Agenda of Risk and Assurance Committee Meeting

Risk and Assurance Committee Meeting Minutes

26 February 2025

DRAFT

MINUTES OF Carterton District Council
Risk and Assurance Committee Meeting
HELD AT THE Carterton Events Centre, 50 Holloway St, Carterton
ON Wednesday, 26 February 2025 AT 9:30 am

PRESENT: Philip Jones (Chair), Deputy Mayor Steve Cretney, Mayor Ron Mark, Cr Steve Laurence, Cr Grace Ayling, Marty Sebire (Hurunui-o-Rangi Marae)

IN ATTENDANCE: Elected members

Cr Brian Deller, Cr Robyn Cherry-Campbell, Cr Steve Gallon, Cr Lou Newman

Staff

Geoff Hamilton (Chief Executive), Geri Brooking (People and Wellbeing Manager), Glenda Seville (Community Services and Facilities Manager), Solitaire Robertson (Planning and Regulatory Services Manager), Johannes Ferreira (Infrastructure Services Manager), Jody Dalziel (Health, Safety and Wellbeing Advisor), Marcus Anselm (Communications and Engagement Manager) via videoconference, Sara Renall (Communications and Engagement Advisor), Anna Tulloch (Communications and Engagement Advisor), Katrina King (Democratic Services Officer), Robyn Blue (Democratic Services Officer)

1 Karakia Timatanga

The meeting opened with a karakia led by M Sebire.

2 Apologies

MOVED

That an apology be received from Cr D Williams.

P Jones / G Ayling

CARRIED

3 Conflicts of Interests Declaration

There were no conflicts on interest declared.

4 Public Forum

There was no public forum.

5 Discussion on the Public Forum

Not applicable.

6 Confirmation of the Minutes

6.1 Minutes of the Risk and Assurance Committee Meeting held on 13 November 2024

MOVED

1. That the minutes of the Risk and Assurance Committee Meeting held on 13 November 2024 are true and correct.

Cr S Laurence / Deputy Mayor S Cretney

CARRIED

6.2 Minutes of the Extraordinary Risk and Assurance Committee Meeting held on 3 December 2024

NOTED

· Philip Jones chaired the meeting via videoconference.

MOVED

1. That the minutes of the Extraordinary Risk and Assurance Committee Meeting held on 3 December 2024 are true and correct.

Mayor R Mark / Deputy Mayor S Cretney

CARRIED

7 Reports

7.1 Strategic Risk - Delivery of critical services

1. Purpose

For the Committee to review one of Council’s Top 5 Strategic Risks – Delivery of Critical Services.

NOTED

· Risks to critical services include:

o Failure of critical infrastructure

o Lack of investment in infrastructure to meet future needs

o Investment limited by affordability

o Insufficient resources and/or capability and capacity of staff

o Poor project management

o Natural events

o Failure of other Asset owner’s networks

· In developing the Long-Term Plan 24-34, due to funding limitations, officers were required to prioritise based on risk ratings. Over the life of the LTP there is a $20M shortfall for waters, and CDC is investing 1% in the roading network when 3% investment is recommended. In approving the Long-Term Plan 24-34, Council identified they accepted these risks.

· The Chair identified that In future reports there needs to be assurance that CDC has a robust Asset Management Plan to enable the delivery of services. In future, it would be helpful to identify the assets that are in a critical condition.

MOVED

That the Committee:

1. Receives the report.

Deputy Mayor S Cretney / Cr G Ayling

CARRIED

7.2 Risk Management Update

1. Purpose

For the Committee to be updated with a summary on Council’s identified and emerging risks.

NOTED

· The Chief Executive discussed the emerging risks associated with Local Water Done Well (LWDW):

1. Government changes its policy again.

2. Consultation on the Consultation Document is delayed, or challenged because the process wasn’t followed.

3. Not all of the councils agree to join. This risk would be greater if this was a larger council who decided not to join.

4. One or more councils add conditions that are detrimental to the remainder.

5. Following the election on 11 October 2025, a new council reverses the previous council’s decision (there is a process in Bill 3 to allow a change to the Water Services Delivery Plan).

6. Staff burn-out with the additional work (NB this risk has been present for a number of years).

§ In order to mitigate this risk, the four councils are recruiting a Project Director.

§ More staff will be added as decisions are made on the future delivery of water services (NB this could also create issues/risks with back-filling roles)

7. Additional investment and external decisions will increase pricing.

· Climate change risks – As one mitigation, the intention of the Climate Change refresh that is happening at the moment is to incorporate the Climate Change Adaptation Plan.

· There is a need to have assurance that the Asset Management Plan is maintained during the Long-Term Plan period.

MOVED

That the Committee:

1. Receives the report.

2. Endorses the updates to the Risk Register.

3. Notes Council’s management of the emerging risks.

M Sebire / P Jones

CARRIED

7.3 Audit New Zealand Report on the 2024 Annual Report

1. Purpose

To present the report by Audit New Zealand on the 2024 Annual Report for the Committee’s consideration.

MOVED

That the Committee:

1. Receives the Audit NZ report on CDC’s Annual Report 2024.

Mayor R Mark / Deputy Mayor S Cretney

CARRIED

7.4 BIEnnial Building Consent Authority Audit

1. Purpose

For the Committee to be informed about the outcome of CDC’s biennial Building Consent Authority Audit.

MOVED

That the Committee:

1. Receives the report.

Deputy Mayor S Cretney / Cr G Ayling

CARRIED

7.5 Health, Safety and Wellbeing Update

1. Purpose

This report updates the Risk and Assurance Committee on recent health, safety and wellbeing (HS&W) activities.

MOVED

That the Committee:

1. Receives the report.

Mayor R Mark / M Sebire

CARRIED

7.6 Treasury Report

1. Purpose

To provide the Committee with an update on Council’s current Treasury position.

MOVED

That the Committee:

1. Receives the report.

2. Notes the current Treasury position and compliance with policy limits.

P Jones / Deputy Mayor S Cretney

CARRIED

5 Exclusion of the Public

RESOLUTION TO EXCLUDE THE PUBLIC

MOVED

That the public be excluded from the following parts of the proceedings of this meeting.

The general subject matter 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 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

Reason for passing this resolution in relation to each matter

Ground(s) under section 48 for the passing of this resolution

8.1 - Long-Term Plan Review

s7(2)(a) - the withholding of the information is necessary to protect the privacy of natural persons, including that of deceased natural persons

s7(2)(f)(i) - free and frank expression of opinions by or between or to members or officers or employees of any local authority

s48(1)(a)(i) - the public conduct of the relevant part of the proceedings of the meeting would be likely to result in the disclosure of information for which good reason for withholding would exist under section 6 or section 7

M Sebire / Cr G Ayling

CARRIED

MOVED

That Council moves out of Closed Council into Open Council.

Mayor R Mark / Cr G Ayling

CARRIED

6 Karakia WhakamUtunga

The meeting closed with a karakia led by M Sebire.

The meeting closed at 11.20 am

Minutes confirmed: ……………………………………

Date: ...................................................

Risk and Assurance Committee Meeting Agenda

7 May 2025

7 Reports

7.1 Annual report 2025 plan

1. Purpose

To update the Committee on the timeline for the preparation and adoption of the 2024/25 Annual Report.

2. Significance

The matters for decision in this report are not considered to be of significance under the Significance and Engagement Policy.

