Ordinary Council Meeting Minutes

5 June 2020

MINUTES OF Far North District Council
Ordinary Council Meeting
HELD AT THE Electronically via , Microsoft Teams
ON Friday, 5 June 2020 AT 1:00 pm

PRESENT:              Mayor John Carter (HWTM), Deputy Mayor Ann Court, Cr David Clendon, Cr Dave Collard, Cr Felicity Foy, Cr Mate Radich, Cr Rachel Smith, Cr Kelly Stratford, Cr Moko Tepania, Cr John Vujcich

IN ATTENDANCE: Mike Edmonds (Kaikohe-Hokianga Community Board Chairperson)(until 3:38pm), Adele Gardner (Te Hiku Community Board Chairperson), Belinda Ward (Bay of Islands-Whangaroa Community Board)

STAFF PRESENT: Andy Finch (Acting Chief Executive/General Manager Infrastructure and Asset Management), Dean Myburgh (General Manager District Services), William J Taylor, MBE (General Manager Corporate Services), Darrell Sargent (General Manager Strategic Planning and Policy)

1            Karakia Timatanga – Opening Prayer

Councillor Foy commenced the meeting with a prayer.

2            Apologies and Declarations of Interest

There were no apologies or declarations of interest.

3            Public Excluded

RESOLUTION TO EXCLUDE THE PUBLIC

Resolution  2020/37

Moved:       Mayor John Carter

Seconded:  Cr John Vujcich

That the public be excluded from the following parts of the proceedings of this meeting.

The general subject matter of each matter to be considered while the public is excluded, the reason for passing this resolution in relation to each matter, and the specific grounds under section 48 of the Local Government Official Information and Meetings Act 1987 for the passing of this resolution are as follows:

General subject of each matter to be considered	Reason for passing this resolution in relation to each matter	Ground(s) under section 48 for the passing of this resolution
5.1 - Windsor Landing – Boat Ramp Access Development	s7(2)(i) - the withholding of the information is necessary to enable Council to carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations)	s48(1)(a)(i) - the public conduct of the relevant part of the proceedings of the meeting would be likely to result in the disclosure of information for which good reason for withholding would exist under section 6 or section 7

In Favour:       His Worship John Carter, Deputy Mayor Ann Court, David Clendon, Dave Collard, Felicity Foy, Mate Radich, Rachel Smith, Kelly Stratford, Moko Tepania and John Vujcich

Against:           Nil

Carried

At the conclusion of the public excluded discussion the meeting confirmed that the decision  regarding Windsor Landing – Boat Ramp Access Development with the amounts redacted could be public information.

That decision is repeated here for public interest.

3.1         Windsor Landing – Boat Ramp Access Development

That Council

a) approves tender Contract 3019 for the construction of the access road and parking facilities at Rangitoto/Windsor Landing for the sum of $REDACTED.

b) approves the shortfall additional funds for the Engineering/Archaeological PF, facility fencing and landscaping works for the sum of $REDACTED plus GST.

CARRIED

4            MAYORAL ANNOUNCEMENTS

 - Updated members on upcoming meetings and dates

          LGNZ AGM

          Rural Provencial

          Zone 1

- Provided an update on the drought and water storage.

5            Reports

5.1         Annual Plan Deliberations - 2020/21

Agenda item 5.1 document number A2891716, pages 12 - 16 refers.

Motion  

Moved:       His Worship the Mayor

Seconded:  Deputy Mayor Ann Court

That Council:

1.1 Amended Accounting Policies

1.1a) That Council amends its Accounting Policies to include the following:

Accounting treatment – funding depreciation

(A) All depreciation on assets will be funded from rates except for:

·    Roading/footpath assets – the subsidy element relating to the depreciation for these assets will not be funded by the relevant roading subsidy rate applicable in the relevant year.

·    Water/wastewater/public toilet assets – the depreciation for these assets will be reduced equal to any subsidy element to ensure that the benefit expected to be received by the current rate payers is applied.

·    Swimming pools – the depreciation for these assets will be reduced equal to any community contribution to ensure that the community benefits from the contributions made.

(B) Asset groups where depreciation will not be fully funded from depreciation:

·    All strategic assets, as per our Significance & Engagement Policy, will have depreciation fully-funded except for the items identified in (A).

