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:

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.

Karakia Timatanga

Councillor Debi Marshall-Lobb opened the meeting with karakia.

16-26

Apologies

Moved Grant Smith, seconded Debi Marshall-Lobb.

RESOLVED

1.   That Council receive the apologies.

Clause 16-26 above was carried 16 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Bonnie Kuru, Billy Meehan, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

Declarations of Interest

Councillor Kaydee Zabelin declared a conflict of interest in Item 17 Extension of term of Trustee on Regent Theatre Trust Board (clause 24-26) and  Item 27  District Licensing Committee Appointments (clause 30-26)  and took no further part in discussion or debate.

Councillor Orphée Mickalad declared a conflict of interest in Item 27  District Licensing Committee Appointments (clause 30-26) and took no further part in discussion or debate.

17-26

Public Comment

Bernice Adlam, Co-Chair of Palmy BID spoke on Item 7 Urban Bus Terminal Waiting Room.

Palmy BID has serious concerns around inner city homeless people being attracted to a new urban city bus terminal. Palmy BID requested that all decisions be put on hold.

Moved Grant Smith, seconded Debi Marshall-Lobb.

RESOLVED

That Council receive the public comment.

Clause 17-26 above was carried 16 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Bonnie Kuru, Billy Meehan, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

18-26

Confirmation of Minutes

Moved Grant Smith, seconded Debi Marshall-Lobb.

RESOLVED

That the minutes of the ordinary Council meeting of 11 February 2026 Part I Public and Part II Confidential be confirmed as a true and correct record.

Clause 18-26 above was carried 16 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Bonnie Kuru, Billy Meehan, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

19-26

Urban Bus Terminal Waiting Lounge and Bus Drivers' Lounge

Memorandum, presented by David Murphy, General Manager Strategic Planning, Glenn Bunny, Manager Property & Mark Read, Manager Transport Services, Horizons Regional Council.

Moved Grant Smith, seconded Debi Marshall-Lobb.

RESOLVED

1.   That Council refer an annual operational budget of $82,000 to the 2026/27 Annual Budget deliberations to lease space in the Tryp Wyndham Hotel development for an Urban Bus Terminal Waiting Lounge and Bus Drivers Lounge, subject to confirmed co‑funding, with the net cost to Palmerston North City Council estimated to be $10,746 per annum.

2.   That Council refer a capital new budget of $200,000 to the 2026/27 Annual Budget deliberations to support the fit‑out and establishment of the Urban Bus Terminal Waiting Lounge and Bus Drivers’ Lounge, subject to 50% of the capital costs being co‑funded by Horizons Regional Council.

Clause 19-26 above was carried 10 votes to 5, with 1 abstention, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lorna Johnson, Bonnie Kuru, Orphée Mickalad, Karen Naylor and Kaydee Zabelin.

Against:

Councillors Mark Arnott, Hayden Fitzgerald, Leonie Hapeta, Billy Meehan and William Wood.

Abstained:

Councillor Lew Findlay.

Note:

Moved William Wood, seconded Leonie Hapeta.

On a procedural  motion that under SO 2.14.1 (e) That the item of  business being discussed lie on the table until further information can be provided.

The procedural motion was lost 6 votes to 10, the voting being as follows:

For:

Councillors Mark Arnott, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Billy Meehan and William Wood.

Against:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lorna Johnson, Bonnie Kuru, Orphée Mickalad, Karen Naylor and Kaydee Zabelin.

20-26

Implication of the Wastewater Environmental Performance Standards (WEPS) on the Nature Calls Project

Report, presented by Mike Monaghan - Manager 3 Waters and Anna Lewis - Nature Calls Project Manager, and Francis xx Stantec.

Moved Grant Smith, seconded Kaydee Zabelin.

RESOLVED

That Council instruct the Chief Executive to continue to investigate Option C, with the addition of a $1M per annum Adaptive Management Strategy and Plan, as a Nature Calls discharge option for the following reasons: compliance with wastewater environmental performance standards; alignment with project objectives and cost.

Clause 20-26 above was carried 12 votes to 4, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Lorna Johnson, Bonnie Kuru, Orphée Mickalad, William Wood and Kaydee Zabelin.

Against:

Councillors Mark Arnott, Leonie Hapeta, Billy Meehan and Karen Naylor.

Moved Grant Smith, seconded Kaydee Zabelin.

RESOLVED

That Council instruct the Chief Executive to discard Option A from the Nature Calls discharge options for the following reasons: compliance with wastewater environmental performance standards; alignment with project objectives.

That Council instruct the Chief Executive to discard Option E from the Nature Calls discharge options for the following reasons: compliance with wastewater environmental performance standards; alignment with project objectives and cost.

That Council instruct the Chief Executive to continue to investigate Option B,  with the addition of a $1M per annum Adaptive Management Strategy and Plan, as a Nature Calls discharge option for the following reasons: compliance with wastewater environmental performance standards; alignment with project objectives and cost.

Clause 20-26 above was carried 16 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Bonnie Kuru, Billy Meehan, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

21-26

Proposed Amendments to the Signs and Use of Public Places Bylaw 2015 (Election Signs) - Approval for Consultation

Report, presented by Ann-Marie Mori, Policy Analyst and Peter Ridge, Manager Strategy & Policy.

The meeting adjourned at 12.15pm.

The meeting resumed at 2.35pm.

Councillor Rachel Bowen returned to the meeting online.

Councillor Lew Findlay was not present when the meeting resumed at 2:35pm.

Councillor Wood moved six amendments to the draft bylaw for the following reasons:

1. proposed increase of signage to 1.5m2 creates a financial barrier to new candidates, and provides a visual nuisance due to the large number of candidates contesting the local body election. For practicality, for national  elections it would be better for the bylaw to adhere to the guidance from the Electoral Commission, as political parties tend to print in bulk signs of the same size;

2. current wording in draft bylaw suggests that consented non-luminated signs are not permissible. Proposed amendment will allow all signs/ consented or not to be allowed;

3. requiring written consent from property owners before putting a sign on a fence is unenforceable and is therefore redundant. Prefer status quo of no written request required;

4. having a 9 week period forces officers to interpret what is an election sign is – and the only way to enforce a bylaw is through legal action. Prefer status quo of no time limit imposed by bylaw;

5 and 6 . clarifies wording in draft bylaw after new definitions added – to allow one party sign, and one candidate sign per fence (status quo).

Councillor Lew Findlay returned to the meeting at 3.01pm

Moved William Wood, seconded Lorna Johnson.

RESOLVED

That the draft  bylaw be amended in the following ways prior to consultation:

1. Be amended to include a 0.6 m² limit for residential election signs for local government elections, and 3m² for residential election signs for central government elections.

Clause 21-26 above was carried 16 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Bonnie Kuru, Billy Meehan, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

Moved William Wood, seconded Lorna Johnson.

RESOLVED

That the draft  bylaw be amended in the following ways prior to consultation:

4. Remove clauses 10.12 and 10.13 from the proposed bylaw,

Clause 21-26 above was carried 15 votes to 1, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Bonnie Kuru, Billy Meehan, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

Against:

Councillor Vaughan Dennison.

Moved William Wood, seconded Lorna Johnson.

RESOLVED

That the draft  bylaw be amended in the following ways prior to consultation:

2. Clause 10.9 be amended to allow Election Signs or Advertisements to be displayed on any Illuminated,  Digital or other Sign which is either permitted under the District Plan rules for an Advertising Sign or holds a resource consent.  

3. Remove clause 10.5 from the proposed bylaw,

5. Amend clause 10.3 to read "No site may display more than one candidate advertisement election sign per candidate.

6. Amend clause 10.4 to read "No site may display more than one party advertisement election sign per political party.

Clause 21-26 above was carried 15 votes to 1, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Vaughan Dennison, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Bonnie Kuru, Billy Meehan, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

Against:

Councillor Lew Findlay.

Moved Grant Smith, seconded Debi Marshall-Lobb.

RESOLVED

1.   That the Statement of Proposal – Amendments to the Signs and Use of Public Places Bylaw 2015 (election signs) (as amended above), in Attachment 1, is approved for public consultation.

Clause 21-26 above was carried 16 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Bonnie Kuru, Billy Meehan, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

Moved Orphée Mickalad, seconded Hayden Fitzgerald.

NOTE: On an amendment to Amendment 1: Be amended to include a 0.6 1.5 m2 limit for residential election signs for local government elections, and 3m2 for residential election signs for central government elections.

The amendment was lost 4 votes to 12, the voting being as follows:

For:

Councillors Mark Arnott, Hayden Fitzgerald, Leonie Hapeta and Orphée Mickalad.

Against:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lew Findlay, Lorna Johnson, Bonnie Kuru, Billy Meehan, Karen Naylor, William Wood and Kaydee Zabelin.

Moved Vaughan Dennison, seconded Debi Marshall-Lobb.

NOTE: On an amendment to Amendment 4: That clauses 10.12 and 10.13 from the proposed bylaw, apply for local body elections only.

The amendment was lost 2 votes to 14, the voting being as follows:

For:

Councillors Debi Marshall-Lobb and Vaughan Dennison.

Against:

The Mayor (Grant Smith) and Councillors Mark Arnott, Brent Barrett, Rachel Bowen, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Bonnie Kuru, Billy Meehan, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

22-26

465B Church Street – Fire Damage Reinstatement (Insurance Claim)

Memorandum, presented by Glenn Bunny, Manager Property and Project Management.

Councillor Billy Meehan left the meeting at 3:25pm

Moved Grant Smith, seconded Debi Marshall-Lobb.

RESOLVED

1.   That Council approve an increase to Programme 180 – Social Housing – Renewals by up to $252,000 (GST inclusive) and an increase to Capital Revenue budget of up to $252,000 (GST inclusive) subject to funding being confirmed.

Clause 22-26 above was carried 15 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Bonnie Kuru, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

23-26

Adoption of Triennial Agreement

Memorandum, presented by Hannah White, Manager - Governance.

Councillor Orphée Mickalad left the meeting at 3:30pm

Moved Grant Smith, seconded Debi Marshall-Lobb.

RESOLVED

1.   That Council adopt the Triennial Agreement for the Manawatū-Whanganui Region 2025-2028.

Clause 23-26 above was carried 14 votes to 1, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lew Findlay, Leonie Hapeta, Lorna Johnson, Bonnie Kuru, Billy Meehan, Karen Naylor, William Wood and Kaydee Zabelin.

Against:

Councillor Hayden Fitzgerald.

24-26

Extension of term of Trustee on Regent Theatre Trust Board

Memorandum, presented by Hannah White, Manager Governance.

Moved Grant Smith, seconded Debi Marshall-Lobb.

RESOLVED

1.   That Council extend Simon Ferry’s term on the Regent Theatre Trust Board until 30 June 2026.

Clause 24-26 above was carried 15 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Bonnie Kuru, Billy Meehan, Orphée Mickalad, Karen Naylor and William Wood.

Note

Councillor Kaydee Zabelin declared a conflict of  interest, withdrew from the discussion and sat in the gallery.

25-26

Community Resilience & Sustainability Committee Part I Public - 18 February 2026 and 11 March 2026

Councillor Lorna Johnson presented the recommendations below:

Moved Lorna Johnson, seconded Brent Barrett.

RESOLVED

1.   That Council adopt the recommendations from the Community Resilience & Sustainability Committee of 18 February 2026:

Soft Plastics Trial - Options and Costs (clause 3-26)

Report, presented by Natasha Hickmott, Acting Manager Resource Recovery.

The COMMITTEE RECOMMENDS

1.   That Council approve a soft plastics recycling drop off trial at both Ferguson Street Recycling Centre and Supermarkets commencing Quarter 1 2026/27 for a period of twelve months (Option 1).

2.   That Council establish a new Capital Programme called ‘Recycling – Soft Plastics Storage Shelter’ for the purposes of building a storage shelter at Awapuni to facilitate implementation of a trial for soft plastics recycling.

3.   That Council transfer $82,600 from Programme 727 – Recycling – Materials Recovery Facility Development to new programme ‘Recycling – Soft Plastics Storage Shelter’ in the current Financial Year.

4.   That Council refer to the Annual Budget 2026/27 deliberations additional operating expenditure of $43,000 and additional operating revenue of $15,000.

2.  That Council adopt the recommendation from the Community Resilience & Sustainability Committee of 11 March 2026:

Resource Recovery Section 17A Review (clause 11-26)

Memorandum, presented by Natasha Hickmott, Acting Manager Resource Recovery.

The COMMITTEE RECOMMENDS

1.   That Council note a Section 17A review has determined that the current model of in-house service delivery for the Resource Recovery Activity is cost effective and agree responsibility for governance, funding and delivery continue to be exercised by Council.

Clause 26-26 above was carried 15 votes to 0, with 1 abstention, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Bonnie Kuru, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

Abstained:

Councillor Billy Meehan.

26-26

Joint Shareholders Committee - Central Districts Water Part I Public - 13 February 2026

Mayor Grant Smith presented the recommendations below:

Moved Grant Smith, seconded Debi Marshall-Lobb.

