Whangarei District Council Long Term Plan 2021-31 Consultation

LONG TERM PLAN CONS ULTATION DOCUMENT Have Your Say

A lot has happened since we last connected on our 10-year Plan for Whangārei in 2018. It’s now time to move forward. This is your chance to help shape our future. www.wdc.govt.nz/HaveYourSay

Come along to our

Saturday arc a William Fraser Memorial Park KEY DATES

Open for feedback: 1 March-1 April Family Fun Day event: 27 March Hearings: 13-14 April WHAT Proposed adoption of the Long Term Plan 2021-31: 24 June YOU'LL FIND Meeting dates St Peters Anglican Church, Waipū INSIDE | Wednesday 24 February, 7pm Smeaton Drive Community Hall NGĀ MEA | Monday 1 March, 6.30pm Kamo Bowling Club | Tuesday KEI ROTO 2 March, 6.30pm Ngunguru Hall | Wednesday 3 March, 7pm From then to now ...... 4 Onerahi Community Hall | What we're working towards . . . . 6 Thursday 4 March, 7pm Help shape Whangārei's reset 8 Ōakura Hall |Monday 8 March, 6:30pm Where we are today ...... 10 Ruakākā Recreation Centre | Your aspirations for Whangārei . . . 12 Tuesday 9 March, 7pm How will we pay for what we need? 17 Cafler Suite, Forum North | What we'll need to borrow . . . . 22 Wednesday 10 March, 6:30pm Trinity Church Hall, Tikipunga | Spaces for gathering 24 Thursday 11 March, 6:30pm Climate change and sustainability . 28 Te Kura o Otangarei | Monday, Revitalising our City Centre . . . . 32 15 March, 6:30pm Northland Events Centre . . . . . 36 Ruatangata Public Hall | Tuesday 16 March, 6:30pm What else do we have planned? 38 Hikurangi Memorial Hall | Looking beyond 2031 ...... 45 Wednesday 17 March, 6:30pm Policy changes 46 Mangakāhia Sports Complex | Thursday 18 March, 6pm Audit opinion ...... 47 Parua Bay Community Centre Hall Have your say ...... 49 | Friday 19 March, 7pm Pātaua Outdoor Education Centre | Monday 22 March, 6:30pm

3 FROM THEN TO NOW NŌ TĒRĀ WĀ KI TĒNEI WĀ OUR LAST LONG TERM PLAN.

• Finished the $6.6m LED • Upgraded sports • Increased funding for • Completed Stage 2 • Improved drought • Continued development street light upgrade facilities at Ruakākā, community-led projects Hikurangi sewer resilience by completing of our relationship with • Upgraded central city Otaika, and Otangarei across our District network upgrade the new Hātea pumping hapū and the creation of intersections • Renewed playgrounds at watermain a Te Kārearea Strategic (Porowini/Tarewa Rd and the Town Basin, Nixon St, • Began constructing the Partnership Standing Porowini/Maunu Rd) Jeeves Park, Hikurangi new Whau Valley Water Committee • Provided more walking and Reotahi Treatment Plant and cycling options with • Opened new Potter Park our Kamo Shared Path • Started on a new Town • Adopted He Rautaki Toi a • Improved glass recycling • Created a new 272-space Basin Park Rohe o Whangārei – our at the kerbside with our carpark at Pohe Island strategy for arts, culture new ‘blue bins’ and heritage • Resurfaced and rehabilitated 192km of • Adopted the Active • Provided a $3 million our sealed road network Recreation and Sport COVID-19 relief package TIME TO BUILD THE Strategy, City Core to ratepayers, • Realigned the road and community groups NEXT YEAR PLAN. Precinct Plan and Our focus is on building a completed safety works Corporate Sustainability and businesses • Began constructing a plan that enables us to on Vinegar Hill Strategy new Civic Centre create a more inclusive, resilient and sustainable Whangārei.

4 OUR LAST LONG TERM PLAN.

5 WHAT WE’RE WORKING TOWARDS E MAHI ANA MĀTOU KI

We’ve updated our Vision and Community Outcomes to better reflect what we are working towards. This includes adjusting our Community Outcomes to reflect the reinstatement of the four ‘well-beings’ (social, economic, environmental, and cultural well-being) into the Local Government Act. The reinstatement of the four well-beings into the Act recognises that councils have a significant role to play in lifting the quality of life of our communities, and the health of our environment.

OUR VISION An inclusive, TELL US WHAT YOU resilient and THINK Do you support our Vision and sustainable Community Outcomes? District.

6 OUR COMMUNITY OUTCOMES

Everything that Council does is guided by our four Community Outcomes – based on what our community tells us is most important to them:

Efficient and resilient core services

• it is easy and safe for everyone to travel around the District • there are opportunities to walk and cycle • the District is well prepared for growth and can adapt to change • services are supplied in ways that benefit the environment.

Positive about the future

• the District has productive land, people and a thriving City Centre • there is a fair urban/rural balance • Council has clear, simple documents and rules • the District embraces new technology and opportunities.

Caring for the environment

• communities work to keep the environment clean and healthy • access to the coast is protected • open spaces in parks and streets are places where nature thrives • the District is positively adapting to climate change.

Proud to be local

• the District is neat, tidy and looks attractive • public areas feel and are safe • there is always something to do and see • there are opportunities for people of all abilities, ages and life stages to be active • all of our cultures are valued and celebrated.

7 HELP SHAPE WHANGĀREI’S RESET ĀWHINA TE WHAKAAHU O TE TĪMATA ANŌ O WHANGĀREI

Kua whakarērea tētahi tau i te taea mai o Te Mate He whakatōpū ngā mea i tēnei wā hei whakamana Korona-19 (COVID-19), ā, e noho ana tātou i ngā te tīmata anō o tō tātou Rohe. Ka whakamahia wā whanokē. Ēhara ka matakitea, engari me ētahi o te pūtea o Te Kāwanatanga o Aotearoa kia whakamahere tonu tātou. Tino whakahiriahira ōu whakahaere ngā mahi hei tautoko tēnei whakaora; koutou whaiwhakaaro ki ō mātou tino kaupapa, o engari piritaha o tēnei, tētahi hiahia mō te mātou tino wero, ā, tino rawa atu te whakahirahira whakaaro hou, te tikanga hou hei whakatika ngā hoki ōu koutou tāpaetanga ki roto i tēnei wero me ngā raruraru o mua. whakamahere. E ai ki ta mātou, i roto i tēnei whakamahere , I ngā wā noa, ka whakarārangitia tō tātou ka hāpaitia ētahi whakaaro, ētahi kōwhiringa Whakamahere Pae Tawhiti ki a tātou huarahi mō kia whakaeteete ake tātou. Mō te nuinga o ēnei tekau tau whai ake nei. Ōrite anō te whakamahere kōwhiringa, he ‘Trade-off’. Kāore mātou e mahia o nāianei – engari i roto i te horopaki o te te katoa o ngā mea i runga i te rarangi hiahia – nā whakaterenga o Mate Korona, he whakaoranga te mea me utua kētia ngā mea i runga i te mahere ohaoha, he tīmatanga anō ki te kaha ake, ki pūtea. te whakawhāitinga ake, ki te aumanga ake o Ka tūtohua tēnei whakamahere i tētahi whakarahi Whāngarei. rēti, tētahi whakarahi kōtahi anake, ko 6.5%, ki Ahakoa te mate urutā, nō te te mate urutā pea, he te 2021-22 tau ahumoni, hei hīpoki te takarepa Rohe whakapakari tonu tātou. Nō reira, e rua e rua o ō tātou whakarahi reti iti iho o tērā tau. Kāore ō tātou whakaarotau: e mātou ka whakaarotia hāramuramu tēnei • te whakapai o ō tātou huarahi, me ēra atu whakarahi; ko te kōwhiringa tino pai ki a mātou hei nekeneke kōrerotia te pūtea me ngā matea o tō tātou Rohe whakapakari. • te whakariterite mō te ahuarangi ora , me te arotahinga i te whakauka Ko tō mātou wawata kia whakauka – mō te taiao me ngā hapori whānui, ā ko tō mātou wawata • te whakahaumanu o te rito o te tāone hoki kia whakawhāiti ake hei āwhina ngā tāngata • te tautoko o Te Kāwanatanga o Aotearoa mō te katoa e noho mai nei. Ko te kaupapa o tēnei hanga whare Whakamahere Pae Tawhiti, hei whakarawe te pakiaka me ngā ratonga kia aumangea ake tō tātou • te hapahapai o ngā āheinga ā mua – ōrite i te wāhi, tō tātou hapori whānui me te ōhanga. whakawhānui o Northport, i te whakaneke o te Tauā Moana Ko tēnei tō koutou kōwhiringa/wā kia āwhina te whakaahu o tēnei tīmata anō. Kōrerotia.

