AGENDA
Ordinary meeting of the
Joint Shareholders Committee
Friday 15 April 2016
Commencing at 1.30pm
Council Chamber
Civic House
110 Trafalgar Street, Nelson
Membership: Her Worship the Mayor Rachel Reese, Deputy Mayor of Nelson Paul Matheson, Councillors Pete Rainey, Brian McGurk, Ian Barker, and Eric Davy, His Worship the Mayor of Tasman Richard Kempthorne (Chairperson), Councillors Tim King (Deputy Chairperson), Michael Higgins, Judene Edgar, Trevor Norriss and Stuart Bryant
Guidelines for councillors attending the meeting, who are not members of the Committee, as set out in Standing Orders:
· All councillors, whether or not they are members of the Committee, may attend Committee meetings (SO 2.12.2)
· At the discretion of the Chair, councillors who are not Committee members may speak, or ask questions about a matter.
· Only Committee members may vote on any matter before the Committee (SO 3.14.1)
It is good practice for both Committee members and non-Committee members to declare any interests in items on the agenda. They should withdraw from the room for discussion and voting on any of these items.
Joint Shareholders Committee
15 April 2016
Nil
2. Confirmation of Order of Business
3.1 Updates to the Interests Register
3.2 Identify any conflicts of interest in the agenda
Document number M1616
Recommendation
THAT the minutes of the meeting of the Joint Shareholders Committee, held on 20 November 2015, be confirmed as a true and correct record.
5.2 20 November 2015 – Public Excluded 11 - 12
Document number M1617
Note: As the business transacted in public excluded is now public information, these minutes can be confirmed in public. In accordance with the Local Government Official Information Meetings Act, no reason for withholding this information from the public exists.
Recommendation
THAT the minutes of part of the meeting of the Joint Shareholders Committee, held with the public excluded on 20 November 2015, be confirmed as a true and correct record.
6. Port Nelson Ltd Half Yearly Report 13 - 20
Document number R5675
Recommendation
THAT the report Port Nelson Ltd Half Yearly Report (R5675) and its attachment (A1518795) be received.
7. Tasman Bay Heritage Trust - Statement of Intent and Half Yearly Report 21 - 58
Document number R5612
Recommendation
THAT the report Tasman Bay Heritage Trust - Statement of Intent and Half Yearly Report (R5612) and its attachments (A1457758, A1512578, A1512577 and A1528731) be received;
AND THAT the Joint Shareholders Committee notes the delivery of the Tasman Bays Heritage Trust Draft Statement of Intent 2016/17 (A1512578) as required under the Local Government Act 2002;
AND Either
THAT the Councils provide the following feedback to the Tasman Bays Heritage Trust Board:
OR
THAT the Tasman Bays Heritage Trust draft Statement of Intent 2016/17 meets the Councils’ expectations and is approved as the final Statement of Intent for 2016/17.
8. Nelson Airport Half Yearly Report 59 - 78
Document number A1528812
Recommendation
THAT the Joint Shareholders Committee receives the Nelson Airport Ltd - Half Yearly Report (December 2015) report.
Public Excluded Business
Recommendation
Recommendation
THAT the public be excluded from the following parts 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 |
General subject of each matter to be considered |
Reason for passing this resolution in relation to each matter |
Particular interests protected (where applicable) |
|
1 |
Nelson Airport Ltd Statement of Intent 2016/17
|
Section 48(1)(a) The public conduct of this matter would be likely to result in disclosure of information for which good reason exists under section 7 |
The withholding of the information is necessary: · Section 7(2)(h) To enable the local authority to carry out, without prejudice or disadvantage, commercial activities · Section 7(2)(i) To enable the local authority to carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations) |
|
2 Nelson |
Nelson Airport Ltd – Director Appointments |
Section 48(1)(a) The public conduct of this matter would be likely to result in disclosure of information for which good reason exists under section 7 |
The withholding of the information is necessary: · Section 7(2)(a) To protect the privacy of natural persons, including that of a deceased person · Section 7(2)(h) To enable the local authority to carry out, without prejudice or disadvantage, commercial activities |
10. Re-admittance of the public
Recommendation
THAT the public be re-admitted to the meeting.