3. Background

The Annual Report is prepared pursuant to sections 98 and 99, and Schedule 10 Part 3 of the Local Government Act 2002. The purpose of the Annual Report is to compare the actual activities and performance of Council over a year (1 July to 30 June) against the intended activities and levels of performance as set out in respect of the year in the Ten-Year Plan or Annual Plan.

The Annual Report also provides accountability to the community of Council’s decisions made throughout that year. The accountability enables stakeholders (residents and ratepayers, other local authorities, business community groups, Government regulatory bodies etc.) to assess our performance and make decisions regarding Council and how it conducts its business.

The Local Government Act 2002, section 98 (3) requires that each annual report is adopted, by resolution within four months after the end of the financial year in which it relates.

The Audit Proposal Letter 2023-2025, previously presented to this committee, outlines the audit fees for three years. The fees for 2025 are a total of $174,015 including disbursements and excluding GST, as outlined in the attached report. Attachment 1.

This report focuses on the key dates in the planned timeline from now until the Council adopts the final 2024/25 Annual Report.

4. Discussion

4.1 Key annual report dates

DATE	MILESTONE
TBC	Interim Audit
Mid July 2025	Revaluations of infrastructure due 2025 · Land and buildings (QV) · Three Waters (wsp) · Roading (wsp) · Forestry (Forest Enterprises)
26 May - 6 June	Interim Audit
26 September	Draft financial statements and groups of activities (including performance results) available
29 September – 25 October 2025	Final Audit begins (Three weeks)
30 September	Final full annual report available (incorporating any Audit changes)
24 October	Audit verbal clearance
29 October 2025 (TBC)	Council adopts annual report, audit opinion issued
Within 4 weeks of adoption	Annual report, and summary annual report to be made publicly available

4.2 Revaluations

Waters, Roading, Land and Buildings

Full revaluations of land and building assets, as well as three waters and roading infrastructure assets are due this financial year.

Forestry

The annual valuation of our forestry assets, as required by accounting standards will also be completed.

4.3 Accounting policy changes
There are no significant proposed changes to CDC’s accounting policies for the year ending 30 June 2025. However, a new audited standard ‘The Audit of Service Performance Information will be applied to the Council’s 2024/25 audit this is closely related to PBE FRS 48.

4.4 Resident’s Survey

This year council has undertaken a Community Survey to be held annually to replace the previous Resident’s Survey that has not been held for the last two years.

The results of this survey will be made public in May.

The results are used to inform reporting on satisfaction performance measures set as part of the Long-Term Plan and reported on in the annual report.

Audit New Zealand (AuditNZ)

AuditNZ recently released their draft audit plan dated 11 April for the Council for the year ending 30 June 2025 which is attached to this report. Attachment 2

The report set out key areas of focus and risks and issues relevant to the audit along with other areas of interest across the local government sector.

The report also sets out materiality for financial statements and service performance information. A new standard: The Audit of Service Performance Information will be applied to the Council’s 2024/25 audit and is closely related to PBE FRS 48 and will result in an increased emphasis on risk and evaluation methods.

Quality Assurance process

An extensive quality assurance review will be undertaken by the Finance and Business Managers of their respective group activities.

5. CONSIDERATIONS

5.1 Climate change

No specific climate change considerations.

5.2 Tāngata whenua

No specific tāngata whenua considerations.

5.3 Financial impact

The audit fees as outlined in the Audit Proposal Letter 2023-2025 of $174,015 excluding GST have been included in the in the budget for 2024/25.

5.4 Community Engagement requirements

No community engagement considerations at this stage.

5.5 Risks

Reorganisation Proposal

Council recognises the need to change parts of its organisational structure to meet the challenges in delivering the long-term plans, annual reports and annual plans and any other statutory requirements.

A proposed organisational change is currently underway, and part of this change is to increase focus on the finance function with a view to improving capability, capacity and delivery. The outcome of this proposal will be published at the end of April 2025.

Local Elections 2025

This year local elections day is 11 October 2025, with Council induction meeting scheduled for 22 October and the Inaugural Council meeting scheduled for 5 November 2025. Due to the timetable of the audit plan for 2025, the above dates and meetings will be reviewed to accommodate the Adoption of the Annual Report by 31 October 2025.

6. Recommendation

That the Committee:

1. Receives the report.

2. Notes the proposed 2024/25 Annual Report timelines are yet to be confirmed.

File Number: 445449

Author: Karon Ashforth, Corporate Services Manager

Attachments: 1. Audit Proposal Letter 2023-2025 ⇩

2. Audit Plan 2025 ⇩

Risk and Assurance Committee Meeting Agenda

7 May 2025

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7.4 Risk Management Update

1. Purpose

For the Committee to be updated with a summary on Council’s identified and emerging risks.

2. Significance

The matters for decision in this report are not considered to be of significance under the Significance and Engagement Policy.

3. Background

Council’s Risk Management Framework ensures that sound risk management practices are incorporated into Council’s planning and decision-making processes. The Framework is developed by the Risk and Assurance Committee, and adopted by Council, including the risk context, risk criteria, and risk profile.

The Framework also informs the ranking for the Risk Register (Attachment 1) which outlines Council’s identified risk items. The Register is reviewed and reported to the Committee on a quarterly basis.

4. IDENTIFIED RISKS

The Risk Register currently contains 31 identified risk items, including Council’s Top 5 Strategic Risks. Each risk has an associated unmitigated ‘raw score’, recorded in the first column, and a subsequent score, once mitigations have been applied, in the second column.

There have been no changes to the Risk Register since the last meeting in February therefore the overall categorisations remain as below:

Risk Score (unmitigated)	Risk Score (mitigated)	Level of Risk
13	Zero	Extreme risk
14	3	Significant risk
4	14	Moderate risk
Zero	14	Low risk

5. EMERGING RISKS

Council manages a number of emerging risks, typically short term, that may or may not already be captured within the Risk Register. These will be reported to Council in detail as they arise, however the following is a summary of the predominant risks:

5.1 Local Body Elections

Already outlined within Risk 7, staff are identifying and managing risks associated with the election period and process. These include protecting Council’s integrity, transparency and reputation, ensuring compliance with legislative obligations, providing sufficient staff resourcing particularly across the Democratic Services Team and the Communications and Engagement Team, delivering engagement activities, and enabling council to complete its business within the decision-making time period requirements.

An internal project team has been established to manage the risks and ensure the successful delivery of the election process.

5.2 Local Water Done Well

Management have reported the complex risks involved in Local Water Done Well in a number of alternative forums and papers. In terms of the current focus to choose a new water services delivery model, staff continue to manage legislative and political changes, the strain on resourcing including staff and governance members, and consultation and decision-making requirements and timelines.

Management is also looking ahead to the future needs of the Council once the new water services model has been implemented. This will require significant consideration regardless of the model chosen.

5.3 Annual Plan

Given the challenges of delivering the Long-Term Plan and Annual Report, management is focused on ensuring Annual Plan risks are managed. This includes ensuring staff are suitable skilled and experienced, quality assurance processes; and sufficient capacity to deliver a quality report for Council. The AP is due for adoption on 30 May.

Annual Report

As discussed above, management is focused on delivering the Annual Report with improved skills and resources particularly in the finance team to deliver a quality report. Early engagement with the auditors is currently underway to ensure an improved audit process. New financial reporting and auditing standards are required for 2024/25 reporting including greater emphasis on Service Performance Reporting. Further details are outlined in a separate report for this committee meeting.

