Finance and Policy Committee Agenda - APOLOGIES
NOTICE OF MEETING
Notice is hereby given of the Meeting of the Finance and Policy Committee to be held in the Council Chamber, First Floor, Civic Administration Building, 101 Esk Street, Invercargill on Tuesday 6 March 2018 at 4.00 pm
His Worship the Mayor Mr T R Shadbolt JP Cr D J Ludlow (Chairman) Cr G D Lewis (Deputy Chair) Cr R L Abbott Cr R R Amundsen Cr I R Pottinger Cr L S Thomas
EIRWEN HARRIS MITCHELL MANAGER, SECRETARIAL SERVICES
1 Finance and Policy Committee Agenda - APOLOGIES
Council’s Values:
Responsibility Take ownership of decisions and outcomes, both collectively and individually. ∑ We willingly share our knowledge. ∑ We acknowledge our mistakes, work to resolve them and learn from them. ∑ We give and receive feedback in a constructive manner to resolve issues. ∑ We do our job with total commitment.
Respect Everyone is important, as are their views. ∑ We support and care for each other. ∑ We stop to listen, learn and understand. ∑ We communicate in an honest, up-front and considerate manner. ∑ We maintain confidences and avoid hurtful gossip.
Positivity Always look on the bright side of life. ∑ We are approachable, interested and friendly. ∑ We are open and receptive to change. ∑ We acknowledge and praise the efforts of others. ∑ We work together as a team to get the job done.
Above and Beyond Take opportunities to go the extra mile. ∑ We take the initiative to improve our work practices to get the best results. ∑ We challenge ourselves and each other to make it better. ∑ We take pride in providing the best possible outcomes. ∑ We are ambassadors for our Council at all times.
Council’s Vision for the City:
Enhance our City and preserve its character, while embracing innovation and change.
Council’s Vision:
We are an energised, fun and innovative team that makes it better for each other and our community.
Council’s Mission:
Making it better by making it happen.
2 Finance and Policy Committee Agenda - APOLOGIES
A G E N D A
Page
1. APOLOGIES
2. PUBLIC FORUM
3. MONITORING OF SERVICE PERFORMANCE
3.1 LEVELS OF SERVICE 1 JULY - 31 DECEMBER 2017 6
4. MONITORING OF FINANCIAL PERFORMANCE
4.1 REPORT OF THE DIRECTOR OF FINANCE AND CORPORATE SERVICES
4.1.1 Financials 31 December 2017 8
5. ACTIVITY PLAN REVIEW
N/A.
6. DEVELOPMENT OF POLICIES/BYLAWS
N/A.
7. OTHER BUSINESS
7.1 REPORT OF THE CHIEF EXECUTIVE OFFICER – VENTURE SOUTHLAND
7.1.1 Activity Update 23
7.2 REPORT OF THE CHIEF EXECUTIVE
7.2.1 Southland Warm Homes Trust – Annual Report from June 56 2017
7.3 REPORT OF THE DIRECTOR OF WORKS AND SERVICES
7.3.1 Quarterly Report – Southland Museum and Art Gallery 73
7.4 REPORT OF THE DIRECTOR OF FINANCE AND CORPORATE SERVICES
3 Finance and Policy Committee Agenda - APOLOGIES
7.4.1 Expenditure for Disposal of Ouvea Pre-Mix from 62 Colyer 76 Road
7.4.2 Invercargill City Holdings Limited Six Monthly Financials 78
7.4.2.1 Appendix 1 80
7.4.3 The Invercargill City Charitable Trust Board – Six Monthly 94 Financials
7.4.3.1 Appendix 1 96
7.4.4 Southland Museum and Art Gallery - Six Monthly Financials 108
7.4.4.1 Appendix 1 110
7.4.5 Invercargill Venue and Events Management limited Six 128 Monthly Financials
7.4.5.1 Appendix 1 130
8. VENTURE WORK PLAN 2018/19
To be circulated separately.
9. URGENT BUSINESS
10. PUBLIC EXCLUDED SESSION
Moved, seconded that the public be excluded from the following parts of the proceedings of this meeting; namely
(a) Report of the Director of Finance and Corporate Services
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)(d) of the Local Government Official Information and Meetings Act 1987 for the passing of this resolution are as follows:
4 Finance and Policy Committee Agenda - APOLOGIES
General subject of Reason for passing this Ground(s) under each matter to be resolution in relation to Section 48(1) for the considered each matter passing of this resolution
(a) Members Enable any local authority Section 7(2)(i) Interest holding the information to Register carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations)
Invercargill City Enable any local authority Section 7(2)(i) Holdings holding the information to Limited Six carry on, without prejudice Monthly or disadvantage, Financials negotiations (including commercial and industrial negotiations)
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5 Finance and Policy Committee Agenda - MONITORING OF SERVICE PERFORMANCE
TO: FINANCE AND POLICY COMMITTEE
FROM: DIRECTOR OF FINANCE AND CORPORATE SERVICES
MEETING DATE: TUESDAY 6 MARCH 2018
LEVELS OF SERVICE REPORT – 1 JULY 2017 TO 31 DECEMBER 2017
Report Prepared by: Melissa Short – Strategy and Policy Manager
SUMMARY
Reporting on the Corporate Services levels of service measures for the period comprising 1 July 2017 to 31 December 2017.
RECOMMENDATIONS
That the report be received.
IMPLICATIONS
1. Has this been provided for in the Long Term Plan/Annual Plan? The report monitors performance in relation to levels of service measures identified in the Long Term Plan and Annual Plan. 2. Is a budget amendment required? No 3. Is this matter significant in terms of Council’s Policy on Significance? No 4. Implications in terms of other Council Strategic Documents or Council Policy? No 5. Have the views of affected or interested persons been obtained and is any further public consultation required? No 6. Has the Child, Youth and Family Friendly Policy been considered? No – not relevant
FINANCIAL IMPLICATIONS
No financial implications result from this report.
6 Finance and Policy Committee Agenda - MONITORING OF SERVICE PERFORMANCE
DEMOCRATIC PROCESS
1 July 2017 to Democratic Activities 31 December 2017 The 2016/17 Annual Report Annual Report is completed within the statutory deadlines was adopted by Council on 31 with an unmodified Audit Opinion. October 2017. It received a clear audit opinion.
Consultation: ∑ Regional Public Transport Plan ∑ Earthquake-prone Buildings Priority Areas ∑ Smokefree Areas Policy ∑ Significant Events Bylaw ∑ Imagine Invercargill Forum ∑ Trade Waste Bylaw ∑ Southland Regional Development Agency Consultation (undertaken by Environment Southland) ∑ Environmental Health Bylaw ∑ Water Supply Bylaw ∑ Urupa (Maori Burial Site) Te Hau Mutunga Bylaw ∑ Cemeteries and Crematorium Bylaw
INVESTMENT PROPERTY
1 July 2017 to 31 December 2017 Investment Property Activity December 2017 No Purchase or Sale Transactions November 2017 No Purchase or Sale Transactions October 2017 Sale 2 Deveron Street, Invercargill Settlement: 31 October 2017
Sale 10 Deveron Street, Invercargill Settlement: 31 October 2017
September 2017 No Purchase or Sale Transactions
August 2017 No Purchase or Sale Transactions
July 2017 No Purchase or Sale Transactions
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7 Finance and Policy Committee Agenda - MONITORING OF FINANCIAL PERFORMANCE
TO: FINANCE AND POLICY COMMITTEE
FROM: DIRECTOR OF FINANCE AND CORPORATE SERVICES
MEETING DATE: TUESDAY 6 MARCH 2018
MONITORING OF FINANCIAL PERFORMANCE
Report Prepared by: Mr Dale Booth – Manager, Financial Services
SUMMARY
Finance and Policy are $557,359 under budget for the six months to 31 December 2017.
RECOMMENDATIONS
That the report be received.
IMPLICATIONS
1. Has this been provided for in the Long Term Plan/Annual Plan? Yes. 2. Is a budget amendment required? No 3. Is this matter significant in terms of Council’s Policy on Significance? No 4. Implications in terms of other Council Strategic Documents or Council Policy? No 5. Have the views of affected or interested persons been obtained and is any further public consultation required? No 6. Has the Child, Youth and Family Friendly Policy been considered? Yes
FINANCIAL IMPLICATIONS
Financial commentary and financial accounts are provided for information.
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8 Finance and Policy Committee Agenda - MONITORING OF FINANCIAL PERFORMANCE
Business Unit 200000 - Finance and Corporate Services
Dec YTD 2017 / 18 Remaining Actual Budget Variance Budget Budget Internal Revenue 3,368,117 3,292,017 76,100 3,215,917 6,584,034 Fees & Charges Revenue 1,484,588 1,349,781 134,807 1,742,212 3,226,801 Grants & Subsidies Revenue 781,810 790,831 (9,021) 842,830 1,624,640 Rates Revenue 383,063 423,099 (40,036) 246,937 630,000 Financial Revenue 616,733 930,571 (313,838) 8,585,234 9,201,967 Total Revenue 6,634,311 6,786,299 (151,989) 14,633,131 21,267,441 Internal Expenditure 2,096,747 2,079,148 17,600 2,061,548 4,158,295 Staff Expenditure 3,720,685 3,726,896 (6,211) 3,759,601 7,480,286 Administration Expenditure 938,299 977,549 (39,249) 979,422 1,917,721 Financial Expenditure 686,270 847,206 (160,936) 1,678,142 2,364,412 Grants & Subsidies Expenditure 2,956,345 2,909,178 47,167 2,496,530 5,452,875 Repairs & Maintenance Expenditure 83,732 149,095 (65,364) 219,459 303,191 Operational Expenditure 982,488 1,028,860 (46,371) 1,374,535 2,357,024 Depreciation Expenditure 211,407 194,225 17,181 177,044 388,451 Total Expenditure 11,675,972 11,912,156 (236,184) 12,746,281 24,422,254 Operating Surplus / (Deficit) (5,041,662) (5,125,857) 84,195 1,886,849 (3,154,812) Capital Expenditure 2,850,366 1,122,344 1,728,022 (519,465) 2,330,901 Capital Funding (2,807,356) (606,053) (2,201,303) 763,109 (2,044,247) Cash Back Depreciation 103 220 (118) 338 441 Rates Required 5,084,569 5,641,928 (557,359) (1,643,544) 3,441,025
Commentary: Finance and corporate Services are $557,359 under budget for the first six months of the year. A departmental breakdown and commentary follows -
9 Finance and Policy Committee Agenda - MONITORING OF FINANCIAL PERFORMANCE
Business Unit 150000 - Museum Operations
Dec YTD 2017 / 18 Remaining Actual Budget Variance Budget Budget Fees & Charges Revenue 570,184 635,480 (65,296) 700,776 1,270,960 Grants & Subsidies Revenue 580,231 574,820 5,411 569,409 1,149,640 Financial Revenue 2,743 5,600 (2,857) 8,457 11,200 Total Revenue 1,153,158 1,215,900 (62,742) 1,278,642 2,431,800 Internal Expenditure 342,575 342,575 0 342,575 685,149 Staff Expenditure 607,755 556,653 51,102 505,551 1,113,306 Administration Expenditure 51,040 48,992 2,048 46,944 97,983 Financial Expenditure 0 447 (447) 894 894 Grants & Subsidies Expenditure 15,000 7,500 7,500 0 15,000 Repairs & Maintenance Expenditure 13,929 8,382 5,547 2,835 16,765 Operational Expenditure 164,658 225,285 (60,627) 285,912 450,570 Depreciation Expenditure 6,544 6,636 (92) 6,727 13,272 Total Expenditure 1,201,501 1,196,469 5,031 1,191,438 2,392,939 Operating Surplus / (Deficit) (48,343) 19,430 (67,773) 87,204 38,861 Capital Expenditure 1,575 0 1,575 37,286 38,861 Cash Back Depreciation 0 (0) 0 (0) (0) Rates Required 49,918 (19,430) 69,348 (49,918) 0
Commentary: The Museum Operations Department is $69,348 over budget for the first six months of the year.
10 Finance and Policy Committee Agenda - MONITORING OF FINANCIAL PERFORMANCE
Business Unit 210000 - Finance and Corporate Services Director
Dec YTD 2017 / 18 Remaining Actual Budget Variance Budget Budget Internal Revenue (85,000) (85,000) 0 (85,000) (170,000) Fees & Charges Revenue 217 0 217 (217) 0 Grants & Subsidies Revenue 201,579 216,011 (14,432) 273,421 475,000 Rates Revenue 383,063 423,099 (40,036) 246,937 630,000 Financial Revenue 56,238 21,791 34,447 5,993,762 6,050,000 Total Revenue 556,097 575,902 (19,804) 6,428,903 6,985,000 Internal Expenditure 324,345 324,345 0 324,345 648,690 Staff Expenditure 215,306 236,974 (21,668) 258,641 473,947 Administration Expenditure 13,111 7,800 5,311 2,489 15,600 Grants & Subsidies Expenditure 540 0 540 (540) 0 Repairs & Maintenance Expenditure 1,460 1,250 210 1,040 2,500 Operational Expenditure 127,615 54,250 73,365 (5,115) 122,500 Depreciation Expenditure 9,102 7,867 1,235 6,632 15,733 Total Expenditure 691,479 632,485 58,994 587,491 1,278,970 Operating Surplus / (Deficit) (135,382) (56,584) (78,798) 5,841,411 5,706,030 Capital Expenditure 0 0 0 5,000 5,000 Capital Funding (80,003) 0 (80,003) (194,997) (275,000) Cash Back Depreciation (0) (0) 0 0 0 Rates Required 55,379 56,584 (1,205) (6,031,409) (5,976,030)
Commentary: Finance Director is $1,205 under budget for the first six months of the year.
11 Finance and Policy Committee Agenda - MONITORING OF FINANCIAL PERFORMANCE
Business Unit 219000 - Finance and Corporate Services - Human Resources
Dec YTD 2017 / 18 Remaining Actual Budget Variance Budget Budget Internal Revenue 459,931 459,931 0 459,931 919,862 Financial Revenue 1,020 1,000 20 980 2,000 Total Revenue 460,951 460,931 20 460,911 921,862 Internal Expenditure 10,755 10,755 0 10,755 21,510 Staff Expenditure 355,967 378,490 (22,523) 421,005 776,972 Administration Expenditure 27,902 17,307 10,595 6,712 34,614 Repairs & Maintenance Expenditure 481 1,549 (1,068) 2,616 3,097 Operational Expenditure 39,584 58,241 (18,657) 76,897 116,481 Depreciation Expenditure 4,861 4,594 267 4,327 9,188 Total Expenditure 439,550 470,935 (31,385) 522,312 961,863 Operating Surplus / (Deficit) 21,401 (10,004) 31,405 (61,401) (40,001) Capital Expenditure 0 0 0 1,549 1,549 Capital Funding 0 0 0 (41,549) (41,549) Rates Required (21,401) 10,004 (31,405) 21,401 0
Commentary: The Human Resources Department is $31,405 under budget for the first six months of the year. This is due to some staff turnover during the year, leading to reduced staff expenditure that is likely to result in a small saving at year end.
12 Finance and Policy Committee Agenda - MONITORING OF FINANCIAL PERFORMANCE
Business Unit 220000 - Finance and Corporate Services - Investment Property
Dec YTD 2017 / 18 Remaining Actual Budget Variance Budget Budget Internal Revenue 12,500 12,500 (0) 12,500 25,000 Fees & Charges Revenue 793,431 602,805 190,625 947,618 1,741,049 Financial Revenue 24,202 18,050 6,153 873,052 897,254 Total Revenue 830,133 633,355 196,778 1,833,170 2,663,303 Internal Expenditure 13,717 0 13,717 (13,717) 0 Staff Expenditure 66,406 67,868 (1,462) 69,330 135,735 Administration Expenditure 92,289 99,219 (6,931) 47,282 139,571 Financial Expenditure 350,035 469,133 (119,097) 588,230 938,265 Repairs & Maintenance Expenditure 51,368 109,591 (58,222) 172,813 224,181 Operational Expenditure 211,694 288,814 (77,120) 365,935 577,629 Depreciation Expenditure 9,713 11,976 (2,263) 14,239 23,951 Total Expenditure 795,221 1,046,600 (251,379) 1,244,111 2,039,332 Operating Surplus / (Deficit) 34,912 (413,245) 448,157 589,059 623,971 Capital Expenditure 2,724,693 1,098,344 1,626,349 (856,349) 1,868,344 Capital Funding (2,724,693) (1,098,344) (1,626,349) 1,152,289 (1,572,404) Cash Back Depreciation 103 220 (118) 338 441 Rates Required (35,014) 413,025 (448,039) (293,457) (328,471)
Commentary: Investment Property is $448,039 under budget for the first six months of the year. This is primarily due to the Awarua Dairy Farm operation being ahead of budget for the first six month of the year by $410K. This is a result of both increased milk production as well as improve global milk prices this season, although recent drought conditions over the summer months will effect this somewhat. The current net position of the Awarua Estate is $129k in profit, any profits from the Awarua Farm operations will be transferred back to reserves or used to offset debt at year end. The remaining departments of Investment Property are $38k under budget.
