MARLBOROUGH DISTRICT COUNCIL TELEPHONE (0064) 3 520 7400 PO BOX 443 FACSIMILE (0064) 3 520 7496 BLENHEIM 7240 EMAIL [email protected] NEW ZEALAND WEB www.marlborough.govt.nz

24 June 2016 Record No: 16113415 File Ref: D050-001-02 Ask For: Mike Porter

Notice of Council Meeting – Thursday, 30 June 2016

Notice of the Council Meeting to be held in the Council Chambers, 15 Seymour Street, Blenheim on Thursday, 30 June 2016 to commence at 2.00 pm.

BUSINESS

As per Order Paper attached.

MARK WHEELER CHIEF EXECUTIVE

Order Paper for the COUNCIL MEETING to be held in the Council Chambers, 15 Seymour Street, Blenheim on THURSDAY, 30 JUNE 2016 commencing at 2.00 pm

Open Meeting 1. Prayer Page 1 2. Apologies Page 1 3. Minutes 3.1 Council – 19 May 2016 Pages 2 - 6 3.2 Council – 13 June 2016 Pages 7 - 29 4. Committee Reports 4.1 Resource Hearing Committee Decisions (also refer to separate attachment) Page 30 4.2 Resource Hearing Commissioner Decisions (also refer to separate attachment) Page 31 4.3 Regional Planning & Development Committee Pages 32 - 38 4.4 Environment Committee Pages 39 - 48 4.5 Special Committee to Hear Submissions on the Consultation Document (Draft 2016-17 Annual Plan) (also refer to separately circulated attachment) Pages 49 - 50 5. Adoption of the 2016-17 Annual Plan (also refer to separately circulated attachment) Page 51 6. Setting of Rates for the 2016-17 Financial Year (also refer to separately circulated attachment) Page 52 7. Elected Members’ Allowances and Reimbursement Policy Pages 53 - 54 8. Waste Fees and Charges Review 2016 Pages 55 - 60 9. Adoption of a Private Tree as a Street Tree Pages 61 - 62 10. Fabians Valley Cemetery – Appointment of Trustee Page 63 11. Parsons Family Lychgate – Ward Cemetery, Gifting Acceptance Proposal Pages 64 - 65 12. Picton i-SITE and Public Convenience Upgrades Pages 66 - 69 13. ASB Theatre Funding Pages 70 - 80 14. Decision to Conduct Business with the Public Excluded Page 81

Public Excluded 1. Public Excluded – Confirmation of Minutes 1.1 Council – 19 May 2016 Pages 1 - 4 2. Marlborough Award Pages 5 - 6 3. Property Issue Pages 7 - 13 4. Determination of Items able to be Released to the Public Page 14 Page 1

Marlborough District Council

Order Paper for the COUNCIL MEETING to be held in the Council Chambers, 15 Seymour Street, Blenheim on THURSDAY, 30 JUNE 2016 commencing at 2.00 pm

1. Prayer Almighty God, Give your blessing to this District Council And grant us such a measure of your wisdom That we may have a right judgement in all things And may worthily manage the affairs of this District.

Amen

2. Apologies

Council – 30 June 2016 Page 2

3. Minutes

3.1 Confirmation of the Minutes of the Council Meeting held on 19 May 2016 (Minute Nos. C.15/16.420 to C.15/16.427)

Council – 30 June 2016 Page 3

Minutes of a Meeting of the MARLBOROUGH DISTRICT COUNCIL held in the Council Chambers, 15 Seymour Street, Blenheim on THURSDAY 19 MAY 2016 commencing at 2.00 pm

Present The Mayor A T Sowman, Clrs J L Andrews, J A Arbuckle, J P Bagge, G S Barsanti, C J Brooks, B G Dawson, G I T Evans, P J S Jerram, J C Leggett, D D Oddie, L M Shenfield and T M Sloan.

In Attendance Messrs M S Wheeler (Chief Executive) and M J Porter (Democratic Services Manager).

Prayer The meeting opened with the Council prayer.

Apology Clrs Barsanti/Arbuckle: That the apology for absence from Clr T E Hook be received and sustained. Carried

Obituary The Mayor delivered a tribute in honour of Larry Pigou, a Marlborough County and District Councillor, who passed away on 28 April. A period of silence was observed. David Pigou, the youngest son of Larry, was in attendance.

Presentation The Mayor presented Stacey Young, Council’s Chief Information Officer, with flowers in recognition of her recently graduating with a Masters of Information Management with Distinction from Victoria University, and being awarded top student for 2015.

C.15/16.420 Confirmation of Minutes - The Mayor/Clr Andrews: That the Minutes of the Council Meeting held on 7 April 2016 (Minute Nos. C.15/16.361 to C.15/16.371) be taken as read and confirmed. Carried

Committee Reports

C.15/16.421 Resource Hearing Committee Decision - Clrs Arbuckle/Oddie: That the Resource Hearing Committee Decision as contained within the report dated 1 March 2016 (U150958) be received and the recommendations adopted. Carried

Council – 19 May 2016 Page 4

C.15/16.422 Resource Hearing Commissioner Decision - Clrs Arbuckle/Brooks: That the Resource Hearing Commissioner Decision as contained within the report dated 16 March 2016 (U150994) be received and the recommendations adopted. Carried

C.15/16.423 Community & Finance Committee - Clrs Leggett/Shenfield: That the Committee report contained within Minute Nos. A.15/16.372 to A.15/16.384 be received and the recommendations adopted. Carried

C.15/16.424 Regional Planning & Development Committee - In relation to Minute No. D.15/16.386 (Destination Marlborough Six Monthly Report), staff were instructed to strike out the wording from the word “together” in the last sentence of paragraph 7 of the commentary. It was noted that the “Coast New Zealand” programme featuring Marlborough had been well received. In relation to Minute No. D.15/16.388 (Smart and Connected Project Update), staff were instructed to amend paragraph 2 of the commentary to reflect the true purpose of the 27 April Renwick meeting. Clr Brooks was to provide the required wording. Clrs Oddie/Leggett: That the Committee report contained within Minute Nos. D.15/16.385 to D.15/16.391 be received and the recommendations, as amended above, adopted. Carried

C.15/16.425 Assets & Services Committee - The recent newspaper article on charging for the dumping of bags at the transfer station following the introduction of the weighing process in November was highlighted (Minute No. P.15/16.403 (Waste Fees and Charges) refers). Following comments, Clr Bagge advised that education and signage will be a priority. Staff are to amend two typos noted in the commentary. Members discussed the wording of the recommendations under Minute No. P.15/16.393 (Hospital Road Parking). Clr Sloan proposed a new recommendation 1 as the wording of the original was proving to be confusing. Clrs Sloan/Andrews: That recommendation 1 under Minute No. P.15/16.393 be replaced with: 1. That Council installs no stopping lines on the south side of Hospital Road adjacent to the Wairau Hospital property. Carried

Members noted and discussed the additional report circulated in relation to Minute No. P.15/16.398 (Wharetukura Bay Out of District Sewer Request). Members noted that the purpose of the additional report was to consider if a subsidy for the installation of an out of district sewer connection for Wharetukura Bay Holdings was appropriate or not. A motion agreeing to a subsidy was proposed but lapsed due to want of a seconder. Members then discussed the report.

Council – 19 May 2016 Page 5

Clrs Sloan/Arbuckle: That Council agree that no subsidy be provided for the installation of an out of district sewer connection for Wharetukura Bay Holdings. Carried

Clrs Sloan/Evans: That the Committee report contained within Minute Nos. P.15/16.392 to P.15/16.405 be received and the recommendations, as amended above, adopted. Carried

C.15/16.426 Environment Committee - Members noted that in relation to Minute No. R.15/16.418 (Road Name Request – Omaka Landing (Colonial Vineyard Ltd)) the sub-committee had met with the developers and that this process was worthwhile. It was noted that a full plan of subdivision road names will be provided to a later meeting of the Committee. Clrs Jerram/Shenfield: That the Committee report contained within Minute Nos. R.15/16.406 to R.15/16.413 be received and the recommendations adopted. Carried

C.15/16.427 Decision to Conduct Business with the Public Excluded - Clrs Andrews/Shenfield: That the public be excluded from the following parts of the proceedings of this meeting, namely: - Confirmation of Public Excluded Minutes - Committee Reports (Public Excluded Sections) - Marlborough Environment Plan - Property (x2) 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) of the Local Government Official Information and Meetings Act 1987 for the passing of this resolution are as follows: General Subject of each Reason for passing this Ground(s) under Section 48(1) for the matter to be considered resolution in relation to passing of this resolution each matter Minutes and Committee As set out in the Minutes That the public conduct of the relevant Reports part of the proceedings of the meeting would be likely to result in the disclosure of information for which good reason for withholding exists under Section 7 of the Local Government Official Information and Meetings Act 1987. Marlborough In order to protect members That the public conduct of the relevant Environment Plan and officers from improper part of the proceedings of the meeting pressure or harassment and would be likely to result in the disclosure to prevent the disclosure of of information for which good reason for official information for withholding exists under Section 7 of the improper advantage as Local Government Official Information provided for under Sections and Meetings Act 1987. 7(2)(f)(ii) and 7(2)(j).

Council – 19 May 2016 Page 6

Property (x2) To enable the Council, as That the public conduct of the relevant holder of the information, to part of the proceedings of the meeting carry on, without prejudice would be likely to result in the disclosure or disadvantage, of information for which good reason for negotiations (including withholding exists under Section 7 of the commercial and industrial Local Government Official Information negotiations) provided for and Meetings Act 1987. under Section 7(2)(i) Carried

The meeting closed at 5.02 pm.

Confirmed this 30th day of June 2016

A T SOWMAN MAYOR

Record No. 16113283

Council – 19 May 2016 Page 7

3. Minutes

3.2 Confirmation of the Minutes of the Council Meeting held on 13 June 2016 (Minute Nos. C.15/16.429 to C.15/16.432)

Council – 30 June 2016 Page 8

Minutes of a Meeting of the MARLBOROUGH DISTRICT COUNCIL held in the Council Chambers, 15 Seymour Street, Blenheim on THURSDAY 13 JUNE 2016 commencing at 9.00 am

Present The Mayor A T Sowman, Clrs J L Andrews, J A Arbuckle, J P Bagge, G S Barsanti, C Brooks, B Dawson, G I T Evans, T E Hook, P J S Jerram, J C Leggett, L Shenfield and T M Sloan.

In Attendance Messrs M S Wheeler (Chief Executive), M F Fletcher (Manager Corporate Finance), M J South (Financial Services Manager) and M J Porter (Democratic Services Manager), and Ms N J Chauval (Committee Secretary).

Apology The Mayor/Clr Barsanti: That the apology for absence from Clr D D Oddie be received and sustained. Carried The Mayor introduced the purpose of the meeting.

C.15/16.429 Annual Plan Update F230-A16-11-01 Members noted that the purpose of the paper was to report on the results of its consultation with regard to the Draft Annual Plan 2016-17 and to provide an update on Council’s forecast Reserve position. It was reported that this year’s Annual Plan consultation was the first undertaken under the new provisions of the Local Government Act 2002. Instead of producing a full draft Annual Plan and Summary, a Consultation Document was produced. This document contained: • An overall commentary of the Annual Plan including new initiatives. • Explanations of significant variations from the 2015-25 Long Term Plan. • Specific issues that Council wanted community feedback on including: ▪ Consolidating sports facilities at Lansdowne Park; ▪ Sharing the cost of good quality drinking water*; ▪ Irrigation Scheme for Flaxbourne*; ▪ Development Contributions for North West Blenheim Extension Zone; and ▪ Development Contributions for North West Blenheim Zone. *These two issues met the criteria for a Long Term Plan variation which required an Independent Auditor’s Report. It was further reported that 398 submissions were received. This compares to the 341 received in 2015 and 122 received in 2014. The following graphic shows the community’s response to the key questions asked by Council in the Consultation Document:

Council – 13 June 2016 Page 9

It was noted that these graphs show: ▪ 79.25% of the 212 respondents on this question support Council’s Development Contributions proposals, with 6.13% being opposed. ▪ 73.33% of the 210 respondents on this question support Council’s proposed rate for Flaxbourne Irrigation with 9.52% being opposed. ▪ 57.14% of the 203 respondents on this question support Council’s proposal to consolidate sports facilities at Lansdowne Park with 18.72% being opposed. For this issue the second largest group at 24.14% are shown as “N/A”. To be recorded as an “N/A” the responder has not indicated a definite preference but has made a comment. An analysis of the N/As indicated that 13 were positive and 12 were negative and for 24 no preference could be deduced. ▪ 81.6% of the 296 respondents on this question supported a sharing of the cost of good quality drinking water. Of these, 57.9% supported Option 3, which Council indicated as its preferred option in the Consultation Document. The next most favoured option was Option 2 (which has everyone paying the same amount) with 33.3% support. It was further reported that Council has an additional $1,000,000 available in the previous Forestry and Asset Sales Reserve. Members discussed the responses to the specific questions raised in the Consultation Document and the accompanying Submission Form namely: 01. Sharing the cost of good quality drinking water for everyone Should other Council water users help to pay for small communities’ drinking water supply upgrades? Option 1: Operating costs spread to reflect cost of operation Option 2: Everyone pays the same amount Option 3: Operating costs spread more evenly than Option 1 02. Irrigation Scheme for Flaxbourne Should Flaxbourne Irrigation Scheme members be responsible for repaying all money spent by Council in helping investigate this scheme? 03. Development contributions for North West Blenheim subdivision Should all money spent by Council in the development of Blenheim’s North West and North West Extension Zones be recovered from developers? 04. Consolidating sports facilities at Lansdowne Park Should Council accelerate the construction of a new building that will allow the sharing of administration and changing facilities between sports codes following netball’s move to Lansdowne Park? A number of questions were answered by staff at the meeting. It was noted that a meeting is to be arranged with Mr Greg Smith (a submitter on the development Contributions) to discuss his issues. Clrs Leggett/Arbuckle: That Council agrees to: 1. Note the results of the community consultation undertaken as part of its Annual Planning process. 2. Accelerate the consolidation of sports facilities at Lansdowne Park as proposed in the Consultation Document. 3. Adopt option three as its means of sharing the cost of good quality drinking water as proposed in the Consultation Document. 4. Establish a Flaxbourne Irrigation targeted rate as proposed in the Consultation Document. 5. Include in its Development Contributions Policy Development Contributions for North West Blenheim Extension Zone as proposed in the Consultation Document. 6. Include in its Development Contributions Policy Development Contributions for North West Blenheim Zone as proposed in the Consultation Document. 7. Note the availability of an additional $1,000,000 in its Reserves as a result of increased distributions from Marlborough Regional Forestry. Carried

Council – 13 June 2016 Page 10

C.15/16.430 Deliberation on Submissions on the Consultation Document (Draft Annual Plan 2016-17) F230-A16-11-01 Listed below under headings of the relevant submitter (and numbered as per the speaking order as attached to the Agenda for the Special Committee meeting of 7, 8 and 9 June 2016, and thereafter non-speakers numerically), are decisions on all issues raised in the submission process. Where funding has been allocated, the source of the funding has also been identified. Individual replies will be made to each submitter. It is to be noted that all submitters who answered questions 01 to 04 on the Submission Form will be provided with the decisions as made under Minute No. C.15/16.429 above, in addition to any other comment made or funding sought. 277 Peter Chapman The Mayor/Clr Jerram: That staff respond accordingly on the points raised in the submission. Carried

116 Gwenda Muir Clrs Shenfield/Andrews: That staff respond accordingly on the points raised in the submission. Carried

197 Deedee Bancroft Blenheim Residents and Ratepayers Associations Clrs Barsanti/Shenfield: That the points raised in the submission on Wither Hills facilities, pedestrian giveways, dog parks and skate park facilities for younger children be referred to the relevant Committee for further consideration and that staff respond accordingly on the other points raised in the submission. Carried

189 Anthony Mullen Blenheim Business Association Clrs Andrews/Shenfield: That the request from the Blenheim Business Association for one-off funding of $24,348 for implementation of their strategic plan be included in the 2016-17 Annual Plan with funding from Council Reserves and that staff respond accordingly on the other points raised in the submission. Carried NB: Clrs Bagge and Sloan declared an interest in the above and did not take part in discussions nor vote on the issue.

71 John Maffey Clr Arbuckle moved a motion for $100,000 be set aside from the Landscape Group budget for landscaping the Riverlands entrance, however the motion lapsed for want of a seconder. Clrs Andrews/Arbuckle: That the submission be referred to the Landscape Group for further consideration and that staff respond accordingly on the other points raised in the submission. Carried

21 Sallie Bancroft Clrs Sloan/Bagge: That the submission be referred to the Assets and Services Committee for further consideration. Carried

322 Yvonne Wratt Grovetown Residents Association Clrs Brooks/Evans: That a delegation of Ward Councillors and relevant staff meet with the Grovetown Residents Association to discuss the issue. Carried

Council – 13 June 2016 Page 11

175 Justine Johnson Te Whanau Hou Grovetown Lagoon Incorporated Society Clrs Jerram/Sloan: That the request from the Te Whanau Hou Grovetown Lagoon Incorporated Society for one-off funding of $35,000 to partially fund the construction of a bridge over Steam Wharf Stream be included in the 2016-17 Annual Plan with funding from Council Reserves. Carried NB: Clr Brooks declared an interest in the above and did not take part in discussions nor vote on the issue.

187 Glenice Paine Te Atiawa Manawhenua ki Te Tau Ihu Trust The Chief Executive advised that as part of the Iwi Engagement Policy Council will meet with the Chairs/CEs of iwi prior to each year’s budget meeting. The Mayor/Clr Sloan: That staff respond accordingly on the points raised in the submission. Carried

280 Peter Beech Clrs Sloan/Evans: That the submission be referred to Rural Fire for comment prior to being referred to the Assets and Services Committee for further consideration. Carried

244 Margaret Hassan & Christene Tufnell Duncan Bay Residents Association Clrs Barsanti/Hook: That staff respond accordingly clarifying the point that they are not affected. Carried

356 Brian Morris The Mayor/Clr Barsanti: That staff respond accordingly on the points raised in the submission. Carried

312 Tracy Johnston General Manager, Destination Marlborough Destination Marlborough’s (DM) submission was broken in three parts - $20,000 operating grant (CPI adjusted), funding for a full-time position in the Marlborough Convention Bureau (located within DM), and funding for improvements to the Picton i-SITE. Questions were asked in relation to the Havelock Community Association’s (210) request for funding for the Havelock i-SITE, especially in relation to what funding DM provide to Havelock. It was clarified that DM do not provide any funding to the Havelock i-SITE but does provide in-kind administrative and management support. It was noted that $111,500 has already been budgeted for a full-time Convention Facilitator position in the Marlborough Convention Bureau with the delivery of that role to be by DM. Following discussion on this issue the following motion was to the meeting. Clrs Bagge/Shenfield: That a workshop be held to discuss delivery options for the Conference/Convention Facilitator. Lost The following motion was then put. Clrs Leggett/Hook: That the funding of $111,500 as included in the 2016-17 Annual Plan Consultation Document (refer to Minute No. C.15/16.280 of the Council meeting on 25 February 2016 for that decision) for the provision by Destination Marlborough for a fulltime Conventions Bureau be confirmed, with that funding as identified in the Consultation Document of 50% from Council Reserves and 50% from general rates for the 2016-17 financial year. Carried NB: Clrs Bagge and Shenfield requested that their votes against the above motion be recorded.

Council – 13 June 2016 Page 12

A motion on the CPI adjusted operating grant was put to the vote. Clrs Arbuckle/Leggett: That the request from Destination Marlborough for an increase in their operating grant of $20,000 per annum (CPI adjusted) be included in the 2016-17 Annual Plan with funding from general rates. Carried NB: Clrs Bagge and Shenfield requested that their votes against the above motion be recorded.

373 Margaret McHugh Clrs Barsanti/Arbuckle: That staff respond accordingly on the points raised in the submission. Carried

210 Hans Neilson Havelock Community Association The Havelock Community Association requested funding to support the development of the Community Hub (including the i-SITE) and for the Havelock Boardwalk and Walkway Project. Clr Barsanti/The Mayor: That the funding request for the Havelock Boardwalk and Walkway Project be referred to the Small Township Sub-Committee for further consideration; and that funding requests of a one-off grant from Council Reserves of $23,000 for the Havelock i-SITE, on-going funding from general rates of $3,000 per annum for Hub rent contribution, and a one-off grant from Council Reserves of $7,000 for community space infrastructure be included in the 2016-17 Annual Plan. Carried NB: Clrs Bagge and Shenfield requested that their votes against the above motion be recorded.

98 Lorain Day The Mayor/Clr Barsanti: That staff respond accordingly on the points raised in the submission. Carried

188 John Kelly Renwick Smart + Connected Clrs Brooks/Evans: That the funding request from Renwick Smart + Connected for an upgrade of the Renwick Domain playground be referred to the Small Township Sub-Committee for further consideration and that staff respond accordingly on the other points raised in the submission. Carried

32 Budyong Hill Renwick Smart and Connected Water Group Clrs Brooks/Evans: That staff respond accordingly on the points raised in the submission. Carried

287 Jane Buckman Clrs Arbuckle/Barsanti: That staff respond accordingly on the points raised in the submission. Carried

195 Lilian Broadhurst Awatere Community Trust Clrs Jerram/Evans: That the funding request from the Awatere Community Trust for a recycling station in Seddon be referred to the Assets and Services Committee for further consideration and that staff respond accordingly on the other points raised in the submission. Carried

Council – 13 June 2016 Page 13

310 Charmaine Hammond Awatere Valley Trust Clrs Brooks/Evans: That the submission on pedestrian safety on State Highway 1 in Seddon be referred to Marlborough Roads for their consideration; the submission on the purchase of the historic Seddon Railway Station be referred to the Assets and Services Committee for their further consideration; the funding request of $175 per annum be approved from existing budgets; and staff respond accordingly on the other points raised in the submission. Carried

326 Candi Callaghan Flaxbourne Settlers Association Clrs Sloan/Evans: That the submission for a public toilet in the Ward area be referred to the Assets and Services Committee for urgent consideration with funding from existing budgets. Carried

43 Stuart Oulton Chairman Flaxbourne Settlers Assn The Mayor/Clr Hook: That staff respond accordingly on the points raised in the submission. Carried

360 Barbara Faulls Linkwater School Clrs Barsanti/Hook: That the funding request from Linkwater School for a thermal cover for the School Swimming Pool be referred to the Small Township Sub-Committee for further consideration and that staff respond accordingly on the other points raised in the submission. Carried

380 Philip Boyt Clrs Sloan/Shenfield: That the submission regarding Flaxmill Drive (speed restriction and vegetation removal) be referred to the Assets and Services Committee for further consideration. Carried

285 Stephen Gullery Marlborough Chamber of Commerce Clrs Dawson/Barsanti: That staff respond accordingly on the submission regarding executive style family homes for rental accommodation. Carried

291 Stephen Gullery Marlborough Chamber of Commerce Clrs Shenfield/Sloan: That the submission on enhancements to the upper Scott Street retail area be referred to the Blenheim Business Association for their consideration. Carried

292 Stephen Gullery Marlborough Chamber of Commerce Clrs Bagge/Barsanti: That staff respond accordingly on the submission regarding helicopter pads. Carried

294 Lee Harper Marlborough Chamber of Commerce Clrs Leggett/Evans: That the Marlborough Chamber of Commerce be advised that Council will consider the appropriation of funds for fibre installation following Government’s decision on funding avenues. Carried

Council – 13 June 2016 Page 14

276 Hazel Monk Clrs Dawson/Bagge: That Ms Monk be advised to contact the Affordable Housing Trust. Carried

ATTENDANCE: The meeting adjourned at 10.50 am and reconvened at 11.00 am.

381 Steve Austin Marlborough Heritage Trust Members discussed the provision of heritage funding across the District. A paper from staff on this had been circulated. Members agreed that a Heritage Strategy should be developed before any funding decisions could be made. Therefore a number of submissions from this submitter and others will form part of a review. The submitters are to be advised accordingly. Staff are to advise the sumitter of the Heritage Strategy Review.

382 Steve Austin Marlborough Heritage Trust Staff are respond accordingly on the submission.

383 Steve Austin Marlborough Heritage Trust Staff are to advise the sumitter of the Heritage Strategy Review.

384 Steve Austin Marlborough Heritage Trust Clrs Barsanti/Shenfield: That the request from the Marlborough Heritage Trust for one-off funding of $7,722 for chimney repairs and strengthening at Cob Cottage be included in the 2016-17 Annual Plan with funding from Council Reserves. Carried

385 Steve Austin Marlborough Heritage Trust Staff are to advise the sumitter of the Heritage Strategy Review. NB: Clr Andrews declared an interest in the above and did not take part in discussions nor vote on the issue.

386 Steve Austin Marlborough Heritage Trust Clrs Brooks/Andrews: That the request from the Marlborough Heritage Trust for one-off funding for a Chaytor Memorial be referred to the Grants Sub-Committee for consideration with a tag that Council considers this should be given high priority. Carried

387 Steve Austin Marlborough Heritage Trust Staff are to advise the sumitter of the Heritage Strategy Review.

388 Steve Austin Marlborough Heritage Trust This submission included five funding requests as well as a number of other points. Three of the funding requests have been deferred to the Heritage Strategy Review, whilst the other two were dealt with below. Clrs Bagge/Sloan: That the request from the Marlborough Heritage Trust for one-off funding of a grant of $15,000 be included in the 2016-17 Annual Plan with funding from Council Reserves, subject to production of satisfactory budgets/business plan to the Community and Finance Committee. Carried Clrs Sloan/Shenfield: That Councillors Andrews and Brooks be appointed as Interim Trustees to the Marlborough Heritage Trust to fulfil the role as Council’s representatives. Carried Staff are to advise the sumitter of the Heritage Strategy Review and respond accordingly on other points made in the submission.

Council – 13 June 2016 Page 15

92 Jon Perano President Picton Historical Society Inc Staff are to advise the sumitter of the Heritage Strategy Review.

220 Ron Perano Staff are to advise the sumitter of the Heritage Strategy Review.

34 John Forrest Marlborough Returned and Services Association Inc Staff are to advise the sumitter of the Heritage Strategy Review.

302 Katalin Banyay Clrs Barsanti/Dawson: That the request from Katalin Banjay for Council to upgrade the Taylor Dam playground be referred to the Assets and Services Committee for further consideration. Carried

330 David Turner Mr Turner submitted on changes to the proposed Stage 4 Plan for the Boulevard Park on Taylor subdivision. Staff are to prepare a report for the Assets and Services Committee to consider. The Mayor/Clr Sloan: That the submission from David Turner (and the submission from Allan Coburn [345]) be referred to the Assets and Services Committee for consideration. Carried

286 Simon Morris Warmer Healthier Homes Nelson-Marlborough Insulation Project Steering Group Clrs Dawson/Hook: That the request from the Warmer Healthier Homes Nelson-Marlborough Insulation Project Steering Group for funding of $50,000 for three years for the Warmer Healthier Homes Insulation Project in the Marlborough District be included in the 2016-17 Annual Plan for the 2016-17, 2017-18 and 2018-19 financial years with funding from general rates, subject to funding being secured from the Rata Foundation. Carried NB: Clr Bagge declared an interest in the above and did not take part in discussions nor vote on the issue.

152 Brian Henstock Waikawa Residents and Ratepayers Association The Waikawa Residents and Ratepayers Association submitted on a number of points in this submission along with a number of funding requests. Most of the funding requests are to be referred to the Assets and Services Committee, with one being funded from Reserves. Staff are to respond to the submission accordingly. Clrs Hook/Barsanti: That the request from the Waikawa Residents and Ratepayers Association for one-off funding of $8,000 for a footpath giving access to the southern end of the Waikawa Foreshore be included in the 2016-17 Annual Plan with funding from Council Reserves; other funding requests in this submission be referred to the Assets and Services Committee for further consideration; and that staff respond accordingly on the other points raised in the submission. Carried

248 Brian Henstock Waikawa Residents and Ratepayers Association Staff are to advise the sumitter of the decision made under submission 249.

249 Bryan Strong Marlborough Sounds Community Vehicle Trust Clrs Hook/Bagge: That the request from the Marlborough Sounds Community Vehicle Trust for funding for a vehicle to provide transport to medical consultations and treatment to Nelson be referred to the Grants Sub- Committee for consideration with a tag that Council considers this should be given high priority. Carried

281 Heather Barnes Secretary, Picton Business Group Staff were requested to respond accordingly on the points raised in the submission.

Council – 13 June 2016 Page 16

410 Chris Marshall The Endeavour Park Pavilion Society submitted on tree issues; acknowledging the ongoing support from Council; funding request for netball/tennis courts; and a footpath from Waikawa Road to the carpark. Clrs Hook/Barsanti: That the request from the Endeavour Park Pavilion Society for funding for the installation of multipurpose netball/tennis courts at Endeavour Park be included in the 2016-17 Annual Plan with funding of $95,000 from Council Reserves, subject to the Endeavour Park Pavilion Society raising some of the funds. Carried The following motion was put to the meeting but was lost. Clrs Barsanti/Arbuckle: That the request from the Endeavour Park Pavilion Society for funding for a footpath from Waikawa Road to the carpark be included in the 2016-17 Annual Plan with funding from Council Reserves. Lost Staff were requested to respond accordingly on the points raised in the submission.

179 Beryl Bowers Picton Maritime Festival Trust Clrs Arbuckle/Hook: That the request from the Picton Maritime Festival Trust for ongoing funding of $10,000 per annum for the logistics of the Picton Maritime Festival be included in the 2016-17 Annual Plan with funding from general rates. Carried

106 Ross Withell Kenepuru & Central Sounds Residents Assn Inc Clrs Hook/Barsanti: That the request from the Kenepuru & Central Sounds Residents Assn Inc for a public toilet at Torea Bay Jetty be referred to the Assets and Services Committee for further consideration. Carried

109 Ross Withell Kenepuru & Central Sounds Residents Assn Inc Clrs Hook/Barsanti: That the request from the Kenepuru & Central Sounds Residents Assn Inc for a waste dumping station in or near Kenepuru Sound be referred to the Assets and Services Committee for further consideration. Carried

110 Ross Withell Kenepuru & Central Sounds Residents Assn Inc Staff were requested to respond accordingly on the points raised in the submission.

111 Ross Withell Kenepuru & Central Sounds Residents Assn Inc Staff were requested to respond accordingly on the points raised in the submission.

405 Pat Williams Staff were requested to respond accordingly on the points raised in the submission.

315 Leith Manson President, Tirimoana Anakiwa Residents Assn Inc Clrs Hook/Brooks: That the request from the Tirimoana Anakiwa Residents Assn Inc for an upgrade to the public toilet facility at Anakiwa be referred to the Assets and Services Committee for further consideration; the request for financial assistance for the plans to upgrade the landscaping in the Tirimoana and Anakiwa Bays be referred to the Small Townships Sub-Committee for further consideration; and that staff respond accordingly on the other points raised in the submission. Carried

Council – 13 June 2016 Page 17

227 Eric Jorgensen Clrs Jerram/Hook: That the request from the Marlborough Sounds Integrated Management Trust for funding be included in the 2016-17 Annual Plan with funding of $61,500 from Council Reserves in the 2016-17 financial year and $54,000 from Council Reserves in the 2017-18 financial year. Carried NB: Clrs Bagge and Evans requested that their votes against the above motion be recorded.

112 John Hellstrom Totaranui 250 Trust Clrs Evans/Hook: That the request from the Totaranui 250 Trust for funding of $100,000 per annum for the next three financial years (2016-17, 2017-18 and 2018-19) only be confirmed (an amount was already included in the 2016-17 Annual Plan Consultation Document), subject to production of satisfactory budgets/business plan. Carried

225 Tania Jones Volunteer Marlborough Clrs Dawson/Barsanti: That staff respond accordingly on the points raised in the submission. Carried

342 Ross Banbury Clrs Barsanti/Bagge: That staff respond accordingly on the points raised in the submission. Carried

ATTENDANCE: The meeting adjourned at 12.50 pm and reconvened at 1.30 pm. 67 Paul Williams Waikawa Boating Club, Pelorus Boating Club Clrs Hook/Barsanti: That the request from the Waikawa Boating Club and Pelorus Boating Club for ongoing funding towards maintenance of its mooring network be declined, but that staff are to respond that other avenues will be considered when the Marlborough Environment Plan is operative. Carried

374 Rob Burn Queen Charlotte Track Inc Members discussed the opposing views as shown in submissions to the Plan and reports in the media. Members considered that this submission was one they had to support but subject to a satisfactory outcome from an independently facilitated meeting involving all parties. Clrs Jerram/Sloan: That the request from the Queen Charlotte Track Inc for the funding as included in the 2016-17 Annual Plan Consultation Document to be made available be approved, subject to a satisfactory outcome from an independently facilitated meeting involving all parties. Carried NB: Clr Hook declared an interest in the above and did not take part in discussions nor vote on the issue.

167 Rod Burgoyne Staff are to advise the sumitter of the decision made under submission 374.

169 Kevin Wilson Bike Walk Marlborough Trust Clrs Sloan/Barsanti: That the request from the Bike Walk Marlborough Trust for one-off funding of $25,000 for professional fees for feasibility studies and one-off funding of $30,000 for the Bike Walk Coordinator position be included in the 2016-17 Annual Plan with funding from Council Reserves; and that staff respond accordingly on the other points raised in the submission. Carried

Council – 13 June 2016 Page 18

359 David Nott Principal, Mayfield School Clrs Sloan/Shenfield: That the request from Mayfield School for funding for cycle track work be referred to the Assets and Services Committee for consideration from the Land Subdivision Account. Carried

230 Raymond Smith Te Runanga o Ngati Kuia Trust Clrs Brooks/Bagge: That staff respond accordingly on the points raised in the submission, noting the development of an iwi enegagement policy. Carried

304 Greg Smith De Luxe Properties Limited Clrs Dawson/Arbuckle: That a delegation from the Community and Finance Committee, along with relevant staff, meet with Mr Smith to discuss his submission. Carried

120 Ian Mitchell South Marlborough Landscape Restoration Trust Clrs Hook/Barsanti: That the request from the South Marlborough Landscape Restoration Trust for one-off funding of $50,000 to help prepare the Strategic Plan and assist with setup and coordination of a Trust to undertake and coordinate the management of wilding pines in South Marlborough be included in the 2016-17 Annual Plan with funding from Council Reserves, subject to production of satisfactory budgets/business plan. Carried NB: Clrs Evans and Jerram declared an interest in the above and did not take part in discussions nor vote on the issue.

178 Warwick Lissaman Chilean Needle Grass Action Group Clrs Leggett/Sloan: That the request from the Chilean Needle Grass Action Group for funding of $25,000 per annum for three financial years (2016-17, 2017-18 and 2018-19) for Chilean Needle Grass control be included in the 2016-17 Annual Plan with funding from general rates. Carried

206 Paul Keating Guardians of the Sounds Clrs Jerram/Hook: 1. That the request from the Guardians of the Sounds for funding of $21,400 per annum for three financial years (2016-17, 2017-18 and 2018-19) for Sycamore Tree control be included in the 2016-17 Annual Plan with funding from Council Reserves. 2. That the request from the Guardians of the Sounds for funding of $2,500 per annum for three financial years (2016-17, 2017-18 and 2018-19) for planting of big tree species be included in the 2016-17 Annual Plan with funding from Council Reserves. 3. That the Guardians of the Sounds report back to the Environment Committee. Carried

319 Dianne John Clrs Sloan/Shenfield: That staff respond accordingly on the points raised in the submission. Carried

296 James Wilson Picton Dawn Chorus Inc Clrs Brooks/Andrews: That the request from the Picton Dawn Chorus Inc for one-off funding for the purchase of animal pest control traps be included in the 2016-17 Annual Plan with funding of $17,975 to come from Council Reserves. Carried

Council – 13 June 2016 Page 19

402 Kelvin Hastie Crofton Downs Predator Free Community Clrs Brooks/Shenfield: That staff respond accordingly on the points raised in the submission. Carried

162 Steffan Browning Office of Steffan Browning MP, Green Party of Aotearoa New Zealand Clrs Jerram/Leggett: That staff respond accordingly on the points raised in the submission. Carried

69 Simon Schmidt Clrs Bagge/Sloan: That the request from Simon Schmidt (on behalf of the Waikawa Bay School Board of Trustees) for improvements to footpaths in the Waikawa Road area be referred to the Assets and Services Committee for further consideration. Carried

209 Barry Maister Picton Smart & Connected Clrs Arbuckle/Bagge: That the request from Picton Smart & Connected for funding of the Marina to Marina cycle amd walkway path and signage be referred to the Assets and Services Committee for consideration from the Land Subdivision Account; the submission on making Picton more bike and walk friendly is to be referred to Bike Walk Marlborough for their consideration; and that staff respond accordingly on the other points raised in the submission. Carried following a division call (The Mayor, Clrs Andrews, Arbuckle, Bagge Barsanti, Brooks, Dawson, Hook, Jerram, and Leggett for, with Clrs Evans, Shenfield and Sloan against)

211, 215 Graham Low Picton Smart & Connected Staff were requested to respond accordingly on the points raised in each submission.

233 Barbara Speedy Picton Smart & Connected The Mayor/Clr Shenfield: That the request from Picton Smart & Connected for funding of wayfaring signs be referred to the Assets and Services Committee for consideration from the Land Subdivision Account. Carried

419 Linda Thompson Picton Smart & Connected, Plastic Bag Free Picton Clrs Bagge/Hook: That the request from Picton Smart & Connected for the tidying/screening of the recycling station in the Picton Marina be discussed with Port Marlborough NZ Ltd with funding to be from carryovers. Carried

420 Linda Thompson Picton Smart & Connected, Clrs Jerram/Shenfield: That the request from Plastic Bag Free Picton regarding the use of plastic bags be referred to the Environment Committee for further consideration. Carried

250 Terry Sowman Nopera Bay Golf Club Inc Clrs Barsanti/Sloan: That the request from the Nopera Bay Golf Club Inc for one-off funding of $16,100 for a garage for storage of tractor, mowers etc be included in the 2016-17 Annual Plan with funding from Council Reserves. Carried NB: Clrs Bagge, Dawson and Shenfield requested that their votes against the above motion be recorded.

Council – 13 June 2016 Page 20

284 Vicki Nalder President, Marlborough Softball Association Clrs Sloan/Evans: That the request from the Marlborough Softball Association for one-off funding of $80,000 for public toilet facilities and one-off funding of $14,000 for a shade cloth shelter in the area of the softball diamond in Lansdowne Park be included in the 2016-17 Annual Plan with funding from Council Reserves. Carried

ATTENDANCE: The Mayor declared an interest in and withdrew from the meeting for the discussion on the following two items. The Deputy Mayor assumed the Chair for that item. 213 Edward Gilhooly Marlborough Cricket/Horton Park Pavilion Committee Clrs Jerram/Barsanti: That the request from the Horton Park Pavilion Committee for one-off funding of $11,090 for repairs to the exterior of the Horton Park Pavilion be included in the 2016-17 Annual Plan with funding from Council Reserves. Carried

377 Edward Gilhooly Marlborough Cricket Clrs Sloan/Jerram: That the submission from Marlborough Cricket on its development plans for Horton Park as a sports facility is to reffered to the Assets and Services Committee for further consideration. Carried

ATTENDANCE: The Mayor returned to the table and assumed the Chair.

418 Martyn Vercoe Tasman Rugby Union Staff advised at the meeting that the approximate cost of a portable scoreboard with trailer and associated software costs would be around $45,000 with some $6,000 ongoing operating costs. Clrs Arbuckle/Jerram: That the request from the Tasman Rugby Union for funding for a portable scoreboard and trailer for Lansdowne Park, and available to other sports if required, along with associated software and operating costs be included in the 2016-17 Annual Plan with one-off funding of $35,000 for capital to be funded from Council Reserves, and ongoing operating costs of $6,000 per annum to be funded from general rates. Carried

19 John O’Brien/Malcolm Pettrigrew Marlborough Golf Club, Fairhall Clrs Sloan/Jerram: That the submission from the Marlborough Golf Club regarding speed limits in the vicinity of the Golf Club be referred to the Assets and Services Committee for further consideration. Carried NB: Clr Barsanti declared an interest in the above and did not take part in discussions nor vote on the issue.

20 John O’Brien/Malcolm Pettrigrew Marlborough Golf Club, Fairhall The Mayor/Clr Jerram: That staff respond accordingly on the points raised in the submission. Carried NB: Clr Barsanti declared an interest in the above and did not take part in discussions nor vote on the issue.

ATTENDANCE: The meeting adjourned at 3.15 pm and reconvened at 3.25 pm.

199 Rose Prendeville Marlborough Equestrian Park NZ Inc Clrs Bagge/Arbuckle: That staff respond accordingly on the points raised in the submission. Carried

Council – 13 June 2016 Page 21

218 Aaron Falvey Top of the South Film Production Incorporated Society Clrs Arbuckle/Bagge: That the submission from the Top of the South Film Production Incorporated Society be referred to the Regional Planning and Development Committee for further consideration. Carried

278 Felicity Spencer Smokefree Marlborough Coalition Clrs Bagge/Jerram: That the Smokefree Marlborough Coalition be advised that Council continues to support smokefree initiatives. Carried

401 Gerald Hope Marlborough Research Centre Members spent some time discussing this issue. A motion was proposed (moved by Clr Evans, seconded by Clr Brooks) that . An amendment was then moved by Clr Jerram, seconded by Clr Sloan that the amount be reduced to $70,000 per annum. This amendment was voted on first and defeated on the voices. Clrs Jerram/Sloan: That the request from the Marlborough Research Centre for an increase in the ongoing funding grant of $70,000 per annum (bringing the total of the grant to $180,000 per annum) and that this total amount be CPI adjusted annually be included in the 2016-17 Annual Plan with funding from general rates, and that the Marlborough Research Centre be invited to live within this funding.

Lost The substantive motion was then put to the vote and was carried following a division call. Clrs Evans/Brooks: That the request from the Marlborough Research Centre for an increase in the ongoing funding grant of $140,000 per annum (bringing the total of the grant to $250,000 per annum) and that this total amount be CPI adjusted annually be included in the 2016-17 Annual Plan with funding from general rates. Carried following a division call (The Mayor, Clrs Andrews, Arbuckle, Barsanti, Brooks, Evans, Hook and Leggett for, with Clrs Bagge, Dawson, Jerram, Shenfield and Sloan against)

415 Simon Hooker New Zealand Research Institute of Viticulture and Oenology Clrs Evans/Hook: That the request from the New Zealand Research Institute of Viticulture and Oenology (NZRIVO) for funding for six financial years (2016-17 through to 2021-22) to initiate the provision of NZRIVO physical facilities be included in the 2016-17 Annual Plan with funding of $75,000 in the 2016-17 financial year and $150,000 for the five financial years following with funding from Council Reserves, subject to NZRIVO securing government funding. Carried

403 Kristy McGregor Regional Policy Advisor, Federated Farmers of New Zealand Staff were requested to respond accordingly on the points raised in the submission.

270 Karen & Mike Gray Staff were requested to respond accordingly on the points raised in the submission.

300 Trudy Richards Trustpower Limited Clrs Bagge/Barsanti: That staff respond accordingly on the points raised in the submission. Carried

160 Philip Cowe Marlborough Community Centre Trust Members discussed the funding request and agreed that funding should be provided on the basis of the cost estimates for Stage 1 (which incorporates items 1, 2 and 3 of their submission) less the amount identified by the Trust as their funding. This leaves a balance required of $111,000.

Council – 13 June 2016 Page 22

Clrs Shenfield/Sloan: That the request from the Marlborough Community Centre Trust for funding of various alterations to their building be included in the 2016-17 Annual Plan with one-off funding of $111,000 to be funded from Council Reserves. Carried

274 Willie Vosloo Marlborough Big Scale RC Clrs Bagge/Sloan: That the submission from the Marlborough Big Scale RC be referred to the Assets and Services Committee for further consideration. Carried

ATTENDANCE: Clr Brooks left the meeting at 4.15 pm at the conclusion of the above item.

371 Gary B Jones Staff were requested to respond accordingly on the points raised in the submission.

336 Robert Frank Terry Staff were requested to respond accordingly on the points raised in the submission.

345 Allan Coburn Staff are to advise the sumitter of the decision made under submission 330.

172 David Paul Staff were requested to respond accordingly on the points raised in the submission.

55 Laurence Etheredge Chairman, French Pass Residents Inc Clrs Barsanti/Hook: That the request from the French Pass Residents Inc for one-off funding of $16,009 for the sealing of the Collinet Point carpark be included in the 2016-17 Annual Plan with funding from Council Reserves. Carried

118 Nicci Neilson Picton Resource Centre Clrs Barsanti/Hook: That the request from the Picton Resource Centre for an increase in their ongoing grant of $3,500 per annum (bringing the total to $8,000 per annum) be included in the 2016-17 Annual Plan with funding from general rates. Carried

136 Simon Smith Presbyterian Support (USI) Clrs Shenfield/Andrews: That the request from Presbyterian Support (USI) for an annual ongoing grant for Synergy Youth Mentoring Services be included in the 2016-17 Annual Plan with funding of $15,000 for the 2016-17 financial year to be funded from Council Reserves and that Presbyterian Support (USI) are to be advised that they should apply to Council’s Community Grants for funding in the 2017-18 financial year. Carried

400 Luit Bieringa Te Tari Tohora o Waitohi National Whale Centre Follwing discussion Clr Bagge moved, with Clr Shenfield seconding a motion that “Staff are to advise the sumitter of the Heritage Strategy Review”. However an amended motion was proposed, this being voted on as below and carried therefore becoming the substantive motion.

Council – 13 June 2016 Page 23

Clrs Jerram/Sloan: That the request from the Te Tari Tohora o Waitohi National Whale Centre for ongoing operational funding be included in the 2016-17 Annual Plan with one-off funding of $30,000 to be funded from Council Reserves, with a condition that the Te Tari Tohora o Waitohi National Whale Centre agree to be part of the Heritage Strategy Review. Carried following a division call (The Mayor, Clrs Andrews, Arbuckle, Hook, Jerram, Leggett and Sloan for, with Clrs Bagge, Dawson, Evans and Shenfield against)

406 Laurence Etheredge Chairman, French Pass Residents Inc Clrs Barsanti/Hook: That the request from the French Pass Residents Inc for one-off funding of $9,420 for the repair and renovation of the French Pass Waiting Room be included in the 2016-17 Annual Plan with funding from Council Reserves. Carried

The following submitters are to be responded to by staff thanking them for their submission and responding accordingly on any points raised in the submission (including any submitters who answered questions 01 to 04 on the Submission Form). 12 Mary Byrne 14 Pat McNair 15 Vivienne Peters 16 Allan & Natalie Coburn 18 B G Mickell 22 Ian Smith 23 Kristen Price Operations Manager, Toimata Foundation 24 Warrick Jones 25 Paul Gunningham 26 Kelvin Maffey 27 Alan Campbell 28 Anna Dunne 29 Trevor Ross Jamie 30 Simon Amos 31 Grant Bancroft 33 Jenny Hill 35 Jo Nott 1972 36 Graham G Bruere 37 Janet Talbot 38 Jennifer Little 39 R & H Harris 40 Robert Boyes 41 Robin Litchfield 42 Russell Hopkins 44 Caroline McCarthy 45 Dominique Greenslade 46 Rene de Ruiter 47 Terry Ford 48 Rick Hammond Hammond Family Farming Ltd 49 Ron McLean McLean Contracting 50 Rod Hill 51 Jude Griffiths 52 Raymond Harris 53 Ian Clark 54 Susan Duckworth 56 Ivan Marinovich 57 Lee Charlett 59 John F Curley 60 Dianne L Smith 61 Lynley Gardner 62 Thomas Pickering 63 Bryan Fitzgerald

Council – 13 June 2016 Page 24

64 Martin van Grinsven 65 Andrew Elliott 66 Janet Steggle 68 Gregory Bugler 72 Murray D Jones 73 Rachel Rodger 74 Trasena Gleeson 75 Ian Davis 76 James Herbert Saunderson 77 Margaret Macdonald 78 Sally Peter 79 Simon Caley 80 Clem McAlister 81 Wendi Hamilton 82 Robert Cameron 83 Keith Adams 84 Richard A Mortimer 85 Cliff Smith 86 Richard Howe 87 Terry Gillan The Forum Co Ltd 88 Roberta Cameron 89 Alexis Neeson 90 Alan Neeson 91 Charlie Farnell 93 Bill & Loreen Brehaut 94 Alan Hopkins 95 Blanche Bruce 96 Frances Powell 97 Hugh Cooper 99 Robin Blackmore 100 Gary Thorpe 102 Budyong (Roger) Hill 103 Lesley Hill 104 Maggie Girling 105 Joe Blakiston Marlborough Rugby Referees association 107 Renate Rettel 108 Vivienne Murray 113 Chris Pearson 114 Marianna Daly 115 Rodney Craig 117 Vicki Parker 119 Jessica Jones Beachcomber Fun Cruises 121 Jim Duffell 122 Roderick Heard 123 Pat & Barry Akerblom 124 Joan A H Bedford 125 Kim & Joan Gabara 126 Judy Blake-Barlow 127 Dawn Astin 128 Elizabeth Newman 129 Erica Eaton 130 John Murphy 131 Elizabeth Barnes 132 Janet Schultz 133 Paul Schultz 134 Stewart Wiggins 135 Kristine Beach 137 B Day 138 A J Lang 139 Robert Davies 140 Robert King-Turner 141 Les Barrow

Council – 13 June 2016 Page 25

142 Loretta Roundhill 143 Carolyn Pickering 144 John Pickering 145 Steven Olsen 146 Roger Coppard 147 Ralph Mason Farmer/Vineyard 148 David Bool 150 Jennifer Neal Marlborough Community Development Trust 151 Jennifer Anne Stobie 153 Karen Walshe 154 Karen Walshe Marlborough Readers & Writers Charitable 155 Stuart Tapp Marlborough Caravan Club Inc 156 Don & Bev Gay 157 William Cox 158 Joan Dodson 159 Bruce Dick 161 Val Alcorn 163 Beverley Kingston 164 Madelene Nightingale 165 Shona Williams 166 Lois Lyall 168 Paddy Gordon 170 Graham Poskitt 171 Shirley Johnstone 173 Jill Aldridge 174 Kirsty Chalmers 176 Mark Harris 177 Gayleen Harris 180 Rick Wilson Millennium Public Art Galllery 181 Eve Loraine Barsanti 182 Murray Johns 183 Grant Crosswell 184 Yvonne Blakey 185 Jan Godsiff 186 Ivan Godsiff 190 Jenny Noble 191 Glen Noble 192 Phillip de Bruyn 193 Pam Elvy 194 Carol Dawber 196 Eve Loraine Barsanti 198 Eve Loraine Barsanti 200 Gary Shields Marlborough Building Limited 201 Rex Bright 202 Kathryn Rees 203 Sue Avery Business Trust Marlborough 204 Jeff Fulton The Vines Village 205 Doreen M Broadhurst 207 John Poswillo 208 Diana Brooks 212 John & Anne Martin Mahana Lodge 214 Vernon & Vivienne Harris 216 Mark Webby 217 Tracy Webby 219 Brian Andrew Waltho 221 Alison Waltho 222 Brian Piper 223 Philip Cresswell 224 Monika Neilands 226 David Jacob 228 Valerie Jacob 229 Jeanette Gillum

Council – 13 June 2016 Page 26

231 Carol Spragg 232 Gary Lawrence 234 Errol Morrison 235 Wayne Funnell 236 Lilian Broadhurst 238 Beverley Foster 239 Richard Lemaire 240 Colin Hall 241 Rosemary Clark 242 Adrian Clifton Scenic Hotel Group 243 Michael Taylor 245 Wanda Menchi 246 Trevor Johns 247 Leith Manson 251 Russell Mathews Secretary, Picton Society of Model Engineers Inc 252 Ian Blowers 253 Philip & Susan Davis 254 Kees & Irma van der Linden 255 David Greenslade 256 Alison Hinkley 258 Ryan Grenfell 259 AJ & SM Hydes 260 Andrea Smyth 261 Kenneth Gardiner 262 Geoffrey Wiffen 263 Janet Gardiner 264 Roy & Vivienne James 265 Lisa Milner 266 Rosemary Edwards 267 Richard A Edwards 268 Howard Williams 269 Gary Riggs 271 Geoff & Priscilla Burton 272 Robyn Blackburn 273 Christina Mortimer-Jones 275 Allan Hutton Marlborough Caravan Club 279 Damien Yvon Clos Henri Vineyard 282 Claudia Lydia Wiesner Hess 283 Marlene Funnell 288 Mavis Noreen Pittaway 289 Neil Gregory Peek 290 Glen Peek 293 David Nott Mayfield School 295 Ronald Boddy 297 Vern Harris Smart & Connected Wood Sector Industry Group 298 Rita Jacobson 299 Joy Prattley 301 Anne Boddy 303 Stephen Jones 305 Barbara Lancaster 306 Joan Climo 308 Johann Adam 309 Anthony McConnell 311 Rachel Hackett 313 Russell Strong 314 Murray MacDonald 316 Nick Meeten 317 Julie Kennedy 320 Robin Cox 321 Barrie Abrahams 323 Wayne Campbell 324 Ngaire Simonsen

Council – 13 June 2016 Page 27

325 Candi Callaghan 327 Angela Lenz Nelson Marlborough District Health Board 328 John Ohalloran 329 Paul Brown 331 Angela Scott 332 David Podmore 333 Roger & Beverley McClimont 334 John Fullarton 335 Graeme Woolley 337 Jill Bullock 338 John Baker 339 Dave McFarlane 340 Robert Marks 341 Kiri Siobain Browning 343 Ian Cameron 344 Mary Barnes 346 Peter Woodward 347 Greg Bettjeman 348 Kathleen Walker 349 Janice Wilson 350 Andreas Schedel 351 Robert Dunn 352 Ian Gray Chewings 353 Graham Davies 354 Peter Books 355 Garry Ashton 357 Lynda Johns 358 Simon James 361 Glynne Franklin 362 Jennifer McKeogh 363 Janice Mary Osborn & Raymond Thame 364 Christine Guy 365 Glenda Davies 366 David William Mayes 367 Jocelyn Mayes 368 Sheila Dunn 369 Jackie Taylor 370 Nicola Beaman 376 Tristan Winstanley 378 Michael McGrann 379 Gillian Edwards 389 Geoff Marfell 390 Graeme & Carolyn Ward 391 Isobel Sussmilch 392 Peter Sussmilch 393 Jon Perano 394 Anthony Smith 395 P J and M C North 396 Norbert Herbert 397 Elizabeth Winter Friends of the Marlborough District Libraries 398 Ralph & Beverley Faulkner Punga Cove Resort 399 James Bullock 404 David Walker 407 Campbell Brown Sales Manager, Marlborough Tour Company 409 Ron & Lorraine Rolston 411 Russell Montgomery 412 Rowan Malkinson 413 David Craddock 414 Brian Allan 416 Chris Piper 417 Penny Wardle

Council – 13 June 2016 Page 28

The Mayor/Clr Sloan: That the 2016-17 Annual Plan be amended as appropriate to incorporate the decisions made by Council on submissions, and that the revised budgets and resultant rates and charges be adopted for inclusion in the 2016-17 Annual Plan. Carried NB: Clr Dawson requested that his vote against the above motion be recorded.

