Long Term Plan 2021–2041: Growing Our Future Together

Submissions closed on April 19, 2021, 04:00 PM

Thumbnail image for the Long Term Plan 2021-2041 consultation.

The purpose of the Long Term Plan 2021-2041 Consultation Document is to get your feedback to help us set out what we are going to do over the next 20 years.

Our district is growing. It’s exciting, growth brings both opportunities and challenges. How we plan for and respond to change will shape our future.

Our most important tool is our Long Term Plan (LTP) which sets out what mahi we plan to do over the next 20 years. Our Long Term Plan outlines a variety of outcomes that we are planning for, including our community outcomes, finances and infrastructure. You can find the projects and services we plan on delivering, including how much things will cost.

It also outlines your rates and how they might look in the future. It’s important to ensure we are spending money in the best possible way. Knowing what matters to you in our community is important and why we want to hear from you.

Key Consultation Topics

We're asking for specific feedback on key topics:

  • The future of Foxton Pool
  • If we should reintroduce Development Contributions as a key tool for funding our growth infrastructure
  • Proposed Changes to the Land Transport Targeted Rate differential
  • Proposed changes to the general rate.

Inside our Consultation Document you'll find information about these key topics, along with what’s proposed for your rates and how we plan to fund the activities and services we provide.

Long Term Plan 2021-2041 Consultation Document(PDF, 5MB)

Rates

We're conscious of the impacts that rates have on affordability for our community. During this plan we considered the potential for external funding opportunities to reduce rates as well as opportunities for reducing our spending.

The limit on annual rates increases will range between 4.6% and 7.5% per year for the first 10 years with an average of 4.4% for the following ten years.

Inside our Consultation Document you'll find information about what’s proposed for your rates and how we plan to fund the activities and services we provide.

Want to see how the rates for your property are proposed to change? Use the rating calculator to find out.

Concurrent Consultations

Council is also consulting on the draft Development Contributions Policy, draft Rates Remission Policy and draft Revenue and Financing Policy. For more information on these concurrent consultations, look at the information below.

Submissions

Submissions closed at 4pm on Monday, 19 April 2021. Submitters are advised that pursuant to the Local Government Act 2002 and subject to the Local Government Official Information and Meetings Act 1987, all submissions shall be made available to the public.

Submissions have been collated and made available for viewing below. Please note the large file sizes of these documents.

LTP 2021-2041 Submissions

Draft Development Contributions Policy Submissions

Hearings

Hearings will take place from Tuesday 11 May to Thursday 13 May 2021. The schedule for these is available below (excluding submission documents).

LTP 2021-2041 Hearing Schedule - Development Contributions Policy and Long Term Plan(PDF, 90KB)

Deliberations

Deliberations will take place from Tuesday 25 May to Thursday 27 May 2021, all starting at 1pm.

The Foxton Pool is an important facility for the growing communities of Foxton and Foxton Beach, and is a significant contributor to community wellbeing.

While the Foxton Pool is only 13 years old, it was originally constructed to cover an unheated pool. In 2012 the pool was heated and as a result the facility suffers from significant condensation issues which have major implications. Foxton Pool requires redevelopment as the building is not fit for purpose. Challenges include the building structure which requires replacement and increasing the use and appeal of the pool which is mostly used for structured activities such as learn to swim, aquacise and lane-swimming.

Topic One asks the community to consider five options:

  • Option 1: Indoor and Outdoor Leisure Pool
  • Option 2: Basic All-year pool
  • Option 3: Seasonal Outdoor Leisure Pool
  • Option 4: Seasonal Outdoor Basic Pool
  • Option 5: Permanently Close Facility

Information about Topic One - Foxton Pool can be found in the LTP 2021-2041 Consultation Document, from page 28 onwards.

Foxton Pool Information Boards(PDF, 823KB)
Foxton Pool Feasibility Study Report(PDF, 7MB)
Summary of the Feasibility Study Report(PDF, 447KB)
Long Term Plan 2021-2041 Consultation Document(PDF, 5MB)

Topic Two in the LTP 2021-2041 Consultation Document asks the community if Council should reintroduce development contributions as a way of funding infrastructure required for growth.