13 Finance and Policy Committee Agenda - MONITORING OF FINANCIAL PERFORMANCE
Business Unit 230000 - Finance and Corporate Services - Accounting and Finance
Dec YTD 2017 / 18 Remaining Actual Budget Variance Budget Budget Internal Revenue 618,694 618,694 0 618,694 1,237,388 Financial Revenue 119,773 118,750 1,023 117,727 237,500 Total Revenue 738,467 737,444 1,023 736,421 1,474,888 Internal Expenditure 5,000 5,000 (0) 5,000 10,000 Staff Expenditure 490,411 474,267 16,144 460,791 951,203 Administration Expenditure 83,066 81,234 1,832 95,008 178,074 Financial Expenditure 43,719 77,900 (34,181) 262,081 305,800 Grants & Subsidies Expenditure 500 0 500 4,500 5,000 Repairs & Maintenance Expenditure 87 1,500 (1,413) 2,913 3,000 Operational Expenditure 20,723 27,975 (7,252) 215,027 235,750 Depreciation Expenditure 13,790 18,030 (4,240) 22,271 36,061 Total Expenditure 657,296 685,906 (28,610) 1,067,591 1,724,888 Operating Surplus / (Deficit) 81,171 51,538 29,634 (331,171) (250,000) Capital Expenditure 14,787 24,000 (9,213) 11,213 26,000 Capital Funding 0 0 0 (276,000) (276,000) Cash Back Depreciation 0 0 (0) (0) 0 Rates Required (66,384) (27,538) (38,847) 66,384 (0)
Commentary: The Accounting and Finance department is $38,847 under budget for the first six months of the year. This is primarily due to reduced debt collection expenses, although this is expected to even out over the remaining six months. Interest expense is also down slightly which may result in a small saving at year end.
14 Finance and Policy Committee Agenda - MONITORING OF FINANCIAL PERFORMANCE
Business Unit 236000 - Accounting and Finance - Treasury
Dec YTD 2017 / 18 Remaining Actual Budget Variance Budget Budget Internal Revenue (12,544) (74,000) 61,456 (135,456) (148,000) Financial Revenue 378,880 745,379 (366,499) 1,581,120 1,960,000 Total Revenue 366,336 671,379 (305,043) 1,445,664 1,812,000 Staff Expenditure 0 0 0 1,000 1,000 Administration Expenditure 2,122 950 1,172 (1,122) 1,000 Financial Expenditure 242,251 246,250 (3,999) 770,249 1,012,500 Operational Expenditure 58,090 0 58,090 (10,590) 47,500 Total Expenditure 302,463 247,200 55,263 759,537 1,062,000 Operating Surplus / (Deficit) 63,873 424,179 (360,307) 686,127 750,000 Capital Funding 95,893 453,684 (357,791) 654,107 750,000 Rates Required 32,020 29,505 2,515 (32,020) 0
Commentary: The Treasury Department is $2,515 over budget for the first six months of the year.
15 Finance and Policy Committee Agenda - MONITORING OF FINANCIAL PERFORMANCE
Business Unit 240000 - Finance and Corporate Services - Corporate Services
Dec YTD 2017 / 18 Remaining Actual Budget Variance Budget Budget Internal Revenue 1,336,030 1,321,386 14,644 1,306,742 2,642,772 Fees & Charges Revenue 104,835 97,047 7,787 81,060 185,895 Financial Revenue 6,342 2,931 3,411 (2,277) 4,065 Total Revenue 1,447,206 1,421,364 25,842 1,385,525 2,832,731 Internal Expenditure 509,265 509,473 (207) 509,680 1,018,945 Staff Expenditure 690,389 677,112 13,277 666,668 1,357,058 Administration Expenditure 105,869 106,201 (332) 106,533 212,402 Financial Expenditure 0 258 (258) 516 516 Grants & Subsidies Expenditure 26 0 26 (26) 0 Repairs & Maintenance Expenditure 1,143 4,533 (3,389) 7,922 9,065 Operational Expenditure 80,760 94,116 (13,356) 107,471 188,231 Depreciation Expenditure 36,708 23,257 13,451 9,806 46,514 Total Expenditure 1,424,161 1,414,949 9,212 1,408,570 2,832,731 Operating Surplus / (Deficit) 23,045 6,415 16,630 (23,045) (0) Capital Expenditure 842 0 842 47,658 48,500 Capital Funding 0 0 0 (48,500) (48,500) Cash Back Depreciation (0) 0 (0) 0 0 Rates Required (22,203) (6,415) (15,788) 22,203 0
Commentary: Corporate Services is under budget by $15,788 for the first six months of the year
16 Finance and Policy Committee Agenda - MONITORING OF FINANCIAL PERFORMANCE
Business Unit 250000 - Finance and Corporate Services - Information Services
Dec YTD 2017 / 18 Remaining Actual Budget Variance Budget Budget Internal Revenue 716,039 716,039 (0) 716,039 1,432,078 Fees & Charges Revenue 117 14,448 (14,331) 28,780 28,897 Financial Revenue 9,690 11,548 (1,859) 22,311 32,000 Total Revenue 725,846 742,036 (16,190) 767,129 1,492,975 Staff Expenditure 261,041 264,237 (3,196) 267,434 528,475 Administration Expenditure 297,360 335,000 (37,640) 372,640 670,000 Repairs & Maintenance Expenditure 13,651 13,250 401 12,849 26,500 Operational Expenditure 37,200 71,500 (34,300) 105,800 143,000 Depreciation Expenditure 90,838 62,500 28,338 34,162 125,000 Total Expenditure 700,090 746,487 (46,398) 792,886 1,492,975 Operating Surplus / (Deficit) 25,756 (4,452) 30,208 (25,756) 0 Capital Expenditure 93,968 0 93,968 178,032 272,000 Capital Funding (93,968) 0 (93,968) (178,032) (272,000) Cash Back Depreciation 0 0 0 (0) 0 Rates Required (25,756) 4,452 (30,208) 25,756 0
Commentary: Information Services is under budget by $30,208 for the first six months of the year. This is due to the timing of payments of various licences and fees, and is expected to even out over the remainer of the year.
17 Finance and Policy Committee Agenda - MONITORING OF FINANCIAL PERFORMANCE
Business Unit 260000 - Finance and Corporate Services - Secretarial Services
Dec YTD 2017 / 18 Remaining Actual Budget Variance Budget Budget Internal Revenue 322,467 322,467 (0) 322,467 644,934 Fees & Charges Revenue 10,500 0 10,500 (10,500) 0 Financial Revenue 13,248 5,522 7,726 (5,299) 7,948 Total Revenue 346,215 327,989 18,226 306,668 652,882 Internal Expenditure 26,079 24,579 1,500 23,078 49,157 Staff Expenditure 458,059 507,508 (49,450) 556,958 1,015,017 Administration Expenditure 134,543 149,700 (15,157) 164,857 299,400 Repairs & Maintenance Expenditure 847 5,500 (4,653) 10,153 11,000 Operational Expenditure 73,211 87,000 (13,789) 100,789 174,000 Depreciation Expenditure 20,165 31,486 (11,321) 42,807 62,971 Total Expenditure 712,904 805,773 (92,869) 898,641 1,611,545 Operating Surplus / (Deficit) (366,689) (477,784) 111,094 (591,974) (958,663) Capital Expenditure 14,500 0 14,500 25,500 40,000 Capital Funding 0 0 0 (100,000) (100,000) Rates Required 381,189 477,784 (96,594) 517,474 898,663
Commentary: Secretarial Services is $96,594 under budget for the first six months of the year. This is mainly due to staff changes and also the impact this has on operational expenditure. Revenue is up due to sales of CDB Merchandise that was unbudgeted.
18 Finance and Policy Committee Agenda - MONITORING OF FINANCIAL PERFORMANCE
Business Unit 280000 - Hall and Theatre Operations
Dec YTD 2017 / 18 Remaining Actual Budget Variance Budget Budget Internal Expenditure 553,616 553,616 (0) 553,616 1,107,232 Grants & Subsidies Expenditure 9,609 25,987 (16,378) 42,364 51,973 Repairs & Maintenance Expenditure (478) 0 (478) 478 0 Operational Expenditure 14 0 14 (14) 0 Depreciation Expenditure 6,298 12,388 (6,091) 18,479 24,776 Total Expenditure 569,058 591,991 (22,933) 614,923 1,183,982 Operating Surplus / (Deficit) (569,058) (591,991) 22,933 (614,923) (1,183,982) Capital Expenditure 0 0 0 20,647 20,647 Capital Funding 0 0 0 (21,008) (21,008) Rates Required 569,058 591,991 (22,933) 614,562 1,183,620
Commentary: Hall and Theatre Operations is $22,933 under budget for the first six months of the year, although this will catch up once all Hall levies are paid out.
19 Finance and Policy Committee Agenda - MONITORING OF FINANCIAL PERFORMANCE
Business Unit 300000 - Finance and Corporate Services - Democratic Responsibility
Dec YTD 2017 / 18 Remaining Actual Budget Variance Budget Budget Financial Revenue 3,597 0 3,597 (3,597) 0 Total Revenue 3,597 0 3,597 (3,597) 0 Internal Expenditure 158,332 158,332 0 158,332 316,664 Staff Expenditure 570,624 556,237 14,387 541,850 1,112,475 Administration Expenditure 124,018 100,563 23,456 79,607 203,625 Grants & Subsidies Expenditure 87,273 88,851 (1,578) 55,227 142,500 Repairs & Maintenance Expenditure 1,188 3,491 (2,303) 5,795 6,983 Operational Expenditure 140,209 70,750 69,459 (709) 139,500 Depreciation Expenditure 10,708 11,450 (742) 12,192 22,900 Total Expenditure 1,092,353 989,674 102,679 852,294 1,944,647 Operating Surplus / (Deficit) (1,088,756) (989,674) (99,082) (855,891) (1,944,647) Capital Expenditure 0 0 0 10,000 10,000 Capital Funding 0 0 0 (55,000) (55,000) Cash Back Depreciation (0) (0) 0 0 0 Rates Required 1,088,756 989,674 99,082 810,891 1,899,647
Commentary: Democratic Responsibility is $99,082 over budget for the first six months of the year. This is primarly due to a $30,000 contribution being made for the SORD's initiative and additional legal fees being incurred for various projects during the year. Councillors training and travel is also over budget for the first half of the year.
20 Finance and Policy Committee Agenda - MONITORING OF FINANCIAL PERFORMANCE
Business Unit 313000 - Finance and Corporate Services - Corporate Planning
Dec YTD 2017 / 18 Remaining Actual Budget Variance Budget Budget Fees & Charges Revenue 5,304 0 5,304 (5,304) 0 Financial Revenue 1,000 0 1,000 (1,000) 0 Total Revenue 6,304 0 6,304 (6,304) 0 Internal Expenditure 127,122 127,123 (0) 127,123 254,245 Staff Expenditure 4,726 7,549 (2,823) 10,372 15,098 Administration Expenditure 6,979 30,583 (23,604) 58,472 65,451 Financial Expenditure 23,522 10,000 13,522 (3,522) 20,000 Repairs & Maintenance Expenditure 54 50 4 46 100 Operational Expenditure 28,730 50,929 (22,200) 133,133 161,862 Depreciation Expenditure 2,681 4,042 (1,360) 5,402 8,084 Total Expenditure 193,814 230,276 (36,461) 331,026 524,840 Operating Surplus / (Deficit) (187,510) (230,276) 42,765 (337,330) (524,840) Capital Funding 0 0 0 (80,000) (80,000) Rates Required 187,510 230,276 (42,765) 257,330 444,840
Commentary: Corporate Planning is under budget by $42,765 for the first six months of the year. Printing & Stationery expenses are under budget but are expected to even out as the printing cost of the LTP are incurred over the last six months of the year.
21 Finance and Policy Committee Agenda - MONITORING OF FINANCIAL PERFORMANCE
Business Unit 350000 - Finance and Corporate Services - Grants
Dec YTD 2017 / 18 Remaining Actual Budget Variance Budget Budget Internal Expenditure 25,942 23,352 2,590 20,761 46,703 Financial Expenditure 26,743 43,219 (16,475) 59,694 86,437 Grants & Subsidies Expenditure 2,843,397 2,786,840 56,557 2,395,005 5,238,402 Total Expenditure 2,896,082 2,853,410 42,671 2,475,460 5,371,542 Operating Surplus / (Deficit) (2,896,082) (2,853,410) (42,671) (2,475,460) (5,371,542) Capital Funding (4,585) 38,607 (43,192) (48,201) (52,786) Rates Required 2,891,496 2,892,017 (521) 2,427,259 5,318,756
Commentary: Grants are $521 under budget for the first six months of the year.
22 Finance and Policy Committee Agenda - OTHER BUSINESS
QUARTERLY REPORT Second Quarter 2017/18
This report contains a complete breakdown of Venture Southland’s key objectives/performance measures for 2017/18. The Venture Southland work programme was formulated out of the letter of expectation received from Southland’s three territorial local authorities.
Each measure has a commentary and a status provided; green for completed, orange for ongoing and red indicating work is yet to start.
Highlights contained within this report:
Labour market team established
To counter the projected labour market shortage and encourage future growth, Venture Southland has established a labour market team that will promote the attraction and retention of skilled workers in Invercargill and across the Southland region.
Labour market roles appointed during the quarter:
Southland Labour Market Projects Coordinator Kirsten Diack has been appointed to this role and will oversee the team established and analyse future job needs and trends, advocating on behalf of Southlanders with Immigration NZ. Skills Placement Coordinator Ria Bond has been appointed to this role which will identify and match, job-seeking migrants with employers who are seeking staff in roles that cannot be filled by New Zealanders Welcoming Communities Coordinator Sue Morrison Bailey has been appointed to this position which aims to encourage councils to take a leading role in supporting their communities to welcome newcomers to the region and embrace diversity.
These roles will work alongside the Southland Youth Futures Coordinator to connect people of all ages with employment opportunities in the city and across the region.
Business Accelerator Programme
Venture Southland secured government funding during the quarter to run the Creative HQ Innovation and Business Accelerator programme. The programme will work with start-ups and entrepreneurs, giving them the tools and resources they need to succeed in the current business climate. Stewart Fleming has been appointed to the role of Business Accelerator Programme Manager and is currently developing the framework for programme delivery and engagement.
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‘Youth friendly’ employer target achieved
The Southland Youth Futures programme had a target of establishing 30 registered ‘Youth Friendly’ employers which has been achieved in the quarter. The target, which was set for the year, has been exceeded with 45 businesses registered to date. There is also an increasing number of businesses enquiring about the programme so this number is expected to rise. This programme highlights the ongoing work being undertaken by the Southland Youth Futures programme to connect schools and their students with labour market support programmes.
Trade and Conference Manual completed
The Trade and Conference Manual for 2017-2018 has been completed. The manual profiles the region’s offerings and showcases Invercargill and the wider Southland region as a preferred conference and trade destination. The manual includes information on accommodation, attractions and activities for Invercargill and will be an important marketing tool to securing conferences and trade events for the city going forward.
Tumu Toka Curioscape Visitor Centre and Gateway Experience
Tumu Toka Curioscape was opened to the public on the 16th December 2017 with an official opening scheduled for mid-March 2018. The facility consists of a café, retail space, interpretative area and space for the adjoining camping ground to operate out of. This is a key tourism project of significance to the region and will contribute. Venture Southland assisted the project in a multitude of ways with many staff involved. This included the preparation of funding applications and feasibility studies, and overall facilitation of the wider partnership collaboration with iwi, SDC, the Trust and DOC in regards to achieving a shared vision for Curio Bay. Venture Southland continues to provide support for the operator since the launch by identifying further opportunities for improvement.
Rocket Lab
Venture Southland was able to provide critical support to Rocket Lab’s Electron Launcher ‘Still Testing’ from its ground stations at Awarua and Lochiel. The Electron series rocket launched on the 21st January 2018 becoming New Zealand’s first orbital space vehicle. Venture Southland was able to download important telemetry data just after first stage separation through to the payload deployment of three satellites. The successful launch of the Electron launcher and the data Southland ground stations were able to provide will continue to see Venture Southland involved with Rocket Lab’s future space missions.
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Regional Statistics
Priority Area: Increase in Population SOURCE: 2013 CENSUS
Population 93,339 ↑ +2,463 Up on 2006 Census
Projected 30 June 2017 98,400 Source: MBIE Regional statistics NZ Population Over 65 16.8% ↑ +0.4% 15.1%
Priority Area: Increase in Regional GDP SOURCE: MBIE Regional Economic Activity Tool1
NZ GDP Per Capita $52,497 ↓ -1.8% $54,178 Year to Year to Mar 2016 Mar 2016
Regional GDP2 $5.1 ↓ -$52 million billion YE On YE Mar 2016 Mar 2016
Priority Area: Increase in Number of New Businesses SOURCE: Stats NZ (2017) Geographic units by region and industry 2000-173
Business Units 14,019 2017
New Businesses 30 ↓ Down on 2016
Priority Area: Increase in Job Opportunities SOURCE: MBIE Regional Economic Activity Tool (Year to September 2017)4
NZ
Participation Rate 73.7% ↓ -1.4% 70.6%
Unemployment Rate 4.9% ↑ +0.2% 4.9%
NEET Rate (15 to 24 year olds 13.1% ↑ +0.7% 12.2% not in employment, education and training)
1 Ministry of Business Innovation & Employment (2017). Regional Economic Activity Tool. Retrieved from http://webrear.mbie.govt.nz/theme/gdp-per-capita/map/timeseries/2016/southland?accessedvia=southland&right- transform=absolute 2 Stats NZ Tatauranga Aotearoa (2017). Regional GDP, 2016 – Southland. Retrieved from http://archive.stats.govt.nz/browse_for_stats/economic_indicators/NationalAccounts/rgdp-YeMar16- infographic/regions/southland.aspx 3 Stats NZ Tatauranga Aotearoa (2017). Geographic units by region and industry 2000-17. Retrieved from http://nzdotstat.stats.govt.nz/wbos/Index.aspx?DataSetCode=TABLECODE7603# 4 Ministry of Business Innovation & Employment (2017). Regional Economic Activity Tool. Retrieved from http://webrear.mbie.govt.nz/theme/labour-force-participation- rate/map/timeseries/2017/southland?accessedvia=southland&right-transform=absolute
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Job Seeker Benefit Recipients by Territorial Local Authority (TLA) Source: Ministry of Social Development: December Quarter 20175 December September December Sep Quarter Quarter Total Quarter Total 18-24 age 18-24 age total Total Gore District 333 ↓ 346 130 ↓ 138
Invercargill City 1,627 ↓ 2,177 691 ↓ 749
Southland District 407 ↓ 478 154 ↑ 147
Commentary on Job Seeker Benefit Recipients statistics
The decrease in job seeker benefit recipient numbers for the December quarter could be attributed to seasonality with many shearers and freezing work employees returning to work during the quarter, and also the increase in tourism opportunities across the region.
Priority Area: Increase in Household Income Source: MBIE 20176
Southland New Zealand Mean Household $74,100 ↓ -14.5% $97,100 Income For 2017 down on 2016 For 2017
Mean Weekly Rent $239 ↑ $425 year to August Year to August 2017 2017
Mean House Value $239,459 ↑ +8.4% $638,063 year to June 2017 Between year to Year to June 2017 June 2016 & 2017
Deprivation Index* 5.0 NZ: 5.4 2013 Census 2013 Census
Household Internet 71.6% 76.8% Access 2013 Census 2013 Census
*The New Zealand deprivation is an index of socioeconomic deprivation based on census information. Meshblocks (the smallest geographic area defined by statistics New Zealand) are assigned to deciles, with 1 representing least deprived areas, and 10 representing most deprived areas.
5 Ministry of Social Development (2017): Quarterly Benefit fact sheets. Retrieved from https://www.msd.govt.nz/about-msd-and-our- work/publications-resources/statistics/benefit/archive-2017.html 6 Ministry of Business, Innovation and Employment. Regional Economic Activity Web Tool. Retrieved from http://webrear.mbie.govt.nz/theme/household-income-mean/map/timeseries/2017/southland?accessedvia=southland&right- transform=absolute
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Commentary on Household Income Statistics
The 14.5% decrease in mean household income for the Southland region is thought to be an anomaly in the data, as to date year end reports have been steadily increasing. This will be reviewed next quarter to assess if there is a developing trend.
Priority Area: Increase in Number Visitor Nights and Occupancy Rate SOURCE: STATISTICS NZ COMMERCIAL ACCOMODATION MONITOR YEAR END (YE) April 2017
*Statistics are from commercial sources only
Total Expenditure Southland Region 6% ↑ $606 million YE Oct 2017
Southland RTO Expenditure* 8.4% ↑ $393 million YE Oct 2017
Fiordland RTO Expenditure* 11.3% ↑ $235 million YE Oct 2017 *Revised figures not yet available
Number of Guest Nights
Total Southland RTO Guest Nights -1.3% ↓ 436,135 YE Sep 2017
Southland RTO International 12.1% ↑ 159,280 YE Sep 2017 Guest Nights
Southland RTO Domestic Guest -7.6% ↓ 276,858 YE Sep 2017 Nights
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Number of Guest Nights Total Fiordland RTO Guest Nights 8.3% ↑ 658,803 YE Sep 2017
Fiordland RTO International 12.8% ↑ 487,674 YE Sep 2017 Guest Nights
Fiordland RTO Domestic Guest -2.8% ↓ 170,208 YE Sep 2017 Nights
Occupancy Rate Total Southland Region Occupancy 39.9% ↑ 2.1% up on YE Sep 2016 Rate by territorial local authority
Overall Invercargill Occupancy 38.7% ↓ -0.7% down on YE Sep 2016 Rate
Overall Southland District 40.3% ↑ 3.5% up on YE Sep 2016 Occupancy Rate
Overall Gore District Occupancy 43.6% ↑ 3.2% up on YE Sep 2016 rate
Commentary on revisions made to Monthly Regional Tourism Estimates In late January 2018, MBIE published revised MRTEs data based on benchmarking against the Tourism Satellite Account. There are significant methodology issues related to these figures at a National level, particularly related to the International Visitor Survey. The implications for the Southland region are as follows (all figures are latest available for Year End October 2017):
- Overall 2017 spend has been revised down 4% to $606 million from $628 million. This reduces the annual increase in spend from 2016 from 9.5% to 6% - International spend has been revised down 12% to $234 million from $266 million. This reduces the increase in spend from 2016 from 18.4% to 4% - Domestic spend has been revised up 3% from $362 million to $373 million. This increases the increase in spend from 2016 from 3.7% to 7%
Commentary on Visitor Nights & Occupancy Rate Numbers
The decrease in Southland Regional Tourism Organisation (RTO) domestic guest nights could be attributed to the change of date for the Burt Munro Challenge, as this event strongly contributes to guest nights across the region. This is also thought to have resulted in the decrease in overall Invercargill occupancy for the quarter.
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1. Regional Strategies, Assessments and Advocacy
Venture Southland is uniquely positioned as it is not confined by traditional council boundaries and is tasked to look at the regional picture. This includes the planning and development of strategies and ensuring that there is a clear pathway forward for the region aligning with local and central government and the wider industry and community.
Prioritisation of key projects across the region allows for efficient and appropriate allocation of resource as well as successful implementation.
Venture Southland advocates on behalf of the region and continues to work closely with central government and the wider community and industry for the benefit of Southland.
Status Notes 1.1 Support the UNDERWAY 25 projects listed in the Southland Regional Development implementation of Strategy Action Plan are currently being implemented the Southland and/or facilitated by Venture Southland. Regional Development Strategy Action Plan 1.2 Southland UNDERWAY Venture Southland is facilitating the development of the Destination Southland Destination Strategy which is a key project Strategy identified in the Southland Regional Development Strategy Action Plan. The advisory group, which will guide the development process, is currently being established. Once established the group will outline a proposal for an external consultant to undertake the work. 1.3 Southland Digital COMPLETE Strategy is complete and available for review. Strategy
1.4 Southland ONGOING Strategic regional planning of heritage is underway and Regional Heritage Venture Southland is providing a range of support. Some projects include Project Arc (Regional Museum Digitisation and Storage Project) as well as museum redevelopment at the Southland Museum and Art Gallery (SMAG) 1.5 Advocate on ONGOING Work is currently being undertaken with NZTA and MBIE behalf of the regarding telecommunications, roading and cycling. region for Venture Southland is also involved in national discussions services/revenue regarding key tourism issues particularly relating to freedom camping, Airbnb and social license of tourism to operate. 1.6 Regional response ONGOING Ongoing – as required to Central Government tenders and submissions
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2. Destination Development
There are a number of exciting new projects and initiatives which will contribute to Southland’s goal of attracting 10,000 new people by 2025 and tourism revenue of $1billion. One of the areas of focus is developing Southland as a destination for visitors, students, prospective migrants and investors, without overlooking the need to retain Southland’s current residents.
The Destination Development section of the business plan overlaps with almost all other sections and truly reflects the integrated approach of Venture Southland. It consists of a number of projects which will aim to develop Southland as a destination, including international education, attraction and retention of a skilled workforce and commissionable trade tourism products.
Venture Southland has been and will continue to be instrumental in laying the foundations for a number of tourism projects, contributing in a number of ways from facilitating feasibility studies and investigation (including the provision of market insights and data) through to project planning and working alongside community and central government funders to attract external funding and investment.
International Education and Attraction and Retention of a Skilled Workforce are shown as separate sections due to the scale of these activities.
Please note that the Southland Destination Strategy (see 1.2) is a key plan currently under development which aligns directly with destination development but has a wider brief to look at overall management and sustainability alongside growth.
Status Notes 2.1 Market Analysis ONGOING Three monthly tourism key indicator documents published and Statistics in the last quarter.
Work alongside Marketview regional dashboard commissioned and Statistics New launched for the region containing spending data at Zealand and MBIE regional, Territorial Local Authority (TLA) and Regional to source and Tourism Organisation (RTO) level. This is a national first interpret statistics and has the potential to be rolled out in other regions. and market
insights. Regional transport connectivity research commenced with Qrious. This work is currently being reviewed due to problems with Qrious methodology
Research into Airbnb supply and demand completed.
Research report into the confidential Stewart Island project completed in partnership with Real Journeys. 2.2 Market Insights ONGOING This project overlaps with the Southland Story project
Data Project which is being facilitated by Janette Malcolm. Venture Southland is providing support as required. Work alongside Air New Zealand, MBIE to identify and test key regional themes for Southland Identity.
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2.3 Regional Event YET TO A review of the strategy, including consultation, is to be START Strategy and undertaken. Development 2.4 Assist Invercargill ONGOING Venture Southland will provide assistance to this project as City Council with requested by ICC. Key projects could be supported in a the Inner City variety of ways including preparation of funding Rejuvenation applications. Project
2.5 Southland ONGOING First governance group meeting for the year held and Cycling Strategy advisory group appointed and first meeting held. (Referred to as “Ride Southland”) Work commenced on moving the Cycling Strategy from draft to finalised version. A NZTA consultant has completed a review of business case elements.
Submission to Environment Southland (ES) as part of Regional Land Transport Plan prepared. 2.6 Southern NZ ONGOING Have recently inputted into the review of Environment Cruise Strategy Southland’s Cruise Deed of Agreement associated with the Marine Fee. Work has begun on establishing a forum for review of the strategy and partnership with key stakeholders including Cruise NZ continues 2.7 Catlins Tourism ONGOING Venture Southland has provided support to both Catlins Strategy 2016- Coast and South Catlins Charitable Trust on the 2026 implementation of the strategy. This has also included considering the impact of the Tumu Toka Curioscape project and associated infrastructure projects as well as freedom camping 2.8 Tumu Toka Curio ONGOING Tumu Toka Curioscape opened to the public on the 16th Bay Natural December 2017 with good numbers reported for the first Heritage Centre season to date. (Referred to as “Tumu Toka Venture is supporting the South Catlins Charitable Trust Curioscape”) with the final accountability and funding elements. This includes support for the operator to respond to initial feedback on teething problems and any opportunities for improvement. 2.9 Southland ONGOING Support and strategic planning provided for the Trust with Museum and Art their redevelopment project including investigation into Gallery (SMAG) future tourism infrastructure funding applications. Other projects associated with SMAG include i-SITE Attraction Pilot and Project Arc heritage digitisation and Living Dinosaur facility. 2.10 Anderson Park COMPLETE Option 4 (shared revenue, multi-use model) of Anderson House proposal was investigated with final report presented to ICC for consideration and inclusion in Long Term Planning process.
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This work is complete, although ICC have indicated they may want further support with development. 2.11 Tourism Industry ONGOING One trade development workshop held with Tourism New Capability Zealand. Building Hold workshops Digital, trade marketing and health & safety workshops building capability scheduled in calendar for regions. of current and future tourism operators. 2.12 MBIE Regional COMPLETE Venture Southland coordinated the submission of an Tourism application to the TIF for funding to upgrade the Lumsden Infrastructure Railway Precinct on behalf of SDC in October 2017 which Fund (TIF) resulted in a successful allocation of $220,000.
Assist Council staff SDC are possibly planning five further submissions to the to prepare and TIF and ICC are yet to indicate how many they plan to support submit. applications to this fund.
2.13 Support COMPLETE This fund is no longer in existence. applications to the MBIE Tourism Growth Partnership Fund 2.14 Around the ONGOING Support provided through marketing initiatives including Mountains Cycle the Official Partner Programme (OPP) (accommodation, Trail operational tour, and food/beverage operators along the trail) and requirements national marketing – with the SDC and ATMCT Ltd.
Reported back to all OPP members on trail development and marketing.
Supported the development of new contracts, alongside SDC.
Planning currently underway for the reprinting of maps. 2.15 Around the ONGOING Implementation of this project is underway alongside SDC, Mountains Cycle including site selection and signage design Trail interpretation project 2.16 Living Dinosaur ONGOING The feasibility of the project has been assessed and report Project presented to ICC. (formerly known as Negotiations are commencing with DOC and potential “Kakaporium”) commercial partners. Venture is providing a range of support including project coordination through to support for inclusion in the Council’s Long Term Plan.
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3. Diversification of Southland’s Economy
Venture Southland works to identify opportunities for investment which are complementary with the regional economy and ensure they are promoted to relevant domestic and international markets. Venture Southland’s role is to investigate the potential of these opportunities to broaden Southland’s economic base.
This area is significant to reduce Southland’s dependency on a narrow range of industries. This also creates jobs through the formation of new industries and within the support services. Some of the projects are ongoing. It is important to have relevant and up to date information available so that when the time is right, an investor will take up the opportunity.
Status Notes 3.1 Aeromagnetic ONGOING Final flying for the Southland region will take place in Geological summer 2017/2018 with interpretation of the data to Survey follow. A brief has been produced for a local science partner to undertake further analysis in early 2018. 3.2 Awarua and ONGOING A further agreement for non-commercial academic ground Lochiel Ground segment services has been signed. Two additional stations commercial clients have been signed up.
Deliver services to An intern from the University of Canterbury will be on site five satellite and during February and March to help with installations and space site upgrades, under the supervision of the Ground organisations. Segment and Engineering Manager.
Negotiations for ground station services have commenced with three additional agencies over the last three months. Venture Southland was able to provide critical support to Rocket Lab’s Electron Launcher ‘Still Testing’ from its Southland ground stations 3.3 Identify film ONGOING This work is ongoing alongside Film Otago Southland. opportunities for the region Aim for 52 production days for the year. 3.4 Promote ONGOING Investment opportunities being worked through include: opportunities for Oat based health and wellness foods. investment Radio science related investments. Agriculture and food manufacturing. Facilitate six Applications have been made to the NZTE Strategic significant Investment Fund to assist with further scoping of space investment sector opportunities and Oat based health and wellness opportunities. foods. 3.5 Tourism product ONGOING In depth business cases have been completed for ICC for development the Living Dinosaur and Anderson Park projects as well as Assist in bringing the Tumu Toka Curioscape project in the Catlins. eight new tourism Work is ongoing with fourteen small tourism operators, products to the four of whom have brought their product to market in the market last quarter.
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4. Business Service Efficiency and Competitiveness
Venture Southland offers business services to Southland businesses, such as business advice referral services, funding support, and facilitating mentoring services as part of the national Regional Business Partner Programme with New Zealand Trade and Enterprise, Callaghan Innovation and Business Mentors New Zealand.
This support ensures Southland businesses are operating as efficiently as possible, and are therefore competitive in the marketplace. Venture Southland has a range of services including Lean Manufacturing, Lean Dairy (Farm Tune) and workshops to drive efficiency. This is especially important given the labour market challenges highlighted in the Southland Labour Market Strategy.