RESOLVED

1. That Council adopt the recommendations from the Joint Shareholders Committee - Central Districts Water of 13 February 2026:

Initial Shareholders' Committee Policies (clause 3-26)

Memorandum, presented by Chris Dyhrberg - Executive Director and Julie Keane - Executive Support.

The COMMITTEE RECOMMENDS

2.   That the Committee recommend to the respective shareholder councils that the Shareholder Agreement Terms of Reference for the Committee are amended:

a.   Clause 2 – add (t) Engaging with the Company on behalf of the Shareholders’ Committee in relation to how the Company shall engage with mana whenua to give effect to te Tiriti o Waitangi and its principles and establish and implements its Te Ao Māori framework

b.   Clause 6 – adjust 6(a) Quorum to remain at 5 members, but now require a member from each of the shareholder councils and Ngā Tapuwae o Hau

Clause 26-26 above was carried 14 votes to 1, with 1 abstention, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lew Findlay, Leonie Hapeta, Lorna Johnson, Bonnie Kuru, Billy Meehan, Orphée Mickalad, Karen Naylor and Kaydee Zabelin.

Against:

Councillor Hayden Fitzgerald.

Abstained:

Councillor William Wood.

27-26

Finance, Performance & Audit Committee Part I Public - 4 March 2026

Councillor Vaughan Dennison presented the recommendations below:

Moved Vaughan Dennison, seconded Grant Smith.

RESOLVED

1. That Council adopt the recommendations from the Finance, Performance & Audit Committee of 4 March 2026:

Setting Council's Risk Management Appetite and Tolerance Levels (clause 4-26)

Memorandum, presented by Stephen Minton, Risk Management Advisor and Desiree Viggars, Manager Legal, Risk and Assurance.

The COMMITTEE RECOMMENDS

1.   That Council re-confirm the risk appetite and risk tolerance levels as noted in section 4.1 and 4.2 of the memorandum titled ‘Setting Council’s Risk Management Appetite and Tolerance Levels’ presented on 4 March 2026.

2.   That Council agree to review risk appetite and tolerance levels triennially hereafter.

Clause 27-26 above was carried 14 votes to 2, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Rachel Bowen, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Bonnie Kuru, Billy Meehan, Orphée Mickalad, Karen Naylor and William Wood.

Against:

Councillors Brent Barrett and Kaydee Zabelin.

Moved Karen Naylor, seconded Kaydee Zabelin.

RESOLVED

2. That Council adopt the recommendation below:

New Zealand Food Awards - Annual Report (clause 5-26)

Report, presented by Jessica Papple, Manager Marketing.

The COMMITTEE RECOMMENDS

1.   That the Council decline the request to sponsor the New Zealand Food Awards.

Clause 27-26 above was carried 13 votes to 3, the voting being as follows:

For:

Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Bonnie Kuru, Billy Meehan, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

Against:

The Mayor (Grant Smith) and Councillors Rachel Bowen and Vaughan Dennison.

Moved Vaughan Dennison, seconded Grant Smith.

NOTE: On the recommendation: That Council not adopt the recommendation below:

New Zealand Food Awards - Annual Report (clause 5-26)

Report, presented by Jessica Papple, Manager Marketing.

The COMMITTEE RECOMMENDS

1.     That the Council decline the request to sponsor the New Zealand Food Awards.

The motion was lost 5 votes to 11, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Rachel Bowen, Vaughan Dennison, Bonnie Kuru and Billy Meehan.

Against:

Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

28-26

Recommendation to Exclude Public

Moved Grant Smith, seconded Debi Marshall-Lobb.

RESOLVED

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:

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.

Clause 28-26 above was carried 16 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Bonnie Kuru, Billy Meehan, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

Karakia Timatanga

Councillor Kaydee Zabelin opened the meeting with karakia.

31-26

Apologies

Moved Grant Smith, seconded Brent Barrett.

RESOLVED

1.   That Council receive the apologies.

Clause 31-26 above was carried 12 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Mark Arnott, Brent Barrett, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Lorna Johnson, Bonnie Kuru, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

Declaration of Interests

Councillor Kaydee Zabelin declared a conflict of interest in Item 15 Reappointment of Trustees/Directors on Council Controlled Organisations (clause 46-26), and took no further part in discussion or debate.

32-26

Appointment of Chairs for following sessions

Moved Grant Smith, seconded Brent Barrett.

RESOLVED

1.   That Council agree the Chairs for the remaining sessions as follows:

Clause 32-26 above was carried 12 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Mark Arnott, Brent Barrett, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Lorna Johnson, Bonnie Kuru, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

33-26

Extension of meeting time

Moved Grant Smith, seconded Brent Barrett.

RESOLVED

1.   That Council resolve, as per Standing Order 2.1.7, to extend the meeting until 6.00pm on Thursday 23 April 2026.

Clause 33-26 above was carried 12 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Mark Arnott, Brent Barrett, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Lorna Johnson, Bonnie Kuru, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

34-26

Hearing of Submissions – Annual Budget 2026-27 and Planning and Miscellaneous Services Fees & Charges 2026-27

Councillor Debi Marshall-Lobb entered the meeting at 10.03am.

Moved Grant Smith, seconded Brent Barrett.

RESOLVED

1.   That Council receive the submissions and hear submissions from presenters who indicated their wish to be heard in support of their submission.

2.   That Council note the Procedure for Hearing of Submissions, as described in the procedure sheet.

Clause 34-26 above was carried 12 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Mark Arnott, Brent Barrett, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Lorna Johnson, Bonnie Kuru, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

Council considered submissions on the Annual Budget with supporting oral statements including additional tabled material (appended to these Minutes).

The following persons appeared before Council and made oral statements in support of their submissions and replied to questions from Elected Members.

Mike Clement (10)

Mike spoke to his submission and made the following additional comments:

·   Prioritise maintenance and renewal over new and aspirational projects - fix what we have before we build what we want.

·   Choices reflect priorities, and priorities reflect values.

Takaro AFC (Netra Ghimire & Sam Burney) (118)

Netra and Sam spoke to their submission, provided additional material (appended to these Minutes), and made no additional comments.

Environment Network Manawatū (Jean Hera & Di Koch) (158)

Jean and Di spoke to their submission and made no additional comments.

Property Task Force – Palmerston North (Phil Hindrup & Grant Higgins) (188 – Annual Budget) (2 – Planning & Miscellaneous Services Fees & Charges)

Phil & Grant spoke to their submissions and made the following additional comment:

·   Directed Elected Members to Comparison of Planning Fees spreadsheets in Geoworks’ submission.

