Minutes of Risk and Assurance Committee Meeting

Monday, 5 August 2024

Te Hui o Te Kaunihera ā-Rohe o Heretaunga

Hastings District Council: Risk and Assurance Committee Meeting

Ngā Miniti
Minutes

Kua Tae ā-tinana:
Present:

Acting Chair: External Independent Appointee: Graeme McGlinn

Councillors: Simon Nixon (Deputy Chair), Alwyn Corban, Tania Kerr, Michael Fowler (Chair of Performance & Monitoring Committee)

Mayor Sandra Hazlehurst

Kua Tatū:
In attendance:

Chief Executive - Nigel Bickle

Deputy Chief Executive - Bruce Allan

Manager – Recovery & Special Projects - Gus Charteris

Group Manager: People & Capability - Bronwyn Bayliss

Group Manager: Asset Management – Craig Thew

Chief Risk Officer – Regan Smith

Risk Manager - Steffi Reeves-Bird

Business Continuity & Emergency Readiness Advisor - Elmien Steyn

Chief Financial Officer – Graham Watson

Finance Special Projects Officer - Ross Franklin

Financial Controller - Aaron Wilson

Health & Safety and Wellbeing Manager - Jennie Kuzman

General Counsel – Scott Smith

Chief Information Officer – Warren Perry

Manager: Democracy & Governance Services – Louise Stettner

Democracy & Governance Advisor - Christine Hilton

1. Apologies – Ngā Whakapāhatanga

Graeme McGlinn/Councillor Kerr

That an Apology for Absence from Mr J Nichols – External Independent Appointee (Chair) and an Apology for Lateness from Mayor Hazlehurst be accepted.

CARRIED

It was noted that Mayor Hazlehurst would need to leave the meeting at 12 noon.

Councillor Corban advised he would need to leave the meeting at 12.30pm.

2. Conflicts of Interest - He Ngākau Kōnatunatu

There were no declarations of conflicts of interest.

3. Confirmation of Minutes - Te Whakamana i Ngā Miniti

Councillor Kerr/Councillor Nixon

That the minutes of the Risk and Assurance Committee Meeting held Monday 20 May 2024 be confirmed as an accurate record.

CARRIED

Executive Overview and Status of Actions

(Document 24/352)

The Chief Risk Officer, Regan Smith, and Deputy Chief Executive, Bruce Allan, spoke to the agenda report and responded to questions from the Committee.

Discussion ensued and the members supported the points in the report which addressed the need for Council and the respective committee/s to maintain oversight on important issues while avoiding the duplication of reports. Some discussion took place regarding the best approach for undertaking this.

Councillor Fowler/Councillor Kerr

That Risk and Assurance Committee receive the report titled Executive Overview and Status of Actions dated 5 August 2024.

CARRIED

Cyclone Gabrielle Recovery Risk overview

(Document 24/359)

The Deputy Chief Executive, Bruce Allan and the Manager, Recovery & Special Projects, Gus Charteris, gave a brief overview of the process that was being worked through by the Voluntary Buy Out office and responded to questions from the Committee.

Mayor Hazlehurst joined the meeting at 10.24am.

Councillor Corban/Councillor Kerr

A) That the Risk and Assurance Committee receive the report titled Cyclone Gabrielle Recovery Risk overview dated 5 August 2024.

B) That the Risk and Assurance Committee receive the oral report given at the meeting by the Manager, Recovery & Special Projects, Gus Charteris.

CARRIED

Treasury Activity and Funding Update

(Document 24/323)

The Finance Special Projects Officer, Ross Franklin, spoke to the agenda report, highlighting the main points in the report and responding to questions from the Committee.

Extensive discussion took place regarding a number of matters including the proposed changes to the Treasury Policy outlined in the table under Paragraph 4.9 and the Council’s aim to move to the mid-point in order for it to remain “in policy” where fiscally appropriate. Officers advised the Treasury Policy was trying to provide consistency so there were no major fluctuations year to year, in order to assist with Council budgeting while achieving a fiscally sustainable outcome.

Councillor Kerr left the meeting at 11.35am.

Councillor Fowler/Mayor Hazlehurst

A) That the Risk and Assurance Committee receive the report titled Treasury Activity and Funding Update dated 5 August 2024.

B) That the Risk and Assurance Committee recommend Council approve the changes to the delegations as detailed in the Treasury Policy summarised in the Table under Paragraph 4.9 of the report in A) above.

Activity	Current Delegated Authority	Proposed Delegated Authority Change	Limit
Overall day-to-day risk management	CEO (delegated by Council) GMCS	CEO (delegated by Council) CFO	Subject to policy
Re-financing existing debt	CEO (delegated by Council) GMCS	CEO (delegated by Council) CFO	Subject to policy
Adjust interest rate risk profile	GMCS	CFO	Per risk control limits Fixed rate maturity profile limit as per risk control limits
Managing funding maturities in accordance with Council approved facilities	GMCS	CFO	Per risk control limits
Maximum daily transaction amount (borrowing, investing, interest rate risk management)	The Council Unlimited CEO $40 million GMCS $30 million FC $15 million	The Council Unlimited CEO $40 million Deputy CE $30 million CFO $30 million FC $15 million

CARRIED

Insurance Update

(Document 24/345)

The Deputy Chief Executive, Bruce Allan spoke to the agenda report and responded to questions from the Committee.

