Minutes of a meeting of the Audit, Risk and Finance Subcommittee

Held in Ruma Mārama, Level 2A, Civic House, 110 Trafalgar Street, Nelson

On Wednesday 14 October 2015, commencing at 9.42am

 

Present:               Mr J Peters (Chairperson), Her Worship the Mayor R Reese, Councillors I Barker and B McGurk, and Mr J Murray

In Attendance:     Councillors L Acland, P Matheson, and G Noonan, Chief Executive (C Hadley), Group Manager Infrastructure (A Louverdis), Group Manager Corporate Services (N Harrison), and Administration Adviser (G Brown)

 

1.       Apologies

There were no apologies.

2.       Confirmation of Order of Business

There was no change to the order of business.

3.       Interests

There were no updates to the Interests Register, and no interests with items on the agenda were declared.

4.       Public Forum 

Mr Kerry Neal read from tabled document A1444695 regarding Trafalgar Centre financing.

Attachments

1    A1444695 - Tabled Document - Kerry Neal - Trafalgar Centre Financing

5.       Confirmation of Minutes

5.1       10 September 2015

Document number M1459, agenda pages 6 - 11 refer.

Resolved AUD/2015/041

THAT the minutes of the meeting of the Audit, Risk and Finance Subcommittee, held on 10 September 2015, be confirmed as a true and correct record.

Murray/Barker                                                                            Carried

 

6.       Status Report - Status Report - 14 October 2015

Document number R4982, agenda pages 12 - 13 refer.

Resolved AUD/2015/042

THAT the Status Report Audit, Risk and Finance Subcommittee 14 October 2015 (R4982) and its attachment (A1324298) be received.

Barker/McGurk                                                                            Carried

7.       Chairperson's Report   

The Chairperson said it was pleasing to see progress made in relation to new policies and the risk management framework which the Audit, Risk and Finance Subcommittee would be discussing at today’s meeting.

8.       Draft Asset Disposal Policy

Document number R4823, agenda pages 14 - 19 refer.

Group Manager Corporate Services, Nikki Harrison, presented the report.

There was agreement that the following changes would be incorporated in the draft Asset Disposal Policy:

·        Clause 4.1 remove the term ‘real property’ and add ‘and property’ after the word Land

·        Clause 7.1, remove ‘a’ and replace with ‘the’ third tier manager

·        Add to clause 8.1 evidence and documents will be kept on file in relation to the statement ‘examples of like items’

·        Clause 8.2 reword ‘items being disposed of on one day’

·        Clause 8.6 broaden the definition of technology to include other confidential information

It was suggested that the removal of confidential information should be covered in a broad overarching policy.

There was a discussion around what triggers the disposal of an asset. The Chief Executive, Clare Hadley advised there were processes in place for the disposal of assets and that a disposal was approved at a senior level. She added that officers had input to whether the asset required disposal.

Resolved AUD/2015/043

THAT the report Draft Asset Disposal Policy (R4823) and its attachment (A1412442) be received.

Barker/McGurk                                                                            Carried

Recommendation to Governance Committee and Council AUD/2015/044

THAT the Draft Asset Disposal Policy (A1412442) with amendments be approved;

AND THAT the Delegations Manual is updated to reflect the delegations in the Asset Disposal Policy.

Barker/McGurk                                                                            Carried

9.       Draft Risk Management Framework

Document number R4887, agenda pages 20 - 35 refer.

Group Manager Corporate Services, Nikki Harrison, presented the report.

There was agreement that the following changes would be incorporated into the draft Risk Management Framework:

·        Section 6, add to 6.1 ‘The role of the Senior Leadership Team is to report to the Audit, Risk and Finance Subcommittee as set out below and in Table 1’

·        Clause 9.3.2 add ‘including an environmental scan’

Attendance: Her Worship the Mayor left the meeting from 10.21am to 10.23am.

Resolved AUD/2015/045

THAT the report Draft Risk Management Framework (R4887) and its attachment (A1431591) be received.

Peters/Barker                                                                              Carried

 

 

 

Recommendation to Governance Committee and Council AUD/2015/046

THAT the Draft Risk Management Framework (A1431591) with amendments be approved.

Peters/Barker                                                                              Carried

10.     Corporate Report to 31 August 2015

Document number R4939, agenda pages 36 - 52 refer.

Group Manager Corporate Services, Nikki Harrison, presented the report.

In response to a question, Group Manager Infrastructure, Alec Louverdis, advised the projects included under the Parks and Active Recreation activity in attachment 3 included retaining walls, dredging and the Trafalgar Centre.

In response to a question, the Chief Executive, Clare Hadley referred to the Trafalgar Centre Reopening project in attachment 5, and explained the expenditure of $644,000 was in relation to early project work and this was written off on advice from Audit New Zealand. This was not included in the current budget.

Mrs Hadley said the $667,000 additional expenditure for the Trafalgar Centre was incorrectly recorded in the Consulting Engineer, Richard Kirby’s, report to Council on 3 September 2015, but he verbally corrected this at the meeting.

It was agreed that the Audit, Risk and Finance Subcommittee was satisfied the increase in expenditure for the Trafalgar Centre was appropriately considered against the Significance and Engagement Policy and followed due process.

In response to a further question, Mrs Hadley advised the Rutherford Park development was not included as part of the Trafalgar Centre budget.

There was a discussion regarding further road closures in relation to the Brook Area Cycling and Walking Improvements. Mr Louverdis advised that any further road closures would be managed in discussion with the Communications Team, the residents and other stakeholder groups.

Resolved AUD/2015/047

THAT the report Corporate Report to 31 August 2015 (R4939) and its attachments (A1422506, A1432835, A793514, and A1436178) be received and the variations noted.

Murray/McGurk                                                                           Carried

 

Recommendation to Governance Committee and Council AUD/2015/048

THAT $350,000 for the upgrade of the Civic House verandah be deferred until 2017/18;

AND THAT $200,000 for the upgrade of the Hunter Furniture roof be deferred until 2016/17.

Murray/Barker                                                                            Carried

       

 

There being no further business the meeting ended at 11.15am.

 

Confirmed as a correct record of proceedings:

 

 

 

                                                         Chairperson                                        Date