8 A year on from the arrival of COVID-19, we are This Plan proposes a one-off, larger rates increase living through some interesting times. Not much totalling 6.5% in the 2021-22 financial year, to can be predicted, but we still need to plan. Your cover the shortfall from our smaller rates increase consideration of our key issues and challenges, and last year. This is not something we take lightly; we your input into this Plan, is now more important are putting this forward to you as the best option than ever. for funding what’s needed for our growing District. In less eventful times, our Long Term Plan sets We want to be sustainable – both for our our direction for the next 10 years. Our current environment and communities, and more inclusive Plan does the same – but within the context of to ensure all who live here see the benefits. This navigating COVID, an economic recovery, and Long Term Plan is about providing infrastructure a reset towards a stronger, more inclusive and and services to make our place, community and resilient Whangārei. economy more resilient. Despite the pandemic, or perhaps because of This is your time to help shape this reset. Please it, we are still a growing District. This means our have your say. priorities remain the same: Sheryl Mai, • improving our roads and other ways of Mayor getting around • preparing for climate change and focusing on sustainability • revitalising our City Centre • support central government on housing • advocating for future opportunities – like Northport expansion and Navy relocation. A combination of forces at play right now are enabling our District’s reset. Some central government funding will drive projects that will support our recovery; but alongside this, there is also appetite for new thinking and approaches to solve longstanding challenges. In this proposed Plan, we raise ideas and options that we believe will take us forward. Nearly all these options come with trade-offs. We can’t afford to do everything on the wish list – and what we have included in the budget needs to be paid for.

9 WHERE WE ARE TODAY ĀNEI MĀTOU I TĒNEI WĀ

It’s been a bumpy ride since we worked with We take heart in the fact that some things you on our last Long Term Plan back in 2018. haven’t been as bad as predicted; at the same Pre-pandemic, our focus was on keeping time, we know things could change quickly. We ahead of growth. We were busy investing in also know that parts of our community are still infrastructure to accommodate our growing dealing with the impacts of COVID-19 and will population and delivering on our promises to continue to do so for some time yet. our community. We are realistic about what lies ahead and COVID-19 then hit, and things became a have a plan to navigate the best and the worst bit shaky. of times. A year on, we have regained momentum. The Our District needs to plan for future COVID-19 effects of COVID-19 are still being felt by many, resurgences and stay focused on building but many of the wider impacts have been resiliency throughout our recovery. different to what we all expected: With careful optimism, we are taking this • Whangārei has seen sustained growth opportunity to develop a 10-year Plan that throughout COVID-19. Many of the things that enables our District to recover and reset attract people north (like more affordable – building a more inclusive, resilient and housing than is available in main centres and sustainable Whangārei for all of us to live in better lifestyle) have still held their appeal and enjoy. • our local tourism market is primarily domestic, which means we’ve been less affected than other parts of New Zealand • the impacts on employment haven’t been as expected. House prices have continued to rise – putting even more pressure on housing.

10 OUR MOST IMPORTANT NEEDS HAVEN’T CHANGED

While a lot has changed, some things remain just as important as ever. Many of these came through your feedback on our Annual Plan consultation last year:

We need to get the basics right Preparing for future COVID-19 for Whangārei resurgences This means continuing to look after and invest The uncertainty of a pandemic means that in key infrastructure like our roads, pipes, and we need to plan for the possibility of future community spaces. COVID-19 resurgences and lockdowns. We need to stay future focused Should our District go into sustained lockdown again, we would do what we can to support Growth has been sustained and we need to our community. Proposed rates increases may keep ahead of this. Whangārei is not far off need to be reduced and cuts could be made to hitting a population of 100,000 – and we are operational budgets. To lessen the impact on expected to grow to about 115,000 people by service delivery, we could look to use debt to 2031. We need to ensure our infrastructure, replace lost revenue in a particular year. If we facilities and services can cater to a growing were to do this, we would stay within our debt District and meet the needs of a growing limit (see `What we need to borrow' section). population of older residents. This may result in an unbalanced budget. Any We need to meet changing expectations reduced rates increase in a particular year We all want to see Whangārei thrive. could be recovered throughout later years of Expectations around what people want to see the Plan by implementing an additional `catch- and experience in Whangārei have increased – up' increase like what we are proposing in this but to do more, we need to spend more. This Plan. This approach provides us with flexibility includes spending money on things like the without changing our direction. effects of climate change, improving our roads, See www.wdc.govt.nz/COVID19 for and revitalising our City Centre. more details. Housing remains a challenge Just like the rest of New Zealand, housing is a key issue for us. We have enough land and infrastructure to meet future demands for housing. But we have a limited choice of housing options and affordability is a severe issue. With most of the housing decisions made at the central government level, we have a supporting role to play here.

11 YOUR ASPIRATIONS FOR WHANGĀREI Ō KOUTOU WAWATA MŌ WHANGĀREI

Council’s job is to take on board the things our community wants and expects from us – like providing services and managing infrastructure (things like roads, parks, playgrounds and water pipes). We hear this feedback in a variety of ways, through formal consultations and engagement, public meetings, online, or the conversations you have with your elected members.

12 RAISING THE BAR This additional spend on housing adds further weight to our intention to partner with central Based on feedback from our community, government on this important issue. We need to Council has identified a set of priorities to work together to ensure housing in our District deliver improvements on: meets the needs of our community. • transport (roading, public transport and other BITING OFF MORE THAN WE ways of getting around) CAN CHEW? • revitalising our City Centre (creating quality public spaces for people to enjoy shopping, This is an ambitious Plan. There’s a lot in here eating out, working and living in the that we want to make happen for Whangārei City Centre) – especially with our roads and other ways of • sustainability (including waste minimisation getting around. and responding to climate change). We will all benefit from these projects in You will see these priorities woven through this the long term – and in the short-term, these proposed Long Term Plan. projects will create jobs, provide certainty for the construction sector, and help keep money Council has also identified two other flowing through our local economy. key priorities: As a District, this Plan also allows us to • potential Northport expansion and/or benefit from Government funding through Navy relocation COVID-19 response programmes like the Crown • housing. Infrastructure Partners (CIP) programme for ‘shovel ready’ projects. This will help us deliver At this time, housing and any potential projects like the expanding and upgrading of opportunities like Northport expansion or Navy Port Road. relocation are things that we can continue to strongly advocate for on behalf of our THINGS THAT MIGHT SLOW District. While not explicitly included in our proposed Long Term Plan, we will continue to US DOWN plan for growth while decisions are made by There are a few constraints that we need to central government. work around – things like the capacity of local Pensioner housing contractors to do the work, the availability of central government funding for projects and Although the response to New Zealand’s resourcing of our Council workforce. housing challenge is being led by central government, Council does play a Potential local government reform supporting role. Uncertainties all Councils are dealing with right We offer pensioner housing, which provides now include potential changes to the Resource safe, affordable and age-friendly units for Management Act and the Three Waters independently living retirees in our District. Reform for the management of drinking water, stormwater and wastewater. We are actively In this draft Plan, we have $5.1m budgeted for involved in these processes and are doing our renewal and maintenance of Council’s existing best to ensure the right outcomes are achieved pensioner housing, as well as an extra $2m over for Northland. the first four years of the Plan for new pensioner housing stock.

