Chamber of Commerce Questionnaire
Other candidate responses are here - they may have some good ideas too.
A thought I've had, since talking with different business people, is to have an annual business satisfaction survey as well as our existing residents satisfaction survey. We could include questions about fairness and efficiency of resource consents, how their staff feel about transport, how their staff feel about Wellington's quality of life, the standard of new developments and whether Council procurement practices are clear and transparent.
1. My vision for 2015
More people of all ages and income levels live in the CBD, Johnsonville and Kilbirnie. Inner city Wellington lanes have been transformed like Chews Lane with Council and private partnerships.
Several inner city Wellington buildings have been upgraded with photovoltaic skins, roof gardens catching stormwater and these exemplar projects are the catalyst for more transformative investment. Some B-grade offices have had the top floors converted to student accommodation and the lower floors to effective education and office uses.
Planning is complete for a light rail extension of the current rail system and the first tracks south of the Wellington Railway Station are being laid.
The Outer Green Belt from the South Coast to Tawa is complete as an ecological and recreational corridor, acting as urban containment to promote good urban form. Streams flourish and sewage overflows are increasingly rare. Water demand and supply are in balance.
Professionals are attracted to live in Wellington by the proximity to nature on land and sea and jobs in organisations where they can make a positive difference.
Good emergency planning includes residents, neighbourhoods and businesses and confidence in the city’s resilience increases.
2015 is very close. A widely agreed longer-tem vision for 30 to 50 years is essential – even if it will need modification as changed circumstances and new technologies evolve.
Lord Stern describes a desirable future so well, “Low-carbon growth offers not only the innovation, creativity and dynamics of the transition from current patterns but also, when established, a much more attractive way of producing and living: more secure, safe, clean, and bio-diverse…The opportunities from prompt and decisive action are great; the dangers of delay are grave.”
2. Specific initiatives to ensure business-friendly environment (as well as continuing with existing migrant settlement, PWT and Quality of Life work.
- More regular engagement between elected members, WCC senior management and business sector to increase understanding of issues of mutual interest
- Supporting Grow Wellington’s Clean Tech Centre of Excellence to focus on Marine Energy in the Cook Strait, cleaner fuels and waste minimisation.
- More efficient on-line processing of business requests e.g. cafe outdoor seating,
- Council’s local procurement policy more effectively implemented and audited
- Increasing connection and understanding between business and community through promotion and support of Volunteer Wellington’s Corporate Volunteer
3. Infrastructural investment (not necessarily Council funded, all require political leadership)
- Light rail extension of train system – planned to airport, first stage to Courtenay Place begun.
- Micro-trenching trials complete and rollout stage one complete with Ultra fast broadband along Urban Development Spine (Johnsonville, Central City, Kilbirnie) plus selected suburban centres.
- Community facilities – by 2015 Johnsonville Library and Pool redevelopment, Churton Park Community Space, 5 more artificial turfs, walkways and cycle routes to showcase Natural Capital values.
- Sewage and water pipe upgrades to reduce leaks and sewage overflows
- Exemplar housing/office/retail/community development along Adelaide Road and planning for Transit Oriented Development over Johnsonville Station.
4. Vibrant inner central city
- Develop partnership structure to regenerate inner city lanes, including Eva Street, Leeds Street, State Opera House Lane and Left Bank, and run-down offices, resulting in more people living downtown, following success of Chews Lane project possibly incorporating Tax Increment Funding.
- Reduce congestion on inner city streets with more walking, cycling and effective reliable public transport
- Continue investment in venues, festivals and events.
5. Better service and value to ratepayers and residents
In consultation with businesses and residents, set clearer and more public performance measures for projects including completion times
Improved inquiry management so customers service queries are answered by relevant business unit, after being received by our generally excellent contact centre, within an agreed level of service e.g. simple query 24 hours, policy question 48 hours, Water leak management has already got levels of service depending on the urgency and magnitude of the problem.
Benchmarking with other metros and learning from good practice in local government in other countries too. (maybe not Auckland while the dust settles!)