Peter Crawford (192) on behalf of Crown Financial Ministries

Peter spoke to his submission on behalf of Crown Financial Ministries, which offers a range of financial courses that are mostly delivered through churches, and made the following additional comments:

·   Proposes the introduction of a daily parking charge for the blocks around the outside of the CBD where parking is currently free (at least one block out); $5 per day would be a good starting point. 

·   If the increase in parking revenue is used to offset some of the rates increase, overall households would not be facing any increase in costs; it would be a redistribution of revenue to encourage behavioural change.

Palmy BID (Matthew Jeanes & Verne Wilson) (302)

Matthew & Verne spoke to their submission, provided additional material (appended to these Minutes), and made no additional comments.

Manawatū Gymsports Incorporated (Kim Fenn, Kylan Taylor & Nick McNeill) (304)

Kim, Kylan and Nick spoke to their submission, provided additional material (appended to these Minutes), and made no additional comments.

J P McCartin (354)

The Manager - Governance  read a statement on behalf of J P McCartin (appended to these Minutes).

35-26

Apologies

Moved Kaydee Zabelin, seconded Debi Marshall-Lobb.

RESOLVED

1.   That Council receive the apologies.

Clause 35-26 above was carried 12 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Lorna Johnson, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

Hearing of Submissions – Annual Budget 2026-27 and Planning and Miscellaneous Services Fees & Charges 2026-27 (continued)

Councillor Bonnie Kuru entered the meeting at 11.03am and left the meeting at 11.25am.

Councillor Rachel Bowen entered the meeting at 11.27am and left the meeting at 11.44am.

Council considered submissions on the Annual Budget with supporting oral statements including additional tabled material (appended to these Minutes).

The following persons appeared before Council and made oral statements in support of their submissions and replied to questions from Elected Members.

Palmerston North Heritage Trust (Geoff Watson) (216)

Geoff spoke to their submission and made the following additional comments:

·   Digitisation is a useful resource which democratises history, but electronic formats vary and change over time and can become corrupted; fit for purpose storage of paper records is essential also.

·   There is considerable demand for community archives across the city as these are the records of local community groups, shops, etc.  A lot of this material is currently stored offsite.

·   Te Manawa – would be good to see opportunities for more interactive story-telling, more frequent special exhibits to coincide with anniversaries/events in the city.

·   Any centralised archive would need to be a specialist facility with appropriate temperature control, electronic facilities to enable easy access, access to community history, etc.

Age-Friendly Palmerston North (Russell Hallam & Kerry Hocquard) (189)

Russell and Kerry spoke to their submission and made the following additional comment:

·   One word – accessibility!

Simon Barnett (238)

Simon spoke to his submission and made the following additional comments:

·   Spoke about his role as the founder and CEO of Obo – a proud local company that exports hockey goal-keeping gear for field hockey to 74 countries.  At the Paris Olympics, 75% of all the goal-keepers were wearing Obo gear.  Palmerston North is a great place to be based, and our people enable us to thrive on a global stage.  Working smarter and thinking creatively got them to the place they are now.

·   Long term success is around being able to attract and retain really good people in this city.  Cannot afford not to continue to invest in, maintain and develop city branding, Te Manawa, Sculpture Trust and public art and Massey University, etc. and making the city family-friendly.

Sharon Sandgathe (278)

Sharon spoke to her submission, provided additional material (appended to these Minutes) and made no additional comments.

Queen Elizabeth College (Chris Moller) (308)

Chris spoke to their submission and made the following additional comments:

·   As well as being the Principal of Queen Elizabeth College, he chairs the Regional Principals’ Secondary Group which represents the colleges in this region.  Palmerston North is a dynamic centre for sport, and if costs for sports facilities were to increase this cost would be passed on to families.

·   Recently developed an international student market at QEC, and acknowledge the support of Council and other directors of international education in the city.  Directly supporting a number of families; charging $350/week per student to go into local houses.  It is important to keep this international provision going in the city.

·   Numbers of students increasing in the city which will impact on court space facilities; it is likely a different model will be required.

·   Important to keep sports accessible, not elite.

Renee & Hugh Dingwall (329)

Renee and Hugh spoke to their submission and made the following additional comments:

·   Some people have difficulty seeing value in things they are not directly impacted by.

·   Supports more investment in raised pedestrian crossings, additional accessible carparks and more social housing.

·   Continuation of support for Lido swimming pool and libraries, events like Festival of Cultures, Pasifika Fusion, Summer Shakespeare, etc. which add to the positive vibe in the city.

·   Noted these services and events make a massive impact on the quality of her life; thanked Council for making the city a great place to live, particularly for vulnerable people.  Would be prepared to pay increased rates for their continuation.

Globe Theatre Trust (John Adams) (221)

John spoke to their submission and made the following additional comments:

·   In his opinion Palmerston North has an unrivalled performing arts scene when compared to similar sized centres throughout New Zealand.  The Council’s contribution to performing arts is a key component in this.

·   In 2023 a joint project between Massey and Canterbury universities identified that for every dollar spent on live performance, there was a $3.20 return to benefit the wider community.  It stated that 62% of New Zealanders feel that the arts should receive public funding, and 67% agree that arts facilities are important to create a vibrant place to live.

·   Has noticed a decline in attendances at performances over recent months across some sectors – music performances are a hard sell at present (in common with other operators in the city).  Attempting to coordinate with other organisations so there are less clashes.

36-26

Strategy and Policy Work Programme 2026/27

Memorandum, presented by Peter Ridge, Manager Strategy and Policy.

Councillor Johnson moved a motion requesting the prioritisation of the development of the Local Alcohol Policy, as it is of greater importance than other less urgent policies.   

Councillor Lew Findlay entered the meeting at 2.02pm.

Moved Lorna Johnson, seconded Mark Arnott.

RESOLVED

1.   That Council receive the memorandum titled ‘Strategy and Policy Work Programme 2026/27’ presented on 22 April 2026.

2.   That the Chief Executive prioritise the development of the Local Alcohol Policy.

Clause 36-26 above was carried 12 votes to 2, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lew Findlay, Leonie Hapeta, Lorna Johnson, Orphée Mickalad, Karen Naylor and Kaydee Zabelin.

Against:

Councillors Hayden Fitzgerald and William Wood.

37-26

48 Cambridge Ave, Ashhurst - Interim management decision pending completion of Property Portfolio Review

Report, presented by Perene Green, Property Officer.

Moved Hayden Fitzgerald, seconded Karen Naylor.

RESOLVED

3.   That Council agree to:

b.   Demolish the existing building at 48 Cambridge Avenue, Ashhurst and include in the Strategic Property Review.

Clause 37-26 above was carried 12 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Vaughan Dennison, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

Moved Grant Smith, seconded Orphée Mickalad.