5.4 Combined District Plan

Work continues towards the adoption of the new Wairarapa Combined District Plan. This has required a significant amount of staff and elected representative resourcing over the past 18 months. The risk of legal challenge or dispute is traditionally very high, however the exemplary experience and professionalism of the committee and council team managing the process has enabled transparent, robust and in parts, innovative outcomes. Hearings are still underway however we expect them to be completed at the end of June. Once this is achieved, a decision version of the plan is released and the statutory appeal period commences.

5.5 Organisational Changes

Management are leading a number of organisational changes to ensure that we respond proactively to the challenges in delivering the Long Term Plan and Annual Report in 2024, that we are performing as effectively and efficiently as possible, and that council is well positioned to meet future potential impacts such as Local Water Done Well, legislative and regulatory change, and Wairarapa amalgamation developments.

5.6 Legislative Changes

The pace of change continues through a range of legislation including the Local Government Act 2002 (LGA) itself. Government proposes to re-focus the purpose of councils to provide for good-quality local infrastructure, public services, and regulatory functions in a way that is most cost-effective for households and businesses, while supporting local economic growth and development. This also includes the removal of the four community wellbeings. We expect to receive more guidance on LGA changes during the first half of 2025.

The other prominent legislative changes we are monitoring are to the Resource Management Act 1991, Building Act 2004, Emergency Management Act 2002 and the Employment Relations Act 2000.

6. CONSIDERATIONS

6.1 Climate change

Climate change risks and mitigations are outlined in the Risk Register.

6.2 Tāngata whenua

There are no specific tāngata whenua considerations required in this report.

6.3 Financial impact

There are no budgetary implications required in this report.

6.4 Community Engagement requirements

There are no community engagement requirements required in this report.

6.5 Risks

Council risks and mitigations are outlined in the Risk Register. There are none associated with this report.

6.6 Wellbeings

There are no community wellbeing considerations required in this report.

7. Recommendation

That the Committee:

1. Receives the report.

File Number: 445826

Author: Geri Brooking, People and Wellbeing Manager

Attachments: Nil

Risk and Assurance Committee Meeting Agenda

7 May 2025

7.5 Health, Safety and Wellbeing Update

1. Purpose

This report updates the Risk and Assurance Committee on recent health, safety and wellbeing (HS&W) activities.

2. Significance

The matters for decision in this report are not considered to be of significance under the Significance and Engagement Policy.

3. background

Quarterly HS&W reporting provides assurance to the Committee that relevant risks identified in Council’s Risk Register are being appropriately managed.

The People and Wellbeing (P&W) Team are responsible for reporting on risks, mitigations, and activities undertaken across People Management, Health and Safety (H&S), and Staff Wellbeing.

4. FOCUS OF ACTIVITIES

The main focus of activities for the reporting period February – April has been leading organisational reviews, implementing our new H&S platform, and completing the electrical safety project across council buildings.

4.1 ORGANISATIONAL REVIEWS

Management has recently completed a number of reviews across the council, both at a ‘whole of organisation’ level, and a function specific level to ensure the efficiency and effectiveness of our service delivery. This is the start of a phased approach to review how the council is organised in order to meet future challenges and opportunities such as ongoing affordability constraints, legislative and regulatory responsibilities, and Local Water Done Well

Due to its sensitive nature, more detailed information is provided for the Committee in public excluded reports however a summary is detailed below.

Benchmarking review

A review of the council’s current operating model and functional groupings was undertaken by an external consultant to provide a broad, high-level evaluation of the model compared against four other councils of a similar size, function, and population served.

Overall, the review found that while there was significant variability across all the operating models depending on the individual council and community priorities, CDC was on the ‘lean side of right-sized’ for the services delivered.

It further noted that CDC had the second-lowest operating costs per number of people compared to the other councils, while still serving the second-highest number of people per individual staff member.

Function reviews

Management have led several recent changes to the staff structures of its cleaning services, executive leadership, corporate services, finance, and emergency management (EM) functions. These include:

· Externally contracting all cleaning services for council facilities including public toilets;

· Reorganising the Executive Leadership, Corporate Services, and Finance Teams including the creation a new Chief Financial Officer role;

· Expanding the EM response model shared across the three Wairarapa councils to the Wairarapa EM Office led by a Wairarapa Emergency Manager.

4.2 H&S PLATFORM

Assura is a health and safety digital platform. It is a comprehensive yet simple platform that gives us the ability to configure workflow-based processes helping all staff to identify, manage and report incidents, risks, complete audits and observations. It is based to suit CDC locations and role specific risks and tasks. The platform is also available as an app, making it easy to undertake audits and record an incident at the location and time.

Features of Assura are:

· Event and Incident Management

· Safety observations, inspections and audits.

· Action management

· Vehicle, plant and equipment registers

· Contractor management

· Safety meetings

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Once implementation and staff training is complete, the platform will be live from June 2025.

4.3 ELECTRICAL SAFETY

Last Committee meeting we reported on our building electrical safety, with a large number of multi-boxes and extension cords being used by staff creating a potential risk of electrical fire. Over 60 multi-boxes and double plugs with over 10 extension leads being used have now been replaced with wall power outlets significantly reducing the fire risk across all buildings. During the process, safety upgrades were also identified and completed in the main power boards.

5. GENERAL RISK MONITORING

5.1 HEALTH & SAFETY INCIDENTS

Reporting of incidents by staff, including near miss reporting, continues to be consistent across all departments. Staff are reminded regularly of our various ways to report incidents and near misses through our staff newsletter, digital noticeboard and posters in staff lunchrooms. The HS&W Committee continues to work actively and be leaders in HS&W for the Council.

For the period February - May we received 16 incident reports:

· 5 x near miss reports

· 6 x reports of damage

· 3 x injury reports

· 2 x contractor incident reports.

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The HS&W Committee and HS&W Advisor have reviewed all incidents and are satisfied that the responsible managers and team leaders are taking appropriate actions in each case. None of the accidents have highlighted major systemic failings.

Near miss reports

1. Mats that were too small to cover lead wires in a public space and could cause a trip hazard were identified during a safety behaviour observation. The mats were replaced immediately with a large mat and taped down to minimise the potential trip hazard.

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Small mat over lead wires Replaced with larger mat and taped

2. The dosing unit at the Kaipatangata Water Treatment Plant is at the top of a large tank. Staff are required to climb a ladder and then lift a 20-litre drum of chlorine with a rope to the top. Quotes are being sourced to relocate the dosing unit to the base of the tank eliminating the need to climb the ladder.

Damage reports

1. Three incidents resulted in minor damage to vehicles. In alignment with our Substance and Alcohol Policy staff were taken for a drug and alcohol tests immediately following the incidents. All tests returned negative results.

Environmental report

2. A chlorine leak reported from a contractor is included in the contractor incidents reported.

Contractor reports

1. A contractor incident resulted in their staff receiving two fractured wrists. CDC were not initially advised of the incident that occurred on a CDC site. Outcomes from the contractor include;

o having to advise the contract manager of incidents within 24 hours of it occurring

o new procedures are in place for contractor staff that has been communicated across the company.

2. A contractor reported a chlorine leak to the contract manager. This resulted in the HS&W Committee undertaking an investigation. Outcomes found:

o The contractor and contractor manager had previously set up a bund to minimise the damage that could be caused if a leak were to occur and this had worked as planned keeping the leak to a minimum.

o Due to the bund already in place, the chlorine was able to be returned back into the tank.

o The contractor was raising the incident at the next toolbox meeting to remind staff of correct procedure to ensure the hose was completely inserted back into the tank.

o The contractor was updating their SOP to reflect this.

o The contractor was updating signage at the location of the incident to remind staff that the hose must be inserted completely into the tank to ensure that it couldn’t syphon the chlorine back out.

