LIANZA CHILDREN’S BOOK AWARDS In July 2014, the LIANZA Children’s Book Awards proved popular with South Taranaki children thanks to the generous sponsorship of Hell Pizza nationally. Libraries were inundated with children wanting to read their way to earning free pizza. Children received a pizza segment for each book they read and once they had enough segments to make a whole pizza they could get their free pizza from the Hell Pizza Caravan. The Caravan visited Opunake, Hawera and Patea libraries and a bus was put on for Waverley children to visit the Caravan in Patea. Over 130 children across the District took part in this event. GRAPHIC NOVELS – NOT JUST FOR KIDS After feedback from members of the public, the graphic novel collection for adults received a significant boost. All the titles have been rehoused in Hawera LibraryPlus on purpose-built bright green mobile shelving for increased visibility. AOTEA UTANGANUI – MUSEUM OF SOUTH TARANAKI Eltham and Beyond: Showcasing Eltham and its Land Use was an exhibition to showcase the various land uses and pioneering discoveries which occurred in the South Taranaki township of Eltham. This exhibition follows on from Port-able: a history of South Taranaki Ports which featured Opunake and Patea. The public response to these exhibitions has been positive, with people from around the District visiting the Museum to see their area showcased. WEAVING WAVERLEY The Arts Co-ordinator facilitated Weaving Waverley over two weekends in March 2015 as part of the annual Whanganui Artists Open Studios. Featuring seven South Taranaki weavers, the event included an exhibition of many weaving styles and techniques at the Waverley Community Centre. Three hands-on workshops were held and an education programme was facilitated by three tutors to local school students. Measure/Target
Achieved/Not Achieved
At least 8 art activities facilitated per annum.
Achieved 8 activities were facilitated.
85% or more of customers satisfied with LibraryPlus facilities and customer service. Number of visits to LibraryPlus facilities are greater than 350,000.
Achieved NRB survey - 97% satisfaction.
75% or more of customers satisfied with the tidiness and level of maintenance at Cemeteries.
Achieved NRB Survey - 95% satisfaction.
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Not Achieved Total vistors were 283,947 Note: this does not include online visits which averages 60,000+ per annum.
PUBLIC TOILET IMPROVEMENTS – PATEA, ELTHAM, HAWERA A mural project led by local volunteer Mareta Masters-Grubner saw the Patea Toilets receive a colourful revamp. The Eltham Arty Loo Project was completed and opened in February 2015. The Council undertook the structural upgrade of this project with the Eltham Community Development Group raising funds for the art and iron work. The artwork was completed by local artists specifically for the project with each piece a reference to Eltham. Hawera’s Albion Street (Water Tower) toilets also got a major makeover. The interior was gutted and had new plumbing and floors installed and tiling on the floors and walls. The exterior was also painted to give a fresh new look to the historic toilets. New skylights in the roof also add natural lighting to the interior. PARKS AND PLAYGROUNDS A new $90,000 playground was installed at the Patea Domain. Designed to suit a range of ages from toddlers to young adults and located beside the swimming pool, the playground has proven to be a family favourite. A messy gully at the entrance to the Scott Street Walkway in Hawera was transformed due to a joint venture between Tawhiti School and the Council. Almost 250 native trees and shrubs, chosen to reflect the names of their classrooms, were planted on the site by the students with the help of the Council Parks Team. GULLEY PARK FURNITURE, WAVERLEY New plantings, relocated seat bases and paving stone lawn edges installed by the Parks Team over the past 18 months, transformed the previously outgrown pocket park into a perfect setting for concrete furniture created by Waverley artist, Jimi Walsh. This was the last project funded from the Waverley Urban Upgrade Fund. TSB HUB TSB Hub had another strong year with 166,546 visitors using the facility. The majority of these figures were made up by sports events but also included a number of conferences, seminars and meetings. HAWERA AQUATIC CENTRE With 92,265 visitors, this has been the third busiest year since the upgrade completed in July 2009. The Aqua School had 1,573 enrolments which is the second best year since 2009. Replacement of the high-bay lighting units in the indoor pool hall using new LED technology has reduced energy consumption (-37%) and future maintenance costs for these components.
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RURAL POOLS 46,745 visitors made for the second busiest season at rural pools in the past decade. The change room entrances at Waverley Pool were re-plastered and painted, finishing the change room upgrade work carried out over the prior two seasons. At Manaia Pool the corrugated iron fence between the playground and pool entrance on Tauranga-a-Ika Street was repainted as was the high concrete fence bordering South Road and Tauranga-a-Ika Street. Solar panels were installed into Patea Pool’s main pool water system prior to the season. PATHWAYS FOR PEOPLE PROJECT This new project was set up with a goal of establishing a network of walkways and cycleways (“pathways”) to be enjoyed by families and recreational users across the district. The project team collated details on existing walkways and cycleways, along with planned extensions and possible new sites, resulting in the approval by the Council of a three year programme and related budget to develop new pathways, and to enhance and maintain existing ones. Measure/Target
Achieved/Not Achieved
92% or more satisfaction with level of maintenance in Council parks and properties.
Achieved NRB Survey - 97% satisfaction.
70% or more satisfaction with maintenance and cleanliness of toilets.
Not Achieved NRB Survey - 61% satisfaction.
72% or more satisfaction with maintenance and cleanliness of halls. Number of TSB Hub users is more than 147,000 per annum.
Achieved NRB Survey - 95% satisfaction. Achieved 166,546 recorded attendance numbers.
Number of users of Hawera Aquatic Not Achieved Centre is more than 95,000 per annum. Attendance for the year was 92,265. 100% of Rural Pool Lifeguards who Achieved have a current Pool Lifeguard Practicing 100% of Rural Pool Lifeguards have Certificate. a current Pool Lifeguard Practicing Certificate.
OPEN SPACE STRATEGY The District’s Open Space Strategy was completed and adopted by the Council in September 2014. The Strategy will guide the way current and future open spaces in South Taranaki are provided, developed, managed and funded. The guiding principles in the plan will assist with decision making as the Council balances its responsibility to deliver services in the most cost effective way with consideration to the needs of people and our responsibility to care for the environment. PAGE 10
REGIONAL BUS SERVICES The Connector bus service, offering four return trips on weekdays between Hawera and New Plymouth, has now been operating for 16 months. In the year to 30 June 2015, a total of 24,164 trips were made on the Connector, an average of 96.7 per day with 13,275 of those trips either starting or ending in South Taranaki. The two year trial period will end in February 2016 and the New Zealand Transport Agency have approved funding to support the continued operation of the service. PENSIONER HOUSING Work on the interior refits of our Pensioner Housing units is ahead of schedule with 34 refits completed to June 2015. We are now a year ahead of our target of bringing 90% of units up to a standard of ‘good’ or ‘very good’, with 31 units (45.5%) now meeting this standard. Occupancy rates reached 95% for the year despite four units being closed for refits and rental income is exceeding projections by 7%. CENTENNIAL CLOSE TENANT CONTRIBUTION UNITS In July 2013, the Council approved a proposal to transition the Centennial Close Tenant Contribution Units to rental housing as they become vacant. The intent was to create a saleable rental asset while maintaining the ‘retirement village’ environment expected by the existing lessees. At 30 June 2015, four of the nine units have been tenanted and we are on track to achieving a viable rental asset with a 34% reduction in operating deficit in 2014/15. COMMUNITY VOLUNTEER LUNCHES ‘Thanks for making it happen’ was the theme of this year’s volunteer lunches held across the District to celebrate National Volunteer Week from 21 to 27 June 2015. The lunches, which were attended by 225 volunteers, were a great opportunity for Elected Members and staff to thank those who give their time to help their community. CONNECT15 – JOBS AND CAREERS EXPO Connect15 - a South Taranaki Mayor’s Taskforce for Jobs event was held at TSB Hub on 22 and 23 May 2015, to demonstrate the jobs and careers on offer in South and Central Taranaki. In total, there were 31 exhibitors made up from local employers and training organisations. Over the two days, 1,529 people attended with 1,011 being pupils from nine schools across Stratford and South Taranaki Districts.
Measure/Target
Achieved/Not Achieved
50% or more of the cost of community led projects (supported by Council) funded from external sources.
Achieved 100% of funding for Council supported, community led projects has been secured from external sources. Achieved 100% of groups surveyed were happy with the support they received.
66% or more of groups satisfied with the support they receive. 80% or more of pensioner housing tenants satisfied with the standard of maintenance of their accommodation.
Achieved 100% satisfaction from annual resident’s survey.
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CONSENTS AND LICENSING NUMBERS 579 building consents, 129 resource consents, 12 new food premises registrations, 149 renewed food premises registrations, 143 liquor licences and 145 Manager Certificates were processed during the year. DISTRICT PLAN REVIEW The review of our District Plan made significant progress during 2014/15. This included Councillors holding numerous workshops to develop new objectives, policies and rules to address the resource management issues facing our District today and over the next ten years. A draft District Plan has been prepared for adoption by the Council and we expect formal consultation on a proposed District Plan to start early in August 2015. OIL AND GAS DEVELOPMENT The Council has been involved with a working party convened by the Ministry for Primary Industries looking at the management of land farming. This working party has produced guidelines for food safety and animal welfare if industries are spreading rocks and minerals from oil and gas activities onto the land. At a more local level the Taranaki councils have been working on better alignment in terms of the management of oil and gas activities. We have also seen the completion of the remediation of several well sites in the Kapuni field. ANIMAL CONTROL The proactive enforcement of the Dog Control Act continues to see lower numbers of recorded dog attacks and serious threatening incidents occurring. There were 89 reported attacks and threatening incidents in 2012/13, dropping to 81 in 2013/14 and 63 in 2014/15. Over the year Council impounded 340 dogs with 221 either being returned to their owners or re-homed. COUNCIL-OWNED EARTHQUAKE PRONE BUILDINGS Further Detailed Seismic Assessments (DSA’s) were carried out on identified Council facilities during the year. The results of these DSA’s led to the closure of the Hawera Memorial Hall (April 2015) because it met only 10% of the New Building Standard (NBS); the Hawera Memorial Theatre (May 2015) which met only 23% of NBS and the Manaia Town Hall (June 2015) which met only 11% of NBS.
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Measure/Target
Achieved/Not Achieved
At least 2 Council facilitated workshops held to encourage liquor licensing host responsibility per annum.
Achieved 3 workshops were conducted.
That 100% of food licensed premises are inspected annually.
Achieved 100%.
At least 90% of noise complaints are responded to within one hour.
Achieved 96%.
95% or more of all building consent applications are processed within 15 working days. 95% or more of building inspections carried out within 2 working days of request. 85% or more of non-notified land use consent applications are processed within 10 working days. 85% or more of consents monitored by their due date. 97% or more of reported general dog incidents responded to within 1 working day.
Achieved 99% consents completed within 15 working days. Achieved 99.5%. Achieved 94%. Not Achieved 84%. Achieved 99%.
NEW REGIONAL WASTE MANAGEMENT CONTRACT The South Taranaki, New Plymouth and Stratford District Councils’ took a collaborative, approach to waste management and signed up with a new Regional Waste contractor – Envirowaste. The new waste collection system will be more efficient in that it allows users to recycle more plastic items (numbers 1-7) which in turn lessens the amount of rubbish going to landfill. The new contract starts on 1 October 2015. Measure/Target
Achieved/Not Achieved
90% or more of customers satisfied with the solid waste collection service.
Achieved NRB Survey - 90% satisfaction.
No complaints received for missed street collection per annum.