C.15/16.431 Amendment to Development Contributions Policy for North West Blenheim Extension (PC 64, 65 and 67) F230-L15-06 Members noted that the purpose of the report was to amend Council’s Development Contributions Policy to introduce zone levies for the zoned land in the northwest of Blenheim as defined by plan change 64, 65 and 67; to include in Council’s Capital Budget for the first 10 years of the North West Blenheim Extension Zone’s development; and to include the budget for the Zone Levies in the 2016-17 Annual Plan. It was reported that consultation through the Annual Plan has been completed for the introduction of Zone Levies for the North West Extension Zone as defined by plan change 64, 65 and 67. Almost 80% of submissions favour the introduction of these levies. A budget is required to implement the policy. Council expenditure will be recovered from the levies paid as subdivision development takes place. Recovery of the expenditure will be over a period of up to 40 years. Clrs Barsanti/Dawson: That Council: 1. agree that the Developments Contribution Policy be amended to include the North West Blenheim Extension Zone levies (of $25,182 per lot plus GST) for the recovery of costs associated with the development of the North West Extension Zone areas defined by Plan Change 64, 65 and 67. 2. approve the Capital Expenditure and Expenditure Recovery Budgets for the next ten years as set out in this paper for inclusion in the Annual Plan. Carried

C.15/16.432 Multi-beam Mapping of Seabed Habitats and Hydrography for Safe Navigation of Totaranui/Queen Charlotte Sound C315-16-07, E325-002-003 Members noted that the purpose of the report was to allocate funding through the Annual Plan to join a Land Information New Zealand (LINZ) tender to map the entire seabed of Totaranui/Queen Charlotte Sound. It was reported that a unique opportunity to work collaboratively with LINZ has arisen for mapping the entire seabed of Totaranui/Queen Charlotte Sound. LINZ is undertaking a comprehensive and urgent navigation safety survey. By joining this iniative Council can gain habitat maps over 43,000 ha by contributing up to $1.5 million over the next two years. Council’s contribution can be offset by funding from other partners. The project will enable LINZ and Council to establish a model upon which future opportunities for collaborative survey work within the Marlborough Sounds can be based, including Pelorus Sound. Clrs Jerram/Hook: That the funding of up to $750k be contributed from the Information Services Depreciation Reserve for the 2016-17 financial year; and up to $750K for the 2017-18 financial year. Carried

Council – 13 June 2016 Page 29

The meeting closed at 5.10 pm.

Confirmed this 30th day of June 2016

A T SOWMAN MAYOR

Record No. 16113321

Council – 13 June 2016 Page 30

4. Committee Reports

4.1 Resource Hearing Committee Decisions (also refer to separate attachment)

Resource Hearing Committee Hearings held on 5 May 2016 (U151096) and 18 May 2016 (U150741)

Full copies of the Decisions are separately attached to the Agenda.

A summary of these Decisions follows:

Schedule of Resource Hearing Committee Decisions

Pages Date Subject Decision 1 - 15 5 May 2016 P R Roselli, and Wisheart Macnab & GRANTED Partners Trustee Company Limited Land Use (Activity) to construct a commercial building as Trustees of the Roselli Family involving a parking dispensation; and dispensation to Trust - Application for Resource height and side yard requirements on Lot 1 DP 7313. Consent - Land Use (Activity) - 2 Alfred Street, Blenheim (U151096) 16 - 27 18 May 2016 The Awatere River Wine Company GRANTED Limited - Application for Resource Land Use (Activity) to increase the production capacity Consent - Land Use (Activity) - of an existing winery from 500 to 3000 tonnes annually 146 Ugbrooke Road, Seddon on Lot 4 DP 446989. (U150741)

Council – 30 June 2016 Page 31

4. Committee Reports

4.2 Resource Hearing Commissioner Decisions (also refer to separate attachment)

Resource Hearing Commissioner Hearings held on 25 November 2015 (U150442) and 17 May 2016 (U160041)

Full copies of the Decisions are separately attached to the Agenda.

A summary of these Decisions follows:

Schedule of Resource Hearing Commissioner Decisions

Pages Date Subject Decision 28 - 40 25 November 2015 Strait Shipping Limited - Application GRANTED for Resource Consent - Coastal Permits for the testing and operation of the Coastal Permit x2 – National Strait Feronia through the National Transport Route. Transport Route, Queen Charlotte Sound (U150442) 41 - 69 17 May 2016 Lloyd Sampson David - Application GRANTED for Resource Consent - Coastal New coastal permit (replacing U920234 and MPE055) Permit - Marys Bay, Central Pelorus to reposition and operate a 2.15 hectare marine farm East (U160041) (site 8328) using standard surface longline techniques.

Council – 30 June 2016 Page 32

4. Committee Reports

4.3 Regional Planning & Development Committee

Regional Planning & Development Committee Meeting held on 16 June 2016 (Minute Nos. D.15/16.433 to D.15/16.440)

Council – 30 June 2016 Page 33

Report and Minutes of a Meeting of the REGIONAL PLANNING & DEVELOPMENT COMMITTEE held in the Council Chambers, 15 Seymour Street, Blenheim on THURSDAY 16 JUNE 2016 commencing at 9.00 am

Present Councillors T E Hook (Chairperson), G I T Evans, P J S Jerram, J C Leggett and Mayor Sowman

Also Present Councillors J A Arbuckle, G S Barsanti and B G Dawson (from 9.42 am)

In Attendance Neil Henry (Manager, Strategic Planning and Economic Development) and Nicole Chauval (Committee Secretary).

Apologies The Mayor/Clr Evans That the apologies for absence from Clrs D D Oddie and T M Sloan be received and sustained and the apologies for non-attendance from Clrs C J Brooks and L M Shenfield be noted. Carried

ATTENDANCE: Bill Findlater, Nelson EDA and Ian Lister, China Project Manager NMIT were present for the following item.

D.15/16.433 Sister City Relationships E100-003-08 The NMIT China Project Manager, Ian Lister provided a presentation to members (filed in Trim – Record No. 16109662). Mr Lister discussed NMIT’s relationship with China and noted that this has been established since 2004. He noted that NMIT has developed relationships with seven universities and have focused on five major educational areas with viticulture being one of these.

Mr Lister noted that education is rated extremely highly in China with parents of students committed to obtaining the best education possible for their children. Members were advised that to secure good quality students and develop strong relationships that provinces need to develop close ties with China themselves rather than going through agents.

Mr Lister discussed the economic development of China and reported that Nelson is looking at establishing relationships with 2nd and 3rd tier areas. These areas have been identified as the next to take off in terms of development and that it is advantageous for us to get in on the ground level. He noted that Ningxia is in the 2nd/3rd tier.

Members were advised that building relationships does take time but this is how China does business, it is all about ‘Guanxi’. Mr Lister noted that there are other economic spin offs to having students from China and these were outlined to members.

Bill Findlater then went on to discuss his role in building and maintaining relationships in China. He noted that it is important to have a ‘champion’ based in China working on your behalf. He also noted that having the Mayor involved in any visit is invaluable, as it provides the opportunity to open doors which allows individuals to then further develop and cement relationships.

Members were advised you need to understand how business is done in China and that relationships need to be developed before any business can be done.

Regional Planning & Development Committee – 16 June 2016 Page 34

Members were advised that Marlborough is likely to receive a number of requests to become a Sister City but we need to make sure, before entering into any arrangement, that there is a tangible benefit for Marlborough as there is a cost in looking after those relationships.

Mr Findlater advised members that he is available to provide any further assistance or advice going forward. It was noted that there is significant potential in developing a top of the south relationship with China.

Clrs Leggett/Evans That the information be received. Carried

ATTENDANCE: Marcus Pickens, Wine Marlborough, Gus Struthers, Seasonal Solutions and Philip Gregan, NZ Wine Growers were present for the following item. D.15/16.434 Marlborough Viticulture Labour Market Survey E100-000-01 The report to the Committee presented the findings of the recently completed Marlborough Viticulture Labour Market Survey. To highlight this report a powerpoint presentation was shown (presentation filed in Trim – Record No. 16109664).

Neil Henry introduced the three representatives from the steering group to members and acknowledged Bill East and Lyne Reeves’ involvement with this group.

Members were advised that the report identified significant growth in intended vineyard plantings over the next five years, totalling a 25% increase in current planted area. The majority of this growth was expected to take place in the lower Wairau. It was noted that the growth is equivalent to the current combined planted area of Hawkes Bay and Central Otago. This would mean that the planted area across Marlborough would increase to almost 30,000 hectares.

It was noted that the growth is expected to lead to an increase of 2,000 permanent and seasonal worker jobs which would require 1,000 extra beds for seasonal workers and 189 houses for permanent workers. It was reported that a range of pastoral care and accommodation quality issues need to be addressed to ensure that workers are adequately catered for.

Council’s CEO advised members on what Council is currently doing to assist and noted that the challenge will be in getting the infrastructure in fast enough to enable development to occur in time to meet the demand.

It was reported that three enquiries have been received regarding large scale accommodation options. It was noted that large scale accommodation is a suitable option but there is also a preference for permanent workers to come to the region and also for our youth to stay in Marlborough as there are, and will be, huge opportunities within the industry.

Members were advised that along with land development there will be a number of issues to address and that there will be a need for assistance from a range of partners such as landlords, Council, Police, health, education and community services to solve. Members were advised that the report gives us the opportunity to be front footed on the labour issue and that we need to be prepared for it but there is a lot of work to do.

It was noted that the findings provided in the report need to be discussed in the community to raise awareness of what is going on. This will ensure that the Marlborough community and industry work together on the issues, thereby ensuring Marlborough’s reputation as a premium wine producer and desirable place to live and work is enhanced.

There was discussion on the possibility of increasing the use of machinery to mitigate labour requirements. It was noted that Marlborough produces a high quality product and that each vine needs to be touched by a human hand at least a dozen times during a year. It is estimated that there are

Regional Planning & Development Committee – 16 June 2016 Page 35

currently 50,000,000 vines in Marlborough so even though machines are used it is a very labour intensive product but this ensures that quality is maintained.

Members were advised that Wine Marlborough is proposing to arrange a Summit in July to bring together the industry with key partners to discuss the issues and identify solutions. The National and Marlborough Labour Governance Groups will also have a role to play.

Clrs Leggett/Evans That the information be received. Carried

ATTENDANCE: Clr P J S Jerram withdrew from the meeting at 10.32 am.

ATTENDANCE: Susie Witehira, Events Co-ordinator was present for the following item.

D.15/16.435 Marlborough Regional Events Strategy Review E100-002-001-01 The report to the Committee provided an update on the draft Marlborough Regional Events Strategy 2016-19. To highlight this report a powerpoint presentation was shown (presentation filed in Trim – Record No. 16109666). Members were advised that the Marlborough Regional Events Strategy 2013 – 2016 has been reviewed and a new draft Regional Events Strategy 2016 – 2019 has been proposed. The Strategy was included in the agenda for members’ information. It was noted that the Regional Events Strategy guides the work of all stakeholders in the event sector not just the Events Co-ordinator and is an important document in setting the vision and identifying the key projects along with goals and actions to develop the sector further. Ms Witehira advised members that the 2013-16 Strategy had achieved many of its goals with the dedicated Marlborough events Follow Me website, Commercial Events Fund and seasonal event promotional tools. Members were further advised on what had been achieved to-date. It was noted that the Conferences, Conventions and Association Events are now under one heading entitled Business Events. The Blenheim and Picton Business Associations and the various Smart and Connected Groups have also been included. This has been done to enhance the proposed regional approach to events. Members were advised that the Major Events category has changed to Premier 1 and Premier 2 events, this was done to alleviate any confusion when promoting events outside of the region. It was noted that the aims of the Strategy remain the same, however, a new element ‘Creating Legacies’ has been created. This acknowledges the lasting benefit of hosting events such as when the Black Sticks hockey tournament was held here. This provided some much needed new infrastructure in the form of a new turf and seating at College Park. Ms Witehira advised members that following approval the draft Strategy will go out for public consultation for a period of six weeks with submissions closing 4 August 2016. It was noted that the consultation process would include discussions with event managers and the event sector along with publicity via the Council’s website, Council’s Thursday page in the Marlborough Express and social media coverage. Ms Witehira advised members that a summary of the feedback and any proposed amendments to the Strategy will be completed and the final Marlborough Regional Events Strategy will be presented for approval at the Council meeting in September 2016.

Clr Evans/The Mayor That the Draft Regional Events Strategy 2016-19 is approved for public consultation.

Carried

ATTENDANCE: Meeting adjourned at 10.39 am and reconvened at 10.54 am.

Regional Planning & Development Committee – 16 June 2016 Page 36

D.15/16.436 Sister Region Relationship with Ningxia, China E100-003-08 The report to the Committee provided an update on the Memorandum of Understanding signed with the Ningxia Hui Autonomous Region of China on 20 April 2016. To highlight this report a powerpoint presentation was shown (presentation filed in Trim – Record No. 16109669).

Members were advised that a Sister Region Memorandum of Understanding (MOU) was signed by the Mayor and His Excellency Mr Wang Ru’gui, Vice-Chairman of the Ningxia People’s Congress (the Ningxia regional government) in Blenheim on 20 April 2016. The MOU was included with agenda for members’ information. The MOU is focused on facilitating exchanges and co-operation between the two regions and does not contain any onerous commitments. Members were advised that it can be withdrawn from by either party with six months’ notice.

It was noted that due to Ningxia wishing to sign the MOU during their visit in April the timing meant that it was not possible to present it to this Committee, however, it was viewed by the Sister City Committee and they endorsed the signing of the document.

Members were advised that Ningxia is the Premier wine region of China, and has developed approximately 40,000 hectares of vineyards, mostly in the past 15 years. Two leading wine industry companies, Pernod Ricard and LVMH has a presence in both regions. There is an identified need for technical assistance for grape growing and wine making, with Marlborough identified as a good partner due to its technologically advanced production, the free trade relationship between China and New Zealand, and the availability of Marlborough wine industry expertise during the Ningxia October vintage.

Council’s role is to work with the Ningxia regional government to support the co-operation between the regions. The civic formalities are particularly important for doing business with China. This will require regular contact to be maintained, the hosting of delegations from Ningxia, and visits to Ningxia with Marlborough delegations.

Members were advised that to continue developing relationships with Ningxia a budget would need to be discussed. It was noted that a long term focus is required to develop trust and build up relationships between the regions.

It was reported that a Mayoral led visit to Ningxia will take place in early July. It was noted that the timing was brought forward from the original proposed date of September due to the upcoming local body elections in Marlborough. The Mayor advised members that he would provide a report on his visit to the region.

Members were advised that the Marlborough delegation have also been invited to a sister city event during their visit to Ningxia. It was suggested that it would be beneficial for the delegation to attend.

Clr Barsanti noted that he has been informed of a proposed student visit from Ningxia but as details were limited at this time he would investigate further and report back to the Committee.

Clrs Leggett/Evans That it is noted that a Sister Region relationship with Ningxia, China has been established by the signing of an MOU on 20 April 2016. Carried

ATTENDANCE: Clr P J S Jerram rejoined that meeting at 11.10am.

Regional Planning & Development Committee – 16 June 2016 Page 37

ATTENDANCE: Jane Tito, Smart Business Officer, was present for the following two items.

D.15/16.437 Smart and Connected Project Update E100-010-01, E100-010-03, E100-010-07 The report to the Committee provided an update on progress with the implementation of Smart and Connected. To highlight this report a powerpoint presentation was shown (presentation filed in Trim – Record No. 16109671).

Members were updated on all the Smart and Connected Community and Industry groups. It was noted that they are continuing to make progress across a number of projects.

Of particular note was that the Aquaculture industry group has completed its development phase and has appointed an establishment board/steering group and working groups. An invitation to members was extended to attend future meetings.

Mr Heiford advised members that he and Adi James, Small Townships Co-ordinator are working with the Havelock Boardwalk Committee to assist in progressing the project. It was noted that the project will be developed in stages and that the HCA are planning a number of initiatives to raise funds and in kind support to further assist in the project. Along with fundraising events it was reported that there is the potential for people to purchase lengths of the boardwalk as another revenue option.

Mr Henry updated members on the Picton and Renwick Smart and Connected groups and noted that the entrance signs have received approval from the Renwick group and they will be installed within the next few weeks.

Members were advised on developments with the Blenheim Business Association, it was noted that they had made a submission to the Annual Plan for further financial assistance. The group’s next meeting would be 20 July.

It was noted that the Wood sector group had met last night and discussed roading issues and arranging an industry event.

Clrs Evans/Leggett That the information be received. Carried

D.15/16.438 Smart Business Marlborough Update E100-009-01, E100-005-002-01, E100-010-02-02 The report to the Committee provided an update on progress with economic development projects. To highlight this report a powerpoint presentation was shown (presentation filed in Trim – Record No. ???).

Members were advised that three new and six ongoing commercial development enquiries have been progressed. It was noted that possible premises for the organisation are being viewed on Monday.

It was reported that meetings with the Regulatory Department are being organised with potential business operators to enable a better understanding of regulatory requirements and how best to progress their initiatives. It was also suggested that the Smart Business programme needs to be further advertised to inform the community that this service is available.

Ms Tito advised members that further feedback from the survey on Only Marlborough regional branding has identified a potential need to change how the website registration process works in that it needs to be easier. It was suggested that once improvements have been made that the Only Marlborough tool kit be relaunched.

Regional Planning & Development Committee – 16 June 2016 Page 38

Members were advised that the first phase of ‘Welcome to’ road signage is currently being manufactured and will be installed in the townships over the next few weeks.

Ms Tito advised members that the electronic and social media has had noted bursts of activity during Feb, March and April of this year. The Mayor congratulated Ms Tito on developing the initiative and noted that he follows the tweets and finds them really good.

The Quarterly Economic Monitor was circulated to members for their information. It was suggested that as it contained some very useful information it would be useful out in the wider community.

The Mayor/Clr Leggett That the information be received. Carried

D.15/16.439 Small Townships Fund Sub-committee Minutes D050-001-S03 The Minutes of the Small Townships Fund Sub-committee meeting held on 19 April 2016 were presented for ratification by the Committee.

Members were advised that the Sub-committee is in the process of developing a criteria to enable the prioritising of projects and townships and this will be presented at the next Regional Planning & Development Committee meeting.

It was reported that the Wairau Valley footpath development is going out for tender and a report on progress will be made to the Regional Planning and Development Committee meeting along with what has occurred following the submissions to the Annual Plan.

Clr Hook/The Mayor That the Minutes of the Small Townships Fund Sub-committee meeting held on 19 April 2016 be ratified.

Carried

D.15/16.440 Information Package - Clrs Evans/Leggett That the Regional Planning and Development Information Package dated 16 June 2016 be received and noted.

Carried

The meeting closed at 11.41 am.

Record No: 16109672

Regional Planning & Development Committee – 16 June 2016 Page 39

4. Committee Reports

4.4 Environment Committee

Environment Committee Meeting held on 16 June 2016 (Minute Nos. R.15/16.441 to R.15/16.453)

Council – 30 June 2016 Page 40

Minutes of a Meeting of the ENVIRONMENT COMMITTEE held in the Council Chambers, 15 Seymour Street, Blenheim on THURSDAY, 16 JUNE 2016 commencing at 1.00 pm

Present Councillors P J S Jerram (Chairperson), J A Arbuckle, L M Shenfield, G S Barsanti, Mr E R Beech (Rural representative) and Mayor Sowman (from 1.50 pm)

Also Present Councillors J L Andrews, B G Dawson (from 1.15 pm), T E Hook (from 1.36 pm), J C Leggett and G I T Evans

In Attendance Mr H R Versteegh (Manager, Regulatory Department), and Nicole Chauval (Committee Secretary).

Apologies Clrs Barsanti/Shenfield That the apologies for absence from Clr C J Brooks and D D Oddie be received and sustained and the apology for non-attendance from Clr Sloan be noted. Carried

R.15/16.441 Confirmation of Sub-Committee Business Clrs Shenfield/Barsanti

That the following approvals granted by the Swimming Pools Sub-Committee acting under delegated authority (Regulatory Committee Minute R.13/14.166) be received and the recommendations adopted:

• J & L White, 2A Rudd Crescent, Blenheim - exemption for doors opening into pool area (exemption pursuant to section 6 of the Fencing of Swimming Pools Act 1987).

• S & B Richmond, 5739 State Highway 6, Rai Valley - exemption to install a Save-T Cover III automatic pool cover in lieu of a fence (exemption pursuant to section 6 of the Fencing of Swimming Pools Act 1987).

• R Whitham, 65 David Street, Blenheim - exemption to install a Save-T Cover III automatic pool cover in lieu of a fence (exemption pursuant to section 6 of the Fencing of Swimming Pools Act 1987).

• A M Jay, 31 Endeavour Street, Blenheim - exemption to install a Save-T Cover III automatic pool cover in lieu of a fence (exemption pursuant to section 6 of the Fencing of Swimming Pools Act 1987).

• J & J Neal, 8 Rousell Place, Blenheim - exemption to install a Coverstar safety pool cover in lieu of a fence (exemption pursuant to section 6 of the Fencing of Swimming Pools Act 1987).

• T & N Westend, 365 Brookby Road, Fairhall - exemption to install a Coverstar safety pool cover in lieu of a fence (exemption pursuant to section 6 of the Fencing of Swimming Pools Act 1987).

Environment Committee – 16 June 2016 Page 41

• D & S Fox, 43 Anglesea Street, Renwick - exemption to install a Coverstar safety pool cover in lieu of a fence (exemption pursuant to section 6 of the Fencing of Swimming Pools Act 1987).

Carried

ATTENDANCE: Emily Wilton, Air Quality Consultant, Environet Limited was present for the following item. R.15/16.442 Annual Air Quality Monitoring Report - Blenheim 2015 E300-004-003-01 The Annual Air Quality State of the Environment Report for the year 2015 was presented to the Committee by Emily Wilton, Environet Limited. To highlight this report a powerpoint presentation was shown (presentation filed in Trim – Record No. 16109599).

Members were advised that particulate (PM10) is the main air pollutant concern in urban areas with air quality monitoring of PM10 in Blenheim being carried out since 2000. It was noted that the main source of PM10 during winter is solid fuel burning for domestic home heating.

-3 It was reported that concentrations of PM10 exceeded 50 µg/m (24-hour average) at the Redwoodtown site on four occasions in 2015. Each of these was considered a breach of the NES (which allows one exceedance per year) because the first exceedance in May was less than a year -3 before the 2014 exceedance. The maximum concentration was 79 µgm and the second highest PM10 -3 -3 concentration was 70 µg/m . The yearly average PM10 concentration was 17 µg/m , which was noted as being similar to previous years.

Members were advised that the Blenheim airshed will not comply with the Ministry for the Environment requirement to comply with the NES for PM10 by September 2016. It was noted that the recently notified Marlborough Environmental Plan does have a range of policies and measures in place in order to address non-compliance with the NES.

In response to a query regarding Marlborough not complying Ms Wilton advised that it is unclear what the Ministry’s intended approach would be as the standard is currently being reviewed. It was also noted that Marlborough is not the only Council that is not complying.

Ms Wilton advised members of the Lawa website and noted that the air quality information for Marlborough is available for them and the public to view. The following link to the website www.lawa.org.nz was emailed to members following the meeting.

Clrs Barsanti/Shenfield That the report be received. Carried

ATTENDANCE: Peter Davidson, Groundwater Scientist and Scott Wilson Lincoln Agritech Lincoln University were present for the following item.

R.15/16.443 Wairau River - Wairau Aquifer Interaction Project Update E345-007-001 The Committee was updated on the progress towards explaining the declining trend in Wairau Aquifer levels and were presented with two recent reports on hydrological investigations. To highlight this report a powerpoint presentation was shown (presentation filed in Trim – Record No. 16109603).

The reports, Wairau Aquifer Stratigraphy Review by Lincoln Agritech Limited and Groundwater surface water interaction in a coastal aquifer system, Marlborough, New Zealand by GNS Science at Taupo were attached to the agenda for members’ information.

Environment Committee – 16 June 2016 Page 42

Scott Wilson advised members that the aim of the research was to find out if the aquifer is a layered system and if it is layered, this would have implications for aquifer recharge, the internal flow pathways, and discharge. It was noted that to test this they reviewed deep bore logs (>18m), created a 3D visualisation and delineated the new geology in ArcGIS. Members were advised that the table contained in the agenda item identified the various programmes making up the project and their findings.

Mr Wilson noted that the key geographical features of the area were two main permeable layers separated by a lower permeability horizon. The top layer has been deposited in the last few hundred years and allows river charge to occur in a 3km reach below Rock Ferry providing recharge to the deeper aquifer layer, a shallow high permeability channel upstream of SH6 coinciding with the old Opawa River channel and a shallow high permeability area between Pauls-Giffords Road.

The next steps on testing the new geology were discussed. It was noted that the data from the MDC chemistry database shows that the upper and lower aquifer layers are chemically distinctive. This knowledge will be used to understand the water sources of Spring Creek. It was noted that there are still questions on the process of how water leaves the river bed and this will be further studied during the summer months.

Mr Wilson advised members that there is funding available from MBIE for a period of three years. He noted that it is coming up to the end of the first year. It was reported that funding has also been received from MDC which has enabled investigations on the Wairau River to occur.

It was noted that there are still a lot of unanswered questions and that there needs to be more research done to understand the mechanics and then decide if it is something that we can manage or if it is a natural occurrence. There is no definitive date on when there may be some conclusion.

Clrs Barsanti/Arbuckle That the reports be received. Carried

ATTENDANCE: Peter Hamill, Environmental Scientist was present for the following item.

R.15/16.444 Recreational Water Quality - Summer 2015/2016 E370-007-001 The Recreational Water Quality – Summer 2015/16 report for the year 2015/16 was presented to the Committee by Peter Hamill. To highlight this report a powerpoint presentation was shown (presentation filed in Trim – Record No. 16109607).

It was reported that 12 coastal beaches and nine river sites were sampled weekly from the beginning of November 2015 until the end of March 2016. It was noted that samples were analysed for the concentration of faecal indicator bacteria - E.coli for river samples, Enterococci for coastal samples. These bacteria are an indicator for faecal contamination, which has the potential to affect the health of recreational water users, such as swimmers and surfers.

The results from the six sites indicate that faecal bacteria concentrations were within safe levels for all samples taken. These sites included Marfells Beach, Pukatea/Whites Bay, Ngakuta Bay and the Wairau River at Blenheim Rowing Club.

Members were advised that the unusually low levels of indicator bacteria compared to previous years at the two Waikutakuta/Robin Hood Bay sampling sites were attributed to the build-up of a natural temporary sand bar that filtered the water of streams flowing into the bay.

It was reported that the Picton Foreshore and Taylor River at riverside had contaminations with reasons not related to rainfall. The high reading at Momorangi Bay was due to system failure and this was remedied.

Environment Committee – 16 June 2016 Page 43

It was noted that the sampling results were also analysed together with results from previous summer seasons to determine trends in indicator bacteria concentrations and a grading system was applied that allows the assessment of the overall recreational water quality of a site, the SFR Grades.

The SFR Grades were last reviewed in 2014, but trend analysis showed a significant change in recreational water quality at a number of sites and the grades were again reviewed as part of the report.

It was noted that for most of the sites that were added to the programme in 2012, sufficient data has now been collected to allow assignment of interim SFR Grades and these grades were identified in the agenda item.

Clrs Shenfield/Barsanti That the report be received. Carried

ATTENDANCE: Ian Sutherland, Resource Management Officer was present for the following item.

R.15/16.445 Road Name Request - Omaka Landing (Colonial Vineyard Limited) U150889 Approval was sought from the Committee on the proposed names for the Omaka Landing development and the renaming of the previously approved “Harvard Crescent”.

Members were advised the Sub-committee, that had been established to assist the developers with options for appropriate aviation themed names, have met. The approved list of names which were included in the agenda were discussed. It was noted that they are both aviation themed and comply with the road naming policy. It was noted that there had been a request for the previously approved Harvard Crescent to be changed to Harvard Road. Mr Sutherland advised that alternative names had been provided for consideration if the preferred names were declined.

It was reported that the new proposed names have been circulated to iwi, local historians and Marlborough Roads for comment. Two submissions were received. It was reported that the submission from Te Runanga A Rangitane o Wairau recommended that Omaka Drive and Rangitane Drive be considered. It was reported that there is a Rangitane Drive in Havelock so does not comply with our road naming policy.

Members were advised that the only issue identified from the main list of names proposed is the length of Catalina Crescent, however as this is one of the longer roads in the development it should not cause any problem.

It was noted that the names on the alternative do not comply with the policy as fully. There is the minor duplication risk of Omaka Drive with the existing Omaka Downs Road. Tthe other names contain two words instead of the one name preferred by the policy and several contain a higher number of characters.

Clrs Barsanti/Shenfield 1. That the information be received. 2. That the new roads be named as shown on the appended map (Appendix 1). This includes the renaming of the previously approved “Harvard Crescent” road name as shown on the appended map.

Carried

Environment Committee – 16 June 2016 Page 44

Appendix 1 Plan Showing Proposed Roads

Environment Committee – 16 June 2016 Page 45

ATTENDANCE: Karen Winter, Environmental Health officer was present for the following item.

R.15/16.446 Environmental Health: Unsanitary Living Conditions under the Health Act E350-004-009-02 The report to the Committee provided information on what the Environmental Health’s responsibility and duties are in regard to resolving unsanitary living conditions and/or hoarding. To highlight this report a powerpoint presentation was shown (presentation filed in Trim – Record No. 16109645).

Members were advised that under the Health Act 1956 (the Act) Council has the responsibility to inspect any conditions likely to be injurious to health or offensive and cause all proper steps to be taken to remedy these situations. It was noted that the new Health Act bill was introduced to Parliament in 2007 but has had only one reading todate.

It was noted that Environmental Health Officers are involved in assisting hoarders and/or people living in unsanitary conditions to improve their situation and that they are attending to more of these as time goes on.

Ms Winter spoke to her presentation which showed some of the situations that they have been dealing with. It was noted that Alec NcNeil, Solid Waste Manager has provided some budget towards dealing with the rubbish at these sites.

It was noted that Officers do work alongside the people involved and include agencies that can assist to improve people’s living conditions.

Clrs Barsanti/Shenfield That the information be received. Carried

ATTENDANCE: Rachel Mercer, Environmental Health officer was present for the following item.

R.15/16.447 Food Act 2014 Transition E350-004-009-02 The report to the Committee provided an update on the progress made so far in transitioning to the Food Act 2014.

Members were advised that under the Act Council has the authority to register food businesses and undertake verifications of certain types of registrations. There is a three year transition period where different categories of business have to acquire a new registration within a defined period. It was noted that Council’s systems have been updated to manage all requirement under the Act.

It was reported that 14 workshops have been held for food businesses on how to operate under the new Act. The workshops have been well attended.

It was noted that there are four registrations under the new Act which have all been verified within their one month timeframe. Registrations under the old system are due to expire on 30 June. Ms Mercer advised that many of the premises who are required to transition by March 2017 are expected to register under the new Act rather than continue their current registration.

Clrs Barsanti/Shenfield That the information be received. Carried

Environment Committee – 16 June 2016 Page 46

ATTENDANCE: Jono Underwood, Biosecurity Co-ordinator was present for the following item.

R.15/16.448 Biosecurity Cost Recovery Fees E360-000-001 The report to the Committee outlined the results of the consultation process regarding the review of Biosecurity Cost Recovery Fees and sought ratification of the reviewed fee schedule.

Mr Underwood reported that consultation regarding the fee schedule had been undertaken in March with no submissions being received.

Clrs Barsanti/Beech 1. That the information be received. 2. That the following proposed fees are ratified for implementation from 1 July 2016: Notice of Direction - section 122(2) $152.17 + GST Notice of Direction - section 122(1) $152.17 + GST Notice of Direction - section 122(1) no prior facilitation no charge Notice of Intention to Work on Default $152.17 + GST Inspection Fee $100.00 + GST per hour

Carried

ATTENDANCE: Shelley Lines, Environmental Protection Officer/Contract Manager was present for the following item.

R.15/16.449 Dog Attack Prosecution E305-004-006 The report to the Committee provided information on the outcome of the recent dog attack prosecution.

Members were advised that there are just over 10,000 dogs registered in Blenheim with 40 registered as dangerous dogs. It was noted that there have been eight attacks so far this year of which none have been by the pit bull breed.

In response to a query raised with regards to unregistered dogs. Ms Lines advised that it is difficult to determine the number of unregistered dogs in Marlborough but noted that there were a number of unregistered dogs last year and these were all followed up and by the new registration period they had all been registered.

Ms Lines discussed the recent dog prosecution case and noted that public risk was the main concern as there had been a previous incident for which an infringement notice had been issued.

Members were advised that Council has provided a submission to the associate Minister of Local Government on the current dog control regime’s operation and had offered suggestions for improvements to the Act. It was noted that an acknowledgement of the submission had been received and any results from the submission would be reported back to the Committee.

Ms Lines noted that a Dog Owner Satisfaction Survey questionnaire (included with the Information Package) had been sent out to all dog owners with their registration renewal documents, 135 completed questionnaires have been received so far. Officers will analyse the responses to determine how Council’s dog control services may better meet the needs of customers.

Clrs Arbuckle/Shenfield That the information be received. Carried

Environment Committee – 16 June 2016 Page 47

ATTENDANCE: Lauren Kensington, Environmental Protection Officer was present for the following item.

R.15/16.450 High Volume Wastewater Management in the Marlborough Sounds E330-003-003-02 The report provided an update to the Committee on the monitoring of the discharge of high volume and commercial wastewater in the Marlborough Sounds for the summer period of 2015/2016.

Ms Kensington advised members that there are currently 20 wastewater systems being monitored annually in the Sounds with only one discharging to sea. The consent for that discharge expires in August of this year, all others are discharging to land.

It was noted that the compliance results have increased since the report was written with two consents previously rated as yellow (technical non-compliant) now rated as green (compliant) bringing the total number to 10 discharges rated as compliant.

Members were advised that the Portage Hotel has ceased discharging to sea and is now operating a new discharge to land system on DOC land in Cowshed Bay. It was noted that the final aspects of the new system are being completed.

It was noted that the Portage residents are now using their own discharge to land scheme which was commissioned in mid-2015 with one resident choosing to install their own wastewater system contained within their property under a separate discharge permit.

It was noted that there are two consents which are rated as significant non-compliance and these are being addressed, one through a new application for resource consent and the other through the installation of a new system.

Clrs Barsanti/Shenfield That the information be received. Carried

R.15/16.451 Schedule 1 Exemption 2 R450-002-B01 The report to the Committee sought adoption of the new consenting process to the Building Control Group territorial function. The process is to receive and process applications to exempt the need for a building consent under Schedule 1, Exemption 2 and to set a fee for this activity.

It was noted that the report has previously been before this Committee.

Members were advised that the schedule of fees were advertised and submissions sought. No submissions were received.

Clrs Shenfield/Barsanti That this report and fee structure is adopted. System and fees apply from 1 July 2016.

Carried

R.15/16.452 Aids to Navigation H100-005-14 The report to the Committee provided an update of the on-going management of Aids to Navigation (AtoNs). Members were advised that IALA standards for all lit navigation aids have been achieved for the past six weeks.

Environment Committee – 16 June 2016 Page 48

It was reported that a GSM capable light has been installed at Shag Point which enables constant monitoring of the light status and battery. It was noted that this is very useful and a second GSM light has now been purchased for installation at Robertson Pt in Port Underwood.

Members were advised that the lighting in the Queen Charlotte Sound, east of Dieffenbach Pt, is being reviewed with a view to lighting the deep water shipping channel east of Long Island. It was noted that a draft scoping report is being prepared.

Clrs Arbuckle/Barsanti That the information be received.

Carried

R.15/16.453 Information Package - Clrs Shenfield/Barsanti That the Regulatory Department Information Package dated 16 June 2016 be received and noted. Carried

The meeting closed at 3.08 pm

Record No: 16109651

Environment Committee – 16 June 2016 Page 49

4. Committee Reports

4.5 Special Committee to Hear Submissions on the Consultation Document (Draft 2016-17 Annual Plan)

Special Committee to Hear Submissions on the Consultation Document (Draft 2016-17 Annual Plan) Meeting held on 7, 8 & 9 June 2016 (Minute No. C.15/16.428)

Council – 30 June 2016 Page 50

Report of a Meeting of a SPECIAL COMMITTEE OF COUNCIL to hear submissions on the Consultation Document (Draft 2016-17 Annual Plan) held in the Council Chambers, 15 Seymour Street, Blenheim on TUESDAY 7 JUNE, WEDNESDAY 8 JUNE & THURSDAY 9 JUNE 2016 each day commencing at 8.30 am

Present Mayor A T Sowman (Chairman), Clrs J L Andrews, J A Arbuckle, J P Bagge, G S Barsanti, C J Brooks, B G Dawson, G I T Evans, T E Hook, P J S Jerram, J C Leggett, D D Oddie, L M Shenfield and T M Sloan.

In Attendance Mr M F Fletcher (Manager, Corporate Finance), Mr M J South (Financial Services Manager) and Ms N J Chauval (Committee Secretary)

Minutes will be circulated separately early next week

Record No: xxxxxxxxxxx

Special Committee to Hear Submissions on the Consultation Document (Draft 2016-17 Annual Plan) – 7, 8 & 9 June 2016 Page 51

5. Adoption of the 2016-17 Annual Plan (also refer to separately circulated attachment)

(The Mayor) F230-A16-11-01

Purpose 1. To adopt the final Annual Plan document for the period 1 July 2016 to 30 June 2017.

Background 2. Council at its 13 June 2016 meeting made decisions on all matters raised in submissions on it Draft 2016-17 Annual Plan.

3. Council also resolved: The Mayor/Clr Sloan: That the 2016-17 Annual Plan be amended as appropriate to incorporate the decisions made by Council on submissions, and that the revised budgets and resultant rates and charges be adopted for inclusion in the 2016-17 Annual Plan. Carried NB: Clr Dawson requested that his vote against the above motion be recorded.

4. At the conclusion of the 13 June 2016 meeting, Council was advised that the indicative rates increase was 2.6%. Following the completion of all the steps required to complete the funding exercise this percentage was reduced to 2.46%.

5. The minutes of the 13 June 2016 Council meeting are on the Agenda for confirmation at this meeting with only issues of accuracy able to be raised.

6. The 2016-17 Annual Plan document, as amended in terms of the decisions made, will be separately circulated.

RECOMMENDED That Council adopt the Annual Plan for the period 1 July 2016 to 30 June 2017.

Council – 30 June 2016 Page 52

6. Setting of Rates for the 2016-17 Financial Year (also refer to separately circulated attachment)

(The Mayor) (Report prepared by M South) F270-23-01

1. Separately circulated is the schedule of rates and charges to be set for the 2016-17 financial year to give effect to the decisions made by Council on 13 June 2016.

RECOMMENDED That the Marlborough District Council set the rates and charges, as set out in the schedule hereto, under the Local Government Act 2002 and the Local Government (Rating) Act 2002, on rating units in the District for the financial year commencing on 1 July 2016 and ending on 30 June 2017.

Council – 30 June 2016 Page 53

7. Elected Members’ Allowances and Reimbursement Policy

(The Mayor) (Report prepared by M Porter) H500-009-002-08

Purpose 1. The purpose of this report is to seek Council’s adoption of the attached Elected Members’ Allowance and Reimbursement Policy for the 2016 to 2019 period.

Background 2. The Remuneration Authority have requested that Councils adopt their Elected Members’ Allowance and Reimbursement Policies for the 2016 to 2019 period, and then forward the Policy to them for approval.

3. Council have in the past approved a number of reimbursement conditions and these have been included in the one policy document.

Comments 4. The Remuneration Authority acknowledge that the Policy may be changed at any stage in the future (i.e. following the next election), but have requested that Councils approve their policies as soon as possible.

5. No change has been made to the existing Elected Members’ Allowance and Reimbursement Policy.

Summary 6. The Remuneration Authority have requested that Council adopts the Elected Members’ Allowance and Reimbursement Policy for the 2016 to 2019 period.

RECOMMENDED That Council adopt the attached Elected Members’ Allowance and Reimbursement Policy for the 2016 to 2019 period.

Council – 30 June 2016 Page 54

Elected Members’ Allowances and Reimbursement Policy

Pursuant to Minute No. C.02/03. 538, the Marlborough District Council may reimburse elected members for mileage incurred whilst on or attending to Council business, and may reimburse members on an actual and reasonable basis for expenses incurred whilst on or attending to Council business (e.g. taxi fares, hotel expenses etc when travelling).

Pursuant to Minute No. C.07/08.141 the Marlborough District Council provides parking permits for elected members’ use in Council’s Alfred Street Carpark whilst on official Council business only.

Pursuant to Minute No. C.07/08.141 the Marlborough District Council reimburses elected members for home internet connections to their place of residence.

Council – 30 June 2016 Page 55

8. Waste Fees and Charges Review 2016

(Clr Bagge) (Report prepared by Alec McNeil) C315-11-06-05

Purpose 1. The purpose of this report is to set out the proposed waste fees and charges to take effect from 1 November 2016.

Background 2. Waste Fees and Charges are published under Fees on the Services page of Council’s website. These rates are reviewed annually and any changes implemented on 1 January each year. This process was delayed for 2016 due to the introduction of the Commercial Industrial Sorting Facility (CIF).

3. Waste services are funded through a combination of user pays charges, general and targeted rates.

Transfer Stations 4. General waste inputs to the transfer stations are subject to a user pays charge based on measuring the load. The current charge is $31 per cubic metre (GST inclusive). Transfer stations are open to both public and commercial users. From 1 November 2016 the Blenheim transfer station will become part of the CIF and dump fees will switch to a weight based tonnage charge.

Greenwaste 5. Greenwaste inputs to the Greenwaste Acceptance Facility (GAF) are subject to a user pays charge based on measuring the load. The current charge is $15 per cubic metre (GST inclusive). This fee has not changed since January 2013. The GAF is open to both public and commercial users. From 1 November this site will be entered and exited from Wither Road.

Landfill 6. Waste inputs to the Bluegums Landfill site are subject to a user pays charge based on weighing the load. The current charges range from $71.25 to $106.25 per tonne (GST inclusive) dependant on the waste type. The landfill is open to commercial users only. There is currently no minimum tonnage charge. The site receives an average of 41,000 tonnes per annum.

7. The introduction of the CIF removes revenue streams (tonnage) from the landfill (transfer station and skip inputs). The landfill therefore has to adjust its charging to ensure that it maintains its cost recovery against the remaining tonnage. The introduction of the CIF will reduce landfill inputs to around 33,000 tonnes per annum.

Staff Comments 8. The CIF gate fee has been set at $110 per tonne (GST inclusive) to reflect the Capex and Opex costs. The impact of this charge is shown on the attached Fees and Charges table.

9. Some new charges will also be introduced to reflect scenarios at the CIF for example lost ticket and minimum weigh charge.

a) For the 2014/15 period the average weight per user at the Blenheim transfer station was 44kgs per visit. For the 2015/16 to the end of April this was sitting at 50kgs. b) The minimum charge set at $3 is the equivalent of 27kgs. c) The weighbridge is a 30,000kg unit which measures in 10kg increments. The system rounds up or down to the nearest 10kg.

10. Official Council refuse bags delivered to the CIF will be subject to a weight based tonnage charge.

Environment Committee – 16 June 2016 Page 56

Transfer Stations 11. The new gate fee for the transfer stations, excluding Blenheim, will be $32.00 per cubic metre (GST inclusive)

Greenwaste 12. Greenwaste gate fees will remain unaltered from the current charge of $15 per cubic metre (GST inclusive)

Landfill 13. Waste inputs to the Bluegums Landfill will see their rates increase by $9.25 per tonne (GST inclusive)

14. A minimum 1 tonne charge will be introduced at the Bluegums landfill. This will encourage skip loads into the CIF.

Summary 15. The revised Fees and Charges table is appended to this report taking account of the introduction of the CIF.

RECOMMENDED 1. That the waste fees and charges are amended to reflect the introduction of the Commercial Industrial Sorting Facility (CIF) with the following impact:

(a) the user pays charge for all general waste received at the CIF will be $110 per tonne (GST inclusive), (b) the user pays charge for all greenwaste received at the Greenwaste Acceptance Facility (GAF) will be $15 per cubic metre (GST inclusive), (c) the Bluegums landfill disposal rates will all increase by $9.25 per tonne (GST inclusive), (d) these changes will take effect from 1 November 2016.

Council – 30 June 2016 Page 57

FEES TABLE: Waste and Refuse (with effect from 1 November 2016)

Commercial Industrial Existing Charges New Charges Facility (CIF)

General refuse per tonne N/A $110 (including Official Council refuse bags) Cleanfill per tonne N/A $40

Minimum weigh charge N/A $3

Lost ticket N/A $40

Transfer Stations Existing Charges New Charges (Excluding Blenheim)

General refuse per cubic metre $31.00 $32.00 rate

No charge for disposal at transfer No charge for disposal at transfer Official Council refuse bags station station

Other 60 litre refuse bags $1.90 $1.90

Medium 80 litre refuse bags $2.50 $2.60

At site operator's discretion based At site operator's discretion based Large refuse bags on measure and current rate per on measure and current rate per cubic metre cubic metre

240 litre refuse wheelie bin $7.40 $7.70

120 litre refuse wheelie bin $3.70 $3.80

205 litre (44 gallon) refuse $6.30 $6.60 drum

Standard woolpack filled with $15.00 $15.40 refuse (0.48m3)

1 tonne sacks filled with refuse $22.50 $23.20 (0.725 m3)

Scrap metal per cubic metre $8.00 $8.00

Car body (Blenheim) - stripped $37.00 $37.00 of upholstery, glass and tyres

Car body - not stripped $87.00 $87.00

Whole tyres

- Car tyres $5.50 $5.50

- Four wheel drive tyres $6.50 $6.50

- Light truck to 17.5 t $9.50 $9.50

- Heavy truck tyres $17.50 $17.50

- Truck tyres with rims $30.00 $30.00

- Tractor tyres (small) $47.50 $47.50

Council – 30 June 2016 Page 58

FEES TABLE: Waste and Refuse (with effect from 1 November 2016)

- Tractor tyres (medium) $60.00 $60.00

- Tractor tyres (large) $70.50 $70.50

Transfer Stations Existing Charges New Charges (Excluding Blenheim)

- Loader tyres (small) $60.00 $60.00

- Loader tyres (medium) $70.50 $70.50

- Loader tyres (large) $82.00 $82.00

Whiteware - fridges, ranges, $10 $10 etc

Electrical goods - TVs, See our E-Waste See our E-Waste computers, etc Collection Facility page Collection Facility page

Hazardous Waste Existing Charges New Charges Used oil for quantities less than No charge No charge 20 litres

Used oil for quantities greater 20 cents per litre 20 cents per litre than 20 litres

By assessment contact MDC on By assessment contact MDC on Ph: Toxic and hazardous material Ph: 03 520 7541 03 520 7541

Regional Landfill Existing Charges New Charges (commercial users only - by arrangement - Ph: Roading, Asphalt 021 180 6983) General refuse per tonne $106.25 $115.50

Offal burial per tonne $106.25 $115.50

Ash per tonne $71.25 $80.50

Winery filter media per tonne $71.25 $80.50

Mussel shells per tonne $71.25 $80.50

Sawdust per tonne $71.25 $80.50

Liquid waste per tonne $71.25 $80.50

Polystyrene per tonne $1,511.25 $1,520.50

All mixed loads per tonne $106.25 $115.50

Minimum tonnage charge N/A 1 tonne

By assessment contact MDC on By assessment contact MDC on Ph: Toxic and hazardous material Ph: 03 520 7541 03 520 7541

By assessment contact MDC on By assessment contact MDC on Ph: Hardfill/cover fill Ph: 03 520 7541 03 520 7541

Refuse Bags - Blenheim and Existing Charges New Charges

Council – 30 June 2016 Page 59

FEES TABLE: Waste and Refuse (with effect from 1 November 2016)

Picton Plastic bags - each $1.40 $1.40

Plastic bags x 10 $13.30 $13.30

Plastic bags x 52 $69.00 $69.00

Greenwaste Acceptance Existing Charges New Charges Facility

Greenwaste material to $15.00 $15.00 Blenheim compost site per cubic metre

Greenwaste to Picton Transfer $22.00 $22.00 Station compost site per cubic metre

Council – 30 June 2016 Page 60

Greenwaste Gate Fees versus General Rates

Gate Volume Revenue Density Weight Tonnage Rate Fee (m3) (15/m3) (tonnes/m3) (tonnes) Revenue Variance Cost - $55 13,200 $198,000 0.065 858 $47,190 $150,810 5.7 - $60 13,200 $198,000 0.065 858 $51,480 $146,520 5.5 - $65 13,200 $198,000 0.065 858 $55,770 $142,230 5.3 - $70 13,200 $198,000 0.065 858 $60,060 $137,940 5.2 - $75 13,200 $198,000 0.065 858 $64,350 $133,650 5.0 - $80 13,200 $198,000 0.065 858 $68,640 $129,360 4.9 - $85 13,200 $198,000 0.065 858 $72,930 $125,070 4.7 - $90 13,200 $198,000 0.065 858 $77,220 $120,780 4.5 - $95 13,200 $198,000 0.065 858 $81,510 $116,490 4.4 - $100 13,200 $198,000 0.065 858 $85,800 $112,200 4.2 - $105 13,200 $198,000 0.065 858 $90,090 $107,910 4.1 - $110 13,200 $198,000 0.065 858 $94,380 $103,620 3.9 $230.77 13,200 $198,000 0.065 858 $198,001 $1 0.0

Council – 30 June 2016 Page 61

9. Adoption of a Private Tree as a Street Tree

(Clr Sloan) (Report prepared by Robin Dunn) R510-015-01

Purpose 1. The purpose of this report is to seek Council approval to adopt as a street tree, a large, healthy and high profile oak tree located within the CBD on private land. The tree provides significant amenity value and character within what is otherwise a largely built environment.

2. To ensure the trees preservation, it’s suggested Council contribute towards its on-going maintenance. A memorandum of understanding (MOU) is proposed with the landowner to formalise Council’s adoption of the tree.

Oak Tree – 5 Main Street

Background 3. The 50+ year old tree is located on private land beside Domino’s Pizza and NZ Home Loans at No. 5 Main Street, Blenheim. The large attractive 16 metre high oak tree has good form and provides natural and historic character in this largely commercial and hard surface setting. The tree provides a prominent feature and anchor to the town centre, particularly from the southern approach.

4. The new owner of the property contacted council to discuss options for the tree, as lessees suggested tree removal to provide more space and minimise on-going costs. After discussion with a local arborist and Reserves staff, the owner has agreed to retain the tree on the condition that Council pays for the initial lifting and shaping and then its ongoing maintenance. This could be

Council – 30 June 2016 Page 62

achieved by adopting the tree into the street tree maintenance contract. The tree is worthy of Notable Tree status however the owner is not keen on this level of protection.

5. By council agreeing to assist with the on-going pruning maintenance of this tree, preservation of the tree is achieved. A simple MOU can cover this maintenance agreement and terms, similar to that prepared for the Grove Road landscape work underway on private land.

6. The MOU will include; That Council will; - agree to undertake the initial prune as quoted at $1140.00 and then going forward inspect and prune the tree every two years at a cost of approximately $450.00 as if it were a street tree. The Owner will; - undertake any other work in relation to the tree roots or paving repair under the tree, however has no liability to the tree affecting public road or pavement. The owner is to contact council prior to any tree work being undertaken or works near the tree.

7. The cost could be absorbed within the street tree annual operating budgets.

8. Street trees and amenity enhancement are key components within the Urbanism + designs for Blenheim’s CBD and town entrances. The recent new CBD planter boxes, other proposed improvements and Grove Roads landscape enhancement planting currently underway all contribute to an enhanced town centre and entrances. Where significant amenity features exist, preservation and enhancement of these is also recommended.

9. This is an unusual case as trees on private land would not normally be considered for Council involvement, however being such a notable and strategically located tree, its preservation and health is considered a priority.

Comments 10. While the decision to adopt a private tree into the street tree maintenance contract could be seen as setting a precedent, this is unlikely as few significant and high profile trees exist in the CBD on private land. This proposal provides a holistic and connected approach to amenity enhancement, preserves historic, natural character and environmental values within the built environment and community.

Summary 11. The owner of the oak tree at 5 Main Street has proposed to remove the tree.

12. Staff propose that the tree be adopted into the street tree maintenance contract to ensure the preservation of a significant amenity and feature tree within Blenheim’s CBD. This can be achieved by Council agreeing to maintain the tree as a street tree going forward and be formalised with an MOU.

13. Funding for tree maintenance will be from the street tree operating budget.

RECOMMENDED 1. Council agree that this large attractive oak tree be included in the street tree maintenance contract.

2. Council agree to formalising an MOU with the landowner for Council to provide future maintenance of the tree.

Council – 30 June 2016 Page 63

10. Fabians Valley Cemetery – Appointment of Trustee

(Clr Dawson) (Report prepared by A Quirk) L150-001-F44C

Purpose 1. The purpose of this report is to consider the appointment of a new Trustee to replace a Trustee who is resigning.

Background 2. The Assets and Services Committee back on 12 June 2014 formalised the appointment of Trustees for the Fabians Valley Cemetery Trust.

3. The Council appointed Eric Warmouth, Moston Wadsworth, Brian Powell (Senior), Alex MacDonald and Scott Adams as Trustees. Brian Powell (Senior) has put in a resignation because of ill health.

4. The Trustees recommend the appointment of John Powell as a replacement Trustee, so the maintenance of the Powell family representation is maintained.

Summary 5. That the resignation of Brian Powell (Senior) is noted and approval given for the appointment of John Powell as a Trustee.

RECOMMENDED 1. That Council in accordance with Section 23 of the Burial and Cremations Act revoke the appointment of Brian Powell (Senior) following his resignation through ill health and approve the appointment of John Powell as Trustee of the Fabians Valley Cemetery Trust such appointment to take effect following public notification as required by the Burial and Cremations Act.

2. That appreciation is extended to Brian Powell for his services to the Fabians Valley Cemetery over many years.

Council – 30 June 2016 Page 64

11. Parsons Family Lychgate – Ward Cemetery, Gifting Acceptance Proposal

(Clr Dawson) (Report prepared by Grahame Smail) R510-002-008-02

Purpose 1. The purpose of this report is for the Council to consider gifting acceptance of the Parsons Family lychgate at the Ward Cemetery.

Ward Cemetery Lychgate

Background 2. The lychgate at the entrance to the Ward Cemetery has been cordoned off for the last 3 years due to earthquake damage in 2013 and is awaiting restoration.

3. The lychgate is owned by descendants of the Parsons Family and was built in the early 1920’s.

4. David Parsons (last direct descendant), died in early 2015 and it was his wish to have the lychgate restored. His estate, managed by trustees Peter Radich (Radich Law) and Jock Clouston (nephew) have made provision for restoration.

5. Recently staff had an informal discussion with Jock Clouston re progressing a restoration project and at that time Jock proposed (subject to the trustees being in agreeance), gifting the lychgate to Council.

6. Confirmation has subsequently been received from Radich Law, to the effect that the trustees of David Parson’s estate (representing the extended Parson’s family/descendants), wish to gift the lychgate to Council.

Comments 7. Until recently it was generally thought that the lychgate was owned by the Council.

Council – 30 June 2016 Page 65

8. Its need of restoration has brought to the fore knowledge that it was built and owned by long-time Flaxbourne residents, the Parsons Family.

Ward Lychgate inscription

9. The lychgate is a significant and unique structure within Marlborough that has long been admired by visitors to the Flaxbourne region and travellers on the adjacent state highway.

10. There is minimal risk for Council to accept the lychgate gifting and such is an appropriate and logical action that will allow the structure to be restored and protected as an important heritage feature.

Summary 11. The Parsons Family lychgate has graced the entrance to the Ward Cemetery for nearly one hundred years. It was David Parsons wish for it to be restored and enjoyed by many travelling the highway or visiting the Flaxbourne area. It is a unique structure within Marlborough and its gifting to Council will secure and ensure the restoration and preservation of this important heritage cemetery feature.

RECOMMENDED That Council accept the gift of the Parsons Family lychgate at the Ward Cemetery from the Parsons Family descendants.

Council – 30 June 2016 Page 66

12. Picton i-SITE and Public Convenience Upgrades

(Report prepared by D Heiford) E100-004-03

Purpose 1. The purpose of this report is to provide options for: • Improvements and upgrades to the Picton i-SITE interior; • Improvements to the Picton i-SITE courtyard; and • Additional public conveniences in the vicinity of the Picton i-SITE.

Background 2. The Picton i-SITE (“i-SITE”) operates 364 days a year providing tourist information and bookings.

3. The increase in Cruise Ship visits has exacerbated the issues with the layout and room in the i-SITE, the usefulness and safety issues with the courtyard and the lack of adjacent public conveniences.

4. Council has invested in layout improvements in the past which improved the interior flow and layout. This was for the public area and did not address the back of house issues.

5. The development of the bus stop and the increase of cruise ship passenger visits and numbers have put the whole i-SITE system under pressure; other changes ship side and the delivery of the passengers outside the Picton Museum have also caused issues.

6. The public convenience issue was solved using Portaloos but this was a short term solution which does not give a good impression of visiting Picton. This is also an expensive solution long term.

7. The courtyard in front of the i-SITE has proved problematic with a number of trips and falls with injuries so is a health and safety hazard that needs to be mitigated.

8. Various options have been investigated to solve the cruise passenger issue including a “pop- up” option for cruise ship visits but none of these were viable. The proposed improvements to the i-SITE proved to be the most cost efficient and long term solution when the whole of the i-SITE business was considered.

Picton i-SITE / Toilets Outline 9. The i-SITE location is the best available at the moment. The location near Picton CBD, Picton foreshore, Railway station and Interislander terminal proves popular. The bus stop has a regular passenger service from a number of providers and can be utilised by cruise passengers.

10. Port Marlborough has been reviewing vehicle and passenger access to the Interislander site, including a reconfiguration of the vehicle marshalling yards, to the north of the current i-SITE on Auckland Street. Part of the investigation is the provision for the cruise ship buses to turn in this area and deliver passengers to the i-SITE. This could allow easier management of passengers into their pre booked tour, into the i-SITE for bookings or into Picton through the foreshore.

11. Current cruise passengers waiting at the I-SITE require toilet facilities. The closest (apart from the short term portaloos) are in the base of the Picton Museum. Passengers do not want to go this far when they are waiting for a tour or in line for a chance to get information on Picton and its attractions.

12. Council has been approached by the Mini Putt Golf and Miniature railway to see if toilets could be provided in the vicinity of their operations.

Council – 30 June 2016 Page 67

13. There are a number of items that have been investigated to provide a development project for the i-SITE.

Project Items 14. The i-SITE project would cover the following: • New carpet, staff toilet, kitchenette and lockers. • Relocation and upgrade of visitor security lockers. • Additional heat pump and upgraded hot water cylinder. • New storage shelving for I-SITE resources. • Reconfiguration of existing customer counters for extra booking computers and flexibility for Cruise ship days. • Demolition / walls / doors / gib / electrical / lighting and painting as required. • Consenting if required. • Relaying / raising the courtyard to avoid trips and falls plus make the area more useful for Cruise Ship days. • Other investigation are being undertaken regarding systems to provide shade / cover in the courtyard.

15. The Public Convenience project would cover the following: • Identification of suitable site. • Provision of Exeloo unit(s) depending on location and requirements. • Site works / connections, etc. • Consenting if required.

16. The projects have provisional items to be included and require engineering / construction drawings and project management.

17. Prioritisation of these items will need to be managed as there is a very tight timeframe for the works to be completed prior to the first cruise ship visit on 06 October 2016.

Project Costs and Funding 18. The following are the estimates for the work outlined above; (all estimates GST exclusive): • i-SITE upgrades - $100,000. • Provision of Exeloo - $170,000. • Site Works / Consenting / Project Management - $50,000. • Contingency Sum 10% - $32,000. • Total - $352,000 + GST.

19. These prices are estimates only and would be subject to final construction drawings, engineering requirements, consents and project management costs.

20. To achieve the works within the timelines it is recommended that a selected request for quote process with local construction firms be undertaken. The Exeloo units would need to be ordered immediately as there can be up to 10 weeks for delivery.

21. There is no budget for these works. It is recommended that the works be funded from Council Reserves.

Future Issues 22. The installation of the Exeloo separate from the i-SITE provides flexibility for the future should the i-SITE be relocated. There will be ongoing maintenance costs to be included in future budgets.

Council – 30 June 2016 Page 68

23. The Council reserves team are proposing to undertake a comprehensive review of the provision and location of public conveniences in Picton to take into account this new installation and the requests for extensions to Wellington Street and High Street units.

RECOMMENDED 1. That the upgrade projects as outlined for the Picton i-SITE and Public Conveniences be approved.

2. That funding be approved of $352,000 from Council Reserves subject to final costings.

3. That a selected Request for Quote process with local construction firms be approved.

4. That a suitable Exeloo unit be ordered.

Council – 30 June 2016 Page 69

Council – 30 June 2016 Page 70

13. ASB Theatre Funding

(Mayor) (Report prepared by Mark Wheeler and Martin Fletcher) C600-005-C01-01

Purpose 1. The Marlborough Civic Theatre Trust Board (the Trust) began operating the new ASB Theatre facility in March 2016 (three months ago). This report discusses the Trust’s current financial position and a review of its operating budgets undertaken in order to assess: a) the adequacy of its projected cash flow; and b) options to achieve future financial sustainability.

Background 2. Council consideration of significant challenges with the old Civic Theatre facility began well over a decade ago. In 2006 and 2007 more detailed analysis of options lead to the decision that a new building on a new site was the most sensible option.

3. The Trust undertook a range of design and site investigations with the encouragement of Council and commenced fundraising.

4. In 2011 the second Christchurch earthquake struck. This had a significant effect on the expected capital cost of the proposed facility particularly on foundation design and lateral spread issues due to the site location adjacent to the Taylor River.

5. Tenders were received in 2012 but were well above the estimates provided by the Trust’s quantity surveyors. Negotiations with the preferred contractor lead to the acceptance of an alternative proposal based on a pre-cast concrete solution instead of the predominantly steel framed design that was tendered. The studio theatre and kitchen fit-out were excluded from the contract.

6. Whilst the contract is defined as a “Fixed Lump Sum Contract” such contracts still contain provisions which can escalate the contract price including principal initiated variations to design or scope, provisional sums and unforeseen or contingent matters allocated as principal’s risk.

Variations 7. Variations are now forecast to total $819,046 which is 3.5% of the forecast total project capital cost. Many capital projects include contingency provision much larger than this. All variations are assessed by the engineer to the contract (Tim Smit of TMCo) who then approves or declines the claims. Council staff are satisfied variation claims have been properly handled and have received legal advice confirming that.

Funding 8. The funding of the Theatre development can be summarised as follows: Description $ Pledged $ Received $ Remaining Marlborough District Council 5,000,000 5,000,000 0 Grant Lotteries Grants 1,333,000 1,333,000 0 Theatre Trust Contribution 6,000,000 6,000,000 0 (Property Sale) Public Fund Raising 6,089,895 4,965,550 1,124,345 Ministry Culture and Heritage 1,000,000 0 1,000,000 Total 19,422,895 17,298,550 2,124,345

Council – 30 June 2016 Page 71

9. Note: pledged sponsorship income is to be received over a period of 10 years, accordingly there is a cash flow difference between when income is received and the expenditure payment. It should also be noted that the Trust has funded operational losses for the last 12 months and financing costs associated with the loans secured to meet the capital construction contract commitments.

10. In addition to the funds raised, the Theatre had approximately $900,000 in its bank accounts at the beginning of the project and it has loans (guaranteed by Council) as at 31 May 2016 of: Bank $ Facility $ Drawn $ Remaining ASB 4,600,000 4,406,112 193,888 Rata Foundation 439,021 439,021 0 Total 5,039,021 4,845,133 193,888

Funding of Remaining Contracted Capital 11. The remaining capital associated with the existing contracts totals $825,611, subject to there being no further variations to the contract. The net current accounts as at 31 May of $565,400 include the previous month’s claim owing. The amount owing totals $1,391,011 as at 31 May 2016.

12. The funding of this capital can be met by: • Grant from Ministry for Culture and Heritage $1 million • Remaining bank facility $193,888 • Pledged income to be received prior to expenditure paid $199,104

Capital Requirements to Complete the Theatre 13. The Theatre construction contract was modified to meet funding constraints at the time it was awarded. The key areas outstanding are: • The studio theatre $900,000 (estimated cost) • The Kitchen fit out $365,000 (estimated cost)

14. The Trust has secured funding of $140,000 to be applied to the kitchen (provided it can secure funding required to complete the kitchen). There is a high probability of another $100,000 for the kitchen leaving a balance of $125,000. The Trust is in the process of making application to the Ministry of Culture and Heritage Regional Fund for the studio theatre. Applications to the Regional Fund close on 1 July 2016.

15. The studio theatre provides performing arts functionality for smaller shows with audiences up to 200 people. In addition the studio theatre would provide multi-purpose functionality providing for exhibitions, acoustic music, trade displays, break-out space and gallery space. It is also a complementary area to the auditorium.

16. The kitchen facilities are an essential component to enable the Theatre to maximise its income from events and conventions through increased bookings associated with having catering capabilities on site.

17. Both of these areas are considered essential to provide for a fully functional Theatre enabling it to maximise its income generating capabilities and also enable wider economic benefits from larger conferences/conventions.

Review of Operations 18. In reviewing the ongoing operations of the Theatre the following was reviewed: • Pricing and discounts • Estimated usage of the Theatre

Council – 30 June 2016 Page 72

• Revenue from operations • Operating expenditure • Capital Requirements to complete the Theatre to achieve full functionality

19. The financial statements from the operational model are provided as appendix one.

20. A line by line analysis of each revenue and expenditure item was undertaken by Council’s Chief Financial Officer and resulted in agreed adjustments which improved the forecast position by over $400,000 with expenditure budget reductions of approximately $80,000.

Pricing and Discounts 21. The venue hire pricing of the new Theatre has been developed from comparative pricing information obtained from other regions. The prices have been market tested and are considered sound.

22. A comparison with the previous theatre is provided as follows: Description $ Old Theatre (GST excl.) $ New Theatre (GST excl.) Entire Complex hire 2,000 per day 5,500 per day Auditorium Hire 1,500 2,750 per day Event room hire 830 1,450 per day (Wisheart room) (Riverview room) Studio Theatre n.a. 1,150 per day

23. In addition to venue hire the Theatre has developed comprehensive charges for services and cost recovery associated with Theatre use.

24. The Theatre has had a long standing policy of providing discounts for local productions, such as school plays, of 50% of the pricing charged to touring groups. This ensures that the Theatre is utilised and supports the strong local performing arts community. This is an essential part of the viability of the Theatre and the performing arts community.

Expected Usage of the Theatre 25. The targeted use of the Theatre used in the development of the operational model is as follows: Venue Hire Target Days Hire % of Local $ Expected Venue (per annum) Discounted Use Income after allowing for local use discount (per annum) Main Auditorium 200 55% 400,000 Riverview Room 75 10% 105,000 Studio Theatre 100 55% 83,375 Foyer 50 55% 27,000 Kitchen 40 10% Catering commission

26. Based on bookings for the Theatre to date these targets are expected to be achieved and in some cases exceeded. A comparison of actual bookings with targeted bookings is as follows: Venue Hire Target Days Hire Actual Bookings (per annum) for 2016/17 as at 30 May 2016 Main Auditorium 200 196 Riverview Room 75 32 Studio Theatre 100 4 Foyer 50 79 Kitchen 40 28

Council – 30 June 2016 Page 73

27. The studio theatre and the kitchen are clearly affected by the fact that these facilities are currently unavailable. The catering capabilities have an effect on the bookings associated with the Riverview room. The construction delays have impacted on the ability to advertise the availability of the venue for functions and events which once completed will see the Riverview Room bookings increase. It is also probable that the foyer has attracted bookings that would normally occur for the Riverview Room.

28. To date in 3 months there have been 17,000 audience attendances compared to the 15,000 that attended the old theatre for the 2015 year. In addition there have been an estimated 5,000 performers and back stage crew that have appeared at the theatre.

29. In the operational model developed the studio theatre and kitchen income is forecast to commence in the later part of the financial year providing for fund raising to be secured and construction completed.

Revenue from Operations 30. The projected annual income and gross profit from operations for the 2016/17 financial year can be summarised (compared to 2014/15 Theatre financials) as follows, based on having a fully functional theatre, i.e. post the completion of the studio theatre and the kitchen: Activity 2014/15 2016/17 ($ Actual) ($ Projected) Income Live Performance 415,318 Meetings and Conferences 343,283 Civic Theatre Productions 210,330 Sub Total 245,190 968,931 Marlborough Light and Sound 134,777 145,500 Ticketing 87,463 163,600 Beverage and Other 63,941 144,665 Sponsorship 105,000 Council Operating Grant 200,000 Total Income 531,371 1,727,696 Less Cost of Sales 178,163 522,981 Gross Profit 353,208 1,204,715

31. Discounts provided to local productions are included in the cost of sales. These total $147,779 for the 2016/17 year compared to $84,685 in 2014/15 financial year.

32. Income is based on expected usage outlined in paragraph 21 with the exception that target usage for the kitchen and the studio theatre is a portion of the financial year with income expected to commence from February 2017. This assumes a successful funding application to Ministry for Culture and Heritage and remaining funding being sourced to complete the kitchen.

33. Ultimately it won’t be until 2017/18, possibly 2018/19 financial year before normal income patterns are known with a relatively high level of certainty. This includes the effectiveness of the newly established Conventions Co-ordinator position approved by Council.

34. Pledge income of $101,500 has been excluded from the above as this is not a sustainable revenue source.

Operating Costs 35. By way of background the floor area of the new theatre is approximately 4,500 sqm, almost three times that of the old theatre in physical terms. The operating costs for the new Theatre are provided as follows in comparison with the 2014 / 15 financial year:

Council – 30 June 2016 Page 74

Expenditure $ 2014/15 $ 2016/17 Advertising and Marketing 68,151 97,060 Operating Expenses 258,109 484,937 Personnel Costs 330,959 663,482 Depreciation 23,440 150,000 Total 680,659 1,395,479 Note these expenses do not include provision for financing costs associated with loans.

36. The main areas of variance in expenditure are: • Increased budget for promoting and advertising the new Theatre to attract increased use in particular from national touring shows and events. • Operating expenses increased as a result of: i. Rates and insurance for the new complex (an increase of $62,000). ii. Leasing of specialist equipment to meet functional requirements (an increase of $53,000). Much of this cost is recoverable from the theatre and a budget provision has been has been included in revenue. iii. Repairs and Maintenance (an increase of $47,000). iv. Consumables and operating expenses, cleaning, power and consumables (an increase of $50,000). • Personnel Costs i. Increased staffing requirements to meet occupational, health and safety requirements and the needs of the Theatre users. ii. Full Time Equivalent staff have increased from 6 FTE’s to 10 FTE’s. Additional staffing positions included in the forecast expenditure are: . Two Technical and Stage Production Theatre Staff. . One event marketing staff member and one event coordination staff member. . Casual Staff an increase of $98,000 to provide services associated with theatre usage. These staff costs are recovered from the hirer of the facility or from bar sales. • Depreciation . This is currently a provisional amount. The final amount will not be known until the building is complete and full apportionment can be completed, between the building, theatrical services and furniture and fittings. It is not proposed to provide for building depreciation because of its potential 100 year life. Ultimately an asset management plan will need to be developed and costed to provide an assessment of the requirements for capital placement funding. • Similar to Income, ultimately it won’t be until 2017/18, possibly 2018/19 financial year before normal expenditure patterns are known with a relatively high level of certainty.

