Stormwater Asset Management Plan · Stormwater Asset Management Plan . This Asset Management Plan (AMP) is based on the best information available . at the time of com. pletion .

Stormwater Asset Management Plan

This Asset Management Plan (AMP) is based on the best information available at the time of completion in December 2017. Council decision making both with regard to programmes that are implemented and the timing of the programmes in the context of the 2018-28 10 Year Plan has yet to be finalised. The programmes in this AMP have been used to inform the 10 Year Plan planning process. The authoritative programme of work that Council plans to implement will be that detailed in the adopted 2018-28 10 Year Plan following formal public consultation.

This document was prepared by Palmerston North City Council, City Networks, Water and Waste Services Division.

Name Signature Date

Prepared by: Robert van Bentum

Dec 2017

Reviewed by: Phil Walker

Jan 2018

External Peer Review by: AECOM

Mar 2018

Approved for Issue by:

Version No. Reason for Amendment Date

D Peer Review Feedback incorporated April 2018

PNCC Reference No: 8828817

Water & Waste Division Palmerston North City Council l Private Bag 11034 l Palmerston North P: +64 (6) 3568199 l F: +64 (6) 3514489 l www.pncc.govt.nz

http://www.pncc.govt.nz/

Contents Executive Summary ………………………………………………………………………………………….…i

1 Overview ........................................................................................................................................... 1

1.1 Purpose of This Plan .................................................................................................................. 1

1.2 Relationship with Other Plans .................................................................................................... 1

1.3 AMP Review Process ................................................................................................................. 3

1.4 Changes to AMP Since 2014 ..................................................................................................... 4

1.5 Navigating the AMP.................................................................................................................... 4

2 The Stormwater Activity ................................................................................................................. 7

2.1 Activity Description ..................................................................................................................... 7

2.2 Activity Issues ........................................................................................................................... 10

2.2.1 Capacity Limits ................................................................................................................... 10

2.2.2 Demand Management ........................................................................................................ 11

2.3 Activity Rationale ...................................................................................................................... 12

2.4 Key Relationships ..................................................................................................................... 13

2.5 LGA Section 17A Review ......................................................................................................... 14

2.6 Significant Negative Effects of the Activity ............................................................................... 14

2.7 Significant Changes to the Activity ........................................................................................... 15

3 Strategic Environment .................................................................................................................. 17

3.1 Internal Strategic Context ......................................................................................................... 17

3.1.1 Council Vision, Goals & Strategic Direction ........................................................................ 17

3.1.2 Infrastructure Strategy ........................................................................................................ 18

3.1.3 District Plan ......................................................................................................................... 19

3.2 External Strategic Context ....................................................................................................... 19

3.2.1 Horizons Regional Council One Plan ................................................................................. 19

3.2.2 Statutory & Regulatory Requirements ................................................................................ 21

3.2.3 Local Bylaws ....................................................................................................................... 22

3.2.4 Standards & Specifications ................................................................................................. 22

3.3 Asset Management Policy and Strategy .................................................................................. 23

3.3.1 Asset Management Policy .................................................................................................. 23

3.3.2 Asset Management Strategy .............................................................................................. 23

4 Levels of Service ........................................................................................................................... 27

4.1 Introduction ............................................................................................................................... 27

4.2 Appropriate Performance Measures for the Stormwater Activity ............................................. 28

4.3 Community Input & Decision Making Process ......................................................................... 29

4.4 Communication of Levels of Service & Performance Measures .............................................. 32

4.5 Current and Future Levels of Service & Performance Measures ............................................ 32

4.5.1 Customer Segmentation & Target Outcomes..................................................................... 32

4.5.2 Key Performance Indicators ............................................................................................... 32

4.5.3 Future Changes to Levels of Service ................................................................................. 37

4.5.4 Service Level Gaps ............................................................................................................. 38

4.6 Key AMP Improvement Projects Relating to LoS ..................................................................... 38

5 Growth and Demand ...................................................................................................................... 39

5.1 Future Demand Drivers............................................................................................................. 39

5.2 Growth Projections .................................................................................................................... 39

5.2.1 Population Growth ............................................................................................................... 39

5.2.2 National Policy Statement – Urban Development Capacity ................................................ 40

5.2.3 Household Growth ............................................................................................................... 40

5.2.4 Residential Development Type ........................................................................................... 41

5.3 Residential Growth Strategy ..................................................................................................... 41

5.4 Industrial Growth Strategy ........................................................................................................ 45

5.5 Office and Retailing (Commercial) Land Use Strategy ............................................................. 47

5.6 Rural Residential Strategy ........................................................................................................ 48

5.7 Other Factors Influencing Demand and Consumption Projections or Patterns ........................ 48

5.7.1 Sustainable Urban Drainage Systems ................................................................................ 49

5.7.2 Changes in Legislative and Regulatory Requirements ....................................................... 49

5.8 Demand management .............................................................................................................. 49

5.8.1 Changes in Percentage Impervious Areas .......................................................................... 49

5.8.2 Changes in Land Use Type and Commercial Activity ......................................................... 50

5.9 Sensitivity to Demand Changes ................................................................................................ 50

5.10 Climate Change – Impact on Demand...................................................................................... 51

6 Assets & Lifecycle Management .................................................................................................. 53

6.1 Overview of Stormwater Network Assets ................................................................................. 53

6.1.1 Description of Assets ........................................................................................................... 53

6.1.2 Asset Hierarchy ................................................................................................................... 55

6.2 Stormwater Pipe, Culvert & Manhole Assets ............................................................................ 55

6.2.1 Asset Attributes ................................................................................................................... 55

6.2.2 Asset Condition ................................................................................................................... 57

6.2.3 Asset Capacity & Performance ........................................................................................... 58

6.3 Stormwater Pump Station Assets ............................................................................................. 61


6.3.2 Asset Condition ................................................................................................................... 61


6.4 The Stream & Channel Assets Including Outlets ..................................................................... 64


6.4.2 Asset Condition ................................................................................................................... 64


6.5 Activity Management................................................................................................................. 66

6.5.1 Support Services ................................................................................................................. 66

6.5.2 Increases in Services (New Operating Programmes) ......................................................... 66

6.5.3 Asset Systems Database – Infor Public Sector (IPS) ......................................................... 67

6.5.4 Network Hydraulic Modelling ............................................................................................... 70

6.5.5 SCADA & Telemetry Systems ............................................................................................ 70

6.5.6 Water Services Assessment ............................................................................................... 70

6.6 Operation & Maintenance of Assets ......................................................................................... 71

6.6.1 Overview ............................................................................................................................. 71

6.6.2 Operation & Maintenance Strategies .................................................................................. 71

6.6.3 Operation & Maintenance Costs ......................................................................................... 71

6.6.4 Operation of Stormwater Assets ......................................................................................... 72

6.6.5 Maintenance of Stormwater Assets .................................................................................... 72

6.6.6 Operation and Maintenance Delivery ................................................................................. 73

6.7 Renewal of Assets .................................................................................................................... 74

6.7.1 Overview ............................................................................................................................. 74

6.7.2 History of Renewals Expenditure ....................................................................................... 74

6.7.3 Renewal Strategies ............................................................................................................. 76

6.7.4 Long Term Renewal Profile ................................................................................................ 77

6.7.5 Delivery of Renewal Programme ........................................................................................ 80

6.8 Development of Assets ............................................................................................................ 80

6.8.1 Overview ............................................................................................................................. 80

6.8.2 Development Strategies ..................................................................................................... 81

6.8.3 Non Asset Programmes ...................................................................................................... 83

6.8.4 Development Programme ................................................................................................... 83

6.8.5 Delivery of Development Programme ................................................................................. 85

6.9 Disposal of Assets .................................................................................................................... 85

6.10 Key AMP Improvement Projects Relating to Asset Lifecycle Management ............................. 85

7 Risks & Resilience ........................................................................................................................ 87

7.1 Corporate Risk Management Framework ................................................................................ 87

7.1.1 Risk Management Policy .................................................................................................... 87

7.1.2 Strategic Risks .................................................................................................................... 87

7.1.3 Operational risks: ................................................................................................................ 87

7.1.4 Project Risks ....................................................................................................................... 90

7.1.5 Risk Management Hierarchy .............................................................................................. 90

7.1.6 Asset Criticality ................................................................................................................... 90

7.1.7 Resilience ........................................................................................................................... 91

7.1.8 Risk Management Process ................................................................................................. 91

7.2 Activity Risk Management ........................................................................................................ 92

7.2.1 Approach for the Stormwater Activity ................................................................................. 92

7.2.2 Role of Activity as a Lifeline Utility ...................................................................................... 93

7.2.3 Critical Assets ..................................................................................................................... 93

7.2.4 Resilience ........................................................................................................................... 94

7.2.5 Sources of Risk ................................................................................................................... 95

7.2.6 Reference Documents ........................................................................................................ 95

7.3 Key Risks to the Stormwater Activity ....................................................................................... 95

7.3.1 Operational Failure ............................................................................................................. 96

7.3.2 Asset Failure........................................................................................................................ 96

7.3.3 Project & Planning Risks ..................................................................................................... 97

7.3.4 Natural Disasters ................................................................................................................. 98

7.3.5 Events & Incidents ............................................................................................................... 98

7.4 Resilience of Infrastructure to Natural Disaster ........................................................................ 98

7.4.1 Introduction .......................................................................................................................... 98

7.4.2 Seismic Hazard ................................................................................................................... 98

7.4.3 Flooding Hazard .................................................................................................................. 99

7.4.4 Volcanic Hazard ................................................................................................................ 100

7.4.5 Other Natural Hazards ...................................................................................................... 101

7.4.6 Interdependencies ............................................................................................................. 101

7.5 Risk Management Strategy .................................................................................................... 102

7.6 Risk Management Programme ............................................................................................... 102

7.7 Civil Defence Preparedness ................................................................................................... 103

7.7.1 Emergency Events ............................................................................................................ 103

7.7.2 Emergency Response Plan ............................................................................................... 103

7.7.3 Business Continuity Plan ................................................................................................... 105

7.7.4 Recovery ........................................................................................................................... 105

7.7.5 Lifeline Utilities Coordination ............................................................................................. 105

7.8 Risks and Resilience Improvement Plan ................................................................................ 106

8 Sustainability ................................................................................................................................ 107

8.1 Eco City Strategy .................................................................................................................... 107

8.2 Climate Change – Initiatives ................................................................................................... 108

8.3 Approach Taken in This Plan .................................................................................................. 108

9 Financial Projections & Trends .................................................................................................. 109

9.1 Long Term Financial Forecast ................................................................................................ 109

9.2 Asset Valuation ....................................................................................................................... 112

9.3 Confidence Levels .................................................................................................................. 112

9.4 Reliability of Financial Forecasts ............................................................................................ 114

9.4.1 Maintenance & Renewal Forecasts .................................................................................. 114

9.4.2 Development Forecasts .................................................................................................... 114

9.4.3 Potential Effects of Uncertainty ......................................................................................... 114

9.5 Funding Policy ........................................................................................................................ 115

9.5.1 Operation & Maintenance .................................................................................................. 115

9.5.2 Capital Renewal ................................................................................................................ 115

9.5.3 Capital Development ......................................................................................................... 115

9.5.4 Development Contributions ............................................................................................... 115

10 Assumptions ................................................................................................................................ 117

10.1 Asset Ownership & Provision of Service ................................................................................ 117

10.2 Population Growth .................................................................................................................. 117

10.3 Residential Growth ................................................................................................................. 117

10.4 Industrial Growth .................................................................................................................... 117

10.5 Retail Growth .......................................................................................................................... 118

10.6 Rural-Residential Growth ....................................................................................................... 118

10.7 Levels of Service .................................................................................................................... 118

10.8 Construction costs .................................................................................................................. 118

10.9 Maintenance & operational costs ........................................................................................... 118

10.10 Inflation ................................................................................................................................... 119

10.11 Depreciation ........................................................................................................................... 119

10.12 Vested Assets ........................................................................................................................ 119

10.13 Service Potential .................................................................................................................... 119

10.14 Asset Lives ............................................................................................................................. 119

10.15 Natural Disasters .................................................................................................................... 119

10.16 Council Policy ......................................................................................................................... 120

10.17 Interest Rate ........................................................................................................................... 120

10.18 Resource Consents ................................................................................................................ 120

11 Continuous Improvement ........................................................................................................... 121

11.1 Overview ................................................................................................................................ 121

11.2 Programme Planning and Implementation ............................................................................. 121

11.3 Project Status ......................................................................................................................... 121

11.4 Development Works Planning ................................................................................................ 121

11.4.1 Residential Growth & Industrial Growth Planning (Refer to Section 5) ............................ 121

11.4.2 Risk and Resilience (refer to AMP Section 7) .................................................................. 122

11.4.3 Council Strategies (refer to AMP Section 3) ..................................................................... 122

11.5 Renewal Works Planning ....................................................................................................... 122

11.5.1 Condition Data .................................................................................................................. 122

11.6 Operations & Maintenance ..................................................................................................... 122

11.6.1 Operations and Maintenance Strategy ............................................................................. 122

11.6.2 Internal Service Level Agreements ................................................................................... 122

11.6.3 Market Comparability Procedure ...................................................................................... 123

11.7 Asset Information ................................................................................................................... 123

11.7.1 Data Quality Processes .................................................................................................... 123

11.7.2 Asset Management Plan Improvement ............................................................................ 123

11.8 Asset Management Resources .............................................................................................. 123

11.8.1 Loss of Key AM Knowledge .............................................................................................. 123

11.8.2 Skill Gaps .......................................................................................................................... 124

11.9 Levels of Service Review ....................................................................................................... 124

11.10 AMP Improvement Plan (2017) .............................................................................................. 124

Appendices Appendix A. Glossary Appendix B. Requirements of the LGA 2002 Appendix C. Activity Performance Measures Appendix D. Risk Analysis/Framework & Register Appendix E. 30 Year Financial Forecasts Appendix F. Asset Lives Appendix G. Resource Consent Details Appendix H. Condition & Data Confidence Grading Descriptions

Appendix I. Six Year Asset Renewal Programme Appendix J. Stormwater Catchments Appendix K. Management and Reliability of Data Appendix L. Final Peer Review Report

Table of Figures Figure 1: Planning and Processes Relationship within Council .............................................................. 3

Figure 2: AMP Structure .......................................................................................................................... 5

Figure 3: Stormwater Managed Areas..................................................................................................... 9

Figure 4: Schematic Layout of a Stormwater Drainage System ........................................................... 10

Figure 5: Map showing location of proposed residential development ................................................. 44

Figure 6: Map of NEIZ Infrastructure Roll Out ....................................................................................... 46

Figure 7: Map of Existing Industrial Zone at Longburn .......................................................................... 47

Figure 8: Map of Spatial Extent of the Business Zones ........................................................................ 48

Figure 9: Stormwater Catchments ......................................................................................................... 54

Figure 10: Stormwater Pipe Length by Age .......................................................................................... 56

Figure 11: Stormwater Pipe Length by Material .................................................................................... 56

Figure 12: Stormwater Pipe Length by Diameter .................................................................................. 57

Figure 13: Stormwater Pipe Reactive Maintenance Work Order History .............................................. 59

Figure 14: Stormwater Pipe Reactive Maintenance Work Order by Pipe Age ...................................... 60

Figure 15: Stormwater Pipe Reactive Maintenance Work Order by Diameter ...................................... 60

Figure 16: Stormwater Pump Stations................................................................................................... 62

Figure 17: IPS Screen Shot ................................................................................................................... 68

Figure 18: Field Inspector Screen Shot .................................................................................................. 69

Figure 19: City Enterprises SW Service Delivery Structure .................................................................. 73

Figure 20: Graph of Historical Stormwater Renewal Expenditure ......................................................... 75

Figure 21: 50 Year Long Term Renewal Profile .................................................................................... 78

Figure 22: Risk Management Hierarchy ................................................................................................ 90

Figure 23: Risk Management Process (AS/NZS ISO 31000:2009) ...................................................... 92

Figure 24: Thirty Year Operation & Maintenance Expenditure Forecast ............................................ 109

Figure 25: Thirty Year Projected Renewals Expenditure .................................................................... 110

Figure 26: Thirty Year Projected New Capital Expenditure ................................................................. 111

Table of Tables Table 1: Stormwater Assets Quantity & Value ......................................................................................... 8

Table 2: Activity Linkages to City Goals .................................................................................................. 13

Table 3: Activity Contribution to City Goals ............................................................................................ 17

Table 4: AMP Linkages to the Infrastructure Strategy ........................................................................... 18

Table 5: Specific District Plan Provisions to Manage Stormwater Discharge Effects ............................ 19

Table 6: Matters Raised at Councillor LoS Workshop ........................................................................... 30

Table 7: Level of Service Actions from Strategy Plans .......................................................................... 31

Table 8: Customer Level of Service, Performance Measures and Targets ........................................... 33

Table 9: Future Changes to Levels of Service ....................................................................................... 37

Table 10: Population Projection for Palmerston North ........................................................................... 40

Table 11: Household Projection for Palmerston North ........................................................................... 41

Table 12: Residential Development Type .............................................................................................. 41

Table 13: The staging and timing of residential greenfield areas .......................................................... 43

Table 14: Definition of Asset Categories ................................................................................................ 55

Table 15: Condition & Performance of Stormwater Collection System ................................................. 58

Table 16: Stormwater Pump Stations .................................................................................................... 63

Table 17: Streams & Channels Asset Details ........................................................................................ 65

Table 18: Activity Management Programme – Forecast Expenditure ................................................... 66

Table 19: Operating Programmes – Forecast Expenditure ................................................................... 67

Table 20: IPS Data Accuracy & Completeness (2017) .......................................................................... 69

Table 21: Operations & Maintenance Forecast Expenditure (Next Five Years) .................................... 72

Table 22: Current Operations & Maintenance SLA Costs ..................................................................... 73

Table 23: Summary of Historical Stormwater Renewals over Previous 10 Years ................................. 75

Table 24: Life Expectancy of Stormwater Assets .................................................................................. 77

Table 25: Total Renewal Programme – Forecast Expenditure .............................................................. 79

Table 26: Examples of Stormwater Demand Management Strategies .................................................. 82

Table 27: Development Programme Expenditure Forecast ................................................................... 84

Table 28: Summary of Operational Risks and Planned Mitigation ......................................................... 88

Table 29: Resilience Definitions ............................................................................................................. 91

Table 30: Critical Assets ........................................................................................................................ 94

Table 31: Key Operational Risks ............................................................................................................ 96

Table 32: Key Asset Failure Risks ......................................................................................................... 96

Table 33: Key Project Planning Risks .................................................................................................... 97

Table 34: Other Events & Incidents ....................................................................................................... 98

Table 35: Resilience to Seismic Hazard ................................................................................................ 99

Table 36: Resilience to Flooding Hazard ............................................................................................. 100

Table 37: Resilience to Volcanic Hazard ............................................................................................. 100

Table 38: Resilience to Other Hazards ................................................................................................ 101

Table 39: Utility Services that the Stormwater Activity Depends on for Continuity of Service............. 101

Table 40: Utility Services that Depend on the Stormwater Activity Assets .......................................... 102

Table 41: Risk Management Programme (30 years) ........................................................................... 103

Table 42: Eco City Strategy Priorities & Plans .................................................................................... 107

Table 43: Asset Valuation for Stormwater Assets (30 June 2017) ...................................................... 112

Table 44: Confidence Grading Description ......................................................................................... 113

Table 45: Asset Data Confidence Indication ....................................................................................... 113

Table 46: Improvement Programme .................................................................................................... 127

Executive Summary Asset Management Plan 2017 – Stormwater

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EXECUTIVE SUMMARY

Purpose of the Plan The purpose of this plan is to demonstrate how the stormwater assets are being managed so as to deliver stormwater services to the community in a sustainable and cost effective way.

This plan details information about:

The strategic outcomes that Council is seeking to achieve related to stormwater infrastructure.

The level of service to be provided. The infrastructure that needs to be

maintained, renewed and developed to meet the demands placed on it over the next 30 years.

How stormwater services are to be provided.

What funding is required to meet these demands.

The associated risks.

The AMP covers a period from 1 July 2018 to 30 June 2048 with a particular focus on work programmes over the next five years. It informs the Council’s 2018/28 10 Year Plan and 30 Year Infrastructure Strategy and contributes to meeting Council’s identified strategic outcomes.

Activity & Assets The services that are provided to the community through the stormwater assets in this plan are as follows:

A reticulated stormwater system of pipes, pumping stations and channels (primary network) sufficient to cope with frequent rainfall events.

A secondary stormwater system comprising swales, road, kerb and channel and both formal and informal overland flow paths sufficient to control stormwater from less frequent rainfall events.

Stop banks along parts of the Kawau Stream and Pioneer Drain to protect low-

lying properties from flooding under normal conditions.

Planning and building controls to restrict building in high flood risk areas, require minimum floor levels and require mitigation of stormwater runoff effects to prevent stormwater entry to habitable buildings.

Planning and policy initiatives to minimise stormwater quality and quantity effects at source.

Gross pollutant traps or similar treatment devices to reduce debris and contaminant levels in stormwater discharge.

The assets that contribute to providing these services are:

Asset type Quantity

Buried pipelines and culverts

285 km

Stormwater sump, kerb and mains connections

163 km

Manholes 5,271

Flood gated structures 90

Inlet / Outlet Structures 428

Channels (artificial) 21 km

Stopbanks 14 km

Pump Stations 15

Storage and treatment basins and protection works

24

Drainage Reserve 7.6 ha

These assets have a replacement value of $246.5 million.

Asset Condition & Performance

While the stormwater network is reasonably extensive, the capacity and performance of the primary network varies widely, resulting in more frequent ponding and operation of the secondary system. Apart from some areas where there is no primary network or there is a significant capacity shortfall, the focus is not to build or upsize the pipe network to any great extent. Rather a targeted approach to mitigating stormwater flood damage resulting


ii

from stormwater entry to habitable buildings is proposed. Solutions may include large drainage capacity improvements or detention to manage stormwater runoff, however the priority will be based on the numbers of properties suffering flood damage.

The maintenance regime has historically focussed on ensuring key above ground structures particularly gated outlets, open channels and water courses are maintained to operate reliably at their design capacity. Less attention has been given to the pipe network on the assumption that given most of the network is less than 50 years old there will be few significant condition or maintenance issues.

However there is evidence of problems with the performance of the network in older parts of the town or where services are located in private land or at the back of properties. In addition there is uncertainty about the condition and performance of the large diameter buried pipes (>1200mm) and box culverts. Routine inspection of the large diameter pipes and culverts will be undertaken to verify condition assumptions, identify faults and ensure critical assets are performing at or close to their capacity. Historically renewal expenditure has been focussed on replacing the main buried drain south of the city along Ferguson Street. With this project complete, the focus will shift to known problem areas where there are performance issues.

Recent higher intensity rainfall events have highlighted performance issues with some parts of the network. A number of smaller diameter services older than 40 years and located predominately in private property have been identified in need of renewal. A five year programming targeting these services has been scoped for detailed survey and investigation.

While it is expected that the majority of the stormwater network is in good to very good condition, inspection and condition data for a representative cross-section of the network is required to confirm this. A key priority will be inspection of the large diameter (>1.8m diameter) pipes and culverts to confirm they are able to function optimally. Included in this review will be a condition survey of the Napier Road flume.

While the stormwater pump stations are considered to be in good condition, detailed condition surveys particularly of the mechanical and electrical components are required to develop accurate renewal priorities. Renewal work will be undertaken in parallel with upgrades to telemetry and flow measurement as well as any seismic strengthening which is identified.

The performance of the network is influenced by the pattern and frequency of high intensity rainfall events. With continuing infill development and a gradual increase in impervious surface along with the increasing rainfall intensities due to climate change, the primary pipe network will be at capacity more often, resulting in increased reliance on the secondary drainage pathways along roads, old water courses and overland flow paths.

High level monitoring work in combination with investigation of specific localised ponding and flooding issues has highlighted a range of capacity issues within the existing network. These issues include areas where there is no Council primary network as well as insufficient primary network capacity to meet current and future growth requirements. Targeted upgrades to the network will be undertaken to address these

The Strategic Environment Asset management planning is undertaken within both an internal and external strategic environment.

Internal Strategic Environment

The internal strategic environment is set by the Council’s desired outcomes underpinned by its Vision of ‘Small city benefits, big city ambition’. Council has developed a range of Strategy Plans for each of its 5 strategic goals:

Goal 1: An innovative and growing city. Goal 2: A creative and exciting city. Goal 3: A connective and safe community. Goal 4: An eco-city. Goal 5: A driven and enabling council.


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Of particular importance to this AMP are the City Development Strategy and the Eco-City Strategy. Under each of these strategies a number of specific Strategy Plans have been developed; the following being of relevance to this AMP:

City Development Strategy - Infrastructure Plan.

Eco-City Strategy – Three Waters Plan.

The Infrastructure Plan sets expectations that infrastructure for stormwater will be provided ahead of development demand and will be sufficient to meet on-going urban intensification based on high rate growth targets set by Council. The Three Waters Plan focusses on managing the effects of growth and climate change on stormwater discharge volumes and quality as well as addressing existing flood damage risks.

External Strategic Environment

The external strategic environment is also of relevance in that the performance of the stormwater network is governed by legislative obligations and dependent on the management of receiving water courses which fall under the control of the Horizons Regional Council.

The Building Act and Horizons One Plan set legislative and regulatory requirements and controls around development and the level of service from stormwater systems. The Building Code sets out a requirement for properties to be protected from stormwater inundation of habitable floors in events up to 1 in 100 years return period, while the One Plan does not allow for construction of habitable buildings in a flood risk zone. Given the uncertainty of climate and changing rainfall patterns, performance measures expressed in terms of return periods are considered problematic.

AMP Response to the Strategic Context

The approach taken in the AMP is to look to target an ‘acceptable’ level of flood damage loss for the city such that only where properties are at risk of frequent and uninsurable flood damage loss, would Council consider options to invest in capital upgrades to reduce the flood risk. Aside from the targeted capacity upgrades

which could include catchment storage the overall approach proposed is to mitigate and prevent stormwater runoff effects through a range of measures including:

Detention and treatment of stormwater at the individual property level or within the development or growth area;

Application of minimum floor levels for new properties as well as protection of overland flow paths;

Implementation of building controls on hard stand and impervious surface coverage; and

Setting requirements for use of water sensitive design solutions.

Specific issues focussed on for the period 2018-2021 and addressed in this plan are:

Further development of the 2 D model to include 1 D elements in at risk catchments to identify properties at risk of flood damage with climate change;

Use of modelling to undertake scenario assessment to identify potential mitigation options to reduce flood damage severity or frequency to inform capital improvement programmes;

Mitigating the effects of infill development on stormwater discharge in at risk catchments by way of at source control measures and enhanced building controls;

Improving stormwater quality in the most at risk areas through targeted interventions at source with property owners and in the local receiving network; and

Providing cost effective stormwater infrastructure in new growth areas through water sensitive design approaches and construction of sustainable urban drainage systems.

The benefits of addressing these problems and the consequences of not addressing them are outlined in the AMP.


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Levels of Service This plan supports Council providing:

Stormwater collection and monitoring systems which protect residential, industrial and commercial properties in the City from flooding of habitable buildings for all rainfall events up to a 1 in 100 year return period.

Stormwater infrastructure which meets the growth requirements outlined by Council.

Stormwater services which comply with regulatory and consenting requirements.

LoS measures contained in Council’s 10 Year Plan include a number of DIA mandatory performance measures. Work is continuing on determining more appropriate KPIs for the activity based around target levels of property loss and damage following flooding, expressed as $ per annum.

The AMP also sets out both customer and technical levels of service in the areas of flood damage frequency and occurrence, responsiveness, consent compliance, fault and complaint occurrence and planning.

Level of service is expected to change in the following areas over 30 years:

Reduced incidence of network faults and performance issues identified within the network following proactive investment in inspection, condition assessment and renewals

More frequent ponding and nuisance flooding in the road and in overland flow paths associated with more frequent operation of the secondary stormwater network due to climate change and additional stormwater runoff due to intensification

Improved outcomes in respect of stormwater quality due to a greater focus on regulatory and physical controls to treat stormwater at or close to source

Gradual improvement in the biodiversity and quality of the stormwater drainage reserves and waterways due to an investment by Council and the community in weed clearance, planting and maintenance

Future Demand The main demand for stormwater services in the future will be driven by:

Urban intensification, commercial and household growth.

Climate change effects resulting in more frequent higher intensity rainfall events.

Higher expectations around achievement of improvements in stormwater quality particularly in the urban streams and watercourses

Community expectations that the stormwater drainage corridors will provide walking and cycling connectivity and greater biodiversity within the urban area.

This AMP is based on following a specific Palmerston North high population growth population scenario for years 1-10 that equates to 1.0% annum growth and then a medium growth scenario for years 11-30 that gives an overall population growth of 0.6% p.a. over 30 years.

The main areas targeted to provide for residential growth are Whakarongo in the short term, with additional contributions from Aokautere, Hokowhitu, Napier Road, Flygers Line, Te Wanaka Road and Ashhurst. City West is assumed to meet growth requirements in the medium to longer term. Industrial growth requirements will be met mainly by the North East Industrial Zone and its extension as well as some existing land at Longburn.

The demand for services is to be met through a combination of managing existing assets, upgrading of existing assets, providing new assets and demand management.

The demand management approach to stormwater is to be delivered through implementing the actions outlined in the following Council Plans:

District Plan Provisions for the Whakarongo and North East Industrial Extension Growth Areas

Urban Residential Growth Strategy Specific Catchment Stormwater

Management Plans (in development)


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Lifecycle Management Stormwater assets are managed so as to deliver the required levels of service while minimising costs on a whole of life basis.

Palmerston North is serviced by separate drainage systems for wastewater and stormwater run-off. While the main focus is the primary pipe and open channel network, the effective performance of the stormwater system relies heavily on the secondary system which includes the roading network and overland flow paths.

Achieving Council’s strategic outcomes at an affordable cost will rely on exercising more control and oversight of the secondary system and ensuring it can function effectively when required. The stormwater activity therefore relies heavily on the Roading Activity to maintain and renew the sumps, sump leads, grates and kerb and channel to deliver effective stormwater drainage performance. A significant proportion of property stormwater is discharged to the kerb and channel prior to being conveyed to the primary network.

Important considerations in managing the stormwater services in combination with other assets include:

Maintaining sumps and sump leads to ensure they can function effectively;

Ensuring road design can accommodate the required volumes of overland flow without exacerbating property level flood damage impacts; and

Ensuring overland flow paths are protected and free of obstruction.

The maintenance and renewal plans maintain the service potential of the stormwater assets through the 30 year period while the development plan provides for the additional capacity for growth and added resilience to the system or programmes to achieve specific outcomes desired by the Council. Particular aspects and funding required for each of the plans are as follows:

Policy and Planning

Expenditure on policy and planning is predicted to continue at significant levels with key priorities during the period including:

Advancing the city wide 2D stormwater modelling and scenario assessment work to provide greater detail at a catchment level;

Completing policy and regulatory work to inform policy and plan changes to improve stormwater management;

Undertaking critical asset condition assessment; and

Targeting stormwater discharge quality improvements in sub-catchments with significant contaminant discharges.

The programme also includes provision for an annual programme of CCTV inspection and condition grading for a representative cross-section of the network over the first 5 years of the AMP.

Operations and Maintenance Plan

The operation and maintenance expenditure profile is expected to rise over the first 8 to 10 years of the period and then fall away due to a reduction in pipe network maintenance as poorly performing parts of the stormwater network are renewed. Some of the savings are likely to be offset by additional maintenance costs for treatment systems and stormwater detention and attenuation ponds which are vested with Council. Current understanding of the cost of long term maintenance of dry and wet pond and wetland systems is limited and it is possible that O&M costs may need to rise to reflect the higher costs of these components of the network.

Total 30 year Operational cost g forecasts (including operating programmes, activity management and activity delivery but excluding interest and depreciation) are $50M (on average $1.7M p.a.).

Renewals Plan

The renewals profile shows a higher level of renewal expenditure in the initial 5 to 8 years period associated with renewal of a backlog of currently identified problem pipe assets.


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Renewal funding requirements are then expected to drop. The renewals profile includes provisions for stream and drain renewals, minor pipe renewals and replacement of outlet, gate and other assets at risk of damage within the stream or river active discharge zone. Condition assessment work and detailed inspections may result in a revision of the renewal profile in the medium to long term. Renewal predictions over the 30 year period indicate funding levels after a higher level of investment in the first 6 years, falling to a steady level for the remainder of the period. Detailed CCTV and condition surveys of critical and representative portions of the network will be undertaken to verify the assumptions.

Total 30 year Renewal forecast of $12M (on average $0.4M p.a.)

Development Plan

New capital expenditure comprises a combination of investment in infrastructure required for growth primarily in Whakarongo and the North East Industrial Area Extension and construction of new assets to mitigate the effects of flood damage in at risk areas of the network. A summary of the breakdown in the funding split between these two areas is outlined below. The spike in 2024/25 is associated with the assumed first stage of stormwater infrastructure investment required for the City West residential zone.

Total 30 year Development forecast - $17M (on average $0.56M p.a.)

Financial Summary The following graphs show the projected operating and maintenance, renewals and capital expenditure associated with the management and development of the assets as set out in the O&M, Renewals and Development Plans Annual expenditure is shown years 1 to 30 of the plan.

Operations and Maintenance

Figure A depicts projected operation and maintenance expenditure excluding interest and depreciation for the 30 year period. .

Figure A: Thirty Year Projected Operations and Maintenance

Renewals

Figure B depicts projected renewal expenditure for the 30 year plan period.

Renewals are significantly less than below depreciation due largely to most of the stormwater assets being in the early stage of the renewal profile such that only a small proportion of the stormwater assets will require renewal during the 30 year planning period. Based on the condition information to hand, it is also expected that many pipes will have lives considerably longer than the assumed median pipe age, thus spreading the renewal cost further. The renewals budget is higher in the first six years to fund replacement of a small number of poor condition small diameter pipes of 40 to 60 years of age typically located in private property easements. These pipes currently account for the majority of the service requests and service complaints.

Figure B: 30 Year Projected Renewals Expenditure

Renewal expenditure requirements in respect of the larger diameter pipes are assessed to be low and will be associated largely with remedying faults associated with installation

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issues and third party service clashes or damage rectification.

Capital Development

The projected 30 year capital development expenditure profile is depicted in Figure C. It is comprised of an annual investment in capacity upgrades and attenuation solutions to mitigate flood damage and new stormwater infrastructure to service new growth areas.

Financial forecasts are based on limited asset information so that extrapolation from existing information has been used. Projects in the first few years are more fully scoped than in later years.

Figure C: 30 Year Projected New Capital Expenditure

Risk and Resilience Critical assets for the stormwater activity having the highest consequences should they fail are identified as:

Stormwater pipes > 1.8m diameter (criticality assessed as High).

Culverts (criticality assessed as Medium). Pump Stations (criticality assessed as

Medium to High). Stopbanks (criticality assessed as medium).

Other key risks for the activity as a whole are:

Climate change. Non-compliance with legislation and legal

requirements. Discharge of hazardous or dangerous

contaminants to the stormwater network. Mechanical/electrical failure of stormwater

pump station, stop banks and discharge structures.

Ineffective project, programme, contract and asset management due to staff skill and knowledge gaps.

Mitigation measures to address the above risks are outlined in this plan.

The plan is also focussed on increasing the resilience of the infrastructure to natural hazards so as to minimize the extent of loss associated with flooding or habitable buildings. Initiatives in this plan that increase the resilience of the stormwater infrastructure include:

Ensuring that new buildings are constructed with significant freeboard to meet predicted stormwater ponding levels allowing for climate change

Implement requirements to provide detention storage and stormwater infiltration at source to reduce stormwater volumes and flows leaving properties

Using 2D modelling of the stormwater system to inform the community of areas at risk of flood damage and working with them to develop strategies to limit the impact and loss

Ensuring stormwater pump stations include provision for operation using mobile generation equipment and such equipment is available within Council.

Data Management and Reliability The quality and completeness of the stormwater asset data is considered average given it is based on historical capture of asset data at the time of construction. Investment in physical and CCTV inspection of the critical buried pipe assets and a selection of the remainder of the network will provide an opportunity to audit the quality of the data for buried assets. Further initiatives are planned to improve the quality of asset data and its condition including:

Development of a spatial data set for all the open channels and drains which includes a condition score to enable programming of renewal and major maintenance works

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Routine physical inspections of all large diameter (>1.8 m dia) mains to identify condition and performance risks to enable these to be addressed immediately

Spatial identification and categorisation of all outlet and in-channel structures

Spatial mapping of all drainage reserves to enable more efficient management of routine vegetation mowing and management tasks

Continuous Improvement Asset management processes and practices are continually being assessed and improved in order to provide more cost effective asset management. The priority improvement tasks for the next 3 years are as follows:

Capital renewal and development project planning – further development of programme development to more effectively implement a sustainable development approach which utilises source detention and attenuation instead of investment in additional drainage capacity.

Review demand projections on an on-going basis to ensure growth programmes meet requirements for capacity provision ahead of growth.

Development of predictive modelling and risk based approaches to prioritise renewal programmes and better manage risks and costs in achieving the desired outcomes.

On-going development of asset systems and collection and analysis of data to provide a more accurate assessment of the assets and their ability to meet the level of service.

Resource planning to ensure the recruitment, retention and development of sufficient and suitably qualified staff.

Section 1 – Overview Asset Management Plan 2017 – Stormwater

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1 Overview

1.1 Purpose of This Plan

This AMP is the basis for the Stormwater Activity planning. The objective of asset management is to:

“Deliver the required level of service to existing and future customers in the most cost-effective way.”

In this context the specific objectives for the AMP are:

To define the services to be provided, the target service standards that Council aims to achieve, and the measures used to monitor the performance of the Stormwater Activity.

To translate Council’s Strategic Vision and Goals into activity strategies and action plans, that aligns to National and Regional policies and strategies. The plan identifies forward works programmes based on strategic outcomes sought and financial forecasts required to meet agreed service levels and cater for growth.

To demonstrate responsible management of the Stormwater Activity infrastructure to stakeholders, ensuring that public funds are optimally applied to deliver cost effective services to meet customer expectations.

To document current asset management practices used by PNCC based on clear evidence as part of a sustainable and optimised lifecycle management strategy for the Stormwater Activity infrastructure, and identify actions planned to enhance management performance.

To comply with the requirements of relevant legislation.

The key outputs of this AMP are input into the 2018-28 10 Year Planning process, which will be the subject of a special public consultative procedure.

The intention of this AMP is to set out Council Stormwater Activity assets and services in a way that is appropriate for a readership including elected members of the Council, executive management, interest groups and business partners associated with the management of the Stormwater Activity along with interested members of the community. It covers the services that are provided from ownership through to management of the associated assets.

This AMP covers a period of 30 years commencing 1 July 2018. Operational, maintenance and renewal programmes for the first 3 years are generally well defined with reasonable certainty of being implemented to budget as planned. Beyond this period, work programmes are generally based on projected trends and demands and there is less certainty with respect to scope and timing of the projects. All expenditure forecasts are based on unit costs as at 1 July 2018.

1.2 Relationship with Other Plans

AMPs are a key component of the Council planning process, linking with the following plans and documents:

10 Year Plan (10 Year Plan): A plan required by the Local Government Act (2002) to cover a period of at least 10 years and provide a long-term focus for the decisions and activities of the Council. This AMP contains key information about the Council’s activities, assets, levels of service and cost of providing services. This AMP provides key inputs to the 2018-28 10 Year Plan.


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Infrastructure Strategy: A local authority must, as part of its long-term plan, prepare and adopt an infrastructure strategy for a period of at least 30 consecutive financial years. The purpose of this strategy is to:

identify significant infrastructure issues for the local authority over the period covered by the strategy; and

identify the principal options for managing those issues and the implications of those options.

This AMP is an integral document in informing the Infrastructure Strategy.

Annual Budget: Provides the programmes and funding plan for each year of the 10 Year Plan, including reporting on variances.

District Plan: The District Plan gives effect to four land-use strategies through the City Planning Framework that covers residential, industrial, commercial, and rural residential development. The strategies establish the best use of land, and direct where private sector investment should occur, based on several land use zones. AMPs give support to the strategies and link into the 10 Year Plan for funding of infrastructure.

Contracts and Service Level Agreements: The service levels, strategies, and information requirements contained in AMPs are translated into contract specifications, internal service level agreements, and reporting requirements.

Bylaws, standards and policies: These tools for asset creation and subsequent management are needed to support AM tactics.

Stormwater Catchment Management Plans: The first stage of modelling of stormwater runoff across the city has been completed. Further development of this 2 D modelling is planned for specific sub-catchments where flood risks have been identified. The modelling work will help to identify at risk properties and allow for scenario assessment of potential mitigation strategies. Alongside this, Council has started work on a review of receiving water quality in the urban streams and open drains. Together with an assessment of land use, this will be used to identify target areas for improved property level stormwater control, and at source treatment. Property level and catchment level stormwater management plans will be developed to guide interventions in each area and ensure the range of interventions considered is comprehensive.

Horizons Regional Council One Plan: This plan is now the controlling document covering the quality of air, land, and water receiving environments. Horizons Regional Council is currently working through a stock take of stormwater discharges and their effects on the receiving environment to guide the policy and consenting approach in this area.

Figure 1 depicts the relationship between the various processes and levels of planning within the Council required to deliver on Council’s vision and goals.


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Figure 1: Planning and Processes Relationship within Council

1.3 AMP Review Process

This AMP review has been a 12 month project undertaken by Council’s asset management (AM) team, led by the Special Projects Manager, covering all Palmerston North City Council (PNCC/Council) AMPs.

Linkages were established early in the process with other Council planning teams, including the 2018-28 10 Year Plan team, strategic planning, and corporate finance teams, to ensure an integrated approach to consistency of information and assumptions across the organisation.

The stages of the review have been as follows:

Assessment of Council’s strategic direction as it has developed over the period February – August 2017 to determine the asset implications of delivering the community outcomes that the Council is seeking and developing programmes accordingly.

Level of service review – to determine what level of service the Council considered affordable and what changes are required. The Councillors were informed about current levels of service and workshopped the issues and options at a workshops.

Assessment of growth and demand projections to determine future stormwater capacity requirements

Review of critical assets and key risks, assessment of critical asset resilience to natural hazards and interdependencies, review of risk management strategies, and updating of risk management programmes.

Preparation and review of AMP budget forecasts to inform the 10 Year Plan (July - November 2017).

Internal Peer Review and finalisation of AMPs (Dec – Jan 2018). External peer review (February 2018).

TACTICAL PLANNING e.g. Asset Management Plans

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Formal reporting of AMPs to the Council.

Any variations between the respective AMPs and the 2018-28 10 Year Plan will be the subject of a report to Council following adoption of the 10 Year Plan in June 2018.

This AMP has been prepared as a team effort by officers dedicated to and trained in asset management planning. This team has been supervised and the AMP internally reviewed by professional Council staff having over 10 years’ experience in preparing AMPs. An external peer review has been undertaken by AECOM Ltd.

1.4 Changes to AMP Since 2014

Asset management is a process of continuous improvement, contiguous with development of and changes to Council’s strategic environment and improved knowledge of asset condition and performance to achieve agreed levels of service.

Key changes to the AMP since 2014 are as follows:

Development of capital new and operational programmes to align with Council’s new Vision ‘Small city benefits, Big city ambitions’ and associated goals and strategies and the outcomes that the Council is seeking to achieve. (Section 3)

Adjustments to the levels of service to be delivered to the community through level of service review and development of Council’s strategy plans. (Section 4)

Revised schedule of development works for growth for both residential and industrial growth arising out of a higher population growth projection - a high growth scenario for years 1-10 and a medium growth scenario for years 11-30. This requires infrastructure for a greater number of households over 30 years than previously planned. (Section 5)

Reassessment of demand for services as a result of higher population and household projections. (Section 5)

Updating of the risk and resilience section. (Section 7) Improvements to asset management processes, particularly the introduction of the Programme

Planning and Implementation process. This is to ensure that the programmes in this plan are supported by robust information. (Section 11)

1.5 Navigating the AMP

This AMP comprises a series of logical steps that sequentially and collectively build the framework for sustainable asset management for the activity it serves. The plan contains three main sections. It first describes what the plan is about and the activity it relates to. The second section is about the drivers that influence and set the direction for asset management. The third section describes how the level of service and strategic outcomes are achieved through managing and developing the assets.


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AMP at a Glance(Executive Summary)

Overview (Section 1.0)Purpose of AMP, relationship to other planning documents, AMP review processes &

navigation

The Activity (Section 2.0)Purpose, description & rational of activity, Custemers/Users, Key relationships for

management of activity, significant changes and negative effects associated with activity.

The Strategic Environment (Section 3.0)Strategic context (internal & external) to determine key outcomes sought.

Strategic assessment to identify problems and benefitrs within the overall strategic context & the outcomes desired.

Levels of Service (Section 4.0)The review process followed and the qualities of the service that Council intends to deliver to

the Community

Growth & Demand (Section 5.0)The growth and demand factors impacting on the capacity and levels of service provided by

the assets over 30 years

Assets & Lifecycle Management (Section 6.0)Plans detailing how the assets are to be managed, operated, maintained, renewed and

developed to provide the required level of service over the asset life.

Risk and Resilience (Section 7.0)Risks identified that may affect the ongoing delivery of services from Council’s infrastructure

and resilience to natural disaster

Sustainability (Section 8.0)Identification of key sustainability issues and linkage to Council’s strategies

Financial Projections (Section 9.0)Outlines the long-term (30yr) financial projections for operating, maintaining, renewing and

developing the assets. Asset valuation and reliability of estimates.

Assumptions (Section 10.0)Key assumptions used in developing asset lifecycle programmes and impact of variations from

these assumptions

Improvement Plan (Section 11.0)Initiatives to make improvements to asset management planning over the next 3 years and to

inform the next AMP review

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Section 2 – The Stormwater Activity Asset Management Plan 2017 – Stormwater

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2 The Stormwater Activity This section sets out the services provided by the Stormwater Activity including:

A description of the assets used to deliver the activity; The rationale for Council involvement and ownership of assets; The key relationships within Council The significant negative effects of the activity; and The significant changes in the activity since the last AMP.

2.1 Activity Description

The key function of the stormwater activity is to provide for surface water collection and drainage which limits the risk of flooding of residential habitable dwellings and commercial buildings as well as limit the impact of stormwater discharges on the receiving environment in the urban areas of the City. Figure 3 depicts the City areas managed for stormwater drainage which now include the village settlements of Longburn and Bunnythorpe.

The stormwater drainage system comprises both a primary system comprising a network of pipes and open drains designed to cope with surface runoff from frequent rainfall events of average intensity and a secondary overland flow network including roads, swales and informal drainage paths for less frequent and more intense rainfall events. In managing stormwater drainage localised ponding, informal storage basins and formal surface attenuation devices reduce peak flows by detaining stormwater until drainage networks and receiving water courses are able to cope with the flows. When the primary pipe system is at capacity, the secondary system must be able to cope with the additional stormwater drainage effectively if the flooding hazard to residential and commercial properties is to be mitigated.

The sump, and kerb and channel assets are managed separately under the Stormwater Asset Management Plan.

This combined network of a primary pipe network and secondary over-land flow network comprises the drainage network for all public and private property and comprises the following key components:

A reticulated stormwater system of pipes, pumping stations and channels with varying capacity to minimise street flooding for frequent (2 to 5 year return period) rainfall events.

A secondary stormwater system comprising swales, road kerb and channel and more informal overland flow paths through private property. In combination with the primary network this is intended to protect habitable buildings from flooding in all events up to a 100 year frequency. Note: The Horizons Regional Council Proposed One Plan requires a level of protection for any new structure, activity or critical infrastructure located in a floodway to be designed so that the adverse effects of a 1 in 200 flood event are avoided or mitigated).

Local stopbanks, totalling 14 km in length along the following open water courses:

the main stem of the Kawau Stream, downstream of the North Street confluence and upstream of Botanical Road; and

Pioneer drain from Mangaone Stream to Mariner Street.


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Planning and building controls such as restrictions on building in high flood risk areas, provision of temporary detention or storage attenuation and minimum floor heights for residential and commercial buildings.

Programmes to minimise the entry of pollutants to the stormwater system through the use of water sensitive design incorporating at source diversion or contaminants to the sewer network or treatment by way of rain gardens, grass swales and treatment wetlands as part of flow attenuation facilities.

Gross pollutant traps or similar treatment devices in the stormwater system designed to reduce the quantities of both debris and particulate contaminants that are conveyed to the stormwater drains and discharged to the receiving water courses.

Planning and policy initiatives to require the mitigation of the stormwater quality and quantity effects of infill development in the face of more frequent short duration high intensity rainfall events due to climate change.

This AMP covers the three broad categories of stormwater assets, namely: collection, pump stations and streams and drainage channels.

The broad asset groups and their replacement values as at 30th June 2017 are shown in the Table 1.

Table 1: Stormwater Assets Quantity & Value

Asset Type Quantity Replacement Value

Pipelines – Circular 275 km $136,558,367

Culverts 9 km $40,551,054

Manholes 5,271 $23,498,230

Mains Connections 24 km $ 4,075,370

Sumps connections 54 km $13,149,888

Kerb Connections 65 km $5,373,449

Flood Gated & Other Structures 90 $495,220

Inlet/Outlet Structures 428 $2,609,890

Storage Basins 6 $2,694,200

Channels (Artificial) 21 km $9,055,545

Land Drainage – Stopbanks 14 km $2,503,950

Land Drainage – Protection works 15 $2,938,250

Pump Stations 15 $2,529,830

Drainage Reserve Land 76,606 m2 $466,500

Total $246,499,743


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Figure 3: Stormwater Managed Areas


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The schematic layout of a typical stormwater drainage system is shown in Figure 4.

Figure 4: Schematic Layout of a Stormwater Drainage System

Although most of the City is urban in nature, there are adjoining rural areas where piped stormwater systems are not provided. Local stormwater disposal is usually acceptable in these areas due to the low density of development and the ability of the natural systems to accept additional stormwater runoff without significant impacts on the receiving environment.

Where a piped stormwater network is available, the point of service or discharge for stormwater drainage is the property boundary. The Council owns and maintains all stormwater pipelines and public drains up to and including the point of service.

All stormwater drains, pipework and plumbing upstream of the point of service and private watercourses within private property are owned by and are the responsibility of the property owner. This includes private pipelines discharging directly to watercourses.

2.2 Activity Issues

2.2.1 Capacity Limits

It is impractical and unaffordable to provide a primary stormwater system with the capacity to accommodate runoff from all rainfall events. Instead a primary network designed to provide for frequent rainfall events is combined with a secondary system comprising overland flow along roads or over designated overland flow paths is provided. Historically the indicative design standard adopted by Council for the primary stormwater system has been to handle runoff from a storm with a 5 year return period or with a 20% chance of being exceeded in any year. For more significant and less frequent rainfall events the expectation is that the secondary stormwater system will provide the additional capacity required to avoid flooding of habitable dwellings and commercial premises for up to a 1 in 100


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year return period event. In practice for various reasons significant parts of the city have been provided with primary networks with much lower design capacities such that secondary flow networks operate on a number of occasions each year.

There are a range of other factors which impact on the apparent performance and design capacity of the primary network including:

the significant infill development occurring within the city which is resulting in significant increases in impervious surface areas and stormwater runoff volumes and rates of discharge to the existing stormwater pipe network; and

the increase in the frequency and intensity of rainfall events due to climate change.

Both of these factors are resulting in a decline in the apparent level of service of the primary network, or an increase in the frequency with which the overland flow of stormwater via the secondary network occurs.

Because the level of flood protection that can be economically provided by the stormwater activity is, limited, a different approach is required to determine the optimum capacity of the system and how to provide for changing stormwater service demand. The approach proposed in this AMP comprises the following:

the level of service to be provided by the primary pipe system shall as a minimum be sufficient to handle only frequent rainfall events of short duration which typically occur every year (i.e. 1 or 2 year ARI); - this is a potential change to the quoted LoS however reflects the status quo in many parts of the network

the overall capacity of the stormwater system shall be the combined capacity of the primary and secondary stormwater network and wherever possible this shall meet the 1 in 100 year return period standard inclusive of climate change; - no change to LoS

flooding risk mitigation shall be focussed on limiting the number of properties that suffer flood damage or the severity of flood damage associated with stormwater flowing through habitable residential or commercial dwellings for ARI events of up to 1 in 20 years; - this is a new LoS criteria not previously set

new residential growth areas shall incorporate low impact design and sustainable urban design systems which effectively treat and limit stormwater flooding risks for the development, downstream catchments and receiving watercourses.- current requirement

The specific level of services changes have yet to be finalised as the scoping of the approach will rely on the findings and scenario assessment undertaken using the 2-D modelling work which is well advanced. The modelling work is key to enabling identification and protection of key secondary flow paths and ponding areas. It is expected that the changes to level of service will be developed and consulted on as part of the next LoS review.

2.2.2 Demand Management

Building Floor Level Control

A key factor in effectively mitigating flood damage is to accurately identify flood risk areas and then restrict and control building activity by way of setting minimum floor levels for new dwellings or buildings. This is particularly important within infill development where older style timber piled housing is often replaced with concrete slab-on-ground dwellings. Without the setting of specific minimum floor levels supported by flood modelling work, new buildings will be typically constructed with a lower floor level than the original building resulting in an increased risk of flood damage.


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In the absence of model derived water levels, a conservative approach to the setting of “freeboard” can address the risk particularly in flood plain or terrace areas such as are typical in much of the City and Ashhurst. Small differences in elevation of the building floor above the section and road will usually provide the necessary protection. For lower lying areas in the City particularly around old river features, more detailed site specific determination of flood levels is required. This is particularly important given the upsurge in building activity which is resulting in pressure to build on previously ignored areas of land which have inherent constraints often related to drainage.

A key focus over the next 3 years will be formalising through the subdivision and building consent process, the requirement for stricter building floor level controls supported by the more robust modelling work currently underway.

Site Specific Detention and Stormwater Attenuation

While some enhancements to the primary stormwater network will also be advanced, a key focus will be improved sustainable management of stormwater by implementation of water sensitive design approaches in new industrial and residential growth areas.

Section 6.8.3 provides further information on non-asset, demand management programmes for the stormwater activity.

2.3 Activity Rationale

Territorial authorities exist principally to supply services that help to promote the social, economic, environmental and cultural well-being of their communities. The services provided, and how they are provided, depend on the level of service required by the community.

Council has identified the assets comprising the stormwater activity as a whole, as strategic assets owned by Council.

Under the provisions of the Local Government Act 2002, Council cannot transfer ownership or control of a strategic asset, or construct, replace or abandon a strategic asset unless it has first consulted with the community and included the proposal in its operative Long Term Plan. In addition, the Health Act 1956 requires Local Authorities to provide ‘sanitary works’, the definition of which includes drainage works and includes all lands, buildings, and pipes used in connection with any such works.

As a major contributor to stormwater runoff within the City, Council is committed to its present involvement in the stormwater activity. This AMP has been developed on the basis of continuing Council ownership of the stormwater assets.

The AM objective adopted for the stormwater activity is:

“To provide a stormwater collection and monitoring system to protect residential, industrial and commercial properties in the City from flooding to the level of a 100 year flood.”

The services provided by the Stormwater activity contribute to the vision and goals adopted by Council for the City as summarised in Table 2.


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Table 2: Activity Linkages to City Goals

Goals Contribution

Goal 1 – An innovative and growing city Provide sustainable and cost effective stormwater services that meet the agreed level of service in advance of development

Goal 2 – A creative and exciting city Promote increased biodiversity and enhanced public access to drainage reserves and waterways through daylighting and native planting without compromising on drainage capacity

Goal 3 – A connected and safe community

Ensure open drains, waterways, culverts and screens are designed to minimise health and safety risks as well as provide safe walking and cycling corridors

Goal 4 – An eco city Adoption of more sustainable management of stormwater at source through requiring infiltration, detention and attenuation of stormwater as well as implementing appropriate treatment to remove significant contaminants

Goal 5 – A driven and enabling council Adoption of digital transformation technology where appropriate to enable more efficient operation and provide better customer service

2.4 Key Relationships

In delivering stormwater services Council has a key responsibility to the customers and users of the service (residential, commercial and industrial) which takes the form of explicit levels of service and key performance indicators. Council has identified the need to improve communication with customers to clarify what Council’s stormwater services can be expected deliver. There is currently insufficient understanding that effective functioning of the system depends on utilising roads and overland flow paths to convey stormwater during heavy rainfall events.

In order to deliver effective stormwater services in the City, Council relies on working relationships with a number of key stakeholders including contractors, consultants and specialist service providers, including:

City Enterprises, a service delivery unit of Council, who are engaged by City Networks as Council’s contractor to provide reticulation network operation, maintenance and renewals services

City Future, a planning unit of Council, who provide strategic planning services including development of growth forecasts and sustainable development strategies

City Corporate, a unit of Council which provides financial and corporate services to Council including development of funding policies and financial forecasts

Customer Services, a unit of Council, which provides regulatory and RMA planning services The Ministry of Health, who have statutory responsibility for public health issues in New Zealand

including health related aspects of stormwater Horizons Regional Council (the operating arm of Manawatũ – Wanganui Regional Council) who

have an environmental, regulatory and monitoring role as a regional consent authority under the Resource Management Act. Responsibilities include the management of resource consents issued for the discharge of stormwater to land and water

Local iwi formally represented by Rangitãne are in active partnership with PNCC with their views sought and accorded special significance as water related issues are of special cultural significance to Maori.


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2.5 LGA Section 17A Review

Under section 17A of the Local Government Act Local Authorities are required to review the cost effectiveness of their arrangements for meeting the needs of their communities for good quality local infrastructure, public services and regulatory functions. This review requirement includes considering options for the governance, funding and delivery of infrastructure and services.

In June 2016 the Council decided to make the Stormwater activity exempt from an s17A review by 7 August 2017. It decided that a review of this activity before this time was not an effective use of Council resources so the review has been postponed.

2.6 Significant Negative Effects of the Activity

There are a number of negative effects of the activity which Council is focussed on mitigating. These include:

Flooding of habitable residential and commercial buildings resulting in financial loss associated with property damage and disruption to normal activities.

Runoff from industrial and commercial areas, as well as pollution incidents resulting in contaminants with the potential to cause adverse effects in the receiving environment i.e. streams and the Manawatū River. The “first flush” of stormwater runoff following a dry period often contains significantly elevated levels of contaminants including sediments, oils, greases, metals and organic material. In rural areas, runoff may be contaminated with herbicides, pesticides, fertilisers and animal waste.