13 THREE WATERS REFORM MAKING IT EASIER TO Northland Councils were already GET AROUND working to integrate and work through opportunities for delivery of three waters One of the things we are doing differently services and infrastructure, ahead of the in this LTP is boosting the budget for central government reforms announced in transportation infrastructure – making more 2020. We have signed the Memorandum money available for improvements to roads, of Understanding (MoU) with central road sealing extensions and developing government, opting in to the first stage of walkways and cycleways. the reform and stimulus programme. The Transport infrastructure MoU commits Council to engage in the first improvements include: stage of the reform programme – including a willingness to participate in the reform • a $47m increase in road sealing over the objectives and the core design features set ten years of the Plan out in the MoU. Council has secured $11.8m • Riverside Drive and Onerahi Road of government funding for this phase. In upgrades April/May 2021, the Government is expected • new and extended cycleways and shared to make substantive decisions on the next paths in Kamo, Bream Bay and the steps for reform. Council will be asked City Centre. to participate in the new service delivery system in the form of an opt-out approach. You can read more about our other upcoming projects a little further on. This means Council's Water Services would be included in one of the new water entities by default, but can decide not to participate. Government will consult with communities on this proposed change in late 2021. Regardless of the outcome of the reforms, our LTP and Infrastructure Strategy includes three waters management and projects. For more information of the government TELL US WHAT YOU reforms visit www.dia.govt.nz/three-waters- reform-programme THINK Financial constraints Do we have these priorities right? Are we on the right track? There are also financial constraints – we talk some more about these in the next section. At the end of the day, we think it’s important to aim high. We’ll do our very best to deliver as much as we possibly can for our District.

14 PARTNERSHIP WITH MĀORI Whangārei District Council is committed to Māori participation in decision making. In 2020 the Te Kārearea Strategic Partnership Forum Standing Committee was established after many years work by hapū and Council. Council also voted to establish one or more Māori wards for the 2022 and 2025 triennial Local Government elections. Partnership with Māori helps us deliver all our collective aspirations for Whangārei – working closely together on decision making, early project planning and programme delivery.

15 UNCERTAINTY AND FORECASTING ASSUMPTIONS The impacts of COVID-19, climate change and changes to government policy mean that the environment we operate in is much more uncertain. This means our financial projections are subject to higher levels of uncertainty and are more dependent on the forecasting assumptions that we make. The key assumptions with high levels of uncertainty and that have an important impact on our projections include:

ASSUMPTION WHAT WAS ASSUMED OTHER OUTCOMES

COVID-19 related Border controls will remain in line with Alert Further lockdowns could happen or border government health Level 1 to December 2021 and no further controls could remain in place longer than restrictions lockdowns occur. expected. This would reduce our projected revenue. Population, Council has estimated that the population will If population growth is higher than expected, development, increase to around 115,225 people by 30 June rates revenue would rise but Council may need growth and aging 2031. to increase the provision of infrastructure and services. The reverse is true for lower than Growth for the early years of the Plan is lower expected population growth. than previously expected. Council will need to adjust to the changing We have assumed our infrastructure and needs of an aging population. services will cater to an aging population. Government-led While this programme is likely to result in The potential outcomes are varied and could water reform some fundamental changes, at this stage, have a significant impact on the Council programme there is not enough certainty over the form of group's finances and services we provide. the change to reflect in this budget. Government We have assumed that government If government funding decreases, subsidy- funding contributions (via Waka Kotahi NZ Transport dependant projects are likely to be impacted. Agency funding, Crown Infrastructure Partners Council will need to work through these, and the Provincial Growth Fund) will continue along with the impact on debt and project at the same material rate as previously agreed prioritisation, and/or the impact on balanced and increase in some areas (transport and budget where projects are removed. Oruku Landing). Capital do-ability Council is assuming that local contractors If local contractors do not have capacity will have enough capacity and resourcing to deliver the capital works programme or to complete our capital works programme material prices rise significantly, or external without significant changes to the cost of funding is not received, projects could be materials. delayed, reprioritised or removed. Asset data While we have a reasonable level of certainty Where we have lower levels of confidence confidence on the conditions of most of our assets, we (particularly in Stormwater) we may find we acknowledge that we don’t have a full picture need to spend more, or less, on renewing on the current state of our underground assets assets. This would result in adjustments to the condition in particular stormwater assets. We timing of spend within the plan. acknowledge the lower level of knowledge and Council is putting programmes in place to improve it in the future. Our forecast renewals have taken into account our formal and informal knowledge about age, condition and performance in forecasting our renewals programme.

More information can be found on our website www.wdc.govt.nz/HaveYourSay

16 HOW WILL WE PAY FOR WHAT WE NEED? ME PĒHEA Ō TĀTOU HIAHIA E UTU AI?

When we consider our rates income, we try to propose an increase that will: • be sustainable • allow us to maintain our levels of service • provide a level of consistency for our rate payers • prepare for future growth • provide a financially prudent budget; all while keeping in mind affordability for our rate payers. As we work through some of the options we want your feedback on, you will notice that the lower cost options may not necessarily result in a rates reduction. Instead we will reallocate these rates to one of our other service delivery areas or reduce debt. Our preferred approach is to maintain a consistent rates increase throughout the Plan to help us meet our overall objectives. This also provides us some flexibility to adapt to our ever-changing environment and be prepared for the unexpected. CHANGES TO RATES When COVID-19 hit last year, we decreased our planned rates rise from 4.2% (excluding growth) down to inflation only (2.2%) to take some pressure off families and businesses. This smaller rate increase provided some relief over the COVID-19 lockdown, but sustained growth throughout COVID-19 has put pressure on our ability to keep delivering the things our growing District needs. With a need to keep maintaining and investing in core infrastructure, preparing for future growth and delivering projects for our community, we are proposing a one-off rates ‘catch up’. This would mean an additional 2% increase for 2021-22 to make up for the previous year’s smaller rates increase. This will allow us to maintain our current service delivery and allow us to invest what’s needed to make Whangārei an even better place to live, work and play.

17 OPTION 1: OUR PREFERRED OPTION OPTION 1* For this LTP we propose sticking with an annual rates rise of 2%, plus Local Government Cost Index (LGCI). For Year 1 only (2021-22) we are also proposing adding YEAR ONE an extra 2% to make up for the smaller rates rise last year. ↑6.5% For 2021-22, this would look like: What impact will it have on rates? ↑$2.66 2% 2.5% per week for average residential overall rates LGCI increase + household YEARS TWO TO TEN ↑4.5% What impact will it have + ** on rates? 2% = 6.5% ‘catch up’* ↑$1.84 per week for average residential *2% ‘catch up’ to make up for the smaller household than planned rates increase in 2020-21. **6.5% for Whangārei’s average How will this option impact residential property. our levels of service? For every other year of this This option would allow Council Long Term Plan: adequate funding to deliver all activities and services as outlined in this Draft Long Term Plan. *The draft Plan has been prepared based on this preferred option 2% 2.5% overall rates LGCI increase +

Council is consulting on changes to general rates only (not the proposed changes to 4.5% water or wastewater rates described on = page 21).

