TASMAN DISTRICT COUNCIL

While it's hard to do justice to everything that's been accomplished over the year, we've highlighted some of the bigger projects and what's new and different over the next few pages. We will review the development contribution policy prior to the development of the next long-term plan.

New Recycling Centre offers region wide benefits

Sharing a regional landfill with Nelson

Protecting our environment Wetland mapping

Planning ahead Waimea Community Dam

Brightwater and Wakefield strategic reviews

Proposed Plan Change 59: Residential Zone Coverage

Proposed Plan Change 60: Rural Subdivision and Land Use

Sentinel’ launched at Port Motueka

Abel Tasman Foreshore Scenic Reserve Management Plan partially reviewed

Responding to natural hazards Nelson Tasman Civil Defence rated best

Co-ordinated response to flood disruption and coastal damage

Enabling our communities

People-powered digital enablement for Tasman

Children got their hands dirty for Arbor Day

Children gain safe biking skills with Ride On

Locals honoured at Outstanding Community Service Awards

Tasman Youth Council: ‘Take Back Thorps Bush’ project

Supporting community events Positive Ageing Expo

Family fun at Choice Children’s Day

Lifelong learning

Developing and maintaining strong partnerships with others Continued funding to sustain regional development

The Battle for the Banded Rail group has carried out a number of plantings in reserves around Waimea Inlet.

Seeking improvements to our commercial activity performance Thousands enjoy Mapua Wharf

Increasing our commercial income

12 Funding boost for community groups

Ratepayers’ views of our performance

It should be noted that although we did not achieve some of our targets, we have deliberately set these at a high level to ensure that we continue to improve our performance. Some of these goals are set as 'stretch targets' that we must aim for in the future.

Figure 1: Performance measure target achievement for Council activities 2015/2016

Reporting against our Financial Strategy

To help manage rates that are affordable, we include a limit in our rate revenue financial strategy. For the 2012-2022 Long-Term Plan, this limit was set at $52 million for general rates and $53 million for targeted rates per year over the life of the Long-Term Plan.

Table 1: Rates Revenue

Key Financial Information Financial Performance Summary

The definitions in our financial strategy differ from the definitions applied to the financial regulation benchmarks reported in our annual reports.

Revenue and Savings

ANNUAL 2013/2014 2014/2015 2015/2016 PLAN

18 Expenditure

It is a multi-stage project planned to be completed over several years. If there are no further delays, the project is expected to be completed by December 2016.

Figure 7. Capital Expenditure by Activity

21 Tasman District Council Mission Statement: To enhance community wellbeing and quality of life

Community Outcomes

Our unique natural environment is healthy and protected

Our urban and rural environments are people-friendly, well planned and sustainably managed

Our communities are healthy, safe, inclusive and resilient

Our communities have opportunities to celebrate and explore their heritage, identity and creativity

Our communities have access to a range of social, educational and recreational facilities and activities

Our Council provides leadership and fosters partnerships, a regional perspective, and community engagement

The role of the Annual Report and Financial Statements

How the Annual Report fits into Council’s overall planning framework

1 The Council and management of the Tasman District Council confirm that all the statutory requirements of the Local Government Act 2002 in relation to the Annual Report have been met. 2 The Council and management of Tasman District Council accept responsibility for the preparation of the annual financial statements and the judgment used therein.

Independent Auditor’s Report

31 Statements of objectives and service performance

The FIS has been prepared in accordance with the Local Government (Financial Reporting and Due Diligence) Regulations 2014. This statement is based on cash transactions prepared on an accrual basis and as such does not include non-cash/accounting transactions included in the Comprehensive Income and Expenditure Statement as required under GAAP.

Policy and Objective

Nature and Scope

ENVIRONMENTAL MANAGEMENT

Our Goal

Achieving a robust and cost-effective approach to environmental monitoring and resource surveys that will provide a good understanding of the district's resources and ability to assess environmental trends and manage environmental risks. Improving the use, development and protection of the district's resources and minimizing damage to the environment by minimizing inappropriate practices or the incidence of pests and other threats to the quality of the environment in which we enjoy.

35 How this activity contributes to the Council’s Community Outcomes

However, this occurred early in the winter, with only one exceedance from the 2015 winter occurring after July 1, 2015. Staff implemented the next round of the 'Measuring and Reporting of Water Surveys' (the 10–20 l/s take).

Figure 13. Comparison of number of performance measures met over three years

45 PUBLIC HEALTH AND SAFETY

What We Do

46 How this activity contributes to the Council’s Community Outcomes

Due to the large number of registered food establishments in the region (414), we were able to inspect only 69% of them during the period up to 30 June 2016. The achievement of many targets has remained relatively constant, except that the number of unmet targets has increased in 2015/2016.

