Waikato River Authority
Annual General Meeting
for the period 1 July 2011 to 30 June 2012
Address by Bob Penter, Chief Executive
8 November 2012, Novotel Hotel, Hamilton
Vision for the Waikato River
Tooku awa koiora me oona pikonga he kura tangihia o te
maataamuri
―The river of life, each curve more beautiful than the last
Our vision is for a future where a healthy Waikato River
sustains abundant life and prosperous communities who, in
turn, are all responsible for restoring and protecting the
health and wellbeing of the Waikato River, and all it
embraces, for generations to come.
Waikato River
 New Zealand’s longest river (425km),
quarter the length of the country
 Mean discharge of 340m3/s
 9 hydro-power stations, and provides
cooling water for Huntly power station
(coal): 13% of NZ’s electricity generation
 Significantly degraded particularly in
middle and lower reaches of the
catchment due to multiple factors
Huka Falls
Lake Karapiro
Hamilton City
Waipa River (Ngaruawahia)
 Largest tributary to the
Waikato River
 116km long
 Major source of
microbes and sediment
in lower Waikato River
catchment
Te Puuaha o Waikato
Highlights 2011/12
 Funding announced for 26 projects in under $50k
category in February 2012. A total of $800,000
allocated
 Over $50k projects announced in April 2012. A total of
20 projects in this category with a total of $4.8m
 A funding ratio of 0.73 was achieved, for every dollar
allocated by the WRA, 73cents was contributed by
project partners
Funded projects 2011/12
 Waikato River Trails Trust – Riparian
planting projects ($143k)
Funded projects 2011/12 .. cont’d
 DairyNZ – Reduce nutrient loads, sedimentation and
faecal microbes in the Upper Karapiro catchment by
implementing auditable Environmental Management
Plans ($1.5m DairyNZ and catchment farmers, $685k
Trust)
Funded projects 2011/12 .. cont’d
 SMP Muir Family Trust restoration of whitebait
habitat ($11k)
Funded projects 2011/12 .. cont’d
 National Wetland Trust of NZ – Promote
Rotopiko/Lake Serpentine as a showcase site for
visitors, education, training and research ($600k)
Funded projects 2011/12 .. cont’d
 Te Awa River Ride – a major cycle way 3-year project
providing riparian planting, access and education on
river ($150k)
Highlights 2011/12 .. cont’d
GST Registration

GST status of both entities were reviewed during statutory audit and
non-binding rulings obtained from Inland Revenue

Waikato River Authority non-binding ruling obtained from Inland
Revenue to confirm GST status of entity is not required to be registered
– Not registered

Waikato River Clean Up Trust non binding ruling obtained from Inland
Revenue to confirm GST status of entity is entitled to be registered
– Registered for GST

For the Trust in particular this was a key milestone
Highlights 2011/12 ..cont’d
 Inclusion of the Vision & Strategy in a number of
planning documents throughout our region. Notably
the Proposed Regional Policy Statement for the
Waikato Region encompasses the Vision & Strategy
 A refresh of the Funding Strategy undertaken with up
to $6m again allocated in this current round
 Nga Wai o Maniapoto (Waipa River) legislation passed
in April 2012 expanding the WRA area to include all of
the Waipa River catchment
Highlights 2011/12 cont’d ..
 Recognition from the
Crown of the Authority’s
actual and reasonable
costs. And a commitment
from the Ministry to
review the level of
funding in two years, to
meet those costs.
“I commend the Authority
in prudently exercising its
fiscal responsibilities .. to
appropriately address its
reasonable costs over and
above the level of Crown
funding.”
Dr Paul Reynolds
Secretary for the Environment
Financials –Waikato River Authority
Revenue
Government grants
Finance income
30 June 2012
30 June 2011
302,632*
1,250,000
35,171,
4,201
(15,039)
-
(400,607)
(398,185)
(77,843)
856,016
Expenses
Personnel costs
Operating
Surplus/(deficit) for the period
*Note government operating grant of $910,000 split between Authority and
Trust for 2012 year.
Balance sheet
30 June 2012
30 June 2011
Total assets
806,017
982,643
Total equity
778,173
856,016
Total liabilities
27,844
126,627
Financials – Waikato River Clean-up Trust
Revenue
30 June 2012
30 June 2011
Settlement funds*
5,310,313
113,473,739
Government grants
607,368
-
289
-
6,619,716
351,329
(597,340)
-
Depreciation
(4,327)
-
Amortisation
(2,873)
-
Grant payments
(713,989)
-
Surplus/(deficit) for the period
11,219,157
113,825,068
30 June 2012
30 June 2011
Total assets
125,261,954
113,825,068
Total equity
125,044,225
113,825,068
217,729
-
Other income
Finance income
Expenses
Operating
*Note the settlement funds represent the present value of the Waikato Tainui
Raupatu Claims (Waikato River) Settlement Act 2010 and Nga Wai o Maniapoto
(Waipa River) Act 2012.
Balance sheet
Total liabilities
Financials – Waikato River Clean-up Trust
Grants
30 June 2012
30 June 2011
713,989
-
3 Way Trust
46,378
-
Fish and Game
58,261
-
Boffa Miskell
34,600
-
Cambridge Primary School
9,900
-
Cambridge Tree Trust
33,421
-
Hamilton Fish & Game Assn
18,750
-
7,500
-
NZ Landcare Trust
37,000
-
Solid Energy
49,900
-
Eel Enhancement Co Limited
40,000
-
NZ Farm Environment
15,000
-
Raukawa Charitable Trust
87,910
-
SMP Muir
9,400
-
Waipa District Council
24,500
-
Hamilton City Council
122,761
-
Nga Muku Developement Trust
36,535
-
Puna Whakaata ki Oruanui Charitable Trust
34,696
-
4,000
-
43,478
-
Grant payments (excl. GST)
Made up as follows:
Landcorp
Tauranganui Marae
Mangakotukutuku Puna Koira Trust
Audit NZ Management Report
Key Messages
 Good practice is being applied to the evaluation process used to
assess grant applications
 Pleased to note monitoring procedures are being put in place to
monitor the work of grant recipients
 The financial statements fairly reflected the entities’ activity for
the year and their financial position at the end of the year.
 Key Issues arising during the audit this year included:

Treatment of settlement funds receivable
under Waipa River legislation;

GST status of both entities

The above issues have been resolved during the
audit.
Current Status
 Completion of our 2nd Annual Report
 Appointment of key WRA contractors
including the position of Fund Manager
(Sean Newland)
 Our 2nd funding round opened in
September 2012 with applications
closing on 2nd November.
 We have received 61 applications
seeking total funds of $10.4m
Immediate Tasks Ahead




Completion of the 2nd funding round
Establish GIS web enabled mapping tool
Auditing funded projects
Further and continuing improvements to WRA
website
 Creation of key stakeholder database for improved
communication
Challenges Ahead
 How do we know if we are if we are being effective?
• One funder among a number of others
• Actual river health difficult to monitor in the short to medium
term (changes occur over decades)
 Developing an integrated, cohesive and logical multi-year
funding programme rather than potentially fragmented
yearly funding
 Are there enough capable organisations to annually take
on new projects?
 Balancing prosperous communities with a restored and
protected river and catchment
Ends