Innovation and the development of innovative processes are critical to the ongoing competitiveness of Southland businesses. Venture Southland is able to support businesses through the Callaghan Research and Development funding. Processes and programmes will continue to be developed to support Southland businesses with innovation and development.
Status Notes 4.1 Facilitate the ONGOING Delivery of the Regional Partnership is ongoing throughout Regional the year. Business Partner Programme
$200,000 in ONGOING Over 50% of the funds have been allocated. To ensure fair funding allocated and even access careful monitoring of the allocation is to Southland being applied. businesses Venture Southland is currently working with NZTE to look at accessing additional support funding Facilitate 50 ONGOING There has been steady growth in the mentors programme mentor client over the last quarter. matches and train 50 mentors There are now 55 mentors trained.
Mentor clients continue to grow with the programme on track to meet set targets. Allocate ONGOING Over $5m of funding has been approved to date for the $250,000 from 2017/18 year. the Callaghan Innovation and A number of high value projects are currently in the Development pipeline, with potential for funding of over $750,000. Fund Connections are being established with Callaghan Innovation and their research and technical services team to provide support around new projects.
A Callaghan Innovation business evening is schedule for the 14th March 2018. This event will highlight the range of services that Callaghan Innovation is able to offer local businesses to support R&D activity.
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Complete 140 ONGOING 120 client assessments/discovery sessions already client business undertaken. This is 78% of NZTE target with 50% of the assessments contract period completed. It is expected that the target will be significantly exceeded.
The net promoter score of the programme is 67 to date, exceeding the annual KPI of 50 for the year. 4.2 Innovation ONGOING Creative HQ Innovation and Accelerator programme support and commenced in early December with Stewart Fleming Programmes appointed to the role.
Deliver workshops 12 businesses are currently being supported by this as a need is programme in their innovation journey. identified Work is ongoing with Creative HQ around the business innovation support platform to ensure appropriate functionality tailored to the needs of local businesses.
The framework for programme delivery and engagement is currently being developed. 4.3 Business training ONGOING New programmes have been identified on various topics and support and locations. Including future jobs, design thinking, digital enablement and retain.
Deliver training as Planning is underway to identify training that can be a need is delivered in 2018. identified. 4.4 Conduct a survey YET TO The Southland business survey is planned to be undertaken START of Southland in April 2018. businesses 4.5 Deliver Lean ONGOING Planning for the 2018 programme is underway with initial Management responses from businesses positive. training to seven businesses Investigation currently being undertaken with Callaghan Innovation into funding models for the implementation of this programme. Deliver Dairy ONGOING Work is underway with DairyNZ for the delivery of the 2018 Lean to 12 farm Farm Tune programme.
30 Businesses ONGOING The 2018 5s, small business improvement programmes and attend other Lean forums are currently planned for early 2018 – dates Lean support will be finalised in early February. initiatives 4.6 Methane ONGOING Venture has commenced monitoring of methane at recovery Glenearla farm under a contract funded by EECA. Continue to investigate the The first report has been submitted to EECA. opportunity for capturing methane from effluent ponds and converting it to energy
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5. Attracting and Retaining a Skilled Workforce
Southland, like other regions, is facing a workforce shortage due to an aging population. For business to grow, skilled staff are required. Venture Southland is active in attracting migrants to the region, and also ensuring the skilled workers remain in the region. Without people, new businesses and new industries cannot develop, and existing industries cannot be extended.
Venture Southland signed a Memorandum of Understanding in 2016 with the Ministry of Business, Innovation and Employment, and Immigration New Zealand based on prior initiatives and collaboration to build on regional migrant settlement and retention strategies. The agreement assists in the implementation of the Southland Labour Market Strategy.
Status Notes 5.1 Work with ONGOING Work is ongoing with MBIE and Immigration NZ regarding MBIE and implementation of the strategy. Immigration New Zealand to Venture Southland has partnered with MBIE to deliver a implement the regional migrant skills placement role to assist skilled Southland migrants, and spouses of skilled migrants, in finding Labour Market meaningful employment. Strategy. A Welcoming Communities partnership has also been established.
All roles within the labour market team are now filled including; Southland Labour Market Coordinator Skills Placement Coordinator Welcoming Communities Coordinator Southland Youth Futures Coordinator 5.2 Southland ONGOING Planning for 2018 Southland Youth Futures programme Youth Futures delivery is underway. The Southland Youth Futures school – Invest in delivery typically has a focus period of the first half of the Youth calendar year, as it fits better within school timetables.
Deliver in-school Work is ongoing with schools and students to connect with programmes to support programmes. over 1200 secondary students across Southland.
Deliver 12 ONGOING Work place visits scheduled for early 2018. Dates will be workplace site finalised in early February. visit days
Have over 30 COMPLETE 45 youth friendly employers currently registered as part of the ‘youth friendly’ programme. employers in the region
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The Increasing number of enquiries from employers will assist ongoing work to increase this number.
5.3 Build ONGOING The Southland Labour Market Coordinator continues to partnerships to develop strong partnerships that drive attraction and drive migrant retention of skilled workers. attraction and retention Programmes such as the Skills Placement role will further enhance this activity.
Partnership established with MBIE around the development and delivery of the i-site attraction programme. 5.4 Rural migrant ONGOING SDC have provided the project brief scoping the project and working and implementation will soon begin alongside the Te Anau newcomers community, SDC and Venture Southland. project (now Known as “Te Anau Ambassador Pilot”) 5.5 MBIE i-SITE ONGOING See 7.10 for full update. Attraction Pilot Venture Southland is facilitating a national pilot project in (see 7.10) partnership with MBIE to investigate the potential to transition visitors into migrants using the Invercargill i-SITE.
5.6 Welcoming ONGOING Southland was selected as one of five regions across New Communities Zealand to participate in the MBIE Welcoming Communities Pilot (see 9.6 Pilot. To date progress has included: Community Development) - Feedback provided for the national standard which has now been confirmed - Reports prepared for three Councils and other stakeholders including iwi and Community Trust of Southland. - Confirmation of total funding to deliver the project and funding contracts entered into. - Establishment of advisory group which will assist to drive the pilot programme. - Preparation for the benchmarking process which all Councils will undertake in preparation for the development of the Welcome Plan. - Participation in the national stakeholder pilot group.
A Welcoming Communities Coordinator has been appointed to lead this pilot. 5.7 Pathways to ONGOING Work underway with SIT and Chamber of Commerce to look at employment employment opportunities for graduates in Southland.
Work with Previous events have included job speed evenings and the Education New POP Up JOB SHOP held in September 2017. Zealand, local
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education The Southland Pop Up Job Shop was held in Invercargill from providers and 4-9 September 2017 and showcased the number, and range of industries to jobs, available in Southland at that time. 520 people visited provide the Pop Up Job Shop and over 100 people had free interviews pathways for with Southern Directionz staff. The initiative exceeded job graduating seeker and publicity expectations. international students into employment The MBIE funded Skills Placement role will enable greater connection between skilled migrants and employer needs, with a particular focus on skilled spouses and students.
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6. International Education
Venture Southland administers the Education New Zealand Regional Partnership Programme for Southland. This is designed to support the development and growth of international education in selected regions of New Zealand. It is a partnership and collaboration between international education providers, local educational groups, local government, economic development agencies, and the international education industry.
Over the past decade the international education sector in Southland has developed increasingly with significant investment, relationship building, direct marketing and delegations overseas. These initiatives have resulted in a steady growth in international student numbers in the Southland region.
Status Notes 6.1 Partner with COMPLETE Venture Southland works in partnership with Education Education New New Zealand (ENZ) and the regional education providers as Zealand (ENZ) to part of its Regional Partnership Programme (RPP). develop the implementation The Southern Regional International Education phase of the Implementation Plan 2017-2020 has been developed based Southern on the initial strategy put forward in November 2016. The Education plan has been approved by Education New Zealand. Strategy. Education New Zealand have confirmed funding arrangements and contract for the 2017/18 period. Establish the COMPLETE SEA Governance Group meeting held 27 October 2017 to Southern discuss programme roll out across the region. This included Education the business plan for 2018, the development of the Alliance (SEA) International Education Prospectus and regional school Governance contacts, marketing material and confirmation of the Study group Southland brand.
Set targets for COMPLETE The recently submitted plan to Education New Zealand for the region based the 2017/18 financial period breaks down the actions on current required to align the six goals identified in the strategy. market trends This includes timeframes, success measures, who is lead agency, and identifies the total budget per annum. Promote COMPLETE The first International Study Workshop was held on the 23 Southland as a November 2017 and hosted by Study Southland. destination for students The International Education Manager has prepared a submission for the Ministry of Education for projects related to the International Student Wellbeing Strategy (ISWS).
This proposal has been successful in securing additional funding to assist in hosting International Students in Southland.
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The International Education Manager will promote Southland as a preferred destination for international students when attending the Education New Zealand Latin America Road show in Colombia, Mexico, Chile and Brazil over February and March. Joice will depart on the 26 February 2018 and will be away for three weeks.
Venture Southland will host Argentina Ambassador - His Excellency Mr Fausto Lopez Crozet, on behalf of the Southland Councils, during his visit to Southland and Queenstown on the 20th February 2018. The Ambassador is very keen to build relationships in Southland and explore opportunities within the tourism, education, agriculture and fishing sectors. Develop generic COMPLETE International Education prospectus for Study Southland marketing developed and 1000 copies delivered to education collateral, providers and councils in the region. aligned to the Southland 1000 USB pens also developed for use at Expos, and to Destination easily provide agents with promotional material. Strategy and Southland Labour Market Strategy Facilitate the ONGOING Southland as a preferred international education development of destination is currently promoted via the Southlandnz.com the Southern website. Education Alliance website. The International Education Manager in consultation with ENZ and education providers is identifying marketing opportunities and new agents for education providers. The Develop website will continue to be developed as we progress branding for forward with the strategy and operational planning. The Southern SEA Governance Group is very pleased with the progress to Education date and outcomes achieved to support the growth of the Alliance international sector in Southland.
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7. Destination Promotion
Venture Southland is focused on maximising the regional benefits of increasing the number of tourists for the region. Promotion of the region nationally and internationally through consistent marketing and communication to strengthen the Southland brand is essential to drive demand, alongside product development which gives reasons to spend more and stay longer. Venture Southland will continue to build Southland as a destination and the evolution of the Southland identity to market to New Zealand and the world, which in turn attracts visitors that support the private and public operations in the region.
Partnerships that have been developed over numerous years are essential to promote Southland. This is through marketing alliances where different organisations or regions pool financial and human resources to leverage greater promotional opportunities, or through relationships developed at a national level within entities that include Tourism New Zealand, Tourism in Aotearoa (TIA), Air New Zealand, Cruise New Zealand, Region Tourism New Zealand (RTNZ), CINZ, and DOC.
Destination promotion within Venture Southland includes Attraction and Retention of a Skilled Workforce and International Education. However, as these are significant areas of focus, these are presented in sections 5 and 6 respectively. Also note the importance of 1.6 the Southland Destination Plan in providing an overall regional blueprint.
Status Notes 7.1 Conduct 18 ONGOING Four marketing and promotional campaigns undertaken for marketing and the quarter (10 undertaken to date in total). promotional Two campaigns are in development campaigns 1. Southern Steel - Social Media Campaign (Preparation) 2. People of Southland - Content Campaign (Preparation) 3. NZ Bike Expo 4. Responsible Camping promotion 5. TravelWireAsia (Preparation) 6. Neuseland News (Preparation)
7.2 Tourism publicity ONGOING For a detailed listed of media engagement and tourism and media publicity please see additional notes at the conclusion of engagement this section. Generate 96 COMPLETE 59 media results achieved for the quarter. media pieces 101 media results have been recorded to date, achieving the set target of 96.
Highlights for the quarter include Life and Leisure Insider’s Guide on Stewart Island (November 2017).
For a detailed list of media results please see additional notes at conclusion of this section. Coordinate 18 ONGOING Five media famils have been conducted during the quarter, media famils with 13 carried out in total to date.
A highlight of the quarter includes the media famil that was coordinated for KiaOra Magazine in November and December 2017.
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For further details on the five famils please see additional notes at conclusion of this section. 7.3 Tourism supply ONGOING 40 agents have been engaged with during the quarter with and trade 49 engaged with to date for the year. development Engage with 200 For further information on this engagement please see agents additional notes at conclusion of this section. Attend minimum ONGOING Preparation is currently underway for attendance in of four trade Australia, SSEA (Wellington), TNZ Europe (Webinar), shows Australian Mega Famil and TRENZ. To date one trade show has been attended. Present regional COMPLETE The trade manual, profiling regional offerings and profile and showcasing Southland as a preferred conference and trade product offerings destination is now complete. of 70 Southland operators A review of the Southlandnz.com database has been carried out with significant additions made. Operator listings now 1289 up from 440. Coordinate 10 ONGOING Two trade famils conducted during the quarter with HM- trade famils Touristik (Germany) CINZ.
Eight trade famils completed for the year to date. Participate in ONGOING Participation in two IMA activities to date. eight international marketing alliance (IMA) activities Develop three COMPLETE Four trade itineraries have been developed, achieving the trade itineraries set target of three. 7.4 Digital Marketing COMPLETE Successfully obtained the number one and two ranking for regional search engine searches, achieving the target of a Obtain top three top three ranking. ranking for regional search engine searches Growth of ONGOING 61% of the website traffic target has been achieved website traffic through the first 2 quarters. (+10%) Growth of COMPLETE There has been significant growth in operator listings on operator listing Southlandnz with 441 listings (+25%) live on page. on Southlandnz to 420 (+19%) The content project has established an additional 848 operator listings to be loaded in 3rd/4th quarters. The project has also identified different sectors for operators to be segmented e.g. Food and Beverage which has also contributed to the increase in listing numbers. Growth of COMPLETE There has been a 1.4% growth in consumer/trade/industry consumer/trade/ databases for the quarter (current number is 16,200 which industry shows growth of 12% of databases). databases (+8%)
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Growth of social ONGOING To date 41% of the social media engagement growth target media has been achieved. engagement For more information on this please see additional notes (+12%) below. 7.5 Southland ONGOING Southland promotional materials created and shared promotional including posters, bags, beanies, pens, duck callers and tea merchandise towels
Destination Fiordland
7.6 Marketing via ONGOING Promotion through weekly newsletter and Summer Trade Destination newsletter Fiordland Summer Trade newsletter opened by 23% Member newsletter opened by an average of 41%, highlight for January was reaching 47% (industry average for opening is 32%). Imagery supplied for GodZone competitor newsletter showcasing the region.
Sharon Salmons appointed to role of Destination Fiordland Manager.
Destination Fiordland represented at Cycle Fiordland meeting and members Christmas held in December.
Marketing support given to new businesses with their TRENZ applications.
Conference Attraction
7.7 Promote ONGOING 39 conferences have been held to date. Conferences held Southland as a during the October - December 2017 quarter: conference destination and 13/10 Association of Blind Citizens support potential 11/10 Guide Dog Forum conferences 10/10 NZ Association of Resource Management 20/10 National Mustang Convention
15/10 C.A.T.E Conference Develop 18/10 Rural Women NZ Conference relationships with 4/10 Meat Industry Ass Renderers national 10/10 NZ Dairy Industry Awards conference sector 11/10 NZARM Conference (including 12/10 Venture Southland Southern Attraction Day Professional 12/10 Fonterra Leaders Day Conference 22/10 Southern Mustang Club Organisers) and 25/10 NZI Business Update 58 local conference 26/10 Rabo Bank Dairy 28/10 Eastern Southland Car Club sector providers 1/11 ITM Expo 7/11 Farm Source 8/11 Allied Concrete Conference 16/11 CATE Conference
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19/11 Rural Woman NZ Conference 22/11 ASB Bank 30/12 Southland Rodders 50th Anniversary
Provision of bid COMPLETE The bid template and Conference Manual has been support finalised. Investigation currently underway into interactive information digitisation via Southlandnz.com Coordinate the ONGOING Coordination of the conference incentive fund continues Conference alongside the ILT. Incentive Fund Prospect 50 ONGOING 39 conferences held during the second quarter (see 7.7) conference and 25 prospecting (see below) opportunities, undertaking 12 bids to attract six additional conferences Represent the ONGOING Representation at Convene South event (Sept 2017). region through Conference Promotion/Representation four events, 1. MBIE CAS - Report activities and 2. NZ Highway Technology - Famil industry channels 3. Convention Bureau Meeting 4. CINZ Conference Famil (Real Journeys, ILT, ILT Stadium Southland, Bill Richardson Transport World) 5. ConveneSouth Sept 2018 (ILT)
Invercargill i-SITE
7.8 Manage the ONGOING Currently implementing recommendations of review Invercargill i-SITE undertaken in 2016/17. including implementing the The recommendations have resulted in a saving made of review $7,700 in salaries for the quarter. undertaken in 2016/17 Currently working with ICC and SMAG to investigate proposed changes to the physical space.
