Quarterly Monitoring Report First Quarter 2015/16: 1 July – 30 September 2015

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Quarterly Monitoring Report First Quarter 2015/16: 1 July – 30 September 2015 TAURANGA CITY COUNCIL QUARTERLY MONITORING REPORT FIRST QUARTER 2015/16: 1 JULY – 30 SEPTEMBER 2015 Tauranga City Council – Quarterly Monitoring Report | 1 PART A | CROSS-COUNCIL OVERVIEW HIGHLIGHTS HIGHLIGHTS FROM JULY – SEPTEMBER 2015 WHAT’S COMING UP IN OCTOBER – DECEMBER 2015 • NZCT AIMS Games 2015 were • North Shore Air started daily return • Work with the organisers of the groups on developing a city Youth successfully held across the city, trips from Dairy Flat Aerodrome ENZED V8 Jetsprints at ASB Baypark Action Plan. attracting more than 8,000 young on the North Shore of Auckland to Stadium to plan the water supply for • Installation of first set of tsunami people from 260 schools across 19 Tauranga. the event to be held in January signs to the Papamoa area. sporting codes. 2016. Last year a total of about • Baycourt held 20 different events in 8,000 m3 of water was used during • Building of the new Greerton Library • Council’s Solid Waste activity was the last quarter. Of these, 11 events the event, which was attended by will commence at the end of October re-branded to Resource Recovery sold over 520 tickets per show. There 14,745 people over two days. 2015. and Waste. This aligns more closely were 8 national/international events with the objectives of the team to and 12 local/community events with • Planning for car park and terminal • Completion of the City Centre Spatial recover and prevent waste from a total of 14,309 patrons through extensions at Tauranga Airport. Framework. This will include a series landfill as well as manage service Baycourt’s doors in the last three of workshops with members of the • 360 review to commence on Creative delivery of street and sump cleaning, months. community. Tauranga purpose, role and function litter collection, illegal dumping, • 18 notifications were received from to better understand community abandoned cars and our Resource • Completion of the Hairy Maclary licensed premises advising that they needs and expectations for arts and Recovery Parks (including transfer courtyard in the children’s area of the would remain open for the Rugby culture. stations). Tauranga Library. This is funded by World Cup. Legacy Trust through Friends of the • The Beachside Holiday Park was • Turret Road and 15th Avenue were Library. • Elder Housing – six new car parks selected as a finalist in the Impact transferred from NZTA to Council. have been built in the Brookfield Mega Efficiency category, sponsored • Environmental Service Officers will • Approval was obtained for the five Village due to lack of off-street by Auckland Council, in the 2015 be working with Mount Maunganui year comprehensive review and parking and the growing need for NZI Sustainable Business Network business owners and mobile shop update of TCC’s Water Safety Plans. caregiver and family support for Awards. This will be presented in operators to raise awareness of the This is a significant milestone in tenants. November 2015. Street Use & Public Places Bylaw maintaining compliance to the Health prior to the peak season. • Customer Service Centre – online • Council will be hosting youth focus Drinking Water Amendment Act 2007. transactions are up 12.8% compared • Boscabel Water Supply – the to the same period last year. upgrading of the Boscabel subdivision water reticulation system and connecting this to the City’s water supply was completed by the end of July 2015. Tauranga City Council – Quarterly Monitoring Report | 2 FINANCIAL STATEMENT MEASURES Total Council key indicators as at 30 September 2015 RATES REVENUE Forecast NET DEBT FORECAST Forecast OTHER OPERATING REVENUE ($Millions) DEVELOPMENT CONTRIBUTIONS ($Millions) Received from ratepayers Councils Net Debt position at year end * User fees, Operational Grants & Subsidies, Recovered from developers to contribute to City Interest & Dividends Growth. Excludes vested assets $33.8m $340.0m 39.62 16.64 $14.9m Favourable 5.91 $0.3m Favourable YTD 10.17 9.48 4.16 Forecast Full Year Budget $137.0m Full Year Budget $355m ACTUAL YTD BUDGET YTD TOTAL BUDGET ACTUAL YTD BUDGET YTD TOTAL BUDGET OPERATING EXPENDITURE Forecast DEBT/REVENUE RATIO FORECAST Forecast OPERATING EXPENDITURE ($Millions) CAPITAL EXPENDITURE ($Millions) Measures the operating expenditure Council's External Debt/Operating Cost to deliver existing levels of service To provide new and replacement assets. Excludes Revenue & Rates at year end * land sales & vested assets. $44.4m 179% 179.17 116.88 10% Favourable to Full 44.42 45.71 $0.9m Favourable YTD Year Budget 13.06 15.49 Full Year Budget $179.1m Full Year Budget 189% ACTUAL YTD BUDGET YTD TOTAL BUDGET ACTUAL YTD BUDGET YTD TOTAL BUDGET LAND SALES ($Millions) Sale of council owned properties. 11.01 3.02 2.90 ACTUAL YTD BUDGET YTD TOTAL BUDGET Tauranga City Council – Quarterly Monitoring Report | 3 FINANCIAL STATEMENT MEASURES Actual YTD Budget YTD Revenue, operating expenditure and capital expenditure as at 30 September 2015 Revenue – YTD ($000) By Category Capital Expenditure – YTD ($000) Key Projects Total Budget Total Budget User Fees Southern Pipeline 49,833 e 18,030 enu Operational Marine Precinct Development 9,756 r Rev r Subsidies & Grants 4,872 he 7,100 Ot Stormwater Recovery Programme Interest & Dividends 2,022 Greerton Library Redevelopment 3,153 Development Contributions 3,000 16,644 Corporate ERP System 0 5,000 10,000 15,000 0 400 800 1,200 Operating Expenditure – YTD ($000) By Category Overall Comments Total Budget Revenue The variance in user fees is due to building consent numbers being higher than Depreciation 42,897 budgeted. Personnel Cost 40,498 The variance in development contributions is due to large payments by developers in the Tauriko Business Estate and Papamoa areas. Finance Cost 20,695 Operating Expenditure Repairs & Maintenance 19,889 Variances in repairs and maintenance and other operating expenditure are due to ses Administration the timing of expenditure against budget. pen 6,088 Expenses Finance expenditure is expected to continue to track favourably to budget. r Ex r Other Operating he 49,106 Expenditure Depreciation is currently being calculated to budget. Ot 0 5,000 10,000 15,000 Capital Expenditure Key project variances to date are primarily due to timing. For the marine precinct development a carryforward to 16/17 has been signalled of $3.5m however total capital programme expenditure is expected to be close to budget. Tauranga City Council – Quarterly Monitoring Report | 4 DEVELOPMENT CONTRIBUTIONS Development Contributions Revenue $000 Comments Development contributions are tracking well ahead of budget due 1,800 25,000 to large payments by developers in the Tauriko Business Estate 1,600 and Papamoa areas. 20,000 1,400 e htnoM rof euneveR rof htnoM 1,200 nu 15,000 1,000 800 10,000 600 400 5,000 Cumulative Reve 200 0 0 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun 2016 LDC 2016 CDC 2016 Cumulative 2015 Cumulative Number of Building Consents Financial Year Comments Current forecast for 2016 is for approximately 1,300 building 1,400 consents to be issued this year. 1,200 1,000 800 600 400 200 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Forecast Tauranga City Council – Quarterly Monitoring Report | 5 KEY PROJECTS This section provides information on the top projects (based on budget and significance) currently being undertaken by Council in the 2015/16 financial year. Key Projects coded as green are expected Projects coded as yellow are not Projects coded as red are expected to to be completed within budget by the expected to be completed by 30th June exceed budget within the financial year 30th of June 2016 2016 and will continue into future years FULL YEAR FULL YEAR POTENTIAL YEAR IMPACT ON TOTAL TOTAL PROJECT PROJECT COMMENT PROJECTION ($) BUDGET ($) END VARIANCE ($) PROJECT BUDGET BUDGET ($) Project forecast budgets can be finalised upon award of the Harbour Crossing contract. 3 Contractors have been Southern Pipeline 18,030,237 18,030,237 – No 99,174,456 shortlisted to proceed to the next procurement stage of the Harbour Crossing. Contractor will be mobilised on site in the first quarter of 2016. Fall in NZD has put pressure on budget for procurement of travel lift from overseas supplier. However overall project Marine Precinct 6,201,796 9,755,796 3,554,000 No 10,046,000 expenditure is forecast to remain within budget. However Project we are projecting a carryforward with agreement from BOPRC to extend delivery date of the project. Stormwater Negotiations are ongoing, project is forecast to be Recovery 7,100,000 7,100,000 – No 77,476,085 completed within budget, with the majority of spend to Programme Bulk fall in the second half of the financial year. Fund Multiple projects including roading and 3 waters infrastructure. Most projects on track to be completed Te Okuroa Drive on time to budget. However a wastewater pump station 5,501,169 5,461,169 40,000 Yes 30,582,939 (Multiple Projects) project has been forecast to have a slight overspend based on engineers estimate, this will be confirmed once tenders have been received in December. Tauranga City Council – Quarterly Monitoring Report | 6 KEY PROJECTS CONTINUED FULL YEAR FULL YEAR POTENTIAL YEAR IMPACT ON TOTAL TOTAL PROJECT PROJECT COMMENT PROJECTION ($) BUDGET ($) END VARIANCE ($) PROJECT BUDGET BUDGET ($) Mangatawa Project completed within budget. Final payment to NZTA 4,206,871 4,206,871 – No 11,020,000 Interchange to be completed next month. Due to the delay of the lottery grant decision the project and subsequent redesign work the completion date has Greerton Library 3,053,348 3,153,348 100,000 No 4,490,491 been extended to June 2015. The estimated final cost is Redevelopment currently about $100k below budget.
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