Note:

On a motion:

‘1.    That Council agree to:

a.     Seek Expressions of Interest for a community lease for 48 Cambridge Avenue, Ashhurst (located on part of Works Pit Park) on a tenant-led works basis;

2.     That if Council agrees to progress option 1(a), that Council endorse the intention to dispose of the building for $1 to any future Ashhurst community group or organisation that has entered into a community occupancy agreement.’

the motion was lost 4 votes to 8, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Vaughan Dennison, Orphée Mickalad and William Wood.

Against:

Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Karen Naylor and Kaydee Zabelin.

38-26

Local Government Elections 2025

Memorandum, presented by Hannah White, Manager Governance.

Councillor Lew Findlay entered the meeting at 3.14pm.

Moved Grant Smith, seconded Debi Marshall-Lobb.

RESOLVED

1.    That Council receive the memorandum titled ‘Local Government Elections 2025’, presented on 22 April 2026.

Clause 38-26 above was carried 12 votes to 0, with 1 abstention, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Vaughan Dennison, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

Abstained:

Councillor Lew Findlay.

39-26

Central Districts Water - Updated Shareholders' Agreement

Report, presented by Chris Dyhrberg - Executive Director Central Districts Water.

Councillor Leonie Hapeta left the meeting at 3.25pm.
Councillor Mark Arnott left the meeting at 3.26pm.

Moved Grant Smith, seconded Debi Marshall-Lobb.

RESOLVED

1.   That Council, as a shareholder of Central Districts Water, approve the attached Shareholders’ Agreement with the recommended amendments, and delegate to the Chief Executive to sign any documents required to approve the Shareholders’ Agreement on behalf of Palmerston North City Council.

2.   That Council delegate to the Chief Executive the ability to agree any minor, non-material changes to the Shareholders’ Agreement prior to the final approval, and to report back to Council on any changes made under this delegation.

Clause 39-26 above was carried 8 votes to 2, with 1 abstention, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Brent Barrett, Lew Findlay, Lorna Johnson, Orphée Mickalad, Karen Naylor and Kaydee Zabelin.

Against:

Councillors Hayden Fitzgerald and William Wood.

Abstained:

Councillor Vaughan Dennison.

40-26

Inquiry into the 2025 Local Elections - Submission Approved Under Mayoral Delegation

Memorandum, presented by Hannah White, Manager Governance.

Councillor Rachel Bowen entered the meeting again at 3.31pm.
Councillor Leonie Hapeta entered the meeting again at 3.32pm.

Moved Grant Smith, seconded Debi Marshall-Lobb.

RESOLVED

1.   That Council receive the report titled ‘Inquiry into the 2025 Local Elections - Submission Approved Under Mayoral Delegation,’ presented on 22 April 2026.

Clause 40-26 above was carried 13 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

41-26

Apologies (session 3)

Moved Hayden Fitzgerald, seconded William Wood.

RESOLVED

1.   That Council receive the apologies.

Clause 41-26 above was carried 12 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Lorna Johnson, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

Hearing of Submissions – Annual Budget 2026-27 and Planning and Miscellaneous Services Fees & Charges 2026-27 (continued)

Cr Findlay left the meeting at 3.15pm.

The Mayor left the meeting at 4.58pm.

Councillor Rachel Bowen entered the meeting again at 5.00pm.

Council considered submissions on the Annual Budget with supporting oral statements including additional tabled material (appended to these Minutes).

The following persons appeared before Council and made oral statements in support of their submissions and replied to questions from Elected Members.

Seniors Reference Group (Joan Spencer & Russell Hallam) (166)

Joan and Russell spoke to their submission, provided additional material (appended to these Minutes), and made the following additional comments:

·   Noted their concern about the expected increase in the cost of living as a result of the ongoing Iran war and the subsequent rises in fuel prices.

·   Amidst ongoing economic challenges and rising cost pressures, seniors continue to bolster the local economy by supporting a wide range of businesses.  They volunteer for numerous organisations, offering their time and skills to strengthen community services and networks.  Many seniors also assist with grandparent duties, providing vital support to families.

·   Appreciates the ongoing efforts to make Palmerston North a vibrant and welcoming place to live. 

·   Would like to see prioritisation of seniors housing, including requirements that will enhance their enjoyment of life; for example egress to and from sections, parking and storage facilities for vehicles/mobility scooters, wider door frames to accommodate wheelchairs, accessible bathrooms, etc.

·   Supports ongoing work towards the accreditation of Palmerston North as an age friendly city.

·   Supports Council lobbying central government to upgrade the rates rebate system.

Sport Manawatū (Carl Johnstone & Kelly Shanks) (176)

Carl and Kelly spoke to their submission and made the following additional comment:

·   Noted one of the challenges with Arena is that use of indoor courts space needs to be balanced with commercial and community sport.

Manawatū Rugby League (Lawrence Erihe & Sam Maniapoto) (193)

Lawrence and Sam spoke to their submission and made the following additional comments:

·   Have 78 junior teams playing on Coronation Park on a Sunday – ground and facilities are becoming very congested.

·   Rugby league whanau extends from Dannevirke, Otaki, Whanganui, as far north as Ruapehu and southern boundary is Masterton.  Need quality grounds and facilities.

·   Considering use of other grounds within the city as membership continues to grow.

Cancer Society Manawatū (Josephine Gutry) (223)

Josephine spoke to their submission and made the following additional comments:

·   Central government has put forward the Sale and Supply Amendment Bill for Alcohol which has multiple changes that would negatively affect health and wellbeing of communities, as well as how local Councils can protect and support their local communities. The community wants stronger limits on places that can sell alcohol.  People in politics can reduce the influence of the alcohol industry on politicians by changing the rules about access to the politicians, and demanding that communities, health researchers and alcohol harm reduction agencies meet with the Ministry of Health more often than members of the alcohol industry do. 

·   Decision makers (Councils) need to make it easier for communities to keep alcohol outlets out of their neighbourhoods, because reducing the consumption and availability of alcohol reduces the incidence of alcohol attributable cancer.

·   Younger generation are more informed and aware of harms associated with alcohol and are doing a lot more advocacy in their own spaces, which could be contributing to their lower level of alcohol consumption.

Niuvaka Trust (Aaron Freeman) (256)

Aaron spoke to their submission and made no additional comments.

·   Part of partnering with Ora Konnect Alliance provides them with hard data and statistics specific to 4412 suburb which indicate of 30k population 76% of people are at a lower deprivation level of 6-10, aged 25-45 years there are 3,200 people at a deprivation 9 level and aged 65-74 years there are 504 people still working 40-49 hours per week for a median annual individual income of around $39,055. 

