MINUTES OF A MEETING OF THE *COMBINED COMMITTEES HELD ON WEDNESDAY, 8 MARCH 2006 AT 9.35 AM

1. APOLOGIES

   That the apology for lateness from Councillor Boyle be accepted.

   CARRIED

2. CONFIRMATION OF MINUTES

   That the minutes of the *Combined Committees meeting held on Thursday, 23 June 2005 be confirmed as a true and correct record.

   CARRIED

3. EXTRAORDINARY BUSINESS

   There was no extraordinary business.

4. CHIEF EXECUTIVE'S OVERVIEW OF THE DRAFT LONG-TERM COUNCIL COMMUNITY PLAN 2006-2016

   The chief executive provided a presentation to the committees that gave an overview of the key issues contained within the draft Long-term council community plan 2006-2016.

   [ATTACHMENT 4.1A]

   That it be a recommendation to council:

   That council notes:

   1. The strategic opportunities and challenges facing Auckland and that council has already approved a long-term vision to address these.
   2. The range of levers council is using to address the funding opportunities and challenges for council to be able to progress the long-term vision.
   3. The options contained within the draft Long-term council community plan 2006-2016 (LTCCP), noting:

   1. option (a) is the base option with operating expenditure of $4.6 billion and a capital programme of $2.8 billion over the next ten years; and
   2. options (b) to (e) provide packages of further projects that will fast track progress towards achieving the long-term vision.

   CARRIED

   4.2. STRATEGIC OVERVIEW

   That it be a recommendation to council:

   1. That council notes the role of the long-term vision adopted at the Annual Plan Direction Setting meeting on 15 December 2005, as the strategic framework for the Long-term council community plan 2006-2016.
   2. That council adopt the approach taken to describe council's contribution to the long-term vision and community outcomes in the draft Long-term council community plan 2006-2016.
   3. That council approves the reviewed strategic milestones for each function area that are contained in the function text in Volume 2 of the draft Long-term council community plan 2006-2016.

   CARRIED

   4. That the wording under big city baseline for the Pyramid for Auckland be amended to read:

   Auckland is sustainably managed to provide:

   • Protected unique ecology, quality natural and built environment and protected heritage throughout the city (balance of bullets remain same)

   A division was called for, voting on which was as follows:

   For the Motion:	Against the Motion:
   Cr Neil Abel Cr Leila Boyle Cr Dr Cathy Casey Cr Christine Caughey Cr Glenda Fryer Cr Dr John Hinchcliff Deputy Mayor Dr Bruce Hucker Cr Richard Northey Cr Penny Sefuiva Cr Richard Simpson Cr Faye Storer His Worship the Mayor Cr Vern Walsh	Cr Doug Armstrong Cr Bill Christian Cr Linda Leighton Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Noelene Raffills

   The motion was declared CARRIED by 13 votes to 7.

5. BASELINE BUDGET 2006/2007

   The general manager finance provided a presentation outlining the key issues within the baseline operating budgets for 2006/2007 and draft Long-term council community plan 2006-2016.

   [ATTACHMENT 5.1A]

   The Chairman moved:

   That it be a recommendation to council:

   That council accept the financial statements and budgets for operating expenditure, capital expenditure, revenue and rates as set out in the draft Long-term council community plan 2006-2016, subject to the following changes:

   1. Harbour Festival (ongoing annually) $  223,000
   2. Tourism and Events Funding Programme (1 year) $ 100,000
   3. Christmas Events (ongoing) $ 31,000
   4. Community amenities - parks service levels (ongoing) $ 188,000
   5. Auckland City Environments Fee increases $(1,061,000)
   6. Monitoring & Enforcement (ongoing) $ 200,000
   7. Heritage Week (ongoing) $ 125,000

   NET TOTAL $ (243,000)

   Note: The Chairman moved this item for discussion then parked it until the end of the meeting to enable all the changes made during this meeting to be reflected under the substantive motion.

   The meeting adjourned at 10:58am and reconvened at 11:13am.

   The Chairman put the following substantive motion:

   That it be a recommendation to council:

   That council accept the financial statements and budgets for operating expenditure, capital expenditure, revenue and rates as set out in the draft Long-term council community plan 2006-2016, subject to the following changes:

   1. Harbour Festival (ongoing annually) $  223,000
   2. Tourism and Events Funding Programme (1 year) $  100,000
   3. Christmas Events (ongoing) $ 31,000
   4. Community amenities - parks service levels (ongoing) $  188,000
   5. RAW drama programme (ongoing) $ 18,000
   6. Free local events increase (ongoing) $ 30,000
   7. Auckland City Environments Fees $(1,061,000)
   8. Monitoring & Enforcement (ongoing) $ 200,000
   9. Heritage Week (ongoing) $  125,000
   10. Project Beacon (3 year funding) $ 200,000
   11. Rate of inflation increase from 3.1% to 3.2% $ (297,000)

   NET TOTAL $ (243,000)

   CARRIED

   5.2. EFFICIENCY AND EFFECTIVENESS

   The Chairman moved:

   That it be a recommendation to council:

   That council notes:

   1. That efficiency gains were made in the first half of the 2005/2006 year and that initiatives are underway to identify and capture the additional savings required to mitigate increasing costs.
   2. That full year efficiency gain results for the 2005/2006 year will be reported to the Finance and Corporate Business Committee in August 2006.
   3. That early planning for 'rolling reviews' of the business is underway, and that these reviews will assist the organisation to be more strategic and to identify efficiency and effectiveness improvements in the future.
   4. That further work will be required to:

   1. scope each stage of the reviews in more detail
   2. develop a timeline and critical path for the project
   3. define the project structure including roles, relationships and responsibilities
   4. develop a project brief.

   5. That progress on review planning will be reported to relevant council committees in due course.

   Councillor Armstrong moved the following amendment:

   That the chief executive attempt as a target to make operational expenditure savings of $10 million per annum through a variety of initiatives with no reduction in services and progressively report to council on progress.

   A division was called for, voting on which was as follows:

   For the Amendment:	Against the Amendment:
   Cr Doug Armstrong Cr Bill Christian Cr Linda Leighton Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Noelene Raffills Cr Faye Storer	Cr Neil Abel Cr Leila Boyle Cr Dr Cathy Casey Cr Christine Caughey Cr Glenda Fryer Cr Dr John Hinchcliff Deputy Mayor Dr Bruce Hucker Cr Richard Northey Cr Penny Sefuiva Cr Richard Simpson His Worship the Mayor Cr Vern Walsh

   The amendment was declared LOST by 12 votes to 8.

   The Chairman put the following substantive motion:

   That it be a recommendation to council:

   That council notes:

   1. That efficiency gains were made in the first half of the 2005/2006 year and that initiatives are underway to identify and capture the additional savings required to mitigate increasing costs.
   2. That full year efficiency gain results for the 2005/2006 year will be reported to the Finance and Corporate Business Committee in August 2006.
   3. That early planning for 'rolling reviews' of the business is underway, and that these reviews will assist the organisation to be more strategic and to identify efficiency and effectiveness improvements in the future.
   4. That further work will be required to:

   1. scope each stage of the reviews in more detail
   2. develop a timeline and critical path for the project
   3. define the project structure including roles, relationships and responsibilities
   4. develop a project brief.

   5. That progress on review planning will be reported to relevant council committees in due course.

   CARRIED

6. CBD (CENTRAL BUSINESS DISTRICT) - STRATEGY - CAPITAL AND OPERATING FUNDING 2006-2007

   That it be a recommendation to council:

   1. That the three-year new initiatives programme is approved for funding from the Central Business District (CBD) targeted rate.
   2. That the three-year capital expenditure programme is approved for implementation, noting the additional costs for the Queen Street project are not yet '.
   3. That extending the CBD targeted rate for a further two years at the year ten level be included as part of the Long-term council community plan 2006-2016.
   4. That the consultation, communication processes and their costs be reviewed after one year to ensure value for money and whether the targeted rate is the appropriate funding source.