·    Depreciation will be funded at a rate of 50% for community buildings/centres, halls and museums.

·    Depreciation will not be funded from rates for Civil Defence (alarms), carparks, maritime assets, motor camps, parks and reserves minor structures (e.g. boardwalks / park benches etc) and solid waste assets.

·    Any asset groups not covered above will have depreciation fully funded from rates (corporate assets etc.)

1.1b) That Council approves the allocation of depreciation savings to the Infrastructure Asset Condition Assessment programme for the next four rating years.

1.1c) That Council, in the fifth rating year, apply annual savings to overall operating expenditure.

1.2 Disestablish Library Overdue Fines for Children and Young Adults

1.2a) That Council removes overdue fines for children and young adults from its library schedule of fees and charges, effective 1 July 2020.

1.3 Adopt Fees & Charges

1.3a) That Council amends the attached Schedule of Fees and Charges for 2020/21 to replace current dog impound handling fees of $22.00 for up to three days, $42.50 for up to seven days and $63.00 for eight or more days with a flat fee of $10 per day.

1.3b) That Council adopts the Schedule of Fees and Charges for 2020/21.

Amendment

Moved:       Cr Kelly Stratford

Seconded:  Cr Rachel Smith

1.3a) … flat fee of $7.50 per day.

In Favour:       Crs David Clendon, Dave Collard, Felicity Foy, Mate Radich, Rachel Smith, Kelly Stratford, Moko Tepania and John Vujcich

Against:           His Worship the Mayor and Deputy Mayor Ann Court

carried

amendment

Moved:       Cr John Vujcich

Seconded:  His Worship the Mayor

That a full treatment of the Long Term Asset Funding and depreciation be work-shopped prior to Christmas 2020 so that a fully thought out and financially prudent solution can be prepared for the 2021 – 2024 LTP.

In Favour:       His Worship the Mayor, Deputy Mayor Ann Court, David Clendon, Dave Collard, Felicity Foy, Mate Radich, Rachel Smith, Kelly Stratford, Moko Tepania and John Vujcich

Against:           Nil

carried

The amendments became the substantive motion.

resolution  2020/40

Moved:       Mayor John Carter

Seconded:  Deputy Mayor Ann Court

That Council:

1.1 Amended Accounting Policies

1.1a) That Council amend its Accounting Policies to include the following:

Accounting treatment – funding depreciation

(A) All depreciation on assets will be funded from rates except for:

·   Roading/footpath assets – the subsidy element relating to the depreciation for these assets will not be funded by the relevant roading subsidy rate applicable in the relevant year.

·   Water/wastewater/public toilet assets – the depreciation for these assets will be reduced equal to any subsidy element to ensure that the benefit expected to be received by the current rate payers is applied.

·   Swimming pools – the depreciation for these assets will be reduced equal to any community contribution to ensure that the community benefits from the contributions made.

(B) Asset groups where depreciation will not be fully funded from depreciation:

·   All strategic assets, as per our Significance & Engagement Policy, will have depreciation fully-funded except for the items identified in (A).

·   Depreciation will be funded at a rate of 50% for community buildings/centres, halls and museums.

·   Depreciation will not be funded from rates for Civil Defence (alarms), carparks, maritime assets, motor camps, parks and reserves minor structures (e.g. boardwalks / park benches etc) and solid waste assets.

·   Any asset groups not covered above will have depreciation fully funded from rates (corporate assets etc.)

1.1b) That Council approve the allocation of depreciation savings to the Infrastructure Asset Condition Assessment programme for the next four rating years.

1.1c) That Council, in the fifth rating year, apply annual savings to overall operating expenditure.

1.2 Disestablish Library Overdue Fines for Children and Young Adults

1.2a) That Council remove overdue fines for children and young adults from its library schedule of fees and charges, effective 1 July 2020.

1.3 Adopt Fees & Charges

1.3a) That Council amend the attached Schedule of Fees and Charges for 2020/21 to replace current dog impound handling fees of $22.00 for up to three days, $42.50 for up to seven days and $63.00 for eight or more days with a flat fee of $7.50 per day.

1.3b) That Council adopt the Schedule of Fees and Charges for 2020/21.