·   Focus on programmes that might enable people to achieve better economic outcomes for themselves.

Malcolm Frith (336)

Malcolm spoke to his submission and made the following additional comments:

·   Our method of footpath construction needs addressing. 

·   Don’t remove perfectly good infrastructure and replace it with another bit of infrastructure, for example sections of footpath on Pioneer Highway that were removed and replaced with concrete.  Budget could be reallocated.

·   Not sure why rose beds were removed and replaced with natives, which don’t always grow well in the local climate.

·   Routes that buses take are problematic.

·   Suggest selling the Awapuni site.

Richard Woolgar (240)

Richard spoke to his submission and made the following additional comments:

·   Infrastructure rarely fails all at once; it wears down over time until the cost is no longer manageable and replacement is unavoidable. 

·   Under-investment in maintenance does not save money, it creates disruption and cost that is a larger, more difficult burden to future generations.

·   The current state of our footpath network does not encourage walking over other means of transport; if we want to reduce pressure on our roads one of the simplest and most affordable places to start is footpaths.

Karakia Whakamutunga

Councillor Kaydee Zabelin adjourned the meeting  and closed the day with karakia.

Karakia Timatanga

Councillor Orphée Mickalad opened the day with karakia.

42-26

Apologies

Moved Orphée Mickalad, seconded Leonie Hapeta.

RESOLVED

1.   That Council receive the apologies.

Clause 42-26 above was carried 12 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Vaughan Dennison, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Orphée Mickalad, Karen Naylor and Kaydee Zabelin.

Hearing of Submissions – Annual Budget 2026-27 and Planning and Miscellaneous Services Fees & Charges 2026-27 (continued)

Council considered submissions on the Annual Budget with supporting oral statements including additional tabled material (appended to these Minutes).

The following persons appeared before Council and made oral statements in support of their submissions and replied to questions from Elected Members.

Julia Manssen (209)

Julia spoke to her submission and made no additional comments.

Te Manawa Art Society (David Crowley) (268)

David spoke to their submission and made the following additional comments:

·   Not a request for funding  but to encourage Council to consider the future of the art gallery.

·   Combined PNCC and Art Society collection is valued at $30M.

·   Current resource constraints restrict the ability of the art gallery  to display their entire collection.

·   Sees an opportunity to unlock art collection for tourism, which would strengthen economic development in the city.

·   There is strong  expatriate community willing to gift their entire collections to their local New Zealand towns. Where they chose to gift  is dependent on whether a museum can display their collection to the public.

Palmerston North City Council Heritage Reference Group (Margaret Tennant and Peter Te Rangi) (285)

Margaret and Peter spoke to their submission and made the following additional comments:

·   Despite the current financial restraints, Council needs to be mindful of  the cultural and heritage environment of the city.

·   Heritage can attract tourism too.  Development of cultural sites eg Te Motu o Poutoa, would advance tourism offer for the city.

Manawatū Tenants Union – (185), Cameron Jenkins (331),  and Manawatū Lesbian & Gay Rights Association Incorporated (MaLGRA) (355)

(Cameron Jenkins and Kirsty Henderson)

Cameron and Kirsty spoke to their submissions and made the following additional comments:

·   Reducing rates doesn’t stop rents from increasing but does restrict  Council’s ability to invest in housing, as Council has a role to deliver affordable housing when the market fails to do so.

·   Social housing funding has not kept pace with demand and the capacity to provide a service is reaching its limit.

·   Community funding is not optional it reduces demand on higher costs systems such as health and emergency housing.

·   Questioned whether Council had the capacity to deliver footpath improvements or build more footpaths if we increase rates for them.

·   MALGRA has deliberately chosen not to seek additional Council funding this year, as they want funding decisions to reflect the full need of the city.

The meeting adjourned at 9.54am

The meeting resumed at 10.12am

Councillor Lew Findlay was present when the meeting resumed at 10.12am

Kia Toa Rugby Football Club Inc. (Ray Swadel) (340)

Ray spoke to their submission, he provided additional material (appended to these Minutes) but made no additional comments.

David Chapple (352)

David spoke to his submission and made no additional comments.

43-26

Apologies

Moved Mark Arnott, seconded Rachel Bowen.

RESOLVED

1.   That Council receive the apologies.

Clause 43-26 above was carried 11 votes to 0, the voting being as follows:

For:

Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Karen Naylor and Kaydee Zabelin.

Hearing of Submissions – Annual Budget 2026-27 and Planning and Miscellaneous Services Fees & Charges 2026-27 (continued)

Council considered submissions on the Annual Budget with supporting oral statements including additional tabled material (appended to these Minutes).

The following persons appeared before Council and made oral statements in support of their submissions and replied to questions from Elected Members.

Councillor Orphée Mickalad returned to the meeting at 11:07am.

Ian Staples (345)

Ian spoke to his submission and made the following additional comments:

·   He discussed his concern with the potential lack of diesel being available in New Zealand.  He asked if Council has a contingency plan  for how it would continue to run its services (eg rubbish collection) if the country was to run out of diesel.

Christine Staples (346)

Christine spoke to her submission, she provided additional material (appended to these Minutes) and made the following additional comments:

·   Discussed Government high debt levels and interest cost,  noted that  interest repayment are higher than the budgets of several government agencies.

·   Supported Council deferring several projects until 2028, until global security improves.

·   Thought International Relations is a central government responsibility, as it is already funded by several government agencies. Sees no need for Council to duplicate these efforts.

·   Would like more transparency over Council’s budget for full staffing and consultancy costs.

·   Urged Members to consider the people struggling to pay their rates when they come to setting the budget.

Marianne Poole (349)

Marianne spoke to her submission and made the following additional comments:

·   Residents need to trust that Elected Members understand the Council’s accounts.

The Mayor (Grant Smith) returned to the meeting at 11:30am

Alcohol Healthwatch (Andrew Galloway, Executive Director) (4 – Planning & Miscellaneous Services Fees & Charges)

Andrew spoke to their submission and made no additional comments.

Resonant (Kevin Judd) (6 – Planning & Miscellaneous Services Fees & Charges)

Kevin spoke to their submission and made no additional comments.

Truebridge Associates Limited (Ross Bidlake) (7 – Planning & Miscellaneous Services Fees & Charges)

Ross spoke to their submission and made no additional comments.

Federated Farmers of New Zealand (Ian Strahan, Hayden Easton & Peter Matich) (218)

Ian, Hayden and Peter spoke to their submission and made the following additional comments:

·   Urged caution around inflation assumptions as it now appears inflation is going to increase.

·   Would like to see Palmerston North becoming a unitary authority.