Our recent Safety Alert in the staff newsletter reminded what a near miss is, how to report and the importance of reporting near misses. The HS&W Committee supports a no-blame culture so we can continue to be working proactively in health and safety.

5.2 CONTRACTORS

Contractors are one of our ‘Five Biggest Risks’.

Contractor Management

44 of 55 contractors have been fully assessed in the SiteWise management system and hold green or gold status. This indicates a score above the expected competency level of 75%. The average score of all contractors assessed is 94% - above the national average of 84%.

6 contractors require renewal assessment and 5 contractors are exempt from the Sitewise assessment due to their pre-qualification with another certifying company.

We are pleased to see that by continuing to work with our lower scoring contractors, the number of contractors in red (scores of 0-50%) and orange (scores of 51-74%) is now 0.

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Contractor Audits

No audits were conducted during this reporting period.

5.3 RECRUITMENT

Over the reporting period, we had 3 permanent staff members join the council in Community Development, Communications & Engagement, and Infrastructure. We currently have one vacancy in Waters Operations.

5.4 TRAINING AND DEVELOPMENT

Red Seed Learning Management System

Ensuring staff are appropriately trained and qualified in their roles is a key mitigating

factor across almost all council risk areas. Our online training platform provides effective, accessible, and cost-effective training support for staff and people leaders.

Learning is based across six development pathways covering skills and knowledge that are generic to all staff - Induction, Health & Safety, Customer Service, Personal

Development, Wellbeing, and Leadership. Each pathway consists of 5-6 courses,

typically taking between 5 – 30 minutes for easy completion, with skills tests and mentor coaching, ensuring learning is practiced and embedded. This is the most effective way of learning and retaining knowledge, and courses are then available for future reference on an individual’s training dashboard.

Our latest dashboard summary shows that staff have completed 50% of the development courses they are enrolled in.

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5.5 LEAVE BALANCES

Managers are required to monitor leave levels to ensure staff are taking leave appropriately including monitoring sick leave, enabling sufficient rest from work, and managing the council’s leave financial liability.

Annual Leave

Current outstanding annual leave balances (based on a 5 week/25-day entitlement, pro-rated accordingly):

· 74% of staff have balances within one year’s leave entitlement of 25 days

· 15% of staff have balances one year and two year’s leave entitlement

· 11% of staff have balances over two year’s leave entitlement of 50 days, noting that two staff members only work 3-hour days.

Note: Recorded as ‘calendar year quarters’; the number of hours in a ‘day’ varies from 3hrs to 9hrs.

Sick Leave

Current sick leave balances (based on a 10 day/8 hour per day entitlement):

· 65% of staff have balances less than one year’s leave entitlement of 80 hrs

· 13% of staff have balances between one and two year’s leave entitlement

· 21% of staff have balances over two year’s leave entitlement of 160 hrs

Note: Recorded as ‘calendar year quarters’.

5.6 STAFF POLICIES

The following policies have been reviewed:

· Substance and Alcohol Abuse Policy

· Business Continuity Plan

· Crisis Management Plan (new policy)

· Motor Vehicle Use Policy

· Leave Policy

· Hours of work and fatigue guidelines

Policies currently under review:

· Customer Privacy Policy

· Sensitive Expenditure Policy

· Staff Training Policy

· Employee Code of Conduct

6. ENGAGING WITH OUR PEOPLE

6.1 HEALTH, SAFETY AND WELLBEING (HS&W) COMMITTEE

The Committee meets bi-monthly to report on HS&W issues and review incidents, near misses and hazards. The Committee remains well engaged and committed to leading HS&W across the Council. There are 9 members representing all teams across the council and supported by the HS&W Advisor.

This year the Committee will also be focusing on the implementation of the Assura Health and Safety platform, review of the council Hazard Register and review of the Health and Safety Strategy.

6.2 2022 - 2025 HEALTH & SAFETY (H&S) STRATEGY

The H&S Strategy and Action Plan supports the compliance and achievement of the aims of the H&S Policy.

Out of 21 actions to be completed, 10 have been completed and closed out, 8 are ongoing actions and three have been deferred for completion through the Assura platform.

6.3 STAFF WELLBEING

The council has obligations under the Health and Safety at Work Act 2015 (HSWA) to manage hazards that may impact employees H&S. This also includes personal risks such as fatigue, illness, injury, stress and emotional wellbeing.

Staff Wellbeing has been identified as one of our ‘Five Biggest Risks’.

The Wellbeing Strategy details objectives and outcomes that are important to our staff and their wellbeing. Initiatives and activities undertaken directly contribute to the four segments of the Staff Wellbeing Strategy: ‘Healthy Lifestyle’, ‘Good Working Relationships’, ‘Job Satisfaction’ and ‘Positive Culture’.

Wellbeing Initiatives and Activities

Activities were:

• Monthly staff craft group

• Weekly karakia and waiata class

• Staff newsletter posts

• Social club event

• Staff influenza vaccinations

My Everyday Wellbeing Platform

My Everyday Wellbeing provides a wide range of information and activities to increase the wellbeing of staff and their whānau. It provides both an interactive website and direct weekly emails to offer support and advice across wellbeing topics such as healthy eating, exercise, illness information, mental health, and financial wellbeing.

Our latest six-monthly staff engagement statistics are detailed in the attached report and summarised below.

The report shows around two-thirds of staff use the platform with all metrics being above the industry average use. Additionally, there has been an increased use by staff over the past 6 months with the most researched topics including advice on fatigue, nutrition, and food budgeting.

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7. EMPLOYEE ASSISTANCE PROGRAMME

The Employee Assistance Programme (EAP) is a workplace wellness programme designed to boost staff performance by proactively helping them resolve personal and work issues. The programme offers confidential and short-term support that assists with a variety of issues, including financial, legal, physical and mental health. EAPs are an essential part of supporting the health and wellbeing of Council staff, increasing productivity and encouraging a positive work environment.

EAP services have been accessed five times between February to April 2025.

Statistical reporting is now available to us from EAP services which we will include in future HS&W reports to the Committee.

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8. FIVE BIGGEST HEALTH AND SAFETY RISKS

The Five Biggest H&S Risks are identified and actively monitored to ensure control and reduction measures are in place.

Currently the Five Biggest Risks we are focusing on are:

1. Contractors

2. Working alone and remotely

3. Under reporting

4. Behaviour

5. Staff wellbeing

Risk

Controls and reduction measures

Actions

Contractors

Council hires contractors because it doesn’t always have the expertise or capacity to undertake the activities.

Contractors pose a risk principally because we have little control over their staff and their work standards while they are on the job. It is not possible for us to supervise them at a micro level. We are reliant on them to employ staff who are trained and competent to undertake the work assigned while at all times observing safe practices and their obligations under the Health and Safety at Work Act.

· SiteWise contractor management system

· Contractor briefing and induction processes

· Site safety checklists

· H&S plans included in procurement process

· Regular contractor audits

· All CDC contractors are being moved to SiteWise, an online contractor management platform. H&S information is provided and assessed. An assessment score of 75% or over indicates competency. At present 94% of CDC contractors are at competency level. We are working with contractors that have not yet achieved the 75% assessment mark.

ONGOING.

· Managers and team leaders will be receiving training on the reviewed contractor processes for Sitewise.

COMPLETE.

Working Alone and Remotely

Being such a small organisation, it is often impossible for staff to work in teams or even in pairs. Staff are often required to work alone and remotely, where in some cases poor cell phone coverage is an additional factor.