7.9 Grow revenue 8% ONGOING Revenue 2016/17 2017/18 Variation % Commission $30,603 $20,762 ($9,841) -32% Other $14,642 $12,768 ($1,874) -12.8% Expenditure Salaries $53,264 $45,605 ($7,659) -14.4% Other* $9,493 $7,070 ($2,423) -25.5% *Retail sales, advertising revenue and ticket sales commissions.
Commission is showing as being $10,000 below budget. This is due to changes in how commission is received. Historically some contracts had a wash-up based on total
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sales for the year and various targets, however this is now paid on sales throughout the year.
Retail sales are showing as being below the prior year, however this is likely due to the stock figure now being adjusted at the end of December.
Staff costs continue to be below the prior year following the implementation of the review. This will allow for additional staffing through the busy summer season. 7.10 MBIE i-SITE ONGOING Facilitation of a national pilot project, in partnership with Attraction Pilot MBIE, to investigate the potential to transition visitors into (see 5.5) migrants using the Invercargill i-SITE.
Portal and interactive material has been placed in the i- SITE to allow people to explore regional employment and lifestyle opportunities, and register interest in future opportunities.
The data for the holiday period is currently being examined to better refine the material used.
7.11 Department of ONGOING As part of the partnership with the Department of Conservation i- Conservation, i-SITE staff have had training on the Great SITE partnership Walks and other DOC products with the site developed and sales commenced. The partnership has also included the Responsible camping initiative.
Additional Notes:
Activity for this quarter includes:
7.1 Promotional Campaigns
7. Southern Steel - Social Media Campaign (Preparation) 8. People of Southland - Content Campaign (Preparation) 9. NZ Bike Expo 10. Responsible Camping promotion 11. TravelWireAsia (Preparation) 12. Neuseland News (Preparation)
7.2 Publicity and Media Engagement
Media Results 1. Media Result - Autocar NZ Magazine, Kyle Cassidy, The Great GT Hoard (Roger Whyte) - October 2017 2. Media Result - Tourism NZ Media Newsletter, Dig This - October 2017 3. Media Result - Travel at 60 website, Southern Scenic Route - October 2017 4. Media Result - Southern Attraction Showcase, Tourism Speed Dating Channel 39 - October 2017 5. Media Result - Kia Ora Magazine, Tour of Southland Event Listing October 2017 6. Media Result - This NZ Life Website, Bushy Point Fernbird B&B Otatara - October 2017 7. Media Result - SIRT Campaign, Nine.com, One journey leads to another in New Zealand's South Island, SSR 8. Media Results - SIRT Campaign, Nine.com, Five amazing animal encounters on NZ's South Island, The Catlins, SI and Bluff - October 2017 9. Media Result - Travel Starts at 60 Blog, SSR - October 2017
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10. Media Result - SIRT Campaign, Nine.com Australia, Southern Scenic Route in NZ - October 2017 11. Media Result - Autocar Magazine NZ, Kyle Cassidy, E Hayes and Sons - October 2017 12. Media Result - Autocar NZ Facebook Video, E Hayes and Sons (12K Views) - October 2017 13. Media Result - Atlas Obscura, The Lost Gypsy Gallery - November 2017 14. Media Result - Now to Love, Southland's most incredible attractions - November 2017 15. Media Result - Singapore, Alvinology, Dig This - October 2017 16. Media Result - MTV Australia, Craft Beers in NZ, Invercargill Brewery 17. Media Result - Yahoo, Australia, New Zealand’s most epic road trips, SSR 18. Media Result - Travelling Solo, Australia, Discover NZ's Best Hikes, Rakiura Track Stewart Island 19. Media Result - Darpan Magazine, Canada, Fall in Love with New Zealand, Te Araroa Trail, Bluff 20. Media Result - Australia, AWOL, NZ opened heavy vehicle theme park - October 2017 21. Media Result - Canada, Travel Weekly, More Value for money destinations - Southland October 2017 22. Media Result - Australia, Vacations and Travel Magazine, Five great drives on New Zealand's SSR - October 2017 23. Media Result - Australia, Sunday Herald Sun, Iconic NZ Drives - SSR October 2017 24. Media Result - Gateway Chch Airport Magazine, BMC - Summer 2017 25. Media Result - Destinationz Magazine, Stewart Island - Summer 2017/18 26. Media Result - China, www.travelleisure.com, Magic Nights, Stewart Island - October 2017 27. Media Result - Germany, Mittelbayerische Zeitung, A funny bird mascot, Stewart Island and Kakapo - October 2017 28. Media Result - China, www.ttgchina.com, wechat, www.sohu.com & www.eastday.com, Night Skies, Stewart Island - October 2017 29. Media Result - Singapore, SuperTravelMe, Dig This - October 2017 30. Media Result - Singapore, Aspirant SG & Facebook, Top NZ Attractions, Rakiura Great Walk - October 2017 31. Media Result - China, www.travellinkdaily.com, Magic Nights, Stewart Island - October 2017 32. Media Result - China, Syndicated story, sina.com, qq.com, southcn.com, Magic Nights, Stewart Island - October 2017 33. Media Result - China, Chinese NZ Herald, Southland Attractions and Itineraries - October 2017 34. Media Result - China, Skykiwi, Southland Attractions and Itineraries - October 2017 35. Media Result - China, China Travel, Southland Attractions and Itineraries - October 2017 36. Media Result - Life and Leisure Insider's Guide, Stewart Island - November 2017 37. Media Result - China, Syndicated story, hc360.com, tvtour.com, Magic Nights - November 2017 38. Media Result - China, STA Travel - the third largest island of New Zealand, Stewart Island - November 2017 39. Media Result - Philippines, GMA News Online, 9 things you may or may not know about traveling to NZ, Stewart Island - November 2017 40. Media Result - North and South Magazine, Mike White, The Catlins - November 2017 41. Media Result - Philippines, GMA News Online - 9 things you may or may not know about traveling to New Zealand - Stewart Island 42. Media Result - TNZ Media Newsletter, Summer in New Zealand 2017_18 event highlights, BMC - November 2017 43. Media Result - TNZ Media Newsletter, Plan your ultimate bucket list of New Zealand experiences, Stewart Island - November 2017 44. Media Result - ODT, Curio Bay - December 2017 45. Media Result - Stuff, A quick guide to NZ's Great Walks, Rakiura - December 2017 46. Media Result - Stuff, Penguin stops traffic in Bluff - Dec 2017 47. Media Result - TNZ Facebook Share, Penguin stops traffic in Bluff - Dec 2017 48. Media Result - America, Newsweek.com, Henry & SMAG - December 2017 49. Media Result - China,TNZ China, Southern Coast 5-Day Itineraries - December 2017 50. Media Result - China,TNZ China, Southern Coast 7-Day Itineraries - December 2017 51. Media Result - Hong Kong South China Morning Post, WKE Stewart Island - December 2017 52. Media Result - IOL Australasia, Best Islands Stewart Island - December 2017 53. Media Result - Mundo Brasilerio Aotearoa (MBA), Brazilian Education Magazine, Southland Feature - December 20 54. Media Result - Social Post IG, Kleinstadcoco (114K followers), Oreti Beach - December 2017 55. Media result - Social IG Post, Kleinstadcoco (114k Followers), The Catlins - December 2017 56. Media Result - China, China Daily Hong Kong, Great Place you've never heard off, Subantarctic Island - December 2017 57. Media Result - China, South China Morning Post, Where the wild things are, Stewart Island Kiwis - December 2017 58. Media Result - Australia, MTV, 12 Adventures in NZ South Island, Bluff Shark Diving and Nugget Point Catlins - December 2017 59. Media Result - Indonesia, 25bertita.com, Tribunnews.com, Suara.com, Dream.co.id, Viva.co.id, 5 Secret Destinations in NZ you can't miss, The Catlins - December 2017
Media Famils (including social) 1. Tourism New Zealand IMP File - Vancouver Sun - November 2017 2. Gotta Love NZ - November 2017 3. Tourism New Zealand IMP File - Vogue Online - November 2017 4. KiaOra Magazine - November/December 2017 5. South of Home - December 2017
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7.3 Supply and Trade
1. Tourism Summit 2. TNZ Industry/Market Update 3. AOT Itinerary - adding SGCC 4. IMA TRENZ 5. GDC Summit 6. Southern Showcase (90 operators) 7. ICC Responsible Camping Project 8. Southern World - Northern Southland 9. Contiki - Northern Southland 10. ATS Product Listing 11. Nouvelle Zelande à la carte - Stewart Island 12. New Zealand Travel Centre (Aus) 13. MoaTrek, Guest NZ, Pan Pacific, JTB
Trade Famils 1. HM-Touristik (Germany) Travel Famil 2. CINZ Famil
7.4 Digital Channel Current Total Total Total Reach July 1 2016 Total New Community Total Reach Community - As Community - June 30 2017 Oct 1 2017 - Dec 31 2017 Oct 1 2017 - at 31/12/2017 as at June (Last year) (This Quarter) Dec 31 2017 30 2017 (This Quarter (Last year)
Total 84,206 79,407 N/A 2,231 N/A
Databases (Target +8% 79,407 14,378 N/A 233 (+1.4%) N/A 15,528)
Facebook Southland NZ N/A 34,535 1,616,925 602 288,920
Instagram Southland NZ 2,231 23,438 NA 931 94,292
Twitter Southland NZ N/A 3,529 97,142 87 23,031
Facebook INV i-Site 16,200 3,527 685,887 378 133,431
Total Social Media 14,378 65,029 2,429,954 1,998 539,674 (Target +10%, Reach (20%) 2.67m, Comm 71.5k)
Channel: Sessions Users Pageviews Pages/Session Bounce Rate Operator southlandnz.com Listings Data sourced from Google Analytics
Year: July 1 2016 - June 79,702 62,897 214,812 N/A N/A 352 30 2017
Quarter 1: July 1 2017 - 22,973 (26%) 17,446 60,933 (26%) 2.65 54.85% 441 (+25%) Sep 30 2017 (25%)
Quarter 2: Oct 1 2017 - 29,839 22,606 83,188 2.79 56.87% 442 Dec 31 2017 (34%) (32%) (35%)
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Quarter 3: Jan 1 2018 - Mar 31 2018
Quarter 4: April 1 2018 - June 30 2018
Year: July 1 2017 - June 30 2018
Annual Target (+10% ) 87,672 69,187 236,293 2.70 35% 420
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8. Events
Southland is known for high quality events which add diversity, vibrancy and a sense of well-being to the region’s residents and ratepayers. Venture Southland believes that events are an important aspect of our approach to develop and promote Southland as an attractive place to live, study, work and visit.
In 2016, Venture Southland undertook an internal evaluation of their role with delivering events with a view to looking at how to prioritise allocation of resources and gain efficiencies. Outcomes from this review are reflected in this year’s work programme as below.
The next step and a key project for this year in line with the Southland Regional Development Strategy is the development of a Southland Regional Event Strategy (see 2.3). This framework will involve multiple stakeholder involvement and will assess event development and promotion from a regional perspective.
Status Notes 8.1 Delivery and ONGOING The delivery and support of events across the Southland support of events region has resulted in spectatorship of 23,300 to date.
Generate Preparation for key events in the upcoming quarter was spectatorship in undertaken including work for: excess of 40,000 - Southland District Council Holiday Programme per annum - Southland Buskers Festival - Shakespeare in the Park - Burt Munro Challenge 8.2 Grow and ONGOING 12 events newsletters distributed and 146 events promote the promoted in the Southland events calendar during the Southland events quarter. calendar
Provide marketing support to 32 events
Undertake event promotion for iconic and significant events
8.3 Develop an ONGOING The Southland Regional Event Strategy will align with this approach and target (see 2.3). platform for The Event Capability Workshop was delivered in November aligning, in partnership with Sport Southland and included 45 people planning, from the events industry. coordinating and funding events in New event capability content has been published online in the region the last quarter and work is continuing with ICC on council support for event managers in the region. 8.4 Facilitate event ONGOING As above 8.3 capability development
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Support has been provided at regional events including the Provide support Hokonui Fashion Awards, Bluff Oyster and Food Festival, ILT to 12 regional Kidzone, Burt Munro Challenge, Southern Field Days, events RedBull Farm Jam and Crankup Day.
8.5 Economic and ONGOING Economic and/or social impact assessments to be social impact completed where a need is identified assessment
Work with key stakeholders to establish a process to identify and prioritise key events to be evaluated in order to understand the economic and social impact
Additional Notes:
8.1 Event Delivery:
Date Facilitated (VS Lead Role) Supported (VS Support Role)
ILT Kidzone Jul 11,000
Hokonui Fashion Awards Jul 1,200
Interschool Speech Competition Sep 200
New Zealand Mens Netball Nationals Sep 400
Spring Festival Sep - Oct 7800
Conference Estimate for quarter Jul - Sep 1000 (*17)
DownRiver Dash/Cycle to Celebrate Dec 200 200
Conference Estimate for quarter Oct - Dec 1500 (*22)
SDC Holiday Programme Jan 300
Summer Sounds Jan 150
Rev Up Jan
Shakespeare in the Park Feb 1000
Burt Munro Challenge Feb 7,000
Southern Field Days
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HopNVine* Apr 700
Heritage Month Mar
Southland Festival of the Arts Apr - May 5,000
Southern Steel Apr - Jun 8,500
Bluff Oyster and Food Festival* May 500 4,500
Southland Buskers Festival Jan 6,000
Other Events Supported (incl. conference) Year 200 12,000
TOTAL
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9. Community Development
Southland is known for its strong and vibrant communities which contribute to a quality of life. The Southland Regional Development Strategy aims to attract 10,000 more people by 2025 and quality of life opportunities are essential to not only attracting, but also retaining people.
Venture Southland supports the Southland District Council in supporting local communities to maintain a proud Southland community spirit, particularly in rural areas. The approach is twofold and relies on a relationship approach of working alongside local people and groups and partnering with Councils, community funders and other stakeholders on a range of projects and initiatives.
There is a close relationship between the Southland District Council Community and Futures group and Venture Southland’s Community Development team. Venture Southland’s Community Development team helps to deliver Southland District Council’s priorities and support Council on a range of projects and initiatives.
The 2017-18 work programme builds on key projects completed in the previous year and detailed briefs for new projects listed below are yet to be fully scoped. Scoping of these projects will be undertaken alongside the Southland District Council to establish objectives, timeframes and resource requirements. Note: Depending on the scope of these projects, some priorities may change.
Please note that there are four projects as outlined in the Southland District Council Letter of Expectation which are detailed in other sections of this quarterly report.
Project/Initiative Section Rural Migrant Worker and Newcomers Attraction and Retention of a Skilled Workforce Project (now known as Te Anau Ambassador Pilot – see 5.4) MBIE Tourism Infrastructure Fund (see 2.12) Destination Development Cycle Strategy Implementation (see 2.5) Destination Development Around the Mountains Cycle Trail Operational Destination Development and Destination Requirements (see 2.14) Promotion
Community Development is split into the following sections: Community Capacity and Capability Building
Status Notes 9.1 Community ONGOING SDC requested further development of the database Organisation and created in the previous year’s research to include contact Volunteer Sector details for SDC organisations. Database is now complete Project and has been handed back to SDC. In total, contact details for 669 organisations were sought The project aims to for the database. Council are using this database to inform prioritise and the community about relevant events, consultation implement the key processes etc. findings determined from Shared Service Pilots - ONGOING the research SDC have commissioned two pilot projects (one geography undertaken in 2016-2017 based and one topic based) to explore the development of a shared service that can be used by a number of volunteer groups.
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The aim is to increase capacity by “joining forces” and address the issues which arose from the previous volunteer research. A review of the previous research and the brainstorming of topics will be taken back to SDC and the community in February. 9.2 Community ONGOING The final report for the community facilities project was Facilities Project submitted to SDC on 31 August 2017.
The project aims to SDC are yet to advise of further projects flowing directly prioritise and from this research, however have sought the community implement the key team’s assistance in engaging with some communities findings regarding the use of key facilities. determined from
the research undertaken in 2016-2017
Community Planning
Status Notes 9.3 Southland ONGOING This project is aimed at developing a District-wide approach District local to community development which will be ratified by SDC. community sustainability An initial workshop was held in November (facilitated by strategic SDC), and SDC have advised at least one further workshop approach will be held prior to the development of the strategy.