Not Achieved 5 whole streets (for recycling) were missed during the year. Achieved Total waste diverted was 28%
27% or more of waste diverted from the landfill each year.
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ROADING 10.04 km of road pavement rehabilitation work was completed ($1.84 million) and 82.8 km of roads were resealed ($1.89 million). FOOTPATH, KERB AND CHANNEL REPLACEMENT Total expenditure on footpaths, vehicle crossings and kerb and channel work for the year was $724,000 and the cost for maintenance and structural repair of all bridges was $936,000. EMERGENCY WORK – JUNE 2015 FLOODS From 19 – 21 June 2015 significant rainfall in the upper catchments of our eastern hill country caused major flooding and damage in the Waitotara, Whenuakura, Patea and Tangahoe catchments. Two Council bridges were closed pending repair and 19 roads were closed. The repair work to roads which has been estimated at $9.52million will largely be funded by the New Zealand Transport Agency through their Financial Assistance Rate (FAR) including the emergency FAR rate. NZTA FINANCIAL ASSISTANCE RATE In October 2014 the NZ Transport Agency decided to change the metrics used for determining the Financial Assistance Rate (FAR) applied to local authorities. As a result South Taranaki will receive a higher FAR starting at 54% for 2015/16, with an increment of 1% per year up to 58% for the following years. In dollar terms, we estimate to receive an additional subsidy of $270,000, $410,000 and $550,000 per year for three years. Measure/Target
Achieved/Not Achieved
Percentage of roads meeting roughness Achieved standard remains stable or improves (5 Roughness condition survey result 93%. year average is 92%). 79% or more of road users satisfied with the condition of Council roads.
Not Achieved NRB Survey - 73% satisfaction.
100% of footpath defects made safe within 48 hours.
Not Achieved 70% completed within timeframe.
Measure/Target
Achieved/Not Achieved
Less than 10 reported flooding incidents of occupied properties.
Achieved There were 5 reported flooding incidents all of which occurred during the June Flood event.
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NEW RETICULATION MAINTENANCE CONTRACT A new contract for water, wastewater and stormwater networks maintenance started on 1 October 2014 with Veolia. The contract is expected to make significant savings of up to $200,000 per annum for the three year term of the contract. WAIMATE WEST WATER TREATMENT PLANT The newly rebuilt Waimate West Water Treatment Plant started operation on 5 August 2014. The completion of this Plant saw the rural Waimate West area, including Kaponga and Manaia making water compliant to the Drinking Water Standards. This was the last major project completed for $10 million which was well within the original budget of $14.1 million. $1 million of the outstanding budget is being used to connect the Pope Water Supply Scheme to the Waimate West system. Waverley township’s water mains were successfully replaced at a cost of $550,000 and work started on replacement of the King Edward Street water main in Eltham. Measure/Target
Achieved/Not Achieved
Less than 50 complaints received about Achieved water quality. 34 complaints were received about water quality in the last year. 100% compliance with current Drinking Achieved Water Standards (for bacteria). 100%.
ELTHAM EADER DECOMMISSIONING PROJECT A Decommissioning Plan was put in place for the Eltham Eader, with a new cover welded onsite and placed over the existing cover. The Eader was then buried under a cover of dirt (an average depth of 1 metre). Topsoil already stockpiled onsite has been spread over the top and the surface sowed with grass seed. WESTERN TRUNK SEWER IN HAWERA Approximately 800m of Hawera’s western trunk sewer (starting at the Egmont A&P Showgrounds entrance on Maire Street) was replaced with a new 475mm diameter UPVC pipeline. Measure/Target
Achieved/Not Achieved
Less than 5 customer complaints per year relating to odours from wastewater pump stations or treatment facilities. No sewerage overflows into occupied buildings due to faults in the public wastewater system.
