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Mayor’s report for year ending 2017

Mayor’s report for year ending 2017

This speech is in the context that I have seen enough in the HDC organisation that concerns me enough to speak about some of it at this meeting and I will seek the assistance from the new Government particularly Minister for Local Government the Hon Nanaia Mahuta to help overcome the issues that appear to divide this Council.

It has been just over a year since I was voted in as Mayor of Horowhenua.

The year, for me, draws a parallel with Queen Elizabeth the Second’s speech in London on 24th November, 1992, when she described an “Annus Horribilis,” which in Latin means “horrible year.” It sure has been! As a councillor for three years, and coming to the end of my first year as Mayor, I have spent a lot of time trying to work out how the system works at HDC. What is clear is that I have inherited this Council under a regime which took 12 years plus to build a situation which has raised some worrying signs in terms of control of spending, Horowhenua’s direction, email interceptions and internal conflict we’re now experiencing and having to deal with. There seems to be much at stake for some in Council and as a Mayor this has a big impact on what I can achieve in terms of leading the district. After all, that was what I was voted in for.

There’s no doubt that my winning the mayoralty came as a complete surprise to management and most councillors, who placed media advertisements soon after the inauguration vowing their loyalty to chief executive David Clapperton and not the Mayor. Predetermination seems to have been their by-word from that time forward. I find myself often wondering why is it like this-there seems to be much to hide. From my observation much of this surrounds land, the development of that land and who it benefits.

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We effectively have Governance in reverse here. The almost total subordination of Councillors to the CE (unelected) is NOT healthy for the community we serve. They want change from this type of situation.

The consequences of this year of change in the Horowhenua have brought its own highs and lows. If we are to go forward in a dynamic and productive way, we have to be committed to ‘change’ - that’s why the people of this District voted for me. And when you look around, change is well under way - whether the old guard likes it or not.

The first HDC public meeting I chaired brought forward three Notices of Motion by councillors Wayne Bishop and Barry Judd relating to:

That Council do not open the HDC’s financial books,

That Council no longer provides Pensioner Housing and

That there would be no further Council spending on structural reports on the civic building.

• Councillor Ross Campbell and I were the only ones who voted against these Notices of Motion. All other councillors voted for these NOMS.

This was a big statement from the outset and I knew life was not going to be easy as a Mayor.

But a year on, we know there was:

• MWLASS internal auditor’s sensitive expenditure review which posed extreme risk to the organisation in some areas. This Pandora’s Box won’t go away and simply must be addressed to understand what consequences we may be facing.

• No more discussion was allowed on Pensioner Housing resulting in a massive net loss and a lost opportunity to effectively manage these rate-payer owned properties at a profit. Instead we literally gave them away and lost a magnificent asset. I did not vote for the sale of the Pensioner Housing. In fact, the ratepayers and I were kept out of negotiations but it is understood further investigations are now under way thanks to the diligence of people in the community who were shocked at the abuse of process.

• No structural reports on the civic building were ever approved by Council because they were directly commissioned and paid for by the former mayor and the current CE with HDC funds. The Opus report was kept from Council until a complaint made to the MBIE by Cr Campbell and me, which meant the report was shared to us and was then forwarded to Council. Or it would still be kept under wraps. Under new Public Building Codes, repairs must be made to the building within two years. Time’s running out.

• A year on, those 2016 NOMS are still very much live.

Horowhenua District Governance for the year ending October 2016 came in equal last with the Far North District Council in the LGNZ Excellence programme.

There are probably all sorts of reasons for this, among them some serious concerns relating to management’s increasing involvement in the District’s Governance. The CE is Council’s only employee, but the manner and cost effectiveness of that role has lately been questioned – not just in-house, but by agencies outside the organisation. Investigations are still continuing around the illegal emails interception and blocking over several years. This practice is still going on in spite of the new electronic communications policy put in place last month. This will impact on communications to and from residents and Council’s day-to-day business. Trust is hard earned and this type of situation does not help.

Leaking emails and private, sensitive information continues to come from within Council. These aren’t the LGOIMA requests, which have put a strain on the District’s resources. These leaks are information from files and emails to and from the organisation – to and from anyone, including Ministers of the Crown. Management says it’s tried to investigate without success, but I can’t emphasise how serious this is. Unless these leaks are stopped, Council will have no option but to cease all trading because the District cannot ensure secure management of its basic day-to-day business. Whoever is doing this illegal practice is undermining people’s jobs and putting ratepayers’ interests at risk. You know who you are; we will find you.

The release of the KPMG report is now under official investigation. This will give some closure to the internal auditor’s report, which came under the fire when councillors refused to read and table it before the CE commissioned his own peer review. My own CE, a Councillor and FAR Committee chair all hid this document from me. I firmly believe the internal auditor should have been given an opportunity to speak with HDC Councillors to explain his findings and to answer questions. He never was. I can assure everyone that this issue is NOT closed.

The old saying ‘you can fool some of the people some of the time’ was never more true than here in the Horowhenua District today.

The previously accepted tight grip of internal management practices are now the subjects of investigation and we appreciate the work by inter-agencies on the District’s behalf. I’d like to give you my word that residents and ratepayers won’t be fooled any more by these under hand practices and spin, but it means we must all work together to ensure comprehensive and safe practices in future.

BUT there are a number of reasons to celebrate this year.

New Government. I am personally delighted with the new Government. In my view, the make-up of the parties involved is very encouraging in the sense that they will take a closer look at some significant issues and problems we have here at HDC. I believe Local Government in general will be considered by this Government in terms of effectiveness and transparency. The sooner, the better I say.

Water: Improving water standards, especially at Foxton where we can now drink water from the tap and soon to be Foxton Beach.

Community Forums:

Another very worthwhile initiative is Community in Council in Environmental and Economic Forums which are now up and running. Currently they are looking at the District’s Long Term Plan in relation to a variety of business consultation and developments.

Tourism has been expressed in these Forums as vital to our economy, situated as we are on State Highways 1 and 52 within commuter distance of Wellington’s cruise ships and other global networks which see New Zealand as a holiday destination. Lake Horowhenua is vital in this regard. When the new Expressway finds its way to Levin we must be ready.

The Road of National Significance: (Expressway)

The RONS (now called Expressway) is on hold in terms of consultation thus far by NZTA. We have an interactive Mayoral Group focussing on the importance of our surrounding regions. Road is vital to us all and I am working with the CE on doing our utmost to keep it on the urgency radar. As mentioned before, Levin needs to become a destination, not just the constant burden of traffic jams and congestion residents and visitors currently experience in Levin’s main street which is more a distraction than a tourism opportunity.

Foxton has been making inroads in this regard, but we will really need to push the button soon to make this happen for Levin. We need to focus on how we market ourselves, but that first means we need to clean up our environment especially in regards to water ways to help achieve this goal.

Manawatu River Loop at Foxton

Still on the subject of water, with HDC leadership, technical assistance from consultants, Horizons’ involvement and the expertise of members of SORT we are now looking to approach Central government for comprehensive help to return the ‘flow’ to the Manawatu River Loop at Foxton. Costs are estimated to be in the vicinity of $5m - $10m for a permanent new ‘cut,’ but the overall health of Foxton is at stake. A recent meeting with MP Shane Jones was vital in terms of Central Government support to assist SORT and HDC returning the flow and health back to the Manawatu River Loop at Foxton. The billion dollar Environmental Fund can assist us greatly if we take the opportunity.

Lake Horowhenua is also very important to us as a region.

Waste water to land

Council is supportive of waste water to ground using modern technologies as we work hard to take contaminants out of our rivers and water ways. Human effluent to land based sites has been a volatile subject for a number of years, but we are pleased to report that the Application for the Foxton Wastewater Treatment Plant to Matakarapa has been reasonably amicably resolved by all parties.

Commuter Trains:

The new Government offers a better prospect for public transport. We look forward to talking directly with neighbouring Ian Lees Galloway, Minister of Transport, about the possibility of a regular run train service for passenger transport. And I personally look forward to more discussions with Mayor Guru of Kapiti Coast and Mike Tana Mayor of Porirua about this exciting possibility given the new Governments commitments to Public Transport.

Consultation:

We have already begun the process of more effective public consultation.

Pre-consultation on the Long Term Plan to be completed in 2018 has already started. Staff and Councillors involved in this process are to be congratulated for their efforts in bringing more effective communications with the public through the HDC Website, work-shops, public briefings and responsible social media.

Relations with Tangata Whenua in the form of ‘partnerships and comanagement’ have from time to time been strained. I stress that I will not become involved in inter-iwi political issues. But where Council and iwi express a desire for partnership and participation there is need for trusting ‘partnerships’ to be formed. ‘Partnership’ with HDC is clearly the option wanted by those I have spoken with as opposed to a seat on Council which is at the end of the day-just 1 vote. Our relationship should be based on trust.

Support from individuals and Organisations

I am overwhelmed by the many people on the street who come up and shake hands with me and introduce themselves. I am thankful for the enthusiasm and encouragement from the people who really count, given the hostile environment from those in Council who are hell-bent on perverting the course of change. Change when, not if, it happens will mean true democracy back in our small pond. The amount of times I have observed and been advised that the former mayor is in the building is very much a concern to me and breaches a protocol that ex Mayors, if they visit a building, at least make it known to the new Mayor.

