Pūrongo ā tau 2019 Annual Report 2019 Contents Ihirangi Section one: Overview Wāhanga tuatahi: Tirohanga whānui 4 Chairman and CEO's foreword Ngā karere mai i te Heamana, Tumuaki 4 Your regional councillors Ō koutou Kaikaunihera 5 Governance structure 6 Council committees and advisors 7 Council's strategic direction 9 Our year in review 10 Māori participation in council processes 13 Compliance statement 15 Audit report 16 Section two: Council activities Wāhana tuarua: Nga mahi a te kaunihera 22 Overview of our activities 22 Governance and engagement Ratonga whakahaere whakauru 23 Regulatory services Ratonga a ture 29 Environmental services Ratonga i te taiao 36 River management Ratonga whakahaere a awa 43 Customer services and community resilience Ratonga manawaroa a hapori 46 Corporate excellence Ratonga rangapū 53 Financial prudence 56 Section three: Financial statements Wāhanga tuatoru: Tauākī pūtea 60 Statement of comprehensive revenue and expense 60 Statement of changes in equity 62 Statement of financial position 63 Statement of cash flows 66 Reconciliation of net surplus after tax to the cash flows from operations 67 Statement of accounting policies 68 Notes to the financial statements 71 Contents Ihirangi 1 Section four: Legislative disclosures Wāhanga tuawha: Ngā Whakāturanga a Ture 124 Council funding impact statement 125 Section five: CCO's and Subsidiaries Wāhanga tuarima: CCOs me nga Kamupene 128 Group structure 128 Marsden Maritime Holdings Limited 129 Northland Inc. Limited 131 Regional Software Holdings Limited 135 Annual Report 2019 2 Section one: Overview Wāhanga tuatahi: Tirohanga whānui Chairman and CEO's foreword Ngā karere mai i te Heamana, Tumuaki Many milestones have been reached in the last year landowners identify and kill some of our worst weeds (July 2018 to June 2019) and it’s with pride that we and are a popular means of helping people tackle reflect on these achievements in this year’s Annual problem plants in and around their gardens. Report, the first to report our progress against the activities set out in our Long Term Plan 2018-2028. Our precious and unique dune lakes are receiving special attention to halt decline and improve water Within the following pages, you’ll see the progress quality due to pressures including stock access, we’ve made toward meeting the performance targets nutrient and sediment-laden runoff. Community we set last year while keeping to our budgeted rates involvement is vital to this $1.56 million, five-year revenue. project to remove pest fish, eradicate aquatic weeds and show people what they can do to help the lakes Whether it’s planting programmes, flood protection recover. Four dune lakes education events last year works, pest control initiatives, or fencing off our attracted about 250 people who planted more than waterways, it's by listening to and working together 3000 trees. withourcommunitiesthatwehaveachievedourbest results. The $400,000 Otuihau-Whangārei Falls project is now entering its final year of funding for riparian fencing In the last year, we’ve made steady progress toward and planting, stock troughs where needed to enable achieving our three major priorities of improving water fencing, and signs to educate the community about quality, protecting our native species and increasing the values of water in the Hatēa catchment. flood protection to improve the resilience of our vulnerable communities. These are big goals All over our region, thousands of people are working requiring bold actions and around half of our annual voluntarily for the betterment of our environment. It budget is spent on these works. was our privilege to recognise the work of some of these individuals and groups at our inaugural Examples include the three-year, $15 million Awanui Environmental Awards in June. flood scheme, designed to protect urban Kaitāia in a ‘once in a century’ type flood and a 1:20 year event in As we head into a new three-yearly election cycle, it’s surrounding rural areas. It’s progressing apace with timely to acknowledge the work of these volunteers, the successful completion of two essential scheme the dedication of our staff, and the leadership of our components–anewemergencyslipwayoppositethe councillors who have fully supported our work to build Bell’s Hill slip site, and the completion of repairs to an a thriving Northland. undermined stopbank behind the Te Ahu centre. Thank you all for joining us in our mission to create a Community Pest Control programmes (CPCAs) are healthy environment, a strong economy and resilient flourishing throughout the region with 120,286 ha now communities – it’s only by working together to achieve under community pest control in 68 CPCAs. Some common goals that we can be confident of success. quite phenomenal