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Annual Report 2016-17 Cover: Cathedral Cliffs, Gore Bay Contents Introduction

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Annual Report 2016-17 Cover: Cathedral Cliffs, Gore Bay Contents Introduction Annual Plan 2016-17 Annual Report 2016-17 Cover: Cathedral Cliffs, Gore Bay Contents Introduction .......................................................................................................................................................................1 Introduction from the Mayor and Chief Executive Officer ..........................................................................................................2 Statement of compliance and responsibility ..............................................................................................................................4 Council activities ...............................................................................................................................................................5 14 November 2016 Earthquake Impact......................................................................................................................................6 Water supply ............................................................................................................................................................................11 Sewerage ................................................................................................................................................................................14 Stormwater & drainage ............................................................................................................................................................16 Roads & footpaths....................................................................................................................................................................18 Public Services ........................................................................................................................................................................22 Regulatory Services ................................................................................................................................................................27 Hanmer Springs Thermal Pools & Spa ....................................................................................................................................30 Governance & Corporate ........................................................................................................................................................33 Financial statements .......................................................................................................................................................35 Impact of the earthquake on the financial statements..............................................................................................................36 Statement of comprehensive revenue and expense ................................................................................................................37 Statement of financial position ................................................................................................................................................38 Statement of changes in equity................................................................................................................................................39 Statement of cash flows ..........................................................................................................................................................40 Notes to the financial statements ............................................................................................................................................42 Other legislative disclosures ....................................................................................................................................................90 Benchmarking................................................................................................................................................................103 Council controlled organisations ................................................................................................................................ 111 Enterprise North Canterbury..................................................................................................................................................112 Transwaste Canterbury Limited..............................................................................................................................................115 Appendices .................................................................................................................................................................... 117 Appendix 1 - Performance measures ....................................................................................................................................118 Water Supply Performance Measures................................................................................................................................................ 119 Sewerage Performance Measures ....................................................................................................................................................126 Stormwater and Drainage Performance Measures............................................................................................................................130 Roads and Footpaths Performance Measures ..................................................................................................................................133 Public Services Performance Measures ............................................................................................................................................138 Regulatory Performance Measures....................................................................................................................................................140 HSTP&S Performance Measures ......................................................................................................................................................143 Appendix 2 - Auditor’s report..................................................................................................................................................144 Introduction Introduction from the Mayor and Chief Executive Officer ................................2 Statement of compliance and responsibility ....................................................4 Annual Report 2014 -2015 Introduction from the Mayor and Chief Executive Officer All it took was two minutes. Two minutes to change the Financial Performance people and the Hurunui landscape for ever. Two minutes Here is a very brief overview of our financial position as to cost millions and millions of dollars. Two frightening, the end of our financial year (30 June 2017). life threatening, damaging minutes caused by the • Comprehensive revenue and expenses income magnitude 7.8 earthquake rupturing 21 fault lines; the totalled a negative $31.3 million. This takes into most complex and the 2nd most powerful earthquake in account of the revaluation of the Council’s land and known New Zealand history. building, an adjustment for the roading valuation The 14 November 2016 earthquake caused major and impairment to property plant and equipment. damage to individual homes, communities and council • The net surplus after tax was $2.9 million, which property and infrastructure in the Hurunui district. Our was $3.6 million higher than the budgeted deficit of sincere thanks goes to the many people who helped $639,000. out in the aftermath. Your generosity, compassion and • Operating revenue was $64.4 million. This was $26.8 action helped our communities immensely. The care million higher than budget due to: $19.7 million that was given to people displaced and distressed has relating to work carried out by NZTA on Route 70 been overwhelming. We are grateful to all of you who (Inland Road) and a further $4.7 million of NZTA contributed. Subsidies received in relation to reinstatement work for Council’s local roads. We acknowledge the ongoing stress and disruption • Operating expenditure was $61.5 million. This was to the lives and businesses of many members of our $23.3 million higher than budgeted due to a total of community and we want to reassure you that Council $21.6 of operating costs relating to the Earthquake will endeavour to continue to give whatever support we Recovery. are able. • Capital expenditure was $13.9 million. This was Despite the substantial disruption that the earthquake only $400,000 greater than budget but includes created, we have continued to deliver our services and $5.6 million of capital relating to the Earthquake most of our promised projects, despite the dramatic Recovery (mainly roading and water) which was not increase to our work programme. This annual report budgeted for. This has been offset by $4.6 million of will go into further detail about this and the impact the Sewer Capital expenditure that has been deferred. earthquake has had. • At the end of June 2017, the total assets for Council was $433 million and total debt was $24.0 million. An important message that we do wish to convey, is that the Hurunui district is continuing to operate well – all Resident Satisfaction towns and services are open; and the Council’s financial We have undertaken an annual resident satisfaction situation is solid and robust. We are confident that the survey every year since 2007 to help us understand how resulting unexpected debt due to the earthquake,
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