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Catchment Operations Committee 10 August 2016

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Catchment Operations Committee 10 August 2016 Catchment Operations Committee 10 August 2016 Report No. 16-152 Information Only - No Decision Required RIVER AND DRAINAGE ENGINEERING REPORT (PRD 01 02) 1. PURPOSE 1.1. The purpose of this item is to report on progress with river and drainage activities for the period 1 June 2016 to 31 July 2016. 2. RECOMMENDATION That the Committee recommends that Council: a. receives the information contained in Report No. 16-152 and annexure. 3. FINANCIAL IMPACT 3.1. Funding provision for all activities reported on in this item is either included in the River and Drainage General or River and Drainage Schemes Activity sections of the 2015-25 Long-Term Plan (LTP); is covered by an approved carry-forward of unexpended budget in 2014-15; or additional approval will be specifically sought by way of recommendation in the item. 4. COMMUNITY ENGAGEMENT 4.1. Various matters contained in this item either have been, or will be, communicated with scheme ratepayers through their respective Scheme Liaison Committee and / or Annual Catchment Community Meetings. As necessary, other issues will be the subject of media releases. 5. SIGNIFICANT BUSINESS RISK IMPACT 5.1. There are no significant risks inherent in the adoption of recommendations contained in this report. As previously reported there is a risk of the drawdown of an excessive proportion of individual scheme emergency reserve funds for the purpose of flood damage reinstatement relating to the June 2015 event. Realising this risk would require Council’s application for assistance under the National Civil Defence Emergency Management Plan (the Plan) to be declined. Although the substantive claims are yet to be lodged receipt of payment for the first claim significantly improves certainty and consequently measurably reduces this particular business risk. 6. DISCUSSION 6.1. As noted by email to Councillors on 5 July, Civil Defence Minister Nikki Kaye has approved payment of the first claim for financial assistance associated with the reinstatement of flood damage arising from the June 2015 Region-wide floods. As previously advised, Ministry of Civil Defence and Emergency Management (MCDEM) staff determined that a small number of items that formed part of the initial claim lay outside the criteria for assistance under the Plan. A first claim figure of $1,661,395 was settled on after negotiations between Horizons and MCDEM staff on relatively minor points of detail, meaning that the River and Drainage Engineering Report (PRD 01 02) Page 1 Catchment Operations Committee 10 August 2016 60% reimbursement of $474,313.80 was received after the threshold of $870,872 was deducted. That compares with the earlier expectation of just under $486,000. 6.2. Receipt of that payment required a determination on whether it should rest in the 15-16 or 16-17 financial years. A staff recommendation was put to the Audit and Risk Committee Chair to have the payment recognised in the 16-17 financial year; Cr Rieger approved this recommendation. Although this decision has some modest impact on the 15-16 result this is outweighed by the complexities in splitting the MCDEM payments over financial years, particularly with the requirement that the event deductible is dealt with in its entirety in the first claim and given that the shape of the following two claims is still to be finalised. 6.3. Staff have now begun to prepare the second claim, with MCDEM staff already visiting some of the sites that will form part of that claim. A further visit is likely in early August. That claim will cover the entire repair and response cost attributable to the June 2015 event that fell within the 15-16 financial year that was not included in the first claim. 6.4. The second claim is likely to be ready for submission by mid August and will comprise 81 sites with combined value of $1.3 million, around $350,000 less than originally estimated, reflecting both changes in scope from that originally envisaged and the definition of what is claimable determined through the first claim process. It is also likely that the third and final claim will be larger than originally envisaged; the combined effect of the Rural Upgrade Project and the June 2015 flood damage repairs placed some strain on the River Management Group’s resources and as a result less flood damage repair work was completed than had originally been envisaged. Some Rangitikei Scheme work was also deferred pending the outcome of the first claim, allowing for the reserves position of that scheme and the urgency/ criticality of the work. With the deductible dealt with up front in the first claim the MCDEM payment for the second claim should total around $0.78 million (60%). A third and final claim will be made later in the calendar year encompassing the remainder of the flood damage work completed in the 16-17 financial year. 6.5. Much of the operational activity within the River Management Group over the period has centred on wrapping up financial matters relating to the 15-16 financial year and planning for the various tasks/ projects to be delivered in the 16-17 financial year. 6.6. The most substantial physical works deliverable in the 16-17 financial year is Year 11 and penultimate year of the Lower Manawatu Scheme (LMS) Rural Upgrade Project. The Year 11 programme involves further work to stopbanks alongside the Oroua River, various reaches of the Manawatu River and for the Tokomaru River. Stopbanking alongside the lower reaches of the Tokomaru River is regarded as an LMS asset rather than a Makerua Scheme asset as flood levels are dictated by the backwater effect from the Manawatu River rather than conveyance of Tokomaru River flood flows. 6.7. As with previous years, at this early stage in the deliverables programme a number of risks exist with the potential to delay one or all of the constituent parts. Those risks include successfully negotiating landowner approvals/ entry agreements, having sufficient market interest/ competition for the construction work (and linked to that contract prices that reflect some similarity with the cost estimates made) and favourable weather conditions. 6.8. Initial Project Team meetings have highlighted a potential risk in in delivering the upgrade extent contemplated for the Tokomaru River within the time and budget constraints set. The scope of work involves raising the crest level of the existing structure to achieve a more consistent longitudinal profile and largely assumes the integrity of the existing structure is satisfactory for that to occur (avoiding the need to completely rebuild the structure). Little factual information exists in regard to that integrity and the competency of the foundations but site conditions and anecdotal information suggests some similarities with the Linton Main Drain stopbanks; this part of the network has previously identified integrity issues. Geotechnical investigations have been commissioned which will enable decisions to be made around the scope of the works and that may necessitate further decisions by Council around the scope of the Rural Upgrade Project. River and Drainage Engineering Report (PRD 01 02) Page 2 Catchment Operations Committee 10 August 2016 6.9. Staff met with New Zealand Transport Agency (NZTA) and Horowhenua District Council (HDC) staff on 14 July to discuss flooding issues at Kuku south of Levin. Kuku Stream has catchment characteristics that generate flood flows larger than a cursory assessment of the stream would suggest. State Highway 1 traverses a discernible alluvial fan formed by the stream, giving rise to route security concerns for NZTA and causing issues for adjoining landowners. The three organisations have agreed to work collaboratively to identify any feasible mitigation options with NZTA appropriately taking the lead. 6.10. Staff met with HDC staff and Foxton Community Board members on 25 July to discuss stormwater/ flood hazard issues facing Foxton, a 16-17 Annual Plan (AP) target. As a result of that meeting Horizons Regional Council and HDC staff are intending to jointly fund a piece of technical work seeking to identify a long-term flood hazard mitigation/ stormwater management strategy for the town, which could potentially involve substantial/ long term capital expenditure. Once preliminary technical work is complete an initial round of community consultation will take place. The consensus of the meeting was that a stormwater pumping station is somewhat inevitable for Foxton, particular when climate change effects are considered. 6.11. The Foxton Loop Working Group meeting scheduled for 7 July was cancelled with the next meeting scheduled for 4 August. HDC are expecting their consultants GHD Limited to report their findings at that meeting. 6.12. Although proposed as an agenda item for this Committee meeting, no further consideration has yet been given to the Rangitikei Scheme since the last report to Committee in June. This is in part due to the imminent resurvey of cross-section lines for the Rangitikei River this summer; trends/ changes in river bed levels will significantly influence the way the scheme is managed. At this stage it is intended to make provision in the 17-18 Draft Annual Plan (DAP) for the compilation of a management strategy for the Rangitikei Scheme, with the intent of better aligning day-to-day operational activity with past reviews, thereby ensuring the scheme continues to head toward a more sustainable management approach. 6.13. Staff have been working with Manawatu District Council (MDC) on achieving stormwater neutrality as part of the Feilding Urban Growth Framework Plan (ensuring further development does not exacerbate flood hazard locally or compound matters downstream, particularly with respect to spillway discharges into the Taonui Basin). The mitigation strategy focusses on floodwater storage and MDC staff have invited HRC staff to meet to discuss how this might benefit the LMS and how it can be progressed.
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