Minutes of a meeting of the Joint Shareholders Committee
Held in the Council Chamber, Civic House, 110 Trafalgar Street, Nelson
On Friday 20 November 2015, commencing at 1.32pm
Present: Her Worship the Mayor of Nelson R Reese (Chairperson), Nelson City Councillors B McGurk and I Barker, His Worship the Mayor of Tasman R Kempthorne, and Tasman District Councillors M Higgins, J Edgar and S Bryant
In Attendance: Nelson City Councillor L Acland, Chief Executive of Nelson City Council (C Hadley), Group Manager Corporate Services Nelson City Council (N Harrison), Chief Executive of Tasman District Council (L McKenzie), and Administration Adviser (S McLean)
Apologies: Deputy Mayor of Nelson P Matheson, Nelson City Councillor P Rainey, Deputy Mayor of Tasman T King, and Tasman District Councillor T Norriss
1. Apologies
|
Resolved JSC/2015/007 THAT apologies be received and accepted from Nelson City Councillors Matheson and Rainey, and Tasman District Councillors King and Norriss. Her Worship Mayor Reese/His Worship Mayor Kempthorne Carried |
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
There was no public forum.
5. Confirmation of Minutes
5.1 2 September 2015
Document number M1427, agenda pages 6 - 11 refer.
|
Resolved JSC/2015/008 THAT the minutes of the meeting of the Joint Shareholders Committee, held on 2 September 2015, be confirmed as a true and correct record. McGurk/Higgins Carried |
6. Review of Procedure for Joint Appointment of Directors/Trustees of Council Controlled Organisations and Council Controlled Trading Organisations
Document number R4403, agenda pages 12 - 21 refer.
Group Manager Corporate Services, Nikki Harrison, presented the report.
Several changes to the policy were agreed:
1. Clause 3.2, replace reference to Port Nelson Limited with ‘Council Controlled Organisation’ for consistency
2. Adjust heading for Section 5 to ‘Process for Reappointment...’ for consistency
3. Clause 8.2, adjust first sentence to read ‘vary the procedures outlined in Sections 4 and 5 in this policy... that such variation is not contrary to the requirements of the Local Government Act 2002 and conforms to relevant trust deed...’ to allow greater flexibility if a variation matter is not covered under the Local Government Act.
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Resolved JSC/2015/009 THAT the report Review of Procedure for Joint Appointment of Directors/Trustees of Council Controlled Organisations and Council Controlled Trading Organisations (R4403) and its attachments (A1449972 and A537882) be received; AND THAT the reviewed and amended Policy for the Procedure for Joint Appointment of Directors/Trustees of Council Controlled Organisations and Council Controlled Trading Organisations (A537882) be adopted with amendments by the Joint Shareholders Committee. His Worship Mayor Kempthorne/Edgar Carried |
7. Exclusion of the Public
Her Worship Mayor Reese advised the public excluded reason for the Port Nelson Limited Proposed Constitution Changes was to be corrected to Section 7(2)(i) to carry out negotiations.
|
Resolved JSC/2015/010 THAT the public be excluded from the following parts 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: Higgins/Her Worship Mayor Reese Carried |
|
Item |
General subject of each matter to be considered |
Reason for passing this resolution in relation to each matter |
Particular interests protected (where applicable) |
|
1 |
Joint Shareholders Committee Meeting - Public Excluded Minutes - 2 September 2015 |
Section 48(1)(a) The public conduct of this matter would be likely to result in disclosure of information for which good reason exists under section 7. |
The withholding of the information is necessary: · Section 7(2)(a) To protect the privacy of natural persons, including that of a deceased person. · Section 7(2)(h) To enable the local authority to carry out, without prejudice or disadvantage, commercial activities. · Section 7(2)(i) To enable the local authority to carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations). |
|
2 |
Port Nelson Limited Proposed Constitution Changes
|
Section 48(1)(a) The public conduct of this matter would be likely to result in disclosure of information for which good reason exists under section 7 |
The withholding of the information is necessary: · Section 7(2)(i) To enable the local authority to carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations). |
The meeting went into public excluded session at 1.45pm and resumed in public session at 1.54pm.