Stormwater entry to the wastewater network through cross-connections and illegal connections resulting in high wet weather peak wastewater flows resulting in excess volumes of wastewater to be treated and potential detrimental impacts on the quality of treated effluent discharged.

Pollution and contamination of the stormwater associated with cross-connections with the wastewater network resulting in contaminants entering the stormwater network and discharging to streams and the Manawatū River.

Council is able to mitigate to varying degrees most of these potential negative effects by a mix of asset development work, demand management initiatives, regulatory and policy controls and the incorporation of features sympathetic to amenity and environmental values. Some of the specific measures are outlined below:

To mitigate these potentially significant negative effects, Council is already undertaking or proposes the following additional programmes of work:

Property damage due to flood events is being addressed by a range of measures including targeted capital works to address capacity constraints, effective building control to set minimum building floor levels, site specific detention and attenuation of stormwater in new growth areas and infill sub-division development in flood risk sub-catchments.

Runoff from industrial areas with the potential for adverse stormwater contamination is managed through the building consenting and trade waste regulatory processes. Details of industrial premises with wash-down facilities, or undertaking activities with a high risk of generating contaminants (e.g. petrol filling stations) are recorded within a database, and the premises are routinely inspected by Council staff. Runoff is either directed to the wastewater system as trade waste, or to the stormwater system following treatment (e.g. via an oil & grit interceptor or other device).


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Council has an emergency response plan to undertake mitigation works with Horizons Regional Council to clean-up pollution incidents. The number of incidents reported to Council can now be monitored through the KnowledgeBase (K-Base) database.

Council is implementing a comprehensive programme of monitoring, inspection and corrective work to reduce the volume of stormwater infiltration and inflow into the wastewater system. The detail of this is described in Wastewater Asset Management Plan and is funded under Programme 1401 – City Wide Infiltration and Inflow Investigations.

Council monitoring of stream water quality at key watercourse sites on a regular basis as part of its state-of-the-environment monitoring and reporting to assist the development of city wide Stormwater Management Plan which will target high risk sites with the potential to discharge significant contaminants.

Behaviour change initiatives within the community focussing on reducing illegal dumping, littering and discharging of hazardous substances into the stormwater system.

2.7 Significant Changes to the Activity

The key change outlined in the plan is the development of a targeted approach to investing in capital new programmes to address flood damage risk. Rather than being focussed on achieving a specific return period performance the approach is based on identifying and prioritising investments based on their ability to mitigate damage loss due to stormwater entry to habitable buildings. This approach is designed to better target capital spending on areas with known flooding risks where practical mitigation measures can be identified. In addition a pro-active approach will be taken to the renewal of stormwater services with known performance and condition issues.

In addition to targeting stormwater quality improvements in waterways with known significant contaminant discharges there is specific investment in enhancing the open waterways in the city to promote biodiversity and local aquatic flora and fauna.

Detailed definition of, development of guidance and standards and implementation of sustainable water sensitive design approaches will continue to be the key focus for managing stormwater in all significant new growth area developments and in any significant infill development or redevelopment areas. .


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Section 3 – Strategic Environment Asset Management Plan 2017 – Stormwater

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3 Strategic Environment This section sets out the strategic environment within which the water supply is managed, outlining the:

Internal Strategic Context (PNCC Vision, Goals, Strategies and Plans associated with the water supply)

External Strategic Context (Legislative and national and regional environment, Statutory & Regulatory requirements, local bylaws and standards and specifications.

Asset Management Policy and Strategy

3.1 Internal Strategic Context

3.1.1 Council Vision, Goals & Strategic Direction

The Council Vision for Palmerston North is:

“Small city benefits, big city ambition.”

Supported by 5 strategic goals:

Goal 1: An innovative and growing city. Goal 2: A creative and exciting city. Goal 3: A connective and safe community. Goal 4: An eco-city. Goal 5: A driven and enabling council.

To achieve the vision and goals, the Council has developed a number of strategies each with specific priorities and associated strategy plans (including actions that link to specific programmes). The Plans most relevant to this AMP are highlighted in Table 3.

Table 3: Activity Contribution to City Goals

City Goals City Strategies Priorities Strategy Plans

An innovative and growing city

City Development Strategy

Create and enable opportunities for employment and growth

Provide the right infrastructure at the right time to enable growth and a transport system that links people and opportunities

District plan

Housing and future development

Strategic partnerships

Urban design

Built heritage

Infrastructure

Strategic transport

Parking


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City Goals City Strategies Priorities Strategy Plans

An eco-city Eco City Strategy Respect and enhance the mauri of the Manawatū River

Work with the community to reduce carbon emissions

Regenerate native biodiversity

Invest in infrastructure that serves to protect, enhance and preserve our environment

Use our legislative powers and policies to ensure that urban development is sustainable now and into the future

Educate the community, in particular, property owners, on the benefits of investing in sustainable building design and green buildings

Demonstrate leadership and best practice by developing and implementing an environmental sustainability plan for the Council

Biodiversity

Water

Waste

Energy

Environmental education

Carbon emissions reduction

Underpinning the city’s vision, goals, strategies and plans are the following strategic themes that guide the way in which the outcomes and actions are delivered:

Smart city practices – use smart systems, processes and tools. Sustainable practices – embed sustainable design and behaviours. Iwi partnerships – work collaboratively with iwi partners. Strategic Partnerships – work collaboratively with key strategic partners.

The Stormwater Activity supports Council achieving its strategic goals through the strategy plans identified in Table 3 as follows:

3.1.2 Infrastructure Strategy

The Local Government Act 2002 Amendment Act 2014 introduced a requirement for Council to prepare and adopt, as part of its Long Term Plan, an infrastructure strategy covering a 30 year planning period.

This AMP is an integral document in informing the Infrastructure Strategy. Table 4 describes the linkages between this AMP and the component parts of the Infrastructure Strategy.

Table 4: AMP Linkages to the Infrastructure Strategy

Infrastructure Strategy s.101B LGA 2002 Asset Management Plan

Paragraph No. Description Reference

2a & b Significant infrastructure issues & options Sections 4, 5, 6, 9

3a Renewals and replacements Sections 6, 9

3b Growth or decline Sections 5, 6, 9

3c Changes to LOS Sections 4, 6

3d Maintain or improve public health & environmental outcomes or mitigate adverse effects

Sections 3, 4, 6, 7, 8, 9

3e Resilience of infrastructure relating to natural hazards Sections 6, 7, 9, 11

4a Estimates of capital and operating expenditure Section 9


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Infrastructure Strategy s.101B LGA 2002 Asset Management Plan

Paragraph No. Description Reference

4b Significant decisions about capital expenditure Sections 6, 9

4c & d Assumptions & uncertainty Section 10

3.1.3 District Plan

Palmerston North’s District Plan provides for specific provisions to ensure stormwater is managed in an integrated manner to minimise the effects on the receiving environment both in terms of quantity and quality. The specific provisions are referenced in Table 5.

Table 5: Specific District Plan Provisions to Manage Stormwater Discharge Effects

District Plan Reference Methods

Section 7A Whakarongo Residential Area

Objective 4 Stormwater Management

Sustainable Urban Design Systems and Low Impact Design Systems via Engineering Standards for Land Development

Section 12 A North East Industrial Zone Objective 3 Policy 3.5 Manage adverse effects on the environment from inundation or the discharge of stormwater

Rule R12A.8.3 Stormwater Detention Area

3.2 External Strategic Context

3.2.1 Horizons Regional Council One Plan

The sections of the Horizons One Plan with specific application to stormwater management and discharge include:

Section 13 relating to Land use activities and biological diversity. Section 13 establishes specific rules which control discharges of water or contaminants namely rules 13-8 and 13-9.

Section 14.6 relating to stormwater discharges to land and water. Section 14.6 establishes specific rules which control stormwater discharges namely rules 14-18 and 14-19 for discharges of stormwater to surface water and land.

Rule 14-18 states:

“Discharges of stormwater to surface water and land [are] permitted [subject to the following] conditions/standards/terms:

(a) The discharge must not include stormwater from any:

(i) industrial or trade premises where hazardous substances stored or used may be entrained by the stormwater

(ii) contaminated land where the contaminants of concern may be entrained by the stormwater

(iii) operating quarry or mineral extraction site

unless there is an interceptor system in place.


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(b) The discharge must not cause or exacerbate the flooding of any other property.

(c) The activity must not cause erosion of any land or the bed of any water body beyond the point of discharge unless this is not practicably avoidable, in which case any erosion that occurs as a result of the discharge must be remedied as soon as practicable.

(d) There must be no discharge to any rare habitat, threatened habitat, at-risk habitat, or reach of river or its bed with a Schedule AB Value of Natural State.

(e) For discharges of stormwater onto or into land:

(i) he discharge must be below a rate that would cause flooding outside the design discharge soakage area, except in rain events equivalent to or greater than the 10% annual exceedance probability design storm. Any exceedance must go into designated overland flow paths

(ii) there must not be any overland flow resulting in a discharge to a natural surface water body, except in rain events equivalent to or greater than the 10% annual exceedance probability design storm

(iii) the discharge must not contain concentrations of hazardous substances that are toxic to aquatic ecosystems, or accumulate in soil.

(f) For discharges of stormwater into surface water bodies the discharge must not cause any permanent reduction of the ability of the receiving water body or its bed to convey flood flows.

(g) For discharges of stormwater into surface water bodies the discharge must not cause, after reasonable mixing, any of the following effects in the receiving water body:

(i) the production of conspicuous oil or grease films, scums or foams, or floatable or suspended materials

(ii) any conspicuous change in the colour or visual clarity of the receiving water

(iii) any emission of objectionable odour

(iv) the rendering of fresh water unsuitable for consumption by farm animals

(v) toxicity to aquatic ecosystems.

(h) The activity must not be to any historic heritage identified in any district plan or regional plan.”

Rule 13-17 of states:

“Discharges of stormwater to surface water or land not complying with Rule 13-15 [are a] restricted discretionary [activity subject to the following] conditions/standards/terms:

(a) There must be no discharge to any rare habitat, threatened habitat, at-risk habitat, or reach of a river or its bed with a Schedule AB Value of Natural State.”

Rangitāne o Manawatū, as mana whenua, is explicitly recognised in the One Plan. Rangitāne o Manawatū has identified the Manawatū River from upstream of the Manawatū Gorge down to the Foxton Loop, including short reaches of the Pohangina at Ashhurst and the Oroua at Rangiotu as having a high density of cultural and historical sites of significance including wāhi tapu and taonga. These cultural sites would be negatively and potentially permanently harmed by some activities and consequently are given a high level of protection” under the plan. Policies 2-1, 2-2 and 2-3 in Chapter 2 require the Regional Council and consent applicants to involve iwi in resource management processes, consult with, involve in monitoring processes and ensure protection of sites of cultural and historic significance.


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Chapter 9 of the One Plan deals with Natural Hazards. In particular, Policies 9-1 and 9-2 introduce requirements for Territorial Authorities to identify floodways or other areas known to be inundated by a 0.5% AEP flood event in district plans and control land use activities in these areas to prevent establishment of any new structure or activity, or increase the scale of any existing structure or activity within a floodway unless:

“(i) there is a functional necessity to locate the structure or activity within such an area, and

(ii) the structure or activity is designed so that the adverse effects of a 0.5% annual exceedance probability (AEP) (1 in 200 year) flood event on it are avoided or mitigated, and

(iii) the structure or activity is designed so that adverse effects on the environment, including the functioning of the floodway, arising from the structure or activity during a flood event are avoided or mitigated.”

Policy 9-3 requires the avoidance of new critical infrastructure in an area likely to be inundated by a 1 in 200 year flood event except in defined circumstances.

Policy 9-5 requires the Regional Council and Territorial Authorities to take a precautionary approach when assessing the effects of climate change and sea level rise on the scale and frequency of natural hazards with regard to, inter alia, stormwater discharges.

3.2.2 Statutory & Regulatory Requirements

The key legislation relating to management of the Stormwater Activity is listed below.

The statutory requirements provide Council with a minimum level of service standard and have been reflected in the levels of service shown in Section 3.2. Council is currently complying with all legislative requirements:

Local Government Act 2002 incorporating Local Government Act 2002 Amendment Act 2014, which defines the purpose of local government as enabling local decision-making and action by and on behalf of communities and to meet the current and future needs of communities for good-quality local public services and performance of regulatory functions in a way that is most cost effective for households and business. The Amendment Act introduces a number of new measures. Of particular relevance, the Act:

Changes what development contributions can be used for;

Introduces new requirements for infrastructure strategies and asset management planning; and

Requires disclosure of risk management arrangements for physical assets in annual reports.

Resource Management Act 1991, which requires Council to:

Sustain the potential of natural and physical resources to meet the reasonable foreseeable needs of future generation;

Comply with the District and Regional Plan;

To avoid, remedy or mitigate any adverse effect on the environment; and

Take into account the principles of the Treaty of Waitangi in exercising functions and powers under the Act relating to the use, development, and protection of natural and physical resources.

Health and Safety at Work Act 2015, which recognises that a well-functioning health and safety system relies on participation, leadership and accountability by government, business and works. The HSWA came into force on 4 April 2016 and sets out the principles, duties and rights in relation


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to workplace health and safety. The New Zealand Transport Agency Guidelines ‘’Code of Practice for Temporary Traffic Management” and the “Local Road Supplement” are the recognised standards for traffic management for maintenance and construction works on legal roads

Building Act 2004 sets the minimum standards for buildings and facilities and requires Councils to produce Project Information Memoranda (PIM's) and building Warrants of Fitness.

Public Works Act 1981 – This Act prescribes processes to enable the acquisition of land for the completion of construction works by Council.

Public Bodies Contracts Act 1959, which confers on a local authority similar powers to enter contracts as enjoyed by corporate bodies or natural persons.

Public Bodies Contracts Act 1959 – The Public Bodies Contracts Act confers on a local authority similar powers to enter contracts as enjoyed by corporate bodies or natural persons.

Civil Defence and Emergency Management Act 2002 – The Civil Defence and Emergency Management Act provides for a coordinated approach to the planning and preparation for emergencies and for response and recovery in the event of an emergency.

3.2.3 Local Bylaws

The following Council By-laws are relevant to the management of Stormwater Activity assets:

The Palmerston North Stormwater Drainage Bylaw 2015 Bylaw and Administration Manual were adopted by Council and came into force on 1 July 2015. The bylaw enables Council to ensure that stormwater is managed to promote sustainable urban drainage and protect the environment from the impacts of flooding, erosion and environmental pollution. It provides for improved control of stormwater discharges and formalises an obligation that pre-treatment devices be installed in all commercial/industrial operations that are/or have the potential to discharge contaminants to the stormwater network. It also gives Council the right to protect overland flow paths and stormwater infrastructure from any interference which might impact on the performance of the network.

3.2.4 Standards & Specifications

The standards and specifications for all works to stormwater assets reflect the best current technologies, national standards and legislative requirements. All stormwater assets are operated, maintained and built in accordance with:

PNCC Sanitary Sewerage and Stormwater Drainage Specification. PNCC Engineering Standards for Land Development. PNCC Policy for Road Openings and Reinstatement. New Zealand Building Code and Electrical Regulations. NZS 6101 'Classification of Hazardous Areas'. CCTV - New Zealand Pipe Inspection Manual. Appropriate industry best practices, technologies and the most recent version of national standards

and legislative requirements. PNCC District Plan. Resource consents issued under the Resource Management Act 1991.


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3.3 Asset Management Policy and Strategy

3.3.1 Asset Management Policy

AM Policy

Assets are managed so as to meet the asset management objectives set out below by applying the AM Strategy.

Objectives

To have a consistent approach across all asset classes within the Council. AMPs reflect the strategic direction of the Council (Including the financial strategy). To manage the assets in a sustainable manner in order to deliver the required level of service to the

present and future generations. Assets are managed cost effectively in accordance with sound risk management, environmental

management practice and statutory and regulatory requirements. That there is continual improvement of asset management practice in the organisation. To have up to date AMPs that reflect a multidisciplinary approach across the organisation to inform

the 10 Year Plan process. That asset management performance can be demonstrated to the Council and community. That AM Policy & Strategy is approved by Management Team and that AMPs are adopted by the

Council to inform the 10 Year Plan.

3.3.2 Asset Management Strategy

AM Strategy

This Asset Management Strategy sets out the approach to organising and practising asset management so as to achieve the asset management objectives for the different Asset Management inputs as set out below.

Planning strategy

30 Year Infrastructure Strategy

A 30 year Infrastructure Strategy will be completed as part of the 10 Year Plan process and will reflect the Council’s vision and strategy and provide a combined view of the asset programmes that are required to achieve this. It will show a clear linkage between the strategies and the programmes required to achieve the strategies. The Strategy will reflect the decisions made by the Council through the 10 Year Plan process.

Asset Management Plans

AMPs will be reviewed at 3 yearly intervals to align with the 10 Year Plan planning process and cover a 30 year planning period. AMPs will reflect the strategic and financial direction of the Council and be integrated with other Council planning documents. Differences to AMP programmes and those approved in the 10 Year Plan will be reported to the Council together with the asset and service implications.


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There will be further development of the concept of maintaining the AMP as a ‘living document’ that more accurately reflects the current policies and decisions of the Council.

Levels of Service

A review of the LOS that is to be provided will be undertaken in conjunction with the AMP review to reflect any changes that Council may wish to make. The review will be informed by community satisfaction and submissions received over the previous 3 years and Council direction. Engagement with the community on options will be undertaken for specific significant projects as they arise in accordance with the Council’s Community Engagement Strategy. The review will inform the levels of service adopted by the Council.

Capital New Planning

Capital works planning will be based on a sound understanding of the need and timing for the asset based on demand forecasts and implementation of Council’s strategic and financial direction. Documentation will be provided for justification of each programme.

Programme estimating will incorporate full project costs to complete the asset, identify full life cycle costs and risks associated with the programme. The need for works to accommodate growth will be reviewed on an annual basis to take into account any changes to the anticipated growth rates or other demand drivers.

Capital Renewal Planning

Renewal planning will be based on a sound understanding of the condition and performance of the asset and aim to maintain the current overall service potential of the asset. The renewal programme will also aim to smooth out where possible the financial impact from year to year.

Maintenance and Operational Planning

Maintenance and operational planning will be reviewed on an annual basis but with particular focus at the AMP review as to whether the most cost effective delivery mechanisms are in place. This will also take account of any Council direction arising out of the LGA 17A reviews.

Service agreements with contractors will contain performance measures consistent with the AMP and Activity KPIs to achieve alignment from the operational level to the 10 Year Plan KPIs. The move to measure and value service agreements with specific KPIs and formalised reporting will continue to enable outcomes to be measured and verified.

Demand forecasts

Demand forecasts will take into account population, household and economic growth projections, social and demographic data, technological advances and other relevant data.

Demand management

Demand management options will also be considered when planning to meet growth and to ensure projects qualify for any external financial assistance.

Optimised decision making

ODM techniques will be used for decisions related to significant projects.


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Risk & Resilience

Risk exposure will be managed through:

An annual review of the risk management plan and implementing risk mitigation measures where risk exposure is incompatible with corporate risk policy; and

Undertaking performance and condition monitoring of critical assets.

Resilience of Council’s critical assets to natural hazards will be assessed and programmes prepared to mitigate risk to an acceptable level.

Information systems

Data collection programmes (condition, asset performance, registers and service performance) will be closely aligned to the nature and scale of the assets and to tracking achievement of service targets. The transition to mobile electronic data collection and work order management and resolution will continue with the objective of eliminating paper based systems in the first year of the next AMP period.

Asset management system functionality will be progressively developed to meet the requirements of advanced asset management planning.

Asset Revaluation

Asset revaluation will be undertaken in conjunction with City Corporate staff on a 3 yearly timeframe.

Continuous Improvement

An improvement programme will be included with each AMP review, setting out the areas of improvement required to practices, systems, processes and plans in the following 3 years with identified tasks and budgets. This will be part of the ongoing improvement programme in the City Networks Unit.

Organisational Capacity and Development

Adequate resources will be allocated to asset management to ensure that asset management practices can be undertaken to meet the requirement for robust asset management plans and work programmes. Asset management capabilities will be developed to practice advanced asset management techniques.

Monitoring & reporting on level of service performance measures.

Those level of service measures that are adopted by the Council as KPI’s will be reported through quarterly Annual Plan reports. Other LOS performance measures will be reported quarterly to the City Networks Executive Team (CNET).


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Section 4 – Levels of Service Asset Management Plan 2017 – Stormwater

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4 Levels of Service This section defines the level of service or the qualities of the service that the Council intends to deliver and the measures used to monitor this. The adopted levels of service are used to define the programmes to achieve the Council’s strategic goals and are based on user expectations, practical performance criteria and statutory requirements.

4.1 Introduction

A key objective of this AMP is to match the level of service provided by the asset with the expectations of the users of the service. This requires a clear understanding of user needs and preferences. The levels of service defined in this section will be used:

To inform users of the proposed type and level of service to be offered; As a focus for the AM strategies developed to deliver the required level of service; As a measure of the effectiveness of this AMP; To identify the costs and benefits of the services offered; and To enable users to assess the suitability, affordability and equity of the services offered.

Levels of service for the Stormwater Activity are based on:

Strategic goals (See Section 3.1.2) - These provide guidelines for the scope of current and future services offered, the manner of service delivery and defines specific levels of service which the organisation wishes to achieve.

Statutory requirements/environmental standards (See Section 3.3.1) - Regulations, Acts and Council By-Laws that impact on the way assets are managed (i.e. resource consents, building regulations, health and safety legislation). These requirements set the minimum level of service that must be provided.

Community engagement and feedback (See Section 4.3) - Information gained over the last 3 years on LoS from specific consultation, customer service requests, Annual Budget submissions and community surveys.

The Department of Internal Affairs (DIA) mandatory measures were introduced in 2013 in order to establish a set of baseline data to enable performance to be measured comparatively between all Local Authorities in the country.

The adopted levels of service indicators and measures presented in Appendix C have been grouped into two categories:

Customer performance measures: These are measures of the overall activity, covering the aspects of service that are of most interest to the community and community satisfaction indicators. They include the government mandated non-financial performance measures to be included in the 2018-2028 10 Year Plan. Some of the customer performance measures presented in Section 4.4 are expected to be included for community consultation in the consultation document and publicly reported against in each Annual Report.

Technical performance measures: These are additional measures adopted to ensure that the customer performance measures are robustly achieved. They are used as a management tool and measured and reported internally.


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4.2 Appropriate Performance Measures for the Stormwater Activity

Levels of service in the stormwater activity have historically been based around setting a return period (e.g. 1 in 100 years) or an annual exceedance probability percentage (e.g. AEP %) for either the primary network or the overall stormwater system. While the obligation to meet such a standard remains via legislation such as for example the Building Act provisions, the practicality and relevance of setting and benchmarking performance against such a standard is problematic given the changing frequency of high intensity rainfall events and the recognition that building larger capacity stormwater networks is neither cost effective nor sustainable.

As outlined in Section 7, Council is developing a new approach based on minimising levels of property loss or damage due to flooding of habitable buildings. This recognises that the purpose of stormwater infrastructure is to prevent flooding which results in property damage rather than simply prevent localised ponding or property level flooding which may be simply a function of the secondary network. In some areas of the city given the topography and proximity to the receiving water course, the current infrastructure is adequate for current and future needs with current standards and no change to the requirements or additional investment, while in other areas of the city existing properties are currently exposed to significant flood damage risk.

The alternative level of service measures under development recognise that the susceptibility to flood damage risk varies within the city and requires a more nuanced approach than has been adopted to date. .

Further 2D and 1D modelling work and scenario assessment is required to determine flood frequency for specific return events and using property floor level information the number of properties potentially at risk of flood damage from stormwater entry to habitable buildings. The number of properties at risk of flooding will be used as a proxy for the potential damage cost.

Various scenarios will be scoped for a range of rainfall event durations and frequencies for different parts of the city. Where practical options to mitigate or reduce the flood impacts will be identified and costed. The goal is to develop a range of interventions and mitigations by catchment which delivers measurable reduction in flood damage loss. The specific options and the respective damage risk reduction information will be provided to Council to enable decisions to be made on the level of investment in the stormwater system.

Council will set out level of service performance standards in the following areas:

the performance of the existing pipe and channel network to ensure it is optimised through effective maintenance and timely renewal minimising complaints; LoS – number of network defects and response times

rainfall return periods for which the existing primary and secondary networks can function reliably without resulting in property damage on a catchment basis across the city; new LoS measures for each catchment

the percentage of new properties, constructed since 2017, with minimum floor levels and appropriate stormwater mitigation that suffer flood damage from a 1 in 100 year return period rainfall event or less; LoS – new building and resource consent processing KPI

the percentage of new residential and commercial growth areas created by way of a plan change which include sustainable urban design approaches to limit stormwater runoff peak flows and provide treatment of all stormwater discharges for the worst case modelled 1 in 100 year return period rainfall event inclusive of climate change effects;

compliance with all conditions and requirements of regional council issued stormwater discharge consents.


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Specific LoS measures still under development will be discussed with Council and the community during the first three years of the updated AMP to ensure any changes can be adopted for the next AMP review in 2020.

The Department of Internal Affairs has established a number of mandatory performance measures to attempt to collect information around the performance of stormwater systems across various Territorial Authorities. Council, together with many other TAs, considers the validity of the measures to be flawed and has provided feedback to the DIA to that effect. While Council will continue to collect data to report on these measures they are not considered to provide a meaningful assessment of performance. Specific issues with the DIA measures are outlined as follows:

The number of flooding events per year resulting in stormwater overflow entering a habitable floor in an urban area. The incidence of flood events is dependent on both climate variability and the capacity of the combined primary and secondary networks designed and maintained by Council.

The number of habitable properties per 1,000 properties within urban stormwater service areas affected by a flood event. The key problem with this measure is that property owners are not required to advise Council of stormwater flooding damage, so that in any rain event Council will be made aware of only a small number of flood damage incidents where residents feel Council may have some responsibility for the flooding.

4.3 Community Input & Decision Making Process

The levels of service upon which this plan is based have been derived from an on-going process of community consultation and consideration of levels of service (LoS) options by the Council over a significant period of time.

During 2005, an extensive level of service review was undertaken which engaged with a broad cross-section of the community to understand how well existing services were meeting user needs and what improvements were desired for the future. Specifically the review set out to ascertain views on:

The current levels of service provided by the Council. The desired future levels of service. Aspects of the services by which the quality of the services can be assessed.

At that time, a greater user focus was introduced to the measures. This was reflected by having statements of the service provided to each of the key user groups and performance measures that reflected the user view of the services provided.

Subsequently LoS reviews have been undertaken for each AMP review in which information about levels of service received from the community through local, Communitrak surveys, service requests, Annual Budget submissions has been presented to the Council in order to inform any changes that it may wish to make to the LOS delivered to the community. Generally only minor adjustments have been made since 2005 and then largely to aesthetic matters such as the duration of ponding following rain events or waterlogging in poorly draining areas of the city.

For this AMP level of service workshops were held with Councillors over 23-24 March 2017. Information about the current level of service together with community feedback was presented to the Councillors. Councillors were asked to:

Consider whether the current level of service was about right and what changes, if any, were required.

Give direction on some specific LoS issues important to the activity.


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Generally, the Councillors considered the LoS to be about right. However, the following LoS matters were raised during the workshop and are taken account of in this AMP as indicated in Table 6.

Table 6: Matters Raised at Councillor LoS Workshop

Matters raised at Councillor LOS workshops 23/24 March How these are included in this AMP

Reducing severity of stormwater flood damage to residential and commercial property

Development of new approach to stormwater LoS based on a mitigating flood damage levels in specific catchments. The target would be used to prioritise the level of investment in capital improvement works to reduce flood frequency in at risk areas (to be developed).

Development of specific District Plan policy instruments to mandate stormwater effects mitigation at subdivision to ensure flood risks for existing properties are not exacerbated (to be developed).

Flow attenuation and water quality treatment requirements to be mandated in all new residential and industrial areas through the plan change process (in place).

Protection of overland flow paths and stormwater infrastructure through the Stormwater Drainage Bylaw (in place).

Capital Improvement Plan – Based on the 2-D modelling work in process and scenario assessment work, capital programmes are being scoped for enhancements to the stormwater network to mitigate flood damage risks for the highest priority areas.

Additional focus on stormwater treatment No further investment until the performance of the current devices has been reviewed. Stormwater management plans to be developed for water courses with significant contaminants by way of source control measures implemented via the Stormwater and Drainage Bylaw

Amenity enhancement in selected waterways – Bunnythorpe, Kawau, Mangaone

New programme of work – pilot waterway biodiversity improvement in collaboration with community and iwi in selected locations of the stormwater network.

As part of the development of Council’s strategic direction a number of Strategy Plans were developed during July & August 2017 (see Section 3.1). Some of the actions set out in these Strategy Plans have level of service implications for this AMP. These are shown in Table 7.


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Table 7: Level of Service Actions from Strategy Plans

LOS actions arising from Council Strategy Plans July – August 2017

How these are included in this AMP

Specific initiatives in respect of the stormwater activity as captured in the Three Waters Plan

Day to Day Ongoing Actions

Provide stormwater services that protect buildings from inundation from flooding in major events.

Undertake cultural monitoring for infrastructure projects, especially those situated near waterways.

Continue to comply with resource consent requirements.

Improve the cultural and biodiversity values of our urban waterways.

Acquire private land in urban waterway corridors where necessary.

New On-going Actions

Initiate a city-wide stormwater infiltration and inflow reduction programme to identify defects in the wastewater network that are susceptible to stormwater entry and repair as well as identifying and remedying sources of stormwater entry from private property to the wastewater network.

Implement new stormwater capital works to reduce frequency of property damage due to frequent rainfall events.

Specific New Programmes

Amend District Plan to require water sensitive design solutions and runoff mitigation for all new development in flood prone catchments (by 2019).

Review the Development Contributions Policy to incentivise water-sensitive design practices for new developments (by 2019).

Map cultural values of urban waterways (by 2021).

Smart City Practices Create smart infrastructure networks to improve monitoring e.g. through the use of sensor technology.

Build and maintain calibrated computer models for water, wastewater and stormwater to better analyse infrastructure opportunities and constraints.

Use GIS to interpret stormwater modelling to inform District Plan zoning decisions and resource consent applications.

Use GIS to map sites of importance/significance to iwi and community.

Sustainable Practices Work to restore the mauri of urban waterways.

Require water sensitive design for all new development to reduce environmental impact on urban waterways.

Iwi Partnerships Collaborate with iwi on the urban waterway improvement projects.

Work with iwi to map sites of significance and cultural value.

Strategic Partnerships Work collaboratively with Horizons Regional Council on the urban waterway project.

Work with Environment Network Manawatū to identify urban waterways that are of community importance.

Specific Measures of success Stormwater discharges to the Manawatū River comply with resource consent requirements.

Stormwater network minimises the extent of property loss in majority of rainfall events.

Urban waterways are thriving ecosystems.


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4.4 Communication of Levels of Service & Performance Measures

Council’s adopted levels of service and key performance measures will be publicly communicated through the 2018-28 10 Year Plan consultation document.

4.5 Current and Future Levels of Service & Performance Measures

4.5.1 Customer Segmentation & Target Outcomes

Users of stormwater services have been segmented by broad customer type. The services provided for each are set out in Table 8.

4.5.2 Key Performance Indicators

Target levels of service for the stormwater activity are shown in Table 8. Programmes that contribute to the above Levels of Service (LoS) include operations and maintenance, renewals and capital development. Refer to Sections 6.6.3, 6.7.5, and 6.8.5.

In order to demonstrate that the performance measures have been achieved it is necessary to define specific performance criteria relating to numeric values for stormwater quality, quantity and reliability of supply. Details of how the performance measures are monitored and assessed can be found in Appendix C.

As outlined in section 4.2, work is on-going to develop further KPIs and refine existing KPIs to better align the performance of the stormwater services with both community expectations and Council’s funding priorities. Specific KPIs in development include:

Refinement of the existing LoS KPIs measuring both number of defects in the network and response times to resolve and address these.

Catchment based rainfall return periods setting target performance for the existing primary and secondary networks without resulting in property damage to replace the single measure for the entire city; new LoS measure.

Council compliance with the requirement that 100% of new properties, constructed since 2017, are permitted with minimum floor levels and/or appropriate stormwater mitigation to ensure they are free from flood damage risk for all events up to and including 1 in 100 year return period - new KPI.

Council compliance with the requirement that all new residential and commercial growth areas created by way of a plan change incorporate sustainable urban design approaches to limit stormwater runoff peak flows and provide treatment of all stormwater discharges for the worst case modelled 1 in 100 year return period rainfall event inclusive of climate change effects.


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Table 8: Customer Level of Service, Performance Measures and Targets

Key Service Criteria

User Group (e.g. All, commercial, residential, pedestrians etc.)

Customer Level of Service

Customer Performance Measure

Current Target Current Performance

Future Performance Targets

2018/19 2019/20 2020/21 2020 - 28

Quality and Health

Residential and commercial property owners and occupiers in urban areas connected to the Council’s stormwater system

The Council provides protection of habitable buildings in urban areas from flooding in major flood events.

Goals 1, 3 and 4

The number of flooding events per annum resulting in stormwater overflow entering a habitable floor in an urban area.1

No more than 2 No event No more than 5

No more than 5

No more than 5

No more than 5

The number of habitable floors per 1,000 per annum properties within urban stormwater service areas affected by a flood event resulting in water entering a habitable floor.1

No more than 2 (60 properties in

total)

No event No more than 2

(60 properties in total)

No more than 2

No more than 2

No more than 2

Reliability, Serviceability or Performance

All residents in urban areas connected to the Council’s stormwater system

The Council provides a reliable stormwater collection service

Goals 1 and 5

The number of complaints received about the performance of the Council’s urban stormwater system per 1,000 properties connected per annum calculated for a rolling 12 month period.1

No more than 15

(420 complaints per annum)

17 No more than 15

No more than 15

No more than 15

No more than 15

1 DIA mandatory measure








2018/19 2019/20 2020/21 2020 - 28

The Council responds to failures and request for service in a prompt and efficient way

Goal 5.

Median response time to attend to a flooding event, from the time notification is received to the time service personnel reach the site (flood event is one resulting in stormwater entering habitable building.1

< 2 hours No event < 2 hours < 2 hours < 2 hours < 2 hours

Accessibility Residential and commercial property owners and occupiers in urban areas connected to the Council’s stormwater system

The Council provides stormwater collection service to residential and commercial areas of the City

Goals 1, 3 and 4.

Properties within the designated stormwater service area are able to connect to the stormwater network.

At least 95% 100% At least 95%

At least 95% At least 95% At least 95%

Sustainability All ratepayers Compliance with resource consent conditions for discharge from the Councils urban stormwater system that relate to environmental effects

Goal 4.

Number of abatement notices.2

0 Target met 0 0 0 0

Number of infringement notices.


Number of enforcement orders.


Number of successful prosecutions against the Council in relation to stormwater resource consents.


2 DIA mandatory measure


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2018/19 2019/20 2020/21 2020 - 28

All ratepayers The Council maintains and develops a stormwater services to meet current and future agreed levels of service.

Goals 1, 3, 4 and 5

A 30-year asset management plan is in place for the stormwater activity.

AMP in place and key projects

be identified

30 Year asset management plan

adopted by the Council in

September 2013

AMP in place and

key projects be identified

AMP in place and key projects be identified



Financial Management

All ratepayers The Council manages its stormwater activity in a financially sustainable way

Goals 4 and 5

Work programme is achieved within budget.

100% Target met 100% 100% 100% 100%

Note: Number of properties assumed to be 28,000

Goal 1 – An innovative and growing city: Goal 2 – A creative and exciting city: Goal 3 – A connective and safe community: Goal 4 – An eco-city: Goal 5 – A driven and enabling Council.


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4.5.3 Future Changes to Levels of Service

The anticipated changes to the current levels of service over the next thirty years are summarised in Table 9.

Table 9: Future Changes to Levels of Service

Future Changes to Current Level of Service and Impact on the Community and Costs

Proposed Changes Community Impact Cost Impact

Move to a new LoS criteria based around limiting Annual Average Damage for the network expressed in $000 per annum.

Focus efforts on the areas with the greatest potential benefits in terms of reduced losses due to flooding.

Cost effective way of targeting stormwater infrastructure investment.

Target stormwater capital works in areas where AAD can be cost effectively reduced.

Admission that not all properties at risk of flooding can be or should be mitigated.

Targeted investment in stormwater improvements.

Implement stormwater quality LoS targets based around improvements in high risk catchments in response to Horizons Regional Council push to achieve receiving water quality improvements.

Targeted improvements to stormwater quality in the areas with the greatest problem and the greatest opportunity for improvement.

Stormwater treatment is most cost effective if implemented at source. Treatment capital and operational cost are high for network devices.

Include biodiversity outcomes in the operation and management of selected streams and water courses.

Promote awareness and engagement of the community in the stormwater network.

Additional operational programme budget required however contributions in kind available from third parties and other parts of Council.

In the next thirty years Council anticipates changes to the level of service in the following areas:

The Horizons Regional Council One Plan seeks to moderate the impact of stormwater discharges on the receiving environment. A regional approach to improved management of stormwater will be required. This will require Council to develop Stormwater Management Plans which set out performance targets and actions to achieve stormwater quality improvements. This may lead to a requirement for specific resource consents from high risk catchments and work with private property owners to ensure compliance with the Stormwater Drainage Bylaw through implementing site specific stormwater management plans.

Continuing community pressure to reduce the incidence of flood damage and reduce extended ponding following rain events may necessitate strategic capacity upgrades to the stormwater network.

The increasing frequency of high intensity rainfall events due to climate change will result in more frequent and extended ponding and a higher flood damage risk. This will require more robust assessment and mitigation of stormwater flooding risk at the building and subdivision consent stage if greater stormwater damage losses are to be avoided with new developments.

An increased emphasis on planning and providing for resilience of infrastructure assets to natural hazards, as a result of the Local Government Act 2002 Amendment Act 2014, will support a focus on mitigating flood damage risk.

An increased community focus on transforming stormwater reserves, corridors and waterways to provide cycling and walking connectivity, amenity and recreational spaces.

The potential impacts of the above changes on current levels of service have been considered in this AMP.


4.5.4 Service Level Gaps

Generally the expected level of service is being provided however there are a number of areas where the performance of the existing assets needs to be improved and the level of service extended:

Older public and private housing areas with very small capacity stormwater drainage systems require renewal of the stormwater services due to performance issues with the current network due to root blockage and pipe displacement. These areas are a priority for renewal to restore the service to acceptable levels. (Prog 1062 – City Wide Stormwater Renewal Works)

Some areas of the city (currently being identified through high level modelling work) are prone to more frequent and higher levels of flood damage loss than is tolerable due to their elevation and proximity to major overland flow pathways. Strategic upgrades where feasible are required to mitigate the level of flood damage loss. (Prog 1060 – City Wide Stormwater Improvement Works)

Some areas of the city are not well served by a public stormwater network resulting in stormwater being directed to the wastewater network contributing in turn to higher wet weather flows. Extensions to the stormwater network in these areas will support reductions in stormwater I and I into the wastewater network. (Prog 1060 – City Wide Stormwater Improvement Works)

Parts of the network of open water courses within the city receive disproportionate quantities of contaminants from commercial and industrial activities within the contributing catchment. A combination of at source control and treatment devices within the private property and Council constructed treatment facilities are required to deliver measurable improvements in stormwater quality. (Prog 1060 – City Wide Stormwater Improvement Works

There is no provision in this AMP to improve the stormwater levels of service for the residential and rural areas outside the defined stormwater collection service area.

4.6 Key AMP Improvement Projects Relating to LoS

For the key AMP improvement projects relating to Growth and Demand refer to Section 11 which follows:

Section 11.4 - Development works planning (demand/LoS). Section 11.9 - Level of Service Review.

Section 5 – Growth and Demand Asset Management Plan 2017 – Stormwater

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5 Growth and Demand This section sets out the factors impacting on the management and development of the assets to meet the requirements of growth and other demands place on the Stormwater assets as follows:

Future demand drivers; Growth projections; Growth trends; Land-use strategies (residential, industrial, retail and rural-residential); Consumption and use patterns; Demand management strategies; and Climate change impacts on demand.

5.1 Future Demand Drivers

The future demand for stormwater services in the city will be driven by:

The impact of development on stormwater runoff volumes which will be influenced by increases in the percentage of hard surface.

The type and nature of land use activity in respect to the quantity of contaminants generated from new and existing commercial areas.

The impact of climate change on rainfall intensity and duration together with community expectations around the level of annual average flood damage considered acceptable.

The extent to which sustainable urban drainage solutions are incorporated into all future develop to mitigate any development effects.

Regional and national legislative and regulatory changes setting performance standards for the quality of stormwater discharges.

5.2 Growth Projections

Palmerston North is growing and the Council has strong aspirations to accelerate growth and through this contribute to greater prosperity for the city. Council’s strategic priorities are set out in Council’s City Development Strategy which drives the projects and programmes that the Council intends to implement. For planning purposes the Council has elected to assume a high growth rate projection for years 1- 10 and a medium growth projection for years 11-30. This is greater than has been assumed for the 2014 AMP which was based on Statistics New Zealand medium growth projections adjusted for the local Palmerston North situation.

The high growth projections for the first ten years gives more weight to the average annual gain from net migration and assumes a general long-term upward trend in inward migration than is accounted for in the Statistics NZ projections. The projections being used by the Council for the first 10 years are similar to the Statistics NZ high growth projections.

5.2.1 Population Growth

The latest population projections for Palmerston North through to 2043 were published by Statistics NZ in December 2016. These suggest a declining rate of population growth over the projection period with


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a population projection of 102,4003 in 2048 for the medium growth projection. This compares with a projected population of 105,100 by 2046 that was the basis for planning in the 2014 AMP with an average annual growth of 0.6%. However because of the recent increase in inward migration trends Council is adopting a higher population projection than Statistics NZ’s medium growth projection in the first 10 years. The projection for five year periods through to 2048 is shown in Table 10.

Table 10: Population Projection for Palmerston North

Population projection for Palmerston North (September 2017)

Average annual change

Period ended Population count

Number of people

Rate of change (%)

2013 83,500

2018 88,700 1,040 1.2%

2023 93,700 1,000 1.1%

2028 98,100 880 0.9%

2033 100,704 521 0.5%

2038 102,890 437 0.4%

2043 104,869 396 0.4%

2048 1 106,639 354 0.3%

10-year projection 2018 - 2028 940 1.0%

20-year projection 2018 - 2038 710 0.7%

30-year projection 2018 - 2048 598 0.6%

5.2.2 National Policy Statement – Urban Development Capacity

The NPS-UDC requires that the Council has 3 years supply of land ready to be developed with existing infrastructure (short term). It must also have 10 years of land zoned with infrastructure in its 10 Year Plan (medium term) and 30 years of land identified for growth with identified infrastructure in its 30 year Infrastructure Strategy (long term).

It must also provide an additional margin of land and infrastructure over and above the projected demand of at least 20% in the short and medium term and 15% in the long term. For planning purposes these additional margins have been added into the additional household numbers in Table 11. It is assumed that by adopting the high growth scenario for 2018-2028 it includes the additional 20%. The 20% margin has been added to the 2028-2038 period, and a 15% margin to the 2038-2048 period.

5.2.3 Household Growth

The most recent household projections were published by Statistics NZ in December 2015 and are to 2038. An update to these projections is due to be published in December 2017. Council estimates have been made for changes in the period 2038 and 2048. Projected average annual household growth is not expected to slow to the same extend as the population growth rate because the average size of households is expected to reduce primarily due to the aging population and an increase in the number of single person households. The numbers of households shown in Table 11 also include the additional margin required for land development in the NPS-UDC and allow the numbers to be reconciled with the capacity being planned for in growth areas.

3 Based on Statistics NZ 2016 population projection 2013-2043 with estimated projection between 2043 & 2048


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Table 11: Household Projection for Palmerston North

Households projection for Palmerston North (September 2017)

Average annual change

Period ended Households Number of households

Rate of change (%)

2013 31,500

2018 33,000 300 0.9%

2023 35,300 460 1.4%

2028 37,600 460 1.3%

2033 39,198 320 0.8%

2038 40,551 270 0.7%

2043 1 41,611 212 0.5%

2048 1 42,436 165 0.4%

10-year projection 2018 – 2028 460 1.3%

20-year projection 2029 – 2038 378 1.0%

30-year projection 2039 – 2048 315 0.8%

5.2.4 Residential Development Type

Housing preference trends have changed over time since Council began reporting on residential growth in 2004. In 2004 greenfield development made up 61% of development, infill was 27% and rural residential was 12%. Based on recent housing preference trends and experience of preferences during times of high growth distribution of dwelling types is based on the following. The table of household numbers include the margin for the requirements of the NPS-UDC.

Table 12: Residential Development Type

Period Household per

annum Greenfield Infill Rural Total

2018 - 2028 460 55% 33% 12% 4,600

2028 - 2038 295 50% 38% 12% 2,950

2038 - 2048 222 50% 38% 12% 1,890

2018 - 2048 9,440

5.3 Residential Growth Strategy

The Residential Growth Strategy is outlined within the Council’s City Development Strategy with key points outlined as follows.

Council’s main role is to make sure land and infrastructure are available to accommodate growth and provide market choice while responding to changing demographics. The private sector provides new housing in Palmerston North. Council will work closely with developers to co-create new housing opportunities, such as the proposed Hokowhitu Residential Area at Centennial Drive.

Council has revised changed the District Plan to provide more housing choices. Over the past 20 years, the main forms of housing development have been greenfield, infill subdivision and lifestyle


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blocks. Greenfield housing typically occurs at the edge of the city on large sections, with recent development at Kelvin Grove and Aokautere. Infill housing creates new smaller sections among existing housing, with recent development in Hokowhitu and the central city and hospital areas. Lifestyle blocks provide a housing choice in rural areas, with recent development on the foothills of the Tararua Ranges and elevated land north-east of the city.

Other housing choices now allowed under the District Plan include multi-unit developments and minor dwellings. Multi-unit developments are encouraged close to the city and suburban centres, where there is ready pedestrian access to services and facilities. Minor dwellings are aimed at meeting the demand for small, good quality and affordable rental accommodation.

The planning framework enables apartments in or near the city centre, including as part of a mixed-use development. Council will actively identify opportunities and reduce barriers to city centre living and brownfield development, including transitioning Roxburgh Crescent from industrial to residential.

The demand for infill housing is expected to continue and enter areas west of the city. Lifestyle blocks are directed away from productive land and need to have their own infrastructure. Council wants land for new greenfield housing at Whakarongo brought to the market quickly. Council will work closely with landowners and promote Council-owned land at Whakarongo to help meet housing demand.

To release pressure and meet updated growth projections, land at City West identified for medium to long-term greenfield housing will need to be released earlier. The most suitable land for early release is the area bound by the Mangaone Stream, Te Wanaka Road and Pioneer Highway (the Racecourse land), which will need to be rezoned. The interests of private developers at the outer edge of City West could affect the cost-effective and efficient provision of network infrastructure. Council needs to work with the major landowner in this area to better understand the infrastructure options and timing of the rezoning.

Substantial greenfield housing capacity remains at Aokautere, but plans for developing the remaining residential land are unclear. Council will develop a structure plan with the major landowners to guide future development. There is a need to connect the end of Pacific Drive with existing roads in the Turitea Valley. As well as the Hokowhitu Residential Area, Council will work with landowners at Napier Road and Flygers Line, where small greenfield additions can be made without the need for substantial new infrastructure. A revised plan is needed to develop affordable and first homes at Ashhurst, taking into account detailed flood investigations of land north-west of the village.

The growth areas identified and the assumed timescale for greenfield development are shown in Table 13. This shows how the projected demands on greenfield development will be met in the short, medium and long term. Table 13 also shows the number of lots expected to be provided in each area. The locations are shown spatially on Figure 5.


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Table 13: The staging and timing of residential greenfield areas

Greenfield Development Areas

Location Lots Years 1-5 Years 6-10 Years 11-15 Years 16-20 Years 21-30

Zoned Land

Aokautere 759

Ashhurst 88

Kelvin Grove 264

Whakarongo 500

Short to Medium Term Rezoning

Hokowhitu 130

Flygers Line 150

Napier Road 50

Ashhurst Future 250

Racecourse 220

Aokautere Extensions 400

Pioneer City West 800

Medium to Long Term Rezoning

City West (less Racecourse & Pioneer City West)

1680

The location of these areas is shown on Figure 5.


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Figure 5: Map showing location of proposed residential development


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5.4 Industrial Growth Strategy

The strategy prioritises industrial growth:

In the short to medium term within the North East Industrial Zone (NEIZ) and the recently rezoned Extension Area for large floor plate transport, warehousing and logistics activities.

Longburn is attracting transport and logistics activities and is considered a suitable location for some limited wet industry.

North East Industrial Zone (NEIZ)

The NEIZ (86 hectares) was rezoned in 2004. As at March 2017, 46 hectares was developed or purchased for development and not available to the market. Since 2004 the annual uptake of land at the NEIZ is approximately 3.5 hectares. It is anticipated that the annual uptake of land in the NEIZ will exceed 3.5 hectares in the next 3 years.

NEIZ Extension Area

The 126 hectare NEIZ Extension will be sufficient to meet the growth of large floor plate industrial activity over the next 20 to 30 years. Forecasting the market’s timing around sizable investment decisions for large format transport and logistics activity is problematic. Particularly when the nature of investment is lumpy and Council is seeking to forecast the investment profile over a 20 to 30 year time-period.

Infrastructure Roll-Out and Staging

For the purposes of infrastructure roll-out, Figure 6 shows the expected progress of development in the Extension Area. From Council’s perspective it would be more cost effective to start providing infrastructure in the area shown in stage 1. It is envisaged the land fronting the Roberts and Richardsons Line corner / intersection will first be developed.


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Figure 6: Map of NEIZ Infrastructure Roll Out

Longburn

Longburn and the area focussed around Works Road has attracted recent transport and logistics activities and would provide scope for some limited development of wet industry given the existing large capacity pipeline and relative proximity to the wastewater treatment plant. Council’s infrastructure funding priorities for industrial growth in the short to medium term remain at the NEIZ and Extension Area.

Figure 7 shows the extent of the existing industrial zone at Longburn which comprises approximately 42 ha of which some 35 ha has yet to be developed or remediated to enable development to occur.

Longburn: Sub-Optimal Infrastructure and Pressure to Rezone Additional Industrial Land

Council is coming under pressure to rezone additional land in the Works Road area of Longburn. Part of the existing Works Road industrial area is serviced by private infrastructure that does not meet Council’s engineering standards and Council is unwilling to approve rezoning of additional industrial land that is reliant on sub-optimal private infrastructure. Council are working pro-actively with the land owners to develop an integrated solution to providing local wastewater services to existing and new industry, not include Fonterra and Goldman Fielder who have their own treatment facilities.


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Figure 7: Map of Existing Industrial Zone at Longburn

Braeburn Industrial Area

Plan Change 15F rezoned a 33 ha extension to the existing Longburn Dairy Manufacturing Site (LDMS) in 2016. The rezoned land is identified as the Braeburn Industrial Area (BIA).

The purpose of the BIA is to primarily provide for dairy related industrial activities to support the ongoing operational and growth needs of Fonterra’s existing LDMS. It is envisaged the BIA will remain in the single ownership of Fonterra and is not for the purpose of meeting the wider industrial land needs of the City.

5.5 Office and Retailing (Commercial) Land Use Strategy

The Council’s centres based strategy seeks to keep commercial activity centred in the core of the city and to avoid the dispersion of this activity to the periphery of the urban area – particularly in the city’s Industrial Zones. This strategy is given effect to through the District Plan hierarchy of business zones as follows:

Inner Business Zone (IBZ). Outer Business Zone (OBZ). Fringe Business Zone (FBZ). Local Business Zone (LBZ).

The IBZ is the zone where planning for infrastructure is most critical. The IBZ seeks to provide a high amenity, connected and pedestrian focused city centre that meets the business, social and cultural needs of the community. IBZ development looks to leverage of public investment and in most cases will utilise public on-street parking.

City Centre Streetscape Plan (CCSP): Any planned works in the IBZ need to align with the outcomes sought by the City Centre Streetscape Plan. The Plan sets out the future design direction for the streets and spaces in the city centre. The CCSP is guided by a number of Council strategies, including the Urban Design Strategy, the City Centre Framework and the Street Design Manual.


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Importantly, the scope of the CCSP extends to streetscape upgrades including carriageway, parking, footpaths, hard and soft landscape as well as Palmerston North's urban and inter-regional bus terminals. To achieve the outcomes sought by the CCSP any infrastructure project will need to be informed by a multi-disciplinary team working in collaboration.

OBZ development is more self-sufficient than IBZ development and is required to provide on-site parking. FBZ development is large format retailing and is also required to provide on-site parking. LBZ development provides local amenities and is expected to provide on-site parking.

All business development other than some LBZ development looks to leverage existing infrastructure as it is effectively a form of brownfield development.

Figure 8: Map of Spatial Extent of the Business Zones

5.6 Rural Residential Strategy

The District Plan discourages lifestyle blocks and further fragmentation of productive farmland. This land is a scarce resource and represents a significant economic opportunity for future generations, as identified in the regional growth study. It is also a valuable resource for sustainable local food production. Substantial capacity for lifestyle blocks is provided on the foothills of the Tararua ranges to ensure they remain a legitimate housing choice in the City.

The provision of urban services, in particular reticulated services, is discouraged in rural areas. The provision of reticulated services in rural areas is an inefficient form of infrastructure investment. It also blurs the lines between rural and urban development and leads to confusion about future development opportunities. Many landowners see the provision of urban services as legitimising further intensification while others see it is undermining the specific rural amenity they sought out. Careful implementation of the new District Plan rural subdivision provisions is essential.

5.7 Other Factors Influencing Demand and Consumption

Projections or Patterns

Specific factors influencing demand and consumption projections include:


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Changes in percentage impervious areas. Changes in land use type and commercial activity. Implementation of sustainable urban drainage systems. Changes in regulatory and legislative requirements.

5.7.1 Sustainable Urban Drainage Systems

The extent to which Council is able to implement sustainable urban drainage requirements will determine the extent of growth impacts on the demand for stormwater services. Council has been able through current plan change processes to limit the impact of development on stormwater volume and quality by requiring specific detention and treatment facilities be provided within development zones and for these to be funded by the developers either directly or through development contributions.

Currently there is no mechanism for this requirement to be applied in the existing urban area to address the effects of infill development.

Council will be looking to:

Develop guidance for developers around acceptable sustainable urban design solutions; and Work to implement policy requirements for stormwater volume and quality mitigation for all parts of

the city based on flood damage risk.

5.7.2 Changes in Legislative and Regulatory Requirements

Legislative change through the implementation of National Policy Statements will result in heightened expectation that Council achieves meaningful improvements in stormwater discharge quality. Council will work actively to develop Stormwater Management Plans which identify priority catchments and target significant contamination.

Horizons Regional Council continues to seek to limit the extent of stormwater peak flow increase in order to limit flood flows in the Manawatū River. This will drive the requirement for hydraulic neutrality in all major new developments.

Council will continue to work proactively with Horizons Regional Council to identify the best means of achieving improvements in stormwater quality outcomes, in a way which is both practical and cost effective.

5.8 Demand management

5.8.1 Changes in Percentage Impervious Areas

One of key changes associated with any urban development is the change in the percentage of impervious area associated with the building and hard stand amenity and parking areas. In new growth areas specifically zoned for residential or commercial development, the additional stormwater runoff generated and the additional stormwater contaminants discharged can be mitigated by specific design and performance requirements.

Currently there is no specific mechanism to require such stormwater effects to be mitigated for infill development. Council can and does in some cases require mitigation for larger developments by way of attenuation storage, but there is no planning requirement mandating this.


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With continuing on-going infill development, the additional incremental stormwater discharges are eroding the existing level of service and resulting in more frequent overland flow and ponding. For many areas of the city the additional flows do not result in any material change to flood risk. However for areas of the city with an existing flood risk, there is a need to consider specific mitigation to limit any impact.

Council propose to use the stormwater modelling work and scenario assessments to determine the effects of infill development and identify potential mitigation measures either at development level or a catchment level which can help mitigate the effects of additional stormwater runoff.

5.8.2 Changes in Land Use Type and Commercial Activity

Any residential or commercial development which results in greenfield land being transformed to building or hard surface will result in increased levels of contaminants associated with erosion and particulates from roof surfaces, vehicle movements and any other human activity.

For residential development these increases in contaminants are small, however for commercial development involving large vehicle movements, and or the handling of goods and materials, significant levels of contaminants can be generated. Commercial activities involving high risk process will be required to provide first flush systems and bunded containment areas which provide for highly contaminated stormwater to be directed to the wastewater system.

To ensure improvements in stormwater quality in the face of increasing regulatory and legislative standards, Council will need to ensure that treatment is provided at source wherever possible, by way of either engineered devices or natural treatment systems such as swales and wet or dry ponds. Only where this is not practicable or feasible would Council consider treatment devices located in the Council domain given the on-going operation and maintenance costs that they impose.

Council is developing procedures and implement existing controls to:

Manage silt runoff from development earthworks areas (silt pond requirements for developers); Manage discharge of contaminants associated with urban runoff in the CBD area (sump filters,

ponds and wetlands, and routine monitoring of receiving waters); Manage point source contamination from commercial and industrial areas (ongoing monitoring and

updating of stormwater control devices in these areas); and Limit other contamination sources through active engagement with the community to change

behaviour and value their neighbouring receiving environment.

5.9 Sensitivity to Demand Changes

City wide 2-D stormwater modelling work is well advanced and has identified the current pattern of stormwater drainage and identified areas at risk of significant loss due to flooding. This modelling work will be further developed to assess the impacts of significant changes in land use, especially that of infill redevelopment and increasing percentage impervious surface on the flood damage risk.

Based on this work a range of potential mitigation measures have been identified and these will be assessed to determine their technical feasibility and efficacy at mitigating the flood risk. The most cost effective of these will be advanced as part of the capital new programme of work. The works are largely focussed on development in the existing urban area.


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With respect to future growth areas, specific stormwater volume and quality mitigation measures have been mandated to ensure the development has little impact on the receiving water course. Typically the growth areas discharge to adjacent Horizon’s controlled water courses or rural drainage networks.

Design of all new stormwater infrastructure will take into account climate change.

5.10 Climate Change – Impact on Demand

The projected impacts of climate change are likely to become more noticeable towards the end of the planning period of this AMP and have greatest relevance to water supply, wastewater and stormwater assets.

The New Zealand Climate Change Office has released a report on the impacts of the changing climate in New Zealand which concludes:

Higher temperatures, more in the North Island than the South, (but still likely to be less than the global average).

