CENTRAL OTAGO DISTRICT COUNCIL WASTE AND PROPERTY INFRASTRUCTURE COMMITTEE

Transcription

1 CENTRAL OTAGO DISTRICT COUNCIL WASTE AND PROPERTY INFRASTRUCTURE COMMITTEE NOTICE is hereby given that a meeting of the Waste and Property Infrastructure Committee is to be held in Council Chambers, William Fraser Building, 1 Dunorling Street, Alexandra on Wednesday, 23 May 2018 commencing at the conclusion of the Three Waters Infrastructure Committee. MEMBERS: Councillor N McKinlay (Chair), Councillor V Bonham (Deputy), His Worship the Mayor T Cadogan, Councillors, S Calvert, L Claridge, S Duncan, N Gillespie, S Jeffery, M McPherson, M Topliss and B Wills APOLOGIES: IN ATTENDANCE: S Jacobs (Chief Executive Officer), J Muir (Executive Manager - Infrastructure Services), B Murphy (Executive Manager Corporate Services), L van der Voort (Executive Manager Planning and Environment) and S Hewerdine (Governance Manager) AGENDA Confirmation of Minutes 6-12 RECOMMENDED that the minutes of the Waste and Property Infrastructure Committee meeting held on 11 April 2018 be received as a true and correct record Declaration of Interest Members are reminded of the need to be vigilant, stand aside from decision making when a conflict arises between their role as a member and any private or other external interest they might have.

2 Status Report on Resolutions Infrastructure Services Attached is a report from the Executive Manager - Infrastructure Services to provide an update on resolutions. RECOMMENDED that the report be received Status Report on Resolutions Planning and Environment Attached is a report from the Executive Manager - Planning and Environment to provide an update on resolutions. RECOMMENDED that the report be received Cromwell Airport Hangar Lease (PRO ) Attached is a report from the Property Officer to approve a lease for a hangar site at Cromwell Airport to formalise an existing hangar occupation. RECOMMENDED that the report be received and the recommendations therein be adopted Chair s Report 29 RECOMMENDED that the Chair s report be received. COMMITTEE IN CLOSED MEETING 30 RESOLVED that the public be excluded from the following part of the proceedings of the meeting, namely Item number 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 matter to be considered Status Report on Resolutions Planning and Environment Reason for passing this resolution in relation to each matter. To enable Council to carry out, without prejudice or disadvantage, commercial activities (The premature Ground(s) under Section 48(1) for the passing of this resolution. Section 48 (1) (a)

3 disclosure of the financial information would detrimentally affect the Council s position in the negotiation) This resolution is made in reliance on section 48(1)(a) of the Local Government Official Information and Meetings Act 1987 and the particular interest or interests protected by section 6 or section 7 of that Act or section 6 or section 7 or section 9 of the Official Information Act 1982, as the case may require, which would be prejudiced by the holding of the whole or the relevant part of the proceedings of the meeting in public are as shown above (in brackets) with respect to each item. NOTE: Section 48(4) of the Local Government Official Information and Meetings Act 1987 provides as follows: "(4) Every resolution to exclude the public shall be put at a time when the meeting is open to the public, and the text of that resolution (or copies thereof) - (a) Shall be available to any member of the public who is present; and (b) Shall form part of the minutes of the local authority."

4 ITEM TO BE CONSIDERED WHILE THE PUBLIC IS EXCLUDED Status Report on Resolutions Planning and Environment Attached is a report from the Executive Manager Planning and Environment to provide an update on confidential resolutions. RECOMMENDED that the report be received.