9.4 Community ONGOING Assisted SDC with the delivery of a series of workshops futures and held in November that allowed the wider community to community have input into the development of Community Leadership leadership Plans in Invercargill, Gore, Te Anau, Otautau and plans Wallacetown. A community consultation “fete” was held on Stewart Island, and a follow up workshop. In the next consultation phase, the team will also be assisting with further “fetes” SDC are planning in the District as this allows more informal and one-on-one engagement with residents. 9.5 Community ONGOING Pool water quality training has been carried out over the Education quarter.
Deliver a series of All of the committees which run Southland’s pools were workshops to be offered the opportunity to attend a one day water quality held throughout training with subsidies secured via the SDC Community Southland to Initiatives Fund and Community Trust of Southland. educate the local community about
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a relevant issue or Fourteen Southland pools attended, and consultation with topic. the pools has commenced around their interest in meeting again in May/June for a networking event.
Possible topics and speakers at this event include a guest speaker on pool heating (to complement the launch of Venture Southland’s pool heating guide), funding information and sustainability strategies, and attendance of pool suppliers.
The Volunteer group workshop series is ongoing
Research is being undertaken into the topic and method of engagement for volunteer group workshops this year.
Engaging additional partners, the topic of funding sustainability, and the opportunity to wrap a mentoring program around the workshops is being explored by the team at present.
The joint venture workshop series pilot is ongoing
A pilot of Venture teams collaborating to deliver a series of workshops is being trialled on Stewart Island in 2018 in collaboration with the Stewart Island Promotion Association.
Worksafe and the business team are providing an information session in February 2018, and the tourism team are providing a workshop on Digital Marketing in September. A third community-related topic is being explored for May 2018.
9.6 Welcoming ONGOING See 5.6 for full update. Communities Pilot Direct assistance with the delivery of the pilot programme alongside individual councils, the Labour Market Coordinator and Welcoming Communities Coordinator.
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Local Initiatives
Status Notes 9.7 Local Community ONGOING 58 groups assisted in the second quarter to lead their own Project Support community projects. These organisations and/or projects are detailed below and further information is available on A minimum of 100 request: community groups Rakiura Museum assisted to support Fiordland Players Club and lead their own Tuatapere Community Board, Railway Project community Tuatapere Guide Book project projects which Gorge Road CDA align with District priorities and Wyndham A & P Association regional and Wyndham Pony Club national initiatives. Wyndham and Districts Historical Society Mokotua Hall Committee Supporting Friends of Lumsden School (bike track) volunteers Garston School empowers local Garston CDA Subcommittee communities as Cycle and Celebrate Event per the Southland 14 Southland Community Swimming Pools (water Regional treatment course) Development Strategy South Coast Environment Centre Fire and Emergency New Zealand Southern Pig Hunting Club Otautau Community Worker Trust 6 funders via Southland Funders Forum (including CTOS, DIA, ILT, SDC, ICC, Te Pūtahitanga) Down River Dash, Mossburn Athol Gallery Trust The Upper Mataura Trust Mossburn Senior Citizens Bush Haven Otatara Gunn’s Camp – Hollyford Museum Trust Nightcaps War Memorial Southern Boardriders Otautau Flowers, Quilts & Crafts Day Colac Bay Boat Ramp Te Hikoi Wreys Bush Hall Committee Rakiura Museum Humpridge Track Classical Music Festival, Te Anau Edendale War Memorial Wyndham Archway restoration Welcome Rock and Real Country Balfour Gun Club South Catlins Charitable Trust Catlins Coast Inc.
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JAN 2018 SCANNED
land Warm Homes creating healthy
C/o PowerNet Limited, P 0 Box 1642, 9840, New Zealand Phone: 03 211 1899 Fax: 03 211 1875
22 2017
Richard King Invercargill City Council Private Bag 90104 Invercargill 9840
Dear Mr King
The Trustees of the Southland Warm Homes Trust are pleased to present their Annual Report for the year ended 30 June 2017.
The Trust's turnover for the year reached $900,000 which resulted in 195 low income rental homes and 72 general income households receiving subsidised insulation.
This year was the first of our two year Healthy Homes Rental Programme contract with the Energy and Conservation Authority (EECA). A national marketing campaign promoting the Rental Programme subsidy to landlords towards the end of the first year has led to a significant increase in rental property insulation demand going into the second year of the EECA contract, where we expect to utilise the surplus funding carried forward from the year ending 30 June 2017.
The Trustees wish to thank you for your assistance through the Southland Warm Homes Trust Project Team and for your financial contribution during the year. We look forward to your continued support in the future.
Yours faithfully
Allan Beck Financial Controller
GO RE
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Southland Warm Homes Trust creating healthy homes
SOUTHLAND HOMES TRUST
ANNUAL PERFORMANCE REPORT FOR THE YEAR ENDED 30 JUNE 2017
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TABLE OF CONTENTS
INFORMATION:
CHAIRMAN'S REPORT 3−5
ENTITY 6
STATEMENT OF SERVICE PERFORMANCE 7
FINANCIAL INFORMATION:
STATEMENT OF FINANCIAL PERFORMANCE 8
STATEMENT OF FINANCIAL POSITION 9
STATEMENT OF CASH FLOWS 10
STATEMENT OF ACCOUNTING POLICIES 11−12
NOTES TO THE PERFORMANCE REPORT 13−15
AUDITOR'S REPORT 16
ANNUAL PERFORMANCE REPORT − 2 JUNE 2017
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REPORT FOR THE YEAR ENDED 30 JUNE 2017
It is with great pleasure and satisfaction on behalf of fellow Trustees Karen Arnold, Bret Highsted and Carl Findlater that I have the opportunity to report on the achievements of the Southland Warm Homes Trust (SWHT) in its ninth year.
The SWHT was established in June 2008 by Electricity Invercargill Limited (EIL) and the Southland Power Trust (SEPSCT) to provide an umbrella to facilitate a warm homes project after a meeting of community groups was arranged in 2006. the encouragement of the Energy Efficiency and Conservation Authority (EECA) and support from our respective boards, Neil Boniface and I (Jim Hargest − Chair of SEPSCT), decided to support energy efficiency initiatives for the benefit of Southland through the establishment of the SWHT.
The SWHT provides free energy assessments and subsidised insulation products and heating appliances to Southland and West Otago (Tapanui) homes. The vision of the Trust is to ensure "Southlanders" have:
> a more energy efficient home an improved living environment > improved well−being better health > greater energy efficiency awareness Measures Installed
In the year to 30 June 2017 195 houses and rental property homes received insulation through the Healthy Homes (2016: 275 houses), 72 general income households received subsidised insulation, and 32 received heating (2016: 21). The SWHT received income from EECA, Landlord contributions and other community grants totaling $0.9 million (2016: $1.0 million), and $0.7 million (2016: $1.0 million) was utilised in delivering these measures. Project Team and Community Support
The achievement of the SWHT objectives would not have been possible without the considerable investment of time through the SWHT Project Team and financial support of various community funders throughout the region that include:
Community Funders 2017 2016 Project Team Representatives The Power Company Limited $125,000 $125000 Electricity Invercargill Limited $125,000 $125,000 Neil Boniface (2016), Karen Arnold
The Southern Trust 20,000 20,000
Health Organisations − − Van der Lem Community Trust of Southland $25,000 $25,000
Gore District Council $15,000 $15,000 Anne Gover (2016), Bret Highsted
Southland Council $35,000 $35,000 Ian Marshall
Invercargill City Council $50,000 $50,000 Mary Napper, Karen Arnold and John Youngson. Neil (2016) Environment Southland $50,000 $72,609 Bryan Scoles, Sonya Nicol Guy Waddell Trust − $7,000 NZ Oil & Gas Limited $20,000 $20,000 Anna
Southland Power Trust kind support kind support Carl Findlater, Jim Hargest Work and Income kind support kind support Sue Dynes
JUNE 2017
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The Southland Community owes a great deal to these people and organisations that have got behind this project and made it work. Our first grant of $2,000 was received from the Southland Energy Efficiency Trust and grants have ranged up to $250,000 from The Power Company Limited.
EECA have been incredibly supportive to the project and assisted with a grant to meet start up costs. To date over the last nine years EECA has in excess of $12.2 million (2016: $12.0 million eight years) of the total income of $24.0 million (2016: $23.1 million after eight years).
Trustee changes During the year two new Trustees were appointed to the Southland Warm Homes Trust, replacing two long standing Trustees. Neil Boniface, a founding member and Chairman, and Ann Gover, both standing down as Trustees in November 2016. In particular, I would like to acknowledge the passion and effort Neil gave in support to the SWHT initiatives, from originally setting up the Trust in 2008 through to the present year, thousands of homes and families across Southland have benefited from the generosity of this scheme, and from Neil's vision in establishing the Trust. Karen Arnold was appointed Trustee as replacement for Neil Boniface, and Bret Highsted was appointed Trustee as replacement for Ann Gover. I (Jim Hargest) was appointed Chairman at this time.
EECA Heat Smart Package
Effective from July 2009 the Government through EECA announced a revised energy heating programme. The Warm Up New Zealand (WUNZ) Heat Smart programme had aimed to retrofit more than 180,000 New Zealand homes by 2013, however more than 241,000 homes have been insulated which is a very pleasing result. The WUNZ Heat Smart scheme administered by EECA is without doubt a success story for the Government.
EECA Healthy Homes Programme
The Government, in its May 2013 budget, announced a new insulation scheme, the WUNZ Healthy Homes Programme, to follow on from the successful WUNZ Heat Smart Programme. The WUNZ Healthy Homes Programme aims to fund the installation of insulation to around 46,000 low income homes nationally over three years from 1 July 2013 to 30 June 2016.
The Healthy Homes scheme is targeted at those who stand to benefit most from having their homes insulated, those being income households with high health needs, which include families with children and the elderly. Landlords with eligible tenants are also included but are required to make a contribution.
Under the initial Healthy Homes scheme EECA provided 60% of the funding with the remaining 40% to come from third party funders. For the 2014/15 year the SWHT was awarded EECA funding of $1,060,500 for 505 homes based on secured third party funding of $707,000, which included retained earnings funding forward from previous years.
Healthy Homes Programme for Year
For the third year of the Healthy Homes Programme beginning 1 July 2015, EECA reduced its funding allocation from 60% to 50% of the total cost of insulation. As a result, the third party funding allocation has increased from 40% to 50%. From 1 July 2015 the landlord contribution increased from 25% to 40%.
Healthy Homes Rental Programme for the 2016/17 and 2017/18 Year
In September 2016 SWHT was awarded EECA funding to deliver at least 1,100 rental property retrofits from 1 September 2016 to 30 June 2018. The EECA funding covers 25% of the total
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insulation cost (2016: 50% funded). The SWHT contribution covers 25% of the insulation cost, with the Landlord contributing the remaining 50% (2016: 40% funded).
In late June 2017, the criteria under this programme was widened to include Home Owners on low incomes or with high health needs, with EECA to provide 25% of funding, SWHT to provide 25% of funding when the home owner contributions the remaining 50% of the cost insulating their homes.
Funding for: Insulation Contribution Residential dwelling built prior to EECA SWHT 1 January2000, and Home Owner Landlords with CSC holding tenants with occupants under 17 one or more years 25% 25% 50% or over 65 years and who meet the health criteria, or Home Owners with one or more occupants under 17 65 years or over 25% 25% 50% years with a CSC and who meet the health criteria
Summertime Subsidy
During the year the Southland Warm Homes Trust together with Awarua Synergy offered a summertime subsidy of up to $2,000 for qualifying middle income families to undertake insulation.
Financial Performance
The Trust recorded a net operating profit for the year of $228,388 (2016: $50,543). The profit for the year was $202,672 more than the budgeted profit of $25,716. The difference is due to a budgeted higher number of rental property homes insulated than eventuated due to the late uptake in the new Healthy Homes Rental Programme, resulting in a funding surplus for the 2016/17 year. The surplus will be utilized in the second year of the two−year Rental Programme contract, as demand increased during 2017/18, with the EECA subsidy period expiring in June 2018.
Operational Support
Awarua Synergy performs the service provider function on behalf of the Southland Warm Homes Trust and employs up to 19 staff at seasonal peak times.
PowerNet Limited provides administrative and secretarial support to the Trustees and Project Team.
The support from the staff of these organisations towards the successful delivery of the project is gratefully acknowledged.
Hargest Chairman Southland Warm Homes Trust
PERFORMANCE REPORT ANNUAL − JUNE 2017
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ENTITY INFORMATION FOR THE YEAR ENDED 30 JUNE 2017
NATURE OF BUSINESS Charitable Trust
CORE PURPOSE To provide energy assessments, insulation and energy efficient heating appliances to Southland households.
VISION The Southland Warm Homes Trust and the Project Team in conjunction with Awarua Synergy will ensure Southlanders have − a more energy efficient home, an improved living environment, improved well−being, better health, and greater energy awareness.
BUSINESS ADDRESS 251 Racecourse Road Invercargill
POSTAL ADDRESS c/− Box 1642 Invercargill 9840
FREE PHONE 0800−92−76−76
TRUSTEES Jim Hargest (Chairman) Karen Arnold Bret Highsted Findlater
AUDITOR McIntyre Dick & Partners 160 Spey Street Invercargill
BANK ANZ Bank New Zealand Limited
ADMINISTERED BY PowerNet Limited 251 Racecourse Road
PROJECT DELIVERY BY Awarua Synergy 117 Eye Street Invercargill 03−214−2927
FUNDING PROVIDED Combination of Government agency funding through EECA based on number of eligible households insulated, and community funding provided through Corporate and Local Government donations and grants.
ACKNOWLEDGEMENT The Trust greatly appreciates the support and volunteered time of the Trustees and the Project Team members, which is vital to the ongoing success of the project.
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STATEMENT OF SERVICE PERFORMANCE FOR THE YEAR ENDED 30 JUNE 2017
Outcomes The objectives of the Southland Warm Homes Trust for this financial year as specified in the 2016/17 Business Plan are: providing all Southlanders with the opportunity to have an individual assessment and receive advice on how to improve energy efficiency in their home; creating awareness of the benefits of home insulation and energy efficiency improving the living environment, well−being and health of Southland people.
Key performance targets and measures identified in the Business Plan, along with the performance achieved during the financial year, are detailed below.
Year Ended 30 June: 2017 2017 2016 Achieved Target
EECA Healthy Homes Programme: Insulation (No. of houses)
− Low Income Households − Owned 23 23 214
− Low Income Households − Rentals 172 500 61 195 523 275
During the year to 30 June 2017, 195 houses across Southland and South Otago received insulation through the Healthy Homes programme (2016: 275 houses), and 72 general income households received subsidised insulation (2016: 10). The SWHT received income from EECA, community grants and Landlord contributions totaling $0.9 million (2016: $1.0 million), and $0.7 million (2016: $1.0 million) was utilised in delivering these measures.
Community Funding received $465,000 $490,000 $495,177
Financial Surplus/(Deficit) for the year $228,388 $ 25,716 $ 50,543
The Southland Warm Homes Trust has continued to provide insulation installations to households across the wider Southland and West Otago area. Healthy Homes Retrofit Regional Breakdown
Home Owner Clutha Gore Southland Invercargill Total 2016/17 − 2 6 15 23 2015/16 2 34 57 121 214
Rental Clutha Gore Southland Invercargill Total
2016/17 45 12 115 172
2015/16 9 10 42 61
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STATEMENT OF PERFORMANCE FOR THE YEAR ENDED 30 JUNE 2017
2017 2016 Note $ $ Revenue
Revenue from Grants & Donations received 2 642,948 1,007,010 Revenue from providing goods or services 2 256,811 66,780 Interest received 1,492 1,739
Total Revenue 901,251 1,075,529
Expenses
Costs related to providing goods or services 3 613,381 Other expenses 3 59,482 64,107
Total Expenses 672,862 1,024,986
Surplus for the year 228,388 50,543
The accompanying notes on pages 11−15 form part of and should be read in conjunction with this performance report.
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STATEMENT OF FINANCIAL POSITION As AT 30 2017
2017 2016 Note $ $
Assets
Current Assets Current Account 75,709 4,006 Call Account and Short Term Deposits 325,016 163,531 Accounts Receivable 21,682 24,579 Other Receivables 5,466 9,610 Prepayments 1,304 1,304
Total Current Assets 429,177 203,030
Total Assets 429,177 203,030
Liabilities
Current Liabilities Accounts Payable 52,668 54,910
Total Current 52,668
Total 52,668 54,910
Net Assets 376,509 148,120
Funds
Accumulated surpluses − Net 4 376,509 148,120 Total Accumulated Funds 376,509 148,120
Hargest Carl Findlater Chairman Trustee
The accompanying notes on pages 11−15 form part of and should be read in conjunction with this performance report.