   CARRIED

   6.2. FUNCTION TEXT FOR LTCCP (LONG TERM COUNCIL COMMUNITY PLAN 2006-2016)

   The Chairman moved:

   That it be a recommendation to council:

   1. That the function text for Art, Community and Recreation be approved for inclusion in the draft Long-term council community plan 2006-2016, noting that the final document will be forwarded to council for adoption at their meeting scheduled for 23 March 2006, subject to the following amendments:

   1. Harbour Festival (ongoing annual funding) $223,000
   2. Tourism and Events Funding Programme (1 year) $100,000
   3. Christmas Events (retain in budgets) $ 31,000
   4. Community amenities (retain in budgets) $188,000

   2. That the General Manager Finance and Chairman, Finance and Corporate Business Committee be authorised to make amendments to reflect decisions made at this meeting and corrections prior to the final draft being adopted by council on 23 March 2006.
      Councillor Leighton moved the following amendment:
   3. That council note that the targeted rate collected for affordable housing has not been spent, therefore the funding for 2006/2007 will not be required and the targeted rate should not be collected for the next financial year.
      Councillor Sefuiva moved the following procedural motion:

   That the amendment under debate be put.

   CARRIED

   A division was called for on the amendment, voting on which was as follows:

   For the Amendment:	Against the Amendment:
   Cr Doug Armstrong Cr Bill Christian Cr Linda Leighton Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Noelene Raffills	Cr Neil Abel Cr Leila Boyle Cr Dr Cathy Casey Cr Christine Caughey Cr Glenda Fryer Cr Dr John Hinchcliff Deputy Mayor Dr Bruce Hucker Cr Richard Northey Cr Penny Sefuiva Cr Richard Simpson Cr Faye Storer His Worship the Mayor Cr Vern Walsh

   The amendment was declared LOST by 13 votes to 7.

   Councillor Armstrong moved the following amendment:

   4. That the Pacific Peoples Participation Project not be proceeded with and accordingly the funding be removed from the targeted rate for an enhanced role in community development, along with any references removed from the Long-term council community plan.

   A division was called for, voting on which was as follows:

   For the Amendment:	Against the Amendment:
   Cr Doug Armstrong Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Noelene Raffills Cr Faye Storer	Cr Neil Abel Cr Leila Boyle Cr Dr Cathy Casey Cr Christine Caughey Cr Bill Christian Cr Glenda Fryer Cr Dr John Hinchcliff Deputy Mayor Dr Bruce Hucker Cr Linda Leighton Cr Richard Northey Cr Penny Sefuiva Cr Richard Simpson His Worship the Mayor Cr Vern Walsh

   The amendment was declared LOST by 14 votes to 6.

   Councillor Casey moved the following amendments:

   5. RAW drama programme (ongoing funding) $ 18,000

   A division was called for, voting on which was as follows:

   For the Amendment:	Against the Amendment:
   Cr Neil Abel Cr Leila Boyle Cr Dr Cathy Casey Cr Christine Caughey Cr Glenda Fryer Cr Dr John Hinchcliff Deputy Mayor Dr Bruce Hucker Cr Richard Northey Cr Noelene Raffills Cr Penny Sefuiva Cr Richard Simpson His Worship the Mayor Cr Vern Walsh	Cr Doug Armstrong Cr Bill Christian Cr Linda Leighton Cr Scott Milne Cr Graeme Mulholland Cr Faye Storer

   Cr Toni Millar was absent.

   The amendment was declared CARRIED by 13 votes to 6.

   The amendment became part of the substantive motion.

   6. Free local events increase (ongoing funding) $ 30,000

   Councillor Raffills moved the following procedural motion:

   That the amendment under debate be put.

   The above motion was put by a show of hands and declared CARRIED by 11 votes to 8.

   A division was called for on the amendment, voting on which was as follows:

   For the Amendment:	Against the Amendment:
   Cr Neil Abel Cr Leila Boyle Cr Dr Cathy Casey Cr Christine Caughey Cr Glenda Fryer Cr Dr John Hinchcliff Deputy Mayor Dr Bruce Hucker Cr Richard Northey Cr Richard Simpson Cr Faye Storer His Worship the Mayor	Cr Doug Armstrong Cr Bill Christian Cr Linda Leighton Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Noelene Raffills Cr Penny Sefuiva Cr Vern Walsh

   The amendment was declared CARRIED by 11 votes to 9.

   The amendment became part of the substantive motion.

   The Chairman put the following substantive motion:

   That it be a recommendation to council:

   1. That the function text for Art, Community and Recreation be approved for inclusion in the draft Long-term council community plan 2006-2016, noting that the final document will be forwarded to council for adoption at their meeting scheduled for 23 March 2006, subject to the following amendments:

   1. Harbour Festival (ongoing annual funding) $  223,000
   2. Tourism and Events Funding Programme (1 year) $  100,000
   3. Christmas Events (retain in budgets) $  31,000
   4. Community amenities (retain in budgets) $ 188,000
   5. RAW drama programme (ongoing funding)$  18,000
   6. Free local events increase (ongoing funding) $ 30,000

   2. That the General Manager Finance and Chairman, Finance and Corporate Business Committee be authorised to make amendments to reflect decisions made at this meeting and corrections prior to the final draft being adopted by council on 23 March 2006.

   CARRIED

7. AUCKLAND CITY ENVIRONMENTS - FEES AND CHARGES

   That it be a recommendation to council:

   1. That in order to achieve full cost recovery and ensure service levels are maintained and improved, and subject to the special consultative process:

   1. environmental health fees be increased by 10 percent,
   2. Land Information Memoranda fees be increased by 5 percent
   3. applications for variations and extensions to subdivision consents be increased in line with those for land use consents
   4. building consent and inspection fees be adjusted in accordance with the schedule set out in Appendix One of the report from the Manager, Auckland City Environments dated 10 February 2006

   with all increases to be effective from 1 July 2006.

   A division was called for, voting on which was as follows:

   For the Motion:	Against the Motion:
   Cr Neil Abel Cr Leila Boyle Cr Dr Cathy Casey Cr Christine Caughey Cr Glenda Fryer Cr Dr John Hinchcliff Deputy Mayor Dr Bruce Hucker Cr Richard Northey Cr Penny Sefuiva Cr Richard Simpson His Worship the Mayor Cr Vern Walsh	Cr Doug Armstrong Cr Bill Christian Cr Linda Leighton Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Noelene Raffills Cr Faye Storer

   The motion was declared CARRIED by 12 votes to 8.

   2. That council notes the increase in compliance costs and the need to keep these to a minimum to ensure Auckland's competitiveness as aglobal city.

   CARRIED

   The meeting adjourned at 1:05pm and reconvened at 1:23pm.

   7.2. LESSONS FOR AUCKLAND

   That it be a recommendation to council:

   1. That the 2006/2007 Annual plan and budget make provision for investigations, including the development of cost estimates, with regard to the following initiatives:

   1. the general manager city development report on developing and promoting an integrated programme of activities aimed at positioning Auckland City Council as an exemplar in the development and deployment of initiatives that minimise the impact of its operations on the natural environment
   2. the general manager city development report on the establishment of a programme of sustainable buildings with the aim of reducing the impact on the natural environment of buildings and their operation
   3. the general manager transport report upon the implications of the establishment of a "community walking" programme in Auckland
   4. the general manager city development report on options for reducing the extent of advertising billboards erected in Auckland City.

   2. That the investigations outlined in A(i) to (iv) be carried out within existing budget provisions proposed for 2006/2007.
   3. That should the investigations result with a decision to proceed with any or all of the above initiatives, council will consider appropriate funding at that time.

   CARRIED

   7.3. EVENTS AND TOURISM PROMOTION FUNDING

   That it be a recommendation to council:

   1. That council support the proposed process for taking the events and tourism promotion funding work forward, involving strategic work around "mega" events and tourism and includes continuing to work on funding options.
   2. That council approve the proposed budget increase of $100,000 within the status quo for further investigation into tourism and events funding options.
   3. That the research parameters be reported to the Economic Development and Sustainable Business Committee.