Rising sea levels. More frequent extreme weather events such as droughts (especially in the east of New Zealand)

and floods. A change in rainfall patterns - higher rainfall in the west and less in the east.

The Ministry for the Environment has predicted impacts of a moderate rate of climate change for the Manawatū-Wanganui region including changes in average temperature, sea level rise and rainfall patterns. In general, Manawatū-Wanganui, like much of the west coast of New Zealand, is likely to become warmer and wetter.

Climate scientists estimate that average temperatures in Manawatū-Wanganui could be up to 3°C warmer over the next 70-100 years. This compares to a temperature increase in New Zealand during the last century of about 0.7°C.

Current research and monitoring suggests that the main impacts of climate change on the stormwater activity will be an increase in the frequency and intensity of rainfall events. For a 2° temperature rise, an average 16% increase in the rainfall depth for any one rain event is predicted. This in turn is likely to result in more rain events per annum when the secondary stormwater system operates with stormwater flows down roads, swales and via informal overland flow paths. The impact is characterised by a change in the return period of a particular event e.g. a 1 in 100 year event occurs more frequently with climate change i.e. 1 in 50 year event.

The impact of the greater frequency of any rain event is an increased flood risk for flooding susceptible areas of the network. More frequent ponding is likely to occur in all areas, it is only in areas where more frequent flooding of habitable residential and commercial buildings is likely would Council propose to investigate mitigation options.

Modelling will be utilised to assess the feasibility and efficacy of capital projects to attenuate, divert or contain additional runoff. Areas likely to be targeted initially will be those already experiencing flood damage effects.

Section 6 – Assets & Lifecycle Management Asset Management Plan 2017 – Stormwater

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6 Assets & Lifecycle Management This section provides the detail of the key asset components comprising the stormwater activity together with individual AM strategies and plans for the maintenance, renewal and development of these assets.

6.1 Overview of Stormwater Network Assets

6.1.1 Description of Assets

Palmerston North is serviced by separate drainage systems for wastewater and stormwater run-off. The purpose of the stormwater system is to collect and convey stormwater resulting from a rain event away from the areas drained. The network is made up of a primary and secondary system. The primary system is to drain stormwater resulting from frequent rain events typically with a 20% probability of occurring in any one year or less. The secondary system (i.e. roadways and other surface flow paths) exists to minimise the effects of flooding when the flows are in excess of the capacity of the primary system.

The urban zone of the city is separated into three discrete catchments (Greater City Centre, Aokautere and Linton), the stormwater from each eventually discharging to the Manawatū River. In addition there are stormwater networks in Ashhurst and the communities of Bunnythorpe and Longburn:

Greater City Area; Aokautere; Linton; Ashhurst; Bunnythorpe; and Longburn.

These catchments are then broken down into sub-catchments as shown in Figure 9.

Due to the flat topography of Palmerston North in some areas stormwater cannot drain to the Kawau Stream, Mangaone Stream or the Manawatū River by gravity alone, especially when river levels are high causing gravity stormwater outlets to be submerged. Pump stations are required in some areas to dispose of stormwater from low lying areas and to increase the capacity of the system. Locations of these pump stations are shown in Figure 16.


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Figure 9: Stormwater Catchments


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6.1.2 Asset Hierarchy

The stormwater collection system consists of:

Stormwater pipe mains; Large culverts; Manholes, penstocks and sluice valves; Pump stations; Property stormwater connections; and Streams and channels.

Table 14 gives a brief description of the different asset groups that make up the stormwater system.

Table 14: Definition of Asset Categories

Asset Type Purpose

Pipelines and Culverts

These convey stormwater away from developed areas. Pipelines are normally circular pipework while culverts here refer to stormwater conduits that are of non-circular shapes such as rectangular, corrugated or multi-cell units.

Manholes These chambers provide access to pipelines at intervals of generally not greater than 100m. Manholes are located at confluences, changes in pipeline gradient or alignment.

Mains Connections These pipes convey stormwater from properties directly to Council’s stormwater mains.

Sump Connections Sometimes referred to as sump leads. These pipes connect the street sumps to the stormwater mains

Kerb Connections Convey stormwater run-off from private property to the street kerb face

Flood Gated and Other Structures

Flood gated structures control the direction of the stormwater when the flow is high. Other structures include stormwater treatment devices.

Inlet/Outlet Structures Located at inlet and outlets when necessary to retain the surrounding earth.

Storage Basins Provide storage to reduce peak flows of stormwater downstream.

Channels- Artificial In additional to natural watercourses and streams, these man-made or modified channels convey stormwater away from developed areas when the construction of a pipeline is uneconomic or not appropriate.

Stop-banks These are earth embankments or concrete floodwalls along stream banks provided to prevent overtopping of stream banks and discharge of flows onto surrounding properties

Protection works. These protect the banks and beds of channels from erosion and include gabion baskets, channel lining etc.

Pump stations Civil and mechanical structures which enable pumping of stormwater from low areas in the system.

6.2 Stormwater Pipe, Culvert & Manhole Assets

6.2.1 Asset Attributes

Figure 10 depicts the length of stormwater mains and culverts categorised by age. More than two thirds (77%) of stormwater pipelines have been constructed since 1960. As a concrete stormwater pipe is expected to last well in excess of 100 years the majority of pipelines are therefore in the early part of their lifecycle.


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Figure 10: Stormwater Pipe Length by Age

Figure 11 illustrates that the majority of the stormwater pipelines are of concrete. Smaller diameter pipes less than 200 mm diameter are typically earthenware, while the newer pipes are mainly PVC.

Figure 11: Stormwater Pipe Length by Material

Figure 12 indicates that the network consists as would be expected of a mix of pipe sizes with the majority of the network comprising pipes smaller than 750 mm in diameter.

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Figure 12: Stormwater Pipe Length by Diameter

6.2.2 Asset Condition

Asset condition has been graded on a scale of 1 to 5 (excellent to poor) based on the International Infrastructure Management Manual guidelines. Condition grading confidence level descriptions are also provided in Section 9.3 and Appendix H.

Specific condition survey data for the stormwater reticulation is limited so that the condition grading of 2 is largely based on assumed rates of deterioration for well-constructed pipes under average conditions. A small selection (2.750km) of stormwater pipes were inspected by CCTV in 2016-17. The findings and results from the inspection work have yet to be received. Further CCTV inspection work will be undertaken to provide a representative selection of the pipe diameters, age and materials within the network to determine an appropriate condition for pipes of a similar age and material.

The majority of the stormwater network is made up of concrete (94%) with smaller quantities of PVC (5%). These pipe materials are generally robust and are expected to have effective lives of between 120 and 175 years depending on the amount of reinforcement, the jointing system used and soil conditions.

A programme for improving asset condition data for the stormwater network is included in the Improvement Plan (Section 11) and this includes the CCTV inspection programme outlined.

The majority of the 3% of stormwater drain built pre-1920 comprises the ‘Fever Creek’ concrete box culvert constructed along Ferguson Street. This has been progressively renewed over the last 10 years partly because many of the manhole lids were failing due to the effects of vehicle loading beyond their structural design capacity.

The location of flap type flood gates on the more than 90 flood gated outlets is frequently in positions where they are exposed to damage by the elements and water borne debris causing the condition to deteriorate more quickly than might be otherwise predicted. Hence there is a regular inspection, repair and renewal programme to ensure that they are working properly.

The confidence level for the overall condition grading is 2 reliable.

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The various asset types of the stormwater collection system, together with their condition rating, performance rating and respective quantities are listed in Table 15.

Table 15: Condition & Performance of Stormwater Collection System

Asset Type Quantity Condition Rating Performance Rating

Pipelines - Circular 271.6 km 1 – 3 1 -3

Culverts 9.0 km 1 -4 1 -3

Manholes 5125 1-2 1 -3

Mains Connections 32 km 1-3 1 -3

Sumps Connections 52 km 1-3 1 -3

Kerb Connections 72 km 1-3 1 -3

6.2.3 Asset Capacity & Performance

Asset performance is graded on a scale of 1 to 5 (excellent to poor) based on guidelines from the International Infrastructure Management Manual. Performance grading confidence level descriptions are also provided in Section 9.3 and Appendix H.

Pipelines, as the primary stormwater system, generally have been sized in accordance with the discharge derived from the rational method of analysis to cope with typically a 1 in 5 year return period or a 20% AEP rainfall event. The actual capacity varies widely with some parts of the network providing protection to only 1 in 2 years. Stormwater flow in excess of the primary system capacity is conveyed via secondary flow paths, typically along streets or private property overland flow paths in the urban environment.

Infill development and increasing impervious areas is resulting in higher stormwater flows and an erosion in the level of service provided by the primary network in some areas. . This together with climate change impacts on rainfall intensity is resulting in more frequent overland flow and ponding. Currently there are no robust regulatory mechanisms to require developers to address the effects of the additional hardstand. Council is working on developing policy and planning controls but also taking a targeted approach, to tackle only those areas where erosion of the level of service is likely to result in additional property damage associated with flooding of habitable floors.

City wide 2D modelling will be used to identify options for mitigating the impacts of higher flows including new stormwater drains and restricting storm flows by developing off-line and detention storage in the upper catchments. Measures such as protecting and enhancing overland flow paths, creating on-site detention areas, permitting localised ponding on private property and public open spaces, and setting minimum floor levels on all properties will all assist in mitigating the incidence and magnitude of flooding damage in flood prone areas.

Performance of the pipe system can be affected by blockages. This is mitigated by guarding the entrances to pipe systems using sump grates and inlet structure debris grills. A program of regular inspections and clearing of the entrance structures is in place. Additional performance issues result from tree root ingress, sediment build-up in flat pipes and displacement of pipes due to external disturbance or settlement.

The typical reactive maintenance work carried out on stormwater mains includes:

Flushing to remove debris;


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Removal of roots; Minor repairs; and Man entry inspections CCTV inspections to identify problems

Figure 13 and Figure 15 show the number of work orders logged for stormwater mains for the last eight years firstly by number, secondly by defect type and thirdly by pipe age. While work order numbers are generally low there has been an increase in the last two years following a more proactive approach being taken to investigating and addressing known problem areas where stormwater drainage is poor or ponding is slow to drain away following the end of a rain event. Particular problem areas include small diameter pipe drains installed within government housing estates, which are in poor condition and these typically appear to be some of the oldest pipes in the network. The renewal of these pipes is the key focus for the renewal programme over the next 5 years.

Figure 13: Stormwater Pipe Reactive Maintenance Work Order History


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Figure 14: Stormwater Pipe Reactive Maintenance Work Order by Pipe Age

Figure 15: Stormwater Pipe Reactive Maintenance Work Order by Diameter

The older stormwater service connections are made of brittle material, shorter pipe lengths and are smaller in diameter. Hence, they are more susceptible to damage, root intrusion and blockages. These are addressed by reactive maintenance and renewal where appropriate. The renewals programme over the next 2 to 3 years will target replacement of poorly performing stormwater pipes in private property easements which will include mostly smaller diameter brittle pipes which are contributing too many of the work order requests. A significant number of maintenance requests relate to routine flushing and cleaning which are designed to keep some problem stormwater services operating reliably.


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6.3 Stormwater Pump Station Assets


Pump stations are generally installed in parallel to and along-side the gravity system to enable them to function only when the water level in the receiving watercourse rises to prevent or impede continuing gravity discharge. The pump stations are important in preventing habitable floor level property flooding and alleviating street ponding in their local catchment areas. Operation of the majority of the pump stations can be monitored via the telemetry system, however there are a number of the smaller pump stations which are not on the telemetry system. Alarm messages are sent to the mobile phones of 24 hour duty maintenance personnel to alert them of service failures and faults at the pump stations.

Figure 16 shows the location of the stormwater pump stations in Palmerston North and Ashhurst. There are presently no pump stations in Bunnythorpe and Longburn and no perceived requirement for them in these locations.


Asset condition is graded on a scale of 1 to 5 (excellent to poor) based on guidelines from the International Infrastructure Management Manual. Condition grading confidence level descriptions are also provided in Section 9.3 and Appendix H. The pump stations are all relatively recently constructed and in generally good condition. The environment is not as corrosive as in wastewater pump stations.

The older pump stations; Bennett St, Ellesmere Crescent and Fairs Rd, have had significant mechanical and critical electrical renewals between 1996 and 1998. In 2008, some electrical components were replaced in the Guy Ave, Birmingham Ave and Clausen St pump stations.

Birmingham PS was recently upgraded (2017) to install a variable speed drive on one of the two pumps to enable the pump to operate more effectively over a wider range of flows. Not all the pump stations are on telemetry and few of them have any direct flow measurement. An upgrade programme is required to bring all the stations control and telemetry systems up to a modern standard and in line with that applying in the wastewater network to enable staff to be confident the stations are operating as and when required. The programme is included in the 10 Year Plan with funding of $210,000 spread over the first 3 years of the 10 Year Plan.

A new pump station has been installed in Sutton Place in 2017 in parallel with an upgrade to the gravity drainage discharge to the Sutton Drain. This followed two significant flood events which resulted in stormwater entering commercial properties in the street.


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Figure 16: Stormwater Pump Stations


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Asset performance is graded on a scale of 1 to 5 (excellent to poor) based on guidelines from the International Infrastructure Management Manual. Performance grading confidence level descriptions are also provided in Section 9.3 and Appendix H.

Stormwater pump stations perform well though they are rarely run at full capacity. This happens only when there is a major rainfall event. Accordingly, the pumps are regularly checked and test runs performed. While the capacity of the existing pump stations is considered adequate to cope with all but the largest storm events, there is evidence that the configuration and control of the pumps is not optimised to match the range of flows being received.

A recent upgrade to Birmingham Street PS (2017) involved the installation of a variable speed drive and has improved the match of the station pumping capacity with incoming flows. An evaluation of other pump stations will be undertaken to assess whether similar performance improvement opportunities exist in the network.

The performance of all but 4 of the pump stations is monitored by telemetry although the data is limited to alarms and total run hours. More nuanced information is required to confirm pump station performance and to detect any deterioration of pump performance. Specific electrical and mechanical condition assessments are required and planned to provide greater confidence of asset condition and reliability. A programme is included in the 10 Year Plan to address these deficiencies and improve flow data and real time monitoring of pump station operation.

Overall, the data confidence level for the condition and performance grading of pump stations is 2 (reliable).

The various asset types and attributes of the stormwater pump stations, together with their condition rating for both the pumps and the pump station structures, and performance rating are listed in Table 16.

Table 16: Stormwater Pump Stations

Pump Station Capacity [L/s]

No. Pumps

Year Built

Last Major

Renewal Condition

Rating Performance

Rating Telemetry

Bennett Street 2x 175 1x 42 3 1970 1996 1-2 1 Yes

Fairs Road 2x 380 1x 25 3 1977 1996 1-2 1 Yes

Ellesmere Crescent 2x 55 2 1981 1998

2012 1-2 1 Yes

Guy Avenue 1x 750 1x 725 2 1992 2008 1-2 1 Yes

Paisley Street 2x 250 2 1991 1-2 1 Yes

Birmingham Ave 2x 500 2 1993 2017 1-2 1 Yes

Clausen Street 2x 610 2 1995 2008 1-2 1 Yes

Pirani Place 250 1 2001 1 1 No

Downing St 65 1 2002 1 1 No


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Pump Station Capacity [L/s]

No. Pumps

Year Built

Last Major

Renewal Condition

Rating Performance

Rating Telemetry

Wilson Crescent 50 1 2004 1 1 No

Wikiriwhi Crescent 50 1 2004 1 1 No

Highbury Ave North 100 1 2005 1 1 Yes

Highbury Ave South 100 1 2005 1 1 Yes

Mulgrave Street, Ashhurst 65 1 2004 1 1 Yes

Sutton Place 250? 1 2017 1 1 Yes

6.4 The Stream & Channel Assets Including Outlets


Stormwater collected by the pipeline system is discharged into streams and channels. These comprise natural water courses and modified or engineered channels constructed to divert watercourses around built-up areas. Man-made or modified channels are also used to convey stormwater away from developed areas where the construction of a piped stormwater drain is not economic or appropriate. There are also a small number of storage basins and ponding areas which form part of the stormwater collection system. The ultimate receiving water courses are the Manawatū River, Mangaone Stream, Kawau Stream downstream of Botanical Road and the Ashhurst Stream. These are all the responsibility of Horizons Regional Council.

Natural water courses and streams are not included in the stormwater asset valuation. However, construction of drain channels and improvement works are valued.

Examples of assets included in this category include earth stop-banks, floodwalls, fences, concrete and timber retaining walls, inlet and outlet structures, erosion protection works such as gabion baskets and channel lining. The streams and channels may be located within Council’s reserves or within private properties.


Asset condition is graded on a scale of 1 to 5 (1 = excellent. 5 = poor) based on guidelines from the International Infrastructure Management Manual. Condition grading confidence level descriptions are also provided in Section 9.3 and Appendix H.

The condition of stream and channels and associated assets varies but on the whole is good as most assets were constructed in the last two decades. The topography of Palmerston North is relatively flat and therefore erosion of channels and structures is not a major problem for most areas. In some of the lower reaches of some of the watercourses, both previous heavy drain cleaning and high flow events have resulted in erosion of the bed. This in turn has contributed to some slumping of the banks on these sections. Recent maintenance work has been focussed on re-grading the channel and rebuilding the banks to prevent future slumping. Work has recently been completed in the lower


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reaches of the Milson Stream and Kawau Stream using a reinforced earth technique which promotes a thick vegetative mat above the waterline. This is providing an effective alternative to hard rock lining.

While regular vegetation clearance is required, care is taken to restrict this to removal of larger tree species and invasive weeds leaving a healthy well vegetated bank to protect against erosion.

A number of the waterways are in poor maintenance condition due to littering, illegal dumping and exotic vegetation growth. A targeted programme of work involving daylighting, heavy maintenance combined with replanting in natives and community support for on-going care is intended to support transformation of some forgotten sections of the drain network into more vibrant local ecosystems.

There are a number of open drain sections which run behind or across private properties and are difficult to access for maintenance purposes. Where the drain is a critical asset serving a significant upstream catchment, capital works to culvert the open drain will be undertaken. Following pipe installation an easement is created over the pipe to enable access for any future repairs and maintenance and prevent construction of any permanent structure over the new piped section.

The various asset types and quantities of the stream and channels, together with their condition rating and performance rating are listed in Table 17.

Table 17: Streams & Channels Asset Details

Asset Quantity Condition Rating Performance Rating

Flood Gated & Other Structures 91 2 – 3 1 – 2

Inlet/Outlet Structures 401 1 – 3 1 – 2

Storage Basins 6 2 -3 1 – 2

Channels (Artificial) 20.6 km 1 -3 1 -3

Stop-banks 14.1 km 1 -2 1 -2

Protection works Various 1 -3 1 -3


The stream and channel asset performance is graded on a scale of 1 to 5 (excellent to poor) based on guidelines from the International Infrastructure Management Manual. Performance grading confidence level descriptions are also provided in Section 9.3 and Appendix H.

Overall streams and channels in the City perform well, although the dominant discharge capacity of some smaller channels can be exceeded in major storm events resulting in stormwater overtopping and flooding onto adjacent properties. High water levels in receiving streams during these events can also prevent effective discharge from the stormwater primary system, causing surfacing flooding in low lying areas as gravity system discharge outlets are blocked. Stopbank improvement works implemented in the 1990’s along the Kawau Stream and Pioneer Drain have, so far, successfully prevented flooding of habitable floors due to overtopping, as happened in the 1988 flood event.


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6.5 Activity Management

6.5.1 Support Services

Activity management has no direct effect on asset condition but provides functions and processes required to support the maintenance, renewal and development plans. These functions include:

System planning; System monitoring; Systems record management; Discharge quality control; Regulatory control of stormwater inflow (Bylaw provision); Resource consents application, monitoring and reporting; Asset management strategy & policy; and Insurance and rates.

The forecast expenditure for planning and policy support services required to implement the above strategies is shown in Table 18. There will continue to be significant additional consultancy expenditure on the development of the 2D model and assessment of various mitigation scenarios over the next two years.

Table 18: Activity Management Programme – Forecast Expenditure

Activity 2017/18 2018/19 2019/20 2020/21 2021/22 2022/23

City Networks Labour and Overheads $542,123 $629,726 $631,324 $625,787 $625,803 $625,803

Consultancy $140,543 $114,870 $94,870 $75,870 $74,870 $74,870

Insurance $103,230 $105,280 $105,280 $105,280 $105,280 $105,280

Legal $5,000 $10,000 $10,000 $10,000 $10,000 $10,000

Miscellaneous $26,893 $11,080 $11,080 $11,080 $11,080 $11,080

Software Licenses $5,000 $9,140 $9,140 $9,140 $9,140 $9,140

Electricity $- $1,500 $1,500 $1,500 $1,500 $1,500

Rates $85,670 $87,610 $87,610 $87,610 $87,610 $87,610

Total $908,459 $969,206 $950,804 $926,267 $925,283 $925,283

The majority of the remaining activity management services are carried out internally by City Networks staff. Specialist external resources are employed for CCTV inspection of pipelines, ecological and quality monitoring of streams and more sophisticated technical investigations, peer reviews and legal advice.

6.5.2 Increases in Services (New Operating Programmes)

In support of Councils new strategies and goals, Council has approved three new operational programmes to contribute to specific strategy outcomes. These are:

Programme 1247 – sustainable practices within the three waters


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This programme is provided to fund both specific project initiatives and personnel resources to implement behaviour change initiatives to deliver improved environmental outcomes and lead to more sustainable practices in the water, wastewater and stormwater activities. It is envisaged that this will include initiatives to increase water use efficiency, reduce disposal of unsuitable products and chemicals in the wastewater systems and contamination and dumping in the stormwater network. Specific services to reduce plastics, divert hazardous chemicals and promote community engagement with local streams are proposed.

Programme 1369 – Joint Water Quality / Cultural Monitoring Framework

This programme will fund collaborative work with Rangitane and external consultants to develop baseline environmental monitoring in the water course and drains of the city. The development of a monitoring framework supported by several years of baseline monitoring will enable Council and Rangitane to assess the effectiveness and progress being made through programmes and interventions to reduce contaminant discharges to the urban streams and drains.

Programme 1495 Third Party Stormwater flood problem resolution

This programme provides additional funds to complete investigations of stormwater performance and flooding issues which require collaboration with other third party SOE or government departments for example KiwiRail and NZTA. The funding will enable Council to take the lead in some cases to investigate the issue and proactively seek resolution with the other government landowners.

Table 19: Operating Programmes – Forecast Expenditure

Operating Programme 2018/19 2019/20 2020/21 2021/22 2022/23

1247-Sustainable practices within the three waters $150,000 $150,000 $150,000 $150,000 $150,000

1369-Joint Water Quality/Cultural Monitoring Framework $100,000 $150,000 $100,000 - -

1495-Third party Stormwater flood problem resolution $20,000 $20,000 $20,000 $20,000 $20,000

Total $270,000 $320,000 $270,000 $170,000 $170,000

6.5.3 Asset Systems Database – Infor Public Sector (IPS)

In order to store, collate and analyse asset data Council uses an asset management system. The current Council system is IPS, a product which is supplied by Infor Global Solutions. The Council has used IPS (previously Hansen) since 1995. The current version deployed is IPS 8.4.0.

IPS is based on internet technology and is Web-browser-based. The product can be customised by asset managers to best reflect AM processes and terminology.

IPS is directly linked to the Council’s Geographic Information System (GIS) via the GeoAdministrator, an Infor Global Solutions developed interface. This allows new assets to be created in GIS and added to the IPS asset register by a single key stroke. Assets can be selected in GIS and viewed in the IPS window.

The link between IPS and GIS also allows assets to be viewed in Geo City, an intranet viewer giving all staff access to Council’s spatial data. Council assets can also be viewed through the Geo-Guide on the Council’s public website. Local Contractors are able to use this service to locate Council assets prior to construction activities.

IPS is comprised of a number of modules:


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Asset Register; Work Orders; Inspections; Valuations; and Images.

A Date Exchange Utility (DEU) allows pipe inspection data to be exported from IPS to contractors and results imported back into IPS.

IPS allows asset managers to produce outputs using the Ad Hoc Reporting function. More complex reports are produces using Crystal Reports.

IPS records the following asset data;

Information: ID, Type, Description. Location: Address, Location Description, Area, Sub Area, District. Structural: Diameter, Material, Length, Manufacturer, Critical Rating. Associated: Install Year, Service Status, Ownership, Drawing No.

Asset data can be assigned a condition rating and a performance rating base on a grading of 1 to 5 (refer Appendix H). These ratings, along with criticality ratings, can be used to analyse the asset data and provide renewal profiles and determine maintenance programmes.

Figure 17: IPS Screen Shot

Asset maintenance, both planned and reactive, on assets along with inspections and associated costs can be recorded via the Work Orders module.

Work Orders can be processed ‘Live’ in the field using the Infor Field Inspector.


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Figure 18: Field Inspector Screen Shot

The assets in the AMS have been assigned a replacement value. This is used for corporate accounting and insurance purposes and will be used to estimate renewals programme costs when the condition, performance and criticality ratings are complete.

Overall the quality and extent of data held in IPS is good. Pipeline data is quite extensive, with the exception of stormwater laterals (service lines) which were not historically captured. Pump station and stream channel data is less complete in terms of detail. Table 20 details the extent of the asset data currently held in IPS for the stormwater activity.

Table 20: IPS Data Accuracy & Completeness (2017)

Asset Type Sub Type No of Assets (In Service)

Asset Register Valuation

Completeness Accuracy

Pump Stations Equipment 158 90% 90% 100%

Storage Basins Equipment 10 95% 95% 100%

Land Drainage Miscellaneous 44 95% 95% 100%

Reticulation

Pipes - Circular 5835 95% 95% 100%

Pipes - Culverts 197 95% 95% 100%

Manholes 5271 95% 95% 100%

Reticulation

Sump Connections 5655 95% 95% 100%

Service Lines To Main 1457 6% 90% 100%

Service Lines To Kerb 1 0% 90% 100%

Inlet/Outlet Structures 428 95% 95% 100%

Channels 111 85% 85% 100%


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6.5.4 Network Hydraulic Modelling

Prior to 2017 Council had made limited use of an in-house hydraulic modelling program to analyse the stormwater network. The program was an older 1D model and could note integrate the primary pipe system with secondary overland surface flows.

The first computer based stormwater catchment and network modelling for the City was completed in 1990 following the July 1988 flood event where a significant number of properties were inundated. The outputs provided the basis for subsequent flood protection and stormwater network improvement works.

In the last 2 years Council has invested in the development of a city-wide 2 D model which combines a surface rain on grid model with the trunk pipe network (pipes >450mm diameter). The model is able to depict the depth of overland flow in various parts of the city for a range of rainfall events with different return periods allowing for the trunk pipe network capacity. When combined with floor level information for buildings in the overland flow path, the model has been able to identify at a coarse level of accuracy properties at risk of flood damage. The model requires further calibration by reference to flood levels during further heavy rain events however in its current form it can be used to assist with the analysis of:

Potential capital projects to reduce the risk of flooding in at risk areas. Impacts of climate change and strategies to mitigate these effects in infill areas particularly. Capacity of the network to accept additional stormwater runoff from additional infill development. Opportunities to optimise the network to improve operational efficiency. Opportunities to improve network layout prompted by the need for stormwater pipe renewals.

6.5.5 SCADA & Telemetry Systems

Council utilises a telemetry service to transmit monitoring data from various sites, typically pump stations, throughout the City to a central database, to provide oversight of operations and advice of any malfunctions. Council currently uses the Abbey Telemetry System. The data is available in real time to operations and City Networks staff to facilitate monitoring of the operation of the pump stations and the water levels in the Kawau Stream at Birmingham St. Some limited historical data on pump run hours is available for trend and pattern analysis.

The data from each of the sites connected to telemetry is transmitted using Council radio communications channels. The data monitored includes operational statuses of the pumps, e.g. run/stop, pump running hours, rain data, well levels etc. The telemetry system also sends out alarm mobile phone messages to pump maintenance crews whenever it detects faults in the pump operations such as power failure, pump fault, high well level, etc. so that the fault can be attended to in a timely manner. Communication with the Telemetry Master Station is by Abbey Secured Link software using laptops and broadband internet connections.

While the majority of the pump stations are on telemetry there are a number of pump stations which are not. In addition pump flow information is not currently collected with staff relying on pump run hours. An upgrade to the monitoring and telemetry set-up at each pump station is required to improve operational management and ensure pump performance is can be robustly monitored and analysed.

6.5.6 Water Services Assessment

Water Services Assessments, as required by Section 125 of the Local Government, were last completed by Maunsells Ltd in 2005. In the case of stormwater services, the assessments identified that the adequacy of flood protection and quality of the receiving waters in Palmerston North are


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generally good and cater for current demands. No major public health or environmental risks were identified. Processes that were in place in 2005 to meet future demands are also still relevant and include on-going monitoring, modelling, analysis and planning, a programme of capital improvement works and implementation of demand management strategies. This AMP also provides for the investigation and implementation of works to improve stormwater discharge quality.

The programmes and projects described in this AMP are consistent with the issues and risks identified in the 2005 Water Services Assessments. There are no significant variations to disclose.

6.6 Operation & Maintenance of Assets

6.6.1 Overview

The overall goal of operations and maintenance is to ensure that assets will operate as designed and continue to do so reliably when required. With stormwater assets this is particularly important as the assets may be subject to long periods of no demand e.g. dry periods. An optimum approach is achieved when there is a balance of both reactive and proactive maintenance. While low levels of reactive maintenance can be expected, high levels indicate inadequate proactive maintenance or significant deferred renewal obligations, both of which are considered undesirable.

6.6.2 Operation & Maintenance Strategies

The preventative maintenance programme was developed from operator experience and manufacturers’ recommendations. It comprises a range of routine tasks involving cleaning and flushing of problem assets to prevent blockage, coupled with regular inspection of key above ground assets such as gated outlets, open drains and streams and pump station mechanical and electrical assets. Further development of these maintenance tasks is planned to ensure condition information required to inform renewal programmes is captured. Inspections will include physical entry of large diameter culverts (1.8m diameter) to identify debris as well as other snagging risks, e.g. cable services installed through the buried service.

In addition a length of 2-3 km of stormwater pipes will be inspected by CCTV and condition scored to enable a more robust assessment of the timing and need for renewal of the network. The expectation is that the older smaller diameter part of the network will exhibit the poorest condition.

Reactive maintenance includes a wide variety of work ranging from investigations of flood prone areas to repairs to blocked pipes. In many cases the investigations do not identify any practical solution given that flooding issues are associated with heavy soils in low lying properties. The gap between what Council can achieve and the level of service expectations from property owners in this area is likely to increase with more frequency higher intensity rain events. .

6.6.3 Operation & Maintenance Costs

Stormwater activity operation and maintenance costs are grouped into three areas namely activity management, activity delivery and a range of operational programmes with specific outcome objectives. Additional charges in the operation and maintenance area include interest and depreciation.

Table 21 depicts the current breakdown of operations and maintenance expenditure within these three areas for the first five years of the plan.


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Table 21: Operations & Maintenance Forecast Expenditure (Next Five Years)

Stormwater Activity 2018/19 2019/20 2020/21 2021/22 2022/23

Activity Delivery Total $512,000 $514,000 $519,000 $520,000 $530,000

Activity Management Total $969,000 $951,000 $926,000 $925,000 $925,000

Operational Programme Total $270,000 $320,000 $270,000 $170,000 $170,000

Operations and Maintenance Total $1,751,000 $1,785,000 $1,715,000 $1,615,000 $1,625,000

6.6.4 Operation of Stormwater Assets

The stormwater activity is primarily managed and operated to meet the agreed levels of service in Section 4.5 by achieving the following:

Maintain the quality of the service to protect the health of the community; Ensure the service is accessible to the community within the service area; Ensure the service is reliable with minimal service disruptions; Ensure the activity is operated safely to minimise the risks to the public and operational staff; Operate to maximise the sustainability of the activity; Operate to minimise the overall cost of the activity; and Compliance with Horizons Regional Council discharge consent permits.

Other factors that directly influence the operation of the stormwater activity include:

Meeting the requirements specified in Council strategies and specific management plans; and Compliance with national legislation with regard to health and safety and hazardous chemicals.

In order to help ensure that levels of service and regulation requirements are met, Council monitors the stormwater pump stations. Council utilises data automatically collected by telemetry from equipment sensors at the critical stormwater assets. This helps operators to respond immediately to equipment failures network issue. In addition to automated monitoring operational staff also carry out manual monitoring in the form of visual inspections and manual recording of data.

Council has a Business Continuity Plan (BCP) that provides management strategies for service disruptions (refer to Section 7.7.32). The stormwater activity has (and is in the process of further developing) a specific BCP to cover operation of stormwater assets during a significant event involving disruption of service. Council maintains a suitable level of preparedness for prompt and effective response to disruption events and civil emergencies through suitably trained staff and robust operating procedures.

6.6.5 Maintenance of Stormwater Assets

The stormwater assets maintenance strategy is intended to retain the current level of service in Section 4.5 while minimising costs by achieving the following:

Maintaining operational functionality of the asset; and Preventing premature deterioration of the asset.

Council’s maintenance strategy is broadly based on the criticality of the assets: Assets rated as High Criticality are inspected frequently. A high level of preventative maintenance

is carried out and component renewals are triggered based on the condition of the asset.


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Assets rated as Medium or Low Criticality are inspected less frequently. Preventative maintenance and component renewals are predominantly scheduled on a time basis.

Assets rated as non-critical are rarely inspected and a “run to failure” approach is taken. Assets are repaired or replaced when required.

In the new AMP an enhanced focus on preventative inspections will be implemented. This will include annual inspections of large diameter culverts (>1.8m diameter) to identify debris and potential obstructions which may impact on capacity, annual mechanical and electrical condition survey of the pump stations and CCTV inspection and condition scoring of at least 2 to 3km of the stormwater network. This inspection and condition assessment work will be captured in the asset management system (IPS) and used to inform a more robust renewal programme, the aim of which is to bring down the number of reactive maintenance requests.

It is expected that a significant number of flooding incidents will be confirmed as being unrelated to maintenance and operation of the current network and require significant capital investment to address. The development of the capital work programme will be informed by modelling and scenario assessment and determined by Council as outlined in Section 5.9.

6.6.6 Operation and Maintenance Delivery

Delivery of the operation and maintenance services for the stormwater assets is carried out by City Enterprises, the operational unit of Council, under contract to City Networks (the asset owner) through a series of internal contracts (known as Service Level Agreements or SLAs). For the stormwater activity there are two SLA’s in place which cover both operation and planned maintenance tasks and are summarised in Table 22. These SLAs run annually and are occasionally supplemented by additional SLAs for specific operational or maintenance tasks.

In respect of the SLAs work is on-going to shift from lump sum agreements to measure and value agreements still with fixed prices for deliverables but with an enhanced focus on outcomes and outputs reported on monthly. The current level of expenditure on operation and maintenance delivery via SLAs is outlined in Table 21.

Table 22: Current Operations & Maintenance SLA Costs

SLA Ref Description Agreed Price 2017/18

10 Palmerston North and Ashhurst Stormwater Pump Stations Operation & Maintenance $41,836

86 Maintenance of Stormwater Reticulation, Streams and Channels $323,547

To operate the stormwater activity City Enterprises employs 0.5 FTE (full time equivalent) staff to operate and maintain the pump stations. This is supplemented by a varying number of staff to carry out stormwater maintenance. The organisational structure of the City Enterprises team in shown in Figure 19.

Figure 19: City Enterprises SW Service Delivery Structure


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Operations staff are responsible for the operation of stormwater services on a 24 hours a day, 365 days a year basis including customer response (Request for Services) and have an emergency response capability. The increasing focus on the performance of the stormwater network and an increasing number of requests to investigate apparent performance issues is resulting additional demands on the existing staffing resources. Council has signalled to the Contractor a requirement for additional specialist stormwater resources to deliver the higher level of investigation, operation and maintenance services. An increase in the level of budget for contracted internal and external services will be required to fund this improvement.

The Council is required by Section 17A of the Local Government Act to review the cost effectiveness of current arrangements for meeting the needs of communities within its district or region for good quality local infrastructure, local public services, and performance of regulatory functions. A substantial Council review is planned to reassess the future duration of its maintenance and renewal contracts for stormwater as part of its ongoing commitment to optimisation, both for management and value for money.

6.7 Renewal of Assets

6.7.1 Overview

Asset renewal is any work which rehabilitates, replaces or renews an existing asset to extend its economic life and/or restore the service potential. Work over and above restoring an asset to its original capacity is classed as development work.

Renewals may be carried out for two primary reasons:

Maintain the asset service potential – this may be either the quality of service or reliability of service.

Minimise the whole of life cycle cost of the asset.

The decision to renew an asset will be based on:

The criticality (consequence of failure); The condition (and therefore useful life); The performance; and The value.

There are two options for a renewal project:

Rehabilitate or refurbish the asset; or Replace the asset like for like.

Renewal literature often refers to renewals options to upgrade/downgrade or alter the asset to meet other service requirements. For the purpose of this AMP this is considered development work.

6.7.2 History of Renewals Expenditure

The expenditure on stormwater renewals over the last 10 years is summarised in Table 23 and Figure 20 and totalled some $4.5 million. The majority of this amount ($3.2 million or 70%) was invested in the renewal of a major stormwater culvert running much of the length of Ferguson Street extending from Botanical Road to Fitzherbert Avenue. The remainder of the renewals budget was spent on a range of


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small minor renewals at an average of $120k per annum. In the period 2011-12 to 2015-16 the level of renewals was significantly below budget, although the mismatch is accentuated by budgets carried forward between years. The absence of a city wide renewals programme identifying a range of priority renewal locations resulted in underachievement in renewals spending during this period. This deficiency has been addressed through this plan with the preparation of a 5 year rolling renewal plan, which will be subject to annual revisions and updates.

Table 23: Summary of Historical Stormwater Renewals over Previous 10 Years

Stormwater Renewals Actual (000)

Budget (000)

2007/08 $51 $530

2008/09 $681 $366

2009/10 $751 $670

2010/11 $647 $690

2011/12 $290 $815

2012/13 $502 $1,080

2013/14 $22 $492

2014/15 $528 $660

2015/16 $142 $587

2016/17 $886 $825

Totals $4,500 $6,716

Figure 20: Graph of Historical Stormwater Renewal Expenditure

Note: The large capital and renewal discrepancies in 2011/12 to 2013/14 are due to budgets being carried forward.


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The level of renewals expenditure has therefore been very low. While much of the network is in good condition there are issues with some of the older and smaller diameter stormwater services and their performance contributes to a significant numbers of customer related complaints.

The focus of the next AMP period will be to target renewals expenditure in these problem areas and complete inspection and condition assessment work to determine more robustly the renewal requirements.

6.7.3 Renewal Strategies

Council uses a combination of methods to develop the renewals programme:

Forward projection of historical costs combined with broad estimates of asset depreciation; Predictive modelling based on age; and Work programmes developed from performance and condition faults identified in the network.

The current stormwater renewals programme comprises the following on-going programmes:

Stormwater collection network, including streams and channels; and Stormwater pump stations.

Historically the value of these programmes has been largely based on historical cost. Given the relatively young age of much of the stormwater network, the age of the pipeline asset while an indicator of remaining useful life, is not a key factor in determining the renewals programme. The renewals programme for the next 5 years is based around addressing known deficiencies and performance problems in the network. The majority of the assets requiring renewal are small diameter services of more than 50 years age located in easements within private property.

An annual programme of CCTV inspection of a selected cross-section of the stormwater network was initiated in 2016/17. This will be continued to confirm problem areas and further optimise the renewal programme. There are a number of 100 year old stormwater lines which comprise re-purposed sewer lines. These are a priority for inspection and condition assessment to confirm their condition and identify the priority if any for renewal.

The budget for renewals for the next 5 years is based on replacement of currently identified problem assets and an assumption that assets of a similar type and age will also need to be renewed. The renewal programme will be refined on the basis of data from CCTV inspections over the first few years of the AMP. However at this stage it is expected that a budget of $500,000 to $600,000 per annum will be necessary to replace the problem parts of the network over the next 10 years. Inspection of the trunk network and larger diameter pipes may identify other condition issues which need to be addressed. If these faults are material, additional renewal funding may be required.

Additionally if Council wish to address the current defects more quickly than planned then a more rapid programme of work could be implemented if renewal funding was increased over the short term. Long term profiling suggests that medium term renewal funding of around $300,000 would be adequate to maintain current service potential.


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6.7.4 Long Term Renewal Profile

Expected Useful Life

The expected useful lives used for estimating the replacement year are shown in Table 24. While standard lives for concrete pipes are typically 100 years, longer lives in the range of 100 to 175 years have been adopted on the assumption that in the absence of aggressive external soil environments and or excessive external loads, the limited periods for which stormwater networks function should contribute to them aging more slowly than water or wastewater assets. This assumption needs to be confirmed by robust inspection and condition assessment of a representative proportion of the network. This is expected to identify a more nuanced asset life profile with a proportion of older smaller diameter pipe being assigned lives well below 100 years.

Table 24: Life Expectancy of Stormwater Assets

Asset Type Expected Useful Life

Stormwater Reticulation and Waterway Assets

Stormwater Pipes

Precast Concrete Box Culverts

Standard Manholes

Manholes with floodgates, valves

100-175

150-175

150

120

Standard RC Inlet/Outlet Structures

Inlet/Outlet Structures with Flood gates and grills

150

120

Stormwater mains and sump connections

Stormwater Kerb Connections

150

80

RC Concrete Retaining & Flood walls

Precast concrete Channel Lining

Older Cast in situ Channel Lining

Timber Retaining Wall

Gabion Baskets and Reno Mattresses

Timber fences

120

70

70

70

50

35

Earth Stop banks

Channels (earthworks)

Storage Basins (earthworks)

Non-Depreciable

Non-Depreciable

Non-Depreciable

Stormwater Pump Stations Assets

Civil Structures

Pipework

Mechanical plant e.g. pumps

Electrical Equipment

100

80

10-35

15-25

It has been assumed that large, well-constructed, reinforced concrete box culverts and large diameter pipes can have lives in excess of 150-175 years both on the basis of their limited use but also because any minor faults or defects identified during routine inspections can be repaired and remediated without full replacement. Key factors influencing the rate of deterioration are likely to be the presence or otherwise of aggressive soils and excessive live loads associated with heavy vehicles. Given only a small proportion of the network is located in heavy vehicle trafficked routes and there is little evidence


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of significant external deterioration in any of the three waters networks the assumptions are considered fair.

Reticulation

Table 24 depicts the expected remaining life of the stormwater reticulation to be well over 50 years. Most of the Palmerston North stormwater network is still relatively young and in good condition based on the limited CCTV and condition assessment completed to date. Figure 21 indicates that only a very low level of age based renewal expenditure is likely to be required over the next 50 years. The enhanced programme of CCTV and condition assessment proposed in the AMP is intended to provide data to develop a more accurate renewal profile (see Figure 10).

The predominant focus for renewal expenditure is on small diameter stormwater pipes located in private property easements, where pipe displacement, external damage as well as root ingress result in sub-optimal performance of the network. A five year programme of priority renewals of $500,000 per annum has been identified. Following the completion of these priority renewals it is expected that the level of renewal expenditure will fall, although as indicated in Figure 21 a significant length of pipe is predicted to require renewal from 2060 to 2064. It is expected that on-going condition assessment and renewal prioritisation will enable smoothing of this renewal profile to align more closely with the provision outlined in this AMP of $300,000 per annum.

Additional renewal budget is required each year for other minor renewals of items such as flood gates, screens, penstock valves, damaged stormwater connections, and stormwater laterals in the road reserve.

Figure 21: 50 Year Long Term Renewal Profile

$-

$1

$2

$3

$4

$5

2018

/19

2023

/24

2028

/29

2033

/34

2038

/39

2043

/44

2048

/49

2053

/54

2058

/59

2063

/64

Rep

lace

men

t Cos

t [$M

]


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Pump Stations

As with the pipe network, the pump stations are generally in good condition with the major civil components requiring little immediate attention. Council is undertaking an importance review of its three water assets and depending on the outcome, a programme of seismic strengthening may be identified as necessary. This would mirror existing programmes already underway for wastewater and water supply key assets.

In contrast the electrical, control and mechanical assets in a number of the pump stations require some attention. In a number of pump stations the electrical and telemetry systems are aging and due to the age of the equipment no spare parts are currently available. Renewal of these components has been prioritised in the first three years of the AMP period as part of a programme to strengthen and upgrade Council’s telemetry system for all three water services. While no structural renewals have been identified the forecast renewal expenditure for 2018-2021 has been increased to provide for replacement of the electrical, telemetry as well as for renewal of more expensive pumps and controls systems at the larger pump stations. A detailed mechanical, electrical and controls condition assessment for all the stormwater pump stations will be undertaken in 2018-19 to inform the renewal expenditure profiling required to maintain the pump stations beyond the next three years. It is expected that additional renewal expenditure will be identified in addition to that allowed for in the current 10 Year Plan.

Streams & Channels

Stormwater channels deteriorate over time due to erosion, as well as slumping of stream banks. Regular inspection of the entire length of streams and channels is critical to identifying the extent of any remediation work. A generic provision has previously been included for targeted renewal works to be undertaken on priority sections of the streams and channels every year. Recent renewal works has made use of new reinforced earth technology which avoids the use of costly rock lining and promotes the establishment of an effective grass sward to prevent erosion.

Further site specific assessment work is required to develop a robust condition assessment of the stream and channel network as well as the concrete inlet and outlet structures, flood gates and debris grills. The output will be a map of key sections of the network displaying sections where some investment in renewal is required in the next 10 years. Costs will then be developed for typical solutions in each location. This schedule of work will be combined with others developed for the pump stations and pipe network to create a more robust renewals programme.

A key component of the channel network is the Napier Road Drain flume. While modelling work has indicated this has capacity for the projected flows from development in the Kelvin Grove area, there has been no detailed condition survey. A detailed condition assessment is proposed to confirm the likely timing of any renewal work. Of key concern is the zone of turbulence at the point of the hydraulic jump. Any renewal work will need to be carefully planned and timed to occur during the low flow period of the year. The total renewal programme expenditure for the first five years of this AMP is shown in Table 25.

Table 25: Total Renewal Programme – Forecast Expenditure

Renewal Programme 2017/18 2018/19 2019/20 2020/21 2021/22 2022/23

1062 – City wide Stormwater Network Renewals $266,200 $565,000 $590,000 $512,000 $547,000 $551,000

20 – City wide Stormwater Pump Station Renewals $0 $70,000 $70,000 $70,000 $- $-

TOTAL $266,200 $635,000 $660,000 $582,000 $547,000 $551,000


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6.7.5 Delivery of Renewal Programme

Renewal of stormwater assets is mostly carried out by City Enterprises; the operational unit of Council through project specific, internal contracts (known as Service Level Agreements or SLAs). Price contestability is monitored against market rates and prices for equivalent work undertaken in the private section. Specialised renewal work such as pump replacements and renewal of electrical components is delivered through external contractors, as is large diameter pipeline capital new and renewal projects for which City Enterprises has neither the capacity nor expertise to complete. Council is working towards securing longer term contracts with a number of key specialist external contractors (e.g. electrical and mechanical maintenance) both to ensure services are cost competitive but to ensure Council is given some service priority.

6.8 Development of Assets

6.8.1 Overview

Development includes creation or acquisition of a new asset that did not previously exist or works which upgrade or improve an existing asset beyond its existing capacity. Development work may be necessary for the following reasons:

Growth and increase in demand; Changes to Council policy and strategy; Changes to regulations and legislation; and Changes to levels of service.

Development of assets may also include disposal of an existing asset that is no longer required. Assets may become surplus to requirements.

Stormwater asset development provides for a planned increase in the operating capacity or design loading to ensure the system is able to achieve the required standards of service. This generally involves upgrading the capacity and reliability of stormwater assets. The resulting improvement in service standards occurs through closing existing service gaps.

The storm event of 24 July 1988 and the subsequent 1991 Comprehensive Stormwater Management Plan (CSMP) has guided the stormwater capital development works over the last two decades. The development of a city wide 2-D stormwater model along with a change in the focus of stormwater service towards mitigating property level flood damage loss, will provide the focus for the next 10 to 15 years.

Development projects undertaken recently to address specific flooding issues include:

Completion of the last section of the Ferguson Street stormwater main renewal from the Linton Street junction to Fitzherbert Avenue.

Network improvements and installation of a new pump station in Sutton Place. Upgrading of Birmingham Pump Station by installation of a variable speed drive to control one of

the pumps to better match initial stormwater flows. Construction of a wetland treatment pond and detention area in Norton Park.

The main focus for development works over the next 10 to 15 years will be:


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To mitigate flood damage risks across the city by implementing targeted capacity, detention and stormwater diversion improvements.

To improve stormwater discharge quality by targeting interventions in the areas of highest potential contaminant discharge.

To provide stormwater services to new growth areas and ensure sustainable urban drainage systems are in place to mitigate both the stormwater flow and quality impacts of the new residential and industrial growth areas.

6.8.2 Development Strategies

The development strategy for the stormwater assets includes the following:

Development of the stormwater system to achieve the agreed levels of service and growth projections over the next 30 years.

New stormwater infrastructure to service the proposed residential growth areas in Whakarongo and City West will be scoped and designed so as to ensure they can proceed when the land use zoning is in place and developer intentions have been confirmed. Capital funding for new stormwater infrastructure within the growth areas of $2.3 million has been allocated for the 10 Year Plan.

Stormwater 2 D network modelling will be completed to confirm the flooding risks for each key catchment in the city for a range of return periods. The modelling will identify the specific return period at which the risk of significant property damage is low. Funding within the planning and investigations area has been provided for this work.

For catchments with a LoS of less than 1 in 20 (inclusive of climate change), with significant properties at risk of flood damage from events with a frequency of less than 1 in 20 year ARI, work will be undertaken to identify if there are any feasible mitigation measures which can increase the LoS. The various mitigation options will be ranked on the basis of a cost benefit assessment. Funding will be sought from Council to implement the highest priority works over the 30 years of the AMP. The plan includes funding of $3.6 million over the duration of the 10 Year Plan to fund a number of capital improvements in some of the catchments with the highest flooding risks.

Demand management approaches (Water Sensitive design and Sustainable Urban Drainage Systems) will be pursued to limit peak flows to pre-development levels for new growth areas. Policy and planning instruments will be utilised to look to apply similar stormwater performance outcome requirements on infill development to reduce the impact of development on existing networks. Additional funding in the policy and planning area has been provided to fund work to develop generic guidance and compliance material.

Staged implementation of large capital new projects over 2 or 3 years to provide for the lengthy consenting, planning and consultation processes as well as ensure adequate time for tender and construction processes given the resource and capacity constrained external consultancy and contracting market


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Table 26: Examples of Stormwater Demand Management Strategies

Demand Component Stormwater Examples

Regulation Planning and consenting requirements for stormwater attenuation and detention in high risk catchments applying to all infill development.

Strict regulatory control of minimum floor level using Building Regulations and proposed Stormwater Bylaw.

Formal plan rules mandating sustainable urban drainage system design for all new growth areas created by way of a plan change.

Education & Environmental Enhancement

Promote greater public awareness of the impact of human activities and contaminants on the stormwater receiving environment.

Promote watercourse enhancement activities to promote biodiversity and improve community ownership and engagement with the urban stormwater network.

The Council will evaluate the selection criteria for the prioritising and programming of development projects. This will be based on a consideration of risk and benefits, affordability, ranking with other expenditure, existing asset performance with respect to levels of service and life cycle costs and efficiency.

Project approvals will be supported by an economic appraisal using cost/benefit analysis techniques which take into account:

Capital costs;

Any change in net annual operating costs;

Any change in annual maintenance requirements; and

Any salvage value of existing assets or components.

All development projects require completion of a Project Execution Plan for prior approval by the management team. Analysis of issues, options and a sensitivity analysis form part of this formal approval process.

The design option chosen shall:

Be in accordance with Council’s Urban Design Strategy;

Protect and enhance natural watercourses and streams as public amenities and minimise the impact or urbanisation on water quality;

Utilise the full capacity of natural drainage channels wherever practical;

Give preference to natural drainage systems over piped systems;

Optimise life cycle costs for the assets created; and

Consider options when evaluating upgrading options, including increasing pipe capacity, storage, re-vegetation, raising floor levels, creating secondary flow paths, purchasing affected properties, reviewing the level of flood protection, zoning land by way of the District Plan.

The risk, costs and benefits of accepting new privately funded assets constructed in association with property development will be reviewed and a decision regarding approval will be made on a case-by-case basis by Council staff. When satisfactorily completed in accordance with approvals given, Council will accept such assets into public ownership. Council will not contribute to the cost of such works unless there are exceptional levels of service or equity issues.

By recording the base line receiving water and first flush stormwater impacts and by actively following developments in Regional Council Policies under the Resource Management Act, a


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strategy will be developed to acquire appropriate stormwater discharge quality control assets. Such assets may include land and facilities for screening of gross pollutants and partial treatment of first flush flows.

Council will develop AM systems and asset condition/performance data to allow better planning for the disposal of assets through rationalisation of the asset stock or when assets become uneconomic to own and operate. When considering disposal options all relevant costs of disposal will be considered. These may include:

Evaluation of options;

Consultation/advertising;

Obtaining resource consents;

Professional services, including engineering, planning, legal, survey;

Demolition/make safe costs; and

Site clearing, decontamination, beautification.

6.8.3 Non Asset Programmes

Council will implement the following demand management strategies:

Regulation: Strict regulatory control of minimum floor level using Building Regulations and the proposed Stormwater Bylaw.

Operation - Flood protection: Demand strategies relating to the level of flood protection to be provided. Setting minimum design standards relating to the level of protection required. An objective of the Council is to protect urban properties from a 100-year flood event. The main source of flooding relates to the Manawatū River and streams that flow through the City. Stop banks are the usual form of flood protection with associated piped networks and pump stations designed to 100-year events.

Demand substitution - Minimising effect of increased urban runoff: It is well known that as pastoral land is converted to urban development there is an increase in stormwater runoff entering drainage systems. As the population grows with increased urban development, this issue will become more of a concern. There may be a future need to develop drainage systems that both treat and reduce the quantity of stormwater entering drainage systems. Some alternative drainage systems that should be considered are groundwater recharge, swales and on-site detention.

Education and environmental enhancement - Development of watercourse resources: Linked with the need to provide adequate flood protection watercourse, secondary flow paths, and detention areas are created that cannot be built on. These areas can be landscaped and developed in a way to provide recreational facilities and enhance the urban environment. This has the dual effect of meeting recreational demand and stormwater demand.

6.8.4 Development Programme

As required by Section 3.0 of Schedule 10 of the Local Government Act 2002, this AMP identifies and differentiates requirements for additional asset capacity in terms of increased demand (e.g. growth) or increase in levels of service standards. A 30 year programme of development works is summarised in Table 27.


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Table 27: Development Programme Expenditure Forecast Project Growth % LoS % Project Cost Timing

51 – City Wide – Stormwater Subdivision Contributions 100 - $50k pa On going

197 – Urban Growth - North East Industrial Park Stormwater 100 - $1.08M 2018~/35

1001 – Urban Growth – Whakarongo – Installation of stormwater system 100 - $1.68M 2018~/24

1060 – City wide – Stormwater Improvement Works - 100 $11.8 2018~/48

1065 – Urban Growth – City West – Installation of stormwater system 100 - $1.53M 2024~/27

1372 – City Wide – Stormwater Pump Stations - 100 $1.5M 2018~/48

Projects to Support Growth

The following projects are attributed directly to growth as a result of new residential and industrial/commercial developments.

Urban Growth Areas – Residential & Industrial Rezoning

These projects provide the stormwater infrastructure required to service new growth areas zoned for residential and industrial/commercial developments, namely Whakarongo and City West (refer to Section 5.3 and 5.4). Project costs and timing are continuously being updated as both the land use zoning moves to final adoption and developer intentions are confirmed. . In all areas the necessary infrastructure comprises construction of stormwater detention areas to manage peak flows as well as treatment systems to capture contaminants. A significant portion of the cost is associated with land acquisition, although in some instances developers are required to provide the land at no cost to Council.

Stormwater Subdivision Contributions

A provisional allocation of funding is provided to enable Council to contribute to stormwater improvements by taking advantage of major sub-division development to construct additional or enhanced facilities with benefits beyond the subdivision. An example is a Council subdivision development contribution for the extra cost of upsizing a pipe for a subdivision so as to be able to service future as yet undeveloped land within the upper part of a catchment.

Projects to Maintain and Improve the Level of Service

These are capital projects that aim to improve or maintain the level of service of stormwater.

City Wide – Upgrading Stormwater Pipe or Open Channel Network

This programme funds upgrades to existing parts of the network where flood frequency is greater than tolerable or existing levels of service have been eroded by infill development over the years. The approach to identifying upgrading locations, possible mitigation options and the priority for any works has been outlined in Section 6.8.2.


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City Wide – Regulatory Requirements

Council has completed an initial environmental assessment of the impact of its stormwater discharge on the receiving environment. Following this review Council has engaged an external provider to develop a Stormwater Management Plan for the city which will identify priority catchments in respect of contaminant discharges where there are opportunities both at source and through cost effective network treatment to improve receiving water quality.

Council are working with Horizons Regional Council to develop a regional approach to stormwater management. It is intended that the stormwater catchment planning approach would underpin a ‘global’ or ‘targeted’ stormwater consenting approach. Additional funding to support this approach in terms of consultancy support and water quality monitoring is included in the budget.

6.8.5 Delivery of Development Programme

In general, capital new work programmes involving smaller diameter and less complex infrastructure will be carried out by City Enterprises through the SLA system. Large and complex projects, particularly where specialised technologies e.g. pipe thrusting or boring, will be tendered to the open market. To reflect the increasing complexity of major projects and the current resource constrained consultancy and contracting environment, major capital new projects will be programmed to occur over 2 or 3 years. This will allow for consenting, consultation and detailed design to occur prior to the year of implementation and also provide for implementation of construction works over more than 1 year. Providing longer for project implementation will help to ensure cost competitive tender prices in the current constrained construction environment, by giving contractors long lead times and inviting them to determine their own optimum construction programme.

6.9 Disposal of Assets

There are no stormwater assets planned to be disposed of during the term of this AMP.

6.10 Key AMP Improvement Projects Relating to Asset Lifecycle

Management

For the key AMP improvement projects relating to Assets and Lifecycle Management refer to the following items in Section 11 – Continuous Improvement.

Item 1, Development works planning (demand/LoS):

Develop improved business case template to ensure full assessment of projects; and

Document changes to AMP programmes that arise through 10 Year Plan and Annual Budget process.