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STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 30 2017
2017 2016
Cash Flows from Operating Activities
Cash was received from: Receipts from Grants & Donations 645,845 1150,957 Receipts from providing goods or services 256,811 66,780 Interest received 1,492 1,739
Net GST 4,144 5,214 908,291 1,224,690
Cash was applied to: Payments to supplier and employees 615,622 1,168,228 (Installation Costs) Audit fees 6,275 5,125 Administration expenses 52,954 58,981 674,851 1,232,334 Net Cash Flows from Operating Activities 233,440 (7,644)
Cash Flows from Investing & Financing Activities
Net Increase I (Decrease) in Cash 233,440
Opening Cash 167,537 175,181
Closing Cash 167,537
This is represented by: Bank Accounts and Cash Current Account 75,709 4,006 Call Account and Short Term Deposits 325,016 163,531
400,725 167,537
The accompanying notes on pages 11−15 form part of and should be read in conjunction with this performance report.
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NOTES AND FORMING PART OF THE PERFORMANCE REPORT FOR THE YEAR ENDED 30 JUNE 2017
1. STATEMENT OF ACCOUNTING POLICIES
Reporting Entity The Southland Warm Homes Trust is a Charitable Trust that was established in June 2008 under the Charitable Trusts Act 2005. The Trust is registered with the Charities Commission. The Trust was established by Electricity Limited and the Southland Electric Power Supply Consumer Trust for the purpose of providing energy assessments, insulation and energy efficient heating appliances to Southland and West Otago households.
The beneficiaries of the Trust are those persons or organisations connected to the Electricity Invercargill Limited distribution network in Invercargill and Bluff and The Power Company Limited distribution network in Southland and West Otago at a particular time.
The financial performance report was approved by the Board of Trustees on 15 November 2017.
Basis of Preparation Southland Warm Homes trust has elected to apply PBE (NFP) Public Benefit Entity Simple Format Reporting − Accrual on the basis that it does not have public accountability and has total annual expenses of equal to or less than $2,000,000. All transactions in the Performance Report are reported using the accrual basis of accounting. The Performance Report is prepared under the assumption that the entity will continue to operate in the foreseeable future.
Good and Services Tax (GST) The Southland Warm Homes Trust is registered for GST. The financial performance report has been prepared exclusive of Goods and Services Tax, with the exception of receivables and payables which are shown inclusive of Goods and Services Tax.
Income Tax Southland Warm Homes Trust is wholly exempt from New Zealand income tax having fully complied with all statutory conditions for these exemptions.
Bank Accounts and Cash Bank accounts and cash in the Statement of Cash Flows comprise cash balances and bank balances (including short term deposits) with original maturities of 90 days or less.
Revenue Grants and Donations Grants and donations are recorded as revenue on receipt unless there is a use or return' condition attached. Grants or donations with use or return conditions are recorded as a liability until the conditions have been satisfied and are recorded as a liability until the conditions have been satisfied and are recorded as revenue.
Household Contributions Revenue from this source is measured at the fair value of the consideration given for the sale of goods and services.
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Investments Investments are stated at cost.
Loans and Receivables Loans and receivables are stated at their estimated realisable value. All known losses are written in the period in which it becomes apparent the debts are not collectable.
Changes Accounting Policies There have been no changes to accounting policies. All accounting policies are consistent with those applied in the previous year.
2. REVENUE 2017 2016
Revenue from Grants or Donations received
Revenue from grants or contracts for services with government agencies: Energy Efficiency and Conservation Authority 177,948 511,833 (EECA)
Revenue grants or contracts for services with local government: Environment Southland 50,000 72,609 City Council 50,000 50,000 Southland District Council 35,000 35,000 Gore District Council 15,000 15,000
Revenue other grants or donations received: Electricity Invercargill Limited 125,000 125,000 The Power Company Limited 125,000 125,000 Community Trust of Southland 25,000 25,000 The Southern Trust 20,000 20,000 New Zealand Oil & Gas Limited 20,000 20,000 7,000 Guy Waddell Trust − Other Donations received 568
642,948 1,007,010
Revenue from or services:
Household contributions 256,811 66,780
256,811 66,780
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3.
Costs related to or services
Installation costs 613,381 960,879
Other Costs
Administration Expenses 48,529 58,982 Audit Fees 6,275 5,125 54,804 64,107
4. ACCUMULATED FUNDS
This Year Capital Accumulated by Total Owners or or Deficits Members
Opening Balance 148,120 148,120 Surplus 228,388 228,388
Closing Balance 376,509 376,509
Capital Last Year Accumulated Contributed by Surpluses Reserves Total Owners or or Deficits Members
Opening Balance 97,578 97,578 Surplus 50,543 50,543
Closing Balance 148,120 148,120
5. COMMITMENTS
Operating Commitments Deposits from householders are received and held by Awarua Synergy the service provider on behalf of the Southland Warm Homes Trust. The deposits are from householders who have committed to insulation installations.
Capital Commitments There are no capital commitments as at 30 June 2017 (2016: Nil).
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6. RELATED PARTIES
The Trust received a donation the year of $125,000 (2016: $125,000) from The Power Company Limited. The Power Company Limited is a 100% owned subsidiary of the Southland Power Trust, of which Jim Hargest is Chairman and Findlater a Trustee.
The Trust received a donation during the year of $125,000 (2016: $125,000) from Electricity Invercargill Limited, of which Karen Arnold is Director.
The Trust received a donation during the year of $50,000 (2016: $50,000) from the Invercargill City Council, of which Karen Arnold is a Councillor.
The Trust received a donation during the year of $15,000 (2016: $15,000) from the Gore District Council, of which Bret Highsted is a Councillor.
The Trust uses PowerNet Limited to provide administration services, of which Karen Arnold is a Director. Fees for administration services during the year amounted to $30,000 excluding GST (2016: $30,000 excluding GST) of which $2,875 including GST (2016: $5,750 including GST) is owing at balance date.
7. NON CASH DONATIONS
The Trust received in kind support from businesses offering services and time to help with the running of the Trust operations.
8. CONTINGENT LIABILITIES
There are no known contingent liabilities as at 30 June 2017 (2016: Nil).
9. COMMUNITY SUPPORT
The continuation of the Southland Warm Homes Trust is dependent upon the support from its community funders listed in Note 2, Revenue.
10. SUBSEQUENT EVENTS
There have been no subsequent events after 30 June 2017.
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Dick INDEPENDENT AUDITOR'S REPORT
To the Trustees of Southland Warm Homes Trust
Opinion
We have audited the Performance Report of Southland Warm Homes Trust on pages 6 to 14, which comprises the entity information, statement of service performance, statement of financial performance and statement of cash flows for the year ended 30 June 2017, the statement of financial position as at 30 June 2017, the statement of accounting policies and other explanatory information.
In our opinion: (a) the reported outcomes and outputs, and quantification of the outputs to the extent practicable, in the statement of service performance are suitable; (b) the performance report on pages 6 to 14 presents fairly, in all material respects, the entity information for the year ended 30 June 2017, the service performance for the year then ended, and the financial position of Southland Warm Homes Trust as at 30 June 2017, and its financial performance and its cash flows for the year then ended in accordance with Public Benefit Entity Simple Format Reporting − Accrual
Basis for Opinion
We conducted our audit of the statement of financial performance, statement of financial position, statement of cash flows, statement of accounting policies and notes to the performance report in accordance with International Standards on Auditing (New Zealand) (ISAs (NZ)), and the audit of the entity information and statement of service performance in accordance with the International Standard of Assurance Engagements (New Zealand) ISAE (NZ) 3000 (Revised). Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Performance Report section of our report. We are independent of Southland Warm Homes Trust in accordance with Professional and Ethical Standard I (Revised) Code of Ethics for Assurance Practitioners issued by the New Zealand Auditing and Assurance Standards Board and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our qualified opinion.
Other than in our capacity as auditor we have no relationship with, or interests in, Southland Warm Homes Trust.
Restriction on Responsibility
This report is made solely to the trustees of Southland Warm Homes Trust, as a body, in accordance with section 42F of the Charities Act 2005 and the Trust Deed. Our audit work has been undertaken so that we might state to the trustees those matters we are required to state to them in an report and for no other purpose. To the fullest extent permitted by law, we do not accept of assume responsibility to anyone other than the members as a body, for our audit work, for this report, or for the opinions we have formed.
Trustees Responsibilities for the Performance Report
The trustees are responsible on behalf of the Trust for; (a) identifying outcomes and outputs, and quantifying the outputs to the extent practicable, that are relevant, reliable, comparable and understandable, to report in the statement of service performance; (b) preparation and fair presentation of the Performance Report in accordance with Public Benefit Entity Standards, and for such internal control as those charged with governance determines is necessary to enable the preparation of a Performance Report that is free from material misstatement, whether due to fraud or error.
15
Partnership, commitment, success. Chartered Accountants & Business Advisors
160 Spey Box 848. 9840. New Zealand 74
Dick & Partners −
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In preparing the Performance Report, those charged with governance are responsible on behalf of the Trust for assessing the Trust's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless those charged with governance either intend to liquidate the Trust or to cease operations, or have no realistic alternative but to do so.
Auditor's Responsibility for the Audit ofthe Performance Report
Our objectives are to obtain reasonable assurance about whether the Performance Report is free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (NZ) and ISAE (NZ) 3000 (Revised) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the decision of users taken on the basis of this Performance Report.
A further description of the auditor's responsibilities is located at the XRB's website at
15 2017 INVERCARGILL, NZ
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TO: FINANCE AND POLICY COMMITTEE
FROM: THE DIRECTOR OF WORKS AND SERVICES
MEETING DATE: TUESDAY 6 MARCH 2018
QUARTERLY REPORT – SOUTHLAND MUSEUM AND ART GALLERY
Report Prepared by: Paul Horner – Manager, Building Assets and Museum
SUMMARY
Report about the operation of the Southland Museum and Art Gallery for the Second Quarter of the 2017 - 2018 financial year.
RECOMMENDATIONS
That the report be received.
IMPLICATIONS
1. Has this been provided for in the Long Term Plan/Annual Plan? Yes. 2. Is a budget amendment required? No. 3. Is this matter significant in terms of Council’s Policy on Significance? No. 4. Implications in terms of other Council Strategic Documents or Council Policy? No. 5. Have the views of affected or interested persons been obtained and is any further public consultation required? No.
FINANCIAL IMPLICATIONS
ÿ Variance to budget at the end of December is a deficit of $69,348.
LEVEL OF PERFORMANCE
Target Levels of Performance Required by the Statement of Intent are:
Service Level Achievement, First Quarter Prepare for building refurbishment and A new Redevelopment strategy has been extension to enable internal environmental approved by the Trust Board for the museum conditions to meet national/international building to be redeveloped in 10 years. This guidelines. will allow time for re-cataloguing of the
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collection, construction of a Regional Storage Building and removal of the collection. No irreparable loss or damage is caused to No loss detected collections or objects on loan. 100% of objects acquired entered into 100% of new acquisitions entered. Vernon database and verified 100% records on Vernon database 100% maintained maintained Project planned to review, update and verify This project is dependent on achieving a records on database further $280,000 p.a. increase of funding
Work has begun on this project, assisted by Stage 1: Full documentation: the Collections Technician who is funded by 2,487 objects completed Regional Heritage rates provided by SDC Stage 2: Stage 1 +Packaging for storage: and ICC: 1,470 objects completed Stage 3: Stage 1 & 2 +Digital imaging 392 objects completed
Three semi-permanent exhibitions are 7 semi-permanent exhibitions delivered. delivered. A minimum of 12 short-term exhibitions, 5 short term exhibitions opened by the end of including 8 in the community access gallery, the Second Quarter including 3 in the are presented annually. Community Access gallery. Over 25 education programmes delivered to LEOTC programmes delivered to 1,964 4000 school students, including curriculum- pupils by the end of the Second Quarter linked and exhibition-related programmes. Iwi Liaison Komiti (representing the four 3 by the end of the Second Quarter. Southland Runanga), meets four times a year.
Annual visitor numbers exceed 108,722 by the end of the Second Quarter. 210,000/annum
OPERATIONAL COMMENTS
Exhibitions which have been opened in the Community Access gallery to the end of the Second Quarter have been:
ÿ Polyfest - 2017 (schools). ÿ Top Art 2017 ÿ James Yau
Art exhibitions which have been opened in the main galleries to the end of the Second Quarter have been:
ÿ Fun and Fury - Ewan McDougall. ÿ Ka Uri – Descendants Greg McDonald
Exhibitions which have been held in the minor galleries this year have been:
ÿ Rugby – Rugby Southland.
The semi-permanent exhibitions at present are:
ÿ Roaring 40’s ÿ History Gallery – Southern Seas ÿ Maori Gallery
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ÿ Natural History Gallery ÿ Victoriana Gallery ÿ Southland’s War Exhibition (re-opened after mid-war progression to the Western Front) ÿ Burt Munro replica motorbike ÿ Tuatara
STAFF
ÿ A Collection Technician began work on 21 November 2017. This position is funded by the increased contribution to the Regional Heritage Rate by Invercargill City Council and Southland District Council for the current year. The position is a fixed term role for twelve months.
FUTURE ISSUES
A new Redevelopment strategy has been approved by the Trust Board for the museum building to be redeveloped in 10 years. This will allow time for re-cataloguing of the collection (six years), construction of a Regional Storage Building and removal of the collection
To complete re-cataloguing of the collection within 6 years it is estimated that we require another $280,000 p.a. of funding. The management of SMAG are investigating sources of grant funding where applications may be made, to provide this funding.
It is encouraging that re-cataloguing work will be progressing on a regional basis. Work at SMAG will be carried out and managed in parallel with the Southland Regional Heritage Committee’s two year pilot scheme, Project Ark, to catalogue the collections of district museums.
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TO: FINANCE AND POLICY COMMITTEE
FROM: DIRECTOR OF FINANCE AND CORPORATE SERVICES
MEETING DATE: TUESDAY 6 MARCH 2018
EXPENDITURE FOR DISPOSAL OF OUVEA PRE MIX FROM 62 COLYER ROAD
Report Prepared by: Mr Dale Booth – Manager, Financial Services
SUMMARY
That the expenditure in relation to the removal of illegally dumped material from 62 Colyer Road be funded via a special reserve.
RECOMMENDATIONS
That the expenditure be funded from the Awarua Industrial Development reserve, or another reserve as selected by Council.
IMPLICATIONS
1. Has this been provided for in the Long Term Plan/Annual Plan? No. 2. Is a budget amendment required? No 3. Is this matter significant in terms of Council’s Policy on Significance? No 4. Implications in terms of other Council Strategic Documents or Council Policy? No 5. Have the views of affected or interested persons been obtained and is any further public consultation required? No 6. Has the Child, Youth and Family Friendly Policy been considered? N/A
FINANCIAL IMPLICATIONS
Council will paid contractors $149,549.76 for the removal of illegally dumped material as outlined in the report by Mr Simon Tonkin at the Regulatory Services Committee meeting on 27 February 2018. This expenditure has not been budgeted for via the 2017/18 Annual Plan. It is recommended that the associated expenditure be funded from the Awarua Industrial Development reserve or another reserve that Council deems appropriate.
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Environment Southland is prosecuting for the recovery of costs and the Invercargill City Council will seek cost recovery via this action. Monies recovered will be transferred back to the reserve used to fund the expenditure.
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TO: FINANCE AND POLICY
FROM: CHIEF EXECUTIVE
MEETING DATE: 6 MARCH 2018
INVERCARGILL CITY HOLDINGS LIMITED SIX MONTHLY FINANCIALS
Report Prepared by: Richard King, Chief Executive
SUMMARY
The six monthly financials for the Invercargill City Holdings group to 31 December 2017 have been provided.
RECOMMENDATIONS
That the six monthly financial reports for Invercargill City Holdings Limited to 31 December 2017 be received.
IMPLICATIONS
1. Has this been provided for in the Long Term Plan/Annual Plan? Yes 2. Is a budget amendment required? No 3. Is this matter significant in terms of Council’s Policy on Significance? No 4. Implications in terms of other Council Strategic Documents or Council Policy? No 5. Have the views of affected or interested persons been obtained and is any further public consultation required? No 6. Has the Child, Youth and Family Friendly Policy been considered? Yes
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REPORT
We have received the attached letter from Invercargill City Holdings Limited with their six monthly financials to 31 December 2017 attached.
The Chairman of Invercargill City Holdings will be in attendance to present these financials.
