MPI that our food verification accreditation be renewed for a further 3 years.

142. We are holding the first of many forums with our licensees and food vendors at the end of March, with a focus on rebuilding our relationship with these business owners given the many changes to our team over the past year due to staff losses and COVID disruptions.

143. The first meetings will be centred around introducing our new team and finding out what pressure points these business owners are finding with the application process.

Animal Services

144. COVID restrictions have provided a challenge for Animal Services staff working at the pound facility. The requirement for vaccine passes to be produced has meant that in some cases, owners have had to arrange for friends or family to pick up animals. There have also been a few days where the pound has had to be closed to members of the public due to staff being affected by COVID.

145. Animal Services Administration staff have been working closely with our communications team to prepare for the annual dog registrations process at the end of the financial year.

146. This will involve a 3-month lead-in to registrations expiring at the end of June, with social media ‘shout-outs’ and Council website messaging. This will encourage dog owners to ensure that their recorded details are correct and will clearly outline timeframes for registrations to be completed.

147. Staff have historically had to chase about 10% (1,500) of ‘known’ dogs that remain unregistered by the time penalty registration fees are activated from 1 August. The communications plan, along with the fact that the Animal Services Team now has a full complement of staff, should see this number reduce significantly, or at least give staff better ability to follow-up in a reasonable timeframe.

Emergency Management

148. We currently only have one Emergency Management Recovery Manager, Barbara Dempsey. It is prudent to have two Recovery Managers and as such we propose that Paula Naude, Manager: Emergency Management, step into this role and a recommendation to that effect has been put forward for Council approval as part of this report.

149. We had eight council staff in our Emergency Operations Centre complete their ITF Intermediate Course in February 2022. This course enables staff to be effective in their coordination centre roles.

150. Bay of Plenty Regional Council Civil Defence Emergency Management Group has cancelled all training for March. Unfortunately, this has an effect on courses for 12 of our EOC staff in Logistics, Public Information Management (PIM) and Lifeline Utilities Course.

151. A Civil Defence Exercise named Exercise Parawhenua Mea has been confirmed for 12 and 13 May. All EOC staff have been advised and are expected to participate in a one-day exercise.

Mount Industrial Zone (MIZ) Project update

152. The purpose of this project is to collate industrial hazard information for the MIZ in a manner that enables an understanding of how multiple concurrent hazard events could impact the city and identify a zone of impact beyond the individual site as a result of hazard events.

153. Progress to date includes the project team being invited to join an industry-led MHF neighbourhood group, as well as further hazard plans received.

154. We are continuing to contact operators and request their detailed plans. A steering team update meeting will be held in early-April.

Tsunami Awareness Project update

155. The Tsunami Awareness Programme has come to an end, following a successful community engagement campaign. This comprehensive campaign has had a total estimated reach of 548,523 to date, including:

(a) 4,256 face-to-face conversations

(b) 179,603 Facebook views

(d) attendance at 8 markets

(e) presentations to 40 people,

(f) billboards viewed an estimated 73,010 times

(g) radio ads heard an estimated 57,885 times

(h) 18 days of Ambassadors canvassing beaches and open spaces

(i) emails to 128 organisations and groups

(j) Facebook and YouTube videos viewed 28,234 times

(k) newspaper advertisements viewed an estimated 156,000 times

(l) 550 flyers distributed through schools

(m) 13 schools emailed requesting key messaging be included in school newsletters and via social media to 8,639 student whanau, and

(n) 22,384 tsunami packs distributed to the 48,673 people who live in the tsunami evacuation zone.

156. The three key tsunami preparedness messages were:

(a) Tsunamis are the greatest natural hazard risk for Tauranga

(b) If an Earthquake is ‘Long or Strong: Get Gone’. Don’t wait for an official warning; it may be too late

157. Ensuring people know what to do in case of a tsunami, including when, where and how to evacuate, is critical to the preparedness and safety of the community. Ensuring people are aware of the risk and have the information they need to be prepared was the key focus of this campaign.

