Roading
Activity
Management
Plan
Version 3.0
July 2010
Roading Activity Management Plan
Prepared for Hurunui District Council
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Quality Information
Document
Hurunui District Council Roading Activity Management Plan
Ref
HDC RdAMP AMP v3 0 10D.docx
Date
July 2010
Prepared by
George JasonSmith John Whyte
Reviewed by
Mark Gordon
Revision History
Revision
v3.0
Page ii
Authorised
Revision
Date
Details
1 July 2010
Final
Name/Position
Signature
Mark Gordon
Regional Manager
Version 3.0
Roading Activity Management Plan
PLAN STATUS
1.
Overall Responsibility for the Co-Ordination of all Matters in this Appendix
Date
Name
Designation
February 2009
John Whyte
Roading Engineer Assets
2. Appendix Prepared By
Version
Date
Name
Designation
3.0
2006-2011
George JasonSmith
Maunsell AECOM, Christchurch
John Whyte
Assets Engineer Roading
3. Appendix Reviewed By
Version
Date
Name
Designation
3.0.6
January 2009
Bruce Yates
David Edge
John Whyte
John Kerse
Alex Cooke
Brian McManus
Manager Engineering Services
Roading Manager
Roading Assets Engineer
Roading Engineer Operations
Township Amenities Engineer
Roading Engineer Contracts
3.0.10
January 2010
Bruce Yates
David Edge
John Whyte
John Kerse
Brian McManus
Manager Engineering Services
Roading Manager
Roading Assets Engineer
Roading Engineer Operations
Roading Engineer Contracts
Date
Authentication
4. Adopted
Version
3.0 Final
24 February 2011
Endorsed by Council at Council Meeting Item 7.1
5. Updated By
Version
Date
Version 3.0
Name
Designation
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Roading Activity Management Plan
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Contents
1
Introduction
1
1.1 Background ................................................................................................................... 1
1.1.1 Roading Assets ...................................................................................................................... 1
1.1.2 Community outcomes to which the activity contributes ......................................................... 2
1.1.3 Public Concerns ..................................................................................................................... 4
1.2 Objective of Roading Activity Management Plan .......................................................... 4
1.2.1 Plan Objectives ...................................................................................................................... 5
1.3 Asset Management Level ............................................................................................. 6
2
Levels of Service, Performance Measures, and Relationship to Community
Outcomes
7
2.1 Levels of Service and Community Outcomes ............................................................... 7
2.2 Reporting ....................................................................................................................... 9
2.2.1 Targets and Measures ........................................................................................................... 9
2.2.2 Network Performance ............................................................................................................ 9
3
The Existing Situation
12
3.1 Assets ......................................................................................................................... 12
3.1.1 Assets Required................................................................................................................... 12
3.1.2 Asset Register...................................................................................................................... 12
3.2 How the Roading Assets are Maintained and Operated ............................................ 14
3.2.1 Maintenance and Operating Issues ..................................................................................... 15
3.2.2 Business Continuity, Emergency Management and Reinstatement .................................... 15
3.2.3 Maintenance Forecast ......................................................................................................... 15
3.3 Renewals and Depreciation ........................................................................................ 15
3.3.1 Renewals funding ................................................................................................................ 16
3.3.2 Particular Renewals Issues.................................................................................................. 16
3.3.3 Renewals Forecast .............................................................................................................. 16
3.3.4 Change in Service Potential................................................................................................. 17
3.4 Future Demand and New Expenditure ....................................................................... 17
3.4.1 Future Demand .................................................................................................................... 17
3.4.2 New Expenditure.................................................................................................................. 17
3.4.3 How New Works are Funded ............................................................................................... 18
3.4.4 Other New Works issues. .................................................................................................... 18
3.4.5 New Works Forecast............................................................................................................ 18
3.5 Asset Retirement / Disposal ........................................................................................ 19
4
Resource allocation and budgeting
19
4.1 Funding the Annual Net Cost – ‘Who Pays?’ .............................................................. 20
4.2 Schedule of Fees and Charges .................................................................................. 20
5
Environmental Management, Regulatory Matters and Activity Management
Issues
21
5.1 Environmental Management Issues............................................................................ 21
5.2 Demand Management ................................................................................................ 21
6
Significant Negative Effects
22
6.1 Road Safety ................................................................................................................ 22
7
Significant Assumptions, Uncertainties, and Risk Management
23
7.1 Assumptions and Uncertainties .................................................................................. 23
7.1.1 Growth 23
7.1.2 Costs 23
7.1.3 Useful Lives ......................................................................................................................... 23
7.1.4 Legislative Environment ....................................................................................................... 23
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7.1.5
7.1.6
Planning Environment .......................................................................................................... 24
Risk Management. ............................................................................................................... 24
8
Roading Bylaws and Statutory Obligations
24
8.1 Bylaws ......................................................................................................................... 24
8.2 Principal Statutes ........................................................................................................ 25
9
Business Improvement
25
9.1 Activity Management Plan Improvement and Review, ............................................... 25
9.2 Public Consultation ..................................................................................................... 25
10
Improvement Plan
Annex I
Annex II
Annex III
Annex IV
Annex V
Page vi
25
List of Appendices
Financial Summary
Change in Network Service Potential
Planned New Works
Setting the Level of Roading Asset Management
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1
Introduction
1.1
Background
The Local Government Act 1974 vests ownership of roads, other than State Highways, in the
Council. This makes continued Council ownership the only available option. State Highways are
vested in the Crown and are maintained by Transit New Zealand. There are three State
Highways in the District, State Highway 1, State Highway 7 (the Lewis Pass road) and State
Highway 7A (to Hanmer Springs).
The Hurunui District Council has no direct role in the provision of public passenger transport, a
function allocated under the Land Transport Management Act to regional councils, but it does
have an advocacy role on behalf of its citizens.
The Council considers that the provision of the roading network is a core function of local
government. Roading is largely for public benefit and promotes the economic, social,
environmental and cultural wellbeing of the District’s communities, by providing for people and
goods to move safely and efficiently throughout the District.
1.1.1
Roading Assets
The Hurunui District Council is responsible for the management of a roading network that
comprises of approximately:
Table 1 Asset Summary
Sub Asset
Category
Quantity
Roads
Sealed
Unsealed
Urban
Rural
Unformed
Network Length
Kerb and channel
Footpaths
On-road
Bridges
Traffic facilities
Cycleways
597.5-km
856.1-km
75.6-km
1,377.9-km
861.0-km
1,453.6-km
38.1-km
47.1-km
Bridges
other
than 182, totalling 5,397m
timber
35, totalling 395m
Timber Bridges
50
Culverts greater than 3.4
sq m
0.0Street lights
883-each
Signs
23,732-each
Markings
Inventory to be
verified0.0-km
Link: HDC RdAMP Apx A Overview 3.0.7.xlsx]Summary > $B$17.
Data: 2/04/09 to 11/11/09
 In addition, there are approximately 2,768 km of unformed legal roads.
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The estimated usage of these roads is 66 million vehicle-km per year (0.67 x 108 vkt/yr)1 and
their depreciated replacement cost, at 30 June 2008, was $231,767,113 Goal and Principal
Objectives
The vision for the land transport network of the Hurunui District is:
“To provide a transport network that is accessible for all people within the region.”
The principal objectives of the network are:
 To maintain and enhance levels of service that reflect the needs of economic growth and
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diversity of road users
To ensure that the levels of service be delivered reliably, efficiently and economically
That maintenance and development of the land transport system has regard for
environmental effects
Through inter-regional and intra-regional co-ordination, maintain a consistent and safe
roading environment.
To promote education and engineering programmes that target road safety issues of
specific concern to Hurunui District
To promote walking and cycling within the District
1.1.2
Community outcomes to which the activity contributes
Table 2: Community Outcomes to which the Roading Activity primarily contributes
Well-being
Community
Sub-Outcome
Outcome
Social
Economic
A desirable
Environmental place to live
Cultural
How Roading Contributes Towards The
Outcome
By designing, constructing and maintaining
the road network to industry standards and
best practice
Attractive, well designed
villages that present a
By designing, constructing and maintaining
positive image encouraging bridges, culverts and stormwater structures
people to live in and visit the in a manner that minimises hazards.
area
By designing, constructing and maintaining
appropriate warning, advisory and
regulatory signs on the road network
A strong sense of community
that gives people a sense of
belonging and encourages
them to take part in local
activities, to support essential Provision and maintenance of the roading
volunteer services, and to be network allowing people to access these
involved in local consultation activities
and decision making
Opportunities in leisure, art
and cultural activities
Effective planning for future
development but ensuring
the preservation of local
heritage and rural
uniqueness
By planning, designing, constructing and
maintaining the road network in a manner
that considers future needs alongside those
of existing users and residents.