   CARRIED

   7.4. MAINSTREET DRAFT BUDGETS

   That it be a recommendation to council:

   1. That the following draft Mainstreet budgets be approved for consultation as part of the draft Long-term council community plan 2006-2016:

   Mainstreet	2006/2007
   Programme	Budgets
   	(excl GST)
   Avondale	$88,000.00
   Blockhouse Bay	$33,275.00
   Eden Valley	$67,500.00
   Ellerslie	$67,850.00
   Glen Innes	$128,840.80
   Heart of the City	$2,603,910.00
   Karangahape Road	$225,500.00
   Mt Eden	$63,525.00
   Newmarket	$785,000.00
   Onehunga	$324,000.00
   Otahuhu	$330,000.00
   Panmure	$275,000.00
   Parnell	$243,650.00
   Ponsonby	$200,000.00
   Remuera	$177,000.00
   Rosebank	$150,000.00
   St Heliers	$99,000.00
   Total	$5,862,050.80

   2. That the boundaries of all Mainstreet programmes remain the same as those for the 2005/2006 financial year.

   CARRIED

   7.5. PROJECTS FUNDED FROM FINANCIAL CONTRIBUTIONS

   That it be a recommendation to council:

   That council endorse the financial contributions projects and order of priority as recommended by Arts, Culture & Recreation Committee on 1 February 2005 for consultation as part of the Long-term council community plan 2006-2016, as follows:

   Project Number	Project Title	Project Description	2006/2007 Budget
   AVONDALE
   Financial Contributions
   522/721008	Blockhouse Bay Rec Res #4 field lights	Install sportsfield training lights to improve capacity	150,000
   522/722008	Blockhse Bay mainstreet - Armanesco Res	Detailed design for reserve redevelopment including footpaths, seating, planting and entries to library and Armanesco House	50,000
   522/732010	Tony Segedin Reserve Upgrade	Detailed design for reserve upgrade including access, drainage, lighting, revegetation	50,000
   522/731019	Riversdale Res #7 field training lights	Install sportsfield training lights to improve capacity	15,000
   Land Acquisition
   	Open Space Acquisition - Avondale		1,300,000
   EASTERN BAYS
   Financial Contributions
   352/722009	Churchill Park car park add costs	Additional costs to construct carpark due to Environment Court appeal	50,000
   352/722003	Churchill Park development	Detailed design and consents to implement concept plan	80,000
   352/731004	Ngahue Res dvlpmt incl sportsfields	Creation of two new sportsfields, including earthworks and associated infrastructure	650,000
   Development Contributions
   522/821002	The Landing design and consents	Design and consents associated with development of The Landing	80,000
   352/723003 and 522/823002	St Heliers Beach Reserve upgrade	Detailed design for the redevelopment of the foreshore in line with the beach resanding project to incorporate upgraded pedestrian amenities, seating and beach access.	1,100,000
   EDEN-ALBERT
   Financial Contributions
   352/731005	Owairaka Ave Park development	Develop community amenity in new reserve as per approved concept plan	145,000
   Development Contributions
   522/831025	Warren Freer Park #1 field lights	Install sportsfield training lights	20,000
   522/731003	Owairaka Ave Park development	Earthworks, walkways and landscaping to develop community and recreation activities as per approved concept plan	725,000
   GREAT BARRIER
   Financial Contributions - Land Acquisition
   	Open Space Acquisition - Great Barrier Island		450,000

    

   HOBSON
   Residential
   Financial Contributions
   352/713003	Ak Museum surrounds & Cenotaph dvlpmt DD	Detailed design for the improved facilities to the north of the Auckland War Memorial Museum per concept design plan		80,000
   522/713001	Akl Domain lights stg4 GrdstandRd&Cent Wlkwy	Continue lighting Stage 4 per the lighting audit recommendations		130,000
   522/733006	Hobson Walkway, Pt Resolution to Awatea	Develop walkway from Pt Resolution to Awatea		300,000
   522/732017	Glenside Reserve South	Consent & implementation of landscaping, planting, furniture & access improvements for new reserve		250,000
   522/732005	Heard Park redevelopment	Redevelopment to create a vibrant multi-functional urban park in Parnell		640,000
   522/733022 and 522/733007	Orakei Basin walkway development	Construction of a walkway to complete encircling Orakei Basin in line with developed plans		550,000
   Development Contributions
   522/811002	Auckland Domain sandcarpet #8	Detailed design for sportsfield sandcarpets		45,000
   Land Acquisition
   	Open Space Acquisition - Hobson		2,000,000
   Newmarket
   Development Contributions
   522/450099	Newmarket streetscape upgrade	Upgrade of the footpaths in Newmarket mainstreet		701,830

    

   MAUNGAKIEKIE
   Financial Contributions
   522/750131	Ellerslie Memory Corner add funding	Additional funding for Memory Corner development	95,000
   352/722004	Onehunga Bay Reserve upgrade	Detailed design and consents for improvements to Onehunga Bay Reserve, including access, circulation, planting, structures, & furniture.	50,000
   Development Contributions
   522/821048	Waikaraka Pk redvlpmt stg 4 train lights	Sportsfield training lights installation	200,000
   Land Acquisition
   	Open Space Acquisition - Maungakiekie		600,000
   ROSKILL
   Financial Contributions
   522/733015	Underwood Pk & Walmsley Pk imprvmts	Reserve upgrade including landscaping, planting, pathway connections to surrounding streets	440,000
   522/721049	War Memorial Pk-Roskill sand #5 field	Install sportsfield sandcarpet	240,000
   352/722005	Monte Cecilia Park master plan	Master plan development costs	20,000
   352/722006	Monte Cecilia development	Add to and improve facilities of this reserve that increase it's profile and attract citywide use	200,000
   Development Contributions
   522/822005	Monte Cecilia design and consents	Stage 1: Design & consents for Monte Cecilia development	80,000
   Land Acquisition
   	Open Space Acquisition - Roskill		800,000

    

   TAMAKI
   Financial Contributions
   522/732008	Talbot Res developmt stg 2	Provide community amenity in reconfigured reserve	400,000
   522/721032	Mt Wellington War Mem Res sand #1 field	Sandcarpet upgrade and training light installation	175,000
   522/731021	Seaside Park sandcarpet #5 field	Install sandcarpet no. 5 field	175,000
   522/731027	Bert Henham Pk #2 field training lights	Install sportsfield training lights	20,000
   522/721039	Sturges Park #1 field training lights	Install sportsfield training lights	20,000
   522/732024	Maybury-Taniwha Upgrade	Detailed design and consents to improve facilities of this reserve to attract use from the wider district	40,000
   522/731001	Bert Henham Park sandcarpet #2 field	Install sandcarpet	160,000
   352/733003	Waipuna Headland Development	Develop coastal reserve (stage 1) including walkways, look out points, landscaping, planting, signage	100,000
   Development Contributions
   522/831006	Pt England Reserve carpark stg 2	Stage 2 development of reserve carpark	375,000
   522/850143	Panmure town centre upgrade AUL P1	Stage 2 town centre upgrade including community centre carpark and footpaths, furniture, planting and lighting in eastern Queens Road.	1,600,000
   Land Acquisition
   	Open Space Acquisition - Tamaki		240,000
   WAIHEKE
   Financial contributions
   Land Acquisition
   	Open Space Acquisition - Waiheke Island		500,000
   WESTERN BAYS
   Financial Contributions
   522/732006	Raymond Reserve redevelopment	Stage 2 implementation of concept plan - detailed design, consents, improvements to upper level of the park (planting, carpark, pathway, signage)	250,000
   522/733011	Bella Vista Reserve upgrade add costs	This project is to cover the additional funding required to develop Bella Vista Reserve as per the concept plan (adopted in 2002).	105,000
   522/733013	Wairangi Reserve upgrade additional cost	This project is to cover the additional funding required to develop Wairangi Wharf Reserve as per the concept plan (adopted 2002) & approved 2005.	32,000
   522/733012	Cremone Reserve upgrade additional costs	This project is to cover the additional funding required to develop Cremorne Reserve as per the concept plan (adopted in 2002).	90,000
   522/733008	Herne Bay Reserve upgrade additnal cost	This project is to cover the additional funding required to develop Herne Bay Reserve as per the concept plan (adopted in 2002).	110,000
   522/733010	Home Bay reserve upgrade additional cost	This project is to cover the additional funding required to develop Home Bay Reserve as per the concept plan (adopted in 2002).	40,000
   522/733009	Marine Parade Reserve upgrade add cost	This project is to cover the additional funding required to develop Marine Parade Reserve as per the concept plan (adopted in 2002).	75,000
   522/721038	Seddon Fields training lights 3&4 fields	Sportsfields training lights	175,000
   522/721054	Western Springs playing field drainage	Detailed design for playing field drainage	60,000
   Land Acquisition
   	Open Space Acquisition - Western Bays		1,600,000