Councillor Kerr rejoined the meeting at 11.38am.

Mayor Hazlehurst/Councillor Kerr

A) That the Risk and Assurance Committee receive the report titled Insurance Update dated 5 August 2024.

B) That the Committee recommend to Council that only the Frimley Pool is removed from the Material Damage Asset Schedule.

CARRIED

Annual Risk Management Policy and Framework Review

(Document 24/351)

The Chief Risk Officer, Regan Smith, spoke to the agenda report and responded to questions from the Committee.

Councillor Kerr/Councillor Corban

A) That the Risk and Assurance Committee receive the report titled Annual Risk Management Policy and Framework Review dated 5 August 2024.

B) That the Committee endorse the following documents and recommend that they be presented to Council for adoption;

i. Draft HDC Enterprise Risk Management Policy & Framework V6.0 (PMD-9-3-24-89).

ii. HDC Tier 1 Strategic Risk Register as at 26 July 2024 (PMD-9-3-24-90).

CARRIED

Mayor Hazlehurst withdrew from the meeting at 12 noon.

Enterprise Resource Planning (ERP) System move to the cloud - Project Genesis

(Document 24/358)

The Chief Information Officer, Warren Perry, spoke to the agenda report and responded to questions from the Committee.

Officers noted that this would be a standing item on the agenda for this Committee. Officers were asked to keep the Committee informed as soon as possible about any issues that may arise.

Councillor Fowler/Councillor Nixon

A) That the Risk and Assurance Committee receive the report titled Enterprise Resource Planning (ERP) System move to the cloud - Project Genesis dated 5 August 2024.

B) That the Committee note that it will continue to receive updates throughout the duration of this project on a quarterly basis.

CARRIED

10.

Health, Safety & Wellbeing Update

(Document 24/253)

The Health, Safety and Wellbeing Manager, Jennie Kuzman , spoke to the agenda report and responded to questions from the Committee.

Councillor Fowler/Councillor Kerr

A) That the Risk and Assurance Committee receive the report titled Health, Safety & Wellbeing Update dated 5 August 2024.

B) That the Committee endorse the action that the Safeplus assessment be undertaken in the 2025/26 financial year.

CARRIED

11. Minor Items - Ngā Take Iti

There were no additional business items.

12. Urgent Items - Ngā Take Whakahihiri

There were no extraordinary business items.

Recommendation to Exclude the Public from Items 14 and 15

SECTION 48, LOCAL GOVERNMENT OFFICIAL INFORMATION AND MEETINGS ACT 1987

Councillor Nixon/Councillor Fowler

THAT the public now be excluded from the following parts of the meeting, namely;

14 Health & Safety Contracts - Contractors' Health & Safety Performance Report

15 Cyber Security Update

The general subject of the matter to be considered while the public is excluded, the reason for passing this Resolution in relation to the matter and the specific grounds under Section 48 (1) of the Local Government Official Information and Meetings Act 1987 for the passing of this Resolution is as follows:

GENERAL SUBJECT OF EACH MATTER TO BE CONSIDERED

REASON FOR PASSING THIS RESOLUTION IN RELATION TO EACH MATTER, AND PARTICULAR INTERESTS PROTECTED

GROUND(S) UNDER SECTION 48(1) FOR THE PASSING OF EACH RESOLUTION

14 Health & Safety Contracts - Contractors' Health & Safety Performance Report

Section 7 (2) (b) (ii)

The withholding of the information is necessary to protect information where the making available of the information would be likely to unreasonably prejudice the commercial position of the person who supplied or who is the subject of the information.

The report contains sensitive Health, Safety & Wellbeing information relating to third party activities.

Section 48(1)(a)(i)

Where the Local Authority is named or specified in the First Schedule to this Act under Section 6 or 7 (except Section 7(2)(f)(i)) of this Act.

15 Cyber Security Update

Section 7 (2) (b) (i)

The withholding of the information is necessary to protect information where the making available of the information would disclose a trade secret.

Sharing of security elements which protect Council's Information systems.

Section 48(1)(a)(i)

Where the Local Authority is named or specified in the First Schedule to this Act under Section 6 or 7 (except Section 7(2)(f)(i)) of this Act.

CARRIED

At this point there was a short break

the meeting adjourned at 12.28pm and resumed at 12.38pm (in Public Excluded Session)

Councillor Corban did not rejoin the meeting following the break

The meeting closed at 1.15pm

Confirmed:

Chairman:

Date: