1. ANNUAL PLAN
2019/20
Council Workshop
13 December 2018

2. Purpose of today Recap on previous workshop Update on draft budget
Confirm the engagement approach
Next steps

3. On 20 November we outlined…
The proposed changes to the LTP for the 2019/20 year
Base assumptions for the LTP
Risks and uncertainties

4. This was the rates picture

5. Council provided direction on how to address the rates impact
Confirmed use of some PT reserves
Confirmed application of likely current year capital expenditure timing impact
Plus:
Remove the fare increase assumption i.e. no increase for 2019/20
Assume more aggressive patronage growth for rail and bus

6. Historical patronage growth

7. Further updates since then
We reviewed feasible patronage growth assumptions and have budgeted for:
4.5% growth in rail
2.0% growth in bus
The renewal on our insurance premiums has been received – extra $760k in 2019/20

8. The rates impact 2019/20

9. PT Reserves

10. The LTP vs AP 2018-28 rates picture

11. There remain some risks and uncertainties
Risk / Uncertainty
NZTA funding for the bus enhancements
Riverlink – rental revenue
LGWM - costs for planning phase likely to be higher than allowed for
Fares revenue - patronage & inflation
WREMO - building rental costs
Long Distance Trains – options and funding
Ferry Terminal – business case and follow-up work
CentrePort Dividend
Hutt Valley rail line upgrade and impacts on revenue/patronage

12. Your Direction
Q. Are you comfortable with the proposed rates increase for 2019/20 and the remaining risks?
YES - We will prepare a draft Annual Plan budget for approval your approval in February
NO - How do you want management to approach reducing rates?

13. Water levy impact 2019/20 Increased insurance premium - $300K
Change in insurance cover - $600-$850K
Water levy increase estimated to move from 3.5% to 6%

14. Engagement

15. Approach Low significance - informing
To run alongside the Regional Public Transport Plan consultation
Councillor led engagement with logistical support from officers
Drop in sessions
Community groups and organisations (presentations)

16. Reaching the audience Collateral Social media updates Website
Presentation
Posters, flyers, advertising
Information document and supporting information
Social media updates
facebook, twitter
Website
February – advice of upcoming engagement
April/May – documentation online

17. Timeframe – book your diaries
February
we will get in touch to develop your individual itinerary
Confirm drop-in sessions
April through May
Drop in sessions (with RPTP consultation)
Community group presentations .

18. Next steps Workshop 7 Feb Meeting 26 Feb Engagement April / May
Annual Plan
Consultation/ engagement document
Finalise consultation approach
Meeting 26 Feb
Confirm draft Annual Plan
Adopt engagement document
Engagement
April / May

19. End of presentation