BayBuzz Editor caught nodding off at Hastings Council meeting.

I ‘attended’ two council meetings on Wednesday, the HB Regional Council by video in the morning and the Hastings District Council in person in the afternoon.

What a contrast!

HBRC

At the Regional Council (you know, the one the Government Is dissolving), the topics of discussion included:

  • The status of a variety of workstreams related to ‘reimagining’ our region’s flood resilience capability, involving a web of citizen and stakeholder focus groups, catchment steering groups, major infrastructure players like  NZ Transport and KiwiRail, and a covey of technical advisors – all coming to a head in June when options will be sorted, prioritised and priced for potential packaging into HBRC’s next long-term plan. Will the investment number be $600 million?
  • Then, the final strokes on the Coastal Hazards Strategy, where detailed short-, medium- and long-term options have been developed and extensively tested with the public and, now with funding approaches and costs, also needing to go into the LTP process. Some Councillor sparring, with more to come, evidenced the political sensitivities over who should pay. While short-term actions might cost in the $30 million range, full scale managed retreat could cost $200 million over the next 20 years alone, ultimately climbing to $2 billion over 50-100 years.
  • Also, an update on the key cyclone recovery/resilience projects that HBRC has been leading from Wairoa to Porangahau, plus pump station and telemetry upgrades – ten major projects with a cost of $241 million.

All in, these three programmes could account for spending approaching the $1 billion range … most of that yet to come.

  • Also on the agenda was review of the Statement of Intent from HBRC’s investment company (HBRIC), which commits that entity to generating an important chunk of that intergenerational spending (aiming for $13.5 million in FY27) from assets valued at $577 million (80% of that the Port).

Pretty grunty stuff, dealt with by 11 councillors.

HDC

Then I went to the Hastings District Council meeting, which, with 15 councillors squeezed elbow-to-elbow at the council table, in tenor more resembling a real-life game of Trivial Pursuit.

To ask and answer questions and voice their impassioned support for the proposals at hand Councillors (and staff) literally popped up and down like jacks-in-the box, a formality totally incongruous with the lightweight matters at hand.

The HDC agenda was loaded with, frankly, minor items that a 5-person volunteer community board might have effectively dealt with – appointing youth representatives to the council and its committees, approving a $1 lease for a fitness pod, proceeding with public consultation on an Eskdale reserve plan, approving changes to the meeting schedule, reviewing Information Act requests. Talk about heavy lifting … are Her Worship the Mayor and 15 Councillors enough horsepower to bear this workload?

The agenda included one potentially substantial topic – launching public consultation on the next Annual Plan, with two options presented: a 5.9% rate increase that requires borrowing to keep the increase down but still fund the essentials the council wants to deliver, versus a 9.1% increase that would fund the spend and balance the budget in the coming year.

I attended the meeting hoping to witness firsthand some fireworks around that. 

I expected neither of these options would satisfy Councillor Steve Gibson, who campaigned promising to cap rates at the inflation level, his position reinforced by the Government, which is headed toward legislating a 2%-4% rates cap on councils.

Indeed, he popped up to object, but Mayor Schollum cautioned that he effectively would appear to be voting against public consultation, not the rates increases themselves. After reflection, he sank back into his seat.

I should have known better. Fireworks from this group would be as likely as an orgy at Mary Doyle.

If Councillor Gibson were true to form, he could have used the occasion to announce his alternative Gibson Inflation Only Budget (GIOB) – identifying the cuts he would champion to enable an Inflation Only Budget – and ask his 7,618 loyal voters to communicate their endorsement of GIOB during the submission process. Hijack the submissions process!

What if his GIO-Budget got more ‘submissions’ endorsing it than the two ‘official’ options? Storm the council building!

Escaping any such theatrics, Mayor Schollum pronounced Councillors and staff had done their assignment in crafting their two options, “well done!” … and now it was time to listen to the people. Or should it be listen but lead?

So, here’s a snap question: Which of these two councils seems more needed?

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9 Comments

  1. So HDC has approved their draft annual plan today with a 9.1% increase in spending. (3x inflation)
    Ratepayers seriously need to submit their thoughts on the increase in spending and ultimate rate increases proposed!

