Minutes of Risk and Assurance Committee Meeting

Monday, 20 May 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:

Chair: Mr J Nichols – External Independent Appointee

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

Mayor Sandra Hazlehurst

External Independent Appointee: Graeme McGlinn

Kua Tatū:
In attendance:

Chief Executive - Nigel Bickle

Deputy Chief Executive - Bruce Allan

Group Manager: People & Capability - Bronwyn Bayliss

Group Manager: Asset Management – Craig Thew

Group Manager: Community Wellbeing & Services – Rebekah Dinwoodie

Chief Risk Officer – Regan Smith

Risk Manager - Steffi Reeves-Bird

Business Continuity & Emergency Readiness Advisor - Elmien Steyn

Financial Improvement Analyst – Jess Noiseux

Procurement & Corporate Services Manager - Ange Hirst

Senior Procurement Advisor - Cynthia Lane

Chief Financial Officer – Ross Franklin

Financial Controller - Aaron Wilson

Health & Safety and Wellbeing Manager - Jennie Kuzman

General Counsel – Scott Smith

Democracy & Governance Advisor - Christine Hilton

Kei Konei:
Also present:

Audit Director, Ernst & Young - Stuart Mutch

1. Apologies – Ngā Whakapāhatanga

Jon Nichols/Councillor Kerr

That an Apology for Lateness from Mayor Sandra Hazlehurst be accepted.

CARRIED

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 Corban

That the minutes of the Risk and Assurance Committee meeting held Monday 12 February 2024 be confirmed as an accurate record.

CARRIED

Procurement Update

(Document 24/171)

The Procurement and Corporate Services Manager, Angela Hirst, spoke to the agenda report, highlighting the main points and responding to a number of questions from the Committee.

Mayor Hazlehurst joined the meeting at 10.10am.

Jon Nichols/Mayor Hazlehurst

That the Risk and Assurance Committee receive the report titled Procurement Update dated 20 May 2024.

CARRIED

Treasury Activity and Funding Update

(Document 24/186)

The Financial Controller, Aaron Wilson, spoke to the agenda report and responded to questions from the Committee. He highlighted the main points in the report, including referring to the updated Treasury Policy. Moving towards the mid-point of council’s debt cover was the prime focus and would be undertaken in two tranches. Officers were discussing this process with Bancorp, to achieve cost effective cover. In regard to the policy limits, in order to maintain enough headroom the council needed to move the Debt to Revenue Limit from 175% to 250%.

Graeme McGlinn/Councillor Nixon

That the Risk and Assurance Committee receive the report titled Treasury Activity and Funding Update dated 20 May 2024.

CARRIED

Annual Report - 2023 Wrap-up and 2024 Update

(Document 24/178) (The two attachments to this report are included in a separate attachment document)

The Financial Improvement Analyst, Jess Noiseux and the Audit Director, Ernst & Young, Stuart Mutch, spoke to the agenda report and responded to a number of questions from the Committee. The Committee noted that it was comfortable to endorse the approach outlined in the Audit Plan from Ernst & Young.

Jon Nichols/Councillor Nixon

That the Risk and Assurance Committee receive the report titled Annual Report - 2023 Wrap-up and 2024 Update dated 20 May 2024.

CARRIED

Long Term Plan Risk Based Indicators

(Document 24/172) (The attachment to this report is included in a separate attachment document)

The Chief Risk Officer, Regan Smith, and Risk Manager, Steffi Reeves-Bird, spoke to the agenda report and responded to questions from the Committee. Extensive discussion took place.

Jon Nichols/Mayor Hazlehurst

A) That the Risk and Assurance Committee receive the report titled Long Term Plan Risk Based Indicators dated 20 May 2024.

B) That the Risk and Assurance Committee agrees that the significant forecasting assumptions and risk mitigations to achieving the Draft Financial Strategy have been included in the Draft 2024-2034 Long Term Plan.

C) That the Risk and Assurance Committee request a risk-based indicator report based on the significant forecasting assumptions and risk mitigations stated in the Draft 2024-2034 Financial Strategy.

CARRIED

Cyclone Gabrielle Recovery Risk Update

(Document 24/174) (Attachment 3 was included in separate Public Excluded Attachment document)

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

Councillor Kerr/Graeme McGlinn

That the Risk and Assurance Committee receive the report titled Cyclone Gabrielle Recovery Risk Update dated 20 May 2024.

CARRIED

Strategic Risk Register & Horizon Scan

(Document 24/168)

The Chief Risk Officer, Regan Smith, and Risk Manager, Steffi Reeves-Bird, spoke to the agenda report and responded to questions from the Committee.

Councillor Nixon/Mayor Hazlehurst

A) That the Risk and Assurance Committee receive the report titled Strategic Risk Register & Horizon Scan dated 20 May 2024.

B) That the Committee endorse the proposed changes to the strategic risk register, including:

i. ‘Environmental, Social, Governance and Cultural (ESG&C) Expectations’ changes from a threat risk to an opportunity risk.

ii. ‘Natural/Man-made Disaster Exposure’ is elevated from an enterprise risk to a strategic risk.

C) That the Committee consider any other changes or additions to the current strategic risk register that may be appropriate

CARRIED

10.

Executive Overview and Status of Actions

(Document 24/189)

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

Jon Nichols/Councillor Kerr

That the Risk and Assurance Committee receive the report titled Executive Overview and Status of Actions dated 20 May 2024.

CARRIED

11.

Health, Safety & Wellbeing Update Report

(Document 24/158)

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

Officers confirmed that, post-Cyclone Gabrielle, there was support available for councillors and Rural Community Board members, as well as staff.

Councillor Kerr/Graeme McGlinn

That the Risk and Assurance Committee receive the report titled Health, Safety & Wellbeing Update Report dated 20 May 2024.

CARRIED

12. Minor Items - Ngā Take Iti

There were no additional business items.

13. Urgent Items - Ngā Take Whakahihiri

There were no extraordinary business items.

Recommendation to Exclude the Public from Item 15

SECTION 48, LOCAL GOVERNMENT OFFICIAL INFORMATION AND MEETINGS ACT 1987

Graeme McGlinn/Councillor Nixon

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

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

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

15 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 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.

CARRIED

The meeting closed at 12.18pm

Confirmed:

Chairman:

Date: