Agenda of Economic Development Committee

Adrian Broad (Chairperson)
Leonie Hapeta (Deputy Chairperson)
Grant Smith (The Mayor)
Brent Barrett	Lorna Johnson
Susan Baty	Duncan McCann
Rachel Bowen	Karen Naylor
Gabrielle Bundy-Cooke	Bruno Petrenas
Vaughan Dennison	Aleisha Rutherford
Lew Findlay QSM	Tangi Utikere
Jim Jefferies

PALMERSTON NORTH CITY COUNCIL

Economic Development Committee MEETING

5 December 2016

Order of Business

(NOTE: The commencement time for this meeting coincides with the commencement time for the Sport and Recreation meeting. The format for the meeting will be that the Sport and Recreation Committee meeting will open, take apologies and adjourn immediately to allow the Economic Development meeting to consider its business. At the conclusion of the Economic Development meeting the Sport and Recreation Committee meeting will resume to consider its business.)

1. Apologies

2. Notification of Additional Items

Pursuant to Sections 46A(7) and 46A(7A) of the Local Government Official Information and Meetings Act 1987, to receive the Chairperson’s explanation that specified item(s), which do not appear on the Agenda of this meeting and/or the meeting to be held with the public excluded, will be discussed.

Any additions in accordance with Section 46A(7) must be approved by resolution with an explanation as to why they cannot be delayed until a future meeting.

Any additions in accordance with Section 46A(7A) may be received or referred to a subsequent meeting for further discussion. No resolution, decision or recommendation can be made in respect of a minor item.

3. Public Participation at Meetings Page 7

Memorandum, dated 9 November 2016, from the Committee Administrator, Penny Odell.

4. Jump Start Innovation Hub Page 11

Presentation.

5. Manawatu/Palmerston North Real Estate Institute Branch Page 13

Presentation.

6. RACE Group Inc Page 15

Presentation.

7. Ohakea Air Tattoo Page 17

Presentation.

8. City Centre Vibrancy Plan Page 19

Presentation.

9. Summary Report on September 2016 Manawatu Quarterly Economic Monitor Page 21

Memorandum, dated 24 November 2016, from the Economic Policy Advisor, Peter Crawford.

10. Committee Work Schedule Page 35

Committee Work Schedule, dated December 2016.

11. Exclusion of Public

To be moved:

“That the public be excluded from the following parts of the proceedings of this meeting listed in the table below.

The general subject of each matter to be considered while the public is excluded, the reason for passing this resolution in relation to each matter, and the specific grounds under Section 48(1) of the Local Government Official Information and Meetings Act 1987 for the passing of this resolution are as follows:

General subject of each matter to be considered		Reason for passing this resolution in relation to each matter	Ground(s) under Section 48(1) for passing this resolution
12.	Approval of Sister City connection with Wageningen	Negotiations	s7(2)(i)

This resolution is made in reliance on Section 48(1)(a) of the Local Government Official Information and Meetings Act 1987 and the particular interest or interests protected by Section 6 or Section 7 of that Act which would be prejudiced by the holding of the whole or the relevant part of the proceedings of the meeting in public as stated in the above table.

Also that the persons listed below be permitted to remain after the public has been excluded for the reasons stated.

Chief Executive (Paddy Clifford), Chief Financial Officer (Grant Elliott), General Manager, City Enterprises (Ray McIndoe), General Manager, City Future (Sheryl Bryant), General Manager, City Networks (Ray Swadel), General Manager, Customer Services (Peter Eathorne), General Manager, Libraries and Community Services (Debbie Duncan), Human Resources Manager (Wayne Wilson) and Strategic Communications Manager (Mark Torley) because of their knowledge and ability to provide the meeting with advice on matters both from an organisation-wide context (being members of the Council’s Management Team) and also from their specific role within the Council.

Legal Counsel (John Annabell), because of his knowledge and ability to provide the meeting with legal and procedural advice.