   2. That the Committee endorse the order of priority for the pending citywide financial contribution projects as follows:

   Project No.	Project title	Estimated Cost	Ranking
   352/450055	Open Space Acquisition - Citywide	4,000,000	1
   352/450055	Open Space Acquisition - Hillsborough	3,500,000	2
   352/450013	Hillsborough Premier Park  Development (Stage 1)	1,350,000	3
   	Onetangi Sportspark	400,000	4
   352/450056	Grafton Gully Mountain Bike Trail	300,000	5

   CARRIED

   7.6. FUNCTION TEXT FOR LTCCP (LONG TERM COUNCIL COMMUNITY PLAN 2006-2016)

   The Chairman moved:

   That it be a recommendation to council:

   1. That the function text for City Development be approved for inclusion in the draft Long-term council community plan 2006-2016, noting that the final document will be forwarded to council for adoption at their meeting scheduled for 23 March 2006, subject to the following amendments:

   1. Auckland City Environments fee increases $(1,061,000)
   2. Monitoring & Enforcement (ongoing increase) $200,000
   3. Heritage Week (ongoing increase) $125,000

   2. That the General Manager Finance and Chairman, Finance and Corporate Business Committee be authorised to make amendments to reflect decisions made at this meeting and corrections prior to the final draft being adopted by council on 23 March 2006.
   3. That council adopt a two stage approach to working with Beacon as follows:

   1. Stage 1 (2006/2007) - that council works collaboratively with Beacon on projects such as those that develop incentives to encourage green building
   2. Stage 2 (2007/2008) - that following building on Auckland's collaboration in the Beacon project and following the results of Waitakere City Council's three yearly review of their involvement in Beacon in mid 2007, council considers becoming a shareholder at $200,000 per annum for a period of three years ($600,000 total).

   Councillor Millar moved the following amendment:

   1. iii. That Heritage Week budgets be reduced to $75,000 and the $50,000 saving be added to the $188,000 already proposed for community amenity budgets to restore service levels in parks, i.e. the community amenity budget increased to $238,000.

   A division was called for, voting on which was as follows:

   For the Amendment:	Against the Amendment:
   Cr Doug Armstrong Cr Linda Leighton Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Noelene Raffills	Cr Neil Abel Cr Leila Boyle Cr Dr Cathy Casey Cr Christine Caughey Cr Bill Christian Cr Glenda Fryer Cr Dr John Hinchcliff Deputy Mayor Dr Bruce Hucker Cr Penny Sefuiva Cr Richard Simpson Cr Faye Storer His Worship the Mayor Cr Vern Walsh

   Cr Richard Northey was absent.

   The amendment was declared LOST by 13 votes to 6.

   Councillor Caughey moved the following amendment:

   3. That the sum of $200,000 per annum for 3 years, be included in the budget to enable Auckland City to play a leadership role in developing and implementing principles of sustainable development in our rapidly growing city.
   4. That the budget includes provision for commitment by Auckland City to enter negotiations with Beacon Pathway Ltd to achieve shareholder status in order to progress its activity in the field of sustainable development in this city.

   The meeting adjourned at 2:02pm and reconvened at 2:04pm.

   A division was called for, voting on which was as follows:

   For the Amendment:	Against the Amendment:
   Cr Neil Abel Cr Leila Boyle Cr Dr Cathy Casey Cr Christine Caughey Cr Glenda Fryer Cr Dr John Hinchcliff Deputy Mayor Dr Bruce Hucker Cr Richard Northey Cr Penny Sefuiva Cr Richard Simpson Cr Faye Storer His Worship the Mayor	Cr Doug Armstrong Cr Linda Leighton Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Noelene Raffills Cr Vern Walsh

   Cr Bill Christian was absent.

   The amendment was declared CARRIED by 12 votes to 7.

   The amendment became part of the substantive motion.

   Councillor Raffills moved the following amendment:

   1. iv. That $100,000 be added to the City Planning budgets to enable the investigation and reporting of:

   1. the effect on property values when a heritage designation or significant environmental area (SEA) designation is placed on a property
   2. a range of compensation vehicles to alleviate the affect on property owners; and
   3. communication policies which ensure that property owners are notified and able to have their say before an order is put on their property.

   A division was called for, voting on which was as follows:

   For the Amendment:	Against the Amendment:
   Cr Doug Armstrong Cr Linda Leighton Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Noelene Raffills	Cr Neil Abel Cr Leila Boyle Cr Dr Cathy Casey Cr Christine Caughey Cr Bill Christian Cr Glenda Fryer Cr Dr John Hinchcliff Deputy Mayor Dr Bruce Hucker Cr Richard Northey Cr Richard Simpson Cr Faye Storer His Worship the Mayor Cr Vern Walsh

   Cr Penny Sefuiva was absent. The amendment was declared LOST by 13 votes to 6.

   The Chairman put the following substantive motion:

   That it be a recommendation to council:

   1. That the function text for City Development be approved for inclusion in the draft Long-term council community plan 2006-2016, noting that the final document will be forwarded to council for adoption at their meeting scheduled for 23 March 2006, subject to the following amendments:

   1. Auckland City Environments fee increases $(1,061,000)
   2. Monitoring & Enforcement (ongoing increase) $200,000
   3. Heritage Week (ongoing increase) $125,000
   4. Project Beacon (3 year funding) $200,000

   2. That the General Manager Finance and Chairman, Finance and Corporate Business Committee be authorised to make amendments to reflect decisions made at this meeting and corrections prior to the final draft being adopted by council on 23 March 2006.

   CARRIED

   3. That the sum of $200,000 per annum for 3 years, be included in the budget to enable Auckland City to play a leadership role in developing and implementing principles of sustainable development in our rapidly growing city.
   4. That the budget includes provision for commitment by Auckland City to enter negotiations with Beacon Pathway Ltd to achieve shareholder status in order to progress its activity in the field of sustainable development in this city.

   Resolutions C & D above were put by a show of hands and declared CARRIED by 11 votes to 8.

8. FUNCTION TEXT FOR LTCCP (LONG TERM COUNCIL COMMUNITY PLAN 2006-2016)

   That it be a recommendation to council:

   1. That the function text for Civic Leadership be approved for inclusion in the draft Long-term council community plan 2006-2016, noting that the final document will be forwarded to council for adoption at their meeting scheduled for 23 March 2006 subject to the following amendment:

   1. Page 205 the word "Direst" changed to "Direct".

   2. That the General Manager Finance and Chairman, Finance and Corporate Business Committee be authorised to make amendments to reflect decisions made at this meeting and corrections prior to the final draft being adopted by council on 23 March 2006.

   CARRIED

9. FUNCTION TEXT FOR LTCCP (LONG-TERM COUNCIL COMMUNITY PLAN 2006-2016)

   The Chairman moved:

   That it be a recommendation to council:

   1. That the function text for Transport be approved for inclusion in the draft Long-term council community plan 2006-2016, noting that the final document will be forwarded to council for adoption at their meeting scheduled for 23 March 2006, subject to the following amendment:

   1. Correction to page 222 measures on safety in carparks "not more" should read "not less".

   2. That the General Manager Finance and Chairman, Finance and Corporate Business Committee be authorised to make amendments to reflect decisions made at this meeting and corrections prior to the final draft being adopted by council on 23 March 2006.

   Councillor Northey moved the following amendment:

   1. That the function text for Transport be approved for inclusion in the draft Long-term council community plan 2006-2016, noting that the final document will be forwarded to council for adoption at their meeting scheduled for 23 March 2006, subject to the following amendment:

   1. That the capital expenditure on citywide footpath renewals be increased by $500,000 from $11,700,000 to $12,200,000 (ongoing increase).

   The amendment was put by a show of hands and declared LOST by 11 votes to 8.

   Councillor Casey moved the following amendment:

   That the words "and tolling" be removed from Strategic Milestone 2 for Transport.

   A division was called for, voting on which was as follows:

   For the Amendment:	Against the Amendment:
   Cr Neil Abel Cr Leila Boyle Cr Dr Cathy Casey Cr Bill Christian Cr Glenda Fryer Cr Dr John Hinchcliff	Cr Doug Armstrong Cr Christine Caughey Deputy Mayor Dr Bruce Hucker Cr Linda Leighton Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Richard Northey Cr Noelene Raffills Cr Penny Sefuiva Cr Richard Simpson Cr Faye Storer His Worship the Mayor Cr Vern Walsh

   The amendment was declared LOST by 14 votes to 6.

   The Chairman put the following substantive motion:

   That it be a recommendation to council:

   1. That the function text for Transport be approved for inclusion in the draft Long-term council community plan 2006-2016, noting that the final document will be forwarded to council for adoption at their meeting scheduled for 23 March 2006, subject to the following amendment:

   1. Correction to page 222 measures on safety in carparks "not more" should read "not less".

   2. That the General Manager Finance and Chairman, Finance and Corporate Business Committee be authorised to make amendments to reflect decisions made at this meeting and corrections prior to the final draft being adopted by council on 23 March 2006.

   CARRIED

   The Chairman moved:

   That items 11.1 to 13.4 be taken at this point.

   CARRIED

10. RATES ISSUES

    The Chairman moved:

    That it be a recommendation to council:

    1. That council notes:

    1. the higher property values provided by the 2005 citywide revaluation will not increase rate revenue but will redistribute rates between ratepayers;
    2. growth in the rating base over 2005/2006 (from new properties and improvements to existing properties) will increase the rates revenue in 2006/2007;
    3. the $95 uniform annual general charge (UAGC) in the general rate will be retained for 2006/2007, as resolved at the Annual Plan Direction Setting (APDS) meeting in November 2005;
    4. the next step of the general rate differential strategy will be applied in 2006/2007, as resolved at the APDS meeting in November 2005;
    5. the Central Business District (CBD) targeted rate for the CBD non-residential group will be increased to match the group's reduction in the general rate, which results from implementing the next step in the long-term differential strategy for the general rate.  The targeted rate will be assessed on annual value and will generate revenue of $6.1 million (GST exclusive) for 2006/2007.  The proposed rate in the dollar is presented in the funding impact statement in a separate report in this agenda;
    6. officers prepared a report on refuse management issues for the 2 March 2006 Works and Services Committee meeting; which outlined the issues that could occur as a result of increasing the refuse collection targeted rate;
    7. Auckland City's discount rate for early payment of rates for 2006/2007 be set at 2.15%; this will be applied to 2006/2007 rates paid in full by the first rate instalment date; and
    8. the due dates for Auckland City's rate instalments in 2006/2007 will be brought forward by one month and rate instalments be moved to a four instalment pattern from 2006/2007 (that is, to 20 August, 20 November, 20 February and 20 May), as resolved at the Annual Plan Direction Setting meeting in November 2005.

    2. That council confirms:

    1. the Central Business District (CBD) targeted rate to apply to CBD residential ratepayers will continue to be applied as a fixed charge of $52 (including GST) per residential unit for 2006/2007;
    2. the five rate remission and postponement policies for 2005/2006 (remission of rate penalties; remission of rates on car parks; remission of rates on Rural 3 properties; remission of rates in miscellaneous circumstances; and postponement of rates payments) are unchanged and will apply again for 2006/2007; and
    3. officers will investigate options for the extended rates rebate scheme for 2006/2007 and report back to Finance and Corporate Business Committee before the June 2006 Combined Committees meeting.

    3. That council adopts:

    1. the general rate for 2006/2007 increase by 3.2% to meet Auckland City's budget requirements, and to reflect the expected rate of inflation for 2006/2007 (inflation for 2006/2007 is currently forecast at 3.2%);
    2. the four targeted rates for transport, open spaces and volcanic cones; community development and housing; and heritage and urban design, be increased by 3.2% for 2006/2007 to reflect the expected rate of inflation, (currently estimated at 3.2% for 2006/2007);
    3. funding for the four alternative city development options in its draft Long-term council community plan 2006-2016 (LTCCP) or any other option which would require an increase in rate revenue, will come from:

    1. the council increasing the coverage and the level of the targeted rates for refuse collection, transport, open spaces and volcanic cones; community development and housing; and heritage and urban design, to cover most of the additional project costs; this would require redefining the targeted rates in some instances, and including the amended targeted rates in the draft LTCCP for consultation
    2. introducing a new city development targeted rate, to fund projects and initiatives not covered by the targeted rates for refuse collection, transport, open spaces and volcanic cones; community development and housing; and heritage and urban design
    3. if a further alternative option is developed from the consultation process, funding will be provided from appropriate targeted rates.

    4.  the citywide targeted rate for refuse collection be increased to $161 per service for 2006/2007 to cover the increases for the waste minimisation initiatives and the additional cost increases identified for 2004/2005, 2005/2006 and 2006/2007; including:

    1. Auckland City continuing with a series of City Scene articles informing ratepayers and residents of the value of the refuse services they receive from the refuse targeted rate
    2. Auckland City initiating discussions with opted out large-scale residential blocks with the aim of requiring all residential blocks to use Auckland City's comprehensive refuse services from 2007/2008
    3. The targeted rate policy exemption list being amended to stop further residential blocks from opting out of Auckland City's comprehensive refuse service for 2006/2007, to save large residential blocks, that may be contemplating opting out of Auckland City's refuse service, from unnecessary changes in the provision of refuse services.

    5. the rating policy statements will be included in the draft funding impact statement for consultation in the draft LTCCP;
    6. the policy statements for the discount for early payment of rates, remission of rate penalties, remission of rates on car parks, remission of rates on Rural 3 properties, remission of rates in miscellaneous circumstances, and postponement of rates payments be included in the draft LTCCP;
    7. the policy on rate remission and postponement for Maori freehold land.

    Councillor Northey moved the following amendments:

    1. iii. the $95 uniform annual general charge (UAGC) in the general rate will be retained but reduced by $30, the amount of increase for the refuse targeted rate for 2006/2007.

    A division was called for, voting on which was as follows:

    For the Amendment:	Against the Amendment:
    Cr Neil Abel Cr Leila Boyle Cr Dr Cathy Casey Cr Glenda Fryer Cr Richard Northey	Cr Doug Armstrong Cr Christine Caughey Cr Bill Christian Cr Dr John Hinchcliff Deputy Mayor Dr Bruce Hucker Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Noelene Raffills Cr Penny Sefuiva Cr Richard Simpson Cr Faye Storer His Worship the Mayor Cr Vern Walsh

    Cr Linda Leighton was absent.

    The amendment was declared LOST by 14 votes to 5.

    1. iv. the next step of the general rate differential strategy will be deferred until 2007/2008, with increased further equal steps in subsequent financial years, to achieve the 1.80 differential by the planned end date.

    A division was called for, voting on which was as follows:

    For the Amendment:	Against the Amendment:
    Cr Neil Abel Cr Leila Boyle Cr Glenda Fryer Cr Richard Northey	Cr Doug Armstrong Cr Dr Cathy Casey Cr Christine Caughey Cr Bill Christian Cr Dr John Hinchcliff Deputy Mayor Dr Bruce Hucker Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Noelene Raffills Cr Penny Sefuiva Cr Richard Simpson Cr Faye Storer His Worship the Mayor Cr Vern Walsh

    Cr Linda Leighton was absent.

    The amendment was declared LOST by 15 votes to 4.

    Councillor Abel moved the following amendment:

    3. iv. the citywide targeted rate for refuse collection be increased to $138 per service for 2006/2007.