With the introduction of flexible working arrangements due to COVID-19, we have staff working from home more than we have had in the past.

· Staff policies:

o Working From Home Policy

o Remote Working Guidelines

· Appropriate communication devices and body cameras

· Sign in/sign out systems

· Leadership support

· Lone worker app has been trialled. Information to be collated for recommendation to the ELT for purchase of lone App and to engage with a monitoring service.

IN PROGRESS.

· Working Alone policies and associated Standard Operating Procedures (SOPs) reviewed.

COMPLETE.

· Hazard Register category – Working alone and working remotely updated.

COMPLETE.

Under Reporting

While there is a good level of reporting any physical accidents, the risk of under-reporting of near misses needs to be constantly monitored.

This is due to a combination of staff thinking “nothing happened so why report it,” and the perceived amount of time required to make a report.

· Staff policies:

o H&S Policy

· Employment Agreement and Job Description obligations

· H&S induction process

· H&S communications through posters, T.V. screen notices, and staff newsletters

· Staff notebooks

· “Sh!t That Was Close” Campaign

· H&S Committee

· Staff meeting, and Leaders Roopu, agenda item

· ELT reporting

· Site inspections

· Encouragement of reporting.

ONGOING.

· Site inspections.

ONGOING.

Behaviour

An unintended consequence of changes in our environment has seen Carterton District Council having to manage situations where people’s behaviours pose a risk of somebody threatening or assaulting them, possibly with a weapon with potential of a fatality.

Introduction of a range of services and experiences such as social media engagement and public Wi-Fi, together with external environmental factors such as mental health issues, anti-establishment sentiment, conspiracy theories, economic pressures, troublesome youth, drug and alcohol abuse have potential to result in an increase in problematic individuals frequenting CDC premises and dealing with CDC staff in the community.

Cash held on premises also presents potential for robbery.

· Staff policies:

o Robbery Policy

o H&S Policy

· Staff training:

o De-escalation

o Personal safety

o Customer service

o Cash handling and robbery

· Appropriate physical office design and security measures including cameras and communication devices

· Electronic payment mechanisms

· Community engagement and risk awareness

· Leadership support

· Refresher customer service and de-escalation training delivered (Feb 2024)

COMPLETE.

· Signs displayed in public offices.

COMPLETE.

· Online training available for staff and people leaders

COMPLETE.

Staff Wellbeing

Being a small organisation and having departments under-staffed is placing some teams under pressure and the need to work long hours. Staff under pressure pose a risk to themselves, the organisation, and customers. Staff under pressure can lead to burnout, stress, fatigue, all leading to both mental/physical and social affects, contributing to lower performance levels.

Working long hours under pressure can lead to poorer mental health including stressful feelings, an increase in anxiety, depression and lower quality sleep patterns. This will contribute to a higher number of accidents occurring, bad decisions being made, irritability and concentration/memory issues.

Employees physical health can be compromised with the increased risk of a stroke, heart problems, high cholesterol and high blood pressure.

Combined stressors of busy workloads, staff vacancies and absences, local government reforms, and COVID-19 can impact staff wellbeing.

Negative social media comments can cause stress and anxiety for staff. While we have communications specialists that can mitigate and manage these issues on the council page, many comments are made on private and community pages.

· Staff policies:

o Staff Wellbeing Strategy

o Hours of Work and Fatigue Policy

o Leave Policy

· Wellbeing communications through posters, T.V. screen notices, and staff newsletters

· Early recognition of stress, fatigue and burnout symptoms

· Managers support a safe environment to talk

· EAP Services available

· Clearly defined position descriptions and resourcing

· Relieving staff available from councils

· Staff training to manage negative social media impacts

· Filling of vacant roles.

ONGOING.

· Address lack of work-space issues through physical relocation, working from home flexibility where appropriate.

ONGOING.

· Undertake office accommodation assessment.

COMPLETE.

· Support staff uncertainty caused by Three Waters, RMA, and local government reforms. ONGOING.

· Provide change management training for staff.

COMPLETE.

· People leaders to highlight the issue of negative social media behaviour at Team meetings and provide helpful tips and resources including ensuring staff raise specific issues to managers when they occur.

ONGOING.

9. CONSIDERATIONS

9.1 Climate change

None of the issues reported in this paper are considered to have climate change implications.

9.2 Tāngata whenua

There are no decision implications for tāngata whenua.

9.3 Financial impact

All work undertaken is within planned budgets.

9.4 Community Engagement requirements

No community engagement is required.

9.5 Risks

There are no risk considerations related to decisions required in this report.

9.6 Community Wellbeing

There are no community wellbeing considerations related to decisions required in this report.

10. Recommendation

That the Committee:

1. Receives the report.

File Number: 444965

Author: Geri Brooking, People and Wellbeing Manager

Attachments: 1. My Everyday Wellbeing Engagement Report ⇩

Risk and Assurance Committee Meeting Agenda

7 May 2025

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7.6 Treasury Report

1. Purpose

To provide the Committee with an update on Council’s current Treasury position.

2. Significance

The matters for decision in this report are not considered to be of significance under the Significance and Engagement Policy.

3. Background

CDC’s Treasury position and management are reported at each Risk and Assurance Committee meeting. This covers the current debt position, forecast debt position, compliance with policy and covenants, and risks.

This report incorporates analysis undertaken by PwC who are engaged to advise on Council’s Treasury management.

This report sets out the Treasury position on 31 March 2025 advising the current status of debt and compliance against the parameters outlined in the Council’s Liability Management Policy.

An update on the position of investments is reported to the Investment Committee.

4. CURRENT DEBT POSITION

The council’s debt position as at 31 March 2025 is:

LGFA	$24,600,000
Internal borrowings	$ 6,732,000
TOTAL	$31,332,000

As well as external borrowing through LGFA, we also have internal borrowings of approximately $6.7m. Internal borrowing can be a prudent way to manage debt as we effectively spend Council cash holdings on capital expenditure and reflect this use of equity as internal loans.

Internal borrowings are not always visible in financial reporting, as only external debt is shown in the Statement of Financial Position. Our internal debt is shown in our Annual Report as part of our borrowings note disclosure. The weighted average interest rate on our borrowings with LGFA is currently 2.59%.

Interest rates have responded to economic conditions arising from the pandemic, global supply issues, and the movement in the OCR over the last couple of years. LGFA funding continues to be competitive compared to other lenders. Council is in a good position with a low average interest rate. Currently, internal borrowings have mitigated the external interest expense. Should we choose to refinance these internal borrowings, it will increase the external interest expense.

The current interest rate has been achieved through borrowing from several different bonds, ranging from 1 to 8 years. In selecting the bonds, we along with our advisors PWC, have considered interest rates and the timing of bonds to meet the requirements of the Council’s funding policy.

Any new borrowings required to fund elements of the 2024/25 capital works programme are likely to increase the weighted average borrowing rate.

5. LIABILITY MANAGEMENT COMPLIANCE

Council’s Treasury Management Policy (which includes Liability Management Policy and Investment Policy) stipulates parameters relating to the prudent management of debt. For the purposes of this report, the key policies are each addressed separately, as relevant.