Committee Administrators (Penny Odell and Rachel Corser), Governance and Support Team Leader (Kyle Whitfield) because of their knowledge and ability to provide the meeting with procedural advice and record the proceedings of the meeting.

Toni Grace because of her knowledge and ability to assist the meeting in speaking to her report and answering questions, noting that she will be present at the meeting only for the item that relates to her report.

<add third parties, e.g. authors of third party reports being considered>, because of their knowledge and ability to assist the meeting in speaking to their report/s [or other matters as specified] and answering questions, noting that such person/s will be present at the meeting only for the items that relate to their respective report/s [or matters as specified].

PALMERSTON NORTH CITY COUNCIL

Memorandum

TO: Economic Development Committee

MEETING DATE: 5 December 2016

TITLE: Public Participation at Meetings

DATE: 9 November 2016

AUTHOR/S: Penny Odell, Committee Administrator, City Corporate

RECOMMENDATION(S) TO Economic Development Committee

1. That the Economic Development Committee set aside a public comment section of not more than 30 minutes at the commencement of each ordinary meeting of the Committee to provide members of the community the opportunity to comment

1. ISSUE

Each newly established Committee needs to consider whether or not it wishes to have public participation at its meetings. The procedures to receive public comment are set out in this report

2. BACKGROUND

It has been a decision by Committees and Subcommittees in the past to set aside a period of time to receive public comment at the beginning of the meetings for members of the public to comment on issues on the agenda, and if time permits, on other issues. This procedure has been proven to be effective in providing an opportunity for greater communication with the community

Providing a public comment section at the beginning of the meeting enables any member of the public to come along to the meeting to make comment on any matters on the agenda or other matters if time permits.

This procedure also enables an opportunity for quick response from any Council officer who might be present and also facilitates the request for reports for subsequent meetings. In some cases, concerns raised by members of the public may well be resolved by Council officers present at the meeting.

The Council has previously adopted its own Standing Orders and in those Standing Orders provision has been made to allow for public comment at Committee and Subcommittee meetings should a Committee wish to adopt this practice. Please refer to the “Public Participation” section as outlined in clause 3.23 of the Palmerston North City Council’s Standing Orders and as appended to this report.

If a member or members of the public wish to comment on issues that do not appear on the agenda, they must do so with the Chairperson’s approval in the public comment section of the meeting.

3. NEXT STEPS

If the Committee decide to allow public comment, this will be provided for in all Committee ordinary meetings for the following term.

Attachments

Standing Orders - Public Participation ⇩

Penny Odell

Committee Administrator

PALMERSTON NORTH CITY COUNCIL

PDF Creator

Presentation

TO: Economic Development Committee

MEETING DATE: 5 December 2016

TITLE: Jump Start Innovation Hub

FROM: Malcolm Fraser

RECOMMENDATION(S) TO Economic Development Committee

1. That the Economic Development Committee receive the presentation for information.

Summary

Malcom Fraser, CEO, will provide information on how digital technology and companies drive economic development and how to support digital industry growth.

Attachments

Nil

PALMERSTON NORTH CITY COUNCIL

Memorandum

TO: Economic Development Committee

MEETING DATE: 5 December 2016

TITLE: Summary Report on September 2016 Manawatū Quarterly Economic Monitor

DATE: 24 November 2016

AUTHOR/S: Peter Crawford, Economic Policy Advisor, City Future

RECOMMENDATION(S) TO Economic Development Committee

1. That the Manawatū Quarterly Economic Monitor – September 2016 is received

1. ISSUE

1.1. This memorandum presents a summary of the key themes in the latest Manawatū Quarterly Economic Monitor for the September 2016 quarter.

1.2. The latest report indicates an improvement in GDP growth in the region and increases to estimated growth in the first half of the year. Net overseas migration in the region increased by 28% in the year to September, well ahead of the national increase of 14%, and is a good indication of improving economic prospects in the region. The increase in population growth is being reflected in higher house prices, increased house sales and very strong growth in consents for the construction of new housing. Consents are an indication of future economic activity so it is likely GDP growth will continue to accelerate in 2017.