18 RESIDENTIAL LIFESTYLE property in urban area with a property with a land value of land value of $291,000 $570,000 Actual Proposed Actual Proposed 2020-21 rates 2021-22 rates 2020-21 rates 2021-22 rates $2,131 $2,269 $2,048 $2,181 That's an increase of That's an increase of $2.66 $2.56 per week per week

RURAL COMMERCIAL property with a land value of property with a land value of $2,570,000 $496,000 Actual Proposed Actual Proposed 2020-21 rates 2021-22 rates 2020-21 rates 2021-22 rates $8,533 $9,087 $8,889 $9,467 That's an increase of That's an increase of $10.67 $11.11 per week per week

The above are randomly selected samples of properties from our District. Road seal extension rates, water rates and flood protection rates are not included. Proposed rates for each property is available on www.wdc.govt.nz/RatesSearch. 19 OPTION 2 OPTION 2: ANOTHER OPTION LIMIT THE RATES INCREASE Another option would be to limit the rates increase to LGCI plus 2% only across the ten TO LGCI PLUS 2% ONLY years of the Plan. If we choose this option What impact will it have and do not do a ‘rates catch up’ in 2021-22, on rates? we will need to make cost reductions. These will impact the delivery of services ↑$1.84 and projects. It will also mean we’ll remain per week for average behind in future years until a catch up residential household is undertaken. How will this option impact our levels of service? The impact over the 10 years of the Plan of not having the 2% catch-up in Year One is $18m. To compensate for this loss in income, we would need to make efficiencies, which will impact on LGCI our ability to provide things to the 2.5% standard our community expects.

WHAT IS THE LGCI? You might be familiar with the Consumer Price Index (CPI), which is a method used to calculate how the buying power of the average consumer’s dollar has changed over time. The CPI is based on common items such as food and housing. As we do not buy the same items as the general consumer, most local authorities use the Local Government Cost Index (LGCI). Similar to CPI, it measures the buying power of Council, e.g. oil prices, infrastructure construction costs. The impacts of COVID-19 caused significant fluctuations in the forecasted LGCI rates across the first few years of the Plan. To reduce the impact of this we have calculated an annual inflation adjustment of 2.5%, which is the average rate of the 10 years of the LTP. This is referred to as LGCI throughout this document.

20 CHANGES TO WATER RATES Our proposed Plan is to limit the water rates increase within this LTP to inflation only. A water rates increase is necessary to start PROPOSED WATER RATE building our funding to enable us to support INCREASES proposed investment in this activity over the Years one-ten term of the Plan. The funding of our water service will be re-assessed as part of the ↑2.5% upcoming Three Waters reform. Inflation only (LGCI)

CHANGES TO WASTEWATER RATES We propose increasing the targeted rate for PROPOSED WASTEWATER wastewater by LGCI each year, plus an extra RATE INCREASES 4% in Year 1 (this includes a COVID-19 ‘catch- Year one up’ of 2%), an extra 2% in Years 2 and 3 and no additional increases in Years 4 to 10. This will provide enough investment for good ↑6.5% management of our existing wastewater Inflation (LGCI) + 2% + one-off 2% infrastructure, as well as future proofing COVID-19 catch up for growth. Years two-three ↑4.5% Inflation (LGCI) + 2% Years four-ten ↑2.5% Inflation only (LGCI)

21 WHAT WE’LL NEED TO BORROW ME NAMA MAI MĀTOU

We borrow money to pay for significant assets that last for many years. If long-term assets were paid for solely from the rates collected in the year they were built, today’s ratepayers would be paying the entire cost of assets that our future ratepayers would use in the years ahead. The way around this is to use debt to fund assets, which allows us to share the assets’ costs between current and future users. That way, all the people using an asset end up paying for it over its lifetime. Spreading of costs over multiple years is known as ‘inter-generational equity’ and is standard practice throughout the local government sector.

KEEN TO FIND OUT MORE? For more information on our 10-year budget, including all our funding sources, look at the Financial Strategy and Revenue and Financing Policy on our website. www.wdc.govt.nz/HaveYourSay

22 GOVERNMENT FUNDING Continuing to deliver the projects our community has requested is important to our residents, and to our economic recovery. Investing in projects will help keep Northlanders in jobs, while improving our place in ways that we’ll all benefit from. We have applied for a significant amount of government funding, especially for transportation projects like road improvements or shared paths and cycleways. If we are not successful in securing all funding, our options are to cover the shortfall with debt, or in some cases, remove the project from our capital works programme. Even with extra borrowing, our overall debt levels will still sit comfortably within our limits and will be smaller than many other growing districts around New Zealand.

WE ARE PROPOSING BORROWING MORE The amount of debt in this year’s proposed Long Term Plan is higher than in our last one – reaching a projected peak of $361m in this Plan compared to a peak of $242m in the 2018-28 LTP. This comes back to working towards the shared aspirations for our place. We have seen the impacts of under investment in our District in the past, and we don’t want to leave problems that future generations must solve. By using strong financial management and forward vision now, we can take sensible steps to help us keep ahead of growth in a considered and managed way. The graph below shows that even with our increased debt forecast, we still have sufficient headroom before we reach the debt limit set in our Financial Strategy.

Forecast net debt for 2021-31

Forecast net debt Net debt headroom

$ m $m $m $m $m $m $m $m $m $ m

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23 SPACES FOR GATHERING NGĀ WĀHI HEI HUIHUINGA

Along with things like roads and pipes, we also invest in community facilities that bring us together, celebrate our arts, culture and heritage, and attract performers and events to our District. Investing in these spaces also provides extra momentum with our economic recovery by creating jobs in construction and creating ongoing employment opportunities. New community facilities will also be great for our central city area – bringing more people, fun, and events to Whangārei. WE NEED TO BE MINDFUL OF OUR SIZE Several options have been tabled over the last few years, and all have something great to offer – but in deciding what to move ahead with, we need to keep in mind the size of our population, and our capacity to fill multiple new venues. We’re growing, but we need to be careful not to invest in too many venues too quickly for a District of our size. HERE'S THE JOURNEY SO FAR

$10 million of Opening of In , Forum LATE , the funding for a Stage 1 of the North Trust 2013 Government theatre allocated unique and presented an oﬀered $60m to in the LTP. iconic Hihiaua option to help build the This is yet to Cultural Centre redevelop Forum Oruku Landing be spent. in , which North as a Conference was supported in theatre. Centre. part by Council.