Borrowing limits

The policy specifies the following borrowing limits, and Council is currently within all limits:

Limit	Council Limit	LGFA Lending Policy Limit	Position on 31 March 2025
Net external interest expense as a percentage of annual rates income	<15%	<25%	5.0%
Net interest expense as a percentage of total revenue	<15%	<20%	3.1%
Net external debt as a percentage of total revenue	<150%	<175%	88%
External debt plus available committed facilities plus liquid assets over existing external debt	Are maintained at or above 110%	Are maintained at or above 110%	134%

Liquidity Risk

Liquidity refers to the availability of financial resources to meet all obligations as they arise, without incurring penalty costs. This anticipates that Council has a minimum level of surplus liquidity to meet unexpected cash expenditure or revenue shortfall. The Policy calls for Council to maintain at least $2m in the bank, call and term deposits with a maturity date of no greater than 30 days.

On 31 March 2025, liquid assets amounted to $8.4m with the liquidity ratio being 134%, compared to the minimum limit of 110%. Term deposits longer than 30 days or linked to debt prefunding activity are excluded from the liquidity calculations, whereas uncommitted bank facilities are included in liquidity and current ratio calculations.

Debt Funding Risk

The maturity profile of the total committed funding in respect to all external debt and committed bank facilities is to be controlled by the following system.

Period	Minimum	Maximum
0 to 3 years	15%	60%
3 to 7 years	25%	85%
7 years plus	0%	60%

The current profile on 31 March 2025 was:

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As shown above, as at 31 March 2025 we remain compliant with the policy.

Interest rate risk

Interest rate exposure refers to the impact that movements in interest rates have on the Council’s financial performance. Council’s objective in managing interest risk is to minimise debt servicing cost and to maintain stability of debt servicing costs.

Factors that influence interest rates for long and short-term securities are beyond the control of the Council. When deciding the type of borrowing to be undertaken and what arrangements might need to be entered into to manage the interest on borrowing it is prudent to be aware of where the interest rate cycles are.

Exposure to interest rate risk is managed and mitigated through fixed/floating interest rate risk control limits based on the period to maturity and a suitable fixed/floating mix for individual periods. A 10-year period would set a fixed/floating mix of 25:75.

However, currently we are not reflecting that mix as the 3 Waters funding approach using short-term bonds on fixed low interest rates has given an interest rate profile as follows:

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As shown above, as at 31 March 2025 we remain compliant with the policy.

We have considered our interest rate exposure when drawing down borrowings and have structured our borrowings across bonds that end at different dates.

Council has $14m in interest rate swaps to help manage interest rate risk. Swaps may be used to hedge against adverse interest rate movements. Interest rate swaps allow both counterparties to benefit from the interest payment exchange by obtaining better borrowing rates. This was done to mitigate the possible interest rate increase when term bonds are required to be repaid and drawn down as they become due.

Interest rates are starting to fall. We will continue to monitor interest rates and consider ways to manage our interest expense.

6. forecast position

We have now started Year 1 of the Long-Term Plan (2024/34). We have forecast the debt to be $28.8m on 30 June 2025. As of 31 March 2025, our net debt was $16m. This reflects $24.6m gross debt less the repayment provision of $4.6m, excluding $6.7 million of internal borrowing.

We have capital expenditure carried forward from 2023/24 of $1.1m, so any loan funding of these items will increase this number. In line with spend forecasts and the funding environment we will continue to assess the best time to drawdown these borrowings.

This level of borrowing is well within policy limits, as shown in the Borrowing Limits table above.

Currently we are still holding internal debt and will continue to assess whether it is more prudent to continue to hold this internally or transfer to external debt through the LGFA. There are a few considerations here, including interest expense, and the fact that all of the internal borrowings relate to 3 waters assets.

Counterparty Credit exposure

Credit risk is the risk that a party to a transaction will default on its contractual obligation. Council is exposed to credit risk when there is a deterioration of the credit rating:

· of an entity with which the Council places its investments.

· of a counterparty with whom the Council may transact financial derivative contracts.

To avoid such risk, investment is made in instruments that are issued by entities that fit within the following:

Counterparty / Issuer	Minimum S&P long term / short term credit rating	Investments maximum per counterparty ($m)	Interest rate risk management instrument maximum per counterparty ($m)	Total maximum per counterparty ($m)
NZ Government	N/A	Unlimited	None	Unlimited
Local Government Funding Agency (LGFA)	AA- / A-1	20.0	None	20.0
NZ Registered Bank	A- / A-1	10.0(1)	10.0	20.0

Currently counterparty relationships are established with BNZ, ANZ and Westpac. Involving others will be based on our requirements, and their credit rating.

7. NEXT STEPS

Staff will continue to monitor and report on the Treasury position and compliance to the Risk and Assurance Committee. As new borrowings are drawn down, compliance with policy requirements will be considered, as well as advice from PwC.

8. CONSIDERATIONS

8.1 Climate change

There are no specific climate change considerations.

8.2 Tāngata whenua

There are no specific tāngata whenua considerations.

8.3 Financial impact

There are no financial impacts resulting from the decisions in this report.

8.4 Community Engagement requirements

There are no community engagement requirements.

8.5 Risks

Key risks relate to Treasury management areas outlined above. As demonstrated, we comply with policy and have significant headroom in terms of our borrowing capacity.

As borrowings increase, risk becomes higher. For example, changes in interest rates can have a significant impact. We continue to manage these risks and meet monthly with our external advisor PwC to assist in this.

Risks related to investments, and in particular managed funds, and the management of these risks, has been discussed in the report above.

9. Recommendation

That the Committee:

1. Receives the report.

2. Notes the current Treasury position and compliance with policy limits.

File Number: 445548

Author: Natascha Anderson, Financial Services Officer

Attachments: 1. Borrowing limits - Graphs ⇩

Risk and Assurance Committee Meeting Agenda

7 May 2025

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7.7 Emergency Management Update

1. Purpose

For the Committee to be updated on Emergency Management (EM) activities.

2. Significance

The matters for decision in this report are not considered to be of significance under the Significance and Engagement Policy.

3. Background

Quarterly HS&W reporting provides assurance to the Committee that relevant risks identified in Council’s Risk Register are being appropriately managed. This report updates the Committee on risks, mitigations, and activities undertaken as part of EM.

The focus of activities for the reporting period February – April has been the establishment of a shared EM Wairarapa Office, the completion of Cyclone Gabrielle After Action Review recommendations, development of the Wellington Region Civil Defence Emergency Management (CDEM) Group Strategy, and a review of the risk of space weather.

3.1 EM WAIRARAPA OFFICE

Following an internal review of the Wairarapa EM model, the three councils of Masterton, Carterton and South Wairarapa (Wai3C) have agreed to expand the shared Emergency Operations Centre (EOC) model used during an EM response to establish a shared, enduring, and dedicated EM capability across Wairarapa. This development has been driven off the success of the Wairarapa Recovery Office (WRO) and its ability to deliver strong outcomes with a dedicated and focussed resource.

The new EM Wairarapa Office will work closely with WREMO and operate across the Four R’s of EM - Reduction, Readiness, Response & Recovery. It will support councils in continually improving their internal EM capability to meet the increasing frequency and severity of ‘events’ affecting the Wairarapa. The office will be based in Masterton in close proximity to the EOC, and will be responsible for:

· Working with councils to develop and enhance the EM strategy for Wairarapa

· Managing and supporting the relationship and engagement between councils and WREMO 

· General advice and guidance, including direction on council decisions regarding agreed operational and strategic priorities.

· Supporting the ongoing integration and professionalisation of EM within council operations  

· Building and embedding a dedicated, sustainable, and resilient Local Controller capability across Wairarapa (available 24x7x365) 

· Developing and maintaining an alternate recovery capability across Wairarapa 

· Strengthening relationships with external partners and stakeholders, including Emergency Services, operating throughout the region.  