2. Manawatū Quarterly Economic Monitor – September 2016

2.1. Estimated annual gross domestic product (GDP) growth in the Manawatū region was 1.4% in the year ended September 2016, while New Zealand GDP is estimated to have increased by 3.2%.

a. Palmerston North GDP increased by 1.3%,

b. Manawatū District GDP increased by 1.7%.

2.2. Estimated Manawatū region annual GDP growth for the year ended March 2016 was revised to 1.7% from the original estimate of 0.9%, while GDP for the year to June 2016 was revised to 1.3% from the original estimate of 1.0%. The weakness in the latest GDP estimate for the region reflects the weightings given in the Infometrics model to weak commodity prices and weakness in retail spending in the region.

2.3. Electronic card retail spending in the Manawatū region in the September quarter was $295 million, a decline of 0.1% from the September 2015 quarter, while national growth was 2.5%. Statistics New Zealand estimates that retail prices fell by 0.2% in the year to September 2016.

a. Annual electronic card retail spending in the region for the year ended September 2016 was $1,219 million, an increase of 0.8% from 2015. This compares with an increase of 2.7% for New Zealand.

2.4. Commercial accommodation guest nights in the Manawatū region increased by 0.6% in the September 2016 quarter from the September 2015 quarter, while national guest nights increased by 6.6%.

a. Annual commercial guest nights in the Manawatū region were 457,380 in the year ended September 2016, an increase of 1.6% from the previous year. This compares with an increase of 6.2% for New Zealand.

2.5. The total value of building consents issued in the region in the September quarter was $50 million, compared with $43 million in the September 2015 quarter, an increase of 15%. National consent values increased by 10%.

a. Building consents to the value of $224 million were issued in the region in the year to September 2016, an increase of 11% from the previous year. National consent values increased by 16% over the same period.

b. Consents for 109 new residential dwellings were issued in the region in the September 2016 quarter, compared with 68 in the September 2015 quarter, an increase of 60%. National consents increased by 11%.

c. Consents for 392 new residential dwellings were issued in the region in the year ended September 2016, compared with 258 in the previous year, an increase of 52%. National consents increased by 14%.

d. Non-residential consents to the value of $84 million were issued in the region during the year to September 2016, a decline of 15% from the previous year. National consents increased by 7% over the same period.

2.6. Car registrations in the region increased by 4.0% in the year ended September 2016 (national registrations increased by 3.2%) while the number of commercial vehicles registered increased by 5.8% (compared to a national increase of 10.0%).

2.7. It is estimated the annual average unemployment rate in the Manawatū region in the year ended September 2016 was 5.4%, compared with 5.0% for New Zealand.

2.8. The number of people in the region registered for the MSD Job Seekers benefit increased by 3.7% in September 2016 from September 2015, while the number in New Zealand increased by 1.1%. The MSD benefit numbers reported in the Infometrics report are based on the average of the last four quarters.

2.9. Traffic flows in the Manawatū region in the year to September 2016 increased by 4.8% from 2015, the same as the increase for New Zealand.

2.10. The Manawatū region experienced a net gain of 718 people from overseas migration in the year ended September 2016, compared with a net gain of 559 people in the year to September 2015. The average annual gain in the region over the last 10 years was 177 people per year.

2.11. Ministry of Business, Innovation and Employment tourism spending estimates for the year ended September 2016 show total visitor spending of $398 million, an increase of 1.5% from the previous year. Total tourism spending in New Zealand increased by 7.0%.

a. Domestic visitor spending in the region declined by 0.1% in the year ended September 2016 (1.0% increase for New Zealand). Fuel spending in the region declined by 9.9% and supermarket and other food stores spending declined by 9.3%.

b. International visitor spending in the region increased by 10.0% in the year ended September 2016 (16.2% increase for New Zealand). Countries contributing the most to the increase in spending in the region were China, the United Kingdom and the USA.

Attachments

Manawatū Quarterly Economic Monitor September 2016 ⇩

Peter Crawford

Economic Policy Advisor