5 COMMITTEE IN OPEN MEETING 33 RECOMMENDED that the public be readmitted.

6 CENTRAL OTAGO DISTRICT COUNCIL WASTE AND PROPERTY INFRASTRUCTURE COMMITTEE MINUTES of a meeting of the Waste and Property Infrastructure Committee held in Council Chambers, William Fraser Building, 1 Dunorling Street, Alexandra on Wednesday, 11 April 2018 commencing at 11.05am. PRESENT: Councillor V Bonham (Chair), His Worship the Mayor T Cadogan, Councillors, S Calvert, L Claridge, S Duncan, N Gillespie, M McPherson, M Topliss and B Wills APOLOGIES: S Jeffery and N McKinlay RESOLVED that the apologies be accepted. Cadogan / Calvert IN ATTENDANCE: S Jacobs (Chief Executive Officer), J Muir (Executive Manager - Infrastructure Services), B Murphy (Executive Manager Corporate Services), L van der Voort (Executive Manager Planning and Environment) and S Hewerdine (Governance Manager) Note: M Kerr (Property and Facilities Manager), T Bates (Property Officer), C Martin (Property and Facilities Officer Vincent and Teviot Valley) and M De Cort (Communications Coordinator) were also in attendance Confirmation of Minutes RESOLVED that the minutes of the Waste and Property Infrastructure Committee meeting held on 28 February 2018 be received as a true and correct record. Wills / McPherson Declaration of Interest There were no declarations of interest. 6

7 Status Report on Resolutions Infrastructure Services A report from the Executive Manager - Infrastructure Services to provide an update on resolutions had been circulated. RESOLVED that the report be received. McPherson / Calvert Status Report on Resolutions Planning and Environment A report from the Executive Manager - Planning and Environment to provide an update on resolutions had been circulated. RESOLVED that the report be received. Wills / Claridge Note: The Executive Manager Corporate Services left the meeting at 11.08am Alexandra Airport Land Grazing Lease (PRO L1) A report from the Property Officer to consider a request from the lessee to extend the term of the grazing lease for Alexandra Airport reserve land and to sublease part of the land had been circulated. A. RESOLVED that the report be received and the level of significance accepted. Topliss / Calvert Note: Note: The Property Officer and Property and Facilities Manager joined the meeting at 11.08am. Councillor Duncan joined the meeting at 11.15am. The Committee would like consideration to be given during the negotiations to the residents of the airport; for the land to be returned to previous condition should berry growing cease and for the future expansion of the airport. 7

8 B. APPROVED an additional five year right of renewal for the existing grazing lease to John and Stacey Waldron for 71 hectares of Alexandra Airport Reserve land described as Lot 1 DP and Section 55 Manuherikia Settlement. Cadogan / Wills C. AGREED in principal that part of the lease area may be sublet for the purpose of growing berries subject to: a) A more detailed proposal being provided by the berry growers. b) An updated rental assessment for grazing and horticulture. c) The lessees and Council as lessor sharing the benefit. Cadogan / Wills D. AUTHORISED the Chief Executive Officer to give effect to the resolutions. Cadogan / Wills Note: The Property Officer left the meeting at 11.19am. COMMITTEE IN CLOSED MEETING RESOLVED that the public be excluded from the following part of the proceedings of the meeting, namely Item number and The general subject of each matter to be considered while the public was 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 matter to be considered Status Report on Resolutions Planning and Environment Reason for passing this resolution in relation to each matter. To enable Council to carry out, without prejudice or disadvantage, commercial activities (The premature disclosure of the financial information would detrimentally affect the Council s position in the negotiation) Ground(s) under Section 48(1) for the passing of this resolution. Section 48 (1) (a) 8

9 William Fraser Office Reconfiguration To enable Council to carry out, without prejudice or disadvantage, commercial activities (The premature disclosure of the financial information would detrimentally affect the Council s position in the negotiation) Section 48 (1) (a) This resolution is made in reliance on section 48(1)(a) of the Local Government Official Information and Meetings Act 1987 and the particular interest or interests protected by section 6 or section 7 of that Act or section 6 or section 7 or section 9 of the Official Information Act 1982, as the case may require, which would be prejudiced by the holding of the whole or the relevant part of the proceedings of the meeting in public are as shown above (in brackets) with respect to each item. NOTE: Section 48(4) of the Local Government Official Information and Meetings Act 1987 provides as follows: "(4) Every resolution to exclude the public shall be put at a time when the meeting is open to the public, and the text of that resolution (or copies thereof) - (a) Shall be available to any member of the public who is present; and (b) Shall form part of the minutes of the local authority." Calvert / Topliss Note: Note: The public was excluded at 11.19am. The Property and Facilities Officer Teviot Valley and Vincent joined the meeting at 11.21am. 9

10 COMMITTEE IN OPEN MEETING RESOLVED that the public be readmitted. Gillespie / McPherson Note: The public was readmitted at 11.30am Chair s Report This item was withdrawn as the Chair had nothing to report. The meeting closed at 11.31am... CHAIR / / 12

11 Updated at 3 May 2018 Name Members Declared Interests Spouse/Partner Declared Interests Council Appointments Victoria Bonham STOP Trashing our Planet S.T.O.P. NZ First (Member and Chair of Waitaki District Electorate) RSA Armistice Day Committee Tim Cadogan Alexandra Musical Society (Member) Breen Construction Company (Family Connection) Wakatipu Abuse Prevention Network (Family Connection/Work Referrer) Queenstown Housing Trust (Family member has approved eligibility) Manorburn Recreation Reserve Committee Victim Support Worker Airport Reference Group Manuherikia Catchment Water Strategy Group Maniototo Curling International Inc (Board Member) Eden Hore Steering Group Shirley Calvert Central Otago Health Services Ltd (Employee) Central Otago Wilding Conifer Control Group Cromwell and Districts Promotion Group Lynley Claridge Affinity Funerals (Director) Central Otago Chamber of Commerce (Advisory Panel) Stuart Duncan Wedderburn Cottages (Owner) Dairy Farm (Owner) Neil Gillespie Contact Energy (Project Manager) Clyde & Districts Emergency Rescue Trust (Secretary and Trustee) Cromwell Volunteer Fire Brigade (Deputy Chief Fire Officer) QLDC District Licensing Committee member Rural Advisory Forum - Fire Emergency New Zealand Stephen Jeffery Fairview Orchard (Partner) Fairview Roxburgh Ltd (Director ) Fairview Family Trust. (Trustee) G & S Smith Family Trust (Trustee ) K & EM Bennett s Family Trust (Trustee) Affinity Funerals (Shareholder) Central Otago Health Inc. Maniototo Hospital Board (Board Member) Wedderburn Cottages (Owner) Maniototo Ice Rink Committee Lowburn Hall Committee The Cromwell Property Development Sub- Committee Teviot Prospects 13

12 Updated at 3 May 2018 Name Members Declared Interests Spouse/Partner Declared Interests Council Appointments Roxburgh Gorge Trail Charitable Trust (Chair) Roxburgh and District Medical Services Trust (Trustee) Central Otago Clutha Trails Ltd (Director) Teviot Prospects (Trustee) Teviot Valley Community Development Scheme Governance Group Central Otago Queenstown Network Trust Nigel McKinlay Transition To Work Trust (Board Member) Gate 22 Vineyard Ltd (Director) Everyday Gourmet (Director) Central Otago Wine Association (Member) Martin McPherson Alexandra Blossom Festival (Employee) CODC (Employee) Bannockburn Community Centre Management Committee Bannockburn Recreation Reserve Management Committee The Cromwell Property Development Sub- Committee Malcolm Topliss Barrie Wills Central Environmental Services (Principal) Coastguard Clyde (Secretary) Central Otago Underwater Club (Secretary) Roxburgh Gorge Trail Charitable Trust (Secretary) Manorburn Curling Club and Combined Curling Club (Secretary) NZ Association of Resource Management (Member) NZ Grassland Association (Member) Central Computer Consultants (Partner) B&B Portfolio Co Ltd (Director) Central Boers (Member) Alexandra District Museum Inc Ophir Welfare Association Committee (Treasurer) Omakau Recreation Reserve Committee Airport Reference Group Central Otago Heritage Trust Keep Alexandra Clyde Beautiful (Member) Otago Regional Transport Committee Alexandra District Historical Association Inc Manorburn Recreation Reserve Committee Alexandra Suspension Bridge 1882 Working Group Keep Alexandra Clyde Beautiful 14