Major Activities

Ensure fire risk in the district is effectively managed by supporting rural fire parties and the Waimea Rural Fire Authority. This organization will be an amalgamation of the NZ Fire Service and the NZ Rural Fire Authority.

55 TRANSPORTATION, ROADS AND FOOTPATHS

Why We Do It

Subsidised and non-subsidised transport activities

Value for money Our transport network is maintained cost-effectively and all costs are optimised. The quality of travel and the aesthetics of our transport network are managed at a level that matches the importance of the road and meets community expectations.

Figure 20 [LTP Figure 13]. All Crash Types, 2011-2015 Tasman District Council roads only, fatal and Serious crashes, page X

63 COASTAL STRUCTURES

The number of performance targets has been reduced from two in the previous Long-term Plan 2012-2022 to one in the current Long-term Plan 2015-2025 for the coastal activity group. A full list of projects and programs for when the work is scheduled to be completed is included in Appendix F of the Coastal Structures Activity Plans. The movement in the reserve is a reflection of the under-consumption in this activity, which has increased the surplus balance.

66 WATER SUPPLY

We comply with part 4 (bacteria compliance criteria) of the drinking water standards as measured by bacterial water sample results. As a result, the scope and timing of the project has changed (refer to the August 2016 Council Report). Some minor pipe renovations have been carried out with the balance of the budget expected to be carried over to 2016/2017.

77 WASTEWATER

As a result of the storms, large volumes of diluted waste water were dumped onto the coast from several manholes. This performance target was not measured due to the system required to record response times for each job still in a development phase during the year. We expect that funds to complete the final stages of the project will be carried over to 2016/2017.

83 STORMWATER

From the total number of flood events that occurred in the year (11), a total of 36 separate flood locations were reported. We did not reach our targets for the number of catchment management plans or the number of consents for the 15 Urban Drainage Areas. Due to the revised staging of the project works and the early investigation of the underground utilities, an earlier budget expenditure of $2,088 occurred.

90 SOLID WASTE

This increase in waste to landfill, despite an increase in recycling and diversion from landfill, indicates that the growth in total waste generated per person has increased this year. The Solid Waste Activity Group performance measures are very similar to those contained in the previous Long Term Plan. The overspend is a reflection of the movement in the Aftercare provision costs and reflects the increase in costs required to close the Eves Valley Landfill.

96 FLOOD PROTECTION AND RIVER CONTROL WORKS

Measured by the number of notices issued to the Council's flood protection and river control activity. We will know that we are meeting the service level if.. waste/debris in the river system. The Flood and River Control Group has met all the performance targets set out in the Long Term Plan 2015-2025.

102 COMMUNITY FACILITIES AND PARKS

103 Our Goal

Overall customer satisfaction with park and preserve facilities exceeds 85%, as measured by Yardstick ParkCheck's triennial visitor metrics survey. At least 85% of respondents rate their satisfaction with recreational facilities (which include playgrounds and . neighborhood preserves) as "fairly satisfied" or better among annual residents. At least 70% of respondents rate their satisfaction with public restrooms as "fairly satisfied" or better among annual residents.

108 Major Activities

The Council is building a new indoor community leisure facility in Golden Bay. During 2015/2016, Tasman District Council completed other projects at Saxton Field with funding carried over from previous years, including the development of the playing fields in Champion Green, the construction of the Avery Field toilets and the construction of the Velodrome. We expect unspent funds to be carried over to 2016/2017. This project will be launched as part of the completion of the Velodrome project later in 2016.

111 Reserve Financial Contributions

Tasman District Council has received $526,000 in funding for Saxton Oval Velodrome from Nelson City Council and the Saxton Velodrome Oval Trust. When writing the Long-Term Plan 2015-2025, an error occurred in the classification of expenditures within the capital area. Council has received $256,554 from the Lottery Community Facilities Fund to upgrade the Motueka Recreation Centre.

119 COMMUNITY RELATIONS

Our levels of service and how we measure progress against them

The Group achieved, or substantially achieved, all the targets to be measured in 2015/2016. Community engagement – ​​where we provide information to our community and seek their views on the Council's proposals. We have joint ownership and management of the Saxton Field complex with Nelson City Council.

GOVERNANCE What We Do

Electoral process

Friendly Towns

Takaka has a friendly town relationship with Grootegast in Holland, and the Tasman District Council has a friendly community relationship with Grootegast Council. The number of performance measures for the Management Group has decreased from the previous Long-Term Plan 2012-2022. As there was no election this year, the performance target set for the Management Group was met.