    A division was called for, voting on which was as follows:

    For the Amendment:	Against the Amendment:
    Cr Neil Abel Cr Leila Boyle Cr Glenda Fryer Cr Richard Northey	Cr Doug Armstrong Cr Dr Cathy Casey Cr Christine Caughey Cr Bill Christian Cr Dr John Hinchcliff Deputy Mayor Dr Bruce Hucker Cr Linda Leighton Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Noelene Raffills Cr Penny Sefuiva Cr Richard Simpson Cr Faye Storer His Worship the Mayor Cr Vern Walsh

    The amendment was declared LOST by 16 votes to 4.

    Councillor Milne moved the following amendments:

    3. i. That the 3.2% inflation rate increase for general rate activities be collected by way of increasing the uniform annual general charge to $157.
    3. ii. That the 3.2% inflation rate increase for targeted rate activities be collected by way of increasing the uniform annual general charge (impact of $4).

    A division was called for, voting on which was as follows:

    For the Amendment:	Against the Amendment:
    Cr Doug Armstrong Cr Christine Caughey Cr Linda Leighton Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Noelene Raffills Cr Richard Simpson	Cr Neil Abel Cr Leila Boyle Cr Dr Cathy Casey Cr Bill Christian Cr Glenda Fryer Cr Dr John Hinchcliff Deputy Mayor Dr Bruce Hucker Cr Richard Northey Cr Penny Sefuiva Cr Faye Storer His Worship the Mayor Cr Vern Walsh

    The amendment was declared LOST by 12 votes to 8.

    The Chairman adjourned the meeting at 11:00am and reconvened at 11:01am.

    Councillor Armstrong moved the following amendments:

    1. i. add the following words to the recommendation - noting that owners of higher valued residential properties pay on average $2,561 which is disproportionate to those in lower value properties that pay $720 (refer table 2.3 page 271 E) for the same range of council services.

    A division was called for, voting on which was as follows:

    For the Amendment:	Against the Amendment:
    Cr Doug Armstrong Cr Christine Caughey Cr Linda Leighton Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Noelene Raffills Cr Richard Simpson	Cr Neil Abel Cr Leila Boyle Cr Dr Cathy Casey Cr Bill Christian Cr Glenda Fryer Cr Dr John Hinchcliff Deputy Mayor Dr Bruce Hucker Cr Richard Northey Cr Penny Sefuiva Cr Faye Storer His Worship the Mayor Cr Vern Walsh

    The amendment was declared LOST by 12 votes to 8.

    9. That council note that the vast majority (75%) of properties are rated on the basis of this capital value rather than rental value and that capital value is often unrelated to the earning value of the property and therefore the ability of the owner to pay. Accordingly the chief executive prepare a report to council detailing the implications of moving rating solely to a rental value basis.

    A division was called for, voting on which was as follows:

    For the Amendment:	Against the Amendment:
    Cr Doug Armstrong Cr Christine Caughey Cr Dr John Hinchcliff Cr Linda Leighton Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Noelene Raffills Cr Richard Simpson Cr Faye Storer	Cr Neil Abel Cr Leila Boyle Cr Dr Cathy Casey Cr Bill Christian Cr Glenda Fryer Deputy Mayor Dr Bruce Hucker Cr Richard Northey Cr Penny Sefuiva His Worship the Mayor Cr Vern Walsh

    Voting in the division was TIED with 10 votes for and against. The Chairman exercised his casting vote against the amendment. The amendment was declared LOST by 11 votes to 10.

    3. iii. That (a) (b) and (c) be deleted and funding be sourced for alternative options through productivity gains.

    A division was called for, voting on which was as follows:

    For the Amendment:	Against the Amendment:
    Cr Doug Armstrong Cr Linda Leighton Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Noelene Raffills	Cr Neil Abel Cr Leila Boyle Cr Dr Cathy Casey Cr Christine Caughey Cr Bill Christian Cr Glenda Fryer Cr Dr John Hinchcliff Deputy Mayor Dr Bruce Hucker Cr Richard Northey Cr Penny Sefuiva Cr Richard Simpson Cr Faye Storer His Worship the Mayor Cr Vern Walsh

    The amendment was declared LOST by 14 votes to 6.

    Councillor Fryer moved the following amendment:

    1. iii. That council reduce the Uniform Annual General Charge (UAGC) to $45 from 1 July 2006.

    A division was called for, voting on which was as follows:

    For the Amendment:	Against the Amendment:
    Cr Neil Abel Cr Leila Boyle Cr Glenda Fryer Cr Richard Northey	Cr Doug Armstrong Cr Dr Cathy Casey Cr Christine Caughey Cr Bill Christian Cr Dr John Hinchcliff Deputy Mayor Dr Bruce Hucker Cr Linda Leighton Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Noelene Raffills Cr Penny Sefuiva Cr Richard Simpson Cr Faye Storer His Worship the Mayor Cr Vern Walsh

    The amendment was declared LOST by 16 votes to 4.

    The Chairman put the following substantive motion:

    That it be a recommendation to council:

    1. That council notes:

    1. the higher property values provided by the 2005 citywide revaluation will not increase rate revenue but will redistribute rates between ratepayers
    2. growth in the rating base over 2005/2006 (from new properties and improvements to existing properties) will increase the rates revenue in 2006/2007
    3. the $95 uniform annual general charge (UAGC) in the general rate will be retained for 2006/2007, as resolved at the Annual Plan Direction Setting (APDS) meeting in November 2005
    4. (the next step of the general rate differential strategy will be applied in 2006/2007, as resolved at the APDS meeting in November 2005
    5. the Central Business District (CBD) targeted rate for the CBD non-residential group will be increased to match the group's reduction in the general rate, which results from implementing the next step in the long-term differential strategy for the general rate. The targeted rate will be assessed on annual value and will generate revenue of $6.1 million (GST exclusive) for 2006/2007. The proposed rate in the dollar is presented in the funding impact statement in a separate report in this agenda
    6. officers prepared a report on refuse management issues for the 2 March 2006 Works and Services Committee meeting; which outlined the issues that could occur as a result of increasing the refuse collection targeted rate
    7. Auckland City's discount rate for early payment of rates for 2006/2007 be set at 2.15%; this will be applied to 2006/2007 rates paid in full by the first rate instalment date; and
    8. the due dates for Auckland City's rate instalments in 2006/2007 will be brought forward by one month and rate instalments be moved to a four instalment pattern from 2006/2007 (that is, to 20 August, 20 November, 20 February and 20 May), as resolved at the Annual Plan Direction Setting meeting in November 2005.

    2. That council confirms:

    1. the Central Business District (CBD) targeted rate to apply to CBD residential ratepayers will continue to be applied as a fixed charge of $52 (including GST) per residential unit for 2006/2007
    2. the five rate remission and postponement policies for 2005/2006 (remission of rate penalties; remission of rates on car parks; remission of rates on Rural 3 properties; remission of rates in miscellaneous circumstances; and postponement of rates payments) are unchanged and will apply again for 2006/2007; and
    3. officers will investigate options for the extended rates rebate scheme for 2006/2007 and report back to Finance and Corporate Business Committee before the June 2006 Combined Committees meeting.