6. Rates target
I don’t support an absolute target for rates. Rates may need to increase to address leaky building liabilities, heritage protection given earthquake strengthening requirements, transport infrastructure investment or emergencies such as earthquakes or sea level rise. The costs and benefits of each investment or operating expense must be assessed, if they are beneficial to Wellington as a whole and widely supported, rates can be a reasonably equitable way of investing for the collective good. Nevertheless wasteful expenses must be rooted out. Increases above inflation + growth must have a clear explanation of why they are needed e.g. increased energy costs at the swimming pools, Early engagement must seek advice on whether projects are necessary and how they can be done more frugally rather than residents and businesses being consulted on immutable and fully-detailed plans.
7. Differential
I support the downtown levy for tourism promotion and events since CBD businesses benefit most. I support a differential in the general rate since the CBD attracts many workers and visitors who live in the Hutt Valley, Porirua and up the Kapiti Coast. Businesses benefit from the retail and from the commuting workers so it’s fair that they pay a share of the city expenses incurred e.g. additional cleaning, transport investment, museums and galleries. In recent times, after being a member of the Funding and Activity Review Working Party where all activities were analysed fro sectoral benefit, I have supported the move from 7:1 to 2:8 to 1 which will be achieved next year. Note that the differential only applies to the general rate, not the commercial or residential rate where some services have already been separated out by sector such as sewage and stormwater.
8. Assets
Given local government has statutory responsibility for cultural, social, environmental and economic wellbeing, a wide range of assets and activities are desirable for a vibrant, safe and healthy city. Core assets include infrastructure for sewage, stormwater and potable water; community facilities such as libraries, community centres, playgrounds and sports facilities; reserves, beaches and Botanic Gardens; conference and arts venues, Council housing, galleries and museums. Separating much-loved community assets like the Zoo into separate but wholly owned entities ensures the facility can be managed by specialists, governed with some Council oversight and not compete for day-to-day attention. Consultation on the recent merger, for focus, efficiency and event attraction, of the State Opera House, St James, TSB Arena, Shed 6, MFC and Town Hall did not produce any submissions to suggest sale of any of the entities. Council has a role where there is market failure and, internationally, cultural wellbeing demands subsidised venues and public facilities. There is room for cooperating with other entities rather than building more infrastructure that WCC must maintain. The city as a whole can benefit from greater utilisation of the assets of other organisations for sports, events and arts e.g. Victoria University Adam Room, school swimming pools, church halls, college sportsfields, as long as the wider community can regularly access them it can be cost-effective to support access to non-Council assets.
Council should have a clear plan about the reason and timescale for disposal for holding non-core assets e.g. if they are held for amalgamation and redevelopment such as the Chews Lane properties. Assets such as ground leases form a good asset base to borrow against as long as the return on investment is satisfactory.
9. Use of debt
Borrowing is appropriate to spread the cost of capital over the life of an asset so that those who benefit pay rather than the ratepayers of one particular shorter period. For example, the indoor community stadium could not possibly be paid off in one year’s rates. There is also an argument that counter-cyclical investment financed by debt stimulates jobs in an economic downturn and keeps the local economy working.
The amount of debt must be kept within reasonable bounds since the cost of servicing is significant for ratepayers and borrowing constrains the options of future Councils and citizens.
The level of Council’s realisable assets (NOT the infrastructure such as roads and reservoirs), the projected rates levels and strategic planning should determine debt levels.
WCC debt is within prudent limits but must not increase dramatically.
10. Fees and charges
Fees and charges are useful to deter behaviour, ration goods and contribute to the costs of an activity. However most of what Council provides is, in part at least, a public good so fees and charges must be set at affordable levels. If a Council activity is primarily for private benefit, then the instigator of the cost should pay for it, for example, parking fees for our limited on-street car parking are correctly set to encourage shoppers rather than commuters to occupy them. I prefer the use of fees than to rely on fines as deterrents because of the messages conveyed.
Many Council provisions such as walkways, footpaths, cycle routes, sportsfields and pools have significant health benefits and their use reduces the health burden on central government. These benefits are not captured in any return to local government except for the transport subsidy from NZTA. Resource consent fees only partly cover the Council costs.