128 COUNCIL ENTERPRISES and PROPERTY

The campsite's health and safety procedures are in line with industry best practice and improved to external audit results. Forestry health and safety procedures are in line with industry best practice and improved to external audit results. Port Tarakohe's health and safety procedures are in line with industry best practice and improved to external audit findings.

141 SUPPORT SERVICES

Financial Statements Introduction

3 The Statement of Financial Position shows the assets and liabilities of Tasman District Council. The Council's financial statements are prepared in accordance with LGA requirements, which include the requirement to comply with New Zealand Generally Accepted Accounting Practice (NZ GAAP). The budget figures are in accordance with the accounting policies approved by the Council for the preparation of financial statements at the time the budget was prepared.

Statement of Comprehensive Revenue and Expense

Balanced Budget Statement of Financial Performance

Statement of Financial Position

Statement of Cashflows

Statement of Changes in Equity

Council Funding Impact Statement

Statement of Commitments

Tasman District Council is one of 30 local authority shareholders and 11 local authority guarantors of the NZLGFA. A liability will be recognized for future calls when there is more certainty over the amount of the calls. Design has begun for the strengthening and renovation of the Golden Bay Service Center.

157 Note 1: Summary of revenue and expenditure for groups of activities

158 Note 2: Rates

Fees and Charges

Revenue is recognized according to the accruals principle and is measured at the fair value of the consideration received or receivable. Fees and charges for building and resource consent services are recognized on a percentage of completion basis with reference to the costs incurred at the balance sheet date.

162 Note 7: Other Expenses

Cash and cash equivalents

Cash and cash equivalents include cash on hand, call deposits with banks, other short-term highly liquid investments with an original maturity of three months or less, and bank overdrafts. The book value of short-term deposits with a maturity of up to three months is approximately equal to their fair value. The council has a cash guarantee of $35,000 in cash and cash equivalents, subject to restrictions.

166 Note 11: Trade and other receivables

168 Accounting for derivative financial instruments and hedging activities

Financial assets and liabilities are initially measured at fair value plus transaction costs, unless they are recognized at fair value through profit or loss, in which case the transaction costs are recognized in profit or loss. Financial assets at fair value through profit or loss include financial assets held for trading. If there is such evidence of investments at fair value through comprehensive income and expenses, the accumulated loss (measured as the difference between the acquisition price and the current fair value less any impairment loss on the financial asset previously recognized in profit or loss) recognized in other comprehensive income and expenses is reclassified from equity to loss.

172 Note 14: Non-current assets(Property) held for sale

Property, plant and equipment

Assets Acquired – Certain infrastructure assets and land were allocated to the Council as part of the Consent to Share process. The roads and bridges were valued by MWH New Zealand Ltd at fair value as at 31 March 2015 using optimized depreciated replacement value. In determining the value of the depreciated replacement value of the asset, straight-line depreciation was used.

181 Note 16: Intangible assets

183 Note 17. Depreciation by group of activity

184 Note 18. Forestry Assets

Investment property

After initial recognition, the Council values ​​all investment property at fair value as determined annually by an independent appraiser. Gains or losses resulting from a change in the fair value of investment properties are included in the surplus or deficit. The fair value of investment property is determined based on capitalization of net proceeds and discounted cash flow methods.

186 Note 20. Investment in Associates

As neither Nelson Airport Ltd nor Nelson City Council have revalued their airport assets, Tasman District Council has decided to change its accounting policy for the airport asset class. Nelson Airport Ltd revalued its airport assets for the year ended 30 June 2016 and these have been included in the financial statements. Council's airport assets are not significant and will be revalued in the next infrastructure asset revaluation cycle.

Actual and Target Returns on Associates

Interest in Joint Ventures

191 Note 22. Trade and other payables

192 Note 23. Provisions

193 Note 24. Employee Benefit Liabilities

The present value of the retirement and long-term leave obligations depends on a number of factors that are determined on an actuarial basis. Two key assumptions used in calculating this liability include the discount rate and the wage inflation factor. The wage inflation factor was determined after taking into account past patterns of wage inflation and on the advice of an independent actuary.

195 Note 25. Borrowings

At the beginning of the lease term, financial leases are recognized as assets and liabilities in the statement of financial position at the fair value of the object of the lease or the current value of the minimum rent, whichever is lower. Finance charges are charged to the surplus or deficit over the term of the lease to generate a constant periodic interest rate on the remaining liability balance. If there is no certainty that the Council will acquire ownership at the end of the lease, the asset is fully depreciated over the lease term or its useful life, whichever is shorter.

197 Note 26. Revaluation Reserve

Accumulated Equity