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TO: FINANCE AND POLICY
FROM: DIRECTOR OF FINANCE AND CORPORATE SERVICES
MEETING DATE: 6 MARCH 2018
THE INVERCARGILL CITY CHARITABLE TRUST BOARD SIX MONTHLY FINANCIALS
Report Prepared by: Dean Johnston, Director of Finance and Corporate Services
SUMMARY
The six monthly financials for the Invercargill City Charitable Trust Board to 31 December 2017 have been received.
RECOMMENDATIONS
That the six monthly financial reports for Invercargill City Charitable Trust Board 31 December 2017 be received.
IMPLICATIONS
1. Has this been provided for in the Long Term Plan/Annual Plan? Yes 2. Is a budget amendment required? No 3. Is this matter significant in terms of Council’s Policy on Significance? No 4. Implications in terms of other Council Strategic Documents or Council Policy? No 5. Have the views of affected or interested persons been obtained and is any further public consultation required? No 6. Has the Child, Youth and Family Friendly Policy been considered? Yes
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REPORT
The Directors of Invercargill City Charitable Trust Board have provided the 6 monthly financials to 31 December 2017 which show a deficit of $209,853.
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THE INVERCARGILL CITY CHARITABLE TRUST BOARD
Financial Report For the 6 months ended 31 December, 2017
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THE INVERCARGILL CITY CHARITABLE TRUST BOARD TABLE OF CONTENTS
Page No.
Entity information 3
Commentary 4
Statement of Financial Performance 5
Statement of Financial Position 6
Statement of Cash Flows 7
Notes to the Financial Statements 8 - 10
Statement of Accounting Policies 11 - 12
Page 2
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THE INVERCARGILL CITY CHARITABLE TRUST BOARD ENTITY INFORMATION For the 6 months ended 31 December, 2017
Legal name The Invercargill City Charitable Trust (the Trust).
Type of entity and legal basis The Trust is incorporated in New Zealand under the Charitable Trusts Act 1957. The ultimate parent of the Trust is the Invercargill City Council which has exempted the Trust from being a council-controlled organisation as defined in section 6 (4) (i) of the Local Government Act 2002.
The Trust's purpose or mission The primary objective of the Trust is to fund both capital and income for charitable purposes within the Invercargill District.
Structure of the Trust's operations, including governance arrangements The Trust comprises a Board of three Trustees who oversee the governance of the Trust. The Trustee positions are held by the Mayor, Deputy Mayor and Chief Executive of the Invercargill City Council. Day-to-day operations of the Trust and reporting to the Board is administered by staff provided by Invercargill City Council.
Trustees T R Shadbolt (ICC Mayor) R R Amundsen (ICC Deputy mayor) R J King (ICC CEO)
Main sources of the Trust's cash and resources Operating grants and donations received from the Invercargill City Council and other community funders are the primary sources of funding to the Trust.
Outputs The main outputs of the Trust are for costs incurred in the management, staging and promotion of the Southland Buskers Festival and cost relating to the ownership and maintenance of Rugby Park stadium.
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THE INVERCARGILL CITY CHARITABLE TRUST BOARD COMMENTARY For the 6 months ended 31 December, 2017
Year to date Revenue:
• Grants received ILT ($11,000), ILT Foundation ($11,000), and The Southern Trust ($5,000) relate to the Buskers festival held in February 2018.
• Recoveries include those from ICC for 2017 audit fees and those from Invercargill Venue & Events Management Ltd (IVEM) for rates paid on Rugby Park Stadium.
Expenditure:
• Buskers Festival expenditure paid prior to staging was $23,917.
• Expenditure relating to Rugby Park Stadium was $3,105
• Depreciation relates to Rugby Park Stadium $214,567.
The result for the 6 months ending 31 December, 2017 is a net deficit of $209,853.
Full year projection Revenue:
• The Trust will receive further grants for the Buskers Festival ($32,000) and for the maintenance of Rugby Park Stadium ($100,000).
• A further $12,000 is expected to be received or accrued for recoveries of expenses paid and from interest revenue.
Expenditure:
• Further expenditure for the 2018 Buskers Festival is expected to be $30,000.
• A grant of $100,000 is expected to be paid to IVEM for the upkeep of Rugby Park Stadium.
• Further operating expenditure of $12,000 is expected to be paid or accrued in the next six months.
• A further $214,567 of depreciation will be incurred by year's end.
The projected result for the year ended 30 June, 2018 is a net deficit of $422,420.
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THE INVERCARGILL CITY CHARITABLE TRUST BOARD STATEMENT OF FINANCIAL PERFORMANCE For the 6 months ended 31 December, 2017
Dec 2017 Note $
Revenue Council funding 1 4,033 Subsidies and grants 27,000 Finance income 1,595
Total revenue 32,628
Expenditure Commissions and levies 44 Depreciation 214,567 General expenses 848 Marketing and advertising 8,417 Performers, travel and accommodation expenses 14,000 Production and technical services 1,500 Rates 3,105
Total expenditure 242,481 Net surplus/(deficit) for the year (209,853)
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THE INVERCARGILL CITY CHARITABLE TRUST BOARD STATEMENT OF FINANCIAL POSITION As at 31 December, 2017
Dec 2017 Jun 2017 Note $ $
Current assets Bank accounts and cash 3 185,307 182,652 Debtors 11,000 20,465 Goods and services tax 507 (399)
Total current assets 196,814 202,718
Non-current assets Property, plant and equipment 4 16,101,298 16,315,865
Total non-current assets 16,101,298 16,315,865 Total assets 16,298,112 16,518,583
Current liabilities Accrued expenditure 6,900 17,518 Borrowings 5 19,500 19,500
Total current liabilities 26,400 37,018 Total liabilities 26,400 37,018
Equity Accumulated funds 6 16,271,712 16,481,565
Total equity 16,271,712 16,481,565 Total liabilities and equity 16,298,112 16,518,583
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THE INVERCARGILL CITY CHARITABLE TRUST BOARD STATEMENT OF CASH FLOWS For the 6 months ended 31 December, 2017
Dec 2017 $
Cash flows from operating activities Receipts of council funding 4,033 Receipts of subsidies, grants and donations 36,465 Interest received 1,595 Payments to donees and suppliers (37,148) Goods and services tax (net) (2,290)
Net cash flows from operating activities 2,655
Cash flows from investing activities Purchases of property, plant and equipment -
Net cash flows from investing activities -
Cash flows from financing activities Repayment of borrowings -
Net cash flows from investing activities -
Net increase (decrease) in cash 2,655
Add: Opening cash 182,652
Closing cash balance 185,307
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THE INVERCARGILL CITY CHARITABLE TRUST BOARD NOTES TO THE FINANCIAL STATEMENTS For the 6 months ended 31 December, 2017
Dec 2017 1 Council funding $
Grants - Rent, fees and recoveries 4,033
Total council funding 4,033
2 Operating leases as lessor
When the Trust assumed ownership of Rugby Park stadium it took over the existing lease that was in place with Rugby Southland Incorporated for use of the administration offices. As at 30 June, 2017 the lease has a non-cancellable term of 14 years at $55,000 per annum. As part of it's charitable operations the Trustees have agreed to forego receipt of the lease payments from Rugby Southland Incorporated.
Dec 2017 Jun 2017 3 Bank accounts and cash $ $
Cash at bank 185,307 182,652
Total bank accounts and cash 185,307 182,652
Property Land Buildings improvements Total 4 Property, plant and equipment $ $ $ $
Cost Balance at 1 July, 2017 985,000 13,776,346 1,983,654 16,745,000
Additions - - - - Disposals - - - -
Balance at 31 December, 2017 985,000 13,776,346 1,983,654 16,745,000
Balance at 1 July, 2016 - - 99,055 99,055
Additions 985,000 13,776,346 1,983,654 16,745,000 Disposals - - (99,055) (99,055)
Balance at 30 June, 2017 985,000 13,776,346 1,983,654 16,745,000
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THE INVERCARGILL CITY CHARITABLE TRUST BOARD NOTES TO THE FINANCIAL STATEMENTS For the 6 months ended 31 December, 2017
Property Land Buildings improvements Total 4 Property, plant and equipment (continued) $ $ $ $
Accumulated depreciation Balance at 1 July, 2017 - (308,492) (120,643) (429,135)
Depreciation expense - (154,245) (60,322) (214,567)
Balance at 31 December, 2017 - (462,737) (180,965) (643,702)
Balance at 1 July, 2016 - - - -
Depreciation expense - (308,492) (120,643) (429,135)
Balance at 30 June, 2017 - (308,492) (120,643) (429,135)
Carrying amounts Balance at 30 June, 2017 985,000 13,467,854 1,863,011 16,315,865 Balance at 31 December, 2017 985,000 13,313,609 1,802,689 16,101,298
The initial valuation of property, plant and equipment was performed by an independent registered valuer, A Ronald of QV Asset & Advisory. The valuation is effective as at 30 June, 2017. The Trust has elected to apply PBE IPSAS 17 Property, Plant and Equipment in measuring the value of Rugby Park Stadium.
Dec 2017 Jun 2017 5 Borrowings $ $
Southland Amateur Sports Trust 19,500 19,500
Total borrowings 19,500 19,500
The Trust assumed an historical mortgage with the Southland Amateur Sports Trust when it took over ownership of Rugby Park stadium. The loan is repayable on demand.
Dec 2017 Jun 2017 6 Equity $ $
Accumulated funds Balance at 1 July 16,481,565 142,773 Net surplus/(deficit) for the year (209,853) 16,338,792
Balance at 31 December 16,271,712 16,481,565
7 Taxation The Trust is a charitable organisation registered with the Charities Commission and is exempt from taxation.
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THE INVERCARGILL CITY CHARITABLE TRUST BOARD NOTES TO THE FINANCIAL STATEMENTS For the 6 months ended 31 December, 2017
8 Events after the balance sheet date There have been no significant events between year end and the signing of the Financial Statements.
9 Contingencies There are no contingent assets or liabilities at 31December, 2017.
10 Commitments There are no commitments contracted for at 31 December, 2017.
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THE INVERCARGILL CITY CHARITABLE TRUST BOARD STATEMENT OF ACCOUNTING POLICIES For the 6 months ended 31 December, 2017
GENERAL INFORMATION The financial statements presented here are for The Invercargill City Charitable Trust Board ("the Trust"), which is a Trust incorporated and domiciled in New Zealand on 16 October, 1984.
The financial statements of the Trust are for the six months ended 31 December, 2017. The financial statements were authorised for issue by the Board of Trustees on 26 February, 2018. The Board of Trustees do not have the power to amend these financial statements once issued.
BASIS OF PREPARATION The Board has elected to apply PBE SFR-A (PS) Public Benefit Entity Simple Format Reporting - Accrual (Public Sector) on the basis that the Trust does not have public accountability (as defined) and has total annual expenses of less than $2 million.
The financial statements are presented in New Zealand Dollars (NZD). All transactions in the financial statements are reported using the accrual basis of accounting.
The financial statements are prepared on the assumption that the Trust will continue to operate in the foreseeable future.
The accounting policies set out below have been applied consistently to all periods presented in these financial statements.
As this is the first year that six monthly accounts have been prepared there are no comparative figures included in the Statement of Financial Performance or the Statement of Cash Flows, and amounts at 30 June,2017 have been used as comparatives in the Statement of Financial Position.
SUBSIDIES AND GRANTS REVENUE Subsidies and grants are recognised as revenue when the funding is received unless there is an obligation to return the funds if conditions of the grant are not met ("use or return condition"). If there is such an obligation, the subsidy or grant is initially recorded as a liability and recognised as revenue when conditions of the grant are satisfied.
EXPENDITURE All expenditure is recognised in the Statement of Financial Performance in the period in which it is incurred.
GRANTS PAID Non-discretionary grants are those grants that are awarded if the grant application meets the specified criteria and are recognised as expenditure when an application that meets the specified criteria for the grant has been received.
Discretionary grants are those grants where the Trust has no obligation to award on receipt of the grant application and are recognised as expenditure when a successful applicant has been notified of the trust's decision.
BANK ACCOUNTS AND CASH Bank accounts and cash includes cash in hand, deposits held at call with banks, other short-term highly liquid investments with original maturities of three months or less.
PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment are measured at fair value, less accumulated depreciation and impairment losses.
Additions The cost of an item of property, plant and equipment is recognised as an asset only when it is probable that future economic benefits or service potential associated with the item will flow to the Trust and the cost of the item can be measured reliably.
In most instances, an item of property, plant and equipment is initially recognised at its cost. Where an asset is acquired through a non-exchange transaction, it is recognised at its fair value as at the date of acquisition.
Costs incurred subsequent to initial acquisition are capitalised only when it is probable that future economic benefits or service potential associated with the item will flow to the Trust and the cost of the item can be measured reliably.
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106 Finance and Policy Committee Agenda - OTHER BUSINESS
THE INVERCARGILL CITY CHARITABLE TRUST BOARD STATEMENT OF ACCOUNTING POLICIES For the 6 months ended 31 December, 2017
PROPERTY, PLANT AND EQUIPMENT (continued) Disposals Gains and losses on disposals are determined by comparing the disposal proceeds with the carrying amount of the asset. Gains and losses on disposals are reported net in the surplus or deficit. When revalued assets are sold, the amounts included in asset revaluation reserves in respect of those assets are transferred to accumulated funds.
Revaluation Property, plant and equipment are revalued with sufficient regularity to ensure that the carrying amount does not differ materially from fair value and at least every three years.
Revaluation movements are accounted for on a class-of-asset basis.
The net revaluation results are credited or debited to other comprehensive revenue and expense and are accumulated to an asset revaluation reserve in equity for that class-of-asset. Where this would result in a debit balance in the asset revaluation reserve, this balance is not recognised in other comprehensive revenue and expense but is recognised in the surplus or deficit. Any subsequent increase on revaluation that reverses a previous decrease in value recognised in the surplus or deficit up to the amount previously expensed, and then recognised in other comprehensive revenue and expense.
DEPRECIATION Depreciation is provided on a straight-line basis on all property, plant and equipment other than land, at rates that will write off the cost (or valuation) of the assets to their estimated residual values over their useful lives.
BORROWINGS Borrowings are initially recognised at their fair value. After initial recognition, all borrowings are measured at amortised cost using the effective interest method.
GOODS AND SERVICES TAX The Trust is registered for GST. All amounts in the financial statements are recorded exclusive of GST, except for debtors and creditors, which are stated inclusive of GST.
CHANGES IN ACCOUNTING POLICIES There are no changes in accounting policies during the year.
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TO: FINANCE AND POLICY
FROM: REPORT OF THE DIRECTOR OF FINANCE AND CORPORATE SERVICES
MEETING DATE: 6 MARCH 2018
SOUTHLAND MUSEUM AND ART GALLERY 6 MONTHLY SIX MONTHLY FINANCIALS
Report Prepared by: Dean Johnston, Director of Finance and Corporate Services
SUMMARY
The six monthly financials for the Southland Museum and Art Gallery to 31 December 2017 have been received.
RECOMMENDATIONS
That the six monthly financial reports for Southland Museum and Art Gallery 31 December 2017 be received.
IMPLICATIONS
1. Has this been provided for in the Long Term Plan/Annual Plan? Yes 2. Is a budget amendment required? No 3. Is this matter significant in terms of Council’s Policy on Significance? No 4. Implications in terms of other Council Strategic Documents or Council Policy? No 5. Have the views of affected or interested persons been obtained and is any further public consultation required? No 6. Has the Child, Youth and Family Friendly Policy been considered? Yes
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REPORT
The Directors of Southland Museum and Art Gallery have provided the 6 monthly financials to 31 December 2017 which show a deficit of $7,697.
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TO: FINANCE AND POLICY
FROM: REPORT OF THE DIRECTOR OF FINACE AND CORPORATE SERVICES
MEETING DATE: 6 MARCH 2018
INVERCARGILL VENUE AND EVENTS MANAGEMENT LIMITED SIX MONTHLY FINANCIALS
Report Prepared by: Dean Johnston, Director of Finance and Corporate Services
SUMMARY
The six monthly financials for the Invercargill Venue and Events Management Limited to 31 December 2017 have been received.
RECOMMENDATIONS
That the six monthly financial reports for Invercargill Venue and Events Management Limited to 31 December 2017 be received.
IMPLICATIONS
1. Has this been provided for in the Long Term Plan/Annual Plan? Yes 2. Is a budget amendment required? No 3. Is this matter significant in terms of Council’s Policy on Significance? No 4. Implications in terms of other Council Strategic Documents or Council Policy? No 5. Have the views of affected or interested persons been obtained and is any further public consultation required? No 6. Has the Child, Youth and Family Friendly Policy been considered? Yes
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REPORT
The Directors of Invercargill Venue and Events Management Limited have provided the 6 monthly financials to 31 December 2017 which show a surplus of $238,683.
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