Information about Topic Two - Infrastructure Funding - Development Contributions can be found in the LTP 2021-2041 Consultation Document, from page 42 onwards.

Draft Infrastructure Strategy 2021-2051(PDF, 3MB)
Long Term Plan 2021-2041 Consultation Document(PDF, 5MB)

Council is considering whether the differential on the Land Transport Targeted Rate should be removed.

Currently there is a differential that means businesses only pay 35% of the Land Transport Targeted Rate. This was set up when businesses made up 38% of the capital values in the district, however, due to residential growth businesses now only make up 30% of the district, but are still paying 35% of the Land Transport Targeted Rate.

Information about Topic Three - Changes to the Land Transport Targeted Rate can be found in the LTP 2021-2041 Consultation Document, from page 47 onwards.

Long Term Plan 2021-2041 Consultation Document(PDF, 5MB)

Council is considering changes to the General Rate to enable rural properties to gain the same benefits from growth as urban properties. Additionally, the existing differential treated non-farming properties the same as farms even though they do not have the same large footprint and land value.

More information about Topic Four - Changes to the General Rate can be found in the LTP 2021-2041 Consultation Document, from page 50 onwards.

Long Term Plan 2021-2041 Consultation Document(PDF, 5MB)

The draft Development Contributions Policy sets out the detail of how a policy would be implemented if Development Contributions are reintroduced. The draft Policy outlines which Council activities are covered, how much would need to be paid and when payment would need to be made.

Draft Development Contributions Policy Information Sheet(PDF, 292KB)
Draft Development Contributions Policy - Part 1(PDF, 576KB)
Draft Development Contributions Policy - Part 2(PDF, 357KB)
Long Term Plan 2021-2041 Consultation Document(PDF, 5MB)

The Revenue and Financing Policy sets out how council’s capital and operating expenditure will be funded.

Key proposed changes to the Revenue and Financing Policy are included as Topic Three and Four in the Consultation Document.

In addition, Council has changed the wording to increase clarity on the use of borrowing to fund operation cost and around the ability to use development contributions.

Draft Revenue and Financing Policy(PDF, 6MB)
Long Term Plan 2021-2041 Consultation Document(PDF, 5MB)

Remission of rates involves reducing the amount owing or waiving collection of rates altogether. Each remission category has a specific criteria that must be met. There are several reasons why ratepayers and organisations are granted rate remissions, for example; community groups, voluntarily protected land, remnant land, and religious organisations.

Council has reviewed the Rates Remission Policy and have not proposed any changes.

Draft Rates Remissions Policy(PDF, 3MB)
Long Term Plan 2021-2041 Consultation Document(PDF, 5MB)

Supporting Information to the Consultation Document includes the Financial and Infrastructure Strategies, Financial Statements, Policies, Activity Statements and other information, such as the Assumptions. This supporting information can be found below.

Draft Financial Strategy 2021-2041(PDF, 2MB)
Infrastructure Strategy 2021-2051(PDF, 3MB)
Financial Statements(PDF, 3MB)
Significant Forecasting Assumptions(PDF, 10MB)
Activity Statements(PDF, 6MB)
Council Controlled Organisations(PDF, 705KB)
Development of Māori Capacity to Contribute to Decision Making(PDF, 1MB)
Significance and Engagement Policy(PDF, 797KB)

What is the Long Term Plan (LTP)?

Council’s Long Term Plan is one of our key strategic documents.

It sets out our priorities for the next 20 years, including what we will do, how much it will cost and how we will fund it.

This includes services, facilities and projects for wastewater, water supply, rubbish and recycling and roading, as well as our aquatic centres, community centres, and parks and reserves. It also includes the work we do to plan for future growth areas, and supporting community capacity building and grants.

We review the LTP every three years to make sure it is still relevant and accurate.

Following feedback during the formal community consultation, we’ll refine the LTP before it is adopted. 

When does the consultation period close?

The consultation is open from Thursday 18 March to 4pm on Monday 19 April 2021.

What will you do with my contribution?

We'll consider the information in your submission as part of the decision making process to inform the 2021-2041 Long Term Plan.

