Official Information Request - 16 September 2019

Sent: Tuesday, 17 September 2019 2:22 pm

Subject: LGOIMA - Rotorua Waste Water Plant

Further to your request for information of 16 September 2019 on the Rotorua Waste Water Plant to our CE Geoff Williams under LGOIMA.

• We can confirm that no contract has been signed by Council over the management of the Rotorua Waste Water Plant and this decision would need to be informed by a special consultative process which is still to take place.
• The WWTP upgrade and management of services was outlined in the Annual Plan and below I have copy and pasted the contents of a recent LGOIMA request to council on similar matters which should answer most of your questions.
• With regards to what council has currently done operationally, and probably at the source of your rumour, is taken on some expert contract resources (fixed-term basis till about June 2020) at the WWTP to assist with the management of the overall network particularly with the Rotoma/Rotoiti plant coming on.

As you have requested this information under LGOIMA you have the right to seek an investigation and review by the Ombudsman of this decision. Information about how to make a complaint is available at

http://www.ombudsman.parliament.nz/make-a-complaint/complaining-about-access-to-official-information-551307291224432 or freephone 0800 802 602.

Kind regards

As requested, see below questions and answers regarding wastewater treatment plant (which is HERE on our website).

The following link is to 2019/20 annual plan consultation document which includes a section on "Delivery of Wastewater Services" (sorry there aren't page numbers but section is clearly headed and outlines in detail the reasons we are looking at options for future management and delivery of wastewater services and what has happened to date) https://www.rotorualakescouncil.nz/our-council/officialinformation/OIA2019/Documents/Annual-Plan-2019-20-Consultation-Document-A4-document-version.PDF

What are the current ownership, governance and management arrangements with regard to the Wastewater Treatment Plant?

Rotorua Lakes Council owns, governs and manages the wastewater system/network, including the wastewater treatment plant.

What are the projected ownership, governance and management arrangements with regard to the WWTP?

A change in the delivery and management of operations of the wastewater services is proposed, as outlined in the 2019/20 Annual Plan consultation document. Community views about the proposal were sought as part of Annual Plan consultation and there will be further consultation.

The proposal is for a 25-year contract for service delivery that would link all network systems under one comprehensive set of performance objectives.

The contract would include the upgrade (design and build), operation, maintenance and renewal of the wastewater treatment plant, in accordance with resource consent conditions (when known). The contractor would be responsible for all operations to maintain networks in stable and reliable condition; deliver required levels of service and comply with all resource consent measures.

Council would retain ownership and control (as outlined in the Annual Plan consultation document).

Work undertaken to date has included:

• Expressions of Interest from suitably qualified groups/consortia/ companies;
• Request for tender and shortlisting following extensive testing, interviews and reference checking;
• Preferred consortia presented to Council;
• Ongoing work with consortia to develop viable and prudent proposal;
• Proposal supported in principle by Council, subject to community feedback and peer review of all aspects of the contract.

To what extent have the projected arrangements been authorised by the current Council?

As above, the proposal was supported in principle by Council, subject to community feedback and peer review of all aspects of the contract.

To what extent have the projected arrangements been contracted by the current Council? Please verify if a 35-year contract has been awarded that requires the contractee to modernize the plant at Sulphur Point so that it will function effectively for the following 25 years.

No contract has been awarded. As above, the proposal is subject to further community consultation and Council decision-making. See above regarding wastewater treatment plant upgrade aspect of the proposed contract.

To better predict demand on the WWTP, will the contractee introduce the metering of domestic and commercial water use?

The contracted party would not be able to introduce water metering or any other regulatory demand management. That is a function that only Council could introduce if it changed its current position.

To what extent do these arrangements anticipate the central government's Three Water Policies

Council is aware of the Government's objectives in the 3 Waters review and the proposed contract would not be in conflict with these, but detail is not yet available.

What will the impact of the new arrangements be on ratepayers?

What will the impact of the new arrangements be on ratepayers?Rating implications would be considered as part of final decision-making.