158. As Council moves toward a community conversation about tsunami sirens through the Annual Plan, this campaign has ensured that the community has the information needed to understand the risks, know the natural warning signs and to make a plan.

159. The Working Group established to provide a community lens on this programme will have an ongoing role in supporting community preparedness beyond tsunami and will continue to support the work of the Emergency Management Team. The Emergency Management Team is also working closely with EMBOP to continue to develop the science and data that supports evacuation planning.

Building Services

160. The volume of building consent applications received in February (152) was about 40% less than usual, following the high volumes received in December and January prior to the Development Contribution increase. Volumes received so far in March appear to have returned to ‘normal’ levels with around 270 forecast.

161. We granted 194 consents and amendments in February. This is significantly lower than many of the record months experienced in 2021, but is similar to February 2019. The first few weeks of March indicate a similar number of applications will be granted for that month. The processing team is continuing to struggle to secure suitable staff, which is the primary limitation on the volume of applications granted. This has been exacerbated by several of our staff being affected by the spread of COVID through our community.

162. As a result of the significant backlog of consents, compliance with statutory timeframes has remained low, with 45% of consents and amendments being issued in 20 working days in February. Given the high volumes received in December and January, we expect this backlog to remain and compliance with statutory timeframes to remain low for the rest of this financial year at least. It is the pulsed nature of these high volumes that causes significant backlogs, rather than the high volumes themselves. Based on what other BCAs have experienced following such volume pulses, we expect timeframe compliance to increase by a maximum of 5% per month, but we may see a further impact later in the year, with another proposed development contribution increase signalled for July 2022.

163. As has been reported previously, we have taken on new staff who are in training currently. We are also actively seeking additional contractor support, both short-term and long-term, and are offering overtime to existing staff where we are comfortable they can work additional hours. Lastly, we are reviewing what processing functions can be completed by non-technical support staff and expect some of these to be transferred to our support team in the coming weeks.

164. Inspection wait times have increased to between 5 and 10 days, with a number of our inspectorate being affected by COVID. Some of our inspectors who have been self-isolating have been able to continue to undertake inspections through our remote inspection tool ZYTE. This has helped keep the wait time to a reasonable level, however, and we hope to get that back down below 5 days as the peak impact appears to have passed.

Environmental Planning

165. The team continues to receive a high number of applications, building consent reviews, DC invoice reviews and reported incidents and has been working hard to process these. Increasing levels of complexity through changes to policies, the City Plan, legislation, regulations, etc. means this is no easy task.

166. For the financial year to date, the Environmental Monitoring Team has received 287 incident notifications. Of these, 99 were resolved directly by the environmental monitoring technician without needing officer investigation and the rest were split between the officers for the three wards. Of these, roughly 46% were in Ward 1, 24% in Ward 2 and 30% in Ward 3. 72% of these incidents were deemed unconfirmed or unsubstantiated and only 1% resulted in formal enforcement action.

167. The main issues reported were setback intrusions, breaches of resource consent conditions and sediment control. Visitor accommodation issues are on the rise, with Airbnb’s involved in several reported incidents lately.

168. The team has been busy monitoring the conditions of 51 resource consents this month, including the Takitimu North Link Project, which is progressing well. A summary showing some of the key aspects of this project is shown below:

169. A member of our team also received glowing praise this month, from a previous complainant, for finding a resolution to an issue that was acceptable for all involved: “The road cleaning (sweep & wash) has greatly improved and we highly appreciated this joint cooperation from all of you, including the contractor. Please pass on our appreciation and thanks to all concerned!!! Thanks again to each of you that are proactively helping us to find a workable solution in a timely manner that will allow us to enjoy our retirement home, in our very small piece of paradise!”

170. Team training activities this month saw the new Environmental Monitoring Technician complete her 3-month training and the new Environmental Monitoring Officer continuing training for her new role. The Senior Environmental Monitoring Officer also delivered important warrant training to the two newer members of the team, and with Plan Change 30 in mind, Sediment and Erosion Control training is ongoing. See photo below of a site we visited to check on the sediment control measures. This is a prominent site on a relatively steep slope opposite The Crossing in Tauriko.