8. Re-admittance of the Public
|
Resolved JSC/2015/011 THAT the public be re-admitted to the meeting. Her Worship Mayor Reese/Edgar Carried |
There being no further business the meeting ended at 1.54pm.
Confirmed as a correct record of proceedings:
Chairperson
Date
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Joint Shareholders Committee 15 April 2016 |
REPORT R5675
Port Nelson Ltd Half Yearly Report
1. Purpose of Report
1.1 To receive the half yearly report to 31 December 2015 from Port Nelson Limited (Attachment 1).
2. Delegations
2.1 The Joint Shareholders Committee is responsible for all matters relating to jointly owned Council Controlled Organisations and Council Controlled Trading Organisations, including half yearly reports.
3. Recommendation
|
THAT the report Port Nelson Ltd Half Yearly Report (R5675) and its attachment (A1518795) be received. |
4. Background
4.1 The Port Companies Act 1988 requires delivery of the half year report within two months of the end of the period to the shareholders and the Minister of Transport. This requirement has been met.
4.2 The Port company presented on the six monthly result at the Joint Committee of Nelson City and Tasman District Council held on 29 March 2016.
5. Discussion
5.1 The half yearly report of Port Nelson for the period ending 31 December 2015 is included as Attachment 1.
5.2 For the first six months of this financial year Port Nelson reported profit before tax (PBT) of $4.4 million which is 1.5% below budget. Profit before tax was 3.5% higher than the same time last year.
5.3 Cargo volumes for the first half of the year were slightly ahead of budget with 1.252 million revenue tonnes handled against the budget of 1.220 million, and slightly up on the 1.229 million handled at the same time last year.
5.4 The report shows that Port Nelson have largely met their SOI targets for the first six months except for:
5.4.1 Lost time injury (LTI) frequency rate of 2.2 versus a budget of less than 1.5 (but is lower than the same time last year of 2.99).
5.4.2 Capital expenditure programme is below budget due to the delayed commencement of the Seafood Precinct and warehouse development along with later progress payments in regards to the new tug being built.
5.4.3 Return on average shareholder’s funds and funds employed are slightly below budget and this is due to a lower than budgeted profit before tax.
5.4.4 Gross shipping tonnes are 200,000 tonnes below budget. While there has been an increase in the number of ship visits the size of vessels visiting have been smaller. These have tended to be an increase in fishing vessels.
5.5 The Statement of Corporate Intent for Port Nelson Limited is not due to be received until 31 July 2016 and will be brought to the August Joint Shareholders Committee meeting.
6. Options
6.1 There is no decision to be made on the half yearly report. The company has complied with the legislation in preparing and presenting the report to Council.
7. Alignment with relevant Council policy
7.1 This decision is a statutory process.
8. Assessment of Significance against the Council’s Significance and Engagement Policy
8.1 This is not a significant decision in terms of the Council’s Significance and Engagement Policy.
9. Consultation
9.1 No consultation has been carried out in relation to the report.
10. Inclusion of Māori in the decision making process
10.1 No specific consultation has been carried out with Maori.
11. Conclusion
11.1 Port Nelson has complied with the Port Companies Act 1988 in preparing a half yearly report.
Nikki Harrison
Group Manager Corporate Services
Attachments
Attachment 1: A1518795 - Port Nelson Ltd Half Yearly Report for the six months to 31Dec2015
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Joint Shareholders Committee 15 April 2016 |
REPORT R5612
Tasman Bay Heritage Trust - Statement of Intent and Half Yearly Report
1. Purpose of Report
1.1 To receive the half yearly report from the Tasman Bays Heritage Trust (TBHT) and to consider the Trust’s draft Statement of Intent.
2. Delegations
2.1 The Joint Shareholders Committee has the power to decide on all matters relating to jointly owned Council Controlled Organisations and Council Controlled Trading Organisations, including statements of intent, and half yearly reports.
