City Scene - Christchurch City Council Newsletter Annual Plan Edition June 1996

RAISING THE STANDARDS, IMPROVING THE SERVICES, MANAGING THE COSTS

---

Introduction ~ Raising the Standards ~ Budget ~ An Environmentally Sustainable City ~ A Vibrant Central City ~ Meeting Needs in the Suburbs ~ A Sense of Community ~ Keeping Ahead in a Fast Changing World ~ Long Term Financial Management ~ How Your Rates Will be Spent ~ Questions & Answers ~ Public Notice

Introduction This year's Draft Annual Plan continues the work of making a great city better. It provides for new services, continuing progress on projects already begun, and improvements to existing services. At the same time it holds the rise in rates to only 2.77%. In this issue of City Scene we show you how the Council plans to spend the rates it receives. We also show you the new and improved services we plan to provide and explain how the Council plans to manage its finances over the longer term. Now we'd like to hear what you think. Do you think the Council should be doing more? Do you think the Council should be doing less? Do you think the Council should be doing something different? Has the Council got things about right? Please let us know. You will find details on how to have your say below. If you want more information, we have set up a hot line to answer your questions. Give us a ring on 941 8888.

---

RAISING THE STANDARDS, IMPROVING THE SERVICES, MANAGING THE COSTS

This year's Draft Annual Plan continues the work of making a great city better. It provides for new services, continuing progress on projects already begun, and improvements to existing services. At the same time it holds the rise in rates to only 2.77%.

In this issue of City Scene we show you how the Council plans to spend the rates it receives. We also show you the new and improved services we plan to provide and explain how the Council plans to manage its finances over the longer term.

Now we'd like to hear what you think. Do you think the Council should be doing more? Do you think the Council should be doing less? Do you think the Council should be doing something different? Has the Council got things about right? Please let us know.

You will find details on how to have your say on the next page. If you want more information, we have set up a hot line to answer your questions.

Give us a ring on 941 8888.

BUDGET

The budget provides for $190.4m to be spent over the next 12 months delivering the services currently enjoyed by the community. These include:

• The operation of facilities such as libraries, swimming pools, stadia and the Robert McDougall Art Gallery.
• $2.56m of grants to a range of community organisations.
• $2.3m to Canterbury Development Corporation to develop new jobs in the local economy.
• Day to day maintenance of parks, roads, water, sewage and drainage systems. Events and festivals.

AN ENVIRONMENTALLY SUSTAINABLE CITY

A key strategic aim of the Council is to ensure Christchurch's environment can be sustained over the longer term.

The Council will be taking these initiatives:

• Preparing to set up a major kerbside recycling programme for 1997/'98 (see
• Reviewing the Council's own practices. For example, increased use of organic and/or pressurised hot water sprays for roadside weeds.
• Dedicating more resources to the preservation and re-use of historic and heritage buildings.
• Protecting and improving the features which give Christchurch its unique identity, such as the green spaces around
• the estuary and the foreshore.

A VIBRANT CENTRAL CITY

The Council will be upgrading the quality and liveliness of the central city. It must be a safe, attractive place where Christchurch residents and overseas visitors can mix in a way which is enjoyable - and beneficial to the local economy and employment. There will be further improvements to the streetscape, and further marketing initiatives and studies. The Council is determined to protect the heart of our City.

MEETING NEEDS IN THE SUBURBS

There will be hundreds of local improvement schemes, looked after by our Community Boards. These will include:

• Upgrading street lighting ($590,000).
• Improving public amenities, such as Bishopdale Mall.
• Making the roads safer by altering junctions and installing safety barriers ($1.9m).
• Developing and maintaining the 22 new parks that have been added throughout the city in the last 12 months.

A detailed list of all the suburban projects is contained in the Draft Annual Plan.

A SENSE OF COMMUNITY

• Community recreation and development initiatives continue to feature. They help people with common interests build ties and help combat the loneliness and isolation felt by some. The wide range of programmes target areas as diverse as traffic safety, recreation for those with disabilities and holiday programmes for school children.
• Further library development will cater for the rising demand for books, other materials and electronic information - and provide a more equitable standard of service throughout the city.
• Indoor pools will be built at Pioneer stadium for the people of south Christchurch. Work will begin on a whole new complex at the Centennial site.
• The Council will continue its strategy of developing festivals for the City as a whole, and to attract tourists. We're planning a new winter book festival in 1997. Some of our current festivals will be extended and improved.

KEEPING AHEAD IN A FAST CHANGING WORLD

The Draft Annual Plan provides for continuing enhancement of the environment of the City and its lifestyle. The Council is determined to do its share to ensure that in a rapidly changing world Christchurch remains a place where people enjoy living, working and playing. This is important for our people; it is also important for making Christchurch an attractive place for investment and growth in jobs.

LONG TERM FINANCIAL MANAGEMENT

The Council knows that local government in the 1990s must manage its financial affairs prudently. In particular:

• The Council's roads, drainage and sewerage systems, water supply and all its other assets, totalling some $2 billion, must be properly maintained.
• Neglecting regular maintenance simply transfers problems to future generations, and costs more in the long run than properly maintaining the assets in the first place.
• Rates must be held to responsible levels.
• Borrowing must be kept under control.

Between 1989 and 1993 the Council did not increase its rates, even though inflation was pushing up costs. For two years prior to this, rate rises had been well below the then high rate of inflation. Instead the council borrowed to replace aging pipes and roads. By 1994 this borrowing had reached a level of $12 million per annum. This clearly could not continue. Either the Council would become seriously indebted, imposing unnecessary and unfair costs on future generations, or it would have to allow its assets to run down.

The Council addressed the situation in 1994 when it decided to increase its revenue over the period from 1994 to 1998 to eliminate this $12 million deficit. Eliminating the deficit has been the cause of rate rises over this period.

At the same time, the Council imposed strict borrowing limits upon itself. These limits were set after consulting with financial experts, Audit New Zealand and international credit rating agencies. The Council has lived within these limits since they were imposed, and will do so in the future. As a result, the Council has maintained an international credit rating of AA.

For comparison, here are the credit ratings of some well known New Zealand organisations:

New Zealand Dairy Board	AA
Electricity Corporation of NZ	AA-
Westpac	A+
Countrywide Banking	A
Carter Holt Harvey	BBB+
Fletcher Challenge	BBB

Source: Standard and Poor's Monthly Bulletin May 1996

Full details of the Council's financial management policies are included in the Draft Annual Plan.

How Your Rates Will be Spent

	($ millions)
Art Gallery	1.3
City Streets	26.0
Development & Employment	3.7
Environmental Policy	2.5
Environmental Services	4.0
Leisure & Community Services	9.2
Libraries	11.5
Museum	1.4
Parks	10.6
Public Accountability	4.7
Refuse	2.5
Service Delivery & Advice	3.9
Sewerage	12.5
Water Services	15.6
TOTAL	$109.4

QUESTIONS AND ANSWERS

Q Why are our rates still going up?

A The most important reason is to eliminate the Council's operating deficit. See "Long term financial management" on page 2. Full details are available in the Draft Annual Plan. Another reason is because ACC charges, for example, have gone up by $225,000, and Government subsidies for roads are $1.5 million less.

Q What about all those extra services? Are they not putting the rates up?

A Not really. There are two other sources of money for these -

• The City has grown by 11,000 people over the past two years. These people add value to the City, and so bring extra revenue to the Council.
• The Council has achieved significant gains in efficiency since amalgamation in 1989. Savings in operational expenditure have been passed on in the form of improved services. Real savings were 5% in 1995-96 and 4% in 1996-97.

Q In these days of reduced Government spending, is the Council doing too much?

A Some say the Council is doing far too much. Others say the Council should do more to make up for what Central Government no longer does, do more to protect heritage buildings, do more to manage traffic flows better. Tell us what you think in your submissions. Please consider these points -

• The Council is, overall, a small player in Canterbury's economy, accounting for only 2.2% of the gross regional product in 1996. This is projected to fall to just over 2.0% by 2001.
• Should the Council just look after roads, rates, rubbish and pipes? Or should it try to make Christchurch a more exciting place to live? Each year when we survey our residents we ask questions on where the Council should spend more or less.