24 WHAT NEXT? OPTION 1: OPTION OUR PREFERRED OPTION 1a Our preferred option is to allocate budget across three sites: • Oruku Landing Conference and Events Centre ORUKU LANDING • Hīhīaua Cultural Centre CONFERENCE AND • existing facilities at Forum North as outlined below EVENTS CENTRE – (note this would not include building a full new $97M ASSET theatre complex at Forum North). How will this get Oruku Landing Conference and Events Centre paid for? The Government has offered a $60m grant from the $74m COVID-19 Response and Recovery Fund to build the Funded by a grants Oruku Landing Conference and Events Centre on (government and NRC) Riverside Drive. This multipurpose centre would be available for $23m conferences, functions, and community events. There Funded by debt are also plans for a waterfront boardwalk, bridge and ferry terminal. $3m We think that a $60m investment is a significant Operational expenses opportunity for our District. Many of us will benefit – funded by rates from the conference and events centre, and there’s (per annum) a good chance that having a world-class conference facility in Whangārei will also help attract investment What does this mean in a large four-star hotel, which would be a major win for my rates? for our District. This cost has been WHAT ROLE WILL COUNCIL PLAY? included within the To secure the $60m government grant, Council would proposed rates increases need to fund an additional $23m to pay for the related on page 17. infrastructure, things like roading, stormwater and wastewater networks. An additional $14m grant is expected from Northland Regional Council for fit out. This infrastructure will also benefit the wider Riverside Drive area – especially with flood prevention. OPTIONS 1A, 1B & 1C It is proposed that Council take ownership of this construction project, which will see the Oruku If these options don't Landing Conference and Events Centre built as go ahead, the rates a Council-owned community asset. This means increase would remain Council will manage the construction costs and as detailed on page 17 take responsibility for the long-term maintenance and the funding would and depreciation of the facility. This will also mean be reallocated. that Council would be responsible for any liability or cost overruns. 25 Hīhīaua Cultural Centre Forum North improvements We also propose to provide $5m starting in We also intend to make improvements to Year 2 of the LTP to Hīhīaua Cultural Centre the existing facilities at Forum North in the to support its continued development as later stages of this Long Term Plan. The Plan a community landing space and a unique currently includes $12m for these upgrades. centre of Māori arts and cultural excellence. Stage 2 of this development includes an indoor/outdoor performance stage, OPTION conference centre and theatre, and an exhibition hall. IMPROVEMENTS TO 1c EXISTING FACILITIES AT OPTION FORUM NORTH – $12M 1b ASSET HĪHĪAUA CULTURAL How will this option get CENTRE – *$5M GRANT paid for? EXPENSE How will this option get $12m paid for? Funded by debt $5m $0.7m Funded by rates Operational expenses – funded by What does this mean for rates (per annum) my rates? What does this mean for This cost has been included in my rates? years two and three of the LTP and covered by the proposed rates This cost has been included within increases on page 17. the proposed rates increases on page 17. *This grant would be spread over years 2 and 3 of the LTP. The cost would be spread to allow us to operate within our financial parameters and minimise the impact on ratepayers in any given year. Alternately Council could look at funding it through a targeted rate through a subsequent Annual Plan (once the timing of the grant is confirmed). OPTION

OPTION 1 – A, B OR C 2 How will this option get OPTION 2: paid for? ANOTHER OPTION Refer to individual Another option would be to put budget towards breakdown above. only ONE of the following: What does this mean for • Oruku Landing Conference and Events Centre my rates? • Hīhīaua Cultural Centre The rates increase would remain • improvements to existing facilities at as detailed on page 17, and the Forum North. funding would be reallocated.

26 OPTION 3: AN ALTERNATIVE OPTION OPTION 3 Either Council or the Forum North Trust 2013 could build a new 800-1000 seat theatre on the current Forum North site once the COUNCIL-OWNED – Council offices have moved (scheduled for 2022). This would involve demolishing the $55M ASSET existing ‘engineering block’ once Council How will this option get offices are relocated to the new Civic paid for? Centre and building a new theatre, which would sit alongside an upgraded Capitaine $55m Bougainville Theatre and Cafler Suite. Funded by debt This option would include developing capacity to build a local theatre programme, $4m alongside hosting visiting shows. Operational expenses What would it cost? – funded by rates (per annum) Construction of the new Council owned $55m theatre would be debt-funded. Once What does this mean built, there would be depreciation and an for my rates? additional annual $4m in operating expense A potential rates increase that would be funded through rates. This of 4.4% may be required. money would enable the theatre to curate its own productions. Generally, annual operating grants we pay to the community are funded by our rates income. When we have a significant capital grant, our Revenue and Financing Policy allows us to fund the grant by borrowing. However, debt funding of capital grants is not desirable when Council will not have ownership of the resulting asset. While the outcome would be the same whether the theatre was constructed by Council or a Trust, construction by Council would also allow Council to manage risks associated with the project, resulting in a debt funded Council asset. As such construction of a theatre by Council has been analysed under Option 3.

27 CLIMATE CHANGE AND SUSTAINABILITY TE AHUARANGI ORA ME TE WHAKAUKA

The effects of climate change are being felt across the country. Although there is some uncertainty regarding global emissions and climate risk, our communities are already experiencing real changes with things like sea level rise and flooding. We recognise that urgent action is required at all levels of government to respond to climate change and reduce the risk of further harm, firstly by reducing emissions. We need to look at reducing the emissions from our own operations and supporting the community in becoming more sustainable. As a Council we have a role in planning for and managing the impacts of climate change on the things we value, and to help local communities to become more resilient. Through the work we've done so far, we understand at a District-wide level how we are likely to be impacted by events such as flooding and sea level rise. This information includes climate change assumptions and will inform future District Plan decision-making, as well as forming a foundation for the local level climate risk assessment we're proposing through this LTP.

28 HERE'S THE JOURNEY SO FAR

MAY Council Council begins JULY Council MARCH Council became a signatory to participation in Te Tai declared a climate starts developing a the LGNZ Climate Tokerau Climate change emergency. Climate Action Plan for Change Declaration. Change Action Group, Whangārei. committed to reducing NOVEMBER JUNE emissions. Te Huinga forum of DECEMBER Te Taitokerau councils hapū representatives Te Taitokerau councils NOVEMBER began collaboration on join collaboration on agree to establish a joint Council adopted the a regional approach to climate change climate change Corporate climate change actions. adaptation standing Sustainability Strategy. adaptation. committee which includes representation from hapū and iwi.

WHAT NEXT? OPTION OPTION 1: OUR PREFERRED 1 OPTION We have made progress since the last LTP in the area of climate change. However, new funding is needed PUT $3.7M (AN to meet our community’s expectations and manage AVERAGE OF $370K adaptation responses to climate change. PER ANNUM) OF We have put $3.7m of new funding towards climate NEW FUNDING change and waste minimisation (an average of $370k TOWARDS CLIMATE per annum across the 10 years of the Plan). This CHANGE MITIGATION would include: AND ADAPTATION • adaptation – funding to work with the community AND WASTE to better understand climate change risks to the MINIMISATION things we value (things like sea level rise, drought How will this option and flooding) and plan a response. get paid for? • mitigation – funding to better understand and then reduce emissions from the services we provide for $3.7m the community. Funded by rates • waste minimisation – funding to improve What does this mean community awareness and delivery of our waste for my rates? minimisation programme. This cost has been This will allow us to make informed decisions to be included within the effective in reducing our impact on climate change. proposed rates increases We could also begin working with our communities to on page 17. manage adaptation responses to climate risks.

29 OPTION 2: OPTION 3: DO MORE DO LESS We could increase the amount of new – STATUS QUO funding to: We could choose to not allocate funding for • enable us to complete risk assessments climate change mitigation and adaptation across more communities in our District and to maintain the existing funding to the • accelerate the reduction of Council's waste minimisation programme. emissions, and better support the However, this option puts us at risk of not community to reduce their own, including meeting our legislative requirements for emissions from waste climate change adaptation. We would • improve waste minimisation outcomes also not be able to deliver on the strategic including supporting better use of organic commitments we have made regarding materials. sustainability and climate change. This option would also impact the levels of service for waste minimisation that we deliver to the community.