Item 2, Asset information:

Update detailed asset component and condition information in AM system;

Review AM system data quality process & improve as required;

Review condition assessment programme and implement annual CCTV condition assessment of selection of critical and representative stormwater assets;


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Review performance data needs;

Analyse asset lives using available data; and

Assess advanced AM system needs and implement suitable application.

Item 3, Renewal works planning:

Develop robust work programme based on network condition and performance assessment to resolve known faults and levels of service issues;

Continue to develop predictive modelling; and

Develop processes to prioritise risk mitigation options.

Item 4, Operations and maintenance:

Further develop the measure and value SLA contracts to specify annual work scope and deliverables;

Work on optimising O&M programmes; and

Further develop processes to ensure competitive prices are obtained for all projects including significant portions of the O&M SLAs delivered by external contractors.

Item 9. Delivery of services:

Review delivery of services as required by LGA section 17A.

Improve internal procurement process

Section 7 – Risks and Resilience Asset Management Plan 2017 – Stormwater

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7 Risks & Resilience Infrastructure risk management is the process of identifying risks that may affect the ongoing delivery of services from the infrastructure.

7.1 Corporate Risk Management Framework

A corporate risk management policy (MT 76, April 2011) has been established to enable risks to be managed in an effective and appropriate manner. From an asset management perspective, the policy helps prevent the Council taking risks that compromise its ability to provide and maintain key infrastructure and services. Progress with mitigation actions is monitored and reported to Council.

7.1.1 Risk Management Policy

The risk management policy covers strategic, operational and project risks. It applies to all functions performed by the Council and to all staff employed in carrying out its functions.

Strategic risks are defined as those things that prevent the Council from implementing its strategies. They can be caused by misalignment between goals and strategies, or the Council simply not implementing its strategies.

Operational risks are inherent in the processes chosen to implement the Council’s strategies. The benefits of managing operational risks include meeting financial goals, maintaining quality, proactive and effective planning, and preparedness for emergencies.

Project risks are of a specific, normally short-term nature. The benefits of managing these risks include the avoidance of time and cost overruns

7.1.2 Strategic Risks

The key strategic risks to the Council achieving its desired outcomes have been identified as follows:

Poor City image and reputation. Lack of vibrancy in the CBD. Decline in the City economy and jobs. A low level of community trust and engagement with the Council. Council’s financial position is not sustainable.

These risks are mitigated through following the Council strategies set out in Section 3.1 and through quarterly reporting to the Council. Development and management of the Council’s infrastructure is part of this risk mitigation.

7.1.3 Operational risks:

Operational risks identified in the Risk Management Policy, relevant to this activity, are as follows:

Section 7 –Risks and Resilience Asset Management Plan 2017 – Stormwater

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Table 28: Summary of Operational Risks and Planned Mitigation

Operational Risk Corporate Mitigation Strategy Corporate Mitigation Action

Council's infrastructural assets are not managed in accordance with the adopted Asset Management Plans (AMPs) and/or granted Resource Consents.

1. Manage infrastructural assets in accordance with AMPs as funded through the 10 Year/Annual Budget.

1.1 Review AMPs three yearly, assessing assets over a 30 year period to increase certainty to condition assessments.

1.1.1 Seek continuous improvement of each AMP in terms of quality that matches “best practice” in NZ.

1.1.2 Incorporate consideration of city growth, climate change, urban design and environmental sustainability into each AMP.

1.2 Report to Council where necessary implications of difference in budgets between 10 Year Plan with AMPs, and determine revised asset management actions.

1.2.1 Ensure Infrastructure programmes aligned with the zoning for growth.

1.3 Implement infrastructural programmes (operations and maintenance, renewals and capital new).

2. Ensure infrastructural asset programmes developed for the AMPs and then presented for consideration in the 10 Year /Annual Budget have adequate justification in terms of assessing options, feasibility, economic, social and environmental factors.

2.1 Develop programme justification for the AMPs to feed into the annual planning process.

3. Operate infrastructural asset activities in compliance with the granted Resource Consents.

3.1 Maintain a database of all required Resource Consents.

3.2 Monitor compliance against the database.

3.3 Attend to Resource Consent renewals before expiry deadlines.

4. Operate infrastructural asset activities in a manner that uses the AMP risk register .responses for specific risk situations as and when these may arise.

4.1 Report quarterly on infrastructural asset activities against the appropriate AMP Risk Register items in terms of invoking any of the "controls", "treatment" and/or "management options".

Council does not deliver the capital (new and renewal) programmes within approved scope of works, planned timeframes and budget.

1. Set realistic capital revenue and expenditure budgets.

1.1 Use City Networks Programme Planning and Implementation Template, identify and update (at least annually) the status of programmes in respect of scope, assumptions, and planning milestones, budget estimates and funding sources.

1.2 Within the City Networks Programme Planning and Implementation Template identify the external factors which must be addressed to advance the programme and establish appropriate milestone dates as to when these factors will be addressed.

1.3 Information in the Programme Summary of the Ozone Corporate Planning module is referenced against an up to date City Networks Programme Planning and Implementation Template.

1.4 Identify as potential “delayed flags” those capital programmes which have constraints beyond management’s control as part of the budget approval process.

1.5 At the commencement of the financial year identify those capital programmes where there is confidence of delivery because contracts


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Operational Risk Corporate Mitigation Strategy Corporate Mitigation Action

(& SLAs) are in place.

1.6 At the commencement of the financial year identify those capital programmes where planning is well advanced such that contracts (& SLAs) can be established in the 1st quarter of the financial year.

2. Scrutinise all capital revenue and expenditure budgets exceeding $250k.

2.1 Signed off by the relevant General Manager.

2.2 Review budget for reasonableness (all individual capital budgets).

3. Obtain Management Team approval on all capital projects that require a Project Execution Plan (PEP) before commencement of the project.

3.1 Active management by General Manager.

3.2 Report to Chief Executive of all non-compliance instances.

4. Assess resources required to deliver the overall capital programmes.

4.1 Use the Works Programming Forum to enable both City Networks and City Enterprises to identify the internal resources to be allocated to programmes and then determine any shortfall which requires the engagement of external consultant/contractor resources.

5. Manage projects against recognised good practice.

5.1 Deliver projects in accordance with City Networks Asset Management Good Practice Guidelines in relation to Project Management discipline.

5.2 Develop and regularly review Project Execution Plans (PEPs) for significant projects, with specific attention to any change circumstances which may impact on scope of works, timelines and/or budget requirements.

6. Monitor progress in the delivery of capital programmes.

6.1 Monitor progress through Works Programming Forum.

6.2 Monitor progress of work through monthly financial reports, and the Project Status Reporting tool both in terms of actual year to date against the current financial budget and against the total project budget spanning more than one financial year.

6.3 Identify programmes which cannot be delivered due to changed circumstances giving the reason why.

6.4 Utilise Council's approval of commencing up to 20% renewal works prior to the formal adoption of the new financial year budget.

PNCC is not meeting its responsibilities for an emergency or a civil defence emergency event because it is unable to deliver the basic services.

1. Develop and maintain high level PNCC Business Continuity Plan(s) (BCP).

1.1 Prepare and maintain high level PNCC Business Continuity Plans (BCP).

Council's activity preparation in key areas does not align to the Long Term Plan (Long Term Plan) programmes approval and budget processes and vice versa.

2. Ensure integrated planning occurs across Council’s recreation assets.

2.1 Concept and development plans are developed for Council’s recreation facilities and reserves aligned to the Active Recreation Strategy.


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7.1.4 Project Risks

Project risks associated with significant individual projects (both operational and capital) are normally of a short term nature and are managed through specific project plans approved through the Corporate Management Team. They include acquisitions and investments.

7.1.5 Risk Management Hierarchy

Figure 16 demonstrates the risk management hierarchy from corporate risk management down to activity, project specific and operational risk management. Risk is managed at these various levels within the Council’s risk management framework. The level of risks included at each layer is appropriate to that layer but filters down where appropriate with increasing detail.

Figure 22: Risk Management Hierarchy

Within all the levels of risk management discussed above consideration is given to the management of both “everyday” risks and the low frequency high impact events such as natural disasters.

When existing assets are being renewed or new works constructed the potential of those works to affect the resilience and readiness of all lifeline networks is considered. Contingency plans are prepared to ensure, through operational systems and temporary response structures, that appropriate response can be made.

7.1.6 Asset Criticality

Those assets where failure would likely result in significant disruption in service and financial, environmental and social cost in terms of impact on organisational objectives are considered to be critical assets. The definitions used in this plan for critical assets, customers and suppliers are as follows:

Critical assets are defined as those assets with the highest consequence of failure but not necessarily a high probability of failure. In determining consequence of failure both importance to the City and importance to the service provided are taken into account.

Operational Risk Management

Civil Defence Management

Activity Risk Management

Group Risk Management

Project Risk Management

Corporate Risk Management

Natural & Technologic

al Risks

Physical/ Asset

Failure Risk

Public Health &

Environmental Risks


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Critical customers are those relying on essential services provided by the Council (e.g. protection of schools and hospitals from inundation).

Critical suppliers are those providing services required for the delivery of the Council’s essential services (e.g. energy supply, communication systems, etc.)

The criteria used to assess criticality are set out in Section 7.2.3.

7.1.7 Resilience

The National Infrastructure Unit defines resilient infrastructure as infrastructure that is able to deal with significant disruption and changing circumstances. This may be due to natural hazards and shock events or events which evolve over time such as changing demographics. However, this AMP is largely focussed on being able to provide essential services following a high consequence event such as a natural disaster. Resilience of critical assets is particularly important for continuation of service delivery. Both technical and organisational aspects of resilience have been considered in this plan. Table 29 contains the attributes and definitions for both dimensions.

Table 29: Resilience Definitions

Dimension Attribute Definition

Technical Robustness / resistance

The strength or the ability of elements, systems, and other units of analysis, to withstand a given level of stress or demand without suffering degradation or loss of function.

Redundancy The extent to which elements, systems, or other infrastructure units exist that are substitutable, i.e. capable of satisfying functional requirements in the event of disruption, degradation, or loss of functionality.

Reliability The extent to which the infrastructure components are inherently designed to operate under a range of conditions and hence mitigate damage or loss from an event.

Organisational Preparedness – Response and Recovery

The capacity to mobilize resources when conditions exist that threaten to disrupt some element or system to maintain service and enable a fast and effective response to and recovery from disruptive events.

7.1.8 Risk Management Process

This plan is based on AS/NZS ISO 31000:2009 as the basis of its approach to risk identification and management. The Standard defines risk as the “effect of uncertainty on objectives”.

Effective management of risk is important to maintain the performance and functionality of the Stormwater Activity. Risk management is one of the factors used to determine optimum maintenance frequencies and the level and timing of asset renewals.

The risk management process considers the following stages:

Risk management context – determining the framework within which Council-wide risks will be managed.

Risk identification – identifying the relevant risks. Risk analysis – scoring or rating each of the risks identified in a way that makes them comparable

across the organisation. Risk treatment – identify the actions to be taken. Monitor and review the risks to ensure mitigation is successful and identify new risks.


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This process is summarised in Figure 23.

Figure 23: Risk Management Process (AS/NZS ISO 31000:2009)

Further details of the process followed and the risk management register are given in Appendix D.

7.2 Activity Risk Management

7.2.1 Approach for the Stormwater Activity

Risk assessments at the activity level focus on risks associated with management of the activity and the enabling infrastructure. Activity risk assessment considers risks identified at both the corporate and the operational level.

Risk management planning has been used to identify the potential and actual business risks associated with the provision and management of the Council’s stormwater assets and services. The process has been applied to prioritise mitigation programmes.

The key risk categories adopted for assessing the consequences of identified risks for this activity are:

Legal; Environmental; Corporate Image; Service delivery; Financial; and Community Health and Safety.


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A full list of the assessed risks facing this activity, including risks from natural events, is detailed in the Risk Register appendix. The Register also summarises the current mitigation measures and the proposed, or planned, changes to these.

7.2.2 Role of Activity as a Lifeline Utility

The Civil Defence and Emergency Management Act 2002 contains specific requirements in relation to Lifeline Utilities. The term “lifeline utility” is defined as an entity named or described in Part A of Schedule 1, or that carries on a business described in Part B of Schedule 1 of the Act.

The stormwater network is regarded as a lifeline utility. The Act states the duties of lifeline utilities at Section 60:

“60. Duties of lifeline utilities

Every lifeline utility must—

(a) ensure that it is able to function to the fullest possible extent, even though this may be at a reduced level, during and after an emergency:

(b) make available to the Director in writing, on request, its plan for functioning during and after an emergency:

(c) participate in the development of the National Civil Defence Emergency Management Strategy and civil defence emergency management plans:

(d) provide, free of charge, any technical advice to any civil defence emergency management group or the Director that may be reasonably required by that group or the Director:

(e) ensure that any information that is disclosed to the lifeline utility is used by the lifeline utility, or disclosed to another person, only for the purposes of this Act.”

The Act also has national and regional requirements, including the roles of controllers, the establishment of civil defence emergency management (CDEM) groups and the preparation of CDEM Plans.

7.2.3 Critical Assets

Critical assets are regarded as those assets which have the highest consequences should they fail. A simple approach has been taken in this plan applying broad assumptions about the implications of failure using a number of criteria to make an overall assessment of high, medium or low criticality.

The criteria used for assessing criticality for the stormwater activity are as follows:

Area of catchment/sub-catchment served; Number of people and properties adversely affected; Significant business activity interrupted; Consequential cost of failure; and Critical lifeline/disaster recovery asset.

The critical assets for the stormwater activity comprise pipes, pump stations and stopbanks. Table 30 contains a summary of the criticality of these assets.


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Table 30: Critical Assets

Critical Asset Criteria Dependent Customers & Services

Assessed Overall Criticality

Pipes

SW pipes > 1.8m diameter Number of people and properties adversely affected.

Consequential cost of failure

Residents.

Significant business activities.

Emergency services (hospitals etc.)

High

SW pipes 1.2m – 1.8m diameter.

Number of people and properties adversely affected.


Critical customer

Residents.


Emergency services

Medium

Culverts Number of people and properties adversely affected.


Critical customer

Residents.


Emergency services

Medium

Pump Stations

Fairs Road

Ellesmere Crescent

Guy Avenue

Birmingham Ave.

Clausen Street


Flow rate >750 L/s.


Residents.

Emergency services

High

Bennett Street

Paisley Street


Flow rate >750 L/s.


Critical customer,

Residents.


Medium

Stopbanks

Kawau stream upstream of botanical Road

Number of people and properties affected

Residents. Medium

Floodgates Number of people and properties affected

Residents Medium

Stormwater pipes smaller than 1.2 m in diameter are deemed to be noncritical, low criticality assets except where a critical customer, such as a hospital or a significant business activity, may be affected.

7.2.4 Resilience

The approach taken in this plan is to assess the impact of particular natural hazards on the critical assets of the stormwater activity. This considers the current level and desired level of resilience. Section 7.4 summarises this assessment and Section 7.5 outlines the mitigation strategy adopted in


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this plan to reduce the risk. The interdependencies of other utility services are identified in Section 7.4.6.

Further work will be undertaken in the next 2-3 years to develop a more comprehensive approach in which the level of criticality is matched against the desired level of resilience together with the options available for achieving this. A programme for further work is tentatively programmed to commence in 2018/19 – see also Section 7.6.

7.2.5 Sources of Risk

The sources of risk affecting the activity are as follows:

Operational failures. Physical Asset risks. Project & planning risks. Natural hazards. Events & Incidents.

The risks arising from these sources are elaborated on in Section 7.3.

7.2.6 Reference Documents

Documents that have informed this plan include:

1994 Hazards Analysis – Three Waters. 2005 Risks & Responsibilities - Lifelines Project Report. 2009 Hazard Risk Assessment for the Manawatū-Wanganui Region. 2011 GHD Critical Assets Phase 1 Report – Three Waters. 2011 GNS Liquefaction Report. 2011 City Infrastructure and Civil Defence Preparedness. 2014 PNCC Engineering Standards Resilience Review. PNCC District Plan Section 22: Natural Hazards – Floods.

7.3 Key Risks to the Stormwater Activity

The five sources of risk impacting on the activity are considered to be operational failure, asset failure, natural disasters, events and incidents and project/ planning risks. The risk register in Appendix D sets out the identified risks arising from these sources. The key risks, largely based on criticality, are summarised in this section.

It should be noted that from these sources there may be consequences in the following areas:

Legal; Environmental; Corporate Image; Service delivery; Financial; and Community Health and Safety.


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These have been considered in identifying the key risks for this activity.

7.3.1 Operational Failure

Operational failures are those events that may prevent service delivery as intended such as contamination, vandalism, operator error, injury, third party accidental damage or contract management issues but do not involve a physical breakdown of the asset. They may also have other consequences as noted above.

Table 31 contains a summary of the key operational risks for this activity together with planned mitigation measures additional to current practices.

Table 31: Key Operational Risks

Key Operational Risks Mitigation Measures

Inadequate contract/SLA management (SW05)

Monitor customer feedback and trends.

Review and improve contract auditing procedures.

Improved KPIs.

Staff training.

Possible extension of QMS.

New staff trained on internal contract management manual.

Non-compliance with legislation and legal requirements (SW08)

Compliance monitoring.

Management of consents.

Relevant and specific contract conditions (including OSH pre-qualification, HSE Act, etc.).

Power supply failure affecting pump operation (SW21)

Install standby power generator connections at all pump stations.

Monitor pump hours run to correlate with storage.

Install telemetry at all pump stations.

Discharge of contamination via stormwater network (SW22)

Written procedures in respect of spill response to contamination and pollution discharges to the stormwater network.

Community education and behaviour change initiatives.

Private property surveillance, audit and compliance enforcement of requirements under the Stormwater Drainage Bylaw.

Stormwater network quality monitoring to identify problem catchments and contaminant sources in order to implement at source treatment interventions.

7.3.2 Asset Failure

Asset failure can arise from deterioration of condition leading to structural failure or loss of performance of the asset which then impacts adversely on the service provided to the community.

Table 32 contains a summary of the key risks relating to asset failure.

Table 32: Key Asset Failure Risks

Key Asset Failure Risks Mitigation Measures

Stormwater pump station failure (SW20)

Complete detailed pump station condition assessments in order to develop a robust renewal and replacement schedule.

Ensure a robust incident response plan is in place and all operational staff are familiar with the protocol.


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Key Asset Failure Risks Mitigation Measures Test operation of all pump stations using mobile generator.

Ensure telemetry is installed at all pump stations and telemetry fault data is analysed to identify specific performance issues and trends.

Breaks and blockages in the pipe network (SW23)

Programme condition and performance assessment comprising CCTV inspection and scoring of both critical assets and a selection of the typical pipe materials across the network.

Investigate blockage issues, capture information within IPS and analyse fault data to identify specific spatial or asset related trends or risks.

Implement proactive inspections of critical large diameters services to ensure they are free of debris and they are capable of functioning as intended.

Erosion and scour (SW24) Complete annual inspections of all channel and streams to develop a schedule of problem areas requiring maintenance and renewal. Update this condition schedule annually.

Pipe sections of open drain where the lifecycle costs of reduced on-going maintenance and the benefits of improved safety justify the capital investment.

Complete inspections of all stopbanked water courses after floods.

Inspect all SW outfalls annually prior to autumn to ensure they are functioning optimally, with priority given to immediate maintenance and renewals works.

7.3.3 Project & Planning Risks

This is where infrastructure is not provided in a timely way or does not meet the needs of the community as a result of inadequate project management and planning processes and resources.

Table 33 contains a summary of the key project and planning risks identified.

Table 33: Key Project Planning Risks

Key Project and Planning Risks Mitigation Measures

Lack of skilled staff (SW02) Review and report situational risk profile at key intervals.

Failure to deliver on projects and programmes (SW04)

Development of corporate processes and systems.

Reporting procedures for measuring performance.

External reviews and audits.

Formalise requirements and project reporting for internal consultants.

Keep project scope up to date.

Inadequate asset management (SW07) Continue to improve documentation around processes & practices.

External review.

Strategy to advanced AM status.

Ineffective strategic planning (SW15) Continue current practices – liaison between City Future, City Networks and Council, AMP review and updating.

Greater City Networks input to the district plan review.

Inadequate communications and PR Management (SW16)

Improved presentation to public.

Communications plan developed for key projects.

Contract conditions regarding community interaction.

Timely communications/notification to affected customers.

User friendly website.


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7.3.4 Natural Disasters

The impact of natural disaster hazard events on the infrastructure of the stormwater activity has been considered with a particular focus on lifelines, critical assets and interdependencies.

The events considered are those used in the Lifelines Hazard Assessment:

Earthquake – an MM9 shaking intensity (Return period 1000 years); Flood – equivalent to the 2004 Lower North Island flood event (about a 1:100 year flood); and Volcanic – an eruption of Mount Ruapehu with a 12 km high column.

This is further expanded on in Section 7.4 which describes the hazards and assesses the impacts on critical assets. The initial response will include those measures set out in the CDEM Group Plan and the Business Continuity Plan.

7.3.5 Events & Incidents

Other events and incidents that could impact on the assets and the service provided by the assets are listed in Table 34.

Table 34: Other Events & Incidents

Event or Incident Impact on Assets or Service

Leakage or spillage of any dangerous substance,

Potential contamination of receiving waters and breach of discharge consent.

Technological failure Loss of telemetry at pump stations, resulting in loss of remote monitoring capacity, alarm notification and early warning systems.

Climate change Increased rainfall and volatility of rain events – see Section 5.10.

These impacts will be managed largely through the measures and procedures set out in the Business Continuity Plan discussed in Section 7.7.3.

7.4 Resilience of Infrastructure to Natural Disaster

7.4.1 Introduction

This section considers the impact of seismic, flooding and volcanic events on critical assets and the assessed level of resilience of these assets. It has been informed by the reports and investigations listed in Section 7.2.6. The Lifelines Project Report 2005 found that the region as a whole is most at risk from seismic hazard in particular from liquefaction would has the potential to cause significant damage in a severe earthquake.

7.4.2 Seismic Hazard

About 90% of the piped stormwater drains are made of brittle materials (reinforced concrete) that could be expected to suffer fractures and joint pull-outs resulting in blockage due to liquefiable and other soil material. Liquefaction would likely cause many manholes on the piped drain networks to be displaced resulting in them being sheared from their connecting pipework. This would reduce the effectiveness of the primary drainage system and lead to increased reliance on the secondary system (overland flow)


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with the effect of increased frequency and duration of stormwater ponding in urban locations under normal conditions.

Loss of power could be expected as a result of a major seismic event. None of the pump stations have permanently installed backup electrical power generation to operate the pumps. While a trailer mounted generator is maintained by City Enterprises which can be used for any of the stormwater or wastewater pump stations, it is likely that priority will be given to providing back-up power to critical wastewater pump stations.

Table 35 provides a summary of the assessed resilience of the critical stormwater assets to a MM9 earthquake, with a return period of 1,000 years. Where the current level of resilience is less than the desired level of resilience, further work is to be undertaken to determine options for increasing the resilience of the asset and managing service delivery following a seismic event. This will include a review of the desired level of resilience. The average resilience of the stormwater network as a whole is medium, noting that the network is essentially a gravity system that follows natural gradients and flow paths.

Table 35: Resilience to Seismic Hazard

Critical Assets 4 Criticality Current Level of Resilience Desired Level of Resilience

Piped drains and manholes Medium - High Low Medium - High

Culverts Medium Medium Medium - High

Pump stations Medium - High Low - Medium High

Stopbanks (PNCC owned) Medium Medium Medium - High

Flood gates Medium Low - Medium Medium

7.4.3 Flooding Hazard

The purpose of the stormwater system is to protect property from inundation during frequent rainfall events which results in stormwater levels exceeding habitable building floor levels for the 1 in 100 year ARI rainfall event.

The Horizons One Plan requires new structures, activities or critical infrastructure to be located in a floodway to be designed to be protected from a 1 in 200 year flood event. Horizons Regional Council has upgraded the river stopbank assets to provide protection to the urban areas for river flood events up to a 1 in 500 year ARI. Should the river stopbanks be breached or overtopped extensive flooding of hundreds of properties to levels above current floor levels would occur, in the eastern side of the city,

Even with the river being contained within the stopbanks a major river flow event would result in localised flooding of areas of the City due to both capacity limitations in the stormwater network, and the backflow impact of the raised river levels preventing gravity discharges from many of the outfall structures discharging to the Manawatū River and Mangaone Stream. While the pump station network will provide some drainage capacity during these events, meaningful reduction in the localised flooding impacts would require a significant number of high capacity pumping stations to lift stormwater across the top of stopbanks from designated storage areas.

Table 36 provides a summary of the assessed resilience of the stormwater assets to flood hazard. Where the current level of resilience is less than the desired level of resilience further work is to be

4 Refer to Section 7.2.3


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undertaken to determine options for future management and development of the asset. This will include reviewing the desired level of resilience.

The resilience of the remaining network to flooding hazards is medium, taking into account the extensive secondary flow path network and informal local detention areas.

Table 36: Resilience to Flooding Hazard

Critical Asset Criticality Current Level of Resilience Desired Level of Resilience

Piped drains & manholes Medium - High Medium - High Medium - High

Culverts Medium Medium - High Medium

Pump stations Medium - High Medium Medium - High

Stopbanks (PNCC owned) Medium Medium High

Flood gates Medium Medium High

7.4.4 Volcanic Hazard

Mount Ruapehu, Tongariro and Ngauruhoe are three active volcanoes located approximately 150 km due north of the City. They comprise the volcanic plateau of central North Island.

In the event of a significant volcanic eruption of one or more of these volcanoes, the potential exists for an ash cloud to spread south with a resulting deposition of fine sediment across the entire City. This event occurred, at a moderate level, as a result of the 1996 eruption of Mount Ruapehu.

The main risk associated with this hazard is the build-up of sediment in the City’s stormwater drains and channels, reducing the capacity of these assets. Ash carried through to pump stations could have a damaging effect on pumps, through corrosion and/or choking of the pump impellors. Additional reactive network maintenance in the form of kerb and channel cleaning, pipe flushing and channel excavation would be required. Desilting of attenuation ponds and installation of temporary pumping arrangements in high criticality sub-catchments could be considered.

Lahar flows would not impact on the City’s stormwater catchments.

Table 37 provides a summary of the assessed resilience of the critical stormwater assets to a volcanic hazard. Where the current level of resilience is less than the desired level of resilience, further work is to be undertaken to determine options for mitigation of the risk and further development of the asset to close the gap in resilience. This will include reviewing whether the desired level of resilience is appropriate.

The resilience of the stormwater network to volcanic hazards is medium, noting the role of secondary flow paths in providing adequate drainage for most parts of city and the need to monitor the impact of potential accumulation of ash deposits on open channel capacity.

Table 37: Resilience to Volcanic Hazard

Asset Criticality Current Level of Resilience Desired Level of Resilience

Piped drains & manholes Medium - High Medium Medium - High

Culverts Medium Medium - High Medium - High

Pump stations Medium - High Low High


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Stopbanks (PNCC owned) Medium High Medium

Flood gates Medium Medium Medium - High

7.4.5 Other Natural Hazards

Other natural hazards with the potential to impact of the stormwater activity include:

A major landslide into the Manawatū River near Ashhurst or Palmerston North could constrict river channel capacity reducing the capacity of the river and resulting in the Horizons stopbanks being overtopped during a lower frequency flood event.

Lightning strike of a pump station could damage pump controls and electrical circuitry. A heavy snowfall could temporarily block stormwater inlet devices (roads side sumps etc.) resulting

in localised flooding in the event of a simultaneous rain storm.

Table 38 provides a summary of the assessed resilience of the assets to the other natural hazards identified above. Where the current level of resilience is less than the desired level of resilience, further work is to be undertaken to determine options for future mitigation and development of the levels of resilience of the asset. This will include reviewing the desired level of resilience.

Table 38: Resilience to Other Hazards


Piped drains and manholes Medium - High High Medium – High

Culverts Medium High Medium

Pump stations & manholes Medium - High Low Medium – High

Flood gates Medium Medium - High Medium

Stopbanks (PNCC owned) Medium High Medium

7.4.6 Interdependencies

The critical assets comprising the stormwater activity are not stand alone. To operate effectively they are dependent on a variety of other utilities/infrastructure providers. Also, other utilities in turn rely on the continued serviceability of the assets for this activity. To effectively manage risk, these interdependencies have been evaluated to identify where the highest levels of dependency exist and the implications of failure.

Table 39 identifies the utility services that this activity depends on, the level of dependence and the mitigation measures in place.

Table 39: Utility Services that the Stormwater Activity Depends on for Continuity of Service

Critical Assets

Utility Service the Asset is Dependent on

Implications of Failure of the Asset Depended on Mitigation Measures

Pump stations

Power supply. Surface and within property flooding

Install generator connections at all pump stations and verify operability.

Procure a dedicated mobile generator set for the stormwater activity.


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Critical Assets

Utility Service the Asset is Dependent on

Implications of Failure of the Asset Depended on Mitigation Measures

Fuel supply. Surface flooding Acquire trailer mounted, mobile fuel supply tanks to service standby generators.

Table 40 identifies the utility services that depend on critical Water Activity assets.

Table 40: Utility Services that Depend on the Stormwater Activity Assets

Critical Asset

Utility Service that is Dependent on this Asset

Implications of Failure Mitigation Measures

Wastewater reticulation

Separation of stormwater from wastewater reticulation

Surcharging of wastewater reticulation.

Overloading of WW treatment plant.

Removal of SW connections from WW reticulation.

Proactive programme of stormwater inflow and infiltration investigation and fault remediation in catchments with high wet weather wastewater flows.

7.5 Risk Management Strategy

The approach to managing the stormwater assets to provide for mitigation of risk and increased resilience is as follows:

On-going management and development of the assets according to sound asset management practise. This includes continuing to develop the understanding of the performance of the assets, and its condition as well as planning robustly for the maintenance, renewal and development of assets.

Developing the assets to provide for future capacity requirements in a timely way to avoid any loss of service through overloading of the system.

Implementing programmes for timely renewal of the assets, particularly critical assets, to reduce the risk of unexpected failure and loss of service as well as address localised performance issues.

Prioritising inspection, maintenance and renewal work in those areas with the highest levels of average annual damage associated with flood water entry to habitable dwellings and buildings.

On-going development of the risk register to refine and improve understanding of those asset components that carry the highest risk.

Investigating options for increasing the resilience of the asset and deploying tools such as risk based economic analysis to assist sound decision making. This is to be part of the Improvement Plan.

Including specific programmes for seismic strengthening of structures to meet importance level standards determined for the assets.

Incorporating greater resilience when renewing or building new assets through selection of specific materials and more resilient design standards.

Maintaining a readiness for responding to disaster events through having an up to date Business Continuity Plan and participating in CDEM arrangements.

7.6 Risk Management Programme

The programmes that contribute in this plan to mitigate risk and to increase resilience are summarised in Table 41.


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Table 41: Risk Management Programme (30 years)

Programme Impact on Risk & Resilience Forecast Expenditure Year

Maintenance Maximising performance of network to ensure effective operation and reduce risk

$820K pa 2018~/48

Renewal Ensure the pipe and open channel network functions at its optimum capacity to maximise the level of service provided by the existing network.

$16.7M 2018~/48

Development Increasing the capacity of the network in specific areas to mitigate significant flood damage risks, address level of service deficiencies and provide for growth

$23.3M 2018~/48

Investigation 2D modelling of network including assessment of a range of mitigation scenarios to identify areas most vulnerable to flooding events and develop a priority list of capital improvement works required to improve resilience of the network.

$100K 2018~/19

Readiness – BCP

Asset management planning and emergency response plans identify the risks and resilience measures required to mitigate the impacts of natural hazards.

$450K 2018~/48

7.7 Civil Defence Preparedness

7.7.1 Emergency Events

The Civil Defence and Emergency Management Act 2002 defines an emergency as a situation that:

is the result of any happening, whether natural or otherwise, including, without limitation, any explosion, earthquake, eruption, tsunami, land movement, flood, storm, tornado, cyclone, serious fire, leakage or spillage of any dangerous gas or substance, technological failure, infestation, plague, epidemic, failure of or disruption to an emergency service or a lifeline utility, or actual or imminent attack or warlike act;

causes or may cause loss of life or injury or illness or distress or in any way endangers the safety of the public or property in New Zealand or any part of New Zealand; or

cannot be dealt with by emergency services, or otherwise requires a significant and co-ordinated response under this Act.

7.7.2 Emergency Response Plan

The Act also requires the establishment of CDEM Groups based on Regional Council boundaries, working in partnership with emergency services, lifeline utilities and others to deliver CDEM at the local level. Each Group is required to prepare a plan to describe the Group’s CDEM arrangements that set out among other things:

Hazards and risks to be managed by the Group. Civil defence emergency management necessary to manage the hazards and risks. Arrangements for declaring a state of emergency in the area. Arrangements for co-operation and co-ordination with other Groups. The Manawatū-Wanganui Civil Defence Emergency Management Group Plan 2016-2021 covers

the CDEM operational arrangements for the assets and services described in this AMP.

The four phases of disaster management outlined in the plan and their applicability to this activity are as follows:


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Reduction

Identifying and analysing long-term risks to human life and property from natural or man-made hazards, and taking steps to eliminate these risks where practicable, and where not, reduce the magnitude of their impact and likelihood of their occurring

For this activity this is achieved through two key initiatives:

PNCC contribution to the Lifelines Advisory Group which aims to facilitate information exchange and collaboration between the various utility service providers in the region with respect to CDEM. This group is also responsible for maintaining and improving the Regional Lifelines Project Report ‘Risks and Responsibilities.

Ensuring that the development of infrastructure development is in keeping with PNCC District Plan provisions, which in turn has been informed by Horizons One Plan with respect to placement of critical infrastructure in areas prone to natural hazard events.

Readiness

Developing operational systems and capabilities before a disaster happens. These include self-help and response programmes for the general public as well as specific programmes for emergency services.

A significant portion of the CDEM Group’s work is undertaken as readiness initiatives. The group provides co-ordinated planning to ensure an effective response to the affected communities and for the co-ordination of responding agencies.

This activity provides inputs into these activities.

Response

This relates to response actions taken immediately before an emergency is declared and lasts until the normal systems can accommodate the recovery process. A fundamental principle for this phase is that agencies should respond to an emergency by activating their own plans and co-ordinating with the lead agency.

In the case of this activity the Business Continuity Plan described in Section 7.7.3 would be activated.

Recovery

This relates to activities beginning after initial impact has been stabilised and extending until the community’s capacity for self-help has been restored. Recovery is a key part of the comprehensive approach to CDEM and for this reason the Group has a comprehensive Recovery Plan. The impact of a major event can lead to long term recovery needs for the City.

Civil Defence Emergency Management Amendment Act 2016

The changes to the Civil Defence Emergency Management Act strengthen recovery planning. This amendment specifically requires CDEM Groups to amend their plans by 1 June 2018 to include strategic planning for recovery from the hazards and risks in their district. Work on this amendment is currently underway.


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7.7.3 Business Continuity Plan

A Business Continuity Action Plan has been prepared for the Stormwater Services to provide information, and strategies including co-ordination of people and resources that will enable continued availability of business process and services and recovery from events that interrupt those services.

The Stormwater Plan contains:

The Stormwater Services call tree; Incident Stormwater Team; Stormwater services continuity and recovery strategies; Accessibility, Resources and Communication; Stormwater Disposal/Flood Protection; Contact Lists for both internal and external contacts; and Response Centre Details - Arena Manawatū.

7.7.4 Recovery

In the event of a major disruption of service establishing at least a temporary service to critical customers would be a priority.

Should the event have caused widespread disruption to the stormwater network and recovery over a long term is required then a recovery programme will need to be put in place. This programme will cover:

Priorities for work done on the asset; Consideration of changes in the way the assets could be configured if a significant replacement

programme was required and materials use; Potential funding needs/issues; and Relationships between the assets and other utilities assets – e.g. co-location in road corridors.

On-going work will be undertaken on these aspects.

7.7.5 Lifeline Utilities Coordination

Protocols and arrangements to facilitate communication and co-ordination with other utilities in the event of a major event affecting multiple agencies are set out in the CDEM Group Plan 2016-21. The following organisations are members of the Lifelines Advisory Group:

Horizons Regional Council Palmerston North City Council Ruapehu District Council Wanganui District Council Rangitikei District Council Manawatū District Council Tararua District Council Horowhenua District Council Transpower NZTA Spark NZ

Chorus Electra First Gas Kordia Scanpower Kiwi Rail PowerCo GasNet Palmerston North International Airport Mid Central DHB Teamtalk


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Vodafone 2 Degrees Inspire Net

The Lines Company Foodstuffs

7.8 Risks and Resilience Improvement Plan

Particular aspects that require further development.

Further assessment of risk and programmes to mitigate risk in the light of further investigation and better information about the impact of natural hazards.

Develop a more advanced approach to identifying critical assets that incorporates rating and other dimensions of criticality.

Further assessment of the current level of resilience. Develop a more comprehensive method of assessing resilience using risk based evaluation and

optimised decision making tools to assist decision making around the desired level of resilience. On-going review of the risk register.

Provision is made in the continuous improvement programme, Section 11, for further work on these aspects over the next three years.

Section 8 – Sustainability Asset Management Plan 2017 – Stormwater

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8 Sustainability This section sets out how the Stormwater activity contributes through the management of its assets to the sustainability of the city. The practise of asset management is itself based on sustainably delivering services to the community.

8.1 Eco City Strategy

The Eco City Strategy is one of the Council’s five strategies supporting its vision for the City and aims to ensure the city develops and grows sustainably.

The plan includes a focus on reducing the city’s ecological footprint through effective planning of infrastructure and the protection, maintenance and enhancement of the city’s natural and built environment. The Council is also working towards the city becoming a low carbon economy.

To achieve the desired outcomes the Council has set a number of priorities and developed Strategy Plans under the Eco City Strategy as shown in Table 42.

Table 42: Eco City Strategy Priorities & Plans

Eco City Strategy Priorities Eco City Strategy Plans

Respect and enhance the mauri of the Manawatū River

Work with the community to reduce carbon emissions

Regenerate native biodiversity

Invest in infrastructure that serves to protect, enhance and preserve our environment

Use our legislative powers and policies to ensure that urban development is sustainable now and into the future

Educate the community, in particular, property owners, on the benefits of investing in sustainable building design and green buildings

Demonstrate leadership and best practice by developing and implementing an environmental sustainability plan for the Council

Biodiversity

Water

Waste

Energy

Environmental education

Carbon emissions reduction

In addition Council has determined a range of Sustainable Practices which are to be reflected in all of Council’s strategies and plans.

Key Sustainability Issues

Key sustainability issues arising from these plans and impacting on the Stormwater activity are as follows:

Climate change affecting rainfall intensity resulting in greater total and peak surface run-off. Effects of stormwater discharges on the water quality in the receiving environment. The quality of

the stormwater discharges, particularly first flush of runoff from the built environment will need addressing if an improvement to the biodiversity of streams and gullies and better riparian ecology is to be fostered.

The approach taken to addressing these issues is outlined later in this section.

Section 8 – Sustainability Asset Management Plan 2017 – Stormwater

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8.2 Climate Change – Initiatives

Climate change is recognised as a significant sustainability factor. The effects of climate change on the stormwater activity as a driver of demand has been covered in Section 5.10.

8.3 Approach Taken in This Plan

Sustainability considerations are incorporated into the AMP through the following mechanisms:

Operation and maintenance SLAs which target energy use efficiency as a key consideration on mechanical and electrical maintenance and renewals.

Engineering Design Standards which require whole of lifecycle cost assessment and set out acceptable solutions for stormwater attenuation and detention devices and treatment systems.

Stormwater Drainage Bylaw 2015 which provides for at-source improvement of stormwater discharges.

City wide stream quality monitoring to support specific targeted initiatives to improve stormwater discharge quality.

Use of Water Sensitive Design (WSD) and Sustainable Urban Drainage approaches for all new development areas.

Section 9 – Financial Projections & Trends Asset Management Plan 2017 – Stormwater

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9 Financial Projections & Trends This section outlines the long-term financial requirements for operations, maintenance and capital renewal and development for the stormwater activity based on the long-term strategies and tactics described earlier in the AMP.

9.1 Long Term Financial Forecast

Figure 24 shows the thirty year projected operation and maintenance expenditure (interest and depreciation costs excluded). Depreciation for proposed future assets is included based on their expected life.

Figure 24: Thirty Year Operation & Maintenance Expenditure Forecast

Figure 25 shows the thirty year projected renewals expenditure for the stormwater network. The significant gap between depreciation and renewals expenditure is due to the young age of much of the buried stormwater assets. While straight line depreciation records a steady decline in the asset value (depreciation) with age, the reduction in remaining life does not result in any significant decline in service potential of the assets and hence the requirement for renewal expenditure is not triggered. . The current renewal profile is based on an average of the remaining life however it is expected that many pipes will have lives considerably longer than the assumed median pipe age. Further CCTV and physical condition assessment is programmed within the AMP period to develop an optimised asset life profile. The renewals budget is higher in the first few years of the plan reflecting the identified need to replace poor condition aging brittle pipes of small diameter. These smaller diameter pipes account for the majority of the service requests, are typically located in private property easements.

Renewal expenditure requirements in the larger diameter pipes are assessed to be low and will be associated with remedying faults associated with installation issues and third party service clashes or damage rectification.

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Figure 25: Thirty Year Projected Renewals Expenditure

Figure 26 shows the thirty year projected new capital expenditure which largely comprises investment in new infrastructure in the new residential and commercial growth areas and some modest levels of new capital investment in capacity and improvements to mitigate identified constraints including piping problematic open drains. . Following completion of further development of the modelling work and scenario assessments to develop more detailed stormwater management plans, it is expected that requirements for additional capital new investment in mitigation works to reduce flood risk will be identified. Any additional investment will follow agreement through Council and the community of the need to improve the level of service.

This plan provides for a long term average investment of $0.3 to 0.5M per annum in minor capital upgrades. The years of larger capital investment i.e. 2018/19, 2019/20, 2024/25 and 2025/26 coincide with investment in growth related infrastructure.

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Figure 26: Thirty Year Projected New Capital Expenditure

A full breakdown of the thirty year projected costs is given in 0.

Significant trends for the thirty year forecast are:

Operational planning and policy: Expenditure remains steady throughout the planning period with key priorities for funding including advancing the 2D modelling and scenario assessment work, completing policy and regulatory work to support policy and plan changes, undertaking critical asset condition assessment and targeting stormwater discharge quality improvements in high risk sub-catchments. The programme also includes provision for an annual programme of CCTV inspection and condition grading for a representative cross-section of the network over the first 5 years of the AMP.

Operation and Maintenance: The operation and maintenance expenditure profile is based on the current asset mix and historical levels of maintenance incurred on the network. It is expected that some reduction in pipe network maintenance will occur as poorly performing parts of the stormwater network are renewed however any saving is likely to be offset by additional maintenance costs associated with treatment systems and stormwater detention and attenuation ponds which are vested with Council. Understanding of the cost of maintenance of dry and wet pond and wetland systems is limited and it is possible that O&M costs may need to rise to reflect the higher costs of these components of the network. .

Renewals & Rehabilitation: The renewals profile reflects an initial 5 to 8 years period of investment to renew the backlog of currently identified problem pipe assets. Renewal funding requirements then drop to a steady $0.35 to $0.4 million per annum. Funding includes provision for targeted stream and drain renewals, minor pipe renewals and replacement of outlet, gate and other assets at risk of damage within the stream or active river discharge zone.

Development: The new capital expenditure forecast is based on the timing of infrastructure required for growth in Whakarongo and the North East Industrial Area Extension. The other key focus determining the capital programme is the construction of new assets required to mitigate the effects of flood damage in at risk areas of the network. The spike in 2024/25 is associated with the assumed first stage of stormwater infrastructure investment required for the City West residential zone.

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9.2 Asset Valuation

Council water supply assets were revalued as at 30 June 2017 in accordance with Financial Reporting Standard (FRS) 3 and the NZ Infrastructure Valuation Guidelines. The results of this valuation were independently audited. The updated valuations as at 30 June 2017 are shown in Table 43. The detailed valuation and valuation methodology are contained in the report entitled “Revaluation of Infrastructure Assets for City Networks Unit” (June 2017).

Table 43: Asset Valuation for Stormwater Assets (30 June 2017)

Asset Type Optimised Replacement Cost

Optimised Depreciated Replacement Cost Annual Depreciation

Pipes $136,558,367 $102,376,759 $845,133

Culverts $40,551,054 $27,100,932 $218,148

Manholes $23,498,230 $17,617,595 $157,992

Mains Connections $4,075,370 $2,875,262 $33,942

Sumps Connections $13,149,888 $9,123,071 $109,579

Kerb Connections $5,373,449 $2,519,195 $67,168

Flood Gates $495,220 $279,189 $4,120

Inlet and Outlet Structures $2,609,890 $1,949,354 $18,155

Storage Basins $2,694,200 $2,554,359 $27,972

Channels (Artificial) $9,055,545 $9,055,545 $ -

Stop Banks $2,503,950 $2,503,950 $ -

Protection Works $2,938,250 $2,169,917 $34,402

Pump Stations $2,529,831 $1,310,964 $59,511

Drainage Reserve Land $466,500 $466,500 $ -

Total $246,499,744 $181,902,592 $1,576,122

The unit costs used were based on current Council contracts where available, or adjusted from previous contract rates. Otherwise they are based on contract rates that are typical for the industries. These rates were peer reviewed by an independent consultant. Depreciation has been derived using the expected lives listed in Section 6.7.4.

9.3 Confidence Levels

The confidence in the asset data used as a basis for the financial forecasts has been assessed using the grading system in Table 44.


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Table 44: Confidence Grading Description

Confidence Grade

Description Processes Asset Data

5 Highly reliable/ Audited

Strictly formal process for collecting and analysing data. Process is documented and always followed by all staff. Process is recognised by industry as best method of assessment.

Very high level of data confidence. Data is believed to be 95 to 100% complete and ±5% accurate. Regular data audits verify high level of accuracy in data received.

4 Reliable/ Verified Strong process to collect data. May not be fully documented but usually undertaken by most staff.

Good level of data confidence. Data is believed to be 80 to 95% complete and ±10 to 15% accurate. Some minor data extrapolation or assumptions has been applied. Occasional data audits verify reasonable level of confidence.

3 Less Reliable Process to collect data established. May not be fully documented but usually undertaken by most staff.

Average level of data confidence. Data is believed to be 50 to 80% complete and ±15 to 20% accurate. Some data extrapolation has been applied based on supported assumptions. Occasional data audits verify reasonable level of confidence.

2 Uncertain Semiformal process usually followed. Poor documentation. Process to collect data followed about half the time.

Not sure of data confidence, or data confidence is good for some data, but most of dataset is based on extrapolation of incomplete data set with unsupported assumptions.

1 Very uncertain Ad hoc procedures to collect data. Minimal or no process documentation. Process followed occasionally.

Very low data confidence. Data based on very large unsupported assumptions, cursory inspection and analysis. Data may have been developed by extrapolation from small, unverified data sets.

0 No data No process exists to collect data. No data available.

Table 45 outlines the general confidence level for the asset data, including condition and performance.

Table 45: Asset Data Confidence Indication

Asset Asset Data Confidence

Condition Data Confidence

Performance Data Confidence

Demand/ Growth Forecast

Channels 4 4 4 4

Flood Gated Structures 5 4 4 4

Kerb Connections 3 3 3 3

Land Drainage 4 4 3 3

Land Drainage (Stop-banks) 4 4 4 4

Main Connections 4 3 3 3

Mains 5 3 3 4


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Asset Asset Data Confidence

Condition Data Confidence

Performance Data Confidence

Demand/ Growth Forecast

Culverts 5 3 3 3

Manholes 5 3 3 4

Pump Stations 5 4 4 4

Storage Basins 5 4 4 3

Sump Connections 4 4 4 3

Inlet/Outlet Structures 5 4 4 4

9.4 Reliability of Financial Forecasts

9.4.1 Maintenance & Renewal Forecasts

These are considered reliable estimates based on a known quantum and scope of work and a good historical cost database. There is some increasing uncertainty of forecasts over the long term due to lack of knowledge about real price changes of individual components. Appendix E provides the detailed financial forecasts for maintenance, renewal and capital programmes for the 30 years of the Infrastructure Strategy. Forecast confidence is in line with the definitions set out in section 9.4.2 below.

9.4.2 Development Forecasts

Years 1-3: The scope and pricing of work is considered reliable and based on known issues. Years 4-10: Increasing uncertainty around scope and detail of work – forecast estimates

considered conservative but less reliable than years 1-3. Years 11-20: Rough order costing based on estimated quantum of work, forecasts could change

significantly with further investigation.

9.4.3 Potential Effects of Uncertainty

Generally forecasts are considered conservative. The longer term development expenditure forecasts will be refined both in scope and costing as these programmes get closer to implementation. Those programmes that are for growth also form the basis for development contributions assessed over a period of thirty years. Periodic revision and adjustment to the schedule of works in the three year rolling programme counters any negative effect of uncertainty of the financial forecasts.

Overall, the continuation of the stormwater level of service to the community is not overly sensitive to changes in particular programmes.

Should the required level of funding not be available resulting in deferral of maintenance or renewal then will be a noticeable impact on the level of service for the properties served by the affected services. In respect of any deferral of development expenditure the impacts on growth could be significant and result in a delay to the development proceeding. In respect of the investment in network capacity improvements, the effect would be less immediate but would contribute to a gradual increase in the level of property damage loss overtime. Significant development projects that have a


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high level of uncertainty include the timing of urban growth beyond the Whakarongo Growth Area which is currently being developed including:

197-Urban Growth-North East Industrial Park Stormwater in 2019/20 and beyond; as well as 1065-Urban Growth-City West-Installation of Stormwater Systems from 2024/25 onwards.

9.5 Funding Policy

The focus of this AMP plan is on identifying the optimum (lowest lifecycle) cost for maintenance, operation and provision of stormwater assets necessary to produce the desired level of service. Funding of the different types of expenditure is as follows:

9.5.1 Operation & Maintenance

Operation and Maintenance is funded from the general rate with a business differential.

9.5.2 Capital Renewal

Capital renewal is funded from rates revenue to cover programmed renewal costs and if necessary from borrowing

9.5.3 Capital Development

Capital development works that are for an increased level of service are funded from borrowing. Works that are required as a result of growth are funded where possible from user charges such as development contributions.

9.5.4 Development Contributions

Through the application of its Development Contribution policy the Council seeks to obtain contributions to fund the infrastructure that is required due to City growth. Programmes that are attributable to growth are shown in this AMP. Development contributions for stormwater are area specific.

Section 10 – Assumptions Asset Management Plan 2017 – Stormwater

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10 Assumptions This section sets out the key assumptions made in developing the asset lifecycle programmes and financial forecasts and identifies the likelihood and impact of variations from these assumptions.

10.1 Asset Ownership & Provision of Service

Asset ownership and provision of service remains in Council ownership and management.

10.2 Population Growth

The following population projections are assumed:

10-year projection 2018 – 2028, 940 people per annum at 1.0% 20 year projection 2018 – 2038, 710 people per annum at 0.7% 30 year projection 2018 – 2048, 598 people per annum at 0.6%

This is a hybrid growth scenario based on a specific Palmerston North high growth projection for years 1 - 10 and a Statistics New Zealand medium growth projection for years 11 – 30.

The AMP is formally reviewed every 3 years and programmes will be adjusted on an annual basis through the Annual Budget for variances from that assumed. There is a low risk that planning for capital development projects for growth will not match actual needs.

10.3 Residential Growth

The development scenario for residential growth is based on meeting the needs of a growing population and also includes the additional margins required by the National Policy Statement for Urban Development Capacity. An average household size of 2.5 is assumed.

A future housing preference of 50% for greenfield, 38% for infill and 12% for rural / residential is assumed.

The assumed development scenario is based on Greenfield development being centred on Whakarongo, Aokautere, Kelvin Grove with a number of other smaller developments in the short to medium term with City West and further Aoukautere development in the medium to longer term.

Any changes to this scenario will be worked through subsequent AMPs.

10.4 Industrial Growth

It is assumed that the North East Industrial Zone (NEIZ) and the NEIZ Extension Area will be sufficient to meet the growth in large floor plate industrial activity over the next 20 to 30 Years.

Longburn is viewed as a suitable location for wet industry although there are infrastructure constraints at the moment to its development due to its private ownership. It is assumed these will be resolved to fully realise its potential.


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Given that the nature of industrial investment can be lumpy, on-going review of industrial land uptake and needs will be required.

10.5 Retail Growth

A centres based approach is assumed for managing retail and office activity throughout the city. This approach seeks to keep commercial activity centred in the core of the city and to avoid the dispersion of office and retail activity to the periphery of the urban area. This approach is given effect to through the District Plan hierarchy of business zones as follows:

Inner Business Zone (IBZ). Outer Business Zone (OBZ). Fringe Business Zone (FBZ). Local Business Zone (LBZ).

10.6 Rural-Residential Growth

It is assumed that the Council will not provide a stormwater service to rural-residential and rural properties within the City boundaries.

It is assumed rural-residential subdivision will occur in locations which do not require the Council to fund substantial upgrades to the stormwater network in order to facilitate the subdivision.

10.7 Levels of Service

Generally a similar level of service to that currently delivered applies but with minor adjustments as follows.

Target capital improvements to address flood damage risks in catchments where flood free LoS is less than 1 in 20 ARI (with climate change)

Stormwater quality target levels of service to be developed over the next 3 years

10.8 Construction costs

Financial forecasts are based on projected July 2018 construction costs.

It is likely that the price of some components will change relative to others. Budgets are reassessed each year during the Annual Budget process to mitigate this risk. BERL inflation factors applied to the 10 Year Plan also incorporate an element of price changes in different activity sectors.

10.9 Maintenance & operational costs

Maintenance and operational costs are largely based on historical rates and assume similar contract rates throughout the planning period. As outlined enhanced health and safety and traffic management requirements have been factored into the AMP estimates. Inflation factors are applied at the 10 Year Plan level to accommodate a modest level of price inflation over the period of the plan.


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10.10 Inflation

Financial projections are based on July 2018 estimated costs. No inflation factors have been applied.

BERL inflation factors will be applied to the programmes and budgets in the 10 Year Plan. Budgets for successive years of the Annual Budget are based on the corresponding year of the 10 Year Plan.

10.11 Depreciation

Average asset lives at a project level for new works have been used to calculate depreciation.

New works are a small percentage of total depreciation. Differences from actual due to averaging of lives are relatively minor.

10.12 Vested Assets

On average the same level of assets are gifted to the council as a result of subdivision as has occurred over the last 5 years.

Note that the rate of change of development will be taken account of in future revisions of the AMP including subsequent changes to operational impacts or depreciation.

10.13 Service Potential

Service potential of the asset is maintained by the renewal programme.

There is low risk that the service potential of the asset will not be maintained by implementation of the renewal programme since this is based on reliable asset and condition information from the asset management system.

10.14 Asset Lives

Asset lives are accurately stated.

The risk that lives are inaccurate is low. Lives are based on generally accepted industry values modified by local knowledge. The asset database gives a good knowledge of asset condition and an extensive field assessment has recently been undertaken.

10.15 Natural Disasters

That there are no major natural disasters during the planning period requiring additional funds.

There is medium risk of a natural disaster occurring during this period requiring additional funds to repair or reinstate assets. Some further provision for increasing the resilience of the assets has been built into this plan but there is still further work to be undertaken to determine the desired level of resilience and the further asset improvements required to achieve this.


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10.16 Council Policy

No significant change to Council policy that impacts on assets and services has been identified.

Any significant change will require a full review of the AMP and the implications will be identified at the time.

10.17 Interest Rate

An interest rate of 5.7% is used for debt on new capital work.

10.18 Resource Consents

It is assumed that stormwater discharges can continue without consent over the first 3 years of the AMP, however, investment in monitoring and development of a city wide Stormwater Management Plan has been assumed.

Section 11 – Continuous Improvement Asset Management Plan 2017 – Stormwater

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11 Continuous Improvement

11.1 Overview

The quality of Council’s AM practice has been enhanced over the past 20 years in line with the objective to match, but not lead, industry 'best practice' in New Zealand. This version of the AMP incorporates the following key improvements and changes undertaken over the last three years:

11.2 Programme Planning and Implementation

A Programme Planning and Implementation Template was introduced in 2015 by the City Networks Unit as part of an initiative to improve the quality of information associated with Council infrastructural programmes, including the 30 year programmes in the AMPs.

The PPI sheet is completed for every infrastructural programme and includes information about type, timing and scope of programme, options considered, Council decisions, estimated costs, risks, assumptions and constraints and approvals required for the programme to be implemented. These files also contain links to other relevant reports. The information is updated annually. As a result the information behind the programmes in this plan is more robust than previously.

11.3 Project Status

A system for monitoring the progress and expenditure of individual programmes through the financial year has been implemented during the last 3 years to aid better monitoring and management of programmes. This allows projects to be tracked against budget and forecasts and to record the progress being made. An advantage of this is that the information is widely available with a number of different reports available for different audiences.

11.4 Development Works Planning

11.4.1 Residential Growth & Industrial Growth Planning (Refer to Section 5)

Council’s Residential Growth Strategy was adopted on 30 September 2010. In October 2011 Council authorised the preparation of a proposed District Plan change to give effect to the Residential Growth Strategy within the District Plan.

Development works included in the 2014 AMP to meet growth were based on the 2010 Residential Growth Strategy adjusted by a 2012 Addendum that identified the Whakarongo area as preceding City West for residential development.

A further modification of this strategy is now included in this plan to incorporate a higher projected growth forecast and also takes into account the NPS-Urban Development Capacity requirements.


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11.4.2 Demand Projections (refer to AMP Section 5)

As a result of further analysis of migration trends the Council has decided to assume high growth projections for years 1-10 and a medium growth projection for years 11-30. This is greater than was assumed for the 2014 AMP which was based on Statistics New Zealand medium growth projections adjusted for the local Palmerston North situation.

11.4.3 Risk and Resilience (refer to AMP Section 7)

The risk and resilience assessment aligns with the new Local Government Act 2002 Amendment Act 2014 requirement for 30 year infrastructure strategies to identify and manage risks relating to natural hazards and to make appropriate financial provision for those risks. Since the 2014 AMP further work has been undertaken with a review of risks facing the assets, a review of Business Continuity plans and Lifelines interdependencies.

11.4.4 Council Strategies (refer to AMP Section 3)

As part of the Long Term Planning process the Council has reviewed its Vision, Goals and Strategies to ensure it is achieving the outcomes it desires for the community. The infrastructure elements of the Strategy Plans associated with Council’s goals have been incorporated into these AMPs.