What happens next?

After the consultation closes at 4pm on Monday 19 April, we’ll use your feedback to inform the Long Term Plan.

After the submission period has closed and hearings have concluded, the council will deliberate on all the feedback it has received and make decisions about the Long Term Plan’s content. The final 2021-2041 Long Term Plan is scheduled for formal adoption in June 2021, and will come into effect on 1 July which is the start of the 2021/2022 financial year.

When will the plan be finalised?

The Long Term Plan will be finalised in June 2021.

Development Contributions Policy

What are development contributions?

Development contributions are charges that can be levied by the Council under the Local Government Act 2002, to enable it to recover the capital cost of infrastructure needed to service new development resulting from population and business growth. 

Why not use rates or other sources of funding for growth infrastructure?

Rates are mainly used to fund operating costs and the renewal and improvement of existing infrastructure.  To fund the additional capacity needed in infrastructure to service growth, the Council can and does use targeted rates, user charges, subsidies, grants and other sources of funding wherever it can to reduce the reliance on development contributions.

What Council activities are funded by development contributions?

The Council is proposing to use development contributions to fund the growth-related costs of the following activities:

  • Roading
  • Community infrastructure and reserves
  • Stormwater management
  • Water supply
  • Wastewater treatment.

What is meant by “community infrastructure”?

Community infrastructure is the land and assets on land owned or controlled by the Council for the purpose of providing public amenities. These can include community centres or halls for local or neighbourhood use, play equipment on neighbourhood reserves, public toilets, recreation and sports complexes, pools and libraries.

Who pays development contributions?

Development contributions can be paid by people carrying out development when subdividing land, building new homes or business premises or connecting to water supply and wastewater systems for the first time.

Will development contributions discourage development by making homes and business premises too expensive?

The servicing of land to accommodate new development comes at a cost. Development contributions can relieve pressure on rates and be an efficient and fair mechanism to meet the costs of growth. They also provide certainty to investors that land they want to develop will be serviced and at what cost.

Development contributions that are clear, well understood and bear a direct relationship to the growth infrastructure the Council is funding, allow developers to negotiate for reduced raw land prices, assess their own margins and know what they can realistically pass on to the property buyer.

However, very high development contributions can have a significant impact on development and result in the developer reassessing the feasibility of the development, scaling down the project, or stopping the development and going elsewhere. Very high contributions can be indications that:

  • the land concerned is simply too expensive to service for reasons such as topography, distance from bulk infrastructure or ground conditions; or
  • the capital expenditure proposed does not match the amount of growth expected, or is being provided too early in the development cycle.

What is meant by “catchments”?

Catchments are geographic areas or areas of a particular land use where the Council can group developments together and attribute the costs of particular pieces of infrastructure only to those developments.

Although the Act discourages them, district-wide catchments can be used for some projects which will serve all developments across the district. When one or more capital projects will only serve a limited number of new homes and businesses in the district a small catchment may be warranted, including just those properties.

Foxton Pool

Foxton Swimming Baths originally opened in 1927 as an outdoor pool on Easton Park, Main Street, Foxton. In December 2007, an indoor facility was opened including a 25x10metre (4 lane) pool, 10x5metre teaching pool and small toddlers’ pool. The outdoor pools were closed in approximately 2010 but were never demolished.

What is the problem?

In the 2019/2020 financial year Horowhenua District Council commissioned Visitor Solutions Limited to develop an Aquatic Facilities Strategy to shape the future of aquatic facilities across the district. Through this process the poor condition of the building and plant was identified and subsequent structural reports have since confirmed that in time it will become a safety issue.

The pool building was constructed without a vapour barrier, thermal insulation, or mechanical ventilation and this directly contributes to high condensation and variable internal temperatures. Excessive condensation has led to high moisture within the facility, promoting the risk of fungi and structural decay. The building is performing poorly, accelerating the deterioration of the structure, plant, and equipment.

In addition to the issues with the building, the current design has limited appeal which contributes to low usage during the opening season. A redeveloped facility would provide better opportunities for leisure, learning, fitness and relaxation.

A Feasibility Study was completed in 2021 in response to issues facing the facility and five options for the future of Foxton Heated Pool are now being considered as part of the Long Term Plan 2021-41.

Why is Council consulting on Foxton Pool?

In November 2020 aquatic stakeholders and the wider Foxton community were asked for feedback on the redevelopment of Foxton Pool. Over 650 community members provided feedback with strong support for a redevelopment that included both indoor and outdoor aquatic provision. The community feedback refined the options that would be explored in the Feasibility Study.

The completed Feasibility Study provides detailed analysis on each of the five options, including the build cost and rates impact. Council are proposing Option 2 Basic All-Year pool in the LTP 2021-41 Consultation Document, and want to hear from the community if they agree with the proposed option.

Is the existing facility currently safe?

Yes, a structural assessment of Foxton Pool is completed prior to opening the pool for the summer season to ensure that the facility is safe to open to the public. This was a recommendation from the independent condition assessments.

How much will the redevelopment cost?

There are five options being considered as part of the Long Term Plan ranging from $350,000 to permanently close the facility and restore the area to grass, to $9.4m for a full facility redevelopment and extension.

A full breakdown on each of the options can be found in the LTP Consultation Document or the Feasibility Study summary documentation. Please refer to the where to find more information question.

How will any potential redevelopment be funded?

It is likely that Horowhenua District Council would fund the redevelopment via the Aquatics Targeted Rate.

Council Officers will explore opportunities for external funding to offset the impact to the rate payer however, due to the uncertainty of external funding and the competitive nature of this process the full development costs have been modelled on Horowhenua District Council funding the full amount. Once the preferred option has been identified by the community, Council Officers can progress applications for funding.

It is anticipated the capital expenditure would occur within the first three years of the Long Term Plan.

What are the indicative timeframes for the redevelopment?

It is anticipated that the redevelopment will occur during the first three years of the LTP 2021-41. A detailed timeline and programme of work will be communicated once the preferred option is known.

Why is this project Important?

The Foxton community has told Council through the Feasibility Study that it values the Foxton Heated Pool as a facility for locals to use and enjoy; and that locally there is a strong desire for this facility to be open throughout the year. This feedback has directly influenced some of the options that have been considered as part of this Long Term Plan.

The capital cost of Option 3 is higher than that of Option 2 however the cost to the ratepayer is less, is this correct?

When calculating the cost to the ratepayer the ongoing operational expenditure is included in the calculation. The ongoing operational costs of Option 3 are less than that of Option 2. This is largely because Option 3 is proposing an outdoor facility that is open for five months of the year where Option 2 is proposing Foxton Pool being open throughout the entire year.

Horowhenua District Council has indicated that Option 2 is the preferred option, however the Feasibility Study has indicated that the strongest option is Option 1.

While financial impacts are very important, the Feasibility Study assessment considered other factors including the impact on the aquatic network, participants, functionality, wider community returns and visitor appeal.

Considering all factors within the Feasibility Study, Option 1 had the highest evaluation score. While the overall costs of this option are higher than Option 2, it provides strong benefits including:

  • Providing an all-year round facility which the community supports.
  • Improving the appeal of the facility which the community supports.
  • Providing new leisure and relaxation opportunities which expands the appeal of the facility across the community and to visitors.
  • Will help reduce demand pressure on Levin Aquatic Centre and accommodate demand from population growth.
  • Increases the efficiency of the water-space.
  • Includes a flexible fitness space which will help drive revenue.

Overall, Option 1 provides a comprehensive facility which will meet a wide cross section of community needs, is sized appropriately for the population now and into the future.

Option 2, which rebuilds the facility with no changes to the pools, was selected by Horowhenua District Council (HDC) as the preferred option in the draft Long Term Plan. Option 2 provides community benefit by retaining a swimming pool in Foxton but will not deliver the wide range of benefits delivered by Option 1.

Where you can find out more information

Information about Topic One - Foxton Pool can be viewed in the LTP 2021-2041 Consultation Document above, from page 28 onwards. Supporting information can be viewed above, under 'Topic One - Foxton Pool'.

To find out more, email us at ltp@horowhenua.govt.nz or call us on 06 366 0999.