    3. That council adopts:

    1. the general rate for 2006/2007 increase by 3.2% to meet Auckland City's budget requirements, and to reflect the expected rate of inflation for 2006/2007 (inflation for 2006/2007 is currently forecast at 3.2%)
    2. the four targeted rates for transport, open spaces and volcanic cones; community development and housing; and heritage and urban design, be increased by 3.2% for 2006/2007 to reflect the expected rate of inflation, (currently estimated at 3.2% for 2006/2007)
    3. funding for the four alternative city development options in its draft Long-term council community plan or any other option which would require an increase in rate revenue, will come from:

    1. the council increasing the coverage and the level of the targeted rates for refuse collection, transport, open spaces and volcanic cones; community development and housing; and heritage and urban design, to cover most of the additional project costs; this would require redefining the targeted rates in some instances, and including the amended targeted rates in the draft Long-term council community plan 2006-2016 (LTCCP) for consultation
    2. introducing a new city development targeted rate, to fund projects and initiatives not covered by the targeted rates for refuse collection, transport, open spaces and volcanic cones; community development and housing; and heritage and urban design
    3. if a further alternative option is developed from the consultation process, funding will be provided from appropriate targeted rates

    4. the citywide targeted rate for refuse collection be increased to $161 per service for 2006/2007 to cover the increases for the waste minimisation initiatives and the additional cost increases identified for 2004/2005, 2005/2006 and 2006/2007; including:

    1. Auckland City continuing with a series of City Scene articles informing ratepayers and residents of the value of the refuse services they receive from the refuse targeted rate
    2. Auckland City initiating discussions with opted out large-scale residential blocks with the aim of requiring all residential blocks to use Auckland City's comprehensive refuse services from 2007/2008
    3. The targeted rate policy exemption list being amended to stop further residential blocks from opting out of Auckland City's comprehensive refuse service for 2006/2007, to save large residential blocks, that may be contemplating opting out of Auckland City's refuse service, from unnecessary changes in the provision of refuse services

    5. the rating policy statements will be included in the draft funding impact statement for consultation in the draft Long-term council community plan 2006-2016 (LTCCP)
    6. the policy statements for the discount for early payment of rates, remission of rate penalties, remission of rates on car parks, remission of rates on Rural 3 properties, remission of rates in miscellaneous circumstances, and postponement of rates payments be included in the draft LTCCP
    7. the policy on rate remission and postponement for Maori freehold land.

11. DEVELOPMENT CONTRIBUTIONS POLICY, DRAFT FOR CONSULTATION

    That it be a recommendation to council:

    1. That the proposed draft development contributions policy (covering community amenities, open space, stormwater and transport), be included in the draft Long-term council community plan 2006-2016 for consultation and to allow adoption of the new policy (with any changes arising from the hearings process) for it to be in place for 1 July 2006.
    2. That the Chairman, Finance and Corporate Business Committee and the General Manager Finance be delegated authority to make amendments to the draft policy arising from this meeting, including consequential amendments needed as a result of other decisions, or arising out of further review of the draft policy by council's legal advisers.
    3. That a draft development contributions policy for the central business district (CBD), particularly covering parks, be compiled and consulted on, with the aim of implementation as early as practicable during the 2006/2007 financial year.

    CARRIED

12. DRAFT "OPTION FOR ACHIEVING THE LONG-TERM VISION" SECTION FOR 2006-2016 LTCCP"

    The Chairman moved:

    That it be a recommendation to council:

    That council adopt the draft "Options for achieving the long-term vision" text for consultation as part of the draft Long-term council community plan 2006-2016.

    Councillor Abel moved the following amendment:

    That the options reflect the charitable payments from Metrowater of $5 million per annum in the first six years with pricing held to CPI.

    Councillor Armstrong moved the following procedural motion:

    That the amendment under debate be put.

    CARRIED

    A division was called for on the amendment, voting on which was as follows:

    For the Amendment:	Against the Amendment:
    Cr Neil Abel Cr Leila Boyle Cr Glenda Fryer Cr Richard Northey	Cr Doug Armstrong Cr Dr Cathy Casey Cr Christine Caughey Cr Bill Christian Cr Dr John Hinchcliff Deputy Mayor Dr Bruce Hucker Cr Linda Leighton Cr Toni Millar Cr Scott Milne Cr Graeme Mulholland Cr Noelene Raffills Cr Penny Sefuiva Cr Richard Simpson Cr Faye Storer His Worship the Mayor Cr Vern Walsh

    The amendment was declared LOST by 16 votes to 4.

    The Chairman put the following substantive motion:

    That it be a recommendation to council:

    That council adopt the draft "Options for achieving the long-term vision" text for consultation as part of the draft Long-term council community plan 2006-2016.

    CARRIED

    12.2. DRAFT LONG-TERM COUNCIL COMMUNITY PLAN 2006 - VOLUME 1

    That it be a recommendation to council:

    1. That the text for Volume 1 (Our Vision and Strategy) of the draft Long-term council community plan 2006-2016 be approved, noting that the final document will be forwarded to council for adoption at their meeting scheduled for 23 March 2006.
    2. That the General Manager Finance and Chairman, Finance and Corporate Business Committee be authorised to make amendments to reflect decisions made at this meeting and corrections prior to the final draft being adopted by council on 23 March 2006.

    CARRIED

    The meeting was adjourned at 3:57pm and reconvened on Thursday, 9 March 2006 at 9.34am.

    THURSDAY, 9 MARCH 2006 COMMENCING AT 9:34am

    PRESENT:	Councillor:	Vern	Walsh, JP	[Chairman]
    	His Worship the Mayor	Dick	Hubbard, ONZM
    	Councillors	Neil	Abel
    		Douglas	Armstrong	[from 9:39am item 13.3]
    		Leila	Boyle
    		Dr Cathy	Casey
    		Christine	Caughey
    		Bill	Christian, JP
    		Glenda	Fryer	[from 9.37am item 13.1, until 10:58am item 10.1; from 11:02am item 10.1]
    		Dr John	Hinchcliff, CNZM
    	Deputy Mayor	Dr Bruce	Hucker, QSO
    		Linda	Leighton	[until 10:24am item 10.1; from 10:55am part item 10.1]
    		Toni	Millar, JP
    		Scott	Milne, JP
    		Graeme	Mulholland, JP
    		Richard	Northey, ONZM
    		Noelene	Rafills	[from 9:45am item 14.1]
    		Penny	Sefuiva	[from 9:45am item 14.1]
    		Richard	Simpson	[from 9:39am item 13.3]
    		Faye	Storer	[from 9:40am item 13.3]

13. POLICY ON SIGNIFICANCE

    The Chairman moved:

    That it be a recommendation to council:

    1. That council note the proposed changes to the policy on significance including:

    1. the altered threshold for outputs
    2. the updated list of strategic assets
    3. the new footnote attached to the strategic assets list that covers the consultation requirements arising from the voluntary liquidation of Auckland Regional Transport Network Ltd (ARTNL) that will form part of ARTNL's reorganisation
    4. the removal of attachment one containing relevant provisions of the Local Government Act 2002 which are considered to be unessential.

    2. That council notes that minor changes have been made to the policy to update its contents.
    3. That council approve the attached draft policy on significance for consultation as part of the draft Long-term council community plan 2006-2016.
    4. That the General Manager Finance and Chairman, Finance and Corporate Business Committee be delegated authority to approve any changes to the policy that result because of subsequent sub-editing after the Combined Committees meeting, prior to the final draft being adopted by council on 23 March 2006.

    Councillor Casey moved the following amendment:

    That the historical collection of the library be included as a strategic asset.

    CARRIED

    The Chairman put the following substantive motion:

    That it be a recommendation to council:

    1. That council note the proposed changes to the policy on significance including:

    1. the altered threshold for outputs
    2. the updated list of strategic assets
    3. the new footnote attached to the strategic assets list that covers the consultation requirements arising from the voluntary liquidation of Auckland Regional Transport Network Ltd (ARTNL) that will form part of ARTNL's reorganisation
    4. the removal of attachment one containing relevant provisions of the Local Government Act 2002 which are considered to be unessential.

    2. That council notes that minor changes have been made to the policy to update its contents.
    3. That council approve the attached draft policy on significance for consultation as part of the draft Long-term council community plan 2006-2016, subject to the following amendment:

    1. That the historical collection of the library be included as a strategic asset.

    4. That the General Manager Finance and Chairman, Finance and Corporate Business Committee be delegated authority to approve any changes to the policy that result because of subsequent sub-editing after the Combined Committees meeting, prior to the final draft being adopted by council on 23 March 2006.

    CARRIED

    13.2. POLICY ON PARTNERSHIPS WITH THE PRIVATE SECTOR

    That it be a recommendation to council:

    1. That council note the proposed minor changes to the policy on partnerships with the private sector, namely, the removal of relevant provisions of the Local Government Act that are referred to and explained within the policy.
    2. That council note that other minor changes have been made to the policy to update its contents.
    3. That council approve the attached draft policy on partnerships with the private sector for consultation as part of the draft Long-term council community plan 2006-2016.
    4. That the General Manager Finance and Chairman, Finance and Corporate Business Committee be delegated authority to approve any changes to the policy that result because of subsequent sub-editing after the Combined Committees meeting, prior to the final draft being adopted by council on 23 March 2006.