    So I thought I would share with you my “personal” draft annual plan proposal below that would have held rates to inflation, (albeit some items would need Long term plan amendments) #ratepayers #hastings

    My Alternative Annual Plan:

    Ratepayers are being asked to accept a 5.9 percent increase while council borrows $4.8 million just to fund day to day spending. That is not sustainable.

    This plan limits rates to 4 percent, removes borrowing for operational costs, and restores focus on core services.

    Proposed Savings
    1. Close the Art Gallery
    Saving: $1.9 million
    A non essential service that cannot be justified in the current financial climate.

    2. Close Waiaroha Education Centre
    Saving: $250,000
    Education programmes sit outside core council responsibilities.

    3. Parks and Reserves Reset
    Saving: $1.3 million
    Scale back high cost flower displays, shift to low maintenance planting, use smaller local
    contractors, and accept a modest reduction in presentation standards.

    4. Libraries Reduced Hours Model
    Saving: $1.0 million
    Reduce from 7 days to 5 days, Tuesday to Saturday.

    5. Staffing Reduction of across Non Core Departments
    Saving: $1.2 million
    Reduce approximately 15 roles focusing on duplication and non essential functions.

    6. Transfer Tumu Building Lease to Three Waters Entity
    Saving: $850,000
    Shift lease costs and consolidate remaining staff into the former art gallery and Waiaroha facilities
    to ensure buildings are fully utilised.

    7. Cancel Increase in Emergency Management Spending
    Saving: $1.3 million
    Pause the increase and maintain current service levels while reviewing delivery.

    Total Identified Savings: $7.8 million!

    Bottom Line
    This plan would deliver a 4 percent rates increase and zero borrowing for operational spending, and a fully balanced savings programme.

    No gaps. No borrowing. No excuses.

    By living within our means and going back to basics we would ensure our elderly ratepayers and those on fixed incomes keep their dignity!

  2. Retain the HB Regional Council, I’ve never minded paying their rates, & amalgamate HDC & NCC.

  3. I really would look forward to Mr Gibson’s cheerless, monochrome and boring city – and, yes, I’m on a fixed income (fairly low) but would rather pay higher rates than lose the benefits of educational places for our kids, rather have an arts scene to give people something to aim for, and so on. So basically I’d rather have bright and cheerful and educative (is that a word?) than dull and boring – and I’m willing to pay the price

    1. Yep, cheerless, monochrome, boring… and austere. Then there’s the previous overt racism. I wouldn’t look forward to that if you were someone that lives in a community and wants it to thrive. It’s more the politics of the privileged that have a second home, perhaps in Wanaka.

  4. Thank you Steve for a well researched list of sensible cuts to the annual plan budget. A 4% rates increase without increased borrowing is a no brainer.
    Richard Kane

  5. My goodness aren’t the current group of HDC councillors a pack of wimps, ( with the exception of Mr Gibson). All just clicking the bus ticket. I emailed both the mayor and my local councillor( Hana Montapeto hyphen Hendry) before this meeting, imploring them to consider a much lower rate increase, as lots of their ratepayers are hurting financially. No reply from either! They don’t want to rock the councils boat. Shame on them

  6. I would hazard a guess that the majority of rate payers would welcome the savings that councilor Gibson has outlined to obtain a smaller increase in rates. The opinion of an individual is meaningless on such decisions. Most of these cuts to expenses would not adversely affect the running of the city, which is surely what the council should be focusing on in difficult fiscal times.

  7. Any savings on nice to haves over needs should be welcomed by all. We don’t want to be like Hipkins splashing $40 million of taxpayers $ for a spa, oh wait, we already did that with the $110 million + in ratepayers $ in Napier and Council buildings being built in Hastings and leased back? Holey moley! Thanks Kirsten and co! Well done Steve for trying to make positive change. Richard, can you too? We voted for it.

  8. Does anyone else think the majority of HDC and NCC don’t actually care about the ratepayers, they care more about saving face.
    https://www.nzherald.co.nz/hawkes-bay-today/news/hastings-councillors-clash-over-mana-whenua-seat-on-new-water-board/YTBC47JQPVB67POT6BYIDM3ODE/
    Thanks, Steve and Richard, for attempting to be fair to all of the community, rather than the minority who barely contribute a fiffel, only take, take, take and moan, moan, moan. Are they still stationed on Domain Road land for free. Gosh, we are terrible people aren’t we?!

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