Simon Taylor, who has been in the role of Wairarapa Recovery Manager at the WRO, has been appointed to lead the EM Wairarapa Office, and will transition into the role while winding up the WRO by 30 June 2025.

3.2 CYCLONE GABRIELLE AFTER ACTION REVIEW

In June 2023, the Wellington Region Emergency Management Office (WREMO) released its review of Wairarapa councils’ performance during the event covering the areas of:

· Governance - political oversight and accountability;

· Operational matters - how CDEM Group members responded;

· Community outcomes - what impact these actions or inactions had on the community.

A total of 37 recommendations were made for WREMO and the councils to consider aimed at strengthening the EM response, covering areas such as deliberate resourcing, improving training, shift management, clearer tasking, and better engagement during events.

Of the 37 recommendations, all but two have been addressed or incorporated into ongoing training and processes. The two outstanding items are:

· Finalisation of the Concept of Operations (CoO) Agreement
The CoO between the three Wairarapa councils is expected to be finalised by 30 June 2025. This document will enable the incorporation of several further improvements into the Wairarapa Emergency Management framework.

· Alternative Communication Operations and User Training
This relates to ensuring that users are adequately trained to operate alternative communication systems. Wairarapa continues to utilise VHF radios and relies on training community members to operate them during emergencies. WREMO has completed a regional communications review, which included trialling Starlink technology. NEMA is also investigating the resale and procurement of Starlink systems, as well as alternative options, to secure a cost-effective solution. While a decision on satellite communications capability is expected by 30 June 2025, VHF radio training continues within the community to maintain a reliable backup communication method, especially given the unreliability of mobile networks during extended power outages.

3.3 Development of the Wellington Region CDEM GrOup Strategy

The CDEM Group Strategy is guided by the National Disaster Resilience Strategy (NDRS) and will underpin the development of two CDEM Group Plans over the next 10 years. The Group Plan sets out the operational framework and work programmes through which member councils collaborate to strengthen regional resilience.

To ensure better alignment between WREMO’s strategy and the strategic priorities of member councils, a series of workshops have been held with key partners across the Wellington Region CDEM Group. These workshops identified critical focus areas that will inform the development of the new Group Strategy. Feedback from the workshops is currently being collated and refined and will be presented to the Co-ordinating Executive Group (CEG) for review of the final draft. The draft strategy is scheduled to be submitted to the Joint Committee for approval by 24 June 2025.

EM staff from across Wairarapa have actively contributed to these workshops, providing a Wairarapa-specific perspective on EM and community engagement, reflecting the unique needs of both rural and urban areas. Other participants included representatives from Emergency Services, Lifeline Utilities, Welfare Agencies, and Iwi, all of whom play a critical role in the delivery and engagement of the Group Plan.

The workshops have focused on three key strategic goals:

· Managing Risks

· Effective Response and Recovery

· Building Community Resilience

The final Wellington Region CDEM Group Strategy will be released following approval by the Joint Committee. The Strategy is expected to provide stronger alignment between WREMO’s activities and the strategic direction of member councils.

3.4 EM BILL SUBMISSION

As part of its response to the Government Inquiry into the Response to the North Island Severe Weather Events, the Government is consulting on a new Emergency Management Bill which it intends to pass during this term of Parliament. The Bill will replace the Civil Defence Emergency Management Act 2002 and is an opportunity to ensure legislative settings enable the improvements identified through the Government Inquiry and other reviews.

In particular, the legislative reforms aim to ensure there is a whole-of-society approach to EM with proposed objectives to:

· strengthen community and iwi Māori participation in EM

· provide for clear responsibilities and accountabilities at the national, regional, and local levels

· enable a higher minimum standard of EM

· minimise disruption to essential services

· ensure agencies have the right powers available when an emergency happens.

WREMO will be collating feedback from councils and making a submission on behalf of the Wellington CDEM Group. Submissions close on 13 May 2025.

3.5 SPACE WEATHER

In the previous Committee meeting, Space Weather was highlighted as a potential EM risk. Space weather is caused by activity on the surface of the Sun. Storm-like activity can throw out bursts of electromagnetic radiation and solar material which can impact Earth-based infrastructure systems, especially electricity generation and distribution.

Extreme solar storms are rare but can be damaging. They can damage or destroy electricity infrastructure. They can also severely affect the operation of satellites used for positioning systems, telecommunications and more.

Space weather is linked to solar activity. This activity rises and falls across a cycle that ends about every 11 years. The current ‘solar maximum’ (a period of high solar activity) started in October 2024 and increased solar activity is expected over the next few years, but significant space weather events can happen at any time.

Two recent extreme events that impacted Earth’s magnetic field are the Carrington Event in 1859 (an intense geomagnetic storm) and the severe space weather event of May 1921. The world’s increased reliance on technology means these events would be far more damaging today.

The National Emergency Management Agency (NEMA) is the responsible agency if an event occurs, and WREMO and councils would be called on to lead locally.

Plans are in place for these events with a focus to:

· minimise the impact to New Zealand’s electricity infrastructure

· allow New Zealand’s electricity sector to switch off some, or all, of their vulnerable equipment, to minimise long-term damage.

NEMA’s 24/7 MAR Centre monitors space weather forecasts from the United States National Oceanic and Atmospheric Administration and Australia’s Bureau of Meteorology. There are three main types of event - radio blackout, solar flare, and coronal mass ejection.

Warning times that New Zealand can expect in these events are:

· Radio blackout - from minutes to hours

· Solar flare - from minutes to hours, or no warning

· Coronal mass ejection - at least 12 hours, but arrival times vary, the bigger the event, the less advance warning. Satellites can tell us more about the size and type of event between 15 and 60 minutes before the event impacts Earth.

If a significant storm is detected, the MAR Centre will contact Transpower and other stakeholders, and activate NEMA’s National Space Weather Response Plan outlined in Attachment 1. These procedures focus on the impact to New Zealanders from a major infrastructure failure.

NEMA’s also has a public education focus which will centre on the impacts to New Zealanders, advising them what will happen, how long the event will last, and what they can do to prepare. The most likely impacts to New Zealanders will be:

· Power cuts for the duration of the event, which could last for approximately 6 days

· Rolling power cuts that may last days or weeks after the event

· Internet, cell phone services, TV and radio outages.

Public messaging will include:

· In the period leading up to an event:

o Keep cell phones on so you can receive alerts. If you have cell phone service, only make calls and texts in emergencies to prevent networks becoming overloaded

o Listen to the radio for updates. AM radio frequencies are likely to remain operational

o If you are medically dependent on power, consider activating your backup plan.

· Once power has gone out, remember:

o You can use home generators and solar power systems – these will not be affected

o You can use your car to charge your phones and other devices

o Eat food from your fridge first, then your freezer

o Always wash and dry your hands before preparing food – if water is in short supply, keep some in a bowl with disinfectant

o Do not use outdoor gas applicants such as patio heaters, camping cookers and barbecues indoors. Outdoor gas appliances can produce dangerous levels of carbon monoxide

o If you are dependent on medical equipment that is electrically powered, activate your backup plan

o Share this information with family, neighbours and friends.

4. GENERAL RISK MONITORING ACROSS THE FOUR R’S

Activities undertaken across the Four R’s of EM (Reduction, Readiness, Response & Recovery) support EM risk mitigations.

4.1 REDUCTION AND READINESS

Resource Containers
To date resource containers have been successfully delivered to Castlepoint, Flat Point, Mataikona, Riversdale and Tora communities. The containers include tools and equipment providing shelter, communication (portable radio with solar power backup), medicinal and hygiene supplies, all designed to help with the first 3-7 days following an emergency event. The final two containers are pre-allocated for the Ngāwi and Lake Ferry communities.