171. As the summer/autumn months continue, noise complaints remain high. Of the year-to-date noise complaints recorded, around 40% were residential, 20% were commercial and 14% were construction-based.

172. We have rolled-out some exciting customer-centric process improvements recently and held our first-ever consultants’ forum, where we discussed our approach to plan provisions and the effects of the imminent changes to the RMA on developers. We also shared some newly developed resources with our consultants and developers at the session.

Attachments

1. Executive Report - Appendix 1 Civic Art Collection works proposed for deaccessioning March 2022 - A13346021 ⇩

Ordinary Council meeting Agenda

11 April 2022

11.4 Greerton Maarawaewae Study Update

File Number: A13324780

Author: Carl Lucca, Programme Director: Urban Communities

Authoriser: Christine Jones, General Manager: Strategy & Growth

Purpose of the Report

1. To report the progress of the Greerton Maarawaewae Study, including outcomes of community engagement, option development and the consultants’ option assessment.

Recommendations

That the Council:

(a) Receives the Greerton Maarawaewae Study report and attachments, and notes the community feedback received on the study options.

(b) Approves further engagement to be undertaken with mana whenua and existing Tauranga Racecourse Reserve users in relation to the additional study options developed following community engagement and the option assessment.

(c) Supports Tauranga City Council participating in a cross-organisational working party to identify potential sites for a sub-regional equine racing facility, with a lead role by New Zealand Thoroughbred Racing and Tauranga Racing Club and including key stakeholders

(d) Notes that a full report and recommendations for decision making on the options study will be provided to Council in June 2022.

Executive Summary

2. The purpose of the Greerton Maarawaewae study is to identify opportunities that will support wellbeing and liveability as the city continues to grow over the short, medium and long term. The 85ha study area includes the Greerton Racecourse and Golf Course, as described in the TCC Reserves Management Plan. A map of the site is included in Attachment A.

3. The site is strategically located on the Te Papa peninsula corridor, close to the heart of the city. This central corridor is expected to see the most significant transformation in the sub-region in the next 30 years, with a high frequency public transport system and higher densities (apartments, terraced housing, and duplexes) along the corridor, especially at areas such as around the hospital and Greerton.

4. This report provides an update on the Greerton Maarawaewae Study, including outcomes of community engagement, option development and the consultants’ option assessment to date. It does not seek to provide any recommendations for decision making; a full report and recommendations for decision making on the options study will be brought before the Council Committee June 2022 (or as soon as practicable).

5. As part of the study, 10 options have been developed for assessment (refer Attachment B). These options take into account outcomes of engagement with mana whenua, existing Tauranga Racecourse Reserve users (Tauranga Racing, Tauranga Golf Course and Tauranga Equestrian Sports Association (TESA)) and the community, as well as technical analysis and the needs of the city.

6. Through the initial engagement stages, the Bay of Plenty District Health Board (DHB) identified potential for the subject site to provide for health services. In feedback provided, the DHB indicated that the site could provide for relocation of the hospital, allowing the existing hospital site to be released for development, including medium to high residential. The DHB noted that, importantly, the Maarawaewae site is central to the bulk of the present and future population of the Western Bay of Plenty subregion and development of this site would not disrupt the current operation of the existing hospital.

7. A key focus of the study was to develop an assessment process which genuinely took into account the community engagement responses for each option alongside the strategic needs of the city. Therefore, a multi criteria assessment (MCA) of the options was undertaken by the consultant team, having regard to both engagement outcomes and technical analysis. At the time of writing, the consultants’ reporting is ranking the options as follows:

Ranking	Without Costs	With Costs
1	Option 7plus: Health and Recreation	Option 7plus: Health and Recreation
2	Option 6plus: Homes and Community Park	Option 6plus: Homes and Community Park
3	Option 4: Community Spaces & Active Recreation Destination Park combined with Equestrian	Option 3plus: Central Park
4	Option 3plus: Central Park	Option 4: Community Spaces & Active Recreation Destination Park combined with Equestrian

8. The options and consultant assessment are being tabled in advance of the final reporting in June to allow time for further engagement with mana whenua and existing users, particularly around those options that are ranking higher in the process.