Projected Annual Operating Surplus Deficit 37. The projected annual surplus (deficit) on operations before any allowance annual Council funding and financing costs associated with loans is as follows: Projected Gross Profit $1,204,715 (refer paragraph 31) Projected Operating Costs $1,395,479 (refer paragraph 35)

Surplus (Deficit) on Operations ($190,764)

38. Currently the Council have approved an annual grant of $200,000 per annum. To offset the projected shortfall an increase in the grant of $190,764 per annum is required.

Council – 30 June 2016 Page 75

Financing Costs 39. The Council have provided a guarantee to the Theatre in relation to loans to ASB of $4.6 million and Rata Foundation $439,021 (balance remaining as at 31 May 2016).

40. Interest on these loans equals $219,465 (assuming interest rate of 4.5% per annum). Principle repayment of Rata loan is $51,608 per annum, no principal repayment is required for the ASB loans at present.

41. The Council have been advised previously that the Theatre Trust currently has no ability to meet the repayment of ASB loan finance due in 2019 and 2020. At present it is meeting the interest cost of all loans and the principal repayment of the Rata Foundation loan from pledge income.

42. For the donors it is considered a better use of its pledge income is to provide for ongoing capital requirements.

Operational Model 43. An operational model and cash flow has been developed for the Trust through to 30 June 2017 which includes the following: • Income and expenditure from operations. • Pledged income. • Grant income of $200,000 from Council. • Grant income from Ministry for Culture and Heritage of $1 million to assist meeting obligations of existing construction contract. • Grant income of $900,000 from the Ministry for Culture and Heritage regional fund for the cost of the Studio Theatre – application due 1 July 2016. (There is no certainty this will application will be approved.) • Grant income for kitchen of $140,000 secured by the Theatre Trust. • Capital expenditure to complete studio theatre and kitchen $1.265 million. • Annual Capital expenditure of $150,000 per annum to maintain the Theatre equipment, furniture and fittings. • Interest and principle repayment obligations for loans from 1 July 2016.

44. In order to understand the modelling results the following scenarios have been provided: • Option One - Status Quo continuing. • Option Two with loans repaid by Council from 1 July 2016 • Option Three – loans repaid by Council, Kitchen and Studio Theatre – capital and funding incorporated and Council annual grant increased from $200,000 to $400,000.

45. The results of the various scenarios are as follows:

Option One – Status Quo 46. In this option the Trust: • Has a cash deficit by 30 June 2017 of $278,677. • The Studio Theatre is not completed. • The Kitchen is not completed. • The loan principal of $5 million remains outstanding. • The Trust would need to call on Council’s guarantee to meet the financing obligations.

Council – 30 June 2016 Page 76

Option Two – Remove Loan Finance Obligations 47. In this option Council grants to the Trust funds ($5.050 million) to repay ASB and Rata Foundation Loans from 1 July 2016.

48. The Trust: • Would likely survive to the end of the financial year 30 June 2017 with a minimal cash ($10,896) balance after starting the year with $144,215 balance. It is anticipated that this negative trend will continue. • The studio theatre and kitchen would not be completed limiting the income generating potential of the complex.

Option 3 – Loans Repaid, Kitchen and Studio Theatre Incorporated and Council grant Increased 49. In this option: • Council grants to the Theatre Trust funds ($5.050 million) to repay ASB and Rata Foundation Loans from 1 July 2016. • The funding application for the Studio Theatre is approved by MCH Regional fund ($900,000) and the Kitchen grant funding of $140,000 is applied to complete the kitchen areas of the theatre. The balance of funding to be provided by additional and existing pledged income. Capital incorporated of $900,000 for studio theatre and $365,000 for kitchen. • Council annual grant funding increased from $200,000 to $390,000.

50. This scenario sees the Theatre completed to a point of safe harbour and provides funding for its operational requirements. The additional funding for 2016-17 would come from Reserves and in subsequent rates.

Conclusion 51. The conclusion from the modelling undertaken is that Option 3 provides an ongoing sustainable solution to the completion and ongoing operation of the Marlborough Theatre to realise its full potential.

Theatre Trust Debt Repayment 52. Should Council agree that Option 3 is the preferred option, there are at least three options for sourcing the funds necessary for the Trust to repay its $5.1M of debt. a) Reserves There are insufficient funds in the Forestry and Land Development Reserve at the end of the 10 year budget period to fund the entire $5.1M. b) Old Civic Theatre and Reserves Under this option, the old Civic Theatre Building would be sold. It is expected that the sale would realise $3.5M above what it has cost Council. Of this profit, $1M has been earmarked for the new Blenheim Library development. As a result, the remaining profit could be used for debt repayment, with the balance coming from Reserves. c) MDC Holdings Ltd/Port Marlborough NZ Ltd Special Dividends Port Marlborough has previously declared two Special Dividends. Both dividends were $10M in value. Staff are obtaining advice from Price Waterhouse Coopers on how best to structure this transaction as benefits for Council may arise.

53. Option “c” is preferred, but needs to be carefully structured. Should the anticipated benefits of Option “c” not be fully realised then a mix a mix of Options “c” and “b” may prove to be more appropriate.

Council – 30 June 2016 Page 77

54. Providing funds to enable the Trust repay its debt should not impact Council’s credit rating as Standard Poors are already fully aware of Council’s guarantees.

RECOMMENDATIONS: It is recommended that Council: a) Note the contents of this report including that the ASB Theatre is not financially viable in the long term under current funding arrangements and the Council guarantees to ASB and Rata may be called upon; b) Note that Option 3 provides the Theatre Trust with the greater opportunity for financial sustainability and realisation of community and economic benefits; c) Agree to increase Council’s current operating grant from $200,000 to $390,000 per annum; d) Agree that for 2016-17 that the increased funding should come from Reserves and that the funding for subsequent years be from Rates; e) Request the Theatre Trust to report on the results of its activities, including financial trends on a 6 monthly basis; f) Request the Chief Executive to undertake a further review of the Theatre Trust’s finances in June 2017 to determine whether or not the $390,000 operating grant remains appropriate; g) Agree in principle to provide sufficient funds to the Theatre Trust to enable it to repay the debt it has to the ASB and the Rata Foundation from either reserves or a subsidiary company dividend; h) Request the Chief Executive to provide advice on the best means of achieving “g” above. i) Request the Trust to allow the CFO to attend Trust meetings and obtain financial and operating information and report as required to Council.

Council – 30 June 2016 Page 78

Option One – Status Quo

Marlborough Civic Theatre Cashflow Forecast through to 30 June 2017 - Option 1 2016 2017 Feb Mar Apr (actual) (actual) (actual) May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Operations Operating Grant MDC 0 0 0 0 0 200,000 0 0 0 0 0 0 0 0 0 0 0 Operating Income 50,220 127,384 92,262 215,598 95,585 104,503 125,840 99,717 192,111 86,586 101,007 38,731 98,976 78,296 148,501 196,111 102,816 Cost of Sales 32,799 59,123 51,630 87,524 52,782 30,909 39,277 24,044 86,829 22,285 24,438 13,154 45,839 25,134 54,021 75,449 23,739 Operating costs 105,524 118,254 90,607 110,709 84,309 172,073 100,890 94,410 99,254 77,460 82,196 124,855 112,350 90,290 97,034 94,810 99,861 Net Cashflow on Operations -88,103 -49,993 -49,974 17,365 -41,507 101,522 -14,327 -18,737 6,029 -13,159 -5,626 -99,277 -59,212 -37,127 -2,553 25,852 -20,784

Financing of Capital Project Pledges and Grants from Fund Raising 80,529 167,181 72,679 71,055 29,781 1,007,500 3,500 15,500 16,000 13,000 111,000 7,000 9,000 1,000 3,000 12,000 8,000 Interest (ASB Loan and CCT) 9,949 10,908 12,632 15,727 16,500 18,333 18,358 18,347 18,301 18,325 18,280 18,303 18,292 18,182 18,270 18,227 18,248 Principal Repayment CCT 4,260 4,197 4,244 4,244 4,218 4,265 4,240 4,251 4,297 4,273 4,318 4,294 4,305 4,416 4,228 4,371 4,350 Principal Drawdown ASB 450,000 0 1,646,112 0 193888 Net Cashflow from Financing 516,320 152,076 1,701,915 51,084 202,951 984,902 -19,098 -7,098 -6,598 -9,598 88,402 -15,598 -13,598 -21,598 -19,498 -10,598 -14,598

Capital Expenditure Construction Contract 791,372 925,699 409,627 518,738 625,612 0 0 0 0 100,000 0 0 0 0 0 0 100,000 Other capital (coded to contract) 20,922 261,025 -44,951 Other Capital 36,017 13,841 25,924 23882 12500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 Net cashflow from capital Expenditure 848,310 1,200,565 390,600 542,620 638,112 12,500 12,500 12,500 12,500 112,500 12,500 12,500 12,500 12,500 12,500 12,500 112,500

Net Movement in Cashflows -420,093 -1,098,482 1,261,340 -474,171 -476,668 1,073,924 -45,925 -38,335 -13,069 -135,256 70,276 -127,375 -85,310 -71,225 -34,551 2,755 -147,881

Plus Opening Bank Balance (net of current Accounts) 650,899 596,647 241,958 305,362 144,215 347,219 301,294 262,960 249,891 114,635 184,911 57,535 -27,775 -98,999 -133,550 -130,796 Accounts Receivable Opening 345,697 313,880 418,236 209,812 299,812 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 Accounts Receivable Closing 313,880 418,236 209,812 299,812 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 Accounts Payable opening 945,320 1,957,734 446,060 775,211 1,180,732 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 Accounts PayableClosing ` 1,957,734 446,060 775,211 1,180,732 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 GST Closing Bank Balance (net of current accounts) 650,899 596,647 241,958 305,362 144,215 347,219 301,294 262,960 249,891 114,635 184,911 57,535 -27,775 -98,999 -133,550 -130,796 -278,677

Council – 30 June 2016 Page 79

Option Two – Loans Repaid by Council

Marlborough Civic Theatre Cashflow Forecast through to 30 June 2017 - Option 2 2016 2017 Feb Mar Apr (actual) (actual) (actual) May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Operations Operating Grant MDC 0 0 0 0 0 200,000 0 0 0 0 0 0 0 0 0 0 0 Operating Income 50,220 127,384 92,262 215,598 95,585 104,503 125,840 99,717 192,111 86,586 101,007 38,731 98,976 78,296 148,501 196,111 102,816 Cost of Sales 32,799 59,123 51,630 87,524 52,782 30,909 39,277 24,044 86,829 22,285 24,438 13,154 42,339 21,134 50,521 71,449 20,239 Operating costs 105,524 118,254 90,607 110,709 84,309 172,073 100,890 94,410 99,254 77,460 82,196 124,855 112,350 90,290 97,034 94,810 99,861 Net Cashflow on Operations -88,103 -49,993 -49,974 17,365 -41,507 101,522 -14,327 -18,737 6,029 -13,159 -5,626 -99,277 -55,712 -33,127 947 29,852 -17,284

Financing of Capital Project Pledges and Grants from Fund Raising 80,529 167,181 72,679 71,055 29,781 1,007,500 3,500 15,500 16,000 13,000 111,000 7,000 9,000 1,000 3,000 12,000 8,000 Interest (ASB Loan and CCT) 9,949 10,908 12,632 15,727 16,500 0 0 0 0 0 0 0 0 0 0 0 0 Principal Repayment CCT 4,260 4,197 4,244 4,244 4,218 0 0 0 0 0 0 0 0 0 0 0 0 Principal Drawdown ASB 450,000 0 1,646,112 0 193888 Net Cashflow from Financing 516,320 152,076 1,701,915 51,084 202,951 1,007,500 3,500 15,500 16,000 13,000 111,000 7,000 9,000 1,000 3,000 12,000 8,000

Capital Expenditure Construction Contract 791,372 925,699 409,627 518,738 625,612 0 0 0 0 100,000 0 0 0 0 0 0 100,000 Other capital (coded to contract) 20,922 261,025 -44,951 Other Capital 36,017 13,841 25,924 23882 12500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 Net cashflow from capital Expenditure 848,310 1,200,565 390,600 542,620 638,112 12,500 12,500 12,500 12,500 112,500 12,500 12,500 12,500 12,500 12,500 12,500 112,500

Net Movement in Cashflows -420,093 -1,098,482 1,261,340 -474,171 -476,668 1,096,522 -23,327 -15,737 9,529 -112,659 92,874 -104,777 -59,212 -44,627 -8,553 29,352 -121,784

Plus Opening Bank Balance (net of current Accounts) 650,899 596,647 241,958 305,362 144,215 369,817 346,490 330,753 340,282 227,623 320,497 215,720 156,507 111,880 103,327 132,679 Accounts Receivable Opening 345,697 313,880 418,236 209,812 299,812 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 Accounts Receivable Closing 313,880 418,236 209,812 299,812 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 Accounts Payable opening 945,320 1,957,734 446,060 775,211 1,180,732 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 Accounts PayableClosing ` 1,957,734 446,060 775,211 1,180,732 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 GST Closing Bank Balance (net of current accounts) 650,899 596,647 241,958 305,362 144,215 369,817 346,490 330,753 340,282 227,623 320,497 215,720 156,507 111,880 103,327 132,679 10,896

Council – 30 June 2016 Page 80

Option Three – Increased Grant funding, no financial loans, studio theatre and kitchen completed

Marlborough Civic Theatre Cashflow Forecast through to 30 June 2017 - Option 3 2016 2017 Feb Mar Apr (actual) (actual) (actual) May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Operations Operating Grant MDC 0 0 0 0 0 200,000 0 0 0 0 0 190,000 0 0 0 0 0 Operating Income 50,220 127,384 92,262 215,598 95,585 104,503 125,840 99,717 192,111 86,586 101,007 38,731 108,476 88,796 158,001 206,611 112,316 Cost of Sales 32,799 59,123 51,630 87,524 52,782 30,909 39,277 24,044 86,829 22,285 24,438 13,154 45,839 25,134 54,021 75,449 23,739 Operating costs 105,524 118,254 90,607 110,709 84,309 172,073 100,890 94,410 99,254 77,460 82,196 124,855 112,350 90,290 97,034 94,810 99,861 Net Cashflow on Operations -88,103 -49,993 -49,974 17,365 -41,507 101,522 -14,327 -18,737 6,029 -13,159 -5,626 90,723 -49,712 -26,627 6,947 36,352 -11,284

Financing of Capital Project Pledges and Grants from Fund Raising 80,529 167,181 72,679 71,055 29,781 1,027,500 23,500 35,500 1,076,000 33,000 111,000 7,000 9,000 1,000 3,000 12,000 8,000 Interest (ASB Loan and CCT) 9,949 10,908 12,632 15,727 16,500 0 0 0 0 0 0 0 0 0 0 0 0 Principal Repayment CCT 4,260 4,197 4,244 4,244 4,218 0 0 0 0 0 0 0 0 0 0 0 0 Principal Drawdown ASB 450,000 0 1,646,112 0 193888 Net Cashflow from Financing 516,320 152,076 1,701,915 51,084 202,951 1,027,500 23,500 35,500 1,076,000 33,000 111,000 7,000 9,000 1,000 3,000 12,000 8,000

Capital Expenditure Construction Contract 791,372 925,699 409,627 518,738 625,612 0 0 0 0 100,000 0 0 0 0 0 0 100,000 Other capital (coded to contract) 20,922 261,025 -44,951 Other Capital 36,017 13,841 25,924 23882 12500 12,500 12,500 12,500 1,277,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 Net cashflow from capital Expenditure 848,310 1,200,565 390,600 542,620 638,112 12,500 12,500 12,500 1,277,500 112,500 12,500 12,500 12,500 12,500 12,500 12,500 112,500

Net Movement in Cashflows -420,093 -1,098,482 1,261,340 -474,171 -476,668 1,116,522 -3,327 4,263 -195,471 -92,659 92,874 85,223 -53,212 -38,127 -2,553 35,852 -115,784

Plus Opening Bank Balance (net of current Accounts) 650,899 596,647 241,958 305,362 144,215 389,817 386,490 390,753 195,282 102,623 195,497 280,720 227,507 189,380 186,827 222,679 Accounts Receivable Opening 345,697 313,880 418,236 209,812 299,812 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 Accounts Receivable Closing 313,880 418,236 209,812 299,812 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 Accounts Payable opening 945,320 1,957,734 446,060 775,211 1,180,732 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 Accounts PayableClosing ` 1,957,734 446,060 775,211 1,180,732 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 GST Closing Bank Balance (net of current accounts) 650,899 596,647 241,958 305,362 144,215 389,817 386,490 390,753 195,282 102,623 195,497 280,720 227,507 189,380 186,827 222,679 106,896

Council – 30 June 2016 Page 81

14. Decision to Conduct Business with the Public Excluded

That the public be excluded from the following parts of the proceedings of this meeting, namely: - Confirmation of Public Excluded Minutes - Marlborough Award - Property Issue 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) of the Local Government Official Information and Meetings Act 1987 for the passing of this resolution are as follows: General subject of each Reason for passing this Ground(s) under Section48(1) for matter to be considered resolution in relation to each the passing of this resolution matter Minutes and Committee As set out in the Minutes That the public conduct of the Reports and Reports relevant part of the proceedings of the meeting would be likely to result in the disclosure of information for which good reason for withholding exists under Section 7 of the Local Government Official Information and Meetings Act 1987. Marlborough Award In order to protect the That the public conduct of the privacy of natural persons, relevant part of the proceedings of as provided for under the meeting would be likely to result Section 7(2)(a). in the disclosure of information for which good reason for withholding exists under Section 7 of the Local Government Official Information and Meetings Act 1987. Property Issue To enable the Council, as That the public conduct of the holder of the information, to relevant part of the proceedings of carry on, without prejudice the meeting would be likely to result or disadvantage, in the disclosure of information for negotiations (including which good reason for withholding commercial and industrial exists under Section 7 of the Local negotiations) as provided for Government Official Information under Section 7(2)(i). and Meetings Act 1987.

Council – 30 June 2016