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R/17/5/11122 R/17/5/11122 Quality Assurance Statement: Quality Assurance Statement Version 2 December 2017 Southland District Status Draft Council Project Manager: 15 Forth Street Prepared by: AMP Trudy Saunders, Contracts Administrator Invercargill 9840 Author Telephone 0800 Reviewed by: Evan Pearce, Airport Manager 732 732 Approved for issue Council (27 February 2018) Fax: 0800 732 329 by: Te Anau Airport Manapouri AMP 2018-2048 Page i R/17/5/11122 Contents Executive Summary ....................................................................................................................... 1 1. Introduction ........................................................................................................................ 5 1.1 Purpose of this Plan ................................................................................................ 5 2. Activity Description ........................................................................................................... 5 2.1 What We Do ............................................................................................................ 5 2.2 Why We Do It .......................................................................................................... 6 2.3 Objectives of the Te Anau Manapouri Airport Activity ............................................ 6 2.4 Overview of Management ....................................................................................... 6 2.4.1 Service Delivery Review ............................................................................. 7 2.5 Plan Limitations ....................................................................................................... 7 2.6 Plan Framework ...................................................................................................... 7 3. Strategic Direction ............................................................................................................. 8 3.1 Community Outcomes ............................................................................................ 8 3.2 Strategic Priorities ................................................................................................. 10 4. Key Issues ........................................................................................................................ 12 4.1 Key issues for the next ten years .......................................................................... 12 4.2 Changes Made to the Activity ............................................................................... 13 4.3 Key Projects .......................................................................................................... 14 5. Our Levels of Service ...................................................................................................... 15 5.1 Customer Expectations ......................................................................................... 15 5.2 Planning Framework ............................................................................................. 15 5.3 Levels of Service, Performance Measures and Targets ...................................... 16 5.4 Plans Programmed to meet the Level of Service ................................................. 16 6. Managing Future Demand .............................................................................................. 17 6.1 Predicting Future Demand for the Activity ............................................................ 17 6.1.1 Demand Drivers and Forecasts ................................................................ 17 6.2 Implications of Growth/Demand ............................................................................ 18 6.3 Demand Management Strategies ......................................................................... 18 6.3.1 Asset Management Strategies to Manage Demand ................................ 18 6.4 Plans Programmed to Meet Growth/Demand Changes ....................................... 19 6.5 Sustainability ......................................................................................................... 19 7. District-wide Asset Management Strategies ................................................................ 20 7.1 Overview of the Te Anau Airport Manapouri Assets ............................................ 20 7.1.1 Asset Value and Depreciation .................................................................. 21 7.1.2 Asset Condition and Performance ........................................................... 22 7.2 Approach to Operations and Maintenance ........................................................... 25 7.2.1 Historical Trends ....................................................................................... 25 7.2.2 Operations and Maintenance Strategy ..................................................... 25 7.2.3 Operations and Maintenance Trends ....................................................... 25 7.2.4 Operations and Maintenance Forecasts .................................................. 26 7.3 Approach to Renewals .......................................................................................... 27 7.3.1 Renewal Strategy ..................................................................................... 27 7.3.2 Renewal Past Trends and Forecasts ....................................................... 27 7.4 Upgrading and Developing New Assets for Levels of Service and Demand ....... 28 7.4.1 Capital Investment Strategy – LOS and Demand .................................... 28 7.4.2 Future Improvement ................................................................................. 29 8. Financial Summary .......................................................................................................... 30 8.1 10 Year Financial Forecast ................................................................................... 30 8.1.1 Financial Summary ................................................................................... 30 8.1.2 Total Income ............................................................................................. 30 8.2 Financial Forecast Summary ................................................................................ 32 8.3 Summary of Key Financial Assumptions .............................................................. 33 8.4 Valuation Approach ............................................................................................... 33 8.5 Funding Principles................................................................................................. 33 Te Anau Airport Manapouri AMP 2018-2048 Page ii R/17/5/11122 9. Activity Specific Assumptions ....................................................................................... 35 10. Significant Effects, Risk Management & Quality Assurance...................................... 36 10.1 Significant Negative Effects .................................................................................. 36 10.2 Risk Management ................................................................................................. 36 10.3 Compliance and Quality Assurance ...................................................................... 37 11. Activity Management Plan Improvement ...................................................................... 38 11.1 Progress against Previous AM Improvement Programme ................................... 38 11.2 Assessing Current and Desired AM Practices ...................................................... 38 11.2.1 Understanding and Defining Requirements ............................................. 38 11.2.2 Developing Asset Lifecycle Strategies ..................................................... 40 11.2.3 Asset Management Enablers ................................................................... 40 11.3 AM Improvement Plan .......................................................................................... 41 11.4 Ongoing Monitoring and Review ........................................................................... 41 Te Anau Airport Manapouri AMP 2018-2048 Page iii R/17/5/11122 Executive Summary Complete this summary section after remainder of plan. Refer to plan sections where appropriate. The Services Provided Te Anau Airport Manapouri is located between Te Anau and Manapouri. The facility is designed and managed to attract and facilitate access by air to Fiordland, the Te Anau community, its businesses and the surrounding natural environment. The activity also contributes to safe places as the airport provides for air-based emergency access which can act as an alternative to road transport in an emergency. Historically the land has been used for airport or aviation activities and was previously owned by Mount Cook Airline and then Air New Zealand, before being purchased by the Southland District Council in 2002. The airport is managed as a Business Unit and run on commercial lines. The income received is used to offset current loans extended to the airport for development costs associated with a substantial upgrade of facilities that were completed in 2009, and operational costs associated with running the airport. What We Aim to Achieve Table 1 presents the framework for monitoring performance of the airport facilities: Table 0-1: Te Anau Airport Manapouri Performance Management Framework Te Anau Airport Manapouri AMP 2018-2048 Page 1 R/17/5/11122 Managing Future Demand There are a number of constraints on the potential activity and revenue at the airport: The
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