It is interesting that very few submissions are ever received on how activity costs are apportioned between rates and fees. Few people understand that their enjoyment of pools, zoo or museums is subsidised at at least 50% from rates. Few businesses may know that building consents and resource consents are also subsidised by rates, ostensibly due to the public good of the protection of the city’s built and natural heritage. See LTCCP Vol 2 for complete analysis of rates allocation,
11. Water
Commercial premises should pay the cost of their water and are almost all metered already. It is a cost of doing business. For residents, I support water conservation choosing cost-effective and least onerous methods first. We have a summer shortfall in dry years and most of the cost of water is fixed. I support stabilising water usage to defer a dam as long as possible, preferably permanently. Education, garden redesign, re-use of rainwater and the ongoing take-up of more efficient domestic appliances may be sufficient and should certainly be tried first. Council’s unaccounted for water (leaks plus fire fighting plus unmetered Council usage) has come down from 26% to 16% in ten years.
12. Climate Change
“ The two defining challenges of this century are managing climate change and overcoming world poverty.” Stern. Wellington can grasp the opportunities of the new industrial revolution required to move to a low carbon economy. As well as financial savings in less consumption of fossil fuels, companies can benefit from improved image and the opportunity to show examples and export technology. While the Copenhagen talks failed in the short term NZ’s own ETS and the growing carbon market indicate the opportunities. There is satisfaction in working for business that is making a positive difference and there is financial success in clean technologies. Council must clean up our own act and lead the way with policy to support businesses, households and the not-for-profit sector to reduce emissions. The economic and human costs of doing nothing are unacceptable. Globally, if we can make 80% cuts by 2050 then there’s still a 50% chance of exceeding 2degrees. Business as usual indicates 5 or more degrees of warming which would see the Earth; surface hotter than it has been for 30 million years. I support the WCC Climate Change Action Plan target to reduce emissions by 30% by 2020 and Council’s role in leadership and facilitation. Our renewable energy opportunities, compact form and tertiary sector give us a head start. If Wellington can’t lead on Climate Change action, what capital can?
13. Service delivery and Amalgamation
The thought of elected members from Hutt Valley and Porirua determining Wellington City’s inner city vibrancy, community facility provision and events funding doesn’t excite me. Local businesses and residents should feel the governance of eth city is close at hand. Some regions with similar populations may have fewer councils but may have simpler geography.
The respective roles of the Regional Councils and the local Environment Protection Agency is introduced by this government will need some working through.
I support shared services where possible. Water management via Capacity works well. Backroom services such as GIS, building consent applications and building inspections could be shared and specific expertise need not be duplicated. However many officers already share information. It is important that the local elected members meet their colleagues in neighbouring Councils.
I supported going out to consult on the issues for local governance changes before the Mayoral Forum took the question further.
14. Councillors’ pay
A fixed annual salary is more appropriate than per meeting. When meeting allowances were dropped, attendance did not fall. As mayor I would expect all councillors to take on some portfolio responsibilities and some specific sectors to lead contact and liaison with. Attendance at formal decision-making meetings is by no means the only part of the job. While for some councillors it is not a full time job, it is difficult to have a normal 9 to 5 job given the daytime meetings we have. If the salary were considerably reduced, would the city be led by only the retired, independently wealthy, self-employed or unemployable as councillors?
15. Trade office in China
I’m unsure of the level of benefits. The regular but infrequent municipal visits keep channels open. If an export-led group of businesses wanted to fund this, Council could facilitate but it should not be paid for either by residents or by non-export businesses. India is a market and source of intellectual property, cultural and democratic principles that should not be overlooked by Wellington. I suggest it’s the responsibility of NZ Trade and Enterprise.
16. Five key issues
- Transport (improving choices)
- Broadband (access and understanding as well as fibre)
- Climate Change including the adaptation to sea level rise
- Achieving a co-operative approach to long term planning from business, residents and key organisations e.g. Port Nicholson Block Settlement Trust, Tertiary and research institutions.
- Quality Urban Development – diverse, healthy, sympathetic to its surroundings
Addendum:
Other candidate responses are here - they may have some good ideas too.
A thought I've had, since talking with different business people, is to have an annual business satisfaction survey as well as our existing residents satisfaction survey. We could include questions about fairness and efficiency of resource consents, how their staff feel about transport, how their staff feel about Wellington's quality of life, the standard of new developments and whether Council procurement practices are clear and transparent.