3. Recommendation
4. Background
4.1 Under the Local Government Act, TBHT is required to complete a draft Statement of Intent (SOI) on an annual basis no later than 1 March each year.
4.2 The Councils have an opportunity to provide feedback to the Board of Nelmac within two months of this date and the company has until 30 June to deliver the final SOI to the Shareholders.
4.3 On 3 November 2015, the Joint Committee of Nelson and Tasman District Councils resolved:
THAT the Committee confirm the specific matters to be included in the Statements of Expectation letters as:
- Tasman Bays Heritage Trust – understand timeline for implementation of strategy review, lead role in collaboration with other heritage sector organisations, evidence of collection rationalisation, consideration of archive rationalisation.
4.4 A letter of expectation (Attachment 1) was sent to TBHT in November outlining the general expectations and specific matters that the Councils would like to see addressed in the Statement of Intent for the 2016/17 year.
4.5 TBHT delivered a draft Statement of Intent (Attachment 2) and a half yearly report to December 2015 (Attachment 3) on 29 February 2016, meeting the requirements of the Local Government Act. The Trust also sent a cover letter to address the points raised by the letter of expectation (Attachment 4).
4.6 The Chairperson, Olivia Hall and the Chief Executive, Lucinda Blackley-Jimson, will be in attendance at the meeting to present the information and to answer questions.
5. Discussion
Half Yearly Report
5.1 The half yearly report shows that TBHT is on track to meet its targets for visitor numbers, with numbers well up on the previous year for the six months to December.
5.2 Revenue and Net Surplus are both ahead of budget and the Board has continued to exercise sound financial management of the Trust.
5.3 A review of Health and Safety and risk management has been undertaken, and a Health and Safety Committee has been established.
5.4 The Trust has engaged in a number of outreach activities across the region and has been working more closely with the Suter and the Councils’ libraries and heritage teams
Draft Statement of Intent
5.5 TBHT is going through a transitional phase with a new Chair and new Chief Executive. Further change is likely in the strategic direction of the Trust, and this year’s SOI should be received in that context.
5.6 The Trust has revised upwards its visitor targets for the 2016/17 year by 2100 people and has committed to carrying out improvements to improve the visitor experience at the museum.
5.7 The Trust continues to work through the recommendations from its strategic review and has indicated timeframes for various milestones in the SOI.
5.8 Repayment of the loans to the Trust from the two Councils will increase this year to $100,000 per Council.
6. Options
6.1 There is no decision to be made on the half yearly report. The Trust has complied with the legislation in preparing and presenting the report to the Councils.
6.2 In relation to the SOI, the Committee can choose to either submit feedback to the Board of TBHT or accept the SOI as the final version (with any minor amendments). If the Committee does submit substantive feedback then the amended SOI will be brought back to the Committee in August.
7. Alignment with relevant Council policy
7.1 This decision is a statutory process.
8. Assessment of Significance against the Council’s Significance and Engagement Policy
8.1 This is not a significant decision in terms of Council’s Significance and Engagement Policy.
9. Consultation
9.1 No consultation has been carried out in relation to the report.
10. Inclusion of Māori in the decision making process
10.1 No specific consultation has been carried out with Māori. Local Iwi are represented on the TBHT board.
11. Conclusion
11.1 TBHT has complied with the Local Government Act 2002 in preparing a half yearly report and draft SOI. The Committee has the opportunity to request changes or additions to the draft SOI. Officers are not recommending that any substantive change is required and the Committee may decide to approve the draft SOI as the final SOI for the 2016/17 year.
Chris Ward
Group Manager Community Services
Attachments
Attachment 1: A1457758 - Letter of expectation - Tasman Bays Heritage Trust 2016/17
Attachment 2: A1512578 - Tasman Bays Heritage Trust Statement of Intent 2016/17
Attachment 3: A1512577 - Tasman Bays Heritage Trust Half Yearly Report July-Dec
Attachment 4: A1528731 - TBHT Cover Letter to draft Statement of Intent 2016