And that a full treatment of the LTAF and depreciation be work-shopped prior to Christmas 2020 so that fully thought out and  financially prudent solution prepared for the 2021 – 2024 LTP.

CARRIED

RESOLUTION 2020/41

Moved:       His Worship the Mayor

Seconded:  Deputy Mayor Ann Court

2. Other Issues Raised

2.1a to 2.10a) That Council note the submissions but makes no change to the Annual Plan 2020/21 as a consequence of the submissions.

In Favour:       His Worship the Mayor, Deputy Mayor Ann Court, David Clendon, Dave Collard, Felicity Foy, Mate Radich, Rachel Smith, Kelly Stratford, Moko Tepania and John Vujcich

Against:           Nil

carried

resolution 2020/42

Moved:       His Worship the Mayor

Seconded:  Cr Felicity Foy

3. Other Items

3.1a) That Council increase the Te Hiku footpath capital programme funding for 2020/21 by $130,000 to enable the completion of the loop footpath at Te Ahu/Te Hiku sports hub.

3.2a) That Council reduce forecast operational income from i-SITE commission to $123,056 for the 2020/21 financial year.

In Favour:       His Worship the Mayor, Deputy Mayor Ann Court, Dave Collard, Felicity Foy, Rachel Smith, Kelly Stratford, Moko Tepania and John Vujcich

Against:           Cr Mate Radich

Abstained:       Cr David Clendon

carried

resolution 2020/43

Moved:       His Worship the Mayor John Carter

Seconded:  Cr Moko Tepania

4. Minimising the rates increase for 2020/21

4.1a) That Council allocate $300,000.00 in the Annual Plan 2020/21 to an Economic Recovery and Support Fund to use at its discretion to stimulate and support the local economy following the impacts of the COVID-19 lockdown.

4.1b) That Council delegates the authority for allocating this fund to His Worship the Mayor, Deputy Mayor, Chief Executive Officer and General Manager – Strategic Planning and Policy.

4.2a) That Council

i) reduces funded depreciation for strategic assets by 24% for the 2020/21 financial year;

ii) that this decision applies for the 2020/21 financial year only; and

iii) acknowledges that this decision is an inconsistent decision under section 80 of the Local Government Act 2002.

4.2b) approves that the unfunded depreciation on strategic assets for 2020/21 be recovered over the first five years of the 2021/31 Long term Plan”.

In Favour:       His Worship the Mayor, Dave Collard, Felicity Foy, Moko Tepania and John Vujcich

Against:           Deputy Mayor Ann Court, David Clendon, Mate Radich, Rachel Smith and Kelly Stratford

The Mayor used his casting vote to carry the motion.

carried

resolution 2020/44

Moved:       Cr Felicity Foy

Seconded:  Deputy Mayor Ann Court

That Council agree to funding reviews for the civic buildings (halls) for our district, being the Turner Centre - Kerikeri, Te Ahu – Kaitaia, before the end of December 2020.

In Favour:       His Worship the Mayor, Deputy Mayor Ann Court, Dave Collard, Felicity Foy, Mate Radich, Kelly Stratford, Moko Tepania and John Vujcich

Against:           Crs David Clendon and Rachel Smith

carried

resolution 2020/45

Moved:       Cr Felicity Foy

Seconded:  His Worship the Mayor

That Council agree that the Doubtless Bay Information Centre be granted $10,000 for the 2020/21 financial year, and that the 17A Review of i-sites and Service Centres be completed prior to the Long Term Plan 2020/2021.

In Favour:       His Worship the Mayor John Carter, Dave Collard, Felicity Foy, Mate Radich and Moko Tepania

Against:           Deputy Mayor Ann Court, David Clendon, Rachel Smith, Kelly Stratford and John Vujcich

The Mayor used his casting vote.

carried

Note: Cr Mate Radich left the meeting at 3.44 pm. Cr Mate Radich returned to the meeting at 3:46 pm.

At 3:48 pm, Cr Mate Radich left the meeting.

6            Karakia Whakamutunga – Closing Prayer

Cr Tepania closed the meeting with a payer.

7            Meeting Close

The meeting closed at 3.52 pm.

The minutes of this meeting were confirmed at the Ordinary Council meeting held on 25 June 2020.

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CHAIRPERSON