Ora Konnect (Pauline Hiroti, and Materoa Mar) (128)

Pauline and Materoa spoke to their submission and made no additional comments.

MASH Trust (John Fowke, Chair and Karleen Edwards, Chief Executive) (234)

John and Karleen spoke to their submission,  provided additional material (appended to these Minutes), and made no additional comments.

44-26

Appointment of Council Representatives (Age Friendly and Food HQ)

Memorandum, presented by Hannah White, Manager Governance.

Moved Grant Smith, seconded Debi Marshall-Lobb.

RESOLVED

1.   That Council appoint Councillor Bonnie Kuru as Council’s representative on Age Friendly until October 2028.

2.   That Council appoint David Murphy, GM Strategic Planning from 1 July 2026 as Council’s nominated director for Food HQ Innovation Limited, with Waid Crockett, Chief Executive as his proxy, effective from 1 July 2026.

Clause 44-26 above was carried 13 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen,  Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Orphée Mickalad, Karen Naylor and Kaydee Zabelin.

45-26

Manawatū Regional Freight Ring Road Indicative Business Case: Short List Programme Options and Sub-options

Memorandum, presented by James Miguel, Senior Transport Planner.

Officer opening comments and Elected Members questions for the first 20 minutes of this item are appended to the Minutes.

Councillor Vaughan Dennison left the meeting at 3:18pm after the amendment.

Councillor Zabelin moved an amendment to recommendation 1 to ensure that options (2A and 2C) were dismissed from the short list to address the concerns of the Bunnythorpe community with regard to severance, and to include option 1G to explore whether mitigations are possible and provide a comparison against other options.

Mayor Smith moved a motion seeking officer advice on how advocacy might be realised if the Ring Road were to be approached independent of the PNITI programme.

Moved Grant Smith, seconded Hayden Fitzgerald.

RESOLVED

1.   That Council approve the ten short list programme options and five sub-options detailed in section 4 and Attachment Two of the memorandum titled ‘Manawatū Regional Freight Ring Road Indicative Business Case: Short List Programme Options and Sub-options’ presented on 22 April 2026, subject to the options being amended to omit Options 2A and 2C and substitute with 2E, and to include 1G.    

Clause 45-26 above was carried 8 votes to 3, with 1 abstention, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Brent Barrett, Rachel Bowen, Lew Findlay, Hayden Fitzgerald, Orphée Mickalad and Kaydee Zabelin.

Against:

Councillors Mark Arnott, Leonie Hapeta and Karen Naylor.

Abstained:

Councillor Lorna Johnson.

Moved Grant Smith, seconded Debi Marshall-Lobb.

RESOLVED

2. That the Chief Executive report back on whether the Manawatū Regional Freight Ring Road Indicative Business Case project stay within PNITI programme or be separated.

Clause 45-26 above was carried 12 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Orphée Mickalad, Karen Naylor and Kaydee Zabelin.

Moved Kaydee Zabelin, seconded Karen Naylor.

On an amendment: That Council approve the ten short list programme options and five sub‑options detailed in section 4 and Attachment Two of the memorandum titled ‘Manawatū Regional Freight Ring Road Indicative Business Case: Short List Programme Options and Sub‑options’ presented on 22 April 2026, subject to the options being amended to omit Section Options 2A and 2C and substitute with 2E, and to include 1G.  

The amendment was carried 12 votes to 0, with 1 abstention, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Vaughan Dennison, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Orphée Mickalad, Karen Naylor and Kaydee Zabelin.

Abstained:

Councillor Lorna Johnson.

46-26

Reappointment of Trustees/Directors on Council Controlled Organisations

Memorandum, presented by Hannah White, Manager Governance.

Councillor  declared an interest and sat in the gallery.

Moved Grant Smith, seconded Debi Marshall-Lobb.

RESOLVED

1.   That Council extend Murray Georgel’s term on the Palmerston North Airport Ltd Board until 31 December 2027.

2.   That Council reappoint Sarah Everton to the Palmerston North Airport Ltd Board for a term of up to three years until August 2029, to support the terminal redevelopment project and continuity of board knowledge at the retirement of the Chair.

3.   That Council advertise for up to two roles for the Regent Theatre Trust Board and one role for the Globe Theatre Trust Board.

Clause 46-26 above was carried 9 votes to 1, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Brent Barrett, Rachel Bowen, Lew Findlay, Leonie Hapeta, Lorna Johnson, Orphée Mickalad and Karen Naylor.

Against:

Councillor Hayden Fitzgerald.

Note: Councillor Kaydee Zabelin declared a conflict of  interest, withdrew from the discussion and sat in the gallery.

47-26

Council Work Schedule

Moved Grant Smith, seconded Debi Marshall-Lobb.

RESOLVED

1.   That Council receive its Work Schedule dated April 2026.

Clause 47-26 above was carried 11 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Brent Barrett, Rachel Bowen, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Orphée Mickalad, Karen Naylor and Kaydee Zabelin.

48-26

Finance, Performance & Audit Committee Part I Public - 1 April 2026

Councillor Karen Naylor presented the recommendations below:

Moved Karen Naylor, seconded Grant Smith.

RESOLVED

1.   That Council adopt the recommendations from the Finance, Performance & Audit Committee of 1 April 2026:

Draft Speed Management Plan - deliberations on submissions and adoption (clause 18-26)

Report, presented by Peter Ridge, Manager Strategy and Policy.

The COMMITTEE RECOMMENDS

1.   That Council adopt the Final Draft Palmerston North Speed Management Plan 2026 (Attachment 1).

2.   That the Chief Executive is given delegated authority to approve the Final Draft Palmerston North Speed Management Plan 2026 (Attachment 1), to include the revised technical maps and text descriptions of the proposed speed limit changes, as described in the document in Attachment 1.

3.   That Council endorse the analysis of issues raised in submissions (Attachment 2), to be used as the basis for providing responses to submitters.

4.   That the Palmerston North Speed Limits Bylaw 2020 is revoked.

Traffic situation and calming options for Ascot and Pahiatua Streets (clause 23-26)

Report, presented by Glen O’Connor, Acting General Manager Infrastructure.

The COMMITTEE RECOMMENDS

1.   That Council install a mid-block pedestrian refuge island on Ascot Street near the intersection with Pahiatua Street (option 2).

Clause 48-26 above was carried 10 votes to 0, with 1 abstention, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Brent Barrett, Rachel Bowen, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Orphée Mickalad, Karen Naylor and Kaydee Zabelin.

Abstained:

Councillor Debi Marshall-Lobb.

49-26

Arts, Culture & Heritage Committee Part I Public - 15 April 2026

Councillor Rachel Bowen presented the recommendation below:

Moved Rachel Bowen, seconded Kaydee Zabelin.