9. It is acknowledged that any option(s) taken forward as part of decision making in June (particularly where a change of use is proposed) will require ongoing engagement with mana whenua, existing users and other key stakeholders, as well as discussions and any subsequent statutory processes and approvals from central government agencies / Crown representatives.

10. As part of the study, engagement has also occurred with New Zealand Thoroughbred Racing (NZTR). It is understood that as part of ongoing planning for improved industry performance and future venue planning, NZTR has identified the need for only one racecourse in the Tauranga / Rotorua sub-region.

11. As outlined in the NZTR Directions Paper, for the Bay of Plenty area “NZTR has met with the Racing Rotorua and Racing Tauranga and encouraged them to work together on what the future of racing will be for the Bay of Plenty region. While acknowledging the Bay of Plenty is a population growth hub, NZTR is of the view that thoroughbred racing in the region may be best sustained in the long-term if there is only one venue for racing in the region”. Having regard to broader planning needs within the sub-region and the emerging outcomes of the Greerton Maarawaewae study, it is considered appropriate to establish a cross-organisational working party to identify potential sites for a sub-regional facility, with a lead role by New Zealand Thoroughbred Racing and including key stakeholders.

Background

12. In response to the outcomes identified through the Urban Form and Transport Initiative (UFTI), Te Papa Spatial Plan (TPSP) and decisions on the 2021-31 Long Term Plan (LTP), Tauranga City Council (TCC) made a decision to undertake the Greerton Maarawaewae Study “to engage with mana whenua, existing users, government partners, and key stakeholders to undertake an options study to explore the most appropriate and efficient use of ‘Recreation Reserve – Tauranga Racecourse’ land in the short, medium and long term”. As part of this process, it was also agreed that TCC shall lead engagement with the community to understand their aspirations for the subject site. The study commenced in October 2021.

13. The purpose of the Greerton Maarawaewae study is to identify opportunities that will support wellbeing and liveability as the city continues to grow. Within this context, the agreed scope for the study has included:

(a) Preparation of broad options for the subject site, to form the basis for engagement, assessment and recommendations on the future use of the site. Options shall range from status quo through to mixed open space / residential land use.

(b) Development and consideration of any options will include engagement with mana whenua through the process, including consideration of their aspirations for the land.

(i) provide an understanding of the subject site’s potential opportunities in the context of city growth and community wellbeing;

(ii) understand the aspirations for the site from existing and potential future users, to be incorporated into option development and recommendations for future use.

(d) Following on from previous engagement, the importance of the open space to the community was also acknowledged as a key area to further explore with the community.

(e) As part of the options study assessment, feasibility, risks, relocation requirements and delivery timeframes shall inform any recommendations.

14. The study has been led by consultants SGL and Boon, with expertise and support in the following areas:

(a) Steve Bramley (SGL): strategic leadership, leisure planning and business feasibility, capital funding and project management of community projects

(b) Glen Brebner (Boon): masterplanning, specialising in recreation and leisure facility design and project delivery

(d) Martin Udale: Residential and commercial lead

(e) Rawlinsons: costings.

15. Broader inputs including transport, open space and community facilities considerations, and comms and engagement support have been provided by TCC.

16. The study has been supported by Kāinga Ora – Homes and Communities as part of their broader partnership with Council to support quality urban development within our growing city for people and whānau to live, work, learn and play. Further input from Crown agencies will be required where a change in use is proposed as a result of the Greerton Maarawaewae Study.

Strategic / Statutory Context

17. The Greerton Racecourse Recreation Reserve was established as a reserve in 1879, providing for recreation and the current racecourse use. The Crown land has been classified as a reserve for recreation purposes and the TCC has been appointed as the administering body; the underlying ownership rests with the Crown. The reserve is officially titled ‘Recreation Reserve – Tauranga Racecourse’.