OPTION 2 OPTION

PUT $7.4M (AN AVERAGE 3 OF $740K PER ANNUM) OF NEW FUNDING TOWARDS CLIMATE NO NEW FUNDING CHANGE MITIGATION AND TOWARDS CLIMATE ADAPTATION AND WASTE CHANGE OR WASTE MINIMISATION MINIMISATION How will this option get What does this mean for paid for? my rates? The rates increase would remain $7.4m as detailed on page 17, and the Funded by rates funding would be reallocated. What does this mean for my rates? Half of this funding is already included in the Plan (and covered by proposed rates increases). The additional $3.7m ($370k per annum) under this option may result in a potential rates increase of a further 0.4%.

30 31 REVITALISING OUR CITY CENTRE WHAKAORATIA TE RITO O TŌ TĀTOU TĀONE

We have some big plans to bring new life to our City Centre. We want to: • build better connections from the City Centre to our waterfront • make pedestrians the priority on John and James Streets • create streets where people live, work and play. This work is just one part of a bigger vision within our City Centre Plan, City Core Precinct Plan and Complete Streets Masterplan. These plans outline projects that create an attractive City Centre for residents, businesses, employees and visitors. Read more about it at www.wdc.govt.nz/CityCore

HERE’S THE JOURNEY SO FAR

A shared strategic vision Next came more detailed In Council was set in the Whangārei planning around the supported the Complete City Centre Plan back revitalisation and Streets Masterplan. This in . rejuvenation of the city includes two key projects centre with our prioritised by Council: award-winning City Core improvements to Plan in . James St and John St.

32 WHAT NEXT? OPTION 1: OPTION OUR PREFERRED 1 OPTION We propose spending $13m to make improvements to James and John St. This SPEND $13M TO MAKE would include: IMPROVEMENTS TO JAMES • more pedestrian spaces including seating AND JOHN ST and native planting How will this option get • reducing vehicle access to allow for paid for? outdoor dining, markets and other events and activities $13m • new street lighting and street furniture. Funded by debt These streets would provide a much-needed connection to the waterfront and be spaces $0.7m that can easily come alive in a variety of ways Operational expenses – funded by – including better dining areas and markets. rates (per annum) Investment in our streets will support What does this mean for and encourage private development and my rates? business. This cost has been included within the proposed rates increases on page 17.

33 34 OPTION 2: OPTION 3: DO MORE DO LESS Add more funding to enable us to make Another option is to not spend any additional similar improvements to Cameron Street or funding on the City Centre. This would mean Robert Street, along with James Street and that we would maintain the current design of John Street. the existing streets and footpaths.

OPTION OPTION 2 3

SPEND $21M TO MAKE NO ADDITIONAL SPEND IMPROVEMENTS TO JAMES ON THE CITY CENTRE AND JOHN ST AS WELL REVITALISATION AS EITHER ROBERT ST OR How will this impact debt? CAMERON STREET Planned debt would reduce How will this option get by $13m. paid for? What does this mean for $21m my rates? Funded by debt The rates increase would remain as detailed on page 17, and the $1.1m funding would be reallocated. Operational expenses – funded by rates (per annum) What does this mean for my rates? The majority of the operational funding is already included in the Plan (and covered by proposed rates increases under Option 1). The additional costs under this option may result in a potential rates increase of 0.4%.

35 NORTHLAND EVENTS CENTRE TE WĀHI KAUPAPA O TE TAI TOKERAU

NEW GOVERNANCE MODEL FOR NORTHLAND EVENTS CENTRE Following construction of the Northland Events Centre, Council entered into an agreement with the Northland Events Centre Trust (NECT) for NECT to manage and operate the facility. Council then agreed to provide the resources and support to NECT for the management the facility (for a management fee).

36 In June 2020 Council confirmed the WHAT WILL THIS MEAN expectations of the Northland Event Centre as: FOR OUR COMMUNITY? • operating as a multipurpose, community We are working with NECT on changes that facility for the benefit of Northland will set the new trust up for success from an operational and governance point of • delivering large events which raise the view. From a day-to-day perspective, the profile and contribute to the vibrancy of Northland Events Centre should still look and the District/Region feel the same for our community. • being managed on a commercial basis according to industry best practice OUR PREFERRED OPTION • being financially successful based on We are proposing to move to a full trust contribution to the economic impact model for the Northland Events Centre. on local businesses, rather than on This means the Trust will govern and hold profit generated management responsibilities. Council's • delivering the outcomes of the Whangarei contribution to the new Trust is estimated at District Council Events Strategy – building $670k per annum (of which $305k is existing local confidence, local capability and funding) with the Trust also expected to earn local connection external revenue streams (i.e. commercial sponsors and external grant funding • acting as a hub to support sporting codes where possible). in a post-COVID-19 environment This trust will be set up as a Council- • attracting external funding to support Controlled Organisation, which will employ facility development and event delivery. managerial, operational and support staff. Having done so Council then considered A Council Controlled Organisation is an three options for the future governance of organisation that Council can appoint at the stadium: least 50 percent of the directors or hold at least 50 percent of the voting rights. 1. Council in-house operation, where Council would govern and manage the The new governance model will help facility (in house) Northland Events Centre maintain its own identity and gain regional support, while still 2. a new trust governing the facility, with achieving the right economic and community management responsibilities remaining outcomes for our District and region. with Council (new trust lite) 3. a new trust governing the facility and holding management responsibilities (new trust full). At its July 2020 meeting Council endorsed a ‘new full trust’ as the governance model for the Northland Events Centre that would best meet expectations and enable the facility to TELL US WHAT YOU reach its full potential. THINK Have we got this right? Let us know your thoughts…

37 WHAT ELSE DO WE HAVE PLANNED? HE AHA ATU KUA WHAKAMAHERETIA E MĀTOU?

38 POTENTIALLY SIGNIFICANT PROJECTS Within the Plan are some potentially significant projects that Council has already discussed with the community. While these have already been through community engagement, resulting in an expectation that they will be delivered, they are generally higher cost projects that are likely to remain of interest to the public. More detail on the infrastructure projects can be found in our Infrastructure Strategy at www.wdc.govt.nz/HaveYourSay

RIVERSIDE DRIVE/ONERAHI ROAD FUTURE PROOFING OUR Populations in Whangārei Heads, Parua Bay WATER SUPPLY – POROTĪ WATER and Onerahi are expected to continue growing TREATMENT PLANT in the next 10 years. Riverside Drive to Onerahi As part of our drought resilience work, we is a critical route for the connection of these will be investing in a full upgrade of the Porotī communities to the city. The option we have Water Treatment Plant, as well as an intake budgeted in this Plan is to upgrade the existing and raw water pipeline from the Wairua River. road. The alternative of a bypass could also be considered. PORT/KIOREROA ROAD INTERSECTION UPGRADE WHANGĀREI WASTEWATER We’re making improvements to the intersection of Port and Kioreroa Roads to handle increasing TREATMENT PLANT ODOUR CONTROL volumes of traffic through this area. We’re upgrading the Whangārei Wastewater Treatment Plant over the course of this LTP to MORE MONEY FOR SEALING maintain this important infrastructure and help GRAVEL ROADS keep our harbour clean. We’re investing more in getting around with an increase of $47m for sealing gravel roads. We want to increase our level of service in this area, and better meet the expectations of our communities. CIVIC CENTRE IMPROVING OUR CYCLEWAY AND We are constructing a new Civic building in the SHARED PATH NETWORK City Centre, which will provide a welcoming, We have $37m in the Plan to keep improving inclusive and easily accessible customer our cycleway and shared path network. The experience for Whangārei residents. final stage of Kamo Shared Path is planned, NEW AIRPORT which will take the path right through to Concern surrounding our current airport’s Station Road. We also have plans for new ability to meet the District’s medium to long- cycleways in Bream Bay (Waipū to Waipū term aviation requirements has not changed. Cove), Raumanga and the City Centre. We will continue working to confirm a new Much of this work is dependent on subsidies airport location, as well as the planning from Waka Kotahi NZ Transport Agency. If this and consenting required for the new site. subsidy is not secured, changes could be made Operations from a new airport are likely to be to this programme. outside the 10-year window of this Plan.