RESOLVED

1.   That Council adopt the recommendations from the Arts, Culture & Heritage Committee of 15 April 2026:

Caccia Birch Masterplan (clause 11-26)

Memorandum, presented by John Lynch, Manager Venues + Events and Kris Herman / James Marsh, Local Collective Architects.

The COMMITTEE RECOMMENDS

1.   That Council adopt the Caccia Birch Masterplan to guide future development of the grounds and inform future Long-term Plan processes.

Clause 49-26 above was carried 10 votes to 0, with 1 abstention, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Brent Barrett, Rachel Bowen, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Orphée Mickalad, Karen Naylor and Kaydee Zabelin.

Abstained:

Councillor Debi Marshall-Lobb.

Members Present:

 Councillor Debi Marshall-Lobb (in the Chair), Mayor Grant Smith and Councillors Mark Arnott, Brent Barrett, Rachel Bowen, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Orphée Mickalad, Karen Naylor, William Wood and Kaydee Zabelin.

Apologies:

Councillors Vaughan Dennison (late arrival), Bonnie Kuru and Billy Meehan.

50-26

Apologies

Moved Hayden Fitzgerald, seconded Leonie Hapeta.

RESOLVED

1.   That Council receive the apologies.

Clause 50-26 above was carried 12 votes to 0, the voting being as follows:

For:

The Mayor (Grant Smith) and Councillors Debi Marshall-Lobb, Mark Arnott, Brent Barrett, Rachel Bowen, Lew Findlay, Hayden Fitzgerald, Leonie Hapeta, Lorna Johnson, Karen Naylor, William Wood and Kaydee Zabelin.

Hearing of Submissions – Annual Budget 2026-27 and Planning and Miscellaneous Services Fees & Charges 2026-27 (continued)

Council considered submissions on the Annual Budget with supporting oral statements including additional tabled material (appended to these Minutes).

The following persons appeared before Council and made oral statements in support of their submissions and replied to questions from Elected Members.

IPU New Zealand (Hiroyasu Tsumakura) (241)

Hiroyasu spoke to their submission and made no additional comments:

Greater Bunnythorpe Community Inc. (Rebekah and Mike Mudford) (245)

Rebekah spoke to their submission and made no additional comments.

Palmerston North Youth Council – Scarlett & Connor (246)

Scarlett and Connor spoke to their submission and made the following additional comments:

·   Keen to see more places for youth to go, especially at night. More investment in lighting around bus shelter to make them safer.

·   Youth spaces needs more investment; under investment in youth services now set a precedent for under investment in services in the future.

·   Recognised the need to keep rates low, due to the current cost of living crisis but  decisions made during this budget,  will have a larger long term impact on youth than other groups in society.

·   Maintaining good youth services in the city is important for retaining youth in the city.

Bioeconomy Science Institute (Mark Piper) (265)

Mark spoke to their submission and made no additional comments.

Councillor Vaughan Dennison returned to the meeting at 4:41pm

Unions Manawatū (Ben Schmidt) (279)

Ben spoke to their submission and made the following additional comments:

·   Satellite libraries are vital for ensuring people in the community have access to IT services.

·   Council services are not there to run a profit, cutting services merely passes costs on to individual people.

·   Advocate for central government investment to relieve the burden on local government.

Karakia Whakamutunga

Councillor Debi Marshall-Lobb closed the meeting with karakia.

1.

Submissions on Planning & Miscellaneous fees & charges ⇩

2.

Planning & Miscellaneous fees and charges for 2026/27 ⇩

3.

Tradewaste fees and charges for 2026/27 ⇩

Personnel^[3]

63.3 

64.8 

65.7

65.9

Depreciation 

49.6 

54.3 

48.2

47.9

Finance (interest) 

14.1 

20.5 

14.5

13.7

All Other Operating Expenses ^[4]

80.9 

81.2 

84.7

88.2

Total operating expenses 

207.8 

221.1 

213.1

215.7

Operating subsidies & grants 

(6.5) 

(5.5) 

(5.5)

(5.6)

Finance revenue 

(0.5) 

(0.4) 

(0.6)

(0.6)

Other revenue ^[5]

(40.2) 

(41.4) 

(42.7)

(45.3)

Total operating revenue 

(47.2) 

(47.4) 

(48.8)

(51.5)

Net operating expenses 

160.6 

173.8 

164.3

164.2

Less: 

Depreciation 

(49.6) 

(54.3) 

(48.2)

(47.9)

Operating expenses funded from debt 

(5.1) 

(2.0) 

(5.1)

(5.5)

Plus: 

Renewals (3-year rolling average) 

30.8 

32.2 

30.0

30.1

Debt repayment 

9.1 

11.7 

12.3

11.5

Total rates requirement 

145.9 

161.7 

153.1

152.4

Interest Costs on Debt 

(0.3%) 

2.3% 

0.2%

(0.3%)

Debt Repayment 

1.0% 

1.4% 

2.2%

1.6%

Rolling Average Renewal increase 

1.6% 

0.9% 

(0.6%)

(0.5%)

Labour Costs – Market Movement 

3.0% 

1.6% 

1.6%

1.8%

Utilities and Insurance 

0.3% 

0.1% 

0.0%

0.1%

Software Licenses 

0.1% 

0.6% 

0.8%

0.8%

Fuel Expense

0.1%

0.0%

0.0%

0.6%

All other (Contractors, Prof Services, Materials) 

2.1% 

1.0% 

1.8%

1.6%

Revenue (excluding rates)

(1.3%) 

0.6% 

(1.1%)

(1.3%)

Increase in total rates requirement 

6.6% 

8.5% 

4.9%

4.4%

Renewals 

34.3 

35.9 

35.6

36.0

Capital for growth 

9.9 

25.0 

13.3

5.3

Capital new 

53.1 

97.2 

49.9

44.5

Total capital expenditure 

97.4 

158.1 

98.6

85.8

Funding from external sources 

12.5 

38.1 

9.0

10.9

Funding from rates (renewals) 

30.8 

32.2 

30.0

30.1

Funding from additional debt 

54.1 

87.8 

59.8

44.8

1.

Consultation Summary ⇩

2.

Submissions Summary ⇩

3.

Operating Budget Changes ⇩

4.

Breakdown of Other Expenses and Revenue ⇩

5.

Schedule of Proposed Operating Programmes ⇩

6.

Schedule of Proposed Capital New Programmes ⇩

7.

Schedule of Proposed Capital Growth Programmes ⇩

8.

Schedule of Proposed Capital Renewal Programmes ⇩

9.

Activity Statements ⇩

10.

Financial Statements ⇩