11.5 Renewal Works Planning

11.5.1 Condition Data

Asset age, condition, performance and risk are the four main determinants of renewals planning. On-going condition and performance assessment of Council’s assets has taken place during the period including recent CCTV of a cross-section of stormwater pipe assets. The data collected is assisting with developing an improved renewal programme. Further CCTV inspection and condition assessment will be prioritised particularly of the larger diameter assets to confirm they can operate as designed and of older smaller diameter brittle pipes to optimise the immediate renewal priorities over the next 5 years.

Predictive modelling is still in its early stages and provision has been included in this Improvement Plan for development of this aspect of asset management – see Task 2(g).

11.6 Operations & Maintenance

11.6.1 Operations and Maintenance Strategy

The O & M strategy and processes have been reviewed in conjunction with development of this Plan.

11.6.2 Internal Service Level Agreements

Internal service level agreements between the City Networks Unit and the City Enterprises Unit, the in-house service provider, have continued to be developed to improve transparency and accountability between funding and service provision. This has included transitioning from a Lump Sum contract to a measure and value with significantly greater detail around the specific items of work, required quality


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standards and the basis of payment. Further improvement of the definition of each work element is required as well as adoption of the Measure and Value approach across all the SLAs.

The internal contracting arrangements are supported by an SLA system managed by a dedicated officer. There has been some work to upgrade the SLA system including introduction of some standard SLA templates and implementation of an automated manual claims process to speed up the monthly reconciliation process. This has been supported by a Collaborative Working Practices process between the two Units.

11.6.3 Market Comparability Procedure

In conjunction with collaborative working practices, a market comparability procedure is built into the Service Level Agreement process. This is to ensure that the prices being accepted by City Networks reflect the market price. Some improvement has taken place over the past 3 years in this procedure but it still requires further improvement to get the full benefit of this approach. Further work is identified in this Improvement Plan (Task 9(b)).

11.7 Asset Information

11.7.1 Data Quality Processes

All scheduled maintenance tasks are now processed through IPS using the Field Inspector mobile solution which allows real time resolution of the work order created from IPS. Work is on-going to move all reactive maintenance tasks generated in Council’s KBase system to the same mobile solution. This requires a software upgrade and a reliable connection to Council’s GIS database. .

11.7.2 Asset Management Plan Improvement

The AMP Policy and Strategy was reviewed in October 2016 and presented to PNCC Management Team in February 2017. This has been incorporated in the 2017 AMPs. A set of AMP guidelines and programme was prepared at the same time to assist the asset managers in the development of the 2017 AMPs. This identified the context and issues that needed to be addressed to enable the AMPs to be completed and aligned with development of the 2018-2028 10 Year Plan.

The programme included a Level of Service review, incorporation of Council Strategies into the AM planning process, development of capital (new and renewal) and operational programmes and an independent peer review. AMP templates and guidelines were prepared to coordinate the AMP structure and content and to improve consistency between different AMPs.

The AMP financials were constructed within the Council’s corporate 10 Year Planning system to ensure consistency with the 2018-28 10 Year Plan projections.

11.8 Asset Management Resources

11.8.1 Loss of Key AM Knowledge

Key systems to preserve asset management knowledge are the Asset Management Systems and the Programme Planning and Implementation template system that keeps track of information connected with particular programmes. These have both been strengthened during this period.


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11.8.2 Skill Gaps

Skill gaps have been identified through regular performance development interviews asset management officers. AM skills and knowledge development has been largely addressed through attendance of AM staff at NAMS training courses and other on line courses. The risk to Council associated with the impending retirement of the key staff member responsible for maintaining and updating the AMS has been identified and planning is underway to identify a means of increasing resourcing over an interim and handover period of at least 12 months to ensure risk to Council is mitigated. In addition at least two members of the team are being trained in the essentials of the IPS system to enable essential service to be maintained in the event of the incumbent being unavailable for an extended period. Opportunities to develop a shared resource across the three waters, roading and parks and property are being actively discussed.

11.9 Levels of Service Review

A review of current levels of service and performance measures was work-shopped with the Council in March 2017. Feedback from the workshop was assessed by senior managers and has been factored into projects and programmes included in this AMP. Further LOS information came through from Councillors during the LGA s17A process and also during the development of Council’s Strategy Plans.

11.10 AMP Improvement Plan (2017)

The purpose of the Improvement Plan is to:

Identify and develop implementation of AM planning processes. Identify, programme and resource measures required to complete studies or measures to confirm

planning assumptions or to gather information required to improve the reliability / confidence of information used to develop the AMP.

Identify and prioritise ways to cost-effectively improve the quality of the AMP. Identify indicative time-scales, priorities, and human and financial resources required to achieve AM

planning objectives.

The following improvement activities have been identified for action over the next 3 years after consideration of priorities identified by the asset management team. Many of these improvements are generic across all asset activities (i.e. water, property, roading etc.) and will be implemented as coordinated projects across all areas:

Capital renewal and development project planning – further development of processes to take into account a sustainable development approach.

Review demand projections on an on-going basis consistent with Council’s Residential Growth Strategy.

Continue to develop predictive modelling and risk based approaches to help prioritise renewal programmes and better manage risks and costs in achieving the desired outcomes.

Update City-wide asset development plans as growth and actual development necessitates. Periodically review risk assessments. Further develop appropriate mitigation strategies for Council’s critical assets in the event of major

natural hazards and programmes to improve resilience of critical assets from natural hazards. Operations and maintenance – on-going review of contracting and internal service agreement

strategies to achieve the best balance of risk transfer, cost and performance.


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Asset information – on-going development of systems to meet all asset management needs, and the integration of asset information activities within Council.

Internal process improvements for Collaborative Working Practices, Service Procurement processes and Market Comparability assessments.

Level of service – undertake stakeholder consultation on new, major issues to update understanding of community expectations and preferences. Review levels of service with Council every three years.

AM resource planning to ensure the recruitment, retention and development of sufficient and suitably qualified staff.

Review asset management strategy to take account of changes in Council direction and Government policy.

The indicative AM improvement programme is detailed in Table 46.

Asset Management Plan 2017 – Stormwater

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Table 46: Improvement Programme

Who

& T

ime

Est (

$)

2018 2019 2020

Improvement Activities

J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D

1. Development Works Planning (Demand/ LoS)

Complete model development and scenario assessments to determine flood damage risks considering all trends (development extents, impervious area coverage, climate change impacts etc). Map flooding risks.

2 wk CN/CF

8k

Review impact of Council's strategies and policies on demand projections

1 wk AM

4k

Identify and model potential mitigation options to address flooding risks. .

2 wk AM

4k

Review project priorities based on risk/cost/benefit analysis

2 wk AM

8k

Review mitigation strategies for major natural hazard events impacting on stormwater facilities.

3 wk AM

20k


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Who

& T

ime

Est (

$)

2018 2019 2020



Document changes to AMP programmes that arise through 10 Year Plan & AP processes

2 wk AM

10k

2. Asset information

Review AM system data quality processes and improve as required. Develop Data Improvement Plan. Link with Task 3(a)

2 wk AM & AM

Coord. 10k

Review and document condition assessment quality process/ programme (to support risk & predictive modelling)

2 wk AM

10k

Implement mobile data capture solution to enable real time capture of data and improvement of asset data quality by field staff

2 mth AMSO

10k

Review performance data needs (reporting & decision-making) and document data capture quality process.

2 wk AM

8k


129

Who

& T

ime

Est (

$)

2018 2019 2020



Analyse asset lives (using condition/ capacity/ performance data), and review / address data quality issues. Enter into AM system

1 week AM & AMSO

4k

Review/Identify critical assets in the register.

1 week AM

4k

Review financial data needed to support ODM and valuation- implement process

2 wk AM

8k

Assess advanced AM system needs, and implement suitable application for predictive modelling.

2 wk AMSO

20k

Undertake regular drain and watercourse inspections to determine condition and develop renewal priorities. Capture information in IPS.

3 wk CE

10k

Complete 2 yearly condition survey of pump stations.

1 week External

10k


130

Who

& T

ime

Est (

$)

2018 2019 2020



Assess future options for development of AM system

2 wk AMSO

8k

Review and update Programme Planning and Implementation (PPI) information in conjunction with AP & 10 Year Plan process

3 wk AM

20k

Develop user friendly database for the PPI information

3 wk AM

Group / IT

20k

3. Renewal works planning

Undertake annual assessment of asset condition, age and environmental factors to determine residual asset lives (predictive modelling).

Annual AM

15k


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Who

& T

ime

Est (

$)

2018 2019 2020



Compile a renewal programme for pipes, bores facilities, treatment plant, reservoirs and minor water facilities (accounting for condition & renewal profile depreciation) including consequences/risks of budget constraints

4 wk AM

20k

Develop and action processes to identify and prioritise risk mitigation options (ODM). Prepare renewal programme.

3 wk AM

10k

4. Operations and maintenance

Document O&M strategy and O&M processes for optimising programmes (benefit/ cost approach)

1 week AM

4k


132

Who

& T

ime

Est (

$)

2018 2019 2020



Review processes to ensure that competitive prices are obtained for services delivered, and that there is the correct balance between risk transfer, performance orientation and costs. (SLA comparability, core market data, schedules of prices)

2 wk AM

8k

Continue development of measure and value SLAs with further development of KPIs and deliverables. Detailed review of resource inputs to operation and maintenance activities to identify opportunities to do more for less.

2 wk AM

5k


133

Who

& T

ime

Est (

$)

2018 2019 2020



Scope up external contract for specialist mechanical and electrical maintenance services to achieve improved service, transparency and value

2 wk CE / AM

5k

5. Asset management improvement

Establish annual management review meetings to consider AM performance

AMP Coord/ Activity

Manager

1K

Establish an Asset Management Coordinating Group to drive improvement plan & next ‘AMP over the next 3yrs

AMP Coord. 3k

Develop overall AM strategy leading up to next AM review and get adopted by MT

2 wk AMP

Coord. 8k

Develop a process for regular review of risk.

1 wk AMP

Coord. 5k


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Who

& T

ime

Est (

$)

2018 2019 2020



Develop and enhance measures for resilience of critical assets to natural hazards.

3 wk AMP

Coord. 5k

Develop & implement process to ensure that there is better integration between all AMPs

1 wk AMP

Coord. 4k

Develop KPIs to monitor progress with the Improvement Plan

2 d AMP

Coord. 1k

6. Asset management staff resources

Adopt succession planning process to minimise risks relating to loss of key staff knowledge

1 wk CNMT

4k

Skill gaps in AM are assessed and training programmes implemented to close any identified gaps

1 wk SW AM

2k

Promote organisational understanding of AM practices and outcomes

2 wk AMP

Coord. 10k


135

Who

& T

ime

Est (

$)

2018 2019 2020



7. Level of service review

Review LOS strategy & programme

2 wk AMP

Coord. 10k

Undertake consultation on major issues, case by case.

10 wk 50k

Undertake LOS Review with Council

AMP Coord. /

AM 30k

8. Update AMP

AMP Maturity Assessment & identification of key focus areas for 2021 Plans

AMP Coord. /

AM 12k

Prepare AMP using outputs of this improvement programme and incorporate further recommendations from the 2017 Peer Review & Audit NZ into the Plan

16 wk AM

30k

Update AMP programme & financials

4 wk AM

16k


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Who

& T

ime

Est (

$)

2018 2019 2020



9. Delivery of services

Review collaboration and procurement of services for managing and delivery of water services as part of Section 17A review

Scope & timing to

be decided

by Council

Improve internal processes of CWP. SLA system and Market Comparability as required

Special Projects Manager

15k


137

Appendix A – Glossary Asset Management Plan 2017 – Stormwater

139

Glossary Appendix A.


141

The following terms and acronyms (in brackets) are used in this AMP.

Term or Acronym Description

Activity An activity is the work undertaken on an asset or group of assets to achieve a desired outcome.

Advanced Asset Management (AAM)

Asset management practice that has evolved to a state that matches business needs. AAM employs predictive modelling, risk management and optimised renewal decision making techniques to establish asset lifecycle treatment options and related long term cashflow predictions. (See Core asset management).

Annual Budget The Annual Budget provides a statement of the direction of Council and ensures consistency and co-ordination in both making policies and decisions concerning the use of Council resources. It is a reference document for monitoring and measuring performance for the community as well as the Council itself.

Asset A physical component of a facility which has value, enables services to be provided and has an economic life of greater than 12 months.

Asset Management (AM)

The combination of management, financial, economic, engineering and other practices applied to physical assets with the objective of providing the required level of service in the most cost effective manner.

Asset Management System (AMS)

A system (usually computerised) for collecting analysing and reporting data on the utilisation, performance, lifecycle management and funding of existing assets.

Asset Management Plan

A plan developed for the management of one or more infrastructure assets that combines multi-disciplinary management techniques (including technical and financial) over the lifecycle of the asset in the most cost effective manner to provide a specified level of service. A significant component of the plan is a long term cashflow projection for the activities.

Asset Management Strategy

A strategy for asset management covering, the development and implementation of plans and programmes for asset creation, operation, maintenance, renewal, disposal and performance monitoring to ensure that the desired levels of service and other operational objectives are achieved at optimum cost.

Asset Management Team

The team appointed by an organisation to review and monitor the corporate asset management improvement programme and ensure the development of integrated asset management systems and plans consistent with organisational goals and objectives.

Asset Register A record of asset information considered worthy of separate identification including inventory, historical, financial, condition, construction, technical and financial information about each.

Benefit Cost Ratio (B/C)

The sum of the present values of all benefits (including residual value, if any) over a specified period, or the life cycle of the asset or facility, divided by the sum of the present value of all costs.

Business Plan A plan produced by an organisation (or business units within it) which translate the objectives contained in an Annual Budget into detailed work plans for a particular, or range of, business activities. Activities may include marketing, development, operations, management, personnel, technology and financial planning

Capital Expenditure (CAPEX)

Expenditure used to create new assets or to increase the capacity of existing assets beyond their original design capacity or service potential. CAPEX increases the value of an asset.

Cash Flow The stream of costs and/or benefits over time resulting from a project investment or ownership of an asset.

Components Specific parts of an asset having independent physical or functional identity and having specific attributes such as different life expectancy, maintenance regimes, risk or criticality.

Condition Monitoring

Continuous or periodic inspection, assessment, measurement and interpretation of resulting data, to indicate the condition of a specific component so as to determine the need for some preventive or remedial action


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Core Asset Management

Asset management which relies primarily on the use of an asset register, maintenance history, condition assessment, defined levels of service, and simple risk and benefit/ cost assessments in order to establish work priorities and long term cashflow predictions.

Critical Assets Assets for which the financial, business or service level consequences of failure are highest. Critical assets have a lower threshold for action than non-critical assets.

Current Replacement Cost

The cost of replacing the service potential of an existing asset, by reference to some measure of capacity, with an appropriate modern equivalent asset.

Deferred Maintenance

The shortfall in rehabilitation work required to maintain the service potential of an asset.

Demand Management

The active intervention in the market to influence demand for services and assets with forecast consequences, usually to avoid or defer CAPEX expenditure. Demand management is based on the notion that as needs are satisfied expectations rise automatically and almost every action taken to satisfy demand will stimulate further demand.

Depreciated Replacement Cost (DRC)

The replacement cost of an existing asset after deducting an allowance for wear or consumption to reflect the remaining economic life of the existing asset.

Depreciation The wearing out, consumption or other loss of value of an asset whether arising from use, passing of time or obsolescence through technological and market changes. It is accounted for by the allocation of the historical cost (or revalued amount) of the asset less its residual value over its useful life.

Disposal Activities necessary to dispose of decommissioned assets.

Economic Life The period from the acquisition of the asset to the time when the asset, while physically able to provide a service, ceases to be the lowest cost alternative to satisfy a particular level of service. The economic life is at the maximum when equal to the physical life however obsolescence will often ensure that the economic life is less than the physical life.

Facility A complex comprising many assets (e.g. a hospital, water treatment plant, recreation complex, etc.) which represents a single management unit for financial, operational, maintenance or other purposes.

Geographic Information System (GIS)

Software which provides a means of spatially viewing, searching, manipulating, and analysing an electronic data-base.

Infrastructure Assets

Stationary systems forming a network and serving whole communities, where the system as a whole is intended to be maintained indefinitely at a particular level of service potential by the continuing replacement and refurbishment of its components. The network may include normally recognised ‘ordinary’ assets as components.

Infrastructure Strategy

A strategy for identifying the principal options for managing significant infrastructure issues expected to occur over a 30-year period

Level Of Service The defined service quality for the stormwater activity or service area against which service performance may be measured. Service levels usually relate to quality, quantity, reliability, responsiveness, environmental acceptability and cost.

Life A measure of the anticipated life of an asset or component; such as time, number of cycles, distance intervals etc.

Life Cycle Life cycle has two meanings:

The cycle of activities that an asset (or facility) goes through while it retains an identity as a particular asset i.e. from planning and design to decommissioning or disposal.

The period of time between a selected date and the last year over which the criteria (e.g. costs) relating to a decision or alternative under study will be assessed.

Life Cycle Cost The total cost of an asset throughout its life including planning, design, construction, acquisition, operation, maintenance, rehabilitation and disposal costs.


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Maintenance All actions necessary for retaining an asset as near as practicable to its original condition, but excluding rehabilitation or renewal.

Maintenance Plan Collated information, policies and procedures for the optimum maintenance of an asset, or group of assets.

Maintenance Standards

The standards set for the maintenance service, usually contained in preventive maintenance schedules, operation and maintenance manuals, codes of practice, estimating criteria, statutory regulations and mandatory requirements, in accordance with maintenance quality objectives.

Net Present Value (NPV)

The value of an asset to the organisation, derived from the continued use and subsequent disposal in present monetary values. It is the net amount of discounted total cash inflows arising from the continued use and subsequent disposal of the asset after deducting the value of the discounted total cash outflows.

Objective An objective is a general statement of intention relating to a specific output or activity. They are longer term aims and are not necessarily outcomes that managers can control.

Operation The active process of utilising an asset which will consume resources such as manpower, energy, chemicals and materials. Operation costs are part of an assets life cycle costs.

Optimised Renewal Decision Making (ORDM)

An optimisation process for considering and prioritising all options to rectify performance failures of assets. The process encompasses NPV analysis and risk assessment.

Performance Indicator (PI)

A qualitative or quantitative measure of a service or activity used to compare actual performance against a standard or other target. Performance indicators commonly relate to statutory limits, safety, responsiveness, cost, comfort, asset performance, reliability, efficiency, environmental protection and customer satisfaction.

Performance Monitoring

Continuous or periodic quantitative and qualitative assessments of the actual performance compared with specific objectives, targets or standards.

Pipeline Asset Management System

Council uses an asset management system to store, collate and analyse asset data. The current Council system is IPS, a product which is supplied by Infor Global Solutions. The Council has used IPS (previously Hansen) since 1995. The current version deployed is IPS 8.3.0.

Planned Maintenance

Planned maintenance activities fall into 3 categories :

Periodic - necessary to ensure the reliability or sustain the design life of an asset.

Predictive - condition monitoring activities used to predict failure.

Preventive - maintenance that can be initiated without routine or continuous checking (e.g. using information contained in maintenance manuals or manufacturers’ recommendations) and is not condition-based.

Rehabilitation Works to rebuild or replace parts or components of an asset, to restore it to a required functional condition and extend its life, which may incorporate some modification. Generally involves repairing the asset using available techniques and standards to deliver its original level of service (i.e. heavy patching of roads, slip-lining of sewer mains, etc.) without resorting to significant upgrading or replacement.

Renewal Works to upgrade, refurbish, rehabilitate or replace existing facilities with facilities of equivalent capacity or performance capability.

Renewal Accounting

A method of infrastructure asset accounting which recognises that infrastructure assets are maintained at an agreed service level through regular planned maintenance, rehabilitation and renewal programmes contained in an asset management plan. The system as a whole is maintained in perpetuity and therefore does not need to be depreciated. The relevant rehabilitation and renewal costs are treated as operational rather than capital expenditure and any loss in service potential is recognised as deferred maintenance.

Repair Action to restore an item to its previous condition after failure or damage.

Replacement The complete replacement of an asset that has reached the end of its life, so as to provide a similar, or agreed alternative, level of service.


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Remaining Economic Life

The time remaining until an asset ceases to provide service level or economic usefulness.

Resilient Infrastructure

Infrastructure that is able to deal with significant disruption and changing circumstances.

Risk The product of the likelihood of an event occurring and the estimated impact (consequence) of the event.

Risk Cost The assessed annual cost or benefit relating to the consequence of an event. Risk cost equals the costs relating to the event multiplied by the probability of the event occurring.

Risk Management The application of a formal process to the range of possible values relating to key factors associated with a risk in order to determine the resultant ranges of outcomes and their probability of occurrence.

Routine Maintenance

Day to day operational activities to keep the asset operating (replacement of light bulbs, cleaning of drains, repairing leaks, etc.) and which form part of the annual operating budget, including preventative maintenance.

Service Potential The total future service capacity of an asset. It is normally determined by reference to the operating capacity and economic life of an asset.

Strategic Plan Strategic planning involves making decisions about the long term goals and strategies of an organisation. Strategic plans have a strong external focus, cover major portions of the organisation and identify major targets, actions and resource allocations relating to the long term survival, value and growth of the organisation.

Unplanned Maintenance

Corrective work required in the short term to restore an asset to working condition so it can continue to deliver the required service or to maintain its level of security and integrity.

Upgrading The replacement of an asset or addition/ replacement of an asset component which materially improves the original service potential of the asset.

Valuation Estimated asset value which may depend on the purpose for which the valuation is required, i.e. replacement value for determining maintenance levels or market value for life cycle costing.

Appendix B – Requirements of the LGA 2002 Asset Management Plan 2017 – Stormwater

145

Requirements of the LGA 2002 Appendix B.


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Section 101B from the LGA 2002 Amendment Act 2014 and LGA Schedule 10 outline the information to be included in Long Term Plans. Much of this information is provided through asset management plans.

LGA Section 101B Infrastructure Strategy

“101B Infrastructure strategy

(1) A local authority must, as part of its long-term plan, prepare and adopt an infrastructure strategy for a period of at least 30consecutive financial years.

(2) The purpose of the infrastructure strategy is to—

(a) identify significant infrastructure issues for the local authority over the period covered by the strategy; and

(b) identify the principal options for managing those issues and the implications of those options.

(3) The infrastructure strategy must outline how the local authority intends to manage its infrastructure assets, taking into account the need to—

(a) renew or replace existing assets; and

(b) respond to growth or decline in the demand for services reliant on those assets; and

(c) allow for planned increases or decreases in levels of service provided through those assets; and

(d) maintain or improve public health and environmental outcomes or mitigate adverse effects on them; and

(e) provide for the resilience of infrastructure assets by identifying and managing risks relating to natural hazards and by making appropriate financial provision for those risks.

(4) The infrastructure strategy must outline the most likely scenario for the management of the local authority’s infrastructure assets over the period of the strategy and, in that context, must—

(a) show indicative estimates of the projected capital and operating expenditure associated with the management of those assets—

(i) in each of the first 10 years covered by the strategy; and

(ii) in each subsequent period of 5 years covered by the strategy; and

(b) identify—

(i) the significant decisions about capital expenditure the local authority expects it will be required to make; and

(ii) when the local authority expects those decisions will be required; and

(iii) for each decision, the principal options the local authority expects to have to consider; and

(iv) the approximate scale or extent of the costs associated with each decision; and

(c) include the following assumptions on which the scenario is based:

(i) the assumptions of the local authority about the life cycle of significant infrastructure assets:


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(ii) the assumptions of the local authority about growth or decline in the demand for relevant services:

(iii) the assumptions of the local authority about increases or decreases in relevant levels of service; and

(d) if assumptions referred to in paragraph (c) involve a high level of uncertainty,—

(i) identify the nature of that uncertainty; and

(ii) include an outline of the potential effects of that uncertainty.

(5) A local authority may meet the requirements of section 101A and this section by adopting a single financial and infrastructure strategy document as part of its long-term plan.

(6) In this section, infrastructure assets includes—

(a) existing or proposed assets to be used to provide services by or on behalf of the local authority in relation to the following groups of activities:

(i) water supply:

(ii) sewerage and the treatment and disposal of sewage:

(iii) stormwater drainage:

(iv) flood protection and control works:

(v) the provision of roads and footpaths; and

(b) any other assets that the local authority, in its discretion, wishes to include in the strategy.”

Extract from LGA Schedule 10

“Part 1

Information to be included in long-term plans

1 Community outcomes

A long-term plan must, to the extent determined appropriate by the local authority, describe the community outcomes for the local authority’s district or region.

2 Groups of activities

(1) A long-term plan must, in relation to each group of activities of the local authority,—

(a) identify the activities within the group of activities:

(b) identify the rationale for delivery of the group of activities (including the community outcomes to which the group of activities primarily contributes):

(c) outline any significant negative effects that any activity within the group of activities may have on the local community:

(d) include the information specified in clauses 4 and 5—

(i) in detail in relation to each of the first 3 financial years covered by the plan; and

(ii) in outline in relation to each of the subsequent financial years covered by the plan.

(2) In this schedule, each of the following activities is a group of activities:


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(a) water supply:

(b) sewerage and the treatment and disposal of sewage:

(c) stormwater drainage:

(d) flood protection and control works:

(e) the provision of roads and footpaths.

(3) Despite subclause (2), a local authority may treat any other activities as a group of activities.

3 Capital expenditure for groups of activities

(1) A long-term plan must, in relation to each group of activities of the local authority and for each financial year covered by the plan, include a statement of the amount of capital expenditure that the authority has budgeted to—

(a) meet additional demand for an activity; and

(b) improve the level of service; and

(c) replace existing assets.

(2) For the purpose of this clause, capital expenditure budgeted for 2 or all of the purposes in subclause (1) may be treated as if it were made solely in relation to the primary purpose of the expenditure.

4 Statement of service provision

A long-term plan must, in relation to each group of activities of the local authority, include a statement of the intended levels of service provision that specifies—

(a) any performance measures specified in a rule made under section 261B for a group of activities described in clause 2(2); and

(b) the performance measures that the local authority considers will enable the public to assess the level of service for major aspects of groups of activities for which performance measures have not been specified under paragraph (a); and

(c) the performance target or targets set by the local authority for each performance measure; and

(d) any intended changes to the level of service that was provided in the year before the first year covered by the plan and the reasons for the changes; and

(e) the reason for any material change to the cost of a service.

5 Funding impact statement for groups of activities

(1) A long-term plan must, in relation to each year covered by the plan, include a funding impact statement in relation to each group of activities of the local authority.

(2) The funding impact statement must be in the prescribed form and must identify—

(a) the sources of funding to be used by the local authority; and

(b) the amount of funds expected to be produced from each source; and

(c) how the funds are to be applied.”

Appendix C – Activity Performance Measures Asset Management Plan 2017 – Stormwater

151

Activity Performance Measures Appendix C.


153

Table C1: Customer Level of Service, Performance Measures & Targets, & Performance Targets


User Group Customer Level of Service


Current Performance

Performance Targets Technical Performance Measures

How Measured 2018/19 2019/20 2020/21 2021

Onwards

Quality and Health

Residential and commercial property owners and occupiers in urban areas connected to the Council’s stormwater system

The Council provides protection of habitable buildings in urban areas from flooding in major flood events.

The number of flood events per year resulting in stormwater overflow entering a habitable floor in an urban area. 5

No events No more than 5

No more than 5

No more than 5

No more than 5

Record actual number & assess severity of event i.e. AEP for the relevant Tc.

Emergency Management Office records.

The number of habitable floors per 1,000 properties within urban stormwater service areas affected by a flood event per annum. 5

No events No more than 2

(60 properties

in total)

No more than 2

No more than 2

No more than 2

Record actual number & assess severity of event i.e. AEP for the relevant Tc.

Emergency Management Office records.

Reliability, Serviceability or Performance

All residents in urban areas connected to the Council’s stormwater system.

The Council provides a reliable stormwater collection service.

The number of complaints received about the performance of the Council’s urban stormwater system per 1,000 properties connected per annum calculated as a 12 month rolling average. 5

17 No more than 15 (420 per annum total)

No more than 15

No more than 15

No more than 15

Provision of 24/7 emergency response

K-base records

No more than 48 hours to restore service interruptions

K-base records

Flooding incidents caused by blockage < 10 per year

K-base records

No property affected more than twice in 5 year period

K-base records

5 Mandatory measure from the Department of Internal Affairs


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Current Performance


How Measured 2018/19 2019/20 2020/21 2021

Onwards

The Council responds to failures and request for service in a prompt and efficient way.

Median response time to attend to a flooding event (flood event is one where stormwater enters a habitable floor level) 5

No events < 2 hours < 2 hours < 2 hours < 2 hours RFS responded to in 2 hours (initial response only not resolution)

K-base records, measured from time of receipt of notification to the time that personnel reach the site measure.

Accessibility Residential and commercial property owners and occupiers in urban areas connected to the Council’s stormwater system

The Council provides stormwater collection service to residential and commercial areas of the City

Percentage of time properties within the designated stormwater service area are able to connect to the stormwater network

100% At least 95%

At least 95%

At least 95%

At least 95%

Requests for new connections within the designated stormwater service area can be achieved

Building control office records

Sustainability All ratepayers Compliance with resource consent conditions for discharge from the Councils urban stormwater system that relate to environmental effects

Number of abatement notices. 6

Target Met 0 0 0 0 No degradation of the quality of the receiving water

Horizons Regional Council – Annual Compliance Monitoring Report

Number of infringement notices. 6



Number of enforcement orders.

Target Met 0 0 0 0 No degradation of the quality of the

Horizons Regional

6 Mandatory measure from the Department of Internal Affairs .


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Current Performance


How Measured 2018/19 2019/20 2020/21 2021

Onwards 6 receiving water Council –

Annual Compliance Monitoring Report

Compliance with resource consent conditions for discharge from the Councils urban stormwater system that relate to environmental effects

Number of successful prosecutions against the Council in relation to stormwater resource consents. 6



The Council maintains and develops stormwater services to meet current and future agreed levels of service.

A 30-year asset management plan is in place for the stormwater activity

30 Year asset management

plan adopted by the Council in

September 2013

AMP in place (key

projects will be

identified by

modelling study)

AMP in place (key projects will be

identified from

modelling study)

AMP in place (key projects will be

identified from

modelling study)

AMP in place and reviewed 3-yearly.

Council’s Annual Report

Financial Management

The Council manages its stormwater activity in a financially sustainable way

Work programme is achieved within budget

Target met 100% 100% 100% 100% Average household stormwater charges increase no more than 8% per year


Describe work done and % budget spent for operations


Describe work done and % budget spent for Capital works.



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Appendix D – Risk Analysis/Framework & Register Asset Management Plan 2017 – Stormwater

157

Risk Analysis/Framework & Register Appendix D.


159

Overview

This Stormwater activity specific risk management planning for Palmerston North City Council (PNCC) will provide the basis for future risk analysis and improvement planning.

This section covers the risk management implemented by PNCC and how it applies to current and future stormwater activities. In addition, an overview of risk management theory and practice is provided along with suggested improvements to current practices at the PNCC.

Risk management is a process used to identify the specific business risks, together with any possible risks associated with the provision and management of council’s stormwater services. This can be used to determine the direct and indirect costs associated with these risks, and form a priority-based action plan to address them.

The outcome of this evaluation is to be used to:

Emphasize the importance of continuing to provide Council’s stormwater services and manage inherent risks

Continually identify improvements required to Council stormwater services to avoid risk events, or minimise their impact or to realise identified opportunities

A Risk is defined in AS/NZS ISO 31000:2009 – Risk management – Principles and guidelines, as:

“Effect of Uncertainty on Objectives”

Effect: Deviation from the expected – positive or negative.

Objectives: Can have different aspects (see Risk Types) and can apply at different levels (see Risk Hierarchy Levels).

Risks: Often characterized by reference to potential events and consequences, and is often expressed in terms of a combination of the consequences of an event and the associated likelihood.

Uncertainty: The state, even partial, of deficiency of information related to, understanding or knowledge of an event, its consequence, or likelihood.

Putting the Risks into Perspective

Council policy and operation cannot influence all the factors contributing to these risk events. However, PNCC has a responsibility to assess the risks faced by the stormwater activity in order to best manage the services with the resources available to avoid and mitigate the effects of any event.

In the following risk analysis, PNCC has highlighted a number of key risk areas across the activity including:

Moderate hatural hazards Contract / SLA management Legislative noncompliance

These are discussed in further detail in the Risk Registers and the overall Action Plan contained in this risk section


160

Levels of Risk

The purpose of this risk plan is to identify the risks associated with the provision of stormwater services. This requires approaching the risks from many perspectives including financial, operational, reputational and public health and safety.

These risks are pertinent to both a higher, corporate level, and to a more detailed asset –specific level, but do not substitute for more specific risk analysis at those levels

The next step beyond this risk analysis is to develop more detailed risk plans where the criticality of specific assets is assessed and an action plan developed as appropriate.

Figure 1: Risk Hierarchy Levels

Risk Types

Risks events derive from, or impact in one or more of the following ways. These are identified against each risk in the risk register as risk types.

Operational

Risks affecting the efficient operation of stormwater system and its’ ability to function effectively.

Financial / Economic

Risks related to the financial management of PNCC and its’ ability to fund Council services now, and into the future

Risks resulting from an externally imposed economic environment.

Health and Safety

A risk event that adversely impacts on the health and safety of the community or Council staff.

Reputation / Image

Risks that affect the way Council and staff are perceived:

By the community By staff

Corporate Risk

Activity Risk

Asset Specific Risks

Highest level covering risks for the entire organisation

Considers risks from all perspectives affecting the management of the activity and its assets

Specific critical asset/service risks, project risks


161

Nationwide and internationally By stakeholders By the media

Legislative

A risk event that results in PNCC either unknowingly or knowingly breaching statutes and regulations, or being exposed to liability

Environmental

Potential or actual negative environmental or ecological impacts, regardless of whether these are reversible or irreversible in nature.

Current Situation

PNCC’s stormwater activity has not undertaken previous risk assessments on the service, but has carried out an asset level risk exercise for inclusion in the asset management plan.

Corporate Policy

PNCC has an existing corporate risk policy in place and a Risk and Audit Committee, which will have an overview of all risk exposures within the organisation, including corporate, financial, customer, assets. Infrastructure Services staff will contribute regularly to the work of this group.

Significant risks identified in this plan will be entered into the corporate risk register.

Risk Management Process

The following sections expand upon the risk management process as identified in the flowchart (Figure 2 overleaf) and detail the key elements of the risk management process. The risk criteria and matrices have been established as the basis for risk evaluation developed in accordance with the AS/NZS ISO 31000:2009 international risk standard.

Identify Risks

All practically possible risks affecting the Council should be identified, entered into the risk register and risk types assigned. The register is used to record and summarise each risk and to outline current mitigation measures and potential future options for management of the risk.

Determine Likelihood and Consequence for Gross Risk Factor

Table 3 and Table 4 demonstrate the scales used to determine the likelihood and consequence levels, which are then input into the risk matrix to determine the effect of a risk event.

Assessment of the likelihood of occurrence and severity of consequences should be based on as much real data as possible, for example local knowledge or recorded events such as maintenance records, weather events etc. Some analysis may be required to verify the data.

The likelihood scales identify how likely, or often, a particular event is expected to occur and these are shown in Table 1. The descriptors are not mandatory, but are presented as a guide to assist ranking the probability of occurrence in line with the nature of each risk. For example, a risk such as a sewer


162

overflow is considered to be ‘rare’ if it occurs once every ten years, whereas a tsunami occurring every ten years would be considered ‘frequent’

Table 1: Likelihood of Occurrence

Risk - Likelihood of Occurrence

Likelihood Rating Descriptor

Almost Certain A The event could occur in most circumstances, e.g. 90% + chance of occurring in the next 12 months (or in 9 out of every 10 years).

Likely B The event will probably occur in most circumstances, e.g. 70% chance of occurring in the next 12 months (or in 7 out of every 10 years).

Moderate C The event should occur at some time, e.g. 50% chance of occurring in the next 12 months (or in 5 out of every 10 years).

Unlikely D The event could occur at some time, e.g. 20-30% chance of occurring in the next 12 months (or in 2-3 out of every 10 years).

Rare E The event may occur only in exceptional circumstances, e.g. up to 10% chance of occurring in the next 12 months (or once in 10 years).

Extremely Rare F The event may occur only in extremely exceptional circumstances, e.g. up to 2% chance of occurring in the next 12 months (or once or less in 50 years).


163

Figure 2: Risk Management Process

Identify Possible Risks

Determine likelihood and severity of consequence

Determine Gross Risk factor using a risk register/matrix

(likelihood x consequence)

Identify current processes & systems in place that effectively help to avoid or

minimise the chances & severity of each risk

Determine Net Risk factor using the risk register/matrix

(likelihood x consequence)

Brainstorm possible risk management options to further reduce risk level for

each risk

Prioritise risks based on size of Net Risk and criticality of service, process or asset

Form a practical and achievable Action Plan with priorities aligned with size of

each risk. Set Future Risk

Ensure mechanisms are in place to monitor, measure, report on and review

the Action Plan

New or Varied Risks

Review existing risks only

?

Obtain input from the best available information & perform

analysis as required

Approach from all possible applicable perspectives eg: Operational Financial/Economic Health & Safety

Gross Risk is based on “no measures in place” to prevent or minimise the likelihood or consequence i.e:“How bad would it be if we did nothing?”

Audits /investigations may be required to measure “effectiveness”

Net Risk = Gross Risk minus ‘measures in place’ to avoid or mitigate. This can also be called “Current Actual Risk”.

Use of available techniques to determine various options for risk treatment and cost benefit approach eg: Optimised decision making

Progress action, monitor and report, and repeat the cycle at regular intervals

Future Risk is the risk level expected once management actions are effectively implemented.

Reputation/Image Legislative Environmental


164

Table Consequence Rating

Area of Impact Factor Extreme Major Moderate Minor Insignificant

Legal Legal Council sued or fined or otherwise liable for more than $20M

Council sued or fined or otherwise liable for $5M - $20M

Council sued or fined or otherwise liable for $250k-$5M

Council sued or fined or otherwise liable for up to $250k

Council prosecuted for minor offence

Catastrophic environmental damage of national importance. Prosecution. Long term study. Impact permanent.

Serious environmental damage of national importance. Prosecution. Long term study. Impact not full reversible.

Serious environmental damage of national importance. Prosecution expected. Impact reversible within 10 years.

Serious environmental damage of local importance. Prosecution probable. Impact fully reversible within 1 year

Minor localised environmental damage. Prosecution possible. Impact fully reversible within 3 months.

Political Appointment of a commissioner.

Decision making process breaks down

Council delays decisions.

Breakdown in the relationship between council and the CEO

Corporate image

Image National adverse political comment for 1 month plus.

Regional adverse political comment for several days.

Local adverse political comment for one week.

Local adverse political comment.

Negative international multi media coverage for 1 month plus

Negative international multi media coverage.

Councillor/Management Time

Unplanned collective 30 days of Councillor’s or management’s time

10-15 days of Managers time

Up to 2 days of Managers Time

Service Delivery

Service Delivery Water supply and sewage out for city for several days +

Water supply and sewage out for two suburbs for one week.

Water supply and/or sewage out for city for one day

Water supply and/or sewage out for 2 suburbs for one day

Water supply contaminated

Permanent loss of solid waste facility

Public amenity closed for one month or more

Public amenity closed for 2 weeks or more

Public amenity closed for 1 week or more

Public amenity closed for less than 1 week.

Systematic customer complaints or complaints relating to more than one business area

Isolated customer complaints


165

Area of Impact Factor Extreme Major Moderate Minor Insignificant

Repeated service standard failure or one that affects multiple people

Isolated service standard failure

Financial PNCC

Financial Unplanned loss or cost to reinstate of $3.5M or greater

Unplanned loss or cost to reinstate between $1.75M-$3.5M

Unplanned loss or cost to reinstate between $1.0M-$1.75M

Unplanned loss or cost to reinstate between $500k-$1.0M

Unplanned loss or cost to reinstate less than $500k

Ongoing loss of $400k pa

Ongoing loss $200k-$400k pa

Ongoing loss $100k-$200k pa

Financial Community

Financial Catastrophic consequential loss in the community (>$20M)

Major consequential loss in the community ($5M-$20M)

Significant consequential loss in the community ($1M-$5M)

Some consequential loss in the community ($250k-$1M)

Minimal consequential loss in the community (<$250k)

Community Health and Safety

Community People in several suburbs ill through contaminated water or similar

People in 2-3 suburbs ill through contaminated water or similar

People in one suburb ill through contaminated water or similar

Several people ill through contaminated water or similar

Multiple loss of life or city wide epidemic

Loss of life or widespread long term hospitalisation required

Hospitalisation required

Medical treatment required

Dissatisfaction of community measure needs to be included?


166

After the likelihood and consequence factors have been determined, the level of risk is calculated by multiplying the Likelihood of Occurrence (Table) and Consequence Rating (Table) together.

Risk = the likelihood of an event occurring X the consequence of such an event.

The final outcome is a risk rating. The risk rating enables definition between those risks that are significant and those that are of a lesser nature. Having established the comparative risk level applicable to individual risks, it is possible to rank those risks. Five risk categories have been used: Critical, High, Moderate, Low and Insignificant (see Tables 3 & 4).

Once the impact has been ranked according to the relative risk level it poses, it is then possible to target the treatment of the risk exposure, by beginning with the highest risks and identifying the potential mitigation measures.

Table 3: Risk Assessment Matrix

Risk Matrix

Likelihood

Consequences

Insignificant Minor Moderate Major Extreme

A M M H C C

B L M H H C

C L M M H C

D I L M M H

E I L L M M

F I I L L M

Table 4: Comparative Levels of Risk

Comparative Levels of Risk

Risk Level Definition Action

I Insignificant Risk Examine where un-needed action can be reduced.

L Low Risk Managed by routine procedures.

M Medium Risk Management responsibility must be specified and risk controls reviewed.

H High Risk Risk and management strategy identified in AMP – Failure management plans available.

C Critical Risk Risk and management strategy identified in AMP – Failure management plan specifically addressing event in place.

Initially, the gross risk needs to be calculated, so likelihood and consequences need to be considered as if there were no measures in place to prevent or mitigate the risk occurrence. Essentially gross risk is an exercise to determine “What is the worst that could happen?” Once the gross risk is determined it is possible to investigate the current systems and processes to identify the net risk and then formulate an action plan to further reduce the likelihood or consequences of identified risks occurring.


167

Identify Current Systems & Processes, and their Effectiveness

Identifying current systems and processes are identified, and as far as resources allow, their effectiveness measured. It is often practical to identify these processes and systems initially, and rank the effectiveness conservatively until the audits and actual practice prove otherwise. Audits can be identified as part of the improvement process.

Effectiveness of existing systems and processes is expressed in the following categories:

Excellent Fulfils requirements thoroughly, very robust and positive measurable effects

Good Fulfils requirements, robust and measurable, room for improvement

Fair Barely fulfils requirements, effects hard to measure (or haven’t been audited or measured), improvement required

Poor Not fulfilling requirements, little measurement or effect on overall risk

Very Poor Totally ineffective in avoiding or mitigating associated risk events

Determine Net Risk

The net risk is the actual risk that exists considering the effective measures implemented. The measures in place reduce either, or both, the consequence and the likelihood of a risk occurrence. The revised factors are input into the same risk matrix to obtain the Net Risk Factor.

Risk Action Plan

The Risk Action Plan is compiled from the Risk Register and highlights the most significant risks faced as determined in the risk register. The main risks are listed in order of severity (primarily gross risk, and secondarily net risk) as assigned in consultation with key Council officers.

Actions that are required to achieve the desired improvements are indicated along with how progress on these actions will be monitored and reported. Where applicable, action tasks will detail timeframes for achievement, and responsibility for these actions.

A priority order of issues to be addressed is obtained by sorting first the gross risk levels and then the net risk levels, and identification of the biggest gaps and opportunities for improvement.

Gaps between gross and net risk indicate the importance of effective current practices to prevent gross risk events. Accordingly, improvement actions should focus on the things that will further assure Council that current practices remain effective.

Gaps between net risk and an acceptable future risk require improvement actions that will reduce current risk levels.

Higher

Risk

Gross Risk Future RiskNet Risk

Lower

RiskActions required to provide assurance

that current practices remain effective

Actions required to reach acceptable risk

levels in future

Current practices and strategies Risk treatments to be applied


168

The most suitable risk reduction actions must be determined by considering options and resources available to the Council. Costs and benefits of these actions should be analysed to determine those actions yielding the greatest benefit (risk reduction) for the least cost. The best available techniques should be utilised to analyse the options e.g. optimised decision-making (ODM).

Application of ODM applies a ‘value chain’ to the proposed actions rather than just working from the highest risk down regardless of cost. For example:

A high risk may have to remain due to the prohibitive costs associated with avoidance or mitigation A medium risk event could be easily and cost-effectively avoided within resources available

The options for mitigating risks considered to reduce the cause, probability or impact of failure, are typically:

Accept Risk Accept the Risk, fund and resource any risk impacts

Strategic Change Implement strategic planning, organisational improvements

Operational Change Implement technical improvements, procedural changes

Risk Transfer Outsourcing, Improving contract terms, increased insurance

Link to Improvement Plans

Actions identified in this Risk Management analysis should be directly linked to actions identified in appropriate improvement plans where they exist e.g. Asset Management Improvement Plan, where resources should be identified, approval of resources noted, and a defined method provided for revisiting and reviewing progress against each action item. Where an equivalent action item is not listed in the Improvement Plan, it should be added.

In all cases, the appropriate risk reference number should be noted in the Improvement Plan, and the Improvement number should be noted in the Risk Action Plan.

Monitor, Measure, Report, Review Plan and Actions

Management options listed in the risk tables have been refined into actions for each risk listed. These are the actions that are required to cost-effectively reduce the net risk by increasing PNCC’s ability to minimise the chances of the risk event occurring, or minimising the consequences should it occur

Actions should, where possible, align with the overall management objectives of Council, not simply aimed at the minimisation of risk. If possible, proposed actions should align with other initiatives to:

Reduce capital investment costs. Reduce operating and maintenance costs. Reduce business risk exposure (BRE). Increase effective asset life / value. Increase level of service.

The resulting action plan for risk treatment needs to be practical and achievable such that the necessary resources and time frames are realistically met. The actions also need to be able to be monitored and measured.

The monitoring/reporting column of the Risk Action Table specifies:


169

Responsibility: Nominated person responsible for ensuring the risks are managed and that improvements are carried out in accordance with the programme;

Timeframe: Achievable target date to be monitored and reported against; and Method and Frequency of Monitoring: This entire Action Table will be monitored by the Risk

Management Steering Committee, but there will be certain actions that are being monitored and reported in other forums. These forums are to be specified and the frequency with which these actions will be reviewed.

The actions listed will be reported, monitored and reviewed regularly at the Risk Management Steering Group and various Group forums.

As necessary, this group will need to revise timeframes, responsibility, and even the appropriateness of continuing with the proposed action, or adding new actions.

As actions are complete, the net risk should reduce in most cases. The risk tables will need to be reviewed against these and updated to reflect these improvements.

Review Risks

Most of the time, the risks identified will remain the same and reviews will occur in the context of these risks. However, it will be important to recognise when a new risk arises, or an existing risk changes in nature. In the latter case, the gross risk also needs to be re-evaluated.

Risk Action Plan

Table 5 is compiled from the Risk Register and highlights the most significant risks faced by the Stormwater activity. The main risks are listed in order of severity (Gross and then Net risk) as assigned in consultation with key Council staff

Actions that are required to achieve the desired improvements are indicated along with how progress on these actions will be monitored and reported. Where applicable, Action tasks will detail timeframes for achievement, and responsibility for these actions.

170

Risk Register

The risk registers provided in the following tables for the current and future Stormwater activities of Palmerston North City Council have been developed in consultation with key staff.

Table 5 Asset Management Risks – Stormwater General Risks

Risk Register

Ris

k R

efer

ence

Risk Descriptor – details the main component and

provides an example of a risk(s) that may be

attributable What are the risks?

Risk Type What are the main types of

impact resulting from this risk

event?

Gross Risk - What risk level do we face if we did nothing to prevent or

minimise it?

Current Practices/Strategies - What are we doing to avoid the risk or reduce its effect?

Net Risk - Considering what we do, what is

the current actual risk level we face? Risk Owner (Title)

Who has the responsibility and

ability to follow through?

Management Options Available What can we possibly do (brainstorm) to further reduce the risk level or provide assurance that

current practices remain effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW01 Unavailability of normal workplace resources for Council City Networks and City Enterprises personnel Caused by:

Unavailability of Council buildings (due to e.g. power failure, isolation, flood )

Telecommunications systems not working

Consequences:

Inability to respond to, or effectively manage and recover from disaster or emergency (e.g. tornado, volcanic ash, power failure, high winds)

Inability to operate business under normal conditions

Negative image

Environmental Public Health Operational Financial / Economic Reputation / Image

3 C M Civil Defence Emergency Management Team – Plan and organisation in place

Council Business Continuity Plan

IT procedures for backup, storage

Lifelines Strategy, documentation & communication

SCADA ability to control from multiple sites

Good 3 E L Chief Executive

Water and Waste Services Manager

City Enterprises Incident Response plan

Council Emergency Response Procedures in place

Liaise with National and Regional policy makers to identify hazards and ensure emergency response mechanisms are in place in the event of a hazard occurring

Coordination and liaison with other councils

171

Risk Register

Ris

k R

efer

ence






event?


minimise it?








Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW02 Lack of Skilled Staff Resources Caused by:

Inability to attract key staff

Inability to retain skilled staff

Inability of external resources to provide

Consequences:

Operational loss

Financial costs

Loss of service level

Poor (or no) decision making

Operational Financial / Economic Reputation / Image

4 B H City promotion (Work-life balance)

Dedicated HR staff and policies e.g. Personal Development Programmes, Benchmarking

Some use of recruitment consultancy

Benchmarked salary levels

Occasional staff surveys to highlight issues

Suitable accommodation and work environment

Use of consultants (and access to their wider network of non Council resources)

Graduate Development Programme

Scholarships for students

Technical staff in house

ISO 9001 WTP

Succession planning

Good 2 C M Water and Waste Services Manager

Chief Executive

Review & report situational risk profile at key intervals

172

Risk Register

Ris

k R

efer

ence






event?


minimise it?








Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW03 Loss of knowledge (information) Caused by:

Inability to retain knowledge

Permanent loss of strategic information through damage to information systems

Insufficient/inappropriate systems in place to manage data/information, especially regarding asset performance and condition

Loss of institutional knowledge (staff turnover)

IT failure

Loss of knowledge of where to find information

Consequences:

Operational loss

Financial costs

Failure to meet compliance requirements (e.g. asset inventory and condition information, unable to forecast renewals requirements)

Financial / Economic Operational Reputation/Image Legislative

3 C M Asset changes/updates – Information currently provided by City Enterprises, contractors, consultants and developers

Processes for updating vested assets and new capital works into Asset database

Sporadic condition surveys undertaken

IT practices (backup, virus, security etc.)

Asset database in place (off site) with backups (Hansen)

Spreadsheet for consent information saved to DM system

Information management and responsibilities defined between PNCC staff and consultants/contractors

Historical plans still not available electronically (DM system)

Asset Management Information Group

Institutional knowledge

Good 3 F I Water and Waste Services Manager

Chief Executive

Historical plans to be put into DM system

Reliance on one dedicated staff member

173

Ris

k R

efer

ence

Risk Descriptor – details the main component and provides an

example of a risk(s) that may be attributable

What are the risks?

Risk Type

What are the main types of impact

resulting from this risk event?

Gross Risk What risk level do we face if we did nothing to prevent or minimise it?

Current Practices/Strategies What are we doing to avoid the risk or reduce its effect?

Net Risk - Considering what we do, what is the

current actual risk level we face? Risk Owner

(Title) Who has the responsibility and ability to

follow through?

Management Options Available

What can we possibly do (brainstorm) to

further reduce the risk level or provide

assurance that current practices remain

effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW04 Failure to deliver on projects and programmes Caused By:

Inadequate project, programme and portfolio management

Lack of training or qualified staff

Lack of project planning or systems

Projects inadequately scoped, budgeted, managed, documented, and reviewed

Inadequate community consultation and management of expectations

Unrealistic expectations

Insufficient input to 10 Year Plan (financial)

Lack of resources

Lack of ownership, change of leadership

Cost Escalations (e.g. price of materials, economic failures, exchange rates,

Consequences:

Time & cost blowouts

Lack of quality outcomes


Loss of image and credibility

Impact on staff morale

Over/under spending of budgets

Failure to deliver on commitments e.g. 10 Year Plan

Deferring of projects

Hindering development

Public health and environmental consequences

Operational Reputation/Image Financial / Economic Health and Safety Environmental Legislative

3 A H Works programming by senior staff out of MS Project

Senior staff manage consenting processes

Collaborative working relationships with Technical Services & Depot

Formal agreement includes SLAs

External works managed by Technical Services

Some Project Management Training for key staff

Annual Budget/10YP/AMP Process defined

Quartlerly review of projects to Council

Use of experienced and skilled staff

Use of trained external resources / specialists

Communication Plan – stakeholder and media management for key projects

Appropriate resources (e.g. software/information systems)

Monitor consultants quality of work, reporting requirements written into some contracts

Post project de-briefs, Post implementation reviews

Processes to clearly identify project timeline and timing

Market comparability test for all projects

Good 3 D M Water and Waste Services Manager

Services Engineer Water and Waste

Development of corporate processes and systems

Reporting procedures for measuring performance

External reviews and audits e.g. peer reviews

Formalise requirements and project reporting for internal consultants

Keep project scopes up to date

Appoint dedicated and skilled project managers for high skill projects

Provide 1 year lead in for major projects to enable consenting, design and tender processes to be completed ahead of construction

174

Ris

k R

efer

ence



What are the risks?

Risk Type








follow through?





effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW05 Inadequate contract / SLA management (network maintenance and operations) Caused by:

Inadequate documents

Inadequate selection, availability of contractor

Inadequate management of contractors i.e. communication, monitoring etc.

Consequences:

Poor contractor performance and outputs

Interruption to services

Loss of service levels

Health and environmental incidents

Failure to meet legislative requirements

Additional costs

Excessive deterioration of assets

Operational Financial / Economic Reputation/ Image Health and Safety

4 A C Operations SLAs. Separated for treatment, reticulation maintenance, waste collection etc.

Contract manuals and collaborative working processes

SLAs managed by staff

Contract conditions (KPIs, penalties)

Contractor training and certification

Staff training

Public notification,public feedback (customer sevice tracking system – K Base)

Financial reporting to Networks Management Team who provide monthly reporting to the Management Team and quarterly reporting to Council

Procedures for suppliers to complete asset update requirements

Standard operating procedures and codes of practice

Audits and reviews

Monitor outstanding customer requests weekly

Budgets are reviewed monthly

Contract Management Manual

Good 3 C M Civil Works Manager Utilities

Monitor customer feedback and trends

Review and improve auditing procedures for contracts

Include specific and measurable KPIs in all SLAs linked to LTP and AMP outcomes

Training staff in maintaining and enhancing technical skills of operators

Possible extension of Quality Management System

Ensure new staff trained on internal Contract Management Manual

Develop more flexible software tools which enable the business rather than drive it

Implement standard templates for routine contracts and engagements to ensure consistent inclusion of requirements

Develop over-arching conditions of engagement which drive consistency and performance across all SLAs

175

Ris

k R

efer

ence



What are the risks?

Risk Type








follow through?





effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW06 Inadequate contract / SLA management (capital works) Caused by:

Inadequate documents

Inadequate selection, availability of contractor

Inadequate management of contractors i.e. communication, monitoring, change of scope management)

Consequences:

Poor quality assets constructed and/or vested

Increased operational expenditure costs

Interruption to services

Health and environmental incidents

Failure to meet legislative requirements

Additional costs and time overruns

Reduced lifespan (early deterioration) of assets


4 A C Operations SLAs. Separated for treatment, reticulation maintenance, waste collection etc.

Contract manuals and collaborative working processes

SLAs managed by staff

Contract conditions (KPIs, penalties)

Contractor training and certification

Staff training

Public notification,public feedback (customer sevice tracking system – K Base)

Financial reporting to Networks Management Team who provide monthly reporting to the Management Team and quarterly reporting to Council

Procedures for suppliers to complete asset update requirements

Standard operating procedures and codes of practice

Audits and reviews

Monitor outstanding customer requests weekly

Budgets are reviewed monthly

Contract Management Manual

Good 3 C M Services Engineer Water and Waste


Monitor customer feedback and trends

Review and improve auditing procedures for contracts

Include specific and measurable KPIs linked to AMP and LTP outcomes

Higher level of financial reporting and feedback now required

Ensure new staff trained on internal Contract Management Manual

Develop more flexible software tools which enable the business rather than drive it

Implement standard templates for routine contracts and engagements to ensure consistent inclusion of requirements

Develop over-arching conditions of engagement which drive consistency and performance across all SLAs

176

Ris

k R

efer

ence



What are the risks?

Risk Type








follow through?





effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW07 Inadequate asset management – not up to date, or insufficient quality of process and output. Caused by:

Lack of AM knowledge and practice

Lack of staff knowledge and training

Lack of resources

Inadequate communication of issues and strategic planning

Consequences:

Loss of service level - decline in integrity and service capacity of assets

Suboptimal lifecycle cost

Insufficient depreciation funding

Inability to cater for growth

Failure to meet 10 Year Plan commitments and service levels

Operational Legislative Financial / Economic

4 B H Asset Management processes and practices

Asset Information Systems (Hansen/ GIS / dTIMS) – managed by City Networks and IT

10 YP, Annual Budget processes

Asset Management Plan - Improvement Plan – driven by City Networks staff / Audit NZ reviews

Continuing Staff Development

Peer review every 3 years to meet Audit NZ Office requirements

Ongoing budget provision

Ongoing input from internal and external consultants



Asset Planning Engineer

Continue to improve documentation around processes and practices

External review

Strategy to move to Advanced asset management status

177

Ris

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efer

ence



What are the risks?

Risk Type








follow through?





effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW08 Non-compliance with legislation and legal requirements Caused By:

Lack of awareness e.g. changes in legislation not identified

Lack of funding

Legislative changes increases statutory obligations to a level where they are unable to be met with existing resources (goalposts shift)

Disputes with regulatory authorities

Consequences:

Compromised health, safety and environment

Legal action and resulting costs and consequences

Poor public image


5 A C Compliance monitoring

Contract Conditions (including OSH pre-qualification, HSE Act, HAZNO)

Staff training and development, e.g. regular attendance of industry conferences

Use of external advice/resources

Standard templates and written Council procedures

Auditing of works contracts (e.g. safety, OSH, environmental performance)

Management of consents



Regional Plan – One Plan – requirements becoming more stringent

Adopt continuous improvement approach to all activities

Identify opportunities for improving performance ahead of compliance changes

Keep informed of trends and look to anticipated changes making budgetary provision for potential changes

178

Ris

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ence



What are the risks?