13 Updated at 3 May 2018 Name Members Declared Interests Spouse/Partner Declared Interests Council Appointments NZ Rhododendron Society (Member and Editor) Central Otago Astronomical Society (Secretary) Clutha Mata au River Parkway Group (Forum Member) Otago Polytech Permanent External Advisory Committee (Natural Resources Rep) Jolendale Park (Trustee) Guardians of Lake Wanaka (Member) Central Otago Clutha Trails Ltd (Director) 15

14 Waste and Property Infrastructure Committee 23 May 2018 Report for Information Status Report on Resolutions Infrastructure Services Purpose of Report To provide the Committee with an update on resolutions Recommendations A. Recommended that the report be received Resolution February 2018 Draft Waste Minimisation and Management Plan 2018 (INF ) A. RESOLVED that the report be received and the level of significance accepted. Note: It was noted that on page 47 of the agenda it was stated approximately 8,000 tonnes of refuse went to the Victoria Flats landfill and on page 78 it was 11,342. This should be consistent and should be corrected before going out for consultation. B. RESOLVED that Council adopts the Draft 2018 Waste Minimisation and Management Plan for consultation in conjunction with the Long Term Plan. B. RESOLVED that changes to the frequency of the yellow bin (mixed recycling) and the blue bin (glass) recycling be included in the 2018 Long Term Plan consultation document. STATUS MATTER CLOSED May 2018 Tonnage discrepancy noted and corrected in document. Further report went to Council 23/03/18, Resolution adopted. March 2018 Action Memo sent to the Environmental Engineering Manager. Resolution August 2017 Kerbside Collection Bin Lid Lock (INF ) A. RESOLVED that the report be received and the level of significance accepted. B. APPROVED the purchase of 1,500 kerbside bin lid latches as an unbudgeted cost for a pilot programme. Report Author: Executive Manager - Infrastructure Services 16

15 STATUS May 2018 Post trial survey was undertaken in March. Participants thought the latches were easy to use and that they definitely prevented spillage during windy conditions. 96% of the participants recommended that Council roll these out for the District. Report on future action to be prepared. February 2018 Survey for users will be undertaken at the end of February. November The bin lid latch trial was launched in October. The trial will run Nov/Dec/Jan with a follow up survey of participants in early February. The trial is being promoted on FB, noticeboard, radio, central app, Thyme Festival and in FlipSide. Latches are available at service centres and libraries. To date approx 140 latches have been given out. September 2017 Bin lid latch trial will be promoted October on our Facebook page, noticeboard, radio, Central App and Flipside. Latches will be available for pick up at all service centres. Trial will run November, December and January, this will be followed up by a survey of participants in February. September 2017 Planning a trial of 1500 latches in October and November The areas to be trialed are Ranfurly, Clyde and parts of Cromwell. August 2017 Action Memo sent to the Waste Minimisation Officer with a copy to the Chief Financial Officer, Management Accountant and Finance Manager. Resolution June 2017 Wireless Ultra-fast Broadband Towers on Council Reservoir Sites (INF ) A. RESOLVED that the report be received and the level of significance accepted. B. AGREED that a lease be granted to Greenfields Internet to locate towers to transmit wireless ultra-fast broadband at the Gilligans Gully and Clyde reservoir sites at an annual charge of $1.00 per year until June 2020 for each site. C AGREED that a rent review be undertaken in financial year 2019/20. STATUS May 2018 Item has been moved to Planning and Environment Status Report. Item will be removed from this report from next meeting date. February 2018 Draft agreement discussed with Greenfields final agreement still needs to be developed. September The preparation and execution of a lease is with Property unit. July 2017 Draft Lease being drawn up. July 2017 Action Memo sent to Economic Development Manager. Report Author: Executive Manager - Infrastructure Services 17