Q What about the Council's debt levels? Is debt getting out of control?

A No. The Council is living within its self-imposed guidelines. These guidelines have earned the Council a AA credit rating - better than some well known companies. See the Draft Annual Plan.

Q How can I have my say?

A You can put in a written submission. Details on how to do this are in our Draft Annual Plan. Ring our hotline, 371-1888 for more information or help. All written submissions will be considered.

Q What if I want to talk to someone about the Plan?

A If you want information or clarification, ring 941 8888.

If you want to speak to the Council committee responsible for the Plan, let us know when you send in your submission. All people who put in written submissions have the right to be heard if they wish to be.

Public Notice

The Christchurch City Council has prepared Variation No. 1 to the Christchurch City Proposed District Plan. The nature of the Variation is as follows:

• The issue has been raised with the Council that the errata issued with the Proposed District Plan may not be legally valid in terms of the provisions of the Act.
• The Council does not necessarily accept that submission. As a precautionary measure and to resolve any potential uncertainty the Council is notifying this Variation covering the same amendments contained in the "Errata : Amendment No 1 (24 June 1995)" issued with the Proposed City Plan when notified.
• These amendments were included in the replacement pages dated 1 August 1995 that have already been circulated to those who hold copies of the Proposed Plan. (Note that notwithstanding this Variation, the Council will for all purposes consider the Proposed Plan as that notified, including the errata).
• The amendments relate to a large number of different parts of the Plan. The majority are simply clarifications and corrections of obvious errors, with no change in the effect of the Plan provisions. Other amendments do change the effect of the Plan provisions and are intended to bring those provisions in line with the intentions of the Plan (eg consistency with objectives, policies, explanations or other rules in the Plan).
• The Variation and an Assessment may be inspected during normal opening hours at any Council library and the following Council Offices:
  • Christchurch City Council, Civic Offices, 163 - 173 Tuam Street
  • Fendalton Service Centre, cnr Jeffreys and Clyde Roads
  • Sockburn Service Centre, 149 Main South Road
  • Linwood Service Centre, 180 Smith Street
  • Beckenham Service Centre, 66 Colombo Street
  • Riccarton Service Centre, Shop 13 Smiths City Centre, Rotherham Street
  • Shirley Service Centre, Shirley Shopping Centre, Marshland Road
  • Papanui Service Centre, cnr Langdons Road and Restell Street

Any person may make a submission on Variation No 1 to the Proposed City Plan. Submissions must be in writing and on the form prescribed (Form 3) in the Resource Management (Forms) Regulations 1991 or similar. Forms are available from the Council Offices listed above. Note: Any submission that has already been made on a provision in the Proposed Plan affected by this Variation is deemed to be a submission on this Variation.

Once all submissions have been received the Council will prepare and publicly notify a summary of the submissions. All the submissions will be available for public inspection. There will be an opportunity for anyone to make a submission in support or opposition to any of these submissions. Council hearings will then be arranged to consider all submissions and decisions will be made. Anyone who has made a submission will have the right to attend the hearings and to present his or her submission. Generally anyone who has made a submission also has the right of appeal against a Council decision to the Planning Tribunal. Once all submissions and appeals have been resolved the Proposed Variation will be made operative.

The closing date for submissions is Friday 12 July 1996 at Civic Offices before 4.30pm or any other Council Office before 5pm.

Post
City Plan Submissions		Or deliver to
To	Environmental Services Unit	:	Environmental Services Unit
	Christchurch City Council		Second Floor
	P O Box 237		Council Civic Offices
	Christchurch		163 - 173 Tuam Street

 

May 21

Draft Annual Plan available free for public consultation. Copies available at any library, Council Service Centre and Civic Offices (Tuam Street).

May 21 - June 28

Annual Plan Hotline operation. You may obtain information by phoning 371-1888.

June 24

Closing date for written submissions. Submissions must be received by 5pm on Monday, June 24.

July 16 - 18

Strategy and Resources Working Party hears public submissions on Draft Annual Plan.

July 31 (2pm)

Council meets to finalise the 1996/97 Annual Plan.

---

June City Scene ~ City Scene Index