Not Achieved 8 complaints were received (7 for Eltham Wastewater Treatment Plant and 1 for Hawera Wastewater Plant). Achieved
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FINANCIAL PERFORMANCE AND MOVEMENTS IN EQUITY Actual 2014/15
$ millions Operating revenue Operating expenditure Net operating surplus/(deficit) Net increase in value of assets Total movements in equity
65.3 64.1 1.2 1.1 1.1
Budget 2014/15
Actual 2013/14
59.9 59.6 0.3 (0.5) (0.5)
64.3 63.3 1.0 3.0 (8.7)
The difference between the Budget and Actual in the movements in equity is due to the combination of better than expected returns from the LTIF (additional $5.9 million), PBE accounting adjustment for the swaps (loss of $4.88 million) and the write-off of some assets ($2.3 million) that were replaced through the Council’s capital projects programme. The swap valuations are calculated as per the current interest rate and projection of interest rate for the remaining period of the Council’s swaps contracts. The Council does not budget for swap re-valuations.
Democratic Process 4% Cultural Services 5% Reallocated Activity 14% Solid Waste 6%
Recreation & Leisure 13%
Stormwater 1%
District Economy 2%
Wastewater 8%
Roading 22%
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Community & Social Development 2%
Water Supply 16%
Environmental & Development 6%
Water Supply 23.1% Environmental & Development 0.6% Community & Social Development 1.9% District Economy 0.9%
Roading 47%
Recreation & Leisure 5.8% Cultural Services 2% Other 2.4% Solid Waste 1.5% Stormwater 0.8% Wastewater 8.4%
$000 Current assets Non-current assets Total assets Current liabilities Non-current liabilities Total liabilities Total equity/Net assets
Council Actual Budget Consolidation Council Actual Consolidation 2014/15 2014/15 Actual 2014/15 2013/14 Actual 2013/14 114,700 91,917 114,700 98,120 98,120 794,498 888,062 794,498 792,265 792,265 909,198 979,979 909,198 890,385 890,385 19,375 9,930 19,375 39,284 39,284 116,317 118,503 116,317 78,695 78,695 135,692 128,433 135,692 117,979 117,979 773,505 851,546 773,505 772,406 772,406
$000 Total income Total expenses (excluding finance cost) Finance cost Total operating surplus/(deficit) before tax Other comprehensive income Increase/(decrease) in revaluation reserves Gain on asset revaluation Total other comprehensive income Total comprehensive income for the year
Council Actual Budget Consolidation Council Actual Consolidation 2014/15 2014/15 Actual 2014/15 2013/14 Actual 2013/14 65,306 59,971 65,306 64,310 64,310 58,233 53,140 58,233 57,701 57,701 5,885 6,525 5,885 5,584 5,584 1,188
306
1,188
1,025
1,025
(89) 0
0 0
(89) 0
(156) (11,856)
(156) (11,856)
(89)
0
(89)
(12,021)
(12,021)
1,099
306
1,099
(10,987)
(10,987)
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$000 Equity at the beginning of the year Net surplus/(deficit) for the year Other comprehensice income/(loss) Total comprehensive income for the year Adjustments Equity at the end of the year comprising: Accumulated balances Restricted and statutory reserves Investment revaluation reserves Separate operating reserves Council created reserves Capital replacement reserves Asset revaluation reserves Equity at the end of the year
$000 Net cashflows from operating activities Net cashflows from investing activities Net cashflows from financing activities Net increase/(decrease) in cash and cash equivilents
Council Actual Budget Consolidation Council Actual Consolidation 2014/15 2014/15 Actual 2014/15 2013/14 Actual 2013/14 772,406 851,240 772,406 781,074 781,074 1,188 306 1,188 1,025 1,025 (89) 0 (89) (12,012) (12,012) 1,099 306 1,099 (10,987) (10,987) 773,505
851,546
773,505
2,319 772,406
2,319 772,406
417,833 1,680 21 2,856 118,914 393 231,808 773,505
420,385 1,710 266 1,569 109,407 189 318,020 851,546
417,833 1,680 21 2,856 118,914 393 231,808 773,505
427,559 1,855 110 2,067 108,501 506 231,808 772,406
427,559 1,855 110 2,067 108,501 506 231,808 772,406
Council Actual 2014/15
Budget 2014/15
Consolidation Actual 2014/15
Council Actual Consolidation 2013/14 Actual 2013/14
18,122
10,161
18,122
11,207
11,207
(19,112)
(11,771)
(19,112)
(20,786)
(20,786)
12,710
1,045
12,710
12,778
12,778
11,720
(565)
11,720
3,199
3,199
HOW WE PREPARED THESE STATEMENTS
This summary report has been taken from the South Taranaki District Council 2014/15 Annual Report. The Annual Report, adopted on 12 October 2015, has been prepared in accordance with Tier 1 PBE Standards and contains detailed information about our finances and service provision. Audit New Zealand has audited the full Annual Report and issued an unmodified opinion. This summary is the Council’s first summary under the new PBE Standards and has been prepared in compliance with PBE FRS-43 and examined by Audit NZ for consistency with the full Annual Report. South Taranaki District Council is a public benefit entity for financial reporting purposes. The financial statements within the Annual Report have been prepared in accordance with New Zealand Generally Accepted Accounting Practices (NZ GAAP) and comply with PBE Standards. The financial statements include a Statement of Compliance to this effect. The financial statements are presented in New Zealand dollars and all values are rounded to the nearest thousand dollars. This summary Annual Report was authorised by the Chief Executive of the South Taranaki District Council on 4 November 2015.
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INDEPENDENT AUDITOR’S REPORT To the readers of South Taranaki District Council and group’s summary annual report for the year ended 30 June 2015 The summary annual report was derived from the annual report of the South Taranaki District Council (the District Council) and group for the year ended 30 June 2015. We have considered whether the summary annual report represents, fairly and consistently, the information regarding the major matters dealt with in the annual report. The annual report included full audited statements, and the summary annual report includes summary statements. We have audited the following summary statements reported in the summary annual report on pages 6 to 20: • the summary statement of financial position as at 30 June 2015; • the summaries of the statement of comprehensive revenue and expense, statement of changes in equity and statement of cash flows for the year ended 30 June 2015; • the notes to the summary financial statements that include accounting policies and other explanatory information; and • the summary statement of service provision of the District Council and group. • We expressed an unmodified audit opinion on the District Council and group’s full audited statements in our report dated 12 October 2015
In our opinion: • the summary annual report represents, fairly and consistently, the information regarding the major matters dealt with in the annual report; and • the summary statements comply with PBE FRS 43: Summary Financial Statements.
Our audit was carried out in accordance with the Auditor General’s Auditing Standards, which incorporate the International Standards on Auditing (New Zealand), and in particular with the International Standard on Auditing (New Zealand) 810: Engagements to Report on Summary Financial Statements. These standards require us to carry out procedures to confirm whether the summary annual report contains the information necessary, and at an appropriate level of aggregation, so as not to be misleading. The summary statements do not contain all the disclosures required for full audited statements under generally accepted accounting practice in New Zealand. Reading the summary statements, therefore, is not a substitute for reading the full audited statements in the annual report of the District Council and group.
The Council is responsible for preparing the summary annual report so that it represents, fairly and consistently, the information regarding the major matters dealt with in the annual report. This includes preparing summary statements, in accordance with PBE FRS 43: Summary Financial Statements. The Council is also responsible for the publication of the summary annual report, whether in printed or electronic form. We are responsible for expressing an opinion on whether the summary annual report represents, fairly and consistently, the information regarding the major matters dealt with in the annual report and whether the summary statements comply with PBE FRS 43: Summary Financial Statements. Other that in our capacity as auditor we have no relationship with, or interest in, the District Council or any of its subsidiaries.
Clint Ramoo, Audit New Zealand On behalf of the Auditor General Palmerston North, New Zealand 4 November 2015
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