18. Through leases until 2038, the Tauranga Racecourse occupies approximately 34 hectares of land, and the Tauranga Golf Course occupies approximately 45 hectares of land. Tauranga Golf Course has an additional lease outside the Crown reserve land and adjoining Kopurererua Valley Reserve of approximately 6.7ha.

19. The site also has particular significance to mana whenua. As outlined by Ngai Tamarawaho in correspondence to the Crown, before 1864 the land was held by Ngai Tamarāwaho as the mana whenua hapu of Ngati Ranginui. In 1865 the land was confiscated from local hapu and iwi as part of the Crown raupatu of Tauranga land under the New Zealand Settlements Act (1863). Mana whenua’s connection with the whenua endured until the land was placed in a reserve in 1879.

20. As identified in the Urban Form and Transport Initiative (UFTI), this central corridor is expected to see the most significant transformation in the sub-region in the next 30 years, with a high frequency public transport system and higher densities (apartments, terraced housing, and duplexes) along the corridor, especially at areas such as around the Hospital and Greerton. UFTI recognises both the importance of existing green space to the community and the opportunity to better utilise the Greerton Racecourse Recreation Reserve in the context of broader outcomes sought for the city.

21. The Te Papa Spatial Plan further expands on the outcomes of the SmartGrowth and UFTI, taking into account feedback received during engagement and the outcomes sought for the city. A key action of the Spatial Plan includes:

Greerton future opportunities – study: Engage with existing users, community, stakeholders and mana whenua on the future use of crown-owned lands (Tauranga Racecourse and Golf Course) to support community wellbeing and growth over the long term, recognising the value of existing green space within the city. Future uses shall include ongoing provision and diversification of open space, appropriate for the nature and scale of surrounding activities, and may also include opportunities for other uses such as community amenities, comprehensively-developed housing, education and/or tourism.

22. The above plans have been endorsed by project partners including Waka Kotahi, Regional Council and key stakeholders such as Kāinga Ora.

23. TCC have estimated a need for approximately 1,225 homes per annum to be delivered (both short term and medium term) to cater for Tauranga population growth. In addition to a projected shortfall in the short to medium term generally, greenfield growth areas face significant challenges and uncertainties moving forward. The need to continue to explore options for housing as well as community amenities and green space remains imperative to responding to the housing crisis.

24. Responding to challenges relating to housing demand is also intrinsically linked to investment in the way we move around. Improvements to the local and regional movement networks are required to maintain an efficient network and also attract people to live in those areas that offer the highest level of service; areas with a higher concentration of people (whether it be employment, recreation or living areas) provide the intensity required to support higher levels of service.

25. The current study focuses on exploring options for the future use of the Racecourse Recreation Reserve that meet the future needs of the city outlined above. Importantly, diversifying the use of the Greerton Racecourse Recreation Reserve does not preclude ongoing provision of green space; rather it has the potential to make green space and other amenities more readily accessible to a wider number of users in the community.

26. As noted above, engagement has also occurred with NZTR as part of this study. It is understood that as part of ongoing planning for improved industry performance and future venue planning, NZTR has encouraged Tauranga and Rotorua Racing Clubs to work together on what the future of racing in the Bay of Plenty will be, as they have a view that Bay of Plenty Racing maybe best sustained with one venue. It is considered appropriate that the provision of a single racecourse for the sub-region be further explored by key stakeholders representing the racing industry and local and central government.

Process to Date, including Engagement

27. This section outlines the study process to date, including:

(a) Summary of technical analysis undertaken and option development

(b) Mana whenua engagement

Summary of Technical Analysis and Option Development

28. Technical analysis and option development included the following:

(a) Site assessment, including:

(i) strengths, weaknesses, opportunities and threats / challenges

(ii) existing community benefits provided by existing facilities

(iii) review of broader city community facilities needs and gaps, to inform functional brief

(iv) stormwater and other potential constraints (information to be provided by TCC)

(v) the broader open space and movement context (including ‘mapping’ how the site fits in with the wider area, e.g. connections with Kopurererua Valley and Cameron Road).