16 Resolution May 2012 Draft Solid Waste Bylaw (LEG ) A. RESOLVED that the report be received and the level of significance accepted. B. RESOLVED that the Infrastructure Committee approve the amended Draft Solid Waste Bylaw C. RESOLVED that Council approve the Statement of Proposal and Summary of Information for public consultation commencing July 16 th STATUS MATTER CLOSED May 2018 Draft WWMP adopted by Committee 28/02/18, Resolution , and Council February 2018 Draft WMMP is on the Council agenda for 28 February meeting. We have received a cost proposal from an external provider to progress this. We are reviewing internal delivery options. September 2017 WMMP preparation is underway. July 2017 Waste Assessment completed. Draft Waste Minimisation Management Plan is being prepared for internal review by end of August July No change proposed until June 2017 at which time an update will be provided. June 2016 No change proposed until June May Council is legally required to undertake waste assessments and review of the Waste Minimisation Management Plan. These will provide context for the bylaw and any potential enforcement requirements. Our plan is to undertake the waste assessments by August 2016, review of the WMMP by February 2017 and new Bylaw implemented by June March 2016 Delayed due to other work pressures - draft bylaw is going to Council in May January 2016 Draft bylaw to go to Council on 20 April November 2015 Current level of resourcing in the Waste Minimisation activity and prioritisation of tasks has resulted in this piece of work being delayed. July 2015 No progress as yet. January 2015 Legal issues around information gathering being clarified. July 2013 Legal issues around information gathering being clarified and will proceed from there. April 2013 The Draft Bylaw is being reviewed and consultation to follow later in the year. January 2012 Action memo sent to Waste Minimisation Officer. Report Author: Executive Manager - Infrastructure Services 18

17 Report Author: Julie Muir Executive Manager - Infrastructure Services 9/05/2018 Report Author: Executive Manager - Infrastructure Services 19

18 Waste and Property Infrastructure Committee 23 May 2018 Report for Information Status Report on Resolutions Planning and Environment Purpose of Report To provide the Committee with an update on resolutions Recommendations A. Recommended that the report be received Resolution April 2018 Alexandra Airport Land Grazing Lease (PRO L1) A. RESOLVED that the report be received and the level of significance accepted. The Committee would like consideration to be given during the negotiations to the residents of the airport; for the land to be returned to previous condition should berry growing cease and for the future expansion of the airport. B. APPROVED an additional five year right of renewal for the existing grazing lease to John and Stacey Waldron for 71 hectares of Alexandra Airport Reserve land described as Lot 1 DP and Section 55 Manuherikia Settlement. C. AGREED in principal that part of the lease area may be sublet for the purpose of growing berries subject to: a) A more detailed proposal being provided by the berry growers. b) An updated rental assessment for grazing and horticulture. c) The lessees and Council as lessor sharing the benefit. D. AUTHORISED the Chief Executive Officer to give effect to the resolutions. STATUS May 2018 Lessee has been informed of decision and Deed of Renewal is being drafted. Further information also requested re proposed berry grower sublease. April 2018 Action Memo sent to the Property Officer. Report Author: Executive Manager Planning and Environment 20

19 Resolution January 2018 Alexandra Airport Additional Hangar/Accommodation Sites (PRJ ) A. RESOLVED that the report be received and the level of significance accepted. B. APPROVED an overspend of $218,000 to fund infrastructure for development of five additional hangar/accommodation sites at Alexandra Airport. The overspend is to be funded from a 20 year loan. STATUS May 2018 Drilling for new bore completed at end of April but water quality not acceptable and did not provide enough water flow to service existing hangar sites and proposed additional sites. Further investigation required for feasibility of costs for another bore site. March 2018 Two prices requested for drilling of new water bore. Both prices were within budget and preferred contractor appointed. ORC consent lodged and expected to be processed by mid-april. Programme for bore drilling to be finalised when ORC consent is approved. February 2018 Action Memo sent to Property Officer. Resolution August 2017 Funding Proposal Champagne Gully and Weatherall creek Toilet Upgrades, New Cromwell Toilet and Compacting Bins (PRJ ) A. RESOLVED the report be received and the level of significance accepted. B. APPROVED funding of $165,000 from the general reserves account for the upgrade of public toilets at Weatherall Creek and Champagne Gully toilets, a new toilet at Cromwell and eight compacting rubbish/recycling bins. C. APPROVED an overspend of $4,500 in 2017/18 to fund a half year of operating costs for the new Cromwell toilets. D. AGREED to delegate to the Chief Executive the authority to determine the site for the new toilet at Cromwell, after consulting the Cromwell Community Board. STATUS MATTER CLOSED May 2018 Toilets completed as per March update. New Big Belly Bins in operation at Weatherall Creek (Parks Contract) and Champagne Gully (LINZ Lakeside contract Fulton Hogan). March 2018 New toilet at Cromwell opened on 23 February. Final claims sent to MBIE for part funding from mid-sized tourism facilities grant. February 2018 Works complete. Report Author: Executive Manager Planning and Environment 21

20 December 2017 Upgrade almost complete at Champagne Gully. Additional water tank being installed 9 January November 2017 Work completed at Weatherall Creek toilet and work underway at Champagne gully. Bins ordered. October Bins ordered. Procurement process and construction contracts being progressed. August 2017 Obtaining prices for toilets. Quotes for bins being assessed for acceptance. August 2017 Action Memo sent to the Property and Facilities Officer Cromwell with copies to the Chief Financial Officer, Management Accountant and the Finance Manager. Resolution June 2017 (Infrastructure Services) Wireless Ultra-fast Broadband Towers on Council Reservoir Sites (INF ) A. RESOLVED that the report be received and the level of significance accepted. B. AGREED that a lease be granted to Greenfields Internet to locate towers to transmit wireless ultra-fast broadband at the Gilligans Gully and Clyde reservoir sites at an annual charge of $1.00 per year until June 2020 for each site. C AGREED that a rent review be undertaken in financial year 2019/20. STATUS May 2018 License to Occupy for each site being finalized and expected to be executed by the end of this month. March 2018 Agreement being developed. February 2018 Draft agreement discussed with Greenfields final agreement still needs to be developed. September The preparation and execution of a lease is with Property unit. July 2017 Draft Lease being drawn up. July 2017 Action Memo sent to Economic Development Manager. Report Author: Louise van der Voort Executive Manager Planning and Environment 11/05/2018 Report Author: Executive Manager Planning and Environment 22

21 Waste and Property Infrastructure Committee 23 May 2018 Report for Decision Cromwell Airport Hangar Lease (PRO ) Purpose of Report To approve a lease for a hangar site at Cromwell Airport to formalise an existing hangar occupation Recommendations A. Recommended that the report be received and the level of significance accepted. B. Approve a lease for a hangar site at Cromwell Airport to Aurum Helicopters for 466m2 of land described as part of Lot 2 DP situated at Ripponvale Road, Cromwell, to formalise an existing hangar occupation. C. Agree to request that the Central Lakes Equestrian Club return $3,000 of rental to Council that the Club was not entitled to collect for the hangar site at Cromwell Airport. D. Authorise the Chief Executive Officer to do all that is necessary to give effect to the resolutions Background The Cromwell aerodrome was originally established by Gazette Notice 1953 page 1378, pursuant to the Local Authorities Empowering (Aviation Encouragement) Act That consent was later revoked by Gazette Notice 1965 page 1252 being the Cromwell Aerodrome Establishment Order 1965, which provided for aviation purposes to be carried out at the Lowburn site. Under the Reserves and Other Lands Disposal Act 1974, the former aerodrome at the Cromwell Racecourse was re-instated. Section 4(1) of the Act states: Notwithstanding anything in the Cromwell Racecourse Reserve Act 1876, the purpose for which the land to which this section relates is hereby changed from a reserve for racecourse purposes to a reserve for aerodrome purposes, subject to the Reserves and Domains Act Report Author: Property Officer 23

22 The above reservation related to all that parcel of land situated in the Otago Land District, Vincent County, containing hectares more or less, being the whole of Section 91 (formerly Part Section 17) Block III Cromwell District. Section 91 is shown outlined in red on aerial map attached as Appendix 1. The Reserves and Domains Act 1953 has since been succeeded by the Reserves Act The aerodrome reserve is vested in Council as a local purpose (aerodrome) reserve. The area outlined in yellow and black on the plan attached as Appendix 1 (now defined as Lot 2 DP ) remained as racecourse reserve although it was used for aerodrome purposes. In 1988, according to Council records, a hangar was built on Lot 2 DP The hangar location is shown circled in blue on attached plan. There is no record of a Council lease or licence being put in place when the hangar was built. In 2000 Council approved a proposal to adjust the boundaries of the Cromwell Racecourse and the Cromwell Aerodrome Reserves, to include Lot 2 DP in the aerodrome reserve. This was to allow further development. Although the process was started in 2000, for unknown reasons the reclassification of the land to local purpose (aerodrome) reserve was not completed until In 2012, being the date of formal reserve status change, a lease should have been issued by Council and all rent from that date paid to Council. This did not occur. Council staff recently discovered that the Central Lakes Equestrian Club have continued to collect the annual rent of $500. Since 2012 this amounts to $3,000. The hangar owner has now been informed that a lease from Council is required to formalise the hangar site and is happy to comply. The intention is to issue a lease for the new site using standard terms and conditions previously adopted for Cromwell Airport leases. A minimum site rental of $2,800 plus GST per annum was set by Council in Options Considered Option 1 Approve a lease for a hangar site to Aurum Helicopters over 466m2 of land described as part of Lot 2 DP situated at Ripponvale Road, Cromwell. Advantages: The proposed lease is consistent with other airport hangar sites and formalises the existing hangar occupation. The lease will provide additional income to Council. Disadvantages: None Report Author: Property Officer 24

23 Option 2 Decline to approve a lease for a hangar site to Aurum Helicopters for 466m2 of land described as part of Lot 2 DP Ripponvale Road, Cromwell. Advantages: None Disadvantages: The hangar occupation will not be formalised with a lease. This is not consistent with other hangar sites at Cromwell Airport and other Council airports. Without a lease in place Council cannot demonstrate any legal authority under the Reserves or Airports Authority Act for the hanger to be on the aerodrome. If the hangar occupation continues without a lease Council has no legal framework to impose terms and conditions and charge rental to the owner. Option 3 Agree to request that Central Lakes Equestrian Club return $3,000 of rental to Council that the Club was not entitled to collect for the hangar site at Cromwell Airport. Advantages: Recognises the Central Lakes Equestrian Club have not been entitled to collect rent from the hangar site for Cromwell racecourse purposes since 2012 when the land was reclassified as local purpose reserve (aerodrome). Disadvantages: Requesting that the rental be returned to Council would reduce the clubs funds by $3,000. Option 4 Decline to agree to request that Central Lakes Equestrian Club return $3,000 of rental to Council that the Club was not entitled to collect for the hangar site at Cromwell Airport. Advantages: The clubs funds would not be reduced. Disadvantages: The Club has collected income which it was not entitled to and which could be used for Council purposes including maintenance of the aerodrome. Discussion The proposed lease will formalise the existing occupation of a hangar on Cromwell Aerodrome land owned by Aurum Helicopters. There are currently two other leases for hangar sites at Cromwell Airport under the same terms and conditions as the proposed lease. Approving the proposed lease will ensure consistency with those leases and other Council airport leases. Report Author: Property Officer 25

24 When the land on which the existing hangar is located was reclassified as local purpose (aerodrome purposes) reserve in 2012, any rental for the land was no longer legally entitled to be collected and used for racecourse purposes. The Central Lakes Equestrian Club were aware of the proposed boundary adjustment between the race course and aerodrome reserves as it was provided for in the Cromwell Racecourse Reserve Management Plan. The land was also excluded from the club s lease that commenced on 1 July It is considered reasonable to request that the Central Lakes Equestrian Club return to Council any rental collected for the hangar site from 2012 when the reclassification of the land was completed. Risk Analysis None. Council could be challenged by other lessees if this hangar is not subject to the standard lease terms as other hangars at Cromwell Airport. Without a lease in place Council cannot demonstrate any legal authority under the Reserves or Airports Authority Act for the hanger to be on the aerodrome. Financial Implications A new lease for the existing hangar site will add $2,800 per annum of additional annual income for the Cromwell Airport. The Central Lakes Equestrian Club have collected a total of $3,000 in rental for the hangar for the six years since the land was reclassified as Local purpose reserve for aerodrome purposes. As the Club was not entitled to this rental income it is proposed that the $3,000 is returned to Council. Local Government Act 2002 Purpose Provisions Section 10 of the Act states the purpose of local government is: (a) to enable democratic local decision-making and action by, and on behalf of, communities; and (b) to meet the current and future needs of communities for good-quality local infrastructure, local public services, and performance of regulatory functions in a way that is most cost-effective for households and businesses. While the operation of an airport is not a core activity under section 11A of the Act, increasing income streams does assist to fund Council core and non-core services. Council Policies / Plans / Procedures The Cromwell Airport is subject to designation D199 for aerodrome purposes under the District Plan. Report Author: Property Officer 26

25 Lot 2 DP , Ripponvale Road where the existing hangar is located is still included under designation D81 Recreation Purposes Cromwell Racecourse in the District Plan but was reclassified as local purpose reserve (aerodrome) in The designation will need to be amended to reflect this. Proposal 1. Approve a lease for a hangar site to Aurum Helicopters for 466m2 of land described as part of Lot 2 DP situated at Ripponvale Road, Cromwell, to formalise an existing occupation. 2. Agree to request that Central Lakes Equestrian Club return $3,000 of rental to Council that the Club was not entitled to collect for the hangar site at Cromwell Airport. Implementation Plan Council approve lease 23 May 2018 Preparation of lease document May/June 2018 Lessee and Council execution of lease June 2018 Consultation and Engagement The proposal does not exceed any of the thresholds nor meet any of the criteria in the Significance and Engagement Policy and public consultation is not considered required. Attachments Appendix 1 Aerial Map of Cromwell Airport Report Author: Reviewed and Authorised by: Tara Bates Louise van der Voort Property Officer Executive Manager - Planning and Environment 1/05/ /05/2018 Report Author: Property Officer 27

26 Appendix 1 Created By: Print Date: Print Time: tkb 13/04/2018 2:27 PM Scale: 1:10000 Original Sheet Size A4 Projection: Bounds: NZGD2000 / New Zealand Transverse Mercator , , Sourced from LINZ data. Crown Copyright reserved. Not to be reproduced without permission of CODC. The information shown on this plan may not be accurate and is indicative only. The Central Otago District Council accepts no responsibility for incomplete or inaccurate information. 28

27 Chair s Report RECOMMENDED that the Chair s report be received. 29

28 COMMITTEE IN CLOSED MEETING RESOLVED that the public be excluded from the following part of the proceedings of the meeting, namely Item number 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 matter to be considered Status Report on Resolutions Planning and Environment Reason for passing this resolution in relation to each matter. To enable Council to carry out, without prejudice or disadvantage, commercial activities (The premature disclosure of the financial information would detrimentally affect the Council s position in the negotiation) Ground(s) under Section 48(1) for the passing of this resolution. Section 48 (1) (a) This resolution is made in reliance on section 48(1)(a) of the Local Government Official Information and Meetings Act 1987 and the particular interest or interests protected by section 6 or section 7 of that Act or section 6 or section 7 or section 9 of the Official Information Act 1982, as the case may require, which would be prejudiced by the holding of the whole or the relevant part of the proceedings of the meeting in public are as shown above (in brackets) with respect to each item. NOTE: Section 48(4) of the Local Government Official Information and Meetings Act 1987 provides as follows: "(4) Every resolution to exclude the public shall be put at a time when the meeting is open to the public, and the text of that resolution (or copies thereof) - (a) Shall be available to any member of the public who is present; and (b) Shall form part of the minutes of the local authority." 30

29 COMMITTEE IN OPEN MEETING RECOMMENDED that the public be readmitted. 33