Risk Type








follow through?





effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW09 Extreme Natural Hazards – (major earthquake/ tsunami/ volcanic/lahar) Inability to minimize effects Caused By:

Strategic information is inadequately protected

Internal and external risks not adequately identified

Possible impacts of disasters are not proactively minimised

Inadequate understanding of staff of disaster recovery procedures

Inadequate documentation to support recovery process

Civil Defence not adequately resourced

Consequences:

Inability to respond to, or effectively manage and recover from disaster or emergency

Inability to operate business under normal conditions

Destruction of, or prolonged widespread damage to infrastructural assets


Negative image

Actual or high probability of loss of life

Environmental Public Health Operational Financial / Economic

5 E M Dedicated Council Emergency Management Manager

Council Emergency Response Procedures in place (e.g. pandemic response)

Civil Defence Emergency Management Team – Plan and organisation in place

IT procedures for backup, storage (i.e. water supply customer base)

Business Continuity Plans

K Base systm for customer feedback

Civil Defence, actively involved in Lifelines

Operations SLAs in place to respond

Building code/standards, PNCC Engineering Standards for Land Development (ESLD)

LAPP and Insurance

Fair (untested)

4 E L Water and Waste Services Manager

Incident Response Plan

Critical assets identified for networks, maintenance regime based around these (currently under review)

Currently reviewing critical hazard for each critical asset

Criteria for new critical infrastructure construction

179

Ris

k R

efer

ence



What are the risks?

Risk Type








follow through?





effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW10 Moderate Natural Hazards – (minor earthquake/landslips/ major storm event) Inability to minimize effects Caused By:

Strategic information is inadequately protected

Internal and external risks not adequately identified

Possible impacts of disasters are not proactively minimised

Inadequate understanding of staff of disaster recover procedures

Inadequate documentation to support recovery process

Civil Defence not adequately resourced

Consequences:

Inability to respond to, or effectively manage and recover from disaster or emergency

Compromised ability to operate business under normal conditions

Damage to infrastructural assets, loss of service


Negative image

Potential loss of life

Environmental Public Health Operational Financial / Economic

4 A C Dedicated Council Emergency Management Manager

Council Emergency Response Procedures in place (e.g. pandemic response)

Civil Defence Emergency Management Team – Plan and organisation in place

IT procedures for backup, storage (i.e. water supply customer base)

Business Continuity Plans

K Base systm for customer feedback

Civil Defence, actively involved in Lifelines

Operations SLAs in place to respond

Building code/standards, PNCC Engineering Standards for Land Development (ESLD)

LAPP and Insurance

Fair 4 C H Water and Waste Services Manager

Incident Response Plan

Critical assets identified for networks, maintenance regime based around these

Review and identify critical hazard for each critical asset

Develop importance criteria for design of new critical infrastructure

180

Ris

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ence



What are the risks?

Risk Type








follow through?





effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW11 Lack of Political Alignment or inability of elected members to fulfil roles and responsibilities or disregard for community/staff views. Caused by:

Lack of communication with elected members

Lack of understanding from elected members

Consequences:

Essential services under-resourced

Decisions made on political grounds ahead of defensible decision making

Operational Reputation/ Image

4 B H Councillors roles well defined and implemented

Legislative requirements/ 10 YP process

Reports provided to Council

Councillor induction (LGA course)

Councillor briefings / workshops

CEO giving advice to Councillors

Provide asset management background to Councillors

Good 3 E L Chief Executive


Continue to manage process through CEO / workshops

181

Ris

k R

efer

ence



What are the risks?

Risk Type








follow through?





effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW12 External Economic Influences Caused by:

Cost Escalations (e.g. due to oil price increases, economic failures).

Uncontrollable movements in economy e.g. exchange rates, prices of local products drop

Local unemployment Consequences:

Financial impact cost of services

Inability to provide services, maintain service levels or achieve community outcomes

Financial / Economic 4 C H Buy Local Policy

City Futures Unit to study future impacts

Local government networking

Track national and global trends. Monitor key economic developments and liaise with central government

Optimise efficiencies

Smart procurement practices

Responding to national directives

Monitoring and react to world events

Use of materials from local sources

Hedging

Managing LoS expectations

Investigating alternative construction / maintenance options

Fair 4 D M Water and Waste Services Manager

Monitor external environment and adapt programmes and implementation plan to match likely infrastructure requirements

182

Ris

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efer

ence



What are the risks?

Risk Type








follow through?





effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW13 Inability to utilise funding options – Both internal and external, including failure to acquire external subsidies and people not applying for funding on time or not identifying potential areas where funding is required. Caused by:

Lack of staff training

Lack of awareness of funding sources

Organisational or process deficiencies

Consequences:

Funding not realised

Loss of service levels

Operational Financial / Economic Reputation/ Image

4 D M Asset management process

Prioritising projects/ 10 YP and Annual Budget process

Experienced staff reporting needs to Council

Good 3 E L Services Engineer Water and Waste


Forecast likely scenarios regarding effects of budget changes including deferments

Working closely with regional groups

Initiatives to maximise funding opportunities

Staff knowledge and awareness

SW14 Diminishing Funding Allocation Caused by:

Decreased subsidy, rates, tax, development contribution charges

Insufficient external funding secured

Consequences:

Projects unable to proceed

Inability to provide services, maintain service levels or achieve community outcomes

Operational Financial / Economic

4 B H Development contributions policy and enforcement

Asset management process

Prioritising projects/ 10 YP process and Annual Budget process

Experienced staff reporting to Council

Current practices and strategies for rates funding though 10 YP process (funding policy)

Levels of Service and costs quantified in 10 YP

Good 3 D L Services Engineer Water and Waste


Forecast likely scenarios regarding effects of budget changes including deferments

Escalate issues to higher levels e.g. Lobbying Central Government

183

Ris

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ence



What are the risks?

Risk Type








follow through?





effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW15 Ineffective strategic planning (internal) Caused by:

Lack of integration between the different arms of Council pursuing objectives that are at odds with each other.

Change of Councillors or Mayor

Consequences:

Eventual loss of service levels

Funding loss

Operational Financial / Economic Reputation / Image

4 B H Communication between City Future and City Networks. Consultation within organisation on long term planning. Early consultation with prospective developers

10 YP process

AMP process and updating

Communication between City Future and Councillors

City Ward committees

Good 3 D M Services Engineer Water and Waste


Continue current practices

Increase City Networks input into district plan review

Ensure City Networks actively participate in strategy and plan development

SW16 Inadequate Communications and PR Management Caused by:

Poor communication e.g. provision of too much/ not enough information to public

Inadequate strategic planning

Ineffective consultation

Historic perception of expectations

Consequences:

Increased costs

Poor relations between council and community

Negative publicity and reputation

Lack of public support for works and new initiatives

Difficulty getting consents

Reputation/ Image Operational Financial / Economic

4 B H Dedicated Strategic Communications officer, provides regular updates, represented at senior management meeting

Council Communication Plan

Communications plan developed for key projects

Timely communication/ notification to affected customers (public/ratepayers, councillors, staff, contractors)

Customer service interface (K Base)

Access to communications tools – Web, Intranet, Newsletters (Square Circular)

User friendly website (PNCC website rated highly in survey)

Fair 3 C M Services Engineer Water and Waste


Improved presentation to public consultation forums (present the whole picture clearly) through consistent approach

Improved contract conditions regarding community interaction

184

Table Asset Management Risks – Stormwater Operational Risks

Ris

k R

efer

ence

Risk Descriptor –

details the main

component and provides an


What are the

risks?

Risk Type

What are the main types of impact resulting from this risk event?

Gross Risk What risk level do we face if we

did nothing to prevent or minimise it?

Current Practices/Strategies What are we doing to avoid the

risk or reduce its effect?

Net Risk Considering what

we do, what is the current actual

risk level we face?

Risk Owner (Name and

Title) Who has the responsibility and ability to

follow through?


What can we possibly do (brainstorm) to further reduce

the risk level or provide assurance that current practices

remain effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW17 Flooding of habitable portions of a residential dwelling (under capacity network) Caused by: Under capacity network

elements Network affected by stream

and river levels Stream levels higher than

adjacent ground levels Consequences:

Street ponding Affected access and

livelihood Financial costs Loss of service level Negative publicity

Public Health Reputation/ Image Operational Financial / Economic Environmental

3 A H Comprehensive SW Management Plan

Limited modelling Design in accordance

with PNCC Engineering Standards for Land Development (ESLD)

Development Team within City Networks to manage development, subdivision control

Publc feedback, K Base and complaints

Operations staff in place – response times as per service levels (Roading contractor in road reserve)

In-house planning and design

Asset Management / Annual Budget / 10 YP process

CDEM response to flooding

Some stormwater pump stations

Fair 3 D M Services Engineer Water and Waste

Civil Works Manager Utilities

Ongoing system upgrades Ongoing modelling Stream diversion Look at further pumping

actions to reduce street ponding

185

Ris

k R

efer

ence

Risk Descriptor –

details the main



What are the

risks?

Risk Type








risk level we face?



follow through?




remain effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW18 Flooding of habitable portions of a residential dwelling (extreme weather event beyond practical capacity) Caused by: Extreme weather events

(including stream and river level effects)

Climate change Consequences:

Affected access and livelihood

Financial costs Loss of service level Negative publicity


3 A H Comprehensive SW Management Plan

Limited modelling Design in accordance

with PNCC Engineering Standards for Land Development (ESLD)


Public feedback, K BASE and complaints

Operations staff in place – response times as per service levels (Roading contractor in road reserve)

In-house planning and design

Asset Management / Annual Budget / 10 YP process

Regional Emergency Response Plan / Civil Defence

Policy to design overland flowpaths for extreme events

Regional Council has adopted 1 in 200 year criteria as a response to climate cahnge

River and large urban stream monitoring and maintenance by Regional Council

CDEM response to flooding

Fair to Good 3 C M Services Engineer Water and Waste


Rapid flood hazard mapping Interpret Regional Council

climate change criteria Important to continue to

monitor performance of existing systems

Develop management KPIs to accurately reflect likely performance of systems

186

Ris

k R

efer

ence

Risk Descriptor –

details the main



What are the

risks?

Risk Type








risk level we face?



follow through?




remain effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW19 Flooding of habitable portions of a residential dwelling (silt, vegetation and debris) Caused by: Silt/Sediment, Vegetation

or Debris (e.g. dumped fill or rubbish) - blocking catchpits and manholes

Inlets/outlets, roadside drains and ponds reducing capacity

Stream sedimentation Consequences:


Financial costs Loss of service level Negative publicity


3 A H Public feedback, K BASE and complaints

Operations staff in place – response times as per service levels (Roading contractor in road reserve)..

Weed spraying and sediment removal under SLAs

Open channel cleaning under SLAs

Control of physical works, contract and consent conditions

Dredging of urban streams to remove accumulated sediment

Pre-heavy rain warning inspection

Capital works identified and programmed to do improvements to channels

Fair 2 C M Services Engineer Water and Waste


Investment in additionalk stormwater drainage capacity will need to be supported by assessed reductions in risk and damage costs

Continue to implement at source sustainable approaches to managing stormwater runoff by detention, attenuation and promoting infiltration

187

Ris

k R

efer

ence

Risk Descriptor –

details the main



What are the

risks?

Risk Type








risk level we face?



follow through?




remain effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW20 Stormwater pump station failure Caused by:

Failure of pumps, pipework or structure

Lack of maintenance

Inadequate operation

Asset deterioration

Lack of capacity

Poor design and construction

Vandalism Consequences:

Flooding, street ponding


Financial costs


Negative publicity

- Operational Environmental Public Health Reputation/ Image Legislative

3 A H Most pump stations have SCADA monitoring

Operations SLA response within service level timeframe. After hours service.

Telemetry indicates failures. Battery backup to allow response time

Some pump stations have capacity for generator connection

Ability to supplement pumping

Relationships with power companies (notification of outages and backup options)

Duty and standby (alternate) at all pump stations/ backup pumps at some stations

Inspection programme (in house)

Professional services and in house for design work

Operations manuals for all stations

Security at all pump stations, padlocks at all, fencing dependent on location / risk / number of incidents

Programmed preventive maintenance

Renewal programme (upgrades, replacement and rehabilitation)

Public feedback/ monitoring of complaints, K BASE

PNCC ESLD and consent processes for new / vested assets



Incident Response Plan Need to test pumps with

generator

Telemetry for all pump stations

188

Ris

k R

efer

ence

Risk Descriptor –

details the main



What are the

risks?

Risk Type








risk level we face?



follow through?




remain effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW21 Power failure affecting pump stations: Power outage of 3 hours Caused by:

Intermittent power supply

Power surges

Vandalism Consequences: Flooding, street ponding


Financial costs


Negative publicity

- Operational Environmental Public Health Reputation / Image

3 A H SCADA monitoring at most pump stations

Operations SLA with response within service level timeframe. After hours service.

Telemetry indicates phase fail. Battery backup to allow response time

Ability to supplement pumping

Relationships with power companies (notification of outages and backup options)

Some pump stations have capacity for generator connection



Install generator connections at all pump stations and procure mobile stand-by generation which can be used at all pump stations

Monitor pump hours run to correlate with storage

Provide telemetry for all pump stations

189

Ris

k R

efer

ence

Risk Descriptor –

details the main



What are the

risks?

Risk Type








risk level we face?



follow through?




remain effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW22 Discharge of contamination via stormwater network Caused by: Lack of effective source

controls (e.g. landfills , physical works)

Lack of maintenance Fuel off road surface Cross contamination

Consequences: Pollution of receiving

waters Financial costs Negative publicity

Operational Environmental Public Health Legislative Reputation/ Image

3 B H Public feedback, K BASE and complaints

Pollution hotline for regional Council

Communications team/ media liaison

CDEM have spill response for fuel and other contaminants

Regional Council spill response team

Operations staff with response times as per service levels

Control of physical works by PNCC and others


Regional One Plan Monitoring of trade waste

(dedicated Trade Waste Officer)

Ability to regualte stormwater discharge under trade waste bylaw

Capital programme in 10 YP for installation of SW treatment devices

Assessment of Environmental Effects for SW discharges as part of consent application

Low impact design criteria in ESLD

Fair to Good 3 E L Services Engineer Water and Waste


Clear procedures for spill response for stormwater

Community Education Utilise bylaw provisions to

impose obligations on property owner to minimisie contaminant discharge, install treatment and divert to sewer

Ongoing monitoring to target where to locate treatment devices

190

Ris

k R

efer

ence

Risk Descriptor –

details the main



What are the

risks?

Risk Type








risk level we face?



follow through?




remain effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW23 Breaks and blockages in the pipe network Caused by: Tree roots Pipe decay Geological failure Poor design or construction Silt entering older pipes at

joint failures Flap gate and pen stock

failure Consequences:

Flooding Stream backflow (open

gates) Scouring Operational loss Financial costs Loss of service level

Operational Environmental Public Health

4 B H Overland flowpaths Future capacity planning

(capacity issues) Public feedback, K BASE

and complaints Operations staff with

response times as per SLA

Control of physical works by PNCC and others


Reactive replacement upon failure

Liaison with PNCC City Networks Parks and Reserves (arborists)

Asset Management, 10 YP and Annual Process

Renewal and upgrade programmes

Use of external professional services and contractors

Inspection programme for flap gates

Good 2 D L Services Engineer Water and Waste


Assess and monitor condition of pipe network to identify priorty areas for repair and renewal

Develop CCTV and physical inspection regime for critical assets and selection of smaller less critical pipes

191

Ris

k R

efer

ence

Risk Descriptor –

details the main



What are the

risks?

Risk Type








risk level we face?



follow through?




remain effective?

Con

sequ

ence

Like

lihoo

d

Fact

or

Description

Effe

ctiv

enes

s

Con

sequ

ence

Like

lihoo

d

Fact

or

SW24 Erosion and scour Caused by: Inappropriately designed or

constructed outfalls Inappropriately located

outfalls Naturally unstable soils Increase in runoff

Consequences: Damage to stopbanks Damage to property and

assets

Environmental Operational Reputation/ Image Legislative

1 B L Operations staff with response times as per service levels

Design in accordance with Councils ESLD

Public feedback, K BASE and complaints


Outfall inspection programme

Stopbanks inspected periodically

Regular channel and stream inspections

Fair 1 C L Services Engineer Water and Waste


Pipe sections of open channels subject to major scour

Implement renewal works to strengthen banks and secure outlets

Manage vegetation to ensure protective cover which does not limit conveyance capacity to significant extent

SW25 Lack of necessary reticulation in existing areas Caused by: Lack of planning Lack of funding Previously unidentified

need (e.g. older, low areas) Climate change High water table

Consequences: Flooding Ponding Downstream effects Increased capacity

requirements as a result of climate change

Operational Environmental Public Health Reputation/ Image

2 C M 10 YP, Annual Budget and Asset management processes (e.g. reticulation extension programme) / Consultation

Public feedback, K BASE and complaints. Analysis of trends

Operations staff response times as per service levels

Comprehensive SW Management Plan

Timely SW improvement works during roading renewals/ projects

Flooding upgrades budget

Good 2 E I Services Engineer Water and Waste


Develop SW Catchment Management Plans utilising Modellingto identify network gaps

Review KBase queries to identify recurring stormwater ponding areas to assess whether network improvements are required

Inspect stormwater systems in private property alignments where capacity and performance is often impacting on drainage performance

192

30 Year Financial Forecasts Appendix E.

193

Table E1: Thirty Year Operational Expenditure

OPERATIONAL EXPENDITURE ['000s] 2018/19 2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33

Activity Delivery $512 $514 $519 $520 $530 $542 $552 $563 $563 $565 $565 $566 $566 $568 $568

Service Level Agreements $445 $447 $452 $453 $463 $475 $485 $496 $496 $498 $498 $499 $499 $501 $501

External Contracts $67 $67 $67 $67 $67 $67 $67 $67 $67 $67 $67 $67 $67 $67 $67

Activity Management $969 $951 $926 $925 $925 $926 $925 $925 $926 $925 $925 $926 $925 $925 $925

Overheads and Personnel $630 $631 $626 $626 $626 $626 $626 $626 $626 $626 $626 $626 $626 $626 $626

Consultancy $115 $95 $76 $75 $75 $76 $74 $74 $76 $74 $74 $76 $74 $74 $74

Insurance $105 $105 $105 $105 $105 $105 $105 $105 $105 $105 $105 $105 $105 $105 $105

Legal $10 $10 $10 $10 $10 $10 $10 $10 $10 $10 $10 $10 $10 $10 $10

Miscellaneous (General) $11 $11 $11 $11 $11 $11 $11 $11 $11 $11 $11 $11 $11 $11 $11

Software Licenses $9 $9 $9 $9 $9 $9 $9 $9 $9 $9 $9 $9 $9 $9 $9

Rates $88 $88 $88 $88 $88 $88 $88 $88 $88 $88 $88 $88 $88 $88 $88

Electricity $2 $2 $2 $2 $2 $2 $2 $2 $2 $2 $2 $2 $2 $2 $2

Operating Programmes $270 $320 $270 $170 $170 $170 $170 $170 $170 $170 $170 $170 $170 $170 $170

1247-Sustainable Practices Within the Three Waters $150 $150 $150 $150 $150 $150 $150 $150 $150 $150 $150 $150 $150 $150 $150

1369-Joint Water Quality/Cultural Monitoring Framework $100 $150 $100 - - - - - - - - - - - -

1495-Third Party Stormwater Flood Problem Resolution $20 $20 $20 $20 $20 $20 $20 $20 $20 $20 $20 $20 $20 $20 $20

Interest $302 $346 $378 $388 $384 $385 $407 $415 $412 $404 $373 $349 $325 $293 $257

Depreciation $1,787 $1,809 $1,837 $1,862 $1,884 $1,905 $1,930 $1,933 $1,935 $1,939 $1,942 $1,944 $1,949 $1,951 $1,956

TOTAL EXPENDITURE $3,840 $3,890 $3,840 $3,740 $3,740 $3,740 $3,740 $3,740 $3,740 $3,740 $3,740 $3,740 $3,740 $3,740 $3,740

194

OPERATIONAL EXPENDITURE ['000s] 2033/34 2034/35 2035/36 2036/37 2037/38 2038/39 2039/40 2040/41 2041/42 2042/43 2043/44 2044/45 2045/46 2046/47 2047/48

Activity Delivery $569 $569 $571 $571 $572 $572 $574 $574 $575 $575 $577 $577 $577 $539 $578

Service Level Agreements $502 $502 $504 $504 $505 $505 $507 $507 $508 $508 $510 $510 $510 $472 $511

External Contracts $67 $67 $67 $67 $67 $67 $67 $67 $67 $67 $67 $67 $67 $67 $67

Activity Management $925 $923 $923 $923 $922 $922 $922 $922 $922 $922 $922 $922 $922 $922 $925

Overheads and Personnel $626 $624 $624 $624 $623 $623 $623 $623 $623 $623 $623 $623 $623 $623 $626

Consultancy $74 $74 $74 $74 $74 $74 $74 $74 $74 $74 $74 $74 $74 $74 $74

Insurance $105 $105 $105 $105 $105 $105 $105 $105 $105 $105 $105 $105 $105 $105 $105

Legal $10 $10 $10 $10 $10 $10 $10 $10 $10 $10 $10 $10 $10 $10 $10

Miscellaneous (General) $11 $11 $11 $11 $11 $11 $11 $11 $11 $11 $11 $11 $11 $11 $11

Software Licenses $9 $9 $9 $9 $9 $9 $9 $9 $9 $9 $9 $9 $9 $9 $9

Rates $2 $2 $2 $2 $2 $2 $2 $2 $2 $2 $2 $2 $2 $2 $2

Electricity $88 $88 $88 $88 $88 $88 $88 $88 $88 $88 $88 $88 $88 $88 $88

Operating Programmes $170 $170 $170 $170 $170 $170 $170 $170 $170 $170 $170 $170 $170 $170 $170

1247-Sustainable Practices Within the Three Waters $150 $150 $150 $150 $150 $150 $150 $150 $150 $150 $150 $150 $150 $150 $150

1369-Joint Water Quality/Cultural Monitoring Framework - - - - - - - - - - - - - - -

1495-Third Party Stormwater Flood Problem Resolution $20 $20 $20 $20 $20 $20 $20 $20 $20 $20 $20 $20 $20 $20 $20

Interest $222 $190 $151 $107 $63 $30 $20 $10 ($2) ($12) ($23) ($27) ($24) ($22) ($14)

Depreciation $1,958 $1,962 $1,965 $1,970 $1,972 $1,976 $1,979 $1,983 $1,985 $1,990 $1,992 $1,996 $2,000 $2,005 $2,009

TOTAL EXPENDITURE $3,740 $3,740 $3,740 $3,740 $3,740 $3,740 $3,740 $3,740 $3,740 $3,740 $3,740 $3,740 $3,740 $3,740 $3,740

195

Table E2: Thirty Year Renewal Expenditure

RENEWAL EXPENDITURE ['000s] 2018/19 2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33

Stormwater Collection

20-City-wide - Stormwater Pump Station Renewals $70 $70 $70 - - $30 - - $30 - - $30 - - $30

1062-City-wide - Stormwater Improvement Works $565 $590 $512 $547 $551 $528 $405 $456 $295 $350 $300 $350 $300 $350 $300

TOTAL RENEWAL EXPENDITURE $635 $660 $582 $547 $551 $558 $405 $456 $325 $350 $300 $380 $300 $350 $330

RENEWAL EXPENDITURE ['000s] 2033/34 2034/35 2035/36 2036/37 2037/38 2038/39 2039/40 2040/41 2041/42 2042/43 2043/44 2044/45 2045/46 2046/47 2047/48


20-City-wide - Stormwater Pump Station Renewals - - $30 - - $30 - - $30 - - $30 - - $30


TOTAL RENEWAL EXPENDITURE $350 $300 $380 $300 $350 $330 $350 $300 $380 $300 $350 $330 $350 $300 $380

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Table E3: Thirty Year Capital New Expenditure

CAPITAL NEW EXPENDITURE ['000s] 2018/19 2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33


51-City-wide - Stormwater Subdivision Contributions $50 $50 $50 $50 $50 $50 $50 $50 $50 $50 $50 $50 $50 $50 $50

197-Urban Growth - North East Industrial Park Stormwater $20 $250 - - - $20 $250 - - - $20 $250 - - -

1001-Urban Growth - Whakarongo - Installation of Stormwater Systems $380 $350 $300 - $350 $300 - - - - - - - - -


1065-Urban Growth - City West - Installation of Stormwater Systems - - - - - - $779 - $750 - - - - - -

1284-C/fwd - Urban Growth - Whakarongo - Installation of Stormwater Systems $88 - - - - - - - - - - - - - -

1372-City-Wide SW Pump Stations - - $100 - - $100 - - $100 - - $100 - $100 -

TOTAL CAPITAL NEW EXPENDITURE $1,101 $1,162 $911 $450 $500 $770 $1,379 $350 $1,200 $350 $370 $700 $350 $450 $350

CAPITAL NEW EXPENDITURE ['000s] 2033/34 2034/35 2035/36 2036/37 2037/38 2038/39 2039/40 2040/41 2041/42 2042/43 2043/44 2044/45 2045/46 2046/47 2047/48


51-City-wide - Stormwater Subdivision Contributions $50 $50 $50 $50 $50 $50 $50 $50 $50 $50 $50 $50 $50 $50 $50

197-Urban Growth - North East Industrial Park Stormwater $20 $250 - - - - - - - - - - - - -

1001-Urban Growth - Whakarongo - Installation of Stormwater Systems - - - - - - - - - - - - - - -


1065-Urban Growth - City West - Installation of Stormwater Systems - - - - - - - - - - - - - - -

1284-C/fwd - Urban Growth - Whakarongo - Installation of Stormwater Systems - - - - - - - - - - - - - - -

1372-City-Wide SW Pump Stations $100 - $100 - $100 - $100 - $100 - $100 $100 $100 $100 $100

TOTAL CAPITAL NEW EXPENDITURE $470 $600 $450 $350 $450 $350 $450 $350 $450 $350 $450 $450 $450 $450 $450

Appendix F – Asset Lives Asset Management Plan 2017 – Stormwater

197

Asset Lives Appendix F.

Appendix F – Asset Lives Asset Management Plan 2017 – Stormwater

199

Table F1: Expected Useful Asset Life

Asset Type Expected Useful Life

Stormwater Pipes

Precast Concrete Box Culverts

Standard Manholes

Manholes with floodgates, valves

100 - 175

150 - 175

150

120

Standard RC Inlet/Outlet Structures

Inlet/Outlet Structures with Flood gates and grills

150

120

Stormwater mains and sump connections

Stormwater Kerb Connections

150

80

RC Concrete Retaining & Flood walls

Precast \concrete Channel Lining

Older Cast in situ Channel Lining

Timber Retaining Wall

Gabion Baskets and Reno Mattresses

Timber fences

120

70

70

70

50

35

Earth Stop banks

Channels ( earthworks )

Storage Basins ( earthworks)

Non-Depreciable

Non-Depreciable

Non-Depreciable

Appendix G – Resource Consent Details Asset Management Plan 2017 – Stormwater

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Resource Consent Details Appendix G.


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Table G1: Stormwater Consents

Consent No.

Expiry Date Asset Type Consent

Subtype Location Description

102859 18-Jun-2019

Pohangina River

Discharge Permit

Discharge to Water

Wyndham Winchester and Mulgrave Streets Ashhurst

To discharge stormwater to the Pohangina River via a watercourse

4355 8-Aug-2020

Pohangina Rd Drainage

Discharge Permit

Discharge to Water

Pohangina Road & Davis Road

To discharge stormwater through a culvert under Pohangina Road

101622 24-May-2021

Manawatū River

Discharge Permit

Discharge to Water

Manawatū River State Highway 3 bridge Ashhurst

To discharge stormwater to the Manawatū River

101530 29-Mar-2025

Mangaone Stream Stop Bank

Discharge Permit

Discharge to Water

Downing Street Palmerston North

Discharge of stormwater through the pipe associated with the excavation and disturbance of the inland tow of the Mangaone stopbank and to maintain the works

101268 24-Jul-2025

Mangaone Stream Bed

Land Use Consent

Construct Pirani Place Palmerston North

To excavate and disturb within 8 metres of the inland toe of the Mangaone stopbank to install maintain and use a pipeline through the stopbank and to excavate and disturb the bed of the Mangone Stream to construct and install stream scour protection works for the purpose of stormwater drainage and to maintain these works

101269 24-Jul-2025

Mangaone Stream Bed

Discharge Permit

Discharge to Water

Pirani Place Palmerston North

To discharge stormwater through the pipe to the Mangaone Stream

101529 18-Dec-2025

Mangaone Stream Stop Bank

Land Use Consent

Construct Downing Street Palmerston North

To excavate and disturb within 8.0 metres of the inland toe of the Mangaone stopbank to install maintain and use a pipe through the stopbank for the purpose of stormwater drainage and to maintain the structures

101805 25-Jul-2026

Tributary of Kahuterwawa River

Discharge Permit

Discharge to Water

Unnamed stream by keebles bush on Tennent Drive Palmerston North

To discharge stormwater to unnamed tributary of the Kahuterawa Stream

4951 12-Apr-2029

Kawau Stream stopbank

Land Use Consent

Misc. True left & right banks of Kawau Stream

To install protection works & construct stopbanks & retaining structures on both banks of the Kawau Stream between Seddon Street & Wood Street bridge Palmerston North

204

Consent No.



100297 30-Apr-2029


Land Use Consent

River Control Works

True left and right bank of Kawau Stream generally located between Persson place and Wood Street bridge

To install protection works and construct stopbanks and retaining structures on the true left and right banks of the Kawau Stream between Seddon Street bridge and Wood Street bridge Palmerston North

100355 30-Apr-2029


Discharge Permit

Discharge to Land

True left and right bank of Kawau Stream generally located between Persson place and Wood Street bridge

To install protection works and construct stopbanks and retaining structures on the true left banks of the Kawau Stream between Seddon Street bridge and Wood Street bridge Palmerston North

100356 30-Apr-2029


Water Permit

Divert True left and right bank of Kawau Stream generally located between Persson Place and Wood Street bridge

To install protection works and construct stopbanks and retaining structures on the true left bank and right banks of the Kawau Stream between Seddon Street bridge and Wood Street bridge Palmerston North

4411 11-May-2029

Pump Station on Kawau Stream

Land Use Consent

Misc. Kawau Stream at Clausen Street

To construct a stormwater pumping station on the true left bank of the Kawau Stream approximately 25

4491 4-Aug-2029

Flood Protection Kawau Stream

Land Use Consent

Misc. Kawau stream between Seddon & Featherston Streets Palmerston North

To reconstruct the existing flood protection works on both banks of the Kawau Stream between Seddon

4968 27-Mar-2030


Land Use Consent

Misc. Kawau Stream drainage reserve between Clausen Street & 18 Montrose

To install & maintain a structure under the bed & stopbanks of the Kawau Stream between Clausen Street & Montrose Place Palmerston North

6321 13-Dec-2030

Roberts Line Water Permit

Divert 70-90 Roberts Line, Palmerston North

To divert water into a piped stormwater system on properties located on Roberts Line

6161 20-Jan-2033

Turitea Stream

Discharge Permit

Discharge to Water

Turitea Stream corner Old West Road and Turitea Road Palmerston North

To discharge up to 2.2 m3 per second of uncontaminated stormwater into the Turitea Stream on the corner of old west road and Turitea Road property

101018 8-Mar-2035

Kawau Stream Land Use Consent

River Control Works

Kawau Stream located between corner of Havill and Rangitikei Street and 36 Havill Street

To excavate and disturb the bed of the Kawau Stream to place a flood protection culvert structure in the reach of the Kawau Stream and to maintain these works


205

Consent No.



101019 8-Mar-2035

Kawau Stream Water Permit

Divert Kawau Street located between corner of Havill and Rangitikei Street and 36 Havill Street

The diversion of the Kawau Stream associated with the placement of a flood protection culvert structure in the reach of the Kawau Stream and the maintenance of these works

101020 8-Mar-2035

Kawau Stream Discharge Permit

Discharge to Water

Kawau Stream located between corner of Havill and Rangitikei Street and 36 Havill Street

The discharge of silty sediment associated with the placement of a flood protection culvert structure in the reach of the Kawau Stream and the maintenance of these works

101165 21-Jul-2035

Ashhurst Stream

Land Use Consent

Construct Ashhurst Stream Ashhurst

To excavate and disturb the bed of the Ashhurst Stream to remove an existing culvert to excavate and place a new culvert and to maintain those works

101176 21-Jul-2035

Ashhurst Stream

Water Permit

Divert Ashhurst Stream Ashhurst

To permanently divert the flow of the Ashhurst Stream and the associated discharge of silty sediment to water associated with the removal of an old culvert and the placement of a new culvert in the Ashhurst Stream

101177 21-Jul-2035

Ashhurst Stream

Land Use Consent

River Control Works

Ashhurst Stream Ashhurst

To undertake associated stream protection works associated with the removal of an old culvert and the placement of a new culvert in the Ashhurst Stream and to maintain these works

101463 14-Nov-2035

Kawau Stream Bed

Land Use Consent

Construct Kawau Stream To excavate and disturb the bed of the Kawau Stream and the associated diversion of water of the Kawau Stream to place a flood protection culvert structure in the reach of the Kawau Stream between 36-52 Havill Street Palmerston North and the associated discharge of silting sediment to water and to maintain the works

101482 14-Nov-2035

Kawau Stream Bed

Water Permit

Divert Kawau Stream between 36-52 Havill Street Palmerston North

To excavate and disturb the bed of the Kawau Stream and the associated diversion of water of the Kawau Stream to place a flood protection culvert structure in the reach of the Kawau Stream between 36-52 Havill Street Palmerston North and the associated discharge of silty sediment to water during and to maintain these works

206

Consent No.



101483 14-Nov-2035

Kawau Stream Bed

Discharge Permit

Discharge to Water

Kawau Stream between 36-52 Havill Street Palmerston North

To excavate and disturb the bed of the Kawau Stream and the associated diversion of water of the Kawau Stream to place a flood protection culvert structure in the reach of the Kawau Stream between 36-52 Havill Street Palmerston North and the associated discharge of silty sediment to water and to maintain the works

101465 22-Nov-2035

Tributary of Manawatū River

Land Use Consent

Construct Cashmere Drive Palmerston North

To place fill to excavate and disturb the bed of the unnamed tributary of the Manawatū River to place and use a culvert and structures for erosion protection

101466 22-Nov-2035

Tributary of Manawatū River

Water Permit

Divert Cashmere Drive Palmerston North

To divert the flow of an unnamed tributary of the Manawatū River and associated discharge of sediment to water

102444 3-Oct-2037

Kawau Stream Bed

Land Use Consent

Construct Kawau Stream Havill Street and Guy Avenue Palmerston North

To excavate and disturb the bed of the Kawau Stream and for associated discharges of sediment to surface water during the installation of a culvert structured in the bed of the stream and to use and maintain these works and associated discharges and surface water in the Kawau Stream

102445 3-Oct-2037

Kawau Stream Bed

Water Permit

Divert Kawau Stream Havill and Guy Streets Palmerston North

To temporary and permanently divert the water of the Kawau Stream in the reach of the Kawau Stream between 56 & 78 Havill Street and 67 to 71 Guy Avenue Palmerston North associated with the installation of a culvert structure in the Kawau Stream (consent no 102444)

102813 23-Oct-2038

Kawau Stream Bed

Land Use Consent

Construct Kawau Stream Havill Street Wood Street and Guy Avenue Palmerston North

To excavate and disturb the bed of the Kawau Stream and for the associated discharges of sediment to surface water during the installation of a culvert structure and associated works in the bed of the Kawau Stream and to use and maintain these works and for the associated discharge of sediment to surface water in the stream


207

Consent No.



102814 23-Oct-2038

Kawau Stream Water Permit

Divert Kawau Stream Havill Street Palmerston North

To temporarily and permanently divert water in the Kawau Stream associated with the installation of a culvert structure and associated works in the stream and maintain the permanent diversion of water in the stream

Appendix H – Condition & Data Confidence Grading Descriptions Asset Management Plan 2017 – Stormwater

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Condition & Data Confidence Grading Appendix H.Descriptions

Appendix H – Condition & Data Confidence Grading Descriptions Asset Management Plan 2017 – Stormwater

211

The following condition grading standards are from the International Infrastructure Management Manual – 2011:

Appendix I – Six Year Asset Renewal Programme Asset Management Plan 2017 – Stormwater

213

Six Year Asset Renewal Programme Appendix I.


215

Table I1 depicts currently prioritised renewal works identified for the next six years. All the projects have been or will be CCTV inspected to confirm the urgency of the work and the most appropriate renewal approach. More detailed investigation work is planned to confirm renewal requirements for the stormwater mains at the Botanical Road end of Ferguson Street, which is scheduled for 2022 and has an estimated cost of $1 million.

Table I1: Summary of Stormwater Pipe Renewal Programme as Currently Scoped

Programme and Renewal Project List 2018/19 [$]

2019/20 [$]

2020/21 [$]

2021/22 [$]

2022/23 [$]

2023/24 [$]

1062-City-wide - Stormwater Renewal Works $564,648 $590,051 $511,998 $546,952 $550,802 $528,132

Minor and Reactive Works $100,000 $100,000 $100,000 $100,000 $100,000 $100,000

Tweed Street $129,887

Carlisle $334,761

Botanical Rd - Marriner St $5,729

Cobb PL $660

Dampier Ave $2,220

Cowley PL $2,536

Union $3,170

Flint $228,563

Hull PL $370

Pioneer Highway $86,713

Strathmore - Botanical $45,496

Vernon - Aberdeen $44,927

Victoria at College $69,668

Astrid Ct. - Stoke PL $2,115

College at Pitama $184,605

Fairs Rd $121,111

Featherston St - Moheke Ave $1,652

Havelock Ave to Dove PL $1,147

Moheke Ave $1,950

Newton PL - Tremaine Ave $1,926

Rangiora Ave $1,790

Savage Cres $2,860

WARWICK PL $1,660

Webb $88,091

Worcester - Hereford $3,090

Botanical at Brentwood $103,011

Busby PL $1,629

Halswell Crescent $223,401

Kensington Mews $2,460

Kent Crescent $4,011


216

Programme and Renewal Project List 2018/19 [$]

2019/20 [$]

2020/21 [$]

2021/22 [$]

2022/23 [$]

2023/24 [$]

Kipling $102,213

Perth PL $1,882

Pioneer Highway - Humphries PL $3,540

Wainui Ct $3,077

Wikiriwhi Cres - Pitama Rd $1,729

Ferguson at Botanical $450,802 $428,132

20-City-wide - Stormwater Pump Station Renewals

$70,000 $70,000 $70,000 - - $30,000

Pirani Pl storm pump station control and telemetry upgrade

$35,000

Downing St storm pump station control and telemetry upgrade

$35,000

Wilson Cres storm pump station control and telemetry upgrade

$35,000

Wikiriwhi Cres storm pump station control and telemetry upgrade

$35,000

Storm pump station control and telemetry upgrades

$70,000 $30,000

Appendix J – Stormwater Catchments Asset Management Plan 2017 – Stormwater

217

Stormwater Catchments Appendix J.


219

Greater City Area

This in turn is delineated into:

Cloverlea - Generally north-west of the Mangaone Stream. The adjoining portion drains via floodgates to the stream whilst the remainder enters the Taonui rural catchment by way of Whiskey Creek entering the Manawatū River at Rangiotu by way of Bourke’s Drain.

Pioneer Highway - Main Street - The upper reach of this catchment is Terrace End. The main stem is piped along Main Street through the Central Business District to emerge from a 1.5m diameter pipe at Shamrock Street and discharge to the Pioneer Highway drain. This joins the Mangaone Stream at the Pioneer Highway Bridge. The drain is presently stop banked from the Mangaone Stream to Mariner Street with plans for the continuation of this work to Shamrock Street.

Two major tributaries are conveyed along rectangular section cast insitu conduits. Both were constructed with the cover slab at the then ground level and consequently both have suffered from the ravages of other service providers installing pipes and cables through the waterways. Further, the present day structural loadings have also caused considerable deterioration of the conduits.

The Ferguson Street conduit constructed 1915 to 1920, intercepts circular pipes at Linton Street, flows to Botanical Road and discharges to the Pioneer Highway main stem. The other conduit is generally within private property following the now largely obliterated toe of the escarpment between Church Street and Ferguson Street. It was constructed over the period 1925 to 1935 and intercepts circular pipes at Dahlia Street, passes under the parking lots of Foodtown/K Mart and Pack N Save, meets Church Street at West Street then joins the main stem at Lyndhurst Street.

Kawau - The main collector from this catchment is the Kawau Stream rising to the north in the vicinity of J F Kennedy Drive, including the Fair and Kilsby regions of Milson, Takaro, Highbury and Amberley Avenue areas to join the Mangaone Stream just upstream of the Pioneer Highway Bridge. A major tributary rises in Clyde Crescent and drains the Rangiora Avenue, Hospital and Roy Street areas to join the main stem at the Tremaine Avenue end of North Street.

The tributary waterway is generally lined with hand placed masonry and the main stem downstream of the North Street confluence is stop banked. Less than half of the total length of stream flows within public reserves.

Milson - The main collectors in this catchment are natural watercourses, previously tributaries of the Kawau Stream, but now diverted direct to the Mangaone Stream at J F Kennedy Drive.

The catchment includes the north end of Kelvin Grove, Rossmont, MacGregor Street, the Airport and Apollo Parade. It includes considerable greenfield areas and even when fully developed residentially will be comprised of 35% of land zoned rural.

Kelvin Grove - This catchment also is an historic contributor to the Kawau Street now diverted by way of the canal under Napier Road and adjoining Ruamahanga Crescent direct to the Manawatū River. Stormwater is presently delivered to the escarpment flume by a 1.8m diameter pipeline from the largely developed Kaimanawa Street area. The other significant section of the catchment, that is, the Roberts Line, James Line area, is comparatively undeveloped. The collector from this area is being constructed in stages and will terminate at the flume as a 2.1m diameter pipe.

Hokowhitu - This catchment contains a number of cut-off Manawatū River meanders through which the streams at Jensen Street and the Awatea flow. The gradients of the stream are very flat, as are those of the inter-connecting pipelines and thus ponding occurs in various locations as a result of the discharge limitations.


220

The Jensen Street ponding area provides a balancing storage area for the sub-catchment that includes Churchill Avenue and then discharges to Hokowhitu Lagoon. The lagoon discharges to the river by way of floodgates 1.2m diameter pipeline.

The Awatea Stream discharges to the Manawatū River by way of a 53cm diameter pipe fitted with floodgate and penstock at the outlet. Flood flows are diverted to Hokowhitu Lagoon through a 1.35m diameter pipe.

A number of smaller sub-catchments drain directly to the river or by way of a collector channel within the golf course at Brightwater Terrace, or by way of Hokowhitu Lagoon.

Riverdale - Bordered by Fitzherbert Avenue, College Street and Maxwells Line; this area drains to the river by way of numerous separate outlets.

Racecourse - A ponding reserve within the catchment provides storage when the penstocked outlet to the Mangaone Stream is closed. The main stem of the waterway is the new piped course of the downstream remnant of the Kawau Stream rising at Pioneer Highway.

Awapuni - A ponding reserve within the catchment provides storage when the penstocked outlet to the Mangaone Stream is closed. The main stem of the waterway is the now piped course of the downstream remnant of the Kawau Stream rising at Pioneer Highway.

Ashhurst

The township has been reticulated in part with outlets to existing open channels and streams. Much of the existing residential area street system has yet to be kerb and channelled and thus the reticulation has yet to be extended. The collectors for the two major catchments require significant upgrading works.

Western Catchment - Numerous sub-catchments drain directly to the Ashhurst Stream which rises in the rural land to the north of the township, form the western border of the present residential area and joining the Manawatū River downstream of the SH3 bridge.

Eastern Catchment - Presently collected in a watercourse that is piped along the downstream reach by 60cm diameter pipe. This and watercourse flows along the toe of the main Ashhurst tenancy escarpment. It then flows down the next escarpment to the lower terrace by way of enclosed flume and joins the Pohangina River upstream of the Railway bridge.

Aokautere/Massey

This catchment is dominated by deeply incised gullies draining direct to the Manawatū River. A major collector pipeline in Aokautere Drive conveys stormwater from the residential zone to the south and conveys it directly to the Turitea Stream at Old West Road.

Appendix K – Management and Reliability of Data Asset Management Plan 2017 – Stormwater

221

Management and Reliability of Data Appendix K.


223

Data and Information Management

Asset Management Planning depends on drawing on many sources of data and information to formulate plans that quantify the programmes that are required to maintain the asset and provide the required level of service into the future. This section describes the main sources of information that contribute to the different aspects of asset management planning, setting out the source of that information, what it is used for , the quality of information required and how the data is maintained and kept up to date.

The confidence and reliability of the data that lies behind the AM programmes is indicated in Table K1.

Table K1: High Level Overview of Confidence and Reliability of Data

Asset Management Processes

Source of Data & Information

Use of Information Quality Required for AMPs

Maintenance and Updating of Data & Information

Demand Forecasting

Growth projections – population and household growth projections

The City Future planning unit provides advice about population and household growth based on NZ Statistics Information, other professional advice and analysis of past Council data.

Information is used to formulate a planning scenario for the development of residential and industrial areas.

The identification of development of infrastructure is based on spatial projections of both the location and rate of growth provided by Council planners, followed by modelling to determine the additional demand for stormwater services due to that demand. This enables development of options for mitigating the additional stormwater flows. Assumptions are made that sustainable approaches to managing stormwater runoff are utilised wherever practical.

Broad based information only is required that allows a credible 30yr plan to be drawn up and supports the development contribution calculations. Actual development can also be determined by the market at the time.

The growth projections and planning scenario are revised every 3 years based on the most up to date information from NZ Statistics.

Appendix K– Management and Reliability of Data Asset Management Plan 2017 – Stormwater

224





Levels of Service

Customer service data (for past 1-3 yrs)

K-Base customer service request system

Used to inform Council’s LOS decision (identifies areas where LOS is not being met or particular service issues are arising.

Key source of information on network performance and for identification of problem areas. Spatial location and level checks in ponding areas can be used to provide a coarse calibration check for stormwater modelling

Also used to monitor and manage the performance of the service provider and check their compliance with key KPIs in their SLAs.

Sufficient resolution to identify the main service issues and trends.

Generally the last 1 to 2 years information is adequate

On-going data being received

Submissions made to various Council processes

Used to inform Council’s LOS decision and as a check that particular service areas have been identified.

Used to inform campaigns to improve understanding of the stormwater system, how it operates and its limitations.

Part of ongoing Council process

Communitrak Survey undertaken periodically

Used to inform Councillors about trends in customer satisfaction with services being delivered.

Assists with Council’s LOS decision making

Reputable survey Survey undertaken every 3 years

Performance measurement (KPIs)

Used to monitor the delivery of the agreed level of service

Continuous collection and analysis of KPI data particularly in respect of service delivery


225





Asset Knowledge

Asset age and physical attributes

Asset Information System (Infor Public Sector)

This is core data that is the basis for building up accurate O&M, Renewal and Development Plans.

It is also the basis for valuation of the asset.

It is essential to good AM to know what assets need to be maintained and renewed. Accurate information with regard to the physical attributes is important.

A reliable date of construction (at least to within 5 years) is desirable

The AIS is continually being updated by the Asset Systems Officer as new information comes to light and as new assets are being built (As built plans).

A dedicated officer maintains the system.

Checks on integrity & accuracy of information are provided by operation staff who confirm asset details when they are working on maintenance and capital works in the field

Asset condition Information collected from CCTV surveys and physical inspections of all critical assets and a cross-section of non-critical assets.

Used to identify faults and performance issues in critical assets for immediate resolution.

Used to develop specific life estimates and projections of the renewal profile for non-critical assets

Sufficient overall resolution of condition to reliably inform a 5 level grading system.

Needs to be added to on a continuous basis.

Physical inspection of critical assets to be undertaken on annual or 2 year cycle. CCTV inspection of a cross-section of non-critical assets to be completed every year to ensure all assets are inspected within a 20 to 30 year timeframe.

Asset performance Information from monitoring, customer complaints and scheduled inspections is captured in Asset Management System

Inform further investigation and fault finding to identify defects or performance issues.

Where performance is related to capacity use to inform detailed catchment modelling to identify any capacity improvements.

Needs to accurately identify the current situation

Data needs to be continuous captured and recorded against the asset to provide an up to date record of issues.


226





Analysis of asset information

From information collected & input into the AMS etc.

Modelling of both current situation and future condition allowing for full development and the influence of climate change. Asset information enables robust determination of capital improvements which will deliver sustainable and durable long term improvements in service.

Predictive modelling to determine asset renewal profiles under different risk scenarios

Up to date Data needs to be logging and recorded continuously. Key to this is providing mobile solutions which allow field staff to update asset data and record issues directly they are identified.

It is intended to give customers and contractors the ability to report on errors in the asset data and so assist the improvement process.

Analysis can be undertaken periodically ahead of key planning milestones e.g. LTP

Service Delivery

Procurement of work so as to provide service through operation and maintenance of the assets

Previous information about the cost and scope of work done or assets built. Information about Internal service delivery stored in SLA system.

Data about market prices and comparability of internal service delivery to be migrated to database in Benchmark.

Data is used to prepare engineer’s estimates prior to seeking either internal or external prices.

Data is critical for determining the market comparability of internal service delivery and whether external contract procurement is justified.

Costs data is also used to value new assets and confirm asset valuations on an annual basis.

Up to date with latest prices and costs captured as soon as possible after work is completed

Needs to be kept up to date given that the costs for constructing new infrastructure change rapidly in response to a range of external factors

Programme Planning

Data about programmes – objectives, scope, timing, cost and risk, previous investigation.

Programme Planning and Implementation Database (currently in Excel spreadsheets).

Used to inform asset programmes for the asset management plan.

The database is based on a comprehensive template covering programme information.

The PPI database for each programme in the AMP is updated annually by the asset manager for each activity.


227





Stormwater Management and Strategy Plans where these exist.

Modelling scenario assessment work which seeks to identify the impact of future growth pressures and changes in rainfall frequency and intensity

Stormwater modelling reports and strategy plans.

Identifies specific constraints and servicing challenges and sets out options for investment to mitigate effects.

The data is critical to providing options for consideration by Council in respect of different levels of investment to meet different levels of service.

Outlines consequences of not proceeding with investment as well as benefits.

High level but with clear detail of assumptions used.

Regular updating required at a frequency necessary to inform key planning and funding decision making – e.g. 3 yearly to align with the LTP.

Specific consultants reports

2D Modelling of PNCC stormwater systems – Tonkin and Taylor - 2017

Used to identify potential future work programmes to mitigate stormwater flood damage risks.

Assisted with confirming renewal and minor capital improvement programme works included in the first three years of the LTP and 30 year programme.

Snapshot of current and future challenges. Further work required to develop more nuanced assessment at a catchment level.

Need to be developed further and updated to improve justification for individual capital new programmes.

Council’s 10YP Used to inform changes adopted by the Council to previous AMP programmes

High level estimates which are sufficient to deliver the programme of work given the risk profiles for each programme or activity.

Through Council’s annual budget and 10YP process & system

Financial Planning

Long term financial forecasts

30 year Infrastructure Plan

Used to inform Council of future funding profiles, borrowing obligations and renewal funding issues.

High level estimates with significant contingency based on optimised profiling of renewals and realistic assessment of new capital requirements.

Three year updates ahead of Council’s 10YP process

Reliability and Confidence in Programmes

The expenditure and programmes in this AMP Plan are based on the data sources described in Appendix K. Confidence that programme information is reliable depends on the accuracy of the input data sources upon which that programme is based.

The following is an assessment of the overall confidence in the various data streams that input into programmes, including the demand drivers, growth projections, the condition and performance data


228

and the estimating data used for the financial forecasts. Further work on this aspect is planned over the next 3 years with a data improvement plan project being included in the Improvement Plan.

Definition of Data Confidence Rating Table K2: Confidence Grading Description

Confidence Grade

Description Processes Asset Data

5 Highly reliable/ Audited

Strictly formal process for collecting and analysing data. Process is documented and always followed by all staff. Process is recognised by industry as best method of assessment.

Very high level of data confidence. Data is believed to be 95 to 100% complete and ±5% accurate. Regular data audits verify high level of accuracy in data received.

4 Reliable/ Verified Strong process to collect data. May not be fully documented but usually undertaken by most staff.

Good level of data confidence. Data is believed to be 80 to 95% complete and ±10 to 15% accurate. Some minor data extrapolation or assumptions has been applied. Occasional data audits verify reasonable level of confidence.

3 Less Reliable Process to collect data established. May not be fully documented but usually undertaken by most staff.

Average level of data confidence. Data is believed to be 50 to 80% complete and ±15 to 20% accurate. Some data extrapolation has been applied based on supported assumptions. Occasional data audits verify reasonable level of confidence.

2 Uncertain Semiformal process usually followed. Poor documentation. Process to collect data followed about half the time.

Not sure of data confidence, or data confidence is good for some data, but most of dataset is based on extrapolation of incomplete data set with unsupported assumptions.

1 Very uncertain Ad hoc procedures to collect data. Minimal or no process documentation. Process followed occasionally.

Very low data confidence. Data based on very large unsupported assumptions, cursory inspection and analysis. Data may have been developed by extrapolation from small, unverified data sets.

0 No data No process exists to collect data. No data available.


229

Assessment of Confidence in Key data Inputs to AMP Table K3: Confidence Grading Description

Data Confidence Assessment

Comment

Demand drivers

2 Demand drivers in respect of stormwater drainage capacity include:

Additional runoff from development in new greenfield areas and infill in existing parts of the city

Changes to the pattern and intensity of rainfall across the city

Changing expectations around the acceptability of stormwater ponding in existing communities and areas of the city with very limited stormwater levels of service e.g. Bunnythorpe, Longburn and older parts of Palmerston North

Additional drivers in respect of improving stormwater quality arise from:

National and regional legislative drivers around improving freshwater quality and reducing discharge of contaminants

Community expectations in respect of reducing stormwater contamination and improving the aesthetics and biodiversity of the open drains and water courses

These drivers are resulting in significant uncertainty around the expectations for new and improved stormwater services.

Growth projections

4 The growth projections are neither predictions nor forecasts. They are built on assumptions about future changes in population based on demographic trends and patterns and other factors.

Variations in the economic cycle mean that it is inevitable that the actual rate of growth will be above or below the projected rate at different times in the economic cycle.

Projections are reassessed every 3 years in the light of the information available at that time at which point the programmes based on the projections will be reassessed.

Asset useful lives

2 The current useful lives are based on asset lives detailed in the IIMI guidelines. For some asset types where there is local evidence that the asset may last longer, useful lives have been extended. It is however clear that there are some assets which require immediate renewal and have not reached the assumed maximum life. Currently this is not reflected in the useful lives profile.

Following further CCTV work, some adjustment to the useful lives will be undertaken.

Asset values 5 Asset values are based on the latest information for renewal and capital construction costs for work undertaken in the last two years by Council. Where no work has been done estimates for work undertaken by local Councils within the region have been used.

Condition of asset

2 Asset condition assumptions are based on typical condition scores for stormwater assets in other TAs and physical inspection and CCTV condition assessments of a very limited portion of the PNCC network.

Performance of Network

3 Recent modelling of the primary and secondary system has highlighted the anecdotal evidence that flooding issues are not widespread and relate to informal overland flow paths. At risk catchments are those with significant numbers of properties built at or below the road. There is also evidence that parts of the primary network are not performing optimally and further work will be undertaken to identify the issues.

Addressing capacity constraints resulting from infill development and climate change is the key area of uncertainty. Greenfield areas provide opportunities to design systems with extensive detention and attenuation which will robust provide for future requirements.


230

Data Confidence Assessment

Comment

Operational forecasts

3 Forecasts of operational costs are uncertain due in large measure to the increasing demand from both Councillors and the community for greater action around responding to perceived stormwater service defects and performance issues.

Many of the issues are historical and relate to poor planning and decision making in respect of previous development resulting in development with no effective stormwater drainage or construction of habitable buildings close to or below stormwater ponding or overland flow levels.

Renewal forecasts

2 While additional funds have been allocated for the next 3 years to renew already identified portions of the network requiring renewal, the lack of CCTV inspection and performance data for the majority of the network, means there is little information about the quantum of legacy and poor condition assets that will need renewal in the AMP period. It is expected that with more condition information, additional renewal funding will be required in the next 3 year period, given that renewal investment is currently very low.

Development forecasts

3 Current planning forecasts are considered robust and potentially overestimate the demand for both residential and commercial property particularly in greenfield areas. The key uncertainty is in the relative proportion of infill and greenfield growth. There is significant investment in intensification within the city which will continue to result in challenges for the existing stormwater network with more stormwater being discharged to an already at capacity primary network.

Reliability of Financial Forecasts

Information for programmes in this plan are derived from the information that is input into the Programme Planning and Implementation database. This database provides for the estimating accuracy to be made of each programme together with the estimating rates on which the estimate is based. The types of estimates with their definition are as follows:

Ballpark

This is an order of magnitude estimate made in the early stages of a project based on high level comparative information.

Rough Order

This applies in the early stages of feasibility using a top down approach but with better breakdown of the major components of work.

Preliminary

Work is reasonably well defined with more detailed knowledge of quantities and scope of work. Based on historic rates for construction

Firm – Engineers Estimate

This is based on detailed design specification and drawings. Costing is based on market rate information.

In this plan an assessment is made of the reliability of the financial forecasts based on the reliability of physical asset data, asset condition data, asset performance data and growth projections in Section 5.

Appendix L – Final Peer Review Report Asset Management Plan 2017 – Stormwater

231

Final Peer Review Report Appendix L.