(vi) history, including treaty settlement background.

(b) Developing a high-level functional brief to inform the various options, including:

(i) identification of the key essential and desired specifications / functionalities of a racecourse facility, golf course and desired future activities by existing users

(ii) open space, housing and commercial land uses – indicative densities, open space requirements and broader outcomes

(iii) sub-regional sports facilities (active reserve provision) and community opportunities responding to city wide needs (including any relocation from other areas)

(iv) transport requirements

(v) relocation requirements for racecourse and equestrian activities

(d) Preparation of seven options initially (to inform engagement), building on the functional brief and initial engagement:

(i) option 1: status quo

(ii) option 2: enhanced community activity combined with racecourse, golf course & equestrian use

(iii) option 3: community spaces & active recreation combined with golf & equestrian

(iv) option 4: community spaces & active recreation destination park combined with equestrian

(v) option 5: golf course, new homes & potentially a new school

(vi) option 6: destination park, new homes & potentially a new school

(vii) option 7: enhanced community spaces, golf course, active recreation & potential health services

(e) Preparation of an additional three ‘plus’ options, building on engagement feedback and technical analysis:

(i) option 3plus: central park

(ii) option 6plus: homes and community park

(iii) option 7plus: health and recreation

(f) Technical analysis of options (supported by appropriate technical reporting and expertise) based on agreed assessment criteria and including:

(i) Strategic outcomes (in alignment with Te Papa Spatial Plan and UFTI), and considering broader city outcomes in relation to housing and open space need across city over short, medium and long term

(ii) Response to engagement outcomes

(iii) High level costings (likely to be cost ranges) to inform comparative analysis and feasibility.

29. The table below provides a summary of the key elements that each option includes, across all the options assessed as part of this MCA:

Option	Description	Racing	Golf	TESA
1	Existing / status quo	Yes	Yes	Yes
2	Enhanced community activity, racing/equestrian and golf course	Yes	Yes	Yes
3	Community spaces/active recreation, equestrian and golf course	No	Yes	Yes
3plus	Community spaces/active recreation and golf course	No	Yes	No
4	Destination park, community spaces/active recreation, and equestrian	No	No	Yes
5	Destination park, community spaces/active recreation, and equestrian	No	Yes	No
6	Destination park, 1,000+ new homes and potential for new school	No	No	No
6plus	Destination park, 1,000+ new homes and potential for new school	No	No	No
7	Enhanced community spaces, health precinct with golf & active recreation	No	Yes	No
7plus	Enhanced community spaces, health precinct with golf & active recreation	No	Yes	No

Mana Whenua Engagement

30. Council staff have met with representatives of mana whenua (specifically Ngai Tamarawaho) on five occasions since the inception of the study, most recently as part of a hui with TCC Commissioners.

31. Ngai Tamarawaho has advised that they support the ongoing recreation reserve status of the land and would seek to have land ownership discussions should an alternative or revised use be proposed. A formal treaty claim letter has been lodged with the Crown.

32. As outlined in their correspondence to the Crown, the Ngai Tamarawaho korero is that the return of the reserve lands and indeed all lands within its rohe used for public or community purposes was not pursued as part of its historic Treaty claim. Ngai Tamarawaho are happy for the land to continue to be used for community recreational purposes and would support use of the land for a wider range of recreational uses such as walking and biking pathways through the racecourse and golf course lands.

33. Tauranga City Council will continue to engage directly with mana whenua on these matters and acknowledge that as owners of the land, ongoing kōrero with the Crown will also be necessary if any changes to the existing use are proposed.

Engagement with Existing Users, Community and Key Stakeholders

34. A key output of the study is to provide certainty for existing users and the wider community as to the future use of the study area. In this regard, a focus of the study was investment in engagement, to bring together community views and those of existing users, to understand their needs and inform the decision-making.

35. This engagement forms one of the primary inputs for the Commissioners’ decision making. The other inputs will be direction from mana whenua, technical and geological assessments of the site and the wider context of city needs.

36. The engagement was in two phases – phase 1 in November/December 2021 and phase 2 in January/February 2022:

(a) Phase 1 – gathering ideas for possible future uses of reserve land (including status quo)

(b) Phase 2 – sharing the seven options and getting feedback (including status quo).

37. Overall, the team received around 1500 individual pieces of information/input/feedback via online forms, emails, letters, community days, social media and focus groups.

38. The overall community engagement outcomes are summarised as follows.

(a) Extremely strong support for creating a multi-purpose destination green space for the city with improved access to Kopurererua Valley.

(b) Very strong support for creating active recreational spaces and for other community amenities – including telling the cultural story of the whenua and providing a multi-cultural community centre.

(d) Some support for relocating equestrian (if a suitable location can be found).

(e) Not much support for relocating the golf course.

(f) Limited support for housing on this reserve land.

(g) Some support for a public health precinct / future hospital facility (more when the possibility of housing on the existing hospital site is factored in).

A full engagement summary is contained in Attachment C.

39. There were also ongoing meetings and discussions held throughout both phases with existing users. These were integral to understanding existing user needs and the potential for these to be considered as part of any options or potential for relocation.

40. More specially, Racing Tauranga have stated that they support options 1 and 2; they do not support options 3-7; and have stated that they would like to ensure the TCC is committed to ensuring the appropriate land and funding is available to achieve a relocation of Racing Tauranga in the Tauranga Region if indeed one of options 3-7 eventuate.

41. Tauranga Golf Course has stated that they do not support the relocation of the golf course and could work with Council on options 1, 2, 3 and 7. They have further indicated the willingness to contribute to some of the broader objectives of enhanced utilisation of the Reserve. By way of example, supporting cycle and pedestrian access ways to the Kopurererua Valley; the clubhouse being more of a community asset and open to reserve users; and realignment of golf holes to mitigate the health & safety risks of increased public activity. Tauranga Golf proposes a Memorandum of Understanding with Council as a next step recognising each other’s primary objectives.

42. TESA strongly support the retention and/or expansion of the current equestrian offering at the Tauranga Racecourse reserve location.

43. Through the initial engagement stages, the Bay of Plenty District Health Board (DHB) identified potential for the subject site to provide for health services. In feedback provided, the DHB indicated that the site could provide for relocation of the hospital, allowing the existing hospital site to be released for development, including option of medium to high residential. The DHB noted that, importantly, the Maarawaewae site is central to the bulk of the present and future population of the Western Bay of Plenty subregion and development of this site would not disrupt the current operation of the existing hospital.

Options Analysis

44. The consultant team have undertaken a multi criteria assessment (MCA) of the options having regard to the matters described above. The key challenge was to develop a process which genuinely takes into account community engagement responses for each option alongside the strategic needs of the city. Consequently, the process used a matrix approach to assess each option, considering the following matters:

(a) Needs of city and existing users (criteria that were scored horizontally):

(i) Need for a health site

(ii) Provision of green space for ‘broad’ public benefit plus active recreation and community facilities

(iii) City housing needs

(iv) Current site stakeholder requirements (i.e., Tauranga Racing, Tauranga Golf Club and TESA).

(b) Technical and engagement considerations in relation to each of the above needs (criteria that were scored vertically):

(i) Need to occur on this site (ready choice of alternate options and/or challenge of relocation)

(ii) Importance of public transport corridor and urban spatial plan on this site

(iii) Community engagement support

(iv) Overall importance to the city (with the following weightings assigned: health site 20%, green/active recreation – 25% or 30%, housing 30% or 25%, and existing stakeholders 10%).

45. Net Cost was considered (as a horizontal criteria), with a relative weighting of 15% or 20%.

46. It is noted that although the consultant team met with mana whenua representatives during the engagement and assessment process and have incorporated their feedback into the options development, this assessment process does not include the views of mana whenua. As a Treaty Partner with the Crown (the landowner) and recognising Council’s partnership relationship with mana whenua, Tauranga City Council Commissioners and staff have separately discussed the options with mana whenua representatives and their views will be considered separately as part of the overall decision making.

47. The options were considered and ranked with and without costs:

Rank	Without Costs	With Costs
1	Option 7plus: health and recreation	Option 7plus: Health and recreation
2	Option 6plus: homes and community park	Option 6plus: Homes and community park
3	Option 4: community spaces & active recreation destination park combined with equestrian	Option 3plus: central park
4	Option 3plus: Central Park	Option 4: Community Spaces & Active Recreation Destination Park combined with Equestrian

48. A full interim summary of the assessment is contained in Attachment D.

Financial Considerations

49. Financial costs and benefits have been considered as part of the assessment of options and are included in the assessment reporting – refer Attachment D.

Decision making

50. The purpose of this report is to provide a progress update on the Study. The options and consultant assessment are being tabled in advance of the final reporting in June to allow time for further engagement with mana whenua and existing users, particularly around those options that are ranking higher in the process. It is anticipated that Council will make decisions on which option(s) to take forward in June.

51. Any option(s) taken forward as part of decision making in June (particularly where a change of use is proposed) will require ongoing engagement with mana whenua, existing users and other key stakeholders, as well as discussions and any subsequent statutory processes and approvals from central government agencies / Crown representatives.

52. Subject to Crown support, any change to the reserve would require a further process to step through pursuant to the Reserves Act 1977, including engagement with mana whenua and the community.

53. It is also noted that Ngai Tamarawaho has made a Treaty Claim over the Racecourse Reserve land. It is Council’s understanding that should the reserve status of the land change from its current reserve status, Ngai Tamarawaho may pursue the Treaty Claim further.

Significance

54. 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.

55. 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 matter.

56. In accordance with the considerations above, criteria and thresholds in the policy, it is considered that the matter of the future of Greerton Racecourse Reserve is of high significance, with interest from mana whenua, existing users, key stakeholders and the local community.

ENGAGEMENT

57. Taking into consideration the above assessment, and acknowledging that community engagement has been undertaken, it is considered appropriate that:

(a) The engagement outcomes to date and further option development be made available via Council’s project website and the project community engagement contact list

(b) Council staff further engage with mana whenua and existing Tauranga Racecourse Reserve users in relation to the further options developed following community engagement.

Next Steps

58. Further engagement to be undertaken with mana whenua and existing Tauranga Racecourse Reserve users in relation to the additional study options developed following community engagement.

59. Tauranga City Council to participate in a cross-organisational working party to identify potential sites for a sub-regional equine racing facility, with a lead role by New Zealand Thoroughbred Racing and including key stakeholders

60. A full report and recommendations for decision making on the options study will be provided to Council in June 2022.

Attachments

1. Attachment A - Greerton Maarawaewae Study - Study Area Map - A13352913 ⇩

2. Attachment B - Greerton Maarawaewae Study Options Report - A13352892 (Separate Attachments 1)

3. Attachment C - Greerton Maarawaewae Study Engagement Report - A13356664 (Separate Attachments 1)

4. Attachment D - Greerton Maarawaewae Study Multi Criteria Analysis of Options - A13352043 (Separate Attachments 1)


AGENDA Ordinary Council meeting Monday, 11 April 2022
I hereby give notice that an Ordinary Meeting of Council will be held on:
Date:	Monday, 11 April 2022
Time:	10am
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

Chairperson	Commission Chair Anne Tolley
Members	Commissioner Shadrach Rolleston Commissioner Stephen Selwood Commissioner Bill Wasley
Quorum	Half of the members physically present, where the number of members (including vacancies) is even; and a majority of the members physically present, where the number of members (including vacancies) is odd.
Meeting frequency	As required

Type	Estimated Percentage	Rate	Total
Standard fee	85% (13,565 dogs)	$97.00	$1,315,805
Penalty Fee	15% (2,394 dogs)	$145.00	$ 347,130
TOTAL REVENUE	100% (15959)		$1,662,935

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