Minutes of Investment and Property Subcommittee

Unconfirmed Minutes Investment and Property Subcommittee

30 March 2022

Investment and Property Subcommittee Minutes

Meeting held in the Held remotely

on Wednesday 30 March 2022, commencing at 1.00pm

Tuhinga/Present:

Chairperson, NRC Councillor, Rick Stolwerk

Ex-Officio Penny Smart

Councillor Justin Blaikie

Councillor Colin Kitchen

Councillor Jack Craw

Councillor Terry Archer

Independent Consultant Jonathan Eriksen

Independent Finance Advisor Stuart Henderson

I Tae Mai/In Attendance:

Full Meeting

Pou Taumatua - GM Corporate Services

Tumuaki – Chief Executive Officer – Malcolm Nicolson

Finance Manager – Simon Crabb

Strategic Projects and Facilities Manager – Phil Heatley

PA Corporate Services – Judy Graham

Part Meeting

Northland Forest Managers Ltd Manager– George Dods

Biodiversity Manager – Lisa Foster

Biodiversity Advisor – Stephanie Tong

EriksensGlobal – Janibek Issagulov

The Chair declared the meeting open at 1.02pm with a Karakia by Councillor Stolwerk

Ngā Mahi Whakapai/Housekeeping (Item 1.0)

Ngā whakapahā/Apologies (Item 2.0)

Moved (Kitchen / Archer)

That the apologies from Independent Audit & Risk Advisor Danny Tuato'o for non-attendance be received.

Carried

Nga whakapuakanga/Declarations of Conflicts of Interest (Item 3.0)

It was advised that members should make declarations item-by-item as the meeting progressed.

Confirmation of Minutes - 24 November 2021 (Item 4.1)

Report from Judith Graham, Corporate Services P/A

Moved (Stolwerk / Archer)

That the minutes of the Investment and Property Subcommittee meeting held on 24 November 2021 be confirmed as a true and correct record.

Carried

Secretarial Note: Item 6.1 Property Management Plan and Investment Policy. Item to be taken off line to be discussed further around the wording of recreation, amenity, and ecology before going to Councillor only time or Council workshop.

Action: Councillor Smart, Councillor Craw, Councillor Stolwerk to meet with GM Corporate Services.

Secretarial Note: Councillor Blaikie at 1.18pm Lost audio visual for a short time.

Performance of Councils Externally Managed Funds to 28 February 2022 (Item 5.1)

Report from Simon Crabb, Finance Manager

Moved (Archer / Craw)

That the report ‘Performance of Councils Externally Managed Funds to 28 February 2022’ by Simon Crabb, Finance Manager and dated 17 March 2022, be received.

Carried

GM Corporate Services spoke to the committee and advised Councils Externally Managed Funds have made a loss of $118,000 to the end of February 2022.

Independent Consultant Jonathan Eriksen working hard to de risk portfolio and is in constant contact with finance team on ways to do this.

Secretarial Note: The subcommittee noted that the exposure to the QuayStreet income Fund in the Short-Term Investment Fund exceeded the corresponding SIPO Limit. However, it was acknowledged that the QuayStreet income Fund is a low-risk product, and that the breach would be remedied when surplus Q3 rates funding and the Marsden Maritime Holding Limited interim dividend is invested into the Short-Term Investment Fund

Responsible Investment Report December 2021 (Item 5.2)

Report from Judith Graham, Corporate Services P/A

Moved (Stolwerk / Smart)

1. That the report ‘Responsible Investment Report December 2021’ by Judith Graham, Corporate Services P/A and dated 03 March 2022 be received.

Carried

Independent Consultant Jonathan Eriksen spoke to the subcommittee and gave noted that Milford is investing more in fossil fuels currently to achieve a positive return and advised that Milford has a strong ESG process, and this would not compromise Northland Regional Council 5-year plan on reducing ESR limits.

Action: Independent Consultant Jonathan Eriksen to report back to the next Investment and Property Subcommittee 29 June 2022 with some additional advice on how Northland Regional Council can achieve its ESR end target in 5 years’ time what that specifically looks like.

Mount Tiger Forest Report (Item 5.3)

Report from Nicole Inger, Property Officer

Secretarial Note: The Chair acknowledged Ian Jenkins passing and welcome George Dods

Moved (Craw / Stolwerk)

1. That the report ‘Mount Tiger Forest Report’ by Nicole Inger, Property Officer and dated 16 March 2022, be received.

Carried

Northland Forest Managers – George Dods addressed the subcommittee and gave an overview of the Mount Tiger Forest this included damage from a recent storm event and unauthorised motor bike access.

Biodiversity Manager gave an update on the recent interim report completed on the forest and its findings and advising the subcommittee the forest has high diversity and of high value.

Action:

· Northland Forest Managers Ltd Manager – George Dods to put up more signage on the gates around the Mount Tiger Forest.

· Biodiversity Manager to follow up on annual plan budget for pest and weed and complete additional report

Kaupapa ā Roto/Business with Public Excluded (Item 6.0)

Moved (Stolwerk / Smart) 2.21pm

1. That the public be excluded from the proceedings of this meeting to consider confidential matters.

2. That the general subject of the matters to be considered whilst the public is excluded, the reasons for passing this resolution in relation to this matter, and the specific grounds under the Local Government Official Information and Meetings Act 1987 for the passing of this resolution, are as follows:

Item No.	Item Issue	Reasons/Grounds
6.1	Confirmation of Confidential Minutes - 24 November 2021	The public conduct of the proceedings would be likely to result in disclosure of information, as stated in the open section of the meeting -.
6.2	Northland Private Equity Fund Update	The public conduct of the proceedings would be likely to result in disclosure of information, the withholding of which is necessary to enable council to carry out, without prejudice or disadvantage, commercial activities s7(2)(h).
6.3	Summary of Kensington Crossing Redevelopment Project	The public conduct of the proceedings would be likely to result in disclosure of information, the withholding of which is necessary to protect information where the making available of the information would be likely unreasonably to prejudice the commercial position of the person who supplied or who is the subject of the information s7(2)(b)(ii) and the withholding of which is necessary to enable council to carry out, without prejudice or disadvantage, commercial activities s7(2)(h).
6.4	Update on Council’s Current Property Redevelopments	The public conduct of the proceedings would be likely to result in disclosure of information, the withholding of which is necessary to enable council to carry out, without prejudice or disadvantage, commercial activities s7(2)(h) and the withholding of which is necessary to enable council to carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations) s7(2)(i).
6.5	Current Property Negotiations	The public conduct of the proceedings would be likely to result in disclosure of information, the withholding of which is necessary to protect information where the making available of the information would be likely unreasonably to prejudice the commercial position of the person who supplied or who is the subject of the information s7(2)(b)(ii), the withholding of which is necessary to enable council to carry out, without prejudice or disadvantage, commercial activities s7(2)(h) and the withholding of which is necessary to enable council to carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations) s7(2)(i).
6.6	Council's Water Street Offices	The public conduct of the proceedings would be likely to result in disclosure of information, the withholding of which is necessary to protect information where the making available of the information would be likely unreasonably to prejudice the commercial position of the person who supplied or who is the subject of the information s7(2)(b)(ii) and the withholding of which is necessary to enable council to carry on, without prejudice or disadvantage, negotiations (including commercial and industrial negotiations) s7(2)(i).

3. That the Independent Advisors be permitted to stay during business with the public excluded.

Carried

Whakamutunga (Conclusion)

The meeting concluded at 3.19pm led by a Karakia by Councillor Stolwerk