Psychological First Aid Courses
The final of twelve WRO-sponsored Psychological First Aid courses will be in Masterton on 20 May. Often described as the mental and emotional equivalent of medical first aid, this training is designed for both laypersons and professional responders and plays a critical role in building organisational and community resilience.

We acknowledge and appreciate the support of the New Zealand Red Cross in delivering a best-practice approach to providing initial emotional and practical support to individuals affected by traumatic events. Feedback from a wide range of participants has been overwhelmingly positive, highlighting both the relevance of the course content and the significant value it brings to strengthening community wellbeing.

Community Renewable Energy Fund
Through the Community Renewable Energy Fund, administered by the Department of Internal Affairs (DIA), solar panel and battery backup systems have been installed and commissioned at three sites across the Wairarapa: Hau Ariki Marae, Gladstone Sports Complex, and Whareama Hall.

These installations are designed to maintain power supply if the electricity grid is unavailable during or after an emergency event, while also reducing reliance on external power sources under normal operating conditions.

Following a change in fund administration, the Energy Efficiency and Conservation Authority (EECA) — the new distributor of the grant — has approached the Wai3C councils to explore opportunities for expanding the programme to additional facilities on a cost-share basis. Discussions with EECA regarding this proposal are ongoing.

Wireless Solar Battery Upgrades
WRO has an agreement in place with Wizwireless to upgrade 10 sites across Wairarapa, using funding from the Ministry for Primary Industries (MPI) grant, to incorporate solar and battery backup systems. These upgrades will enable continued internet connectivity during power outages.

Community Campaign

Throughout April, WREMO’s public education theme was Preparedness on a Budget.

The aim of this campaign was to support households and the community to be prepared while managing the cost-of-living pressures. The messaging of this campaign was that being prepared is not just about the items, supplies and tools owned, but that it’s also about having knowledge, relationships, social capital, and practising behaviours that make us more ready and resilient. Budget friendly preparedness tips were provided though the Get Prepared website, in print, and social media.

Carterton Emergency Community Hub

In March, Neighbourhood Support supported WREMO’s monthly public education theme to raise awareness of the Community Hubs with messaging through their newsletter and a display in the Events Centre foyer.

The display included EM sign language resources.

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RESPONSE

Exercise Wai Riri
We are preparing for the upcoming EOC response exercise at the EOC in Waiata House, Masterton. This is one of two events held annually, with the May exercise giving more local focus and the Oct/Nov exercise being more regionally focussed. These exercises are resourced by Wai3C and community partners, and enable staff to put their training into practice.

The aims of this exercise will be to:

· Embed 2 shift roster, with handover at each shift

· Induct new council employees into the EOC

· Engage Deputy Mayors in EM

· Work with our EM community partners (NZP, FENZ, WFA, Health) plus MPI, Rural Support

· Expose new Local Controllers to leading an exercise, expanding the pool of available resource

· Include Recovery Managers at the beginning to start developing the recovery plan

· Use new GIS tools to develop a common operating picture (GCOP) of the size and scope of the devastation.

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Development of a Regional Common Operating Picture (GCOP)

Controllers
The primary role of a Controller is to lead teams during an event, providing the conduit for Mayors and CEs into what’s happening and liaising with WREMO if the event is regionally significant. However, between events, the Controllers are also on call 24/7 assessing potential impact from a variety of extreme events, including earthquake, tsunami, floods, server weather, pandemic, and lifelines failure.

We continue to grow our pool of Local Controllers and by 30 June 2025 we will have a pool of 7 Controllers available during an emergency, up from 2 at the same time last year.

Wairarapa Engineers Lifelines Association (WELA)
WELA is a group of key utility, transport, EM and lifeline stakeholders who meet regularly to assess the interdependencies and threats to each infrastructure service. This includes Wai3C teams who in conjunction with NZTA administer roading in the region, and who also manage the water assets (drinking, storm & waste).

In March, WELA chair Adrienne Staples, presented to the Wairarapa Combined Council Meeting, highlighting that following a recent study, WELA concluded that unless mitigated, the Wairarapa region is highly exposed to natural hazard events. In particular, the following sectors have been identified as being highly vulnerable and are in urgent need of mitigation:

· Transport

· Electricity Network

· Flood Defence

· Water Services.

The WELA report is included as Attachment 2.

4.2 RECOVERY

Two Year Anniversary of Cyclone Gabrielle
The WRO successfully executed a programme of communication activities in conjunction with the two-year anniversary of Cyclone Gabrielle in mid-February.  A multimedia approach through local newspapers, social media feeds and industry specific communications was used to:

· mark the anniversary and acknowledge the impact the cyclone (and Cyclone Hale) had on Wairarapa

· recognise the council teams, partner organisations and community agencies that have been involved in the recovery effort

· highlight the progress made in the recovery process while indicating that overall recovery will still take some years to achieve

· showcase some of the key recovery activities and how funding has supported and provided ongoing benefits to impacted whānau and communities.

Recovery Office Closure
Funding for WRO ceases 30 June 2025. The Office is in the process of completing a Final Summary Report, incorporating feedback from councils, WREMO, central government, stakeholders and community to help shape and guide the establishment of a future Recovery Office, if/when needed. A Transition Report for any areas still to be completed will be provided to ensure hand over in an appropriate manner to Wai3C’s. The final meeting of the Wairarapa Recovery Governance Board is 26 May.

5. CONSIDERATIONS

5.1 Climate change

The increasing frequency of severe weather events due to climate change means we are more likely to experience environmental events such as flooding. Many EM mitigations and activities seek to address or reduce anticipated climate impacts and support adaptation strategies.

5.2 Tāngata whenua

EM activities include engagement with tāngata whenua through the EOC Pou Māori roles, and CDC Māori Liaison Team. Mana whenua representatives participate in the Wellington CDEM Group governance.

5.3 Financial impact

There are no budgetary decisions required in this report.

5.4 Community Engagement requirements

There are no community engagement requirements required in this report.

5.5 Risks

The report updates the Committee on activities and mitigations outlined in the Council’s Risk Register.

5.6 Community Wellbeings

Effective EM supports the following community wellbeing outcomes:

Social

· A strong and effective council providing trusted leadership

· A caring community that is safe, healthy, happy and connected

· Fit for purpose public facilities, spaces, parks and rural reserves

Cultural

· Te Āo Māori/Māori aspirations and partnerships are valued and supported

Environmental

· A safe and resilient water supply, and wastewater and stormwater systems

· Healthy, sustainable waterways

· An environmentally responsible community committed to reducing our carbon footprint and adapting to the impacts of climate change

· A resilient community capable of responding and recovering from environmental shocks

Economic

· Quality, fit-for-purpose infrastructure and services that are cost-effective and meet future needs

6. Recommendation

That the Committee:

1. Receives the report.

File Number: 444964

Author: Geri Brooking, People and Wellbeing Manager

Attachments: 1. NEMA National Space Weather Response Plan ⇩

2. WELA Community Report ⇩


AGENDA Risk and Assurance Committee Meeting
Date:	Wednesday, 7 May 2025
Time:	9:30 am
Location:	Carterton Events Centre 50 Holloway St Carterton
P Jones (Chair) Deputy Mayor S Cretney (Deputy Chair) Mayor R Mark Cr D Williams	Cr S Laurence Cr G Ayling M Sebire - Hurunui-o-Rangi Marae