    CARRIED

    13.3. DRAFT REVENUE AND FINANCING POLICY FOR 2006-2016 LTCCP (LONG-TERM COUNCIL COMMUNITY PLAN 2006-2016)

    That it be a recommendation to council:

    1. That council approve the draft revenue and financing policy text for consultation as part of the draft Long-term council community plan 2006-2016.
    2. That the General Manager Finance and Chairman, Finance and Corporate Business Committee be delegated authority to approve any changes to the policy that result because of subsequent sub-editing after the Combined Committees meeting, prior to the final draft being adopted by council on 23 March 2006.

    CARRIED

    13.4. TREASURY MANAGEMENT POLICY REVIEW FOR 2006-2016 LTCCP (LONG-TERM COUNCIL COMMUNITY PLAN 2006-2016)

    That it be a recommendation to council:

    1. That council approves renaming the existing Corporate Treasury Management Policies to "Treasury Management Policies" ("TMP"), reclassifying the existing Detailed Treasury Management Policies as the "Treasury Operating Manual", and delegating authority to the Treasury Management Steering Group to approve future amendments to the Treasury Operating Manual, providing they are consistent with other council policies.
    2. That council approves the proposed changes to the "Treasury Management Policies" (TMP) as summarised below, and shown as marked-up amendments to the TMP in Attachment 2 of the report by the Funds management analyst and Financial strategy manager, Treasury dated 25 January 2006, namely:

    1. removal of all cross references to the disestablished detailed TMP
    2. restructuring and re-ordering of content to align specifically with Sections 104 and 105 of Local Government Act (LGA) 2002
    3. removal of policy relating to legislative requirements preceding LGA 2002
    4. reflection of guiding revenue and financing policy principles also to be included in the next Long-term council community plan 2006-2016 (LTCCP), in particular the introduction of the sustainable debt policy
    5. amending liquidity guidelines to allow the Treasury Management Steering Group to approve up to $100 million of debt to be raised or refinanced on any particular day, compared with the current policy limit of $50 million
    6. removal of the liquidity guideline requirement that council maintains a $26 million working capital buffer
    7. amending the modified duration ranges for borrowings
    8. allowing net floating rate borrowings to exceed 20 per cent of the total debt portfolio to respond to particular interest rate conditions if approved by the Treasury Management Steering Group
    9. amending the authorised credit rating agencies for credit exposure management to allow the ratings of other internationally recognised rating agencies (eg Moody's and Fitch) to be used in addition to Standard & Poor's
    10. allowing council to purchase equity investments in certain special low risk circumstances outside of perpetual or externally managed investment portfolios.

    3. That council approve the Treasury Management Policies (Attachment 2 of the report from the Financial Strategy Manager dated 25 January 2006) for consultation as part of the draft Long-term council community plan 2006-2016.
    4. That the General Manager Finance and Chairman, Finance and Corporate Business Committee be delegated authority to approve any changes to the policy that result because of subsequent sub-editing after the Combined Committees meeting, prior to the final draft being adopted by council on 23 March 2006.

    CARRIED

    The Chairman moved:

    That Item 14.1 be taken at this point.

    CARRIED

    13.5. WATER AND SANITARY SERVICES ASSESSMENT STAGE 2

    That it be a recommendation to council:

    1. That scenario 4b for stormwater services, involving the provision of increased public infrastructure investment based in an increased development contributions from $3.1 million per annum to an estimated $10.1 million per annum be endorsed for inclusion in the Long-term council community plan (LTCCP).
    2. That scenario 3.5 for wastewater service, involving the provision of increased public infrastructure investment to reduce the impacts of wet weather wastewater overflows, be endorsed for the Long-term council community plan (LTCCP).
    3. That the final outcomes of the water and sanitary services assessment consultation be used as the basis of drainage network consent application to the Auckland Regional Council.
    4. That Watercare Services Ltd be requested to complete a regional wastewater strategy to determine future treatment plant requirements and service area, interceptor routes and sizes and wet weather overflow mitigation options, together with consents by June 2012.

    CARRIED

    The Chairman moved:

    That Item 10.1 be taken at this point.

    CARRIED

    13.6. EXCLUSION OF THE PUBLIC : LOCAL GOVERNMENT OFFICIAL INFORMATION AND MEETINGS ACT 1987

    That the public be excluded from the following part(s) of the proceedings of this meeting.

    The general subject 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(1) of the Local Government Official Information and Meetings Act 1987 for the passing of this resolution are as follows:

    Item No.	General subject of each matter to be considered	Reason for passing this resolution in relation to each matter	Ground(s) under section 48(1) for the passing of this resolution
    C1.	Water and Sanitary Services Assessment Stage 2	Good Reason to withhold exists under section 7	Section 48(1)(a)

    This resolution is made in reliance on Section 48(1)(a) of the Local Government Official Information and Meetings Act 1987 and the particular interest or interests protected by section 6 or section 7 of that Act which would be prejudiced by the holding of the whole or relevant part of the proceedings of the meeting in public are as follows:

    Item No.	Reason to withhold information under section 7
    C1.	To enable the Council to carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations).	[Section 7(2)(i)]

14. AUCKLAND INTERNATIONAL AIRPORT LIMITED (AIAL) HOLDING COMPANY - DRAFT STATEMENT OF PROPOSAL

    That it be a recommendation to council:

    That the statement of proposal relating to the proposal to establish a holding company and transfer Auckland City's 12.8 per cent shareholding in Auckland International Airport Ltd (AIAL) to that holding company, be approved for consultation as part of the draft Long-term council community plan 2006-2016, subject to the following amendment to the description of the proposal:

    1. "Last line, 2nd paragraph on page 567 of the agenda to read - The formation of a holding company would not in itself preclude Auckland City from selling its AIAL shares for a strategic investment. Auckland City has no current proposal to sell this strategic asset."

    CARRIED

    Councillor Christian requested his vote against the above motion be recorded.

    14.2. ACE (AUCKLAND CITY ENVIRONMENTS) FEES AND CHARGES - DRAFT STATEMENT OF PROPOSAL

    That it be a recommendation to council:

    That the council approves the schedule of fees and charges under the Building Act 2004, Resource Management Act 1991 and Local Government Act 2002 as a statement of proposal for consultation as part of the draft Long-term council community plan 2006-2016.

    CARRIED

    Councillors Armstrong, Christian, Mulholland and Storer requested their votes against the above motion be recorded.

15. DRAFT LTCCP 2006-2016 (LONG-TERM COUNCIL COMMUNITY PLAN) - VOLUME 2 OUR BUSINESS IN DEPTH - NON FUNCTIONAL TEXT

    That it be a recommendation to council:

    1. That the non-functional text for Volume 2 (Our business in depth) of the draft Long-term council community plan 2006-2016 be approved, noting that the final document will be forwarded to council for adoption at their meeting scheduled for 23 March 2006.
    2. That the General Manager Finance and Chairman, Finance and Corporate Business Committee be authorised to make amendments to reflect decisions made at this meeting and corrections prior to the final draft being adopted by council on 23 March 2006.

    CARRIED

    The meeting adjourned at 10:02am and reconvened at 10:03am.

    15.2. DRAFT LTCCP (LONG-TERM COUNCIL COMMUNITY PLAN 2006-2016) VOLUME 3 - POLICIES AND STATEMENTS

    That it be a recommendation to council:

    1. That the text for Volume 3 (Policies and statements) of the draft Long-term council community plan 2006-2016 be approved, noting that the final document will be forwarded to council for adoption at their meeting scheduled for 23 March 2006.
    2. That the General Manager Finance and Chairman, Finance and Corporate Business Committee be authorised to make amendments to reflect decisions made at this meeting and corrections prior to the final draft being adopted by council on 23 March 2006.

    CARRIED

    The Chairman moved:

    That item 13.5 be taken at this point.

    CARRIED

    There being no further business the Chairman declared the meeting closed at 11:40 am.