233

16-Apr-2018 Prepared for – Palmerston North City Council – Co No.: N/A

PNCC Asset Management Review

Palmerston North City Council

16-Apr-2018

Asset Management Review - 2017 AMP's

AECOM




Quality Information

Document Asset Management Review - 2017 AMP's

Ref

60544471

p:\605x\60544471\8. issued docs\8.1 reports\pncc 2017 amp review final.docx

Date 16-Apr-2018

Prepared by Stephen Garlick

Reviewed by Ian Martin

Revision History

Rev Revision Date Details

Authorised

Name/Position Signature

Draft A 21-Mar-2018 For Comment Ian Martin Regional Manager, Wellington

Final 16-Apr-2018 Final Issue Ian Martin Regional Manager, Wellington

AECOM




Appendix E

Stormwater AMP

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-1

Ap

pen

dix

E

Sto

rmw

ate

r A

MP

PN

CC

AM

Ass

ess

me

nts

20

18

AM

P

20

17

Sto

rmw

ate

r A

MP

Ass

ess

me

nt

Ite

m 1

A

lig

nm

en

t

Sco

re

2-3

Wh

y i

s th

is i

mp

ort

an

t?

O

ur

Fin

din

gs

Th

e p

urp

ose

of

org

an

isa

tio

ns

is t

o a

chie

ve o

rga

nis

ati

on

al o

bje

ctiv

es.

In t

he

ca

se o

f lo

cal a

uth

ori

tie

s th

ese

are

ge

ne

rally

exp

ress

ed

as

Co

mm

un

ity

Ou

tco

me

s (r

eq

uir

ed

by

an

d L

GA

20

02

) a

nd

in s

om

e

case

s se

pa

rate

org

an

isa

tio

na

l ob

ject

ive

s si

ttin

g b

elo

w t

he

Co

mm

un

ity

Ou

tco

me

s.

It is

imp

ort

an

t th

at

the

ma

na

ge

me

nt

of

ass

et

ba

sed

loca

l au

tho

rity

act

ivit

ies

(as

set

ou

t in

AM

Ps)

is c

lea

rly

alig

ne

d w

ith

an

d c

on

trib

ute

s

to t

he

ach

ieve

me

nt

of

org

an

isa

tio

na

l ob

ject

ive

s.

AM

Ps

sho

uld

als

o r

efl

ect

th

e o

rga

nis

ati

on

’s a

sse

t m

an

ag

em

en

t

po

licy

an

d s

tra

teg

y (i

f th

ere

th

e o

rga

nis

ati

on

ha

s th

ese

) a

nd

wit

h

the

In

fra

stru

ctu

re S

tra

teg

y.

Ro

ad

ing

AM

Ps

(an

d in

pa

rtic

ula

r a

ny

wo

rks

tha

t re

ceiv

e g

ove

rnm

en

t

sub

sid

y) s

ho

uld

be

co

nsi

ste

nt

wit

h a

nd

su

pp

ort

th

e G

ove

rnm

en

t

Po

licy

Sta

tem

en

t o

n L

an

d T

ran

spo

rt a

nd

th

e t

hre

e s

tra

teg

ic

pri

ori

tie

s fo

rmin

g p

art

of

the

Na

tio

na

l Po

licy

Sta

tem

en

t

Ta

ble

2 s

ets

ou

t h

ow

th

e S

torm

wa

ter

Act

ivit

y co

ntr

ibu

tes

to t

he

fo

llow

ing

2 (

of

5)

Cit

y G

oa

ls

·

An

inn

ova

tive

an

d g

row

ing

cit

y

·

An

eco

-cit

y.

It is

un

de

rsto

od

th

at

the

5 C

ity

Go

als

sta

ted

in

th

e A

MP

are

th

e p

rop

ose

d P

alm

ers

ton

No

rth

Cit

y C

om

mu

nit

y O

utc

om

es

for

the

20

18

-20

28

LTP

.

Th

e c

on

trib

uti

on

of

the

Sto

rmw

ate

r A

ctiv

ity

to C

ity

Go

als

is

exp

ress

ed

in

Ta

ble

3 a

s P

rio

riti

es.

T

he

se r

ea

d m

ore

lik

e s

tra

teg

ies

tha

n

sta

tem

en

ts o

f h

ow

th

e S

torm

wa

ter

Act

ivit

y c

on

trib

ute

s to

Cit

y G

oa

ls e

.g.

“Cre

ate

an

d e

na

ble

op

po

rtu

nit

ies

for

em

plo

ym

en

t a

nd

gro

wth

”

sou

nd

s m

ore

lik

e a

str

ate

gy

tha

n a

co

ntr

ibu

tio

n o

f th

e S

torm

wa

ter

Act

ivit

y co

ntr

ibu

tes

to C

ity

Go

als

.

Th

e f

ollo

win

g a

re e

xam

ple

s o

f ty

pic

al s

tate

me

nts

by

me

an

s o

f w

hic

h t

he

co

ntr

ibu

tio

n o

f st

orm

wa

ter

ma

na

ge

me

nt

to C

om

mu

nit

y

Ou

tco

me

s m

igh

t b

e d

em

on

stra

ted

.

AM

Ps

are

fo

un

de

d o

n t

he

se

rvic

es

to b

e p

rovi

de

d a

nd

th

e s

tan

da

rds

to b

e a

chie

ved

in

th

e p

rovi

sio

n o

f th

ese

se

rvic

es

(Le

vels

of

Serv

ice

).

Th

ese

Le

vels

of

Se

rvic

e s

ho

uld

th

ere

fore

be

cle

arl

y a

lign

ed

wit

h a

nd

co

ntr

ibu

te t

o t

he

ach

ieve

me

nt

of

the

Co

mm

un

ity

Ou

tco

me

s. T

his

is

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-2

an

issu

e A

ud

it N

Z h

ave

ra

ise

d in

au

dit

s o

f o

the

r o

rga

nis

ati

on

s. T

he

Le

vels

of

Serv

ice

fo

r th

e S

torm

wa

ter

Act

ivit

y se

t o

ut

in T

ab

le 7

co

ver

the

fo

llow

ing

ke

y se

rvic

e c

rite

ria

:

·

Qu

alit

y a

nd

He

alt

h

·

Re

liab

ility

, Se

rvic

ea

bili

ty o

r P

erf

orm

an

ce

·

Acc

ess

ibili

ty

·

Sust

ain

ab

ilit

y

·

Fin

an

cia

l M

an

ag

em

en

t

It is

no

ted

th

at

“Re

spo

nsi

ve

ne

ss”

is in

clu

de

d w

ith

“R

eli

ab

ilit

y,

Se

rvic

ea

bil

ity o

r P

erf

orm

an

ce”.

Ho

w t

he

se S

erv

ice

Cri

teri

a a

lign

wit

h a

nd

co

ntr

ibu

te t

o C

ity

Go

als

co

uld

be

mo

re e

xplic

it.

De

tail

s o

f th

is a

lig

nm

en

t a

re p

rob

ab

ly b

est

ap

pe

nd

ed

.

Th

e a

sse

t m

an

ag

em

en

t p

roce

ss a

nd

alig

nm

en

t b

etw

ee

n t

he

pri

nci

pa

l ele

me

nts

of

ass

et

ma

na

ge

me

nt

can

be

illu

stra

ted

by

the

fo

llow

ing

dia

gra

m.

Clo

sin

g t

he

loo

p o

n t

he

ass

et

ma

na

ge

me

nt

pro

cess

invo

lve

s m

ea

suri

ng

pe

rfo

rma

nce

re

lati

ve t

o w

ha

t w

e s

et

ou

t to

ach

ieve

an

d u

sin

g t

his

pe

rfo

rma

nce

(p

erf

orm

an

ce g

ap

s) a

s a

ba

sis

for

con

tin

ua

l im

pro

vem

en

t. 2

01

6/2

01

7 p

erf

orm

an

ce i

s sh

ow

n r

ela

tive

to

pe

rfo

rma

nce

ta

rge

ts

in t

he

le

vels

of

serv

ice

/ke

y p

erf

orm

an

ce in

dic

ato

rs T

ab

le 7

in S

ect

ion

4.5

.2 o

f th

e A

MP

.

It is

no

ted

th

at

the

on

ly K

PI

wh

ere

th

e t

arg

et

leve

l of

pe

rfo

rma

nce

wa

s n

ot

fully

ach

ieve

d w

as:

·

Th

e n

um

be

r o

f co

mp

lain

ts r

ece

ive

d a

bo

ut

the

pe

rfo

rma

nce

of

the

Co

un

cil’

s u

rba

n s

torm

wa

ter

syst

em

pe

r 1

,00

0 p

rop

ert

ies

con

ne

cte

d p

er

an

nu

m c

alc

ula

ted

fo

r a

ro

llin

g 1

2 m

on

th p

eri

od

.

Sect

ion

4.5

.4 c

ove

rs S

erv

ice

Le

vel

Ga

ps.

T

he

se

rvic

e g

ap

s d

iscu

sse

d a

pp

ea

r to

ge

ne

rally

re

fle

ct t

he

fa

ilure

to

ach

iev

e t

his

KP

I.

De

velo

pm

en

t St

rate

gie

s in

6.9

.2 a

nd

De

velo

pm

en

t P

roje

cts

in T

ab

le 2

5 a

lso

ge

ne

rally

re

fle

ct t

he

ide

nti

fie

d s

erv

ice

ga

ps.

Sect

ion

3.1

.8 o

f th

e A

MP

se

ts o

ut

the

Ass

et

Ma

na

ge

me

nt

Po

licy

an

d S

tra

teg

y fo

r P

alm

ers

ton

No

rth

Cit

y C

ou

nci

l.

Th

e S

torm

wa

ter

AM

P

refl

ect

s th

is P

olic

y a

nd

Str

ate

gy.

Ide

ally

, th

e f

ina

nci

als

in t

he

AM

P w

ou

ld b

e p

rese

nte

d in

a w

ay

such

th

at

pri

nci

pa

l bo

tto

m li

ne

s ca

n b

e r

ea

dily

re

con

cile

d w

ith

th

e f

ina

nci

al

sta

tem

en

ts i

n t

he

Co

un

cil L

on

g T

erm

Pla

n.

Th

is is

imp

ort

an

t a

s A

ud

it N

Z h

av

e t

he

ve

ry r

ea

son

ab

le e

xpe

cta

tio

n t

ha

t th

e A

MP

s w

ill c

lea

rly

pro

vid

e t

he

ba

sis

an

d j

ust

ific

ati

on

fo

r th

e

fin

an

cia

l sta

tem

en

ts in

th

e L

TP

.

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-3

Th

e f

ollo

win

g is

an

ext

ract

fro

m t

he

20

15

/20

25

10

ye

ar

pla

n (

Th

e d

raft

20

18

/20

28

LT

P w

as

no

t a

vaila

ble

at

the

tim

e o

f w

riti

ng

).

Th

e f

ollo

win

g e

xpe

nd

itu

re f

ore

cast

s a

re t

ak

en

fro

m t

he

20

17

Sto

rmw

ate

r A

MP

– L

ife

cycl

e P

rog

ram

me

s

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-4

Th

ese

are

th

en

su

mm

ari

sed

in

th

e F

ina

nci

al F

ore

cast

s in

Ap

pe

nd

ix E

.

Th

ere

ap

pe

ars

to

be

a m

ism

atc

h b

etw

ee

n t

he

Op

era

tio

ns

an

d M

ain

ten

an

ce f

ina

nci

als

in T

ab

le 1

9 o

f th

e li

fecy

cle

pro

gra

mm

es

an

d t

he

fin

an

cia

ls i

n T

ab

le E

1 A

pp

en

dix

E.

Th

e t

ota

l op

era

tio

na

l exp

en

dit

ure

in T

ab

le E

1 (

$3

.57

0m

) is

sig

nif

ica

ntl

y le

ss t

ha

n t

he

co

mp

ara

ble

fig

ure

of

$3

.92

6m

in t

he

20

15

/20

25

10

ye

ar

pla

n a

lth

ou

gh

it is

re

cog

nis

ed

th

is m

ay

reco

nci

le in

th

e 2

01

8/2

02

8 1

0 y

ea

r p

lan

.

Ta

ble

23

re

con

cile

s w

ith

th

e f

ina

nci

al s

um

ma

ry i

n T

ab

le E

2.

It is

ext

rem

ely

imp

ort

an

t th

at

the

re is

a c

lea

r li

ne

of

sig

ht

fro

m t

he

bu

dg

et

fig

ure

s in

th

e L

TP

ba

ck t

o t

he

co

nso

lida

ted

fin

an

cia

l pro

ject

ion

s

in t

he

AM

P a

nd

fro

m t

he

re b

ack

to

th

e b

ud

ge

ts in

ea

ch o

f th

e li

fecy

cle

pro

gra

mm

es.

Au

dit

Ne

w Z

ea

lan

d h

ave

th

e v

ery

re

aso

na

ble

exp

ect

ati

on

th

at

the

AM

P w

ill b

e t

he

so

urc

es

of

fin

an

cia

l fo

reca

sts

in t

he

LT

P a

nd

th

at

this

ca

n b

e r

ea

dily

ve

rifi

ed

by

com

pa

rin

g b

oth

do

cum

en

ts.

In

ab

ility

to

de

mo

nst

rate

th

is c

lea

r li

ne

of

sig

ht

will

un

de

rmin

e t

he

cre

dib

ilit

y o

f b

oth

th

e A

MP

an

d o

f th

e L

TP

.

O

pp

ort

un

itie

s fo

r Im

pro

ve

me

nt

1

. Sh

ow

mo

re c

lea

rly

the

ali

gn

me

nt

be

twe

en

th

e L

eve

ls o

f Se

rvic

es

set

ou

t in

Se

ctio

n 4

of

the

AM

P,

the

Act

ivit

y C

on

trib

uti

on

to

Cit

y

Go

als

an

d t

he

refo

re t

he

Cit

y G

oa

ls.

Th

e d

iag

ram

ab

ove

pro

vid

es

on

e e

xam

ple

of

ho

w t

his

ali

gn

me

nt

mig

ht

be

de

mo

nst

rate

d.

2.

En

sure

th

ere

is a

cle

ar

lin

e o

f si

gh

t fr

om

th

e F

ina

nci

al

Pro

ject

ion

s o

n t

he

LT

P b

ack

to

th

e c

on

solid

ate

d f

ina

nci

al

pro

ject

ion

s in

th

e A

MP

an

d f

rom

th

ere

ba

ck t

o t

he

bu

dg

ets

in e

ach

of

the

life

cycl

e p

rog

ram

me

s

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-5

0 -

In

no

cen

t 1

- A

wa

re

2 -

De

ve

lop

ing

3 -

Fu

lly

me

ets

re

qu

ire

me

nts

4

- E

xce

ed

s re

qu

ire

me

nts

Th

e A

MP

do

es

no

t d

em

on

stra

te a

ny

aw

are

ne

ss o

f th

is r

eq

uir

em

en

t

Th

e A

MP

do

es

no

t cu

rre

ntl

y a

dd

ress

this

re

qu

ire

me

nt

(or

cove

rs it

in a

min

ima

l wa

y) b

ut

de

mo

nst

rate

s a

n

inte

nt

to p

rog

ress

it

Th

e A

MP

pa

rtly

co

mp

lie

s w

ith

go

od

ind

ust

ry p

ract

ice

an

d d

em

on

stra

tes

an

inte

nt

to a

chie

ve f

ull

co

mp

lian

ce w

ith

go

od

ind

ust

ry p

ract

ice

Th

e A

MP

co

mp

lies

wit

h g

oo

d in

du

stry

pra

ctic

e

Th

e A

MP

exc

ee

ds

com

plia

nce

wit

h g

oo

d

ind

ust

ry p

ract

ice

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-6

Ass

ess

me

nt

Ite

m 2

S

erv

ice

sta

tem

en

ts a

nd

Le

ve

ls o

f S

erv

ice

Sco

re

3

Wh

y i

s th

is i

mp

ort

an

t?

O

ur

Fin

din

gs

AM

Ps

sho

uld

be

fo

un

de

d o

n a

sta

tem

en

t o

f w

ha

t th

e p

lan

s a

re

inte

nd

ed

to

ach

ieve

. T

his

is

ge

ne

rally

a s

tate

me

nt

of

the

se

rvic

es

to b

e p

rovi

de

d t

hro

ug

h t

he

pla

n,

the

sta

nd

ard

s to

be

ach

ieve

d a

nd

the

lev

el o

f p

erf

orm

an

ce t

ha

t is

ta

rge

ted

. T

his

sh

ou

ld i

nco

rpo

rate

the

ma

nd

ato

ry p

erf

orm

an

ce m

ea

sure

s re

qu

ire

d u

nd

er

the

No

n-

Fin

an

cia

l Pe

rfo

rma

nce

Me

asu

res

Ru

les

20

13

. R

oa

din

g A

MP

s sh

ou

ld

inco

rpo

rate

On

e N

etw

ork

Ro

ad

Cla

ssif

ica

tio

n p

erf

orm

an

ce

me

asu

res

as

ap

pro

pri

ate

.

Th

e j

ust

ific

ati

on

fo

r th

e t

arg

et

lev

els

of

serv

ice

sh

ou

ld b

e p

rovi

de

d.

Ide

ally

th

is w

ou

ld i

ncl

ud

e c

on

sid

era

tio

n o

f b

en

efi

ts a

nd

co

sts

of

dif

fere

nt

leve

ls o

f se

rvic

e.

Serv

ice

sta

tem

en

ts r

ep

rese

nt

the

ob

ject

ive

s th

at

the

AM

P a

ims

to

ach

ieve

. I

t is

imp

ort

an

t th

at

the

se o

bje

ctiv

es

are

cle

arl

y a

lig

ne

d

wit

h o

rga

nis

ati

on

al o

bje

ctiv

es

(ali

gn

me

nt

sho

uld

be

de

mo

nst

rate

d

in t

he

AM

P).

Th

e A

MP

is f

ou

nd

ed

on

a s

tate

me

nt

of

the

se

rvic

es

to b

e p

rovi

de

d t

o e

ach

of

the

ma

in c

ust

om

er

seg

me

nts

to

ge

the

r w

ith

th

e s

tan

da

rds

to

wh

ich

th

ese

se

rvic

es

will

be

pro

vid

ed

.

Ta

ble

7 o

f th

e A

MP

ide

nti

fie

s th

e f

ollo

win

g U

ser

Gro

up

s fo

r th

e S

torm

wa

ter

Act

ivit

y.

·

Re

sid

en

tia

l a

nd

co

mm

erc

ial

pro

pe

rty

ow

ne

rs a

nd

occ

up

iers

in

urb

an

are

as

con

ne

cte

d t

o t

he

Co

un

cil’

s st

orm

wa

ter

syst

em

·

All

re

sid

en

ts i

n u

rba

n a

rea

s co

nn

ect

ed

to

th

e C

ou

nci

l’s

sto

rmw

ate

r sy

ste

m

·

All

rate

pa

yers

Th

e s

erv

ice

s to

be

pro

vid

ed

to

th

ese

dif

fere

nt

use

r g

rou

ps

are

se

t o

ut

in t

he

“C

ust

om

er

Leve

l o

f S

erv

ice

” co

lum

n i

n T

ab

le 7

.

Ob

ject

ive

s a

nd

pe

rfo

rma

nce

in

dic

ato

rs t

o m

ea

sure

ach

iev

em

en

t o

f th

ose

ob

ject

ive

s te

nd

to

go

to

ge

the

r. A

n a

lte

rna

tive

ap

pro

ach

is t

o

de

scri

be

wh

at

we

are

aim

ing

to

de

live

r to

ou

r cu

sto

me

rs a

s a

se

rvic

e o

bje

ctiv

e a

s ill

ust

rate

d i

n t

he

exa

mp

le b

elo

w

Th

e p

oin

t o

f se

rvic

e f

or

sto

rmw

ate

r is

id

en

tifi

ed

in

Se

ctio

n 2

.1.

Th

e C

ust

om

er

Leve

ls o

f Se

rvic

e f

or

Sto

rmw

ate

r se

t o

ut

in T

ab

le 7

of

the

AM

P c

ove

r th

e f

ollo

win

g k

ey

serv

ice

cri

teri

a:

·

Qu

alit

y a

nd

He

alt

h

·

Re

liab

ility

, Se

rvic

ea

bili

ty o

r P

erf

orm

an

ce

·

Acc

ess

ibili

ty

·

Sust

ain

ab

ilit

y

·

Fin

an

cia

l M

an

ag

em

en

t

Th

ere

is a

go

od

ra

ng

e o

f C

ust

om

er

Pe

rfo

rma

nce

Me

asu

res

for

the

se s

erv

ice

dim

en

sio

ns.

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-7

Te

chn

ica

l Le

vels

of

Serv

ice

are

incl

ud

ed

in

Ta

ble

C1

in

Ap

pe

nd

ix C

– A

ctiv

ity

Pe

rfo

rma

nce

Me

asu

res.

Ta

ble

s 7

an

d C

1 i

nco

rpo

rate

th

e L

oca

l Go

vern

me

nt

Ma

nd

ato

ry P

erf

orm

an

ce M

ea

sure

s se

t o

ut

in t

he

No

n-F

ina

nci

al P

erf

orm

an

ce M

ea

sure

s

Ru

les

20

13

alt

ho

ug

h i

t is

no

tice

d t

ha

t th

e w

ord

ing

use

d i

n t

he

No

n-F

ina

nci

al P

erf

orm

an

ce M

ea

sure

s R

ule

s 2

01

3 h

as

be

en

mo

dif

ied

in

som

e o

f th

e m

ea

sure

s u

sed

in

th

e A

MP

. I

t is

su

gg

est

ed

th

at

a c

om

me

nta

ry is

pro

vid

ed

wh

ere

th

e w

ord

ing

in t

he

No

n-F

ina

nci

al

Pe

rfo

rma

nce

Me

asu

res

Ru

les

20

13

ha

s b

ee

n m

od

ifie

d t

o m

inim

ise

th

e p

oss

ibil

ity

of

sug

ge

stio

ns

of

no

n-c

om

plia

nce

wit

h t

he

ru

les.

Pe

rfo

rma

nce

ta

rge

ts f

or

ea

ch L

OS

are

sta

ted

fo

r a

10

ye

ar

ho

rizo

n.

It

is u

ncl

ea

r h

ow

th

ese

pe

rfo

rma

nce

ta

rge

ts w

ere

se

t a

nd

wh

eth

er

an

y

an

aly

sis

of

the

be

ne

fits

an

d c

ost

s o

f d

iffe

ren

t p

erf

orm

an

ce t

arg

ets

ha

s b

ee

n c

arr

ied

ou

t. A

nti

cip

ate

d c

ha

ng

es

in t

arg

et

leve

ls o

f se

rvic

e a

re

sta

ted

an

d t

he

re i

s a

dis

cuss

ion

of

serv

ice

ga

ps.

O

pp

ort

un

itie

s fo

r Im

pro

ve

me

nt

3

. P

rovi

de

a c

om

me

nta

ry o

n t

he

ju

stif

ica

tio

n f

or

an

y va

ria

nce

s b

etw

ee

n t

he

wo

rdin

g o

f m

ea

sure

s in

th

e N

on

-Fin

an

cia

l Pe

rfo

rma

nce

Me

asu

res

Ru

les

20

13

an

d t

he

wo

rdin

g o

f th

e c

orr

esp

on

din

g m

ea

sure

s in

th

e A

MP

.

4.

Pro

vid

e a

co

mm

en

tary

on

ho

w t

he

ta

rge

t le

vels

of

serv

ice

we

re s

et.

Id

ea

lly t

his

wo

uld

in

clu

de

co

nsi

de

rati

on

of

cost

imp

lica

tio

ns

of

dif

fere

nt

leve

ls o

f se

rvic

e a

lth

ou

gh

a f

ull

be

ne

fit/

cost

an

aly

sis

of

dif

fere

nt

leve

ls o

f se

rvic

e m

ay

no

t b

e j

ust

ifie

d.

0 -

In

no

cen

t 1

- A

wa

re

2 -

De

ve

lop

ing

3

- F

ull

y m

ee

ts r

eq

uir

em

en

ts

4 -

Ex

cee

ds

req

uir

em

en

ts

Th

e A

MP

do

es

no

t d

em

on

stra

te a

ny

aw

are

ne

ss o

f th

is r

eq

uir

em

en

t

Th

e A

MP

do

es

no

t cu

rre

ntl

y a

dd

ress

this

re

qu

ire

me

nt

(or

cove

rs it

in a

min

ima

l wa

y) b

ut

de

mo

nst

rate

s a

n

inte

nt

to p

rog

ress

it

Th

e A

MP

pa

rtly

co

mp

lie

s w

ith

go

od

ind

ust

ry p

ract

ice

an

d d

em

on

stra

tes

an

inte

nt

to a

chie

ve f

ull

co

mp

lian

ce w

ith

go

od

ind

ust

ry p

ract

ice

Th

e A

MP

co

mp

lies

wit

h g

oo

d in

du

stry

pra

ctic

e

Th

e A

MP

exc

ee

ds

com

plia

nce

wit

h g

oo

d

ind

ust

ry p

ract

ice

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-8

Ass

ess

me

nt

Ite

m 3

F

utu

re d

em

an

d

S

core

2

-3

Wh

y i

s th

is i

mp

ort

an

t?

O

ur

Fin

din

gs

AM

Ps

are

str

ate

gic

do

cum

en

ts w

hic

h t

ake

a lo

ng

te

rm v

iew

. I

t is

imp

ort

an

t to

ide

nti

fy t

he

pri

nci

pa

l ch

an

ge

s w

hic

h a

re l

ike

ly t

o

imp

act

on

th

e p

lan

ove

r th

e t

erm

of

the

pla

n a

nd

ta

ke a

cco

un

t o

f

the

se c

ha

ng

es

in t

he

pla

n.

Th

is i

nvo

lve

s id

en

tify

ing

th

e p

rin

cip

al

dri

vers

of

cha

ng

e,

ass

ess

ing

ho

w t

he

se d

rive

rs a

re l

ike

ly t

o c

ha

ng

e

ove

r th

e t

erm

of

the

pla

n a

nd

th

e o

vera

ll im

pa

ct o

n t

he

pla

n.

Th

e A

MP

ide

nti

fie

s 5

pri

nci

pa

l d

rive

rs o

f d

em

an

d.

·

Th

e im

pa

ct o

f d

eve

lop

me

nt

on

sto

rmw

ate

r ru

no

ff v

olu

me

s (p

erc

en

tag

e o

f h

ard

su

rfa

ce).

·

Th

e t

ype

an

d n

atu

re o

f la

nd

use

act

ivit

y.

·

Th

e im

pa

ct o

f cl

ima

te c

ha

ng

e a

nd

co

mm

un

ity

exp

ect

ati

on

s co

nce

rnin

g a

cce

pta

ble

leve

ls o

f a

nn

ua

l a

vera

ge

flo

od

da

ma

ge

.

·

Th

e e

xte

nt

to w

hic

h s

ust

ain

ab

le u

rba

n d

rain

ag

e s

olu

tio

ns

are

in

corp

ora

ted

in

to f

utu

re d

eve

lop

me

nts

·

Re

gio

na

l an

d n

ati

on

al l

eg

isla

tive

an

d r

eg

ula

tory

ch

an

ge

s se

ttin

g p

erf

orm

an

ce s

tan

da

rds

for

the

qu

alit

y o

f st

orm

wa

ter

dis

cha

rge

s.

Th

e d

em

an

d d

riv

ers

in

Se

ctio

n 5

.1 a

pp

ea

r to

pa

rtly

ove

rla

p w

ith

7 f

act

ors

th

at

are

exp

ect

ed

to

imp

act

on

th

e m

an

ag

em

en

t a

nd

de

velo

pm

en

t o

f th

e s

torm

wa

ter

ass

ets

. I

t is

su

gg

est

ed

th

at

on

ly o

ne

se

t o

f d

rive

rs i

s u

sed

. I

t is

als

o s

ug

ge

ste

d t

ha

t “T

he

im

pa

ct o

f cl

ima

te

cha

ng

e”

an

d “

com

mu

nit

y e

xpe

cta

tio

ns”

are

2 s

ep

ara

te d

rive

rs a

nd

alt

ho

ug

h t

he

re is

a r

ela

tio

nsh

ip b

etw

ee

n t

he

tw

o,

com

mu

nit

y

exp

ect

ati

on

s w

ou

ld s

till

be

lik

ely

to

be

a d

rive

r e

ven

in

th

e a

bse

nce

of

clim

ate

ch

an

ge

.

Gro

wth

in t

he

Cit

y is

dis

cuss

ed

as

a d

rive

r o

f d

em

an

d.

Se

ctio

n 5

.6 t

he

n i

de

nti

fie

s “O

the

r F

act

ors

In

flu

en

cin

g D

em

an

d a

nd

Co

nsu

mp

tio

n P

roje

ctio

ns

or

Pa

tte

rns”

as:

·

Ch

an

ge

s in

pe

rce

nta

ge

imp

erv

iou

s a

rea

s.

·

Ch

an

ge

s in

lan

d u

se t

yp

e a

nd

co

mm

erc

ial a

ctiv

ity.

·

Imp

lem

en

tati

on

of

sust

ain

ab

le u

rba

n d

rain

ag

e s

yste

ms.

·

Ch

an

ge

s in

re

gu

lato

ry a

nd

le

gis

lati

ve r

eq

uir

em

en

ts.

Th

ese

re

pe

at

the

pri

nci

pa

l dri

vers

of

de

ma

nd

in

5.1

, a

lth

ou

gh

in d

iffe

ren

t w

ord

s a

nd

wit

h t

he

exc

ep

tio

n o

f cl

ima

te c

ha

ng

e a

nd

co

mm

un

ity

exp

ect

ati

on

s.

Th

ese

fo

ur

fact

ors

are

th

en

dis

cuss

ed

alt

ho

ug

h t

he

dis

cuss

ion

on

“C

ha

ng

es

in p

erc

en

tag

e i

mp

erv

iou

s a

rea

s” a

nd

“C

ha

ng

es

in la

nd

use

ty

pe

an

d c

om

me

rcia

l a

ctiv

ity”

ap

pe

ar

in S

ect

ion

5.7

“D

em

an

d M

an

ag

em

en

t”.

Clim

ate

ch

an

ge

is t

he

n d

iscu

sse

d i

n S

ect

ion

5.9

.

Wh

ile

dri

ve

rs o

f d

em

an

d a

re i

de

nti

fie

d a

nd

dis

cuss

ed

, th

e r

ea

de

r is

le

ft w

ith

th

e i

mp

ress

ion

“So

wh

at?

W

ha

t is

th

at

lik

ely

to

me

an

fo

r th

e

flo

od

ris

k i

n P

alm

ers

ton

No

rth

an

d e

xpa

nsi

on

of

the

sto

rmw

ate

r in

fra

stru

ctu

re”?

It

is a

cce

pte

d t

ha

t it

is d

iffi

cult

to

qu

an

tify

th

e e

ffe

ct o

f

cha

ng

es

in d

em

an

d o

n s

torm

wa

ter

ma

na

ge

me

nt

bu

t th

e d

iscu

ssio

n o

n d

rive

rs o

f d

em

an

d s

ho

uld

lea

d t

o s

om

e f

orm

of

con

clu

sio

n t

ha

t ca

n

be

lin

ked

to

th

e c

ap

ita

l d

eve

lop

me

nt

pro

gra

mm

e.

O

pp

ort

un

itie

s fo

r Im

pro

ve

me

nt

5

. P

rovi

de

a c

on

clu

sio

n a

risi

ng

fro

m t

he

dis

cuss

ion

s o

f d

rive

rs o

f d

em

an

d s

ett

ing

ou

t w

ha

t ch

an

ge

s in

dri

vers

of

de

ma

nd

are

like

ly t

o

colle

ctiv

ely

me

an

fo

r th

e f

loo

d r

isk

in P

alm

ers

ton

No

rth

an

d e

xpa

nsi

on

of

the

sto

rmw

ate

r in

fra

stru

ctu

re

0 -

In

no

cen

t 1

- A

wa

re

2 -

De

ve

lop

ing

3 -

Fu

lly

me

ets

re

qu

ire

me

nts

4

- E

xce

ed

s re

qu

ire

me

nts

Th

e A

MP

do

es

no

t d

em

on

stra

te a

ny

aw

are

ne

ss o

f th

is r

eq

uir

em

en

t

Th

e A

MP

do

es

no

t cu

rre

ntl

y a

dd

ress

this

re

qu

ire

me

nt

(or

cove

rs it

in a

min

ima

l wa

y) b

ut

de

mo

nst

rate

s a

n

inte

nt

to p

rog

ress

it

Th

e A

MP

pa

rtly

co

mp

lie

s w

ith

go

od

ind

ust

ry p

ract

ice

an

d d

em

on

stra

tes

an

inte

nt

to a

chie

ve f

ull

co

mp

lian

ce w

ith

go

od

ind

ust

ry p

ract

ice

Th

e A

MP

co

mp

lies

wit

h g

oo

d in

du

stry

pra

ctic

e

Th

e A

MP

exc

ee

ds

com

plia

nce

wit

h g

oo

d

ind

ust

ry p

ract

ice

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-9

Ass

ess

me

nt

Ite

m 4

R

isk

Sco

re

3

Wh

y i

s th

is i

mp

ort

an

t?

O

ur

Fin

din

gs

AM

Ps

set

ou

t h

ow

org

an

isa

tio

ns

inte

nd

to

wo

rk t

o a

chie

ve a

ctiv

ity

spe

cifi

c a

sse

t m

an

ag

em

en

t o

bje

ctiv

es.

It

is im

po

rta

nt

to a

lso

ide

nti

fy r

isk

s to

th

e a

chie

vem

en

t o

f th

ese

ob

ject

ive

s, e

nsu

re

tra

nsp

are

ncy

of

the

se r

isk

s a

nd

ma

na

ge

th

ese

ris

ks w

ith

in t

he

ris

k

ap

pe

tite

of

the

org

an

isa

tio

n.

Ris

k sh

ou

ld b

e a

n i

np

ut

to d

eci

sio

n

ma

kin

g.

Th

ere

is c

om

pre

he

nsi

ve c

ove

rag

e o

f ri

sk in

th

e A

pp

en

dix

D o

f th

e A

MP

wit

h a

su

mm

ary

of

the

ap

pro

ach

se

t o

ut

in S

ect

ion

7.

Ris

ks

are

ma

na

ge

d i

n a

cco

rda

nce

wit

h a

Co

rpo

rate

Ris

k M

an

ag

em

en

t P

olic

y w

hic

h s

up

po

rts

a c

on

sist

en

t a

pp

roa

ch t

o r

isk

ma

na

ge

me

nt

acr

oss

th

e

org

an

isa

tio

n.

Th

is p

olic

y co

vers

str

ate

gic

, o

pe

rati

on

al a

nd

pro

ject

ris

ks.

Th

ere

is a

se

pa

rate

se

ctio

n (

7.2

) o

n A

ctiv

ity

Ris

k M

an

ag

em

en

t.

In S

ect

ion

7.2

.1,

it is

sta

ted

th

at

the

co

nse

qu

en

ce o

f ri

sk is

eva

lua

ted

in t

erm

s o

f:

·

Leg

al

·

En

viro

nm

en

tal

·

Co

rpo

rate

Im

ag

e

·

Serv

ice

de

live

ry

·

Fin

an

cia

l

·

Co

mm

un

ity

He

alt

h a

nd

Sa

fety

.

Th

e t

ab

le f

ollo

win

g F

igu

re 2

in

Ap

pe

nd

ix D

se

ts o

ut

the

Ris

k C

on

seq

ue

nce

Ra

tin

g s

yste

m.

It

is n

oti

ced

th

at

in t

his

ta

ble

“E

nvir

on

me

nta

l” is

no

t id

en

tifi

ed

as

an

are

a o

f im

pa

ct w

ith

en

viro

nm

en

tal

da

ma

ge

be

ing

incl

ud

ed

in t

he

“Le

ga

l” c

ate

go

ry.

It

is s

ug

ge

ste

d t

ha

t p

art

icu

larl

y fo

r

an

act

ivit

y su

ch a

s st

orm

wa

ter

wh

ich

is a

n e

nvi

ron

me

nta

lly

sen

siti

ve a

ctiv

ity,

“E

nvir

on

me

nta

l” s

ho

uld

be

a s

ep

ara

te c

on

seq

ue

nce

cate

go

ry.

Fig

ure

D2

se

ts o

ut

a r

isk

ma

na

ge

me

nt

pro

cess

wh

ich

incl

ud

es

the

id

en

tifi

cati

on

of

risk

.

Ris

ks

are

un

cert

ain

fu

ture

eve

nts

th

at

cou

ld i

mp

act

on

an

org

an

isa

tio

n’s

ab

ilit

y t

o a

chie

ve

its

ob

ject

ive

s. T

he

AS

/NZ

S I

SO

31

00

0:2

00

9

Sta

nd

ard

de

fin

es

risk

as

the

“e

ffe

ct o

f u

nce

rta

inty

on

ob

ject

ive

s”.

R

isks

sh

ou

ld t

he

refo

re b

e id

en

tifi

ed

in t

erm

s o

f o

bje

ctiv

es

(Im

pa

ct o

n

ob

ject

ive

s is

wh

at

ma

ke

s a

ris

k a

ris

k).

It

is s

ug

ge

ste

d t

ha

t th

is p

roce

ss d

iag

ram

sh

ou

ld a

lso

incl

ud

e r

efe

ren

ce t

o o

bje

ctiv

es

in t

he

ris

k

ide

nti

fica

tio

n p

ha

se.

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-1

0

Ap

pe

nd

ix D

in

corp

ora

tes

a c

om

pre

he

nsi

ve r

isk

reg

iste

r se

ttin

g o

ut

gro

ss r

isk

s, c

urr

en

t co

ntr

ols

, re

sid

ua

l (n

et)

ris

ks w

ith

cu

rre

nt

con

tro

ls

an

d p

oss

ible

ad

dit

ion

al c

on

tro

ls t

ha

t co

uld

be

im

ple

me

nte

d.

It

is n

ote

d t

ha

t th

e c

olo

ur

cod

ing

of

risk

s in

th

is r

eg

iste

r a

pp

ea

rs t

o b

e

dif

fere

nt

to t

ha

t u

sed

in

Ta

ble

3:

Ris

k A

sse

ssm

en

t M

atr

ix –

fo

r e

xam

ple

Gro

ss R

isk

SW0

5 i

s id

en

tifi

ed

as

a c

riti

cal r

isk

bu

t is

co

de

d g

rey

wh

ich

is t

he

co

din

g f

or

an

in

sig

nif

ica

nt

risk

an

d N

et

Ris

k S

W0

5 i

s id

en

tifi

ed

as

a m

ed

ium

ris

k b

ut

is c

od

ed

blu

e w

hic

h i

s th

e c

od

ing

fo

r a

low

risk

.

O

pp

ort

un

itie

s fo

r Im

pro

ve

me

nt

6

. A

dd

co

nsi

de

rati

on

of

ob

ject

ive

s to

Fig

ure

D2

- r

isk

ma

na

ge

me

nt

pro

cess

re

cog

nis

ing

th

at

it is

im

pa

ct o

n o

bje

ctiv

es

wh

ich

ma

kes

a r

isk

a r

isk.

0 -

In

no

cen

t 1

- A

wa

re

2 -

De

ve

lop

ing

3

- F

ull

y m

ee

ts r

eq

uir

em

en

ts

4 -

Ex

cee

ds

req

uir

em

en

ts

Th

e A

MP

do

es

no

t d

em

on

stra

te a

ny

aw

are

ne

ss o

f th

is r

eq

uir

em

en

t

Th

e A

MP

do

es

no

t cu

rre

ntl

y a

dd

ress

this

re

qu

ire

me

nt

(or

cove

rs it

in a

min

ima

l wa

y) b

ut

de

mo

nst

rate

s a

n

inte

nt

to p

rog

ress

it

Th

e A

MP

pa

rtly

co

mp

lie

s w

ith

go

od

ind

ust

ry p

ract

ice

an

d d

em

on

stra

tes

an

inte

nt

to a

chie

ve f

ull

co

mp

lian

ce w

ith

go

od

ind

ust

ry p

ract

ice

Th

e A

MP

co

mp

lies

wit

h g

oo

d in

du

stry

pra

ctic

e

Th

e A

MP

exc

ee

ds

com

plia

nce

wit

h g

oo

d

ind

ust

ry p

ract

ice

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-1

1

Ass

ess

me

nt

Ite

m 5

C

riti

cal

ass

ets

Sco

re

2-3

Wh

y i

s th

is i

mp

ort

an

t?

O

ur

Fin

din

gs

Cri

tica

l ass

ets

are

th

ose

wit

h a

hig

h c

on

seq

ue

nce

of

failu

re.

It is

imp

ort

an

t th

at

crit

ica

l ass

ets

are

id

en

tifi

ed

usi

ng

a d

efi

ne

d a

nd

con

sist

en

t m

eth

od

olo

gy

an

d t

ha

t a

pp

rop

ria

te in

terv

en

tio

ns

are

pu

t

in p

lace

(su

ch a

s co

nd

itio

n m

on

ito

rin

g,

rep

lace

me

nt

be

fore

fa

ilure

,

con

tin

ge

ncy

pla

nn

ing

, a

ctio

ns

to r

ed

uce

cri

tica

lity)

to

min

imis

e t

he

risk

of

failu

re o

f cr

itic

al a

sse

ts.

Ass

et

Cri

tica

lity

is s

um

ma

rise

d in

7.1

.6 -

Se

ctio

n 7

– R

isk

s a

nd

Re

sili

en

ce a

nd

co

vere

d in

mo

re d

eta

il in

7.2

.3.

In

7.2

.3,

crit

ica

l ass

ets

are

ide

nti

fie

d “

as

tho

se a

sse

ts w

hic

h h

ave

th

e h

igh

est

co

nse

qu

en

ces

sho

uld

th

ey f

ail

”.

Sect

ion

7.2

.3 s

tate

s th

at

Cri

teri

a f

or

ass

ess

ing

cri

tica

lity

are

:

·

Are

a o

f ca

tch

me

nt/

sub

-ca

tch

me

nt

serv

ed

;

·

Nu

mb

er

of

pe

op

le a

nd

pro

pe

rtie

s a

dve

rse

ly a

ffe

cte

d;

·

Sig

nif

ica

nt

bu

sin

ess

act

ivit

y in

terr

up

ted

;

·

Co

nse

qu

en

tia

l co

st o

f fa

ilure

;

·

Cri

tica

l lif

eli

ne

/dis

ast

er

reco

very

ass

et.

Cri

tica

lity

of

tre

atm

en

t p

lan

t a

sse

ts is

ba

sed

on

th

e c

on

seq

ue

nce

of

failu

re o

f e

ach

co

mp

on

en

t a

nd

its

ro

le a

s p

art

of

the

tre

atm

en

t

pro

cess

ove

rall.

Ris

k a

nd

cri

tica

lity

are

lin

ked

. W

he

rea

s ri

sk i

s a

co

mb

ina

tio

n o

f co

nse

qu

en

ce a

nd

pro

ba

bil

ity,

cri

tica

lity

is a

bo

ut

con

seq

ue

nce

on

ly.

Co

nse

qu

en

ce o

f a

ctiv

ity

risk

is

ass

ess

ed

in

th

e A

MP

in t

erm

s o

f th

e f

ollo

win

g:

·

Leg

al

·

En

viro

nm

en

tal

·

Co

rpo

rate

Im

ag

e

·

Serv

ice

de

live

ry

·

Fin

an

cia

l

·

Co

mm

un

ity

He

alt

h a

nd

Sa

fety

.

In t

he

in

tere

sts

of

con

sist

en

cy,

the

sa

me

cri

teri

a s

ho

uld

be

use

d t

o a

sse

ss c

riti

calit

y. F

or

exa

mp

le s

ho

uld

an

ass

et

wh

ose

fa

ilu

re w

ou

ld b

e

like

ly t

o le

ad

to

se

vere

pro

pe

rty

or

en

viro

nm

en

tal

da

ma

ge

, n

ati

on

al h

ea

dlin

es

an

d p

rose

cuti

on

of

the

Co

un

cil

be

co

nsi

de

red

a c

riti

cal

ass

et?

It

pro

ba

bly

sh

ou

ld.

Se

ctio

n 6

.7.3

se

ts o

ut

ho

w t

he

Co

un

cil’

s m

ain

ten

an

ce s

tra

teg

y i

s li

nk

ed

to

ass

et

crit

ica

lity

wit

h d

iffe

ren

t in

spe

ctio

n a

nd

ma

inte

na

nce

reg

ime

s fo

r:

·

Hig

hly

cri

tica

l ass

ets

·

Me

diu

m a

nd

Lo

w c

riti

calit

y a

sse

ts

·

No

n c

riti

cal a

sse

ts

Cri

tica

lity

is a

lso

ta

ken

in

to a

cco

un

t in

ma

kin

g r

en

ew

al d

eci

sio

ns.

Ta

ken

ove

rall,

cri

tica

lity

is w

ell

do

ne

in t

he

Sto

rmw

ate

r A

MP

.

O

pp

ort

un

itie

s fo

r Im

pro

ve

me

nt

7

. E

nsu

re a

lig

nm

en

t a

nd

co

nsi

ste

ncy

be

twe

en

ass

ess

me

nts

of

crit

ica

lity

an

d a

sse

ssm

en

ts o

f ri

sk b

y a

sse

ssin

g c

on

seq

ue

nce

on

th

e s

am

e

ba

sis

for

bo

th r

isk

an

d c

riti

calit

y.

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-1

2

0 -

In

no

cen

t 1

- A

wa

re

2 -

De

ve

lop

ing

3 -

Fu

lly

me

ets

re

qu

ire

me

nts

4

- E

xce

ed

s re

qu

ire

me

nts

Th

e A

MP

do

es

no

t d

em

on

stra

te a

ny

aw

are

ne

ss o

f th

is r

eq

uir

em

en

t

Th

e A

MP

do

es

no

t cu

rre

ntl

y a

dd

ress

this

re

qu

ire

me

nt

(or

cove

rs it

in a

min

ima

l wa

y) b

ut

de

mo

nst

rate

s a

n

inte

nt

to p

rog

ress

it

Th

e A

MP

pa

rtly

co

mp

lie

s w

ith

go

od

ind

ust

ry p

ract

ice

an

d d

em

on

stra

tes

an

inte

nt

to a

chie

ve f

ull

co

mp

lian

ce w

ith

go

od

ind

ust

ry p

ract

ice

Th

e A

MP

co

mp

lies

wit

h g

oo

d in

du

stry

pra

ctic

e

Th

e A

MP

exc

ee

ds

com

plia

nce

wit

h g

oo

d

ind

ust

ry p

ract

ice

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-1

3

Ass

ess

me

nt

Ite

m 6

Ju

stif

ica

tio

n f

or

ma

inte

na

nce

pro

gra

mm

es

S

core

2

-3

Wh

y i

s th

is i

mp

ort

an

t?

O

ur

Fin

din

gs

Ma

inte

na

nce

pro

gra

mm

es

are

re

lie

d u

po

n a

s a

so

urc

e o

f in

pu

ts t

o

the

Co

un

cil’

s lo

ng

te

rm f

ina

nci

al

pla

nn

ing

an

d t

he

Co

un

cil

Lon

g

Te

rm P

lan

. T

he

y sh

ou

ld p

rovi

de

co

nfi

de

nce

th

at

an

ap

pro

pri

ate

leve

l of

ma

inte

na

nce

is b

ein

g c

arr

ied

ou

t a

nd

th

at

the

ab

ility

to

ach

ieve

se

rvic

e o

bje

ctiv

es

an

d t

he

se

rvic

e c

ap

ab

ility

of

the

ass

ets

is

no

t b

ein

g c

om

pro

mis

ed

.

Ma

inte

na

nce

pro

gra

mm

es

sho

uld

be

su

bje

ct t

o s

yst

em

ati

c d

eci

sio

n-

ma

kin

g p

roce

sse

s to

op

tim

ise

th

ese

pro

gra

mm

es

Ro

ad

ing

AM

Ps

sho

uld

in

corp

ora

te t

he

NZ

TA

Bu

sin

ess

Ca

se

Ap

pro

ach

to

en

suri

ng

ap

pro

pri

ate

an

d c

ost

eff

ect

ive

ma

inte

na

nce

pro

gra

mm

es.

Th

ere

sh

ou

ld b

e a

cle

ar

lin

e o

f si

gh

t fr

om

th

e m

ain

ten

an

ce

pro

gra

mm

es

in t

he

AM

P t

o t

he

fin

an

cia

l pro

gra

mm

es

in t

he

LT

P.

Th

e r

ea

son

s a

nd

co

nse

qu

en

ces

of

an

y in

con

sist

en

cie

s b

etw

ee

n t

he

AM

P a

nd

th

e L

TP

sh

ou

ld b

e s

tate

d

Op

era

tio

n &

Ma

inte

na

nce

of

Ass

ets

is s

et

ou

t in

Se

ctio

n 6

.7.

Th

e p

urp

ose

of

ass

et

op

era

tio

n a

nd

ma

inte

na

nce

is c

lea

rly

set

ou

t a

s b

ein

g

“to

en

sure

th

at

ass

ets

wil

l o

pe

rate

as

de

sig

ne

d a

nd

co

nti

nu

e t

o d

o s

o r

eli

ab

ly w

he

n r

eq

uir

ed

”.

An

op

tim

um

le

ve

l o

f m

ain

ten

an

ce w

ill

als

o m

axi

mis

e t

he

va

lue

to

be

ob

tain

ed

fro

m t

he

co

mm

un

ity

’s in

ve

stm

en

t in

th

e s

torm

wa

ter

ass

ets

.

Th

ere

are

de

fin

ed

ma

inte

na

nce

str

ate

gie

s b

ase

d o

n t

he

cri

tica

lity

of

ass

ets

se

t o

ut

in S

ect

ion

6.7

.3.

It i

s im

po

rta

nt

tha

t u

tili

tie

s a

re o

pe

rate

d c

orr

ect

ly i

n a

cco

rda

nce

wit

h t

he

de

sig

ne

r’s

inte

nti

on

s. T

he

re a

re s

eve

n s

torm

wa

ter

pu

mp

ing

sta

tio

ns,

th

e m

ajo

rity

of

wh

ich

are

hig

hly

cri

tica

l.

Op

era

tio

n a

nd

ma

inte

na

nce

of

key

sto

rmw

ate

r u

tilit

ies

sho

uld

be

ca

rrie

d o

ut

in

acc

ord

an

ce w

ith

de

fin

ed

pro

ced

ure

s w

hic

h a

re d

ocu

me

nte

d i

n o

pe

rati

on

s m

an

ua

ls.

Th

e r

isk

reg

iste

r in

Ap

pe

nd

ix D

ind

ica

tes

tha

t th

ere

are

op

era

tio

ns

ma

nu

als

fo

r a

ll st

orm

wa

ter

pu

mp

sta

tio

ns.

T

he

se m

an

ua

ls a

lso

pro

vid

e a

ba

sis

for

au

dit

s to

be

ca

rrie

d o

ut

to e

nsu

re

uti

litie

s a

re b

ein

g o

pe

rate

d a

nd

ma

inta

ine

d c

orr

ect

ly.

As

ind

ica

ted

in

Ite

m 1

the

re a

pp

ea

rs t

o b

e a

va

ria

nce

be

twe

en

th

e O

pe

rati

on

s a

nd

Ma

inte

na

nce

Fo

reca

st E

xpe

nd

itu

re i

n T

ab

le 1

9 a

nd

th

e

sum

ma

ry in

Ap

pe

nd

ix E

1.

Ide

ally

th

e A

MP

wo

uld

pro

vid

e a

dd

itio

na

l co

mm

en

tary

on

th

e b

asi

s o

f th

e j

ust

ific

ati

on

fo

r th

e e

xpe

nd

itu

re f

ore

cast

s in

Ta

ble

19

. T

he

Op

era

tio

n &

Ma

inte

na

nce

of

Ass

ets

se

ctio

n o

f th

e A

MP

sh

ou

ld e

xpla

in “

this

is

wh

at

we

ne

ed

to

do

(a

nd

wh

y)

an

d t

he

se a

re t

he

co

sts

ari

sin

g f

rom

th

at”

.

Such

a c

om

me

nta

ry m

igh

t b

e a

lon

g t

he

fo

llow

ing

ge

ne

ral l

ine

s:

“Th

e b

ud

ge

t h

as

be

en

de

rive

d f

rom

his

tori

c co

sts

tha

t h

ave

be

en

est

ab

lish

ed

as

be

ing

su

ffic

ien

t to

ca

rry o

ut

the

ma

inte

na

nce

an

d

op

era

tio

n p

rog

ram

me

an

d w

hic

h h

ave

be

en

am

en

de

d a

s n

ece

ssa

ry t

o a

llo

w f

or

cha

ng

es

in m

an

ag

em

en

t a

ctiv

itie

s a

nd

pra

ctic

es.

Th

e

fore

cast

fo

r e

xpe

nd

itu

re i

s b

ase

d o

n a

ssu

mp

tio

ns

tha

t:

·

Th

e o

ve

rall

co

nd

itio

n o

f th

e n

etw

ork

wil

l n

ot

cha

ng

e s

ign

ific

an

tly o

ve

r th

e n

ext

15

ye

ars

(se

e r

en

ew

al

stra

teg

ies)

.

·

Ext

en

sio

ns

of

the

sto

rmw

ate

r sy

ste

m w

ill

rep

rese

nt

on

ly a

sm

all

pro

po

rtio

n o

f th

e e

nti

re s

yst

em

(se

e d

em

an

d p

roje

ctio

ns)

.

·

Th

e l

eve

l o

f m

ain

ten

an

ce r

eq

uir

ed

wil

l n

ot

incr

ea

se (

an

d m

ay d

ecr

ea

se),

re

fle

ctin

g a

n i

ncr

ea

se i

n t

he

ove

rall

co

nd

itio

n o

f th

e

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-1

4

sto

rmw

ate

r n

etw

ork

as

a r

esu

lt o

f th

e a

sse

t re

ne

wa

l p

rog

ram

me

.

·

Th

ere

wil

l b

e a

sig

nif

ica

nt

incr

ea

se i

n t

he

pri

ce o

f th

e o

pe

rati

on

an

d m

ain

ten

an

ce c

on

tra

ct (

a 5

-ye

ar

con

tra

ct)

wh

en

it

is c

om

pe

titi

ve

ly

re-t

en

de

red

. (t

his

re

fle

cts

ou

r a

sse

ssm

en

t o

f th

e m

ark

et

for

this

typ

e o

f w

ork

)”.

O

pp

ort

un

itie

s fo

r Im

pro

ve

me

nt

8

. E

nsu

re t

he

re is

a c

lea

r li

ne

of

sig

ht

fro

m t

he

fin

an

cia

l fo

reca

sts

in t

he

op

era

tio

ns

an

d m

ain

ten

an

ce p

rog

ram

me

to

th

e c

on

soli

da

ted

fin

an

cia

l pro

ject

ion

s in

Ap

pe

nd

ix E

to

th

e f

ina

nci

als

in

th

e p

ub

lish

ed

LT

P.

9.

Pro

vid

e a

dd

itio

na

l co

mm

en

tary

ju

stif

yin

g t

he

bu

dg

ets

ari

sin

g f

rom

th

e m

ain

ten

an

ce a

nd

op

era

tio

ns

pro

gra

mm

es.

0 -

In

no

cen

t 1

- A

wa

re

2 -

De

ve

lop

ing

3 -

Fu

lly

me

ets

re

qu

ire

me

nts

4

- E

xce

ed

s re

qu

ire

me

nts

Th

e A

MP

do

es

no

t d

em

on

stra

te a

ny

aw

are

ne

ss o

f th

is r

eq

uir

em

en

t

Th

e A

MP

do

es

no

t cu

rre

ntl

y a

dd

ress

this

re

qu

ire

me

nt

(or

cove

rs it

in a

min

ima

l wa

y) b

ut

de

mo

nst

rate

s a

n

inte

nt

to p

rog

ress

it

Th

e A

MP

pa

rtly

co

mp

lie

s w

ith

go

od

ind

ust

ry p

ract

ice

an

d d

em

on

stra

tes

an

inte

nt

to a

chie

ve f

ull

co

mp

lian

ce w

ith

go

od

ind

ust

ry p

ract

ice

Th

e A

MP

co

mp

lies

wit

h g

oo

d in

du

stry

pra

ctic

e

Th

e A

MP

exc

ee

ds

com

plia

nce

wit

h g

oo

d

ind

ust

ry p

ract

ice

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-1

5

Ass

ess

me

nt

Ite

m 7

Ju

stif

ica

tio

n f

or

ass

et

ren

ew

al

pro

gra

mm

e

S

core

3

Wh

y i

s th

is i

mp

ort

an

t?

O

ur

Fin

din

gs

Ass

et

Re

ne

wa

l Pro

gra

mm

es

are

re

lied

up

on

as

a s

ou

rce

of

inp

uts

to

the

Co

un

cil’

s lo

ng

te

rm f

ina

nci

al

pla

nn

ing

an

d t

he

Co

un

cil

Lon

g

Te

rm P

lan

. T

he

y sh

ou

ld p

rovi

de

co

nfi

de

nce

th

at

an

op

tim

um

le

vel

of

ass

et

ren

ew

al i

s b

ein

g c

arr

ied

ou

t w

hic

h w

ill m

ain

tain

an

acc

ep

tab

le l

eve

l of

serv

ice

ca

pa

bil

ity

of

the

ass

et

syst

em

s, w

hile

ma

xim

isin

g t

he

va

lue

to

be

ob

tain

ed

fro

m in

vest

me

nt

in t

he

ass

ets

,

an

d t

ha

t a

sse

t re

ne

wa

l p

rog

ram

me

s a

re c

ost

eff

ect

ive

.

Re

ne

wa

l pro

gra

mm

es

sho

uld

be

su

bje

ct t

o s

yste

ma

tic

de

cisi

on

-

ma

kin

g p

roce

sse

s (O

DM

) to

op

tim

ise

th

ese

pro

gra

mm

es.

Ro

ad

ing

AM

Ps

sho

uld

in

corp

ora

te t

he

NZ

TA

Bu

sin

ess

Ca

se

Ap

pro

ach

to

en

suri

ng

ap

pro

pri

ate

an

d c

ost

eff

ect

ive

ass

et

ren

ew

al

pro

gra

mm

e.

Th

ere

sh

ou

ld b

e a

cle

ar

lin

e o

f si

gh

t fr

om

th

e a

sse

t re

ne

wa

l

pro

gra

mm

es

in t

he

AM

P t

o t

he

fin

an

cia

l pro

gra

mm

es

in t

he

LT

P.

Th

e r

ea

son

s a

nd

co

nse

qu

en

ces

of

an

y in

con

sist

en

cie

s b

etw

ee

n t

he

AM

P a

nd

th

e L

TP

sh

ou

ld b

e s

tate

d

Th

e r

en

ew

al o

f a

sse

ts is

co

vere

d i

n 6

.8.