39 ANIMAL SHELTER MAJOR NEW SPORTSHUB Council will be constructing a new animal We’re planning to purchase land for a major shelter facility, which will meet all regulatory new sportshub to support the things we do for requirements, provide a secure, safe and fitness and fun. friendly environment and meet the additional TOWN BASIN PARK demand as the population grows. The new Town Basin park will create a new green space on the river’s edge that will provide a hub for activities, social interaction and events and provide a key link between the FUNDING FOR COMMUNITY Town Basin, Hātea Loop and City Centre. We are continuing our investment in POHE ISLAND DEVELOPMENT community funding. We are also maintaining We have recently built two new carparks in this our Community Led Project budgets in area, and future projects include a destination Tikipunga, Maungatapere, Raumaunga, and playground, public toilets, bike hub, and Waipū. We also have a new community-led marine hub area. project in Onerahi about to start in March 2021. HIKURANGI SKATEPARK We’re gathering feedback from the local community on what they’d like to see in the upcoming refresh of the Hikurangi skatepark. CIVIL DEFENCE AND EMERGENCY WALKING TRACKS OPERATIONS MANAGEMENT We’re upgrading the Goetzee and Abbey Caves Council has provided for increased investment tracks for residents and visitors to enjoy. in the renewal and upgrading of tsunami SPORTSFIELDS sirens, along with an operational grant for Council is working with the Ministry of increased space within the Northland Regional Education to develop a community sportsfield Council's Emergency Operations Centre. at Parua Bay. We are also developing two new This facility will provide greater capacity for fields at Ruakākā and providing further support Northland to respond to any major emergency to the Tikipunga Football Hub. events, like tsunami or floods.

40 41 SOME OF OUR MAJOR PROJECTS FOR THE NEXT 10 YEARS Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10 $10.4m Parks and gardens asset renewals $18.3m Sportsfield land acquisitions $7.4m Sport and recreation renewals $14.1m Blue/Green Network programme $97.1m $12.4m Oruku Landing Conference Forum North and Events Centre improvements $5.4m Northland Event Centre stadium roof canopy

$8.1m Library books

$7.3m Pensioner housing

$5.7m Animal shelter

$33.9m Civic Centre $5.1m Portals and online services $4.2m ICT equipment replacement $6.9m Cloud strategy/ICT as a service $4.6m Application and system upgrades $24.7m Stormwater reticulation renewals $5.4m Stormwater treatment $5.8m Stream improvements Blue/Green Network $10.5m $6.6m Commercial property purchases Whangārei City Centre Plan implementation Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10

42 Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10 $8.7m $8.0m Whangārei WWTP odour control Ruakākā WWTP – upgrade design and consent $12.2m Whangārei Heads wastewater network upgrades $23.6m Wastewater network renewals WWTP building seismic upgrade $4.2m $4.5m Pump station renewals $26.3m Reticulation renewals $26.9m $5.3m Porotī WTP upgrade Otaika Valley to city trunk main renewal – Stage 1 and 2 $4.9m Onerahi trunk main upgrade – Stage 1 and 2 $4.0m Water meter renewals $5.7m WTP and equipment renewal $26.6m Unsealed road metalling renewals $61.6m Sealed road resurfacing $40.2m Sealed road pavement rehabs $8.7m $29.3m Port Road upgrade Riverside Drive/Onerahi Road (Onerahi bypass) $6.2m $7.1m Port Road/Kioreroa Road intersection and bridge 4-laning Marsden Point Road upgrade

$84.6m Minor safety works (Low Cost Low Risk) $22.7m Bridge and structural renewals $56.9m Seal extension – unsubsidised $16.8m Drainage renewals $18.2m Structures component renewals $10.0m Traffic sign and signal renewals $37.2m Cycleways/shared paths $5.2m $4.1m Waterfront to City Centre connection – James St Raumanga urban shared paths $9.1m Waterfront to City Centre connection – John St $2.1m $7.5m $5.1m Urban intersection upgrades $4.5m Springs Flat roundabout Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10

LOOKING BEYOND 2031 TIROHIA AKE A 2031

We’re also thinking about what the next 30 years looks like for Whangārei’s Transportation, Stormwater, Wastewater, Water, Solid Waste and Parks assets. Population growth and increasing community expectations, climate change, regulatory requirements, technology changes and our capacity to deliver capital works are the key things we are factoring in to this planning. Council is aiming to maintain the current levels of service across all our key infrastructure, along with a boost in funding for some transportation services (like the sealing of unsealed roads). We’re also making a step change in planning new and better ways to get around, including cycleways, shared paths and bus lanes. With a response to climate change becoming increasingly urgent, we’re funding a programme to work with communities to better understand the risks and opportunities and develop climate change adaptation plans. These risk assessments and adaptation plans will help shape the next few decades of our infrastructure management. Our infrastructure assets are in good shape with many of them at mid-life or lasting longer than projected. This means there is less risk of the failures that can come with older networks. We’re committed to maintaining and renewing these assets in a timely and responsible way. Our renewal programme and project planning ensure that the costs are fairly distributed over the next 30 years. Find out more in our Infrastructure Strategy at www.wdc.govt.nz/HaveYourSay.

45 POLICY CHANGES NGĀ TĪNI O NGĀ KAUPAPA

OTHER CHANGES TO OUR RATES AND REMISSIONS POLICIES We are also taking this opportunity to make some adjustments to our rates to make things simpler and fairer. Removing the early payment discount The current economic climate has seen interest rates significantly decrease. This has increased the cost of Council offering its 2% discount for early payment of rates. This cost has now risen to just over $330,000 this year, which is shared by all ratepayers. To make things fairer for all, we are discontinuing the discount for early repayment of rates until interest rates rise. Combining the Uniform Annual General Charge and District-Wide Refuse Rate The Uniform Annual General Charge and District-Wide Refuse Rate are charged on the same basis. To make things simpler on our rates assessment notice, and to reduce the Council administration required to process these, we have combined the Uniform Annual General Charge and District- Wide Refuse Rate. This has no impact on the amount ratepayers are charged. Other changes and adjustments The full list of changes to our rates and remissions are available in the Funding Impact Statement and the Rates Remission and Postponement Policy. These include changes to: • rating category definitions for the value-based general rates • qualifying residential properties, excluding properties with multiple households • remission for multiple Separately Used or Inhabited Parts of a Rating Unit for some ratepayers where the rates burden is inequitable • road sealing targeted rates for residents involved in Council’s programme of seal extensions • sector splits to fund our District fairly across sectors.

46 AUDIT OPINION TE WHAKAARO O TE TĀTARI KAUTA

To the reader: INDEPENDENT AUDITOR’S REPORT ON WHANGAREI DISTRICT COUNCIL’S CONSULTATION DOCUMENT FOR ITS PROPOSED 2021-31 LONG-TERM PLAN I am the Auditor-General’s appointed auditor for Whangarei District Council (the Council). The Local Government Act 2002 (the Act) requires the Council to prepare a consultation document when developing its long-term plan. Section 93C of the Act sets out the content requirements of the consultation document and requires an audit report on the consultation document. I have done the work for this report using the staff and resources of Audit New Zealand. We completed our report on 25 February 2021. OPINION In our opinion: • the consultation document provides an effective basis for public participation in the Council’s decisions about the proposed content of its 2021-31 long-term plan, because it: – fairly represents the matters proposed for inclusion in the long-term plan; and – identifies and explains the main issues and choices facing the Council and region, and the consequences of those choices; and • the information and assumptions underlying the information in the consultation document are reasonable. EMPHASIS OF MATTER - UNCERTAINTY OVER THREE WATERS REFORMS Without modifying our opinion, we draw attention to the disclosure on pages 15 to 16, outlining the Government’s intention to make three waters reform decisions during 2021. The effect that the reforms may have on three waters services provided is currently uncertain because no decisions have been made. The consultation document was prepared as if these services will continue to be provided by the Council, but future decisions may result in significant changes, which would affect the information on which the consultation document has been based.

47 BASIS OF OPINION We carried out our work in accordance with the International Standard on Assurance Engagements (New Zealand) 3000 (Revised): Assurance Engagements Other Than Audits or Reviews of Historical Financial Information. In meeting the requirements of this standard, we took into account particular elements of the Auditor-General’s Auditing Standards and the International Standard on Assurance Engagements 3400: The Examination of Prospective Financial Information that were consistent with those requirements. We assessed the evidence the Council has to support the information and disclosures in the consultation document. To select appropriate procedures, we assessed the risk of material misstatement and the Council’s systems and processes applying to the preparation of the consultation document. We did not evaluate the security and controls over the publication of the consultation document. RESPONSIBILITIES OF THE COUNCIL AND AUDITOR The Council is responsible for: • meeting all legal requirements relating to its procedures, decisions, consultation, disclosures, and other actions associated with preparing and publishing the consultation document and long-term plan, whether in printed or electronic form; • having systems and processes in place to provide the supporting information and analysis the Council needs to be able to prepare a consultation document and long-term plan that meet the purposes set out in the Act; and • ensuring that any forecast financial information being presented has been prepared in accordance with generally accepted accounting practice in New Zealand. We are responsible for reporting on the consultation document, as required by section 93C of the Act. We do not express an opinion on the merits of any policy content of the consultation document. INDEPENDENCE AND QUALITY CONTROL We have complied with the Auditor-General’s: • independence and other ethical requirements, which incorporate the independence and ethical requirements of Professional and Ethical Standard 1 issued by the New Zealand Auditing and Assurance Standards Board); and • quality control requirements, which incorporate the quality control requirements of Professional and Ethical Standard 3 (Amended) issued by the New Zealand Auditing and Assurance Standards Board. Other than our work in carrying out all legally required external audits, we have no relationship with or interests in the Council.

Carl Wessels Audit New Zealand On behalf of the Auditor-General, Auckland, New Zealand

48 HAVE YOUR GIVING US YOUR FEEDBACK You can tell us: • through the online submission form on our SAY website www.wdc.govt.nz/HaveYourSay • via email to [email protected] KŌREROTIA! • in person, by dropping off a completed feedback form at any Council Service Centre, or by calling our contact centre on +64 9 430 This Consultation Document outlines what we 4200 (0800 932 463) are proposing for the next 10 years. • by post, by sending your feedback to We want you to tell us what you think of this our mailing address as shown on the Plan, the options we have outlined, and what feedback form we are proposing. We are also consulting on changes to our fees and charges and various You may also like to support your formal policies. All of the supporting documents are submission by posting or messaging on available on our website. If you do not have Facebook, www.facebook.com/WhangareiDC. access to the internet or would prefer a hard copy, please call us to request them. How to make your feedback as effective as possible CONCURRENT • Use the feedback form and attach extra CONSULTATIONS information, if required. This means we have all the information we need to process Alongside this Consultation Document we are your feedback. also consulting on our: • Provide us with your contact details so we • Revenue and Financing Policy can email you, write to you or call you to keep • Rates, Remissions and Postponement Policy you informed. • Development Contributions Policy • Submissions on operational issues will be • Fees and Charges 2021-22 directed through our Customer Relations Management (CRM) process. Consultation on these policies and fees and charges will be publicly notified on Council’s website. People interested in the proposals will be able to present their views during a formal submission period from 1 March to 1 April 2021. This will be followed by formal hearings where any submitter may choose to speak to their submission.

49 LONG TERM PLAN 2021-31 FEEDBACK FORM THE CLOSING DATE FOR FEEDBACK IS THURSDAY 1 APRIL 2021 We would love your feedback on some key issues for our District. POINTS TO REMEMBER WHEN SUBMITTING YOUR FEEDBACK • Please print clearly. Make sure it can be easily photocopied, read and understood. • All feedback is considered public under the Local Government Official Information and Meetings Act, so it may be published and made available to elected members and the public. • Your feedback will not be returned to you once lodged with Council. Please keep a copy for your reference. • You can also attend a hearing, scheduled for 13-14 April, to speak to your submission. HOW TO GET THIS FORM TO US Mail to: Long Term Plan feedback, Whangarei District Council, Private Bag 9023, Whangārei 0148 Email to: [email protected] Deliver to: Customer Services, Forum North, Rust Ave, Whangārei or Ruakākā Service Centre, Takutai Place, Ruakākā

YOUR DETAILS

Name

I am making this submission as: An individual On behalf of an organisation

Organisation name

Postal address

Best number to contact you on

Do you wish to be heard in support of your submission at a Yes No traditional hearing on 13-14 April?

50 YOUR FEEDBACK

Please give us your feedback on the key issues raised in the Consultation Document.

KEY ISSUE – HOW WILL WE PAY FOR WHAT WE NEED – RATES OPTIONS (SEE PAGE 17)

OPTION 1: Rates increase in year one (2021-22) of 2% + 2.5% Local Government Cost Index (LGCI) + 2% ‘catch up’. Rates increase in years two to ten (2022-31) of 2% + 2.5% LGCI.

OPTION 2: Limit the rates increase to LGCI plus 2% only across ten years of the Plan

WHY?

KEY ISSUE – SPACES FOR GATHERING (SEE PAGE 24)

OPTION 1: Allocate budget across three sites (Oruku Landing Conference and Events Centre, Hīhīaua Cultural Centre, and existing facilities at Forum North).

OPTION 2: Put budget towards only ONE of the following: Oruku Landing Conference and Events Centre, Hīhīaua Cultural Centre, or existing facilities at Forum North. Please state which site in your comments.

OPTION 3: Build a Whangarei District Council–owned theatre on the current Forum North site.

WHY?

51 KEY ISSUE – CLIMATE CHANGE AND SUSTAINABILITY (SEE PAGE 28)

OPTION 1: Put $3.7m of new funding towards climate change mitigation and adaptation and waste minimisation.

OPTION 2: Put $7.4 of new funding towards climate change mitigation and adaptation and waste minimisation.

OPTION 3: No new funding towards climate change or waste minimisation.

WHY?

KEY ISSUE – REVITALISING OUR CITY CENTRE (SEE PAGE 32)

OPTION 1: Spend $13m to make improvements to James Street and John Street.

OPTION 2: Spend $21m to make improvements to James Street and John Street as well as either Robert Street or Cameron Street.

OPTION 3: No additional funding for the City Centre.

WHY?

TELL US WHAT YOU THINK – ANY FURTHER COMMENTS ON THE KEY ISSUES OR OTHER POINTS RAISED IN THE CONSULTATION DOCUMENT