Live Streaming of Council Meetings has proven to be very popular but is often fraught with sound quality and technical disruptions. Live Stream must continue without interruption, which means no editing by HDC management or technical difficulties, which probably amount to the same. Coverage should include not only the main HDC meeting but also other Council meetings such as Strategy and Finance meetings in my opinion.

Te Awahou Nieuwe Stroom

This significant multi purpose ‘living room’ for Foxton and Foxton Beach was opened on Saturday. I am proud to have voted for and been involved with this high quality project. As a council we are going to be required to fund the everyday expenses and will need to up our game in terms of marketing and Communication to attract people to help ensure Te Awahou Nieuwe Stroom covers its costs.

Setting up the office for Mayor has proved a real hassle. There were constant delays for nine months before I obtained a permanent PA to work for me, although she still has to report to the CE concerning my Governance and all other issues. I repeat that Executive and Governance have specific interests in several areas. But whereas the CE demands complete knowledge of and involvement in all Governance matters, when it comes to the Executive it’s a one-way street in his, quote, “operational matters,” which he says the Mayor is not entitled to know. I leave you to be the judge.

CE Relationship Committee:

Based on a contentious and later abandoned claim against Council, it was proposed by the CE and supported by the deputy mayor that the CE would no longer report directly to the Mayor, as had been the case with the former Mayor and with my mayoralty. The result was a special committee set up for meetings between the Mayor and the CE, but always accompanied by some of the CE’s loyal supporters. While it is vital the CE and the Mayor have a harmonious relationship and should be able to talk one on one, the contrived CE Relationship Committee discards any possibility of communication at the highest confidential Executive and Governance levels. The CERC is more like a three-to-one tag team match.

HDC Building

This issue is still very much alive and we must utilise the comprehensive reports I commissioned to establish what remedial work is required. It will be extensive and finances must be set aside in the Long Term Plan, but so far there is no provision for this. There are no costs available for remediation; the alleged ISPS remediation proposals put forward in the media by the CE were dismissed by engineer Manos Bairaktaris, who stated to IPENZ and the Dept Internal Affairs that he has never proposed any repairs or costs as he is not a quantity surveyor or a builder.

My over-riding concern is for the safety of those who work in or visit the building. What is there to hide? I will not be stopping on this issue until the two comprehensive Court standard reports which were completed to the latest Public Building Codes of 1 July 2017 are implemented. I do feel that this matter and also development of land is at the core of this council’s problems. I find it disconcerting that we have developers in Management and Council and have on-going concerns relating to perceived ‘conflicts of interest’ which aren’t declared.

Deputy Mayor

Section 41 of the Local Government Act 2002 must be made much clearer in legislation. On the one hand the Mayor could choose his own deputy mayor only for the next page to have scope for this to be over-turned by councillors. I have a deputy mayor who frequently demonstrates his outward opposition to me as Mayor in his speech and emails.

My choice of deputy mayor was councillor Ross Campbell, with whom I have a very trusting relationship which I viewed to be vital in terms of making the changes people wanted and what the District needs. Thank you, Ross, for your continuing support and honesty.

Constant leaking of internal emails to social media hate pages

As previously stated, there are huge issues relating to the constant leaking of emails and other private information from HDC.

Numerous agencies have been in the building conducting various enquires over the last number of months, some of which I believe are still underway.

We await their conclusions and direction.

We need to get on with the job and I will continue to work in a positive way to ensure stronger and representative Governance for all parties. I will not be responding to repeated email demands from a number of councillors and the current deputy mayor that I must resign. I was voted in as Mayor for change, and while change is not easy for many of you, it has to happen.

Development and/or Financial Contributions to spread the load of paying for infrastructure:

With the anticipated increase in growth and development, including building residential and business premises, I trust that as a Council we will soon reintroduce Development and/or Financial Contributions which were previously abolished. It is only right that developers should invest in infrastructure when they reap the District’s financial benefits. Apart from rates, consents and fines we have very little else in the way of Council income – unless you count racking up increasing and excessive loans based on the rates take.

RATES

I support a rates rise of under 5%. Generally it appears that most councillors are happy to have rates higher than this and also loan to the maximum.

As for being Mayor I will continue to work towards the changes I promised. I would say that as a Council in some areas we agree with what will be good for Horowhenua. But until the inter-agency investigations are resolved, including email and information leaks, I am justifiably very reticent to commit to information and direction I receive from Management.

Thank you.

Michael Feyen
Mayor
Horowhenua District Council

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