Th

e r

en

ew

al p

rog

ram

me

is d

ete

rmin

ed

fro

m c

on

sid

era

tio

n o

f cr

itic

alit

y, c

on

dit

ion

, a

sse

t

pe

rfo

rma

nce

an

d t

he

va

lue

to

be

ob

tain

ed

fro

m in

ve

stm

en

t in

ass

et

ren

ew

al.

R

en

ew

als

are

ca

rrie

d o

ut

in a

cco

rda

nce

wit

h a

5 y

ea

r ro

llin

g

ren

ew

al p

lan

.

Fig

ure

21

se

ts o

ut

the

lon

g t

erm

re

ne

wa

l pro

file

fo

r th

e s

torm

wa

ter

ne

two

rk.

Th

is is

ba

sed

on

th

e e

xpe

cte

d u

sefu

l liv

es

of

the

dif

fere

nt

ass

et

typ

es.

T

he

liv

es

of

som

e o

f th

ese

ass

ets

ap

pe

ar

con

sid

era

bly

lon

ge

r th

at

tho

se a

do

pte

d b

y so

me

oth

er

terr

ito

ria

l au

tho

riti

es,

pa

rtic

ula

rly

the

lif

e o

f 1

50

ye

ars

ad

op

ted

fo

r su

mp

lea

ds.

Th

is d

oe

s n

ot

ma

ke t

he

se li

ve

s w

ron

g,

bu

t it

is im

po

rta

nt

to h

ave

a s

ou

nd

just

ific

ati

on

wh

ere

sig

nif

ica

ntl

y n

on

-sta

nd

ard

live

s a

re u

sed

to

co

un

ter

an

y su

gg

est

ion

s th

at

futu

re r

en

ew

al r

eq

uir

em

en

ts a

re b

ein

g

un

de

rest

ima

ted

.

As

wo

uld

be

exp

ect

ed

fro

m t

he

ass

et

live

s a

do

pte

d,

pro

po

sed

exp

en

dit

ure

on

re

ne

wa

ls is

sig

nif

ica

ntl

y le

ss t

ha

n d

ep

reci

ati

on

. W

hil

e t

his

sim

ply

re

fle

cts

the

co

nd

itio

n a

nd

re

ma

inin

g li

fe p

rofi

les

of

the

ass

ets

, so

me

ad

dit

ion

al c

om

me

nta

ry a

bo

ut

this

va

ria

nce

is d

esi

rab

le t

o

dis

pe

l in

corr

ect

pe

rce

pti

on

s th

at

an

insu

ffic

ien

t le

vel o

f re

ne

wa

ls i

s p

rop

ose

d.

Th

is is

an

issu

e t

ha

t h

as

be

en

ra

ise

d b

y A

ud

it N

ew

Ze

ala

nd

in a

ud

its

of

oth

er

terr

ito

ria

l au

tho

riti

es

an

d s

ho

uld

be

ad

dre

sse

d p

roa

ctiv

ely

in t

he

AM

P.

O

pp

ort

un

itie

s fo

r Im

pro

ve

me

nt

1

0.

Pro

vid

e a

dd

itio

na

l ju

stif

ica

tio

n f

or

the

use

ful

live

s a

do

pte

d f

or

the

sto

rmw

ate

r a

sse

ts.

11

. P

rovi

de

ad

dit

ion

al c

om

me

nta

ry o

n t

he

va

ria

nce

be

twe

en

de

pre

cia

tio

n a

nd

th

e a

sse

t re

ne

wa

l pro

ject

ion

to

pro

vid

e a

ssu

ran

ce t

ha

t a

n

ap

pro

pri

ate

leve

l of

ren

ew

als

is

pla

nn

ed

wh

ich

will

ma

inta

in t

he

ove

rall

serv

ice

ca

pa

bil

ity

of

the

sto

rmw

ate

r in

fra

stru

ctu

re.

0 -

In

no

cen

t 1

- A

wa

re

2 -

De

ve

lop

ing

3

- F

ull

y m

ee

ts r

eq

uir

em

en

ts

4 -

Ex

cee

ds

req

uir

em

en

ts

Th

e A

MP

do

es

no

t d

em

on

stra

te a

ny

aw

are

ne

ss o

f th

is r

eq

uir

em

en

t

Th

e A

MP

do

es

no

t cu

rre

ntl

y a

dd

ress

this

re

qu

ire

me

nt

(or

cove

rs it

in a

min

ima

l wa

y) b

ut

de

mo

nst

rate

s a

n

inte

nt

to p

rog

ress

it

Th

e A

MP

pa

rtly

co

mp

lie

s w

ith

go

od

ind

ust

ry p

ract

ice

an

d d

em

on

stra

tes

an

inte

nt

to a

chie

ve f

ull

co

mp

lian

ce w

ith

go

od

ind

ust

ry p

ract

ice

Th

e A

MP

co

mp

lies

wit

h g

oo

d in

du

stry

pra

ctic

e

Th

e A

MP

exc

ee

ds

com

plia

nce

wit

h g

oo

d

ind

ust

ry p

ract

ice

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-1

6

Ass

ess

me

nt

Ite

m 8

Ju

stif

ica

tio

n f

or

ass

et

de

ve

lop

me

nt

pro

gra

mm

e

S

core

2

-3

Wh

y i

s th

is i

mp

ort

an

t?

O

ur

Fin

din

gs

Ass

et

De

velo

pm

en

t P

rog

ram

me

s a

re r

eli

ed

up

on

as

a s

ou

rce

of

inp

uts

to

th

e C

ou

nci

l’s

lon

g t

erm

fin

an

cia

l p

lan

nin

g a

nd

th

e C

ou

nci

l

Lon

g T

erm

Pla

n.

Ass

et

De

velo

pm

en

t P

rog

ram

me

s cl

ose

cu

rre

nt

an

d

pro

ject

ed

se

rvic

e g

ap

s.

Th

ey

sho

uld

pro

vid

e c

on

fid

en

ce t

ha

t a

n

acc

ep

tab

le l

eve

l of

serv

ice

ca

pa

bil

ity

will

be

ma

inta

ine

d i

nto

th

e

futu

re.

Ass

et

de

velo

pm

en

t p

rog

ram

me

s sh

ou

ld b

e s

ub

ject

to

sys

tem

ati

c

de

cisi

on

-ma

kin

g p

roce

sse

s (O

DM

) to

op

tim

ise

th

ese

pro

gra

mm

es.

Alt

ho

ug

h t

he

ra

te o

f cl

osi

ng

se

rvic

e g

ap

s is

a p

olit

ica

l de

cisi

on

an

d i

s

sub

ject

to

co

mp

eti

ng

de

ma

nd

s fo

r C

ou

nci

l fu

nd

ing

, it

sh

ou

ld b

e

no

ted

in t

he

pla

ns.

Ro

ad

ing

AM

Ps

sho

uld

in

corp

ora

te t

he

NZ

TA

Bu

sin

ess

Ca

se

Ap

pro

ach

to

en

suri

ng

ap

pro

pri

ate

an

d c

ost

eff

ect

ive

ass

et

de

velo

pm

en

t p

rog

ram

me

.

Th

ere

sh

ou

ld b

e a

cle

ar

lin

e o

f si

gh

t fr

om

th

e a

sse

t d

ev

elo

pm

en

t

pro

gra

mm

es

in t

he

AM

P t

o t

he

fin

an

cia

l pro

gra

mm

es

in t

he

LT

P.

Th

e r

ea

son

s a

nd

co

nse

qu

en

ces

of

an

y in

con

sist

en

cie

s b

etw

ee

n t

he

AM

P a

nd

th

e L

TP

sh

ou

ld b

e s

tate

d

All

ass

et

de

velo

pm

en

t p

rop

osa

ls s

ho

uld

be

cle

arl

y lin

ke

d t

o a

cu

rre

nt

or

an

tici

pa

ted

se

rvic

e g

ap

. T

his

ma

y b

e a

cu

sto

me

r o

r te

chn

ica

l

serv

ice

ga

p a

nd

sh

ou

ld id

ea

lly r

ela

te t

o a

se

rvic

e s

tan

da

rd t

ha

t is

de

fin

ed

in t

he

AM

P.

Th

is r

efl

ect

s th

e f

irst

De

velo

pm

en

t S

tra

teg

y in

6.9

.2

of

the

AM

P w

hic

h is

fo

r “D

eve

lop

me

nt

of

the

sto

rmw

ate

r sy

ste

m t

o a

chie

ve

th

e a

gre

ed

le

ve

ls o

f se

rvic

e a

nd

gro

wth

pro

ject

ion

s o

ve

r th

e

ne

xt 3

0 y

ea

rs”.

If le

vels

of

serv

ice

are

lin

ked

ba

ck t

o C

om

mu

nit

y O

utc

om

es/

Co

un

cil O

bje

ctiv

es

the

n b

y lin

kin

g d

eve

lop

me

nt

pro

po

sals

to

se

rvic

e g

ap

s it

follo

ws

tha

t th

ese

pro

po

sals

will

, if

ad

op

ted

co

ntr

ibu

te t

o t

he

ach

ieve

me

nt

of

Co

mm

un

ity

Ou

tco

me

s, w

hic

h is

th

e in

ten

t o

f th

e L

GA

20

02

.

Th

ere

is a

dis

cuss

ion

on

se

rvic

e le

vel g

ap

s in

Se

ctio

n 4

.5.4

of

the

AM

P.

Se

rvic

e g

ap

s a

pp

ea

r to

re

late

to

·

Ca

pa

city

co

nst

rain

ts (

an

d c

on

dit

ion

issu

es)

in s

om

e o

lde

r a

rea

s o

f th

e c

ity.

·

Pro

xim

ity

of

som

e a

rea

s to

ma

jor

ove

rla

nd

flo

wp

ath

s.

·

Insu

ffic

ien

t re

ticu

lati

on

in

so

me

are

as.

·

Dis

cha

rge

of

con

tam

ina

nts

to

so

me

wa

terc

ou

rse

s.

Sect

ion

6.9

.1 s

tate

s th

at

“De

ve

lop

me

nt

wo

rk m

ay b

e n

ece

ssa

ry f

or

the

fo

llo

win

g r

ea

son

s:

·

Gro

wth

an

d i

ncr

ea

se i

n d

em

an

d;

·

Ch

an

ge

s to

Co

un

cil p

oli

cy a

nd

str

ate

gy;

·

Ch

an

ge

s to

re

gu

lati

on

s a

nd

le

gis

lati

on

; a

nd

·

Ch

an

ge

s to

le

ve

ls o

f se

rvic

e.”

It is

imp

ort

an

t to

be

ab

le t

o r

eco

nci

le t

he

ju

stif

ica

tio

n f

or

de

velo

pm

en

t w

ork

wit

h c

urr

en

t o

r p

roje

cte

d s

erv

ice

leve

l ga

ps.

An

eco

no

mic

ap

pra

isa

l of

pro

po

sed

pro

ject

s is

re

qu

ire

d u

sin

g c

ost

/be

ne

fit

an

aly

sis

tech

niq

ue

s w

hic

h t

ake

into

acc

ou

nt:

·

Ca

pit

al c

ost

s,

·

An

y ch

an

ge

in n

et

an

nu

al o

pe

rati

ng

co

sts,

·

An

y ch

an

ge

in a

nn

ua

l ma

inte

na

nce

re

qu

ire

me

nts

, a

nd

·

An

y sa

lva

ge

va

lue

of

exi

stin

g a

sse

ts o

r co

mp

on

en

ts.

A P

roje

ct E

xecu

tio

n P

lan

fo

r is

re

qu

ire

d f

or

pri

or

ap

pro

val b

y th

e m

an

ag

em

en

t te

am

.

Sch

ed

ule

10

of

the

LG

A 2

00

2 r

eq

uir

es

cap

ita

l de

velo

pm

en

t e

xpe

nd

itu

re t

o b

e i

de

nti

fie

d a

s b

ein

g r

eq

uir

ed

to

se

rvic

e g

ap

s a

risi

ng

fro

m a

ne

ed

to

:

·

me

et

ad

dit

ion

al d

em

an

d f

or

an

act

ivit

y (g

row

th);

or

·

imp

rove

th

e l

eve

l of

serv

ice

.

Th

e D

eve

lop

me

nt

Pro

gra

mm

e B

ud

ge

t in

ta

ble

25

sh

ow

s th

e p

rop

ose

d l

eve

ls o

f e

xpe

nd

itu

re i

n e

ach

ca

teg

ory

. T

he

se

rvic

e g

ap

s th

at

the

se

pro

ject

s re

late

to

is u

ncl

ea

r.

O

pp

ort

un

itie

s fo

r Im

pro

ve

me

nt

1

2.

Pro

vid

e a

cle

are

r li

nk

be

twe

en

th

e p

rop

ose

d d

eve

lop

me

nt

pro

gra

mm

e a

nd

cu

rre

nt

an

d p

roje

cte

d g

ap

s b

etw

ee

n t

arg

et

LOS

sho

wn

in

Sect

ion

4 o

f th

e A

MP

an

d c

urr

en

t se

rvic

e c

ap

ab

ilit

y.

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-1

7

0 -

In

no

cen

t 1

- A

wa

re

2 -

De

ve

lop

ing

3 -

Fu

lly

me

ets

re

qu

ire

me

nts

4

- E

xce

ed

s re

qu

ire

me

nts

Th

e A

MP

do

es

no

t d

em

on

stra

te a

ny

aw

are

ne

ss o

f th

is r

eq

uir

em

en

t

Th

e A

MP

do

es

no

t cu

rre

ntl

y a

dd

ress

this

re

qu

ire

me

nt

(or

cove

rs it

in a

min

ima

l wa

y) b

ut

de

mo

nst

rate

s a

n

inte

nt

to p

rog

ress

it

Th

e A

MP

pa

rtly

co

mp

lie

s w

ith

go

od

ind

ust

ry p

ract

ice

an

d d

em

on

stra

tes

an

inte

nt

to a

chie

ve f

ull

co

mp

lian

ce w

ith

go

od

ind

ust

ry p

ract

ice

Th

e A

MP

co

mp

lies

wit

h g

oo

d in

du

stry

pra

ctic

e

Th

e A

MP

exc

ee

ds

com

plia

nce

wit

h g

oo

d

ind

ust

ry p

ract

ice

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-1

8

Ass

ess

me

nt

Ite

m 9

D

ata

Sco

re

3

Wh

y i

s th

is i

mp

ort

an

t?

O

ur

Fin

din

gs

Da

ta s

up

po

rts

fact

ba

sed

de

cisi

on

ma

kin

g,

key

ass

et

ma

na

ge

me

nt

pro

cess

es

an

d p

erf

orm

an

ce m

ea

sure

me

nt.

It

is im

po

rta

nt

tha

t

org

an

isa

tio

ns

ide

nti

fy t

he

da

ta t

he

y re

qu

ire

fo

r th

ese

pu

rpo

ses,

th

e

qu

alit

y o

f d

ata

th

ey

req

uir

e,

wh

ere

th

ey

will

ob

tain

th

e d

ata

, a

nd

ho

w t

he

y w

ill m

an

ag

e a

nd

re

trie

ve

th

e d

ata

as

req

uir

ed

. T

he

y

sho

uld

als

o id

en

tify

th

e q

ua

lity

of

exi

stin

g d

ata

re

lati

ve t

o w

ha

t is

req

uir

ed

an

d p

ut

in p

lace

a p

rog

ram

me

to

imp

rove

da

ta (

wh

ere

da

ta q

ua

lity

ga

ps

exi

st).

Th

is i

ncl

ud

es

da

ta o

n t

he

ass

ets

, th

eir

con

dit

ion

an

d p

erf

orm

an

ce a

s w

ell

as

oth

er

da

ta n

ee

de

d t

o s

up

po

rt

bu

sin

ess

pro

cess

es

an

d d

eci

sio

n m

aki

ng

.

Th

e q

ua

lity

of

ass

et

ma

na

ge

me

nt

can

on

ly e

ver

be

as

go

od

as

the

qu

alit

y o

f th

e u

nd

erl

yin

g d

ata

.

Da

ta s

up

po

rts

the

en

tire

ass

et

ma

na

ge

me

nt

pro

cess

.

Ap

pe

nd

ix K

co

vers

Da

ta M

an

ag

em

en

t w

hic

h i

ncl

ud

es

an

ass

ess

me

nt

of

the

da

ta r

eq

uir

ed

to

su

pp

ort

ke

y a

sse

t m

an

ag

em

en

t p

roce

sse

s,

tog

eth

er

wit

h t

he

re

qu

ire

d q

ua

lity

of

this

da

ta,

da

ta s

ou

rce

s a

nd

da

ta c

olle

ctio

n m

ech

an

ism

s a

nd

arr

an

ge

me

nts

fo

r d

ata

ma

na

ge

me

nt,

retr

ieva

l an

d a

na

lysi

s.

Sect

ion

9.3

se

ts o

ut

an

ass

ess

me

nt

of

con

fid

en

ce in

ass

et

da

ta u

sed

as

a b

asi

s fo

r th

e f

ina

nci

al f

ore

cast

s. T

his

in

dic

ate

s a

re

lati

ve

ly h

igh

leve

l of

con

fid

en

ce i

n t

his

da

ta (

B-

relia

ble

ove

rall)

.

It is

als

o n

ote

d t

ha

t th

ere

do

es

no

t a

pp

ea

r to

be

an

ass

ess

me

nt

of

con

fid

en

ce in

un

it r

ate

da

ta w

hic

h a

lso

fe

ed

s in

to c

on

fid

en

ce in

th

e

cap

ita

l pro

gra

mm

es.

O

pp

ort

un

itie

s fo

r Im

pro

ve

me

nt

1

3.

De

velo

p a

da

ta im

pro

vem

en

t p

rog

ram

me

ba

sed

on

an

an

aly

sis

of

ga

ps

be

twe

en

th

e d

esi

red

an

d c

urr

en

t st

ate

of

ea

ch d

ata

ite

m.

0 -

In

no

cen

t 1

- A

wa

re

2 -

De

ve

lop

ing

3

- F

ull

y m

ee

ts r

eq

uir

em

en

ts

4 -

Ex

cee

ds

req

uir

em

en

ts

Th

e A

MP

do

es

no

t d

em

on

stra

te a

ny

aw

are

ne

ss o

f th

is r

eq

uir

em

en

t

Th

e A

MP

do

es

no

t cu

rre

ntl

y a

dd

ress

this

re

qu

ire

me

nt

(or

cove

rs it

in a

min

ima

l wa

y) b

ut

de

mo

nst

rate

s a

n

inte

nt

to p

rog

ress

it

Th

e A

MP

pa

rtly

co

mp

lie

s w

ith

go

od

ind

ust

ry p

ract

ice

an

d d

em

on

stra

tes

an

inte

nt

to a

chie

ve f

ull

co

mp

lian

ce w

ith

go

od

ind

ust

ry p

ract

ice

Th

e A

MP

co

mp

lies

wit

h g

oo

d in

du

stry

pra

ctic

e

Th

e A

MP

exc

ee

ds

com

plia

nce

wit

h g

oo

d

ind

ust

ry p

ract

ice

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-1

9

Ass

ess

me

nt

Ite

m 1

0

Co

nfi

de

nce

in

pro

gra

mm

es

S

core

2

-3

Wh

y i

s th

is i

mp

ort

an

t?

O

ur

Fin

din

gs

Pro

gra

mm

es

fro

m A

MP

s a

re in

ten

de

d t

o s

up

po

rt t

he

su

sta

ina

ble

lon

g t

erm

pro

visi

on

of

serv

ice

s.

Th

ese

pro

gra

mm

es

are

re

lied

up

on

as

a s

ou

rce

of

inp

uts

to

th

e C

ou

nci

l’s

lon

g t

erm

fin

an

cia

l p

lan

nin

g

an

d t

he

Co

un

cil L

on

g T

erm

Pla

n.

It

is t

he

refo

re im

po

rta

nt

tha

t a

ny

issu

es

wit

h c

on

fid

en

ce i

n t

he

se p

rog

ram

me

s a

re k

no

wn

an

d

dis

clo

sed

.

Th

is t

ypic

ally

in

volv

es

ide

nti

fyin

g t

he

inp

uts

to

th

e p

rog

ram

me

s a

nd

ma

kin

g a

n a

sse

ssm

en

t o

f th

e a

ccu

racy

of

the

se i

np

uts

as

a b

asi

s fo

r

est

ima

tin

g c

on

fid

en

ce in

th

e p

rog

ram

me

s. T

he

ass

ess

me

nt

sho

uld

be

do

cum

en

ted

.

Sect

ion

9.4

se

ts o

ut

an

ass

ess

me

nt

of

the

Re

liab

ility

of

Fin

an

cia

l Fo

reca

sts.

It

wo

uld

be

exp

ect

ed

th

at

Sect

ion

9.4

wo

uld

be

de

rive

d f

rom

Sect

ion

9.3

– C

on

fid

en

ce L

eve

ls.

T

he

lin

kag

e b

etw

ee

n S

ect

ion

9.4

an

d S

ect

ion

9.3

is u

ncl

ea

r fr

om

th

e A

MP

.

It is

als

o n

ote

d t

ha

t th

ere

do

es

no

t a

pp

ea

r to

be

an

ass

ess

me

nt

of

con

fid

en

ce in

un

it r

ate

da

ta w

hic

h w

ou

ld a

lso

aff

ect

co

nfi

de

nce

in

th

e

cap

ita

l pro

gra

mm

es.

Id

ea

lly t

he

re w

ou

ld a

lso

be

an

ass

ess

me

nt

of

con

fid

en

ce o

f o

the

r ke

y p

roje

ctio

ns

in t

he

AM

P s

uch

as

the

de

ma

nd

pro

ject

ion

.

In S

ect

ion

9.4

“R

eli

ab

ilit

y o

f F

ina

nci

al

Fo

reca

sts”

ass

ess

me

nts

are

ma

de

of

the

re

lia

bil

ity

of

Ma

inte

na

nce

an

d R

en

ew

al F

ore

cast

s a

nd

of

De

velo

pm

en

t Fo

reca

sts.

T

he

co

ncl

usi

on

s a

re t

ha

t sh

ort

to

me

diu

m t

erm

fo

reca

sts

are

ge

ne

rally

co

nsi

de

red

“re

lia

ble

” w

ith

un

cert

ain

ty

incr

ea

sin

g o

ver

the

lon

ge

r te

rm.

It is

un

cle

ar

ho

w t

he

ass

ess

me

nts

of

con

fid

en

ce le

vels

in d

ata

in 9

.3 f

ee

d in

to t

he

ass

ess

me

nts

of

con

fid

en

ce i

n f

ore

cast

s in

9.4

or

wh

at

leve

l of

an

aly

sis

ha

s b

ee

n c

arr

ied

ou

t to

re

ach

th

e c

on

clu

sio

ns

in S

ect

ion

9.4

. T

he

re n

ee

ds

to b

e a

n a

ud

it t

rail

be

hin

d t

he

se a

sse

ssm

en

ts o

f

relia

bil

ity.

It is

use

ful t

o t

rack

act

ua

l va

ria

tio

ns

fro

m p

rog

ram

me

s o

ver

tim

e a

s a

“re

ali

ty c

he

ck”

on

ass

ess

me

nts

of

con

fid

en

ce in

th

e p

rog

ram

me

s.

If

for

exa

mp

le t

he

pro

gra

mm

es

are

co

nsi

ste

ntl

y co

min

g in

wit

hin

+/-

10

% o

f p

lan

th

en

th

is w

ou

ld c

on

firm

th

at

an

ass

ess

me

nt

of

“re

lia

ble

” is

rea

son

ab

le.

O

pp

ort

un

itie

s fo

r Im

pro

ve

me

nt

1

4.

Imp

rove

th

e li

nka

ge

be

twe

en

ass

ess

me

nts

of

con

fid

en

ce i

n d

ata

an

d a

sse

ssm

en

ts o

f re

liab

ilit

y in

pro

gra

mm

es

an

d p

rovi

de

ap

pro

pri

ate

an

aly

sis

to j

ust

ify

the

ass

ess

me

nts

of

con

fid

en

ce i

n p

roje

ctio

ns

an

d p

rog

ram

me

s. (

the

act

ua

l an

aly

sis

cou

ld b

e a

pp

en

de

d

or

he

ld o

uts

ide

th

e p

lan

)

15

. T

rack

his

tori

c va

ria

tio

ns

be

twe

en

pro

gra

mm

es

an

d “

act

ua

ls”

to p

rovi

de

a “

rea

lity

ch

eck

” o

n a

sse

ssm

en

ts o

f co

nfi

de

nce

in

th

e

pro

gra

mm

es

0 -

In

no

cen

t 1

- A

wa

re

2 -

De

ve

lop

ing

3 -

Fu

lly

me

ets

re

qu

ire

me

nts

4

- E

xce

ed

s re

qu

ire

me

nts

Th

e A

MP

do

es

no

t d

em

on

stra

te a

ny

aw

are

ne

ss o

f th

is r

eq

uir

em

en

t

Th

e A

MP

do

es

no

t cu

rre

ntl

y a

dd

ress

this

re

qu

ire

me

nt

(or

cove

rs it

in a

min

ima

l wa

y) b

ut

de

mo

nst

rate

s a

n

inte

nt

to p

rog

ress

it

Th

e A

MP

pa

rtly

co

mp

lie

s w

ith

go

od

ind

ust

ry p

ract

ice

an

d d

em

on

stra

tes

an

inte

nt

to a

chie

ve f

ull

co

mp

lian

ce w

ith

go

od

ind

ust

ry p

ract

ice

Th

e A

MP

co

mp

lies

wit

h g

oo

d in

du

stry

pra

ctic

e

Th

e A

MP

exc

ee

ds

com

plia

nce

wit

h g

oo

d

ind

ust

ry p

ract

ice

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-2

0

Ass

ess

me

nt

Ite

m 1

1

Pe

rfo

rma

nce

Me

asu

rem

en

t

Sco

re

2

Wh

y i

s th

is i

mp

ort

an

t?

O

ur

Fin

din

gs

AM

Ps

set

ou

t h

ow

org

an

isa

tio

ns

will

wo

rk t

o a

chie

ve t

he

ir a

ctiv

ity

spe

cifi

c a

sse

t m

an

ag

em

en

t o

bje

ctiv

es.

It

is

imp

ort

an

t to

“cl

ose

th

e

loo

p”

an

d m

ea

sure

pe

rfo

rma

nce

re

lati

ve

to

th

ese

ob

ject

ive

s. T

his

incl

ud

es

pe

rfo

rma

nce

re

lati

ve t

o m

an

da

tory

pe

rfo

rma

nce

me

asu

res

req

uir

ed

un

de

r th

e N

on

-Fin

an

cia

l P

erf

orm

an

ce M

ea

sure

s R

ule

s

20

13

Mo

nit

ori

ng

pe

rfo

rma

nce

re

lati

ve t

o o

bje

ctiv

es

he

lps

ide

nti

fy a

rea

s

wh

ere

imp

rove

me

nts

ma

y b

e r

eq

uir

ed

an

d a

rea

s w

he

re

org

an

isa

tio

ns

ma

y b

e o

verp

erf

orm

ing

. T

he

re m

ay

be

sco

pe

fo

r co

st

savi

ng

s in

su

ch a

rea

s.

Mo

nit

ori

ng

pe

rfo

rma

nce

he

lps

org

an

isa

tio

ns

com

pa

re t

he

ir p

erf

orm

an

ce w

ith

th

at

of

com

pa

rab

le o

rga

nis

ati

on

s

By

mo

nit

ori

ng

pe

rfo

rma

nce

ove

r ti

me

org

an

isa

tio

ns

are

ab

le t

o

ide

nti

fy t

ren

ds

wh

ich

ma

y in

dic

ate

a n

ee

d f

or

inte

rve

nti

on

.

Cu

rre

nt

(20

16

/20

17

) p

erf

orm

an

ce (

wh

ere

ava

ilab

le)

is m

on

ito

red

fo

r e

ach

of

the

Cu

sto

me

r Le

vels

of

Serv

ice

in T

ab

le 7

(Se

ctio

n 4

Le

ve

ls o

f

Serv

ice

) a

nd

in A

pp

en

dix

C.

Ap

pe

nd

ix C

- A

ctiv

ity

Pe

rfo

rma

nce

Me

asu

res.

P

erf

orm

an

ce t

arg

ets

are

pro

vid

ed

fo

r e

ach

of

the

ye

ars

20

18

/19

to 2

02

0/2

1 a

nd

fo

r th

e p

eri

od

20

21

on

wa

rds.

It is

un

cle

ar

fro

m t

he

AM

P w

he

the

r p

erf

orm

an

ce r

ela

tive

to

th

e T

ech

nic

al P

erf

orm

an

ce M

ea

sure

s is

fo

rma

lly r

eco

rde

d.

Cu

rre

nt

pe

rfo

rma

nce

pro

vid

es

a s

na

psh

ot

in t

ime

of

pe

rfo

rma

nce

an

d a

pa

ss/f

ail

ind

ica

tio

n o

f w

he

the

r ta

rge

ts a

re b

ein

g a

chie

ve

d (

an

d b

y

ho

w m

uch

). T

his

is o

f lim

ite

d v

alu

e a

s it

do

es

no

t p

rovi

de

an

in

dic

ati

on

of

pe

rfo

rma

nce

tre

nd

s –

wh

eth

er

it i

s im

pro

vin

g,

sta

yin

g c

on

sta

nt

or

de

clin

ing

, e

xpe

cte

d f

utu

re p

erf

orm

an

ce,

or

ho

w p

erf

orm

an

ce c

om

pa

res

wit

h t

ha

t o

f co

mp

ara

ble

org

an

isa

tio

ns.

Ide

ally

, p

erf

orm

an

ce r

esu

lts

wo

uld

be

pre

sen

ted

in g

rap

hic

al f

orm

wh

ich

sh

ow

s h

isto

ric

pe

rfo

rma

nce

tre

nd

s, c

urr

en

t p

erf

orm

an

ce,

exp

ect

ed

fu

ture

pe

rfo

rma

nce

, p

erf

orm

an

ce t

arg

ets

an

d h

ow

th

ese

are

ch

an

gin

g o

ver

tim

e a

nd

an

in

du

stry

be

nch

ma

rk (

wh

ere

ava

ilab

le).

Pre

sen

tin

g p

erf

orm

an

ce r

esu

lts

in t

his

fo

rm e

na

ble

s m

an

ag

ers

to

qu

ickl

y m

ake

in

form

ed

de

cisi

on

s a

bo

ut

the

ne

ed

fo

r in

terv

en

tio

n a

nd

an

tici

pa

te i

ssu

es

tha

t m

ay

be

de

ve

lop

ing

.

Th

e in

dic

ati

ve

gra

ph

s b

elo

w s

ho

w h

ow

pe

rfo

rma

nce

re

sult

s a

re t

ypic

ally

pre

sen

ted

in

th

is w

ay.

O

nce

sys

tem

s a

re s

etu

p,

rep

ort

ing

pe

rfo

rma

nce

in t

his

wa

y is

no

t o

ne

rou

s.

Ide

ally

th

ere

wo

uld

be

a s

ep

ara

te p

erf

orm

an

ce s

ect

ion

in

th

e A

MP

pre

sen

tin

g p

erf

orm

an

ce in

th

is w

ay.

T

his

will

he

lp r

ea

de

rs m

ake

info

rme

d j

ud

ge

me

nts

ab

ou

t h

ow

th

e a

ctiv

ity

is p

erf

orm

ing

.

Re

sult

s w

he

re a

co

mm

en

t o

n t

he

pe

rfo

rma

nce

ach

ieve

d m

ay

be

ap

pro

pri

ate

are

in

dic

ate

d in

th

e t

ab

le b

elo

w:

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-2

1

O

pp

ort

un

itie

s fo

r Im

pro

ve

me

nt

1

6.

Pre

sen

t p

erf

orm

an

ce r

ela

tive

to

cu

sto

me

r LO

S in

in g

rap

hic

al f

orm

in t

he

AM

P w

hic

h s

ho

ws

his

tori

c p

erf

orm

an

ce t

ren

ds,

cu

rre

nt

pe

rfo

rma

nce

, e

xpe

cte

d f

utu

re p

erf

orm

an

ce,

pe

rfo

rma

nce

ta

rge

ts a

nd

ho

w t

he

se a

re c

ha

ng

ing

ove

r ti

me

an

d a

n in

du

stry

be

nch

ma

rk

(wh

ere

ava

ilab

le).

17

. C

on

sid

er

ad

din

g a

se

pa

rate

se

ctio

n o

n p

erf

orm

an

ce t

o t

he

AM

P s

ett

ing

ou

t p

erf

orm

an

ce a

s su

gg

est

ed

in O

FI 2

1 a

bo

ve

18

. P

rovi

de

a c

om

me

nta

ry w

he

n a

pe

rfo

rma

nce

ta

rge

t is

no

t a

chie

ve

d o

r w

he

n t

he

re i

s a

sig

nif

ica

nt

vari

an

ce b

etw

ee

n t

arg

et

an

d a

ctu

al

pe

rfo

rma

nce

.

0 -

In

no

cen

t 1

- A

wa

re

2 -

De

ve

lop

ing

3

- F

ull

y m

ee

ts r

eq

uir

em

en

ts

4 -

Ex

cee

ds

req

uir

em

en

ts

Th

e A

MP

do

es

no

t d

em

on

stra

te a

ny

aw

are

ne

ss o

f th

is r

eq

uir

em

en

t

Th

e A

MP

do

es

no

t cu

rre

ntl

y a

dd

ress

this

re

qu

ire

me

nt

(or

cove

rs it

in a

min

ima

l wa

y) b

ut

de

mo

nst

rate

s a

n

inte

nt

to p

rog

ress

it

Th

e A

MP

pa

rtly

co

mp

lie

s w

ith

go

od

ind

ust

ry p

ract

ice

an

d d

em

on

stra

tes

an

inte

nt

to a

chie

ve f

ull

co

mp

lian

ce w

ith

go

od

ind

ust

ry p

ract

ice

Th

e A

MP

co

mp

lies

wit

h g

oo

d in

du

stry

pra

ctic

e

Th

e A

MP

exc

ee

ds

com

plia

nce

wit

h g

oo

d

ind

ust

ry p

ract

ice

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-2

2

Ass

ess

me

nt

Ite

m 1

2

Su

sta

ina

ble

Fu

nd

ing

Sco

re

1-2

Wh

y i

s th

is i

mp

ort

an

t?

O

ur

Fin

din

gs

Lon

g t

erm

exp

en

dit

ure

pro

ject

ion

s a

re a

fu

nd

am

en

tal p

art

of

AM

Ps.

Th

ese

sh

ou

ld b

e m

atc

he

d b

y a

pro

ject

ion

of

the

leve

l of

fun

din

g

tha

t is

re

qu

ire

d t

o s

ust

ain

th

e a

ctiv

ity

ove

r th

e lo

ng

te

rm.

Th

is i

s

ne

ed

ed

to

“cl

ose

th

e l

oo

p”.

Lo

ng

te

rm f

un

din

g p

roje

ctio

ns

sho

uld

incl

ud

e f

un

din

g t

o c

ove

r o

pe

rati

ng

co

sts,

ass

et

rep

lace

me

nt

(if

de

pre

cia

tio

n f

un

din

g is

use

d f

or

this

pu

rpo

se i

t sh

ou

ld b

e s

uff

icie

nt

to c

ove

r lo

ng

te

rm a

sse

t re

ne

wa

ls),

inte

rest

on

de

bt

tha

t w

ill b

e

ne

ed

ed

to

bri

dg

e p

eri

od

s w

he

n a

ccu

mu

late

d e

xpe

nd

itu

re e

xce

ed

s

acc

um

ula

ted

de

pre

cia

tio

n a

nd

fu

nd

ing

to

se

rvic

e d

eb

t a

sso

cia

ted

wit

h a

dd

itio

na

l ass

ets

. T

he

se f

un

din

g p

roje

ctio

ns

in t

he

AM

Ps

sho

uld

be

pre

pa

red

in

co

nsu

lta

tio

n w

ith

th

e f

ina

nce

ma

na

ge

r.

Th

ese

fu

nd

ing

pro

ject

ion

s sh

ou

ld b

e u

pd

ate

d r

eg

ula

rly

to t

ake

acc

ou

nt

of

infl

ati

on

an

d b

e b

ase

d o

n r

ea

listi

c a

sse

t va

lua

tio

ns.

It s

ho

uld

be

po

ssib

le t

o r

eco

nci

le t

he

lon

g t

erm

su

sta

ina

ble

fu

nd

ing

pro

ject

ion

s in

th

e A

MP

s w

ith

fu

nd

ing

pro

vid

ed

th

rou

gh

th

e L

TP

an

d

exp

lan

ati

on

s sh

ou

ld b

e p

rovi

de

d f

or

an

y s

ign

ific

an

t va

ria

nce

s

be

twe

en

th

e t

wo

.

Sect

ion

9.5

of

the

AM

P c

ove

rs t

he

Fu

nd

ing

Po

licy.

T

his

se

ctio

n s

ets

ou

t th

e b

asi

s o

f fu

nd

ing

fo

r th

e d

iffe

ren

t ca

teg

ori

es

of

exp

en

dit

ure

:

·

Op

era

tio

n &

Ma

inte

na

nce

·

Ca

pit

al R

en

ew

al

·

Ca

pit

al D

eve

lop

me

nt.

It a

lso

su

mm

ari

ses

the

Co

un

cil’

s a

pp

roa

ch t

o d

eve

lop

me

nt

con

trib

uti

on

s.

Ass

et

ma

na

ge

me

nt

is in

ten

de

d t

o s

up

po

rt t

he

su

sta

ina

ble

lon

g t

erm

pro

visi

on

of

serv

ice

s. T

he

re is

no

ind

ica

tio

n g

ive

n i

n t

he

pla

n o

f

wh

eth

er

the

pro

po

sed

le

vel o

f fu

nd

ing

in t

he

AM

P is

su

ffic

ien

t to

su

sta

in t

he

act

ivit

y o

ver

the

lon

g t

erm

, w

he

the

r it

su

pp

ort

s th

e p

rin

cip

le

of

inte

rge

ne

rati

on

al

eq

uit

y a

nd

if s

ign

ific

an

t ch

an

ge

s in

fu

nd

ing

lev

els

(e

xclu

din

g a

dju

stm

en

ts f

or

infl

ati

on

) w

ill b

e r

eq

uir

ed

in

th

e f

utu

re.

Th

e f

ina

nci

al f

ore

cast

s in

Ap

pe

nd

ix E

se

t o

ut

lon

g t

erm

(3

0 y

ea

r) o

pe

rati

ng

an

d c

ap

ita

l exp

en

dit

ure

pro

ject

ion

s.

Th

ey

do

no

t g

ive

an

y

ind

ica

tio

n o

f th

e f

un

din

g t

ha

t w

ill b

e a

pp

lied

to

th

e A

ctiv

ity

or

wh

eth

er

the

lon

g t

erm

bu

dg

et

for

the

Act

ivit

y is

ba

lan

ced

.

Ide

ally

th

e c

ove

rag

e in

th

e p

lan

of

fun

din

g s

ho

uld

go

be

yon

d t

he

fu

nd

ing

po

licy,

it s

ho

uld

sh

ow

th

e l

on

g t

erm

lev

els

of

fun

din

g t

ha

t w

ill b

e

ne

cess

ary

to

su

sta

in t

he

act

ivit

y o

ver

the

lon

g t

erm

. T

his

will

he

lp h

igh

ligh

t p

oss

ible

fu

ture

fu

nd

ing

pro

ble

ms

(su

ch a

s a

bru

pt

cha

ng

es

in

the

lev

el o

f fu

nd

ing

th

at

will

be

re

qu

ire

d a

nd

in

dic

ate

wh

eth

er

the

Act

ivit

y a

s d

esc

rib

ed

in

th

e A

MP

is

sust

ain

ab

le o

ver

the

lo

ng

te

rm.

O

pp

ort

un

itie

s fo

r Im

pro

ve

me

nt

1

9.

Co

nsi

de

r a

dd

ing

lon

g t

erm

fu

nd

ing

pro

ject

ion

s to

th

e p

lan

sh

ow

ing

th

e le

vels

of

fun

din

g t

ha

t a

re e

xpe

cte

d t

o b

e n

ece

ssa

ry t

o s

ust

ain

the

act

ivit

y.

0 -

In

no

cen

t 1

- A

wa

re

2

- D

ev

elo

pin

g

3 -

Fu

lly

me

ets

re

qu

ire

me

nts

4

- E

xce

ed

s re

qu

ire

me

nts

Th

e A

MP

do

es

no

t d

em

on

stra

te a

ny

aw

are

ne

ss o

f th

is r

eq

uir

em

en

t

Th

e A

MP

do

es

no

t cu

rre

ntl

y a

dd

ress

this

re

qu

ire

me

nt

(or

cove

rs it

in a

min

ima

l wa

y) b

ut

de

mo

nst

rate

s a

n

inte

nt

to p

rog

ress

it

Th

e A

MP

pa

rtly

co

mp

lie

s w

ith

go

od

ind

ust

ry p

ract

ice

an

d d

em

on

stra

tes

an

inte

nt

to a

chie

ve f

ull

co

mp

lian

ce w

ith

go

od

ind

ust

ry p

ract

ice

Th

e A

MP

co

mp

lies

wit

h g

oo

d in

du

stry

pra

ctic

e

Th

e A

MP

exc

ee

ds

com

plia

nce

wit

h g

oo

d

ind

ust

ry p

ract

ice

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-2

3

Ass

ess

me

nt

Ite

m 1

3

Re

ad

ab

ilit

y

Wh

y i

s th

is i

mp

ort

an

t?

O

ur

Fin

din

gs

AM

Ps

po

ten

tia

lly h

av

e a

wid

e r

an

ge

of

au

die

nce

s

·

Ass

et

Ma

na

ge

rs –

AM

Ps

sho

uld

act

ive

ly g

uid

e a

sse

t m

an

ag

ers

in t

he

ma

na

ge

me

nt

of

ass

et

ba

sed

se

rvic

es

·

Sen

ior

ma

na

ge

me

nt

– A

MP

s sh

ou

ld b

e r

ea

dily

co

mp

reh

en

sib

le

to s

en

ior

ma

na

ge

me

nt

an

d p

rovi

de

se

nio

r m

an

ag

em

en

t w

ith

a

hig

h l

eve

l u

nd

ers

tan

din

g o

f w

ha

t th

e a

ctiv

ity

invo

lve

s, w

ha

t it

is t

ryin

g t

o a

chie

ve,

an

y si

gn

ific

an

t is

sue

s a

nd

ris

ks

the

act

ivit

y

is f

aci

ng

, h

ow

it is

ma

na

ge

d a

nd

co

sts

of

the

act

ivit

y.

·

Ele

cte

d m

em

be

rs -

– A

MP

s sh

ou

ld b

e r

ea

son

ab

ly

com

pre

he

nsi

ble

to

ele

cte

d m

em

be

rs,

an

d p

rovi

de

ele

cte

d

me

mb

ers

wit

h a

hig

h le

ve

l un

de

rsta

nd

ing

of

wh

at

the

act

ivit

y

invo

lve

s, w

ha

t it

is t

ryin

g t

o a

chie

ve a

nd

wh

y, a

ny

sig

nif

ica

nt

issu

es

an

d r

isk

s th

e a

ctiv

ity

is f

aci

ng

, a

nd

co

sts

of

the

act

ivit

y.

It s

ho

uld

pro

vid

e e

lect

ed

me

mb

ers

wit

h c

on

fid

en

ce t

ha

t th

e

act

ivit

y is

be

ing

we

ll m

an

ag

ed

·

Inte

rest

ed

me

mb

ers

of

the

co

mm

un

ity

- –

AM

Ps

sho

uld

be

rea

son

ab

ly c

om

pre

he

nsi

ble

to

inte

rest

ed

me

mb

ers

of

the

com

mu

nit

y, a

nd

pro

vid

e e

lect

ed

me

mb

ers

wit

h a

hig

h le

ve

l

un

de

rsta

nd

ing

of

wh

at

the

act

ivit

y in

volv

es,

wh

at

it is

try

ing

to

ach

ieve

an

d w

hy,

an

y si

gn

ific

an

t is

sue

s a

nd

ris

ks

the

act

ivit

y is

faci

ng

, a

nd

co

sts

of

the

act

ivit

y.

·

Au

dit

Ne

w Z

ea

lan

d -

– A

MP

s sh

ou

ld p

rovi

de

Au

dit

Ne

w Z

ea

lan

d

wit

h c

on

fid

en

ce t

ha

t th

e a

ctiv

ity

is b

ein

g m

an

ag

ed

ap

pro

pri

ate

ly

It is

th

ere

fore

imp

ort

an

t th

at

AM

Ps

are

re

ad

ab

le a

nd

re

ad

ily

com

pre

he

nsi

ble

It is

sta

ted

in S

ect

ion

1.1

“P

urp

ose

of

this

Pla

n”

tha

t th

e A

MP

is

inte

nd

ed

to

be

“a

pp

rop

ria

te f

or

a r

ea

de

rsh

ip i

ncl

ud

ing

ele

cte

d m

em

be

rs o

f

the

Co

un

cil,

exe

cuti

ve

ma

na

ge

me

nt,

in

tere

st g

rou

ps,

an

d b

usi

ne

ss p

art

ne

rs a

sso

cia

ted

wit

h t

he

ma

na

ge

me

nt

of

the

Sto

rmw

ate

r a

cti

vit

y,

alo

ng

wit

h i

nte

rest

ed

me

mb

ers

of

the

co

mm

un

ity.”

AM

Ps

pro

vid

e a

n o

pp

ort

un

ity

for

ass

et

ma

na

ge

rs t

o d

em

on

stra

te t

he

qu

alit

y o

f th

eir

ma

na

ge

me

nt

of

ass

et

ba

sed

se

rvic

es.

Th

ey

sho

uld

pro

vid

e c

on

fid

en

ce t

o in

tere

ste

d p

art

ies

tha

t th

e a

ctiv

ity

cove

red

by

th

e A

MP

is b

ein

g w

ell

ma

na

ge

d.

Fo

r m

ost

au

die

nce

s th

is n

ece

ssit

ate

s

a r

ea

son

ab

ly c

on

cise

do

cum

en

t.

Th

e S

torm

wa

ter

AM

P is

a w

ell

wri

tte

n A

MP

wh

ich

co

nta

ins

the

in

form

ati

on

th

at

wo

uld

be

re

qu

ire

d b

y a

div

ers

e r

ea

de

rsh

ip a

nd

co

nv

eys

this

in

form

ati

on

in a

log

ica

l an

d c

om

pre

he

nsi

ble

ma

nn

er.

It

ha

s co

nti

nu

ally

de

velo

pe

d a

nd

evo

lve

d o

ver

a n

um

be

r o

f ye

ars

. M

ovi

ng

forw

ard

th

ere

is s

om

e d

eta

il in

th

e p

lan

wh

ich

co

uld

be

ap

pe

nd

ed

as

pa

rt o

f th

e p

roce

ss o

f o

ng

oin

g e

volu

tio

n o

f th

e A

MP

.

O

pp

ort

un

itie

s fo

r Im

pro

ve

me

nt

2

0.

Co

nsi

de

r tr

an

sfe

rrin

g s

om

e o

f th

e m

ore

de

tail

ed

in

form

ati

on

in t

he

AM

P t

o a

pp

en

dic

es

as

pa

rt o

f a

pro

cess

of

evo

luti

on

to

wa

rds

a

hig

he

r le

vel d

ocu

me

nt

(No

te:

no

sco

re is

ass

ign

ed

to

th

is it

em

)

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-2

4

Ge

ne

ral

Ob

serv

ati

on

s

Th

is is

fu

nd

am

en

tally

a g

oo

d A

MP

. I

t is

log

ica

lly s

tru

ctu

red

an

d c

ove

rs a

ll e

lem

en

ts t

ha

t w

ou

ld b

e e

xpe

cte

d in

an

AM

P f

or

an

act

ivit

y su

ch a

s m

an

ag

ing

th

e e

ffe

cts

of

sto

rmw

ate

r ru

no

ff.

Th

e A

MP

de

mo

nst

rate

s o

ngo

ing

de

velo

pm

en

t a

nd

imp

rove

me

nt

ove

r th

e y

ea

rs.

It w

as

no

ted

fro

m S

ect

ion

2.3

“A

ctiv

ity

Ra

tio

na

le”

tha

t th

e r

ea

son

PN

CC

pro

vid

es

a s

erv

ice

to

ma

na

ge

sto

rmw

ate

r ru

no

ff c

om

es

acr

oss

as

be

ing

be

cau

se “

Te

rrit

ori

al

au

tho

riti

es

exi

st p

rin

cip

all

y t

o s

up

ply

se

rvic

es

tha

t h

elp

to

pro

mo

te t

he

so

cia

l, e

con

om

ic,

en

vir

on

me

nta

l a

nd

cu

ltu

ral

we

ll-b

ein

g o

f th

eir

co

mm

un

itie

s” a

nd

be

cau

se:

Sto

rmw

ate

r a

sse

ts a

re “

stra

teg

ic a

sse

ts o

wn

ed

by C

ou

nci

l”,

an

d t

he

re a

re r

est

rict

ion

s in

th

e L

oca

l Go

vern

me

nt

Act

20

02

on

th

e d

ive

stm

en

t o

f st

rate

gic

ass

ets

Co

un

cil i

s “a

ma

jor

con

trib

uto

r to

sto

rmw

ate

r ru

no

ff w

ith

in t

he

Cit

y”

“Th

e s

erv

ice

s p

rovid

ed

by t

he

Sto

rmw

ate

r a

ctiv

ity

con

trib

ute

to

th

e v

isio

n a

nd

go

als

ad

op

ted

by C

ou

nci

l fo

r th

e C

ity”

Th

e im

pre

ssio

n g

ain

ed

fro

m t

he

wa

y th

is is

wo

rde

d is

th

at

PN

CC

pro

vid

es

for

the

ma

na

ge

me

nt

of

sto

rmw

ate

r ru

no

ff p

rim

ari

ly f

or

leg

isla

tive

re

aso

ns.

It

is s

ug

ge

ste

d t

ha

t th

e

focu

s o

f th

is s

ect

ion

sh

ou

ld b

e c

ha

ng

ed

to

em

ph

asi

se t

ha

t P

NC

C p

rovi

de

s fo

r th

e m

an

ag

em

en

t o

f st

orm

wa

ter

run

off

be

cau

se t

his

su

pp

ort

s a

he

alt

hy

com

mu

nit

y a

nd

pu

bli

c

safe

ty,

pro

tect

s a

ga

inst

pro

pe

rty

da

ma

ge

an

d c

on

trib

ute

s to

wa

rds

a h

ea

lth

en

viro

nm

en

t (t

ha

t it

wo

uld

do

eve

n in

th

e a

bse

nce

of

leg

isla

tive

re

qu

ire

me

nts

).

PN

CC

ma

y w

ish

to

ch

eck

co

mp

lian

ce o

f th

eir

ass

et

ma

na

ge

me

nt

po

licy

(Se

ctio

n 3

.4.1

) a

nd

str

ate

gy

(Se

ctio

n 3

.4.2

) w

ith

th

e r

eq

uir

em

en

ts o

f th

e I

SO 5

50

01

Ass

et

Ma

na

ge

me

nt

Sta

nd

ard

.

It i

s lik

ely

th

ere

wil

l b

e a

n i

ncr

ea

sin

g e

xpe

cta

tio

n t

ha

t o

rga

nis

ati

on

s’ a

sse

t m

an

ag

em

en

t p

ract

ice

s a

re g

en

era

lly

co

mp

lian

t w

ith

th

is S

tan

da

rd (

bu

t p

rob

ab

ly n

ot

of

form

al c

ert

ific

ati

on

to

th

e S

tan

da

rd).

Th

ere

wo

uld

be

me

rit

in in

clu

din

g a

“M

an

ag

em

en

t R

evie

w”

pro

cess

as

pa

rt o

f Se

ctio

n 1

1 “

Co

nti

nu

ou

s im

pro

ve

me

nt”

. M

an

ag

em

en

t R

evi

ew

Me

eti

ng

s, t

ypic

ally

he

ld a

t in

terv

als

of

3-6

mo

nth

s, c

on

sid

er

the

pe

rfo

rma

nce

of

the

act

ivit

y, s

ign

ific

an

t is

sue

s th

at

ha

ve a

rise

n,

cust

om

er

fee

db

ack

, a

nd

an

y o

the

r m

att

ers

th

at

are

re

leva

nt

to im

pro

vin

g t

he

ma

na

ge

me

nt

of

the

act

ivit

y.

Th

ey

pro

vid

e a

n o

pp

ort

un

ity

to p

eri

od

ica

lly “

tak

e s

tock

” o

f h

ow

th

ing

s a

re g

oin

g a

nd

ta

ke a

pp

rop

ria

te a

ctio

n a

s m

ay

be

ap

pro

pri

ate

.

Wit

h t

he

pa

ssin

g o

f th

e H

ea

lth

an

d S

afe

ty a

t W

ork

Act

20

15

th

e A

MP

ma

y b

e a

litt

le li

gh

t o

n id

en

tify

ing

an

d m

an

ag

ing

He

alt

h a

nd

Sa

fety

ris

ks a

sso

cia

ted

wit

h t

he

sto

rmw

ate

r

infr

ast

ruct

ure

(a

pa

rt f

rom

illn

ess

ari

sin

g f

rom

“co

nta

min

ate

d w

ate

r o

r si

mil

ar”

).

PN

CC

an

d in

div

idu

als

wit

hin

th

e C

ou

nci

l ma

y b

e e

xpo

sed

to

lia

bili

ty in

th

e e

ven

t o

f h

arm

to

pe

rso

ns

occ

urr

ing

wh

ich

is a

sso

cia

ted

wit

h t

he

sto

rmw

ate

r in

fra

stru

ctu

re u

nle

ss P

NC

C h

as

ide

nti

fie

d r

isks

ass

oci

ate

d w

ith

th

at

infr

ast

ruct

ure

an

d e

limin

ate

d o

r m

inim

ise

d

tho

se r

isks

so

fa

r a

s is

re

aso

na

bly

pra

ctic

ab

le..

Th

e A

MP

sh

ou

ld id

ea

lly in

clu

de

a p

roje

ctio

n o

f fu

ture

ass

et

valu

es

tha

t w

ill r

esu

lt f

rom

imp

lem

en

tati

on

of

the

pro

gra

mm

es

in t

he

AM

P.

Au

dit

NZ

ha

ve r

ais

ed

th

is in

au

dit

s

els

ew

he

re.

A p

roje

ctio

n o

f fu

ture

ass

et

valu

es

wh

ich

sh

ow

s a

de

clin

ing

tre

nd

in t

he

ove

rall

valu

e o

f th

e n

etw

ork

ma

y (b

ut

will

no

t n

ece

ssa

rily

) in

dic

ate

th

at

the

re is

an

issu

e

bu

ildin

g w

ith

de

ferr

ed

re

ne

wa

ls.

A d

ecl

inin

g v

alu

ati

on

ove

r ti

me

wo

uld

th

ere

fore

ne

ed

to

be

exp

lain

ed

.

Th

e L

GA

20

02

re

qu

ire

s a

ny

sig

nif

ica

nt

ne

ga

tive

eff

ect

s th

at

ma

y b

e a

sso

cia

ted

wit

h a

n a

ctiv

ity

to b

e id

en

tifi

ed

. S

ect

ion

2.6

co

vers

“S

ign

ific

an

t N

eg

ati

ve

Eff

ect

s o

f th

e A

ctiv

ity”

Th

is s

ect

ion

se

ts o

ut

po

ten

tia

l ne

ga

tive

eff

ect

s w

he

rea

s it

is o

nly

ne

cess

ari

ly t

o s

tate

act

ua

l eff

ect

s o

r e

ffe

cts

tha

t a

re li

kely

to

occ

ur

an

d o

nly

if t

he

se a

re c

on

sid

ere

d s

ign

ific

an

t.

It is

qu

est

ion

ab

le w

he

the

r ”F

loo

din

g o

f h

ab

ita

ble

re

sid

en

tia

l a

nd

co

mm

erc

ial

bu

ild

ing

s re

sult

ing

in

fin

an

cia

l lo

ss a

sso

cia

ted

wit

h p

rop

ert

y d

am

ag

e a

nd

dis

rup

tio

n t

o n

orm

al

act

ivit

ies”

is a

ne

ga

tive

eff

ect

of

the

act

ivit

y.

Th

is is

be

cau

se t

he

sto

rmw

ate

r a

ctiv

ity

do

es

no

t ca

use

th

e f

loo

din

g,

bu

t in

ste

ad

exi

sts

to m

itig

ate

ag

ain

st it

.

AE

CO

M

PN

CC

Asset

Man

agem

ent R

evie

w

Asset

Ma

nag

em

en

t R

evie

w -

201

7 A

MP

's

16-A

pr-

20

18

P

rep

are

d f

or

– P

alm

ers

ton N

ort

h C

ity C

oun

cil

– C

o N

o.: N

/A

E-2

5

Th

e p

roce

ss t

ha

t ca

n b

e f

ollo

we

d t

o id

en

tify

sig

nif

ica

nt

ne

ga

tive

eff

ect

s is

to

fir

stly

de

fin

e t

he

cri

teri

a b

y w

hic

h s

ign

ific

an

ce w

ill b

e d

ete

rmin

ed

. T

his

is n

orm

ally

th

e s

oci

al

cult

ura

l eco

no

mic

an

d e

nvi

ron

me

nta

l we

llbe

ing

of

the

co

mm

un

ity

(th

is w

as

pre

vio

usl

y sp

eci

fie

d in

th

e L

GA

20

02

bu

t h

as

sin

ce b

ee

n r

em

ove

d).

Po

ssib

le n

eg

ati

ve e

ffe

cts

ari

sin

g

fro

m t

he

sto

rmw

ate

r a

ctiv

ity

are

th

en

ass

ess

ed

(w

ith

cu

rre

nt

con

tro

ls in

pla

ce)

rela

tive

to

th

e c

rite

ria

to

de

term

ine

wh

ich

ne

ga

tive

eff

ect

s a

re s

ign

ific

an

t. O

nly

ne

ga

tive

eff

ect

s

wh

ich

ha

ve b

ee

n id

en

tifi

ed

as

sig

nif

ica

nt

fro

m a

pro

cess

su

ch a

s th

is s

ho

uld

be

re

po

rte

d in

th

e p

lan

. T

he

pro

cess

itse

lf s

ho

uld

be

ap

pe

nd

ed

. A

n e

xam

ple

of

an

ass

ess

me

nt

of

ne

ga

tive

eff

ect

s is

se

t o

ut

be

low

. T

his

is o

nly

on

e o

f a

nu

mb

er

of

po

ssib

le a

pp

roa

che

s.