results are being achieved by trappers whose tally of possums, stoats, weasels and Our Northland - together we thrive other pests continues to rise. Close to 300,000 pests were killed by 122 community groups in "Kiwi Coast" in the last five years, providing a great example of what Northland communities are achieving. Great results are being achieved by community weed busters who tackle unwanted vegetation like privet, tradiscantia and wild ginger with advice and assistance from our award-winning biosecurity team. Bill Shepherd Malcolm Nicolson Our ‘wise up to weeds’ free workshops help Chairman Chief Executive Officer Annual Report 2019 4 Your regional councillors Ō koutou Kaikaunihera Section one: Overview Wāhanga tuatahi: Tirohanga whānui 5 Governance structure Annual Report 2019 6 Council committees and advisors Council Working Parties Regional council representation on statutory committees and boards Te Taitokerau Māori and Council (TTMAC) Working Party – comprises up to 30 members in total Regional Transport Committee consisting of five elected members (Councillors Dimery, Shepherd, Finlayson, Smart and Yeoman), Councillors Bain (Chair), Dimery (Deputy Chair) and 25 non-elected members from iwi and hapū. (alternative Councillor Yeoman) The working party is co-chaired by Councillor Dimery and Pita Tipene (Ngāti Hine). This committee brings together Northland's four Audit and Finance Working Party – comprises councils and the New Zealand Transport Agency, and Councillors Sinclair (Chair), Shepherd, Yeoman and oversees strategic transport planning and passenger Independent Financial Advisor Copstick. transport functions for the Northland region. Natural Resources Working Party – comprises CivilDefenceEmergencyManagementGroup Councillors Blaikie (Chair), Yeoman, Sinclair, Joint Committee Stolwerk and Shepherd (ex officio), and a non elected member appointed from the TTMAC Councillor Stolwerk (alternative Councillor Dimery) Working Party. Pest Management Working Party – comprises This joint committee brings together Northland’s four Councillors Finlayson (Chair), Blaikie, Stolwerk, councils (with Fire and Emergency and NZ Police in Dimery and Shepherd (ex officio), and a non elected an observer capacity) and sets the strategic direction member appointed from the TTMAC Working Party. for the CDEM Group. Planning Working Party – comprises Councillors Yeoman (Chair), Bain, Dimery, Smart and Shepherd Te Oneroa-a-Tōhē Board (ex officio), and a non elected member appointed Regional council membership: Councillors Finlayson from the TTMAC Working Party. and Dimery. Risk and Health and Safety Working Party – comprises Councillors Dimery (Chair), Shepherd, This Board is a statutory body as a result of Treaty Yeoman and Stolwerk. Settlement. The Board is deemed to be a joint committee of Northland Regional Council and Far Councillor portfolios and memberships North District Council (FNDC). The Board is a permanent committee. The Board consists of eight Awanui River Liaison Working Group – Councillor members as follows: one member appointed from Finlayson (Chair) each of the four Te Hiku iwi (settlement entities), two Doubtless Bay Catchment Working Group – members appointed by regional council (being Councillor Finlayson (Chair) councillors holding office), and two members Hearings Panel for proposed Regional Plan – appointed by FNDC (being the mayor and a councillor Councillor Yeoman holding office). Inter-council working party on genetically modified organisms risk evaluation and management – Council Subcommittees Councillors Finlayson and Dimery Investment Subcommittee Kaihū River Liaison Working Group – Councillor Bain (Chair) Councillors Bain (Chair), Smart and Shepherd Kaipara Moana Working Party – Councillors Smart (ex-officio) (alternative Councillor Stolwerk), and and Blaikie Independent Financial Advisor Copstick. Kaeo-Whangaroa River Liaison Working Group – Property Subcommittee Councillor Blaikie (Chair) Kawakawa Hundertwasser Park Centre Project Councillors Smart (Chair), Sinclair, Bain and Shepherd Partnership Group - Councillor Blaikie (ex-officio) (alternative Councillor Stolwerk). Kerikeri-Waipapa River Liaison Working Group – Councillor Yeoman (Chair) Mangere Catchment Working Group – Councillor Yeoman Section one: Overview Wāhanga tuatahi: Tirohanga whānui 7 New Zealand Refinery Liaison Committee – Advisors Councillor Stolwerk Ngunguru Catchment Working Group – Councillor Auditors: Dimery (Chair) Deloitte Limited on behalf of the Auditor-General Northland Chamber of Commerce council representative – Councillor Dimery Bankers: Northland Conservation Board – Councillor Stolwerk Northland Sports Facilities Plan (Sport Northland) ASB Bank – Councillor Dimery ANZ Bank Poutō Catchment Working Group – Councillor