By maintaining the roading asset in a
manner that is sensitive to the diverse
heritage of the District
1
Source: HDC RdAMP Apx A Overview 3.0.2.xls]Hierarchy > $C$1
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Well-being
Social
Community
Sub-Outcome
Outcome
Essential infrastructure
A healthy place
meets the needs of the
to live
District’s communities
How Roading Contributes Towards The
Outcome
By designing, constructing the road network
to industry standards and best practice and
maintaining it in a manner such that:
the needs of future generations are
considered alongside those of existing
users and residents.
safety is improved.
appropriate warning, advisory and
regulatory signs are provided on the road
network
dust-free surfaces are provided on roads
where economically viable
By providing new and upgraded kerb and
channel, footpaths and streetlights
By designing, constructing and maintaining
bridges, culverts and stormwater structures
in a manner that minimises hazards.
By designing, constructing and maintaining
appropriate warning, advisory and
regulatory signs on the road network
By maintaining close liaison with the
tangata whenua on all known and
potential matters of interest to them.
By maintaining and developing the
roading assets in a manner that is
sensitive to the diverse heritage of the
District.
By designing, constructing and maintaining
a reliable road network.
By designing, constructing and maintaining
the road network in an affordable manner.
By designing, constructing and maintaining
A transport network which
the road network to industry standards and
Thriving Local supports the safe and
best practice
Economic
Economy
efficient movement of people
By providing dust-free surfaces on roads
and goods
where economically viable
By providing an efficient transportation
system that limits exhaust emissions
All measures listed in this Activity
Management Plan
By designing, constructing and maintaining
the road network to industry standards and
best practice
By providing dust-free surfaces on roads
where economically viable
Social
A safe quality road
By planning, designing, constructing and
Essential
Economic
infrastructure that is well
maintaining the road network in a manner
Infrastructure
Cultural
maintained
that considers future needs alongside those
of existing users and residents.
By designing, constructing and maintaining
the road network in a manner such that the
full social and economic costs and benefits
of projects are taken into consideration.
By providing an efficient transportation
system that limits exhaust emissions
Clean, healthy air quality
By providing efficient and appropriate
Environmental Environmental
stormwater collection, and basic treatment,
Responsibility
systems in urban areas
Environmental safeguards
By providing dust-free surfaces on roads
and protection for natural
where economically viable
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Well-being
Community
Sub-Outcome
Outcome
How Roading Contributes Towards The
Outcome
assets balanced with
property owner’s rights
Social
Cultural
1.1.3
By maintaining significant areas of native
vegetation and areas of significant native
vegetation in environmentally sensitive
ways
By providing efficient and appropriate
stormwater collection, and basic treatment,
systems in urban areas
By installing and providing bridges and
culverts in environmentally sensitive ways.
Clean and plentiful water in
our rivers, lakes and streams Provision and maintenance of a roading
network that allows people to attend
schools and other places of skills education
By providing and maintaining a road
network that provides for people and
Skills and
communities to travel to schools,
Education for
community centres places of work and
Work and Life
other locations where they can gain or
enhance skills and improve their education.
Public Concerns
Past customer surveys have shown that roads cause a high level of dissatisfaction compared to
any other Council service. Footpaths are also cause for dissatisfaction with the predominant
reasons stated was rough surface, poor road maintenance and condition and a lack of
footpaths.
The methods used to address these concerns include:
 A programme of seal extensions, safety improvements and road reconstruction
 A significant ongoing programme to upgrade existing footpaths and construct new ones
 A change to use of ‘hybrid’ type maintenance contracts to provide better value for money
to the District
 Funding and support for road safety education programmes
1.2
Objective of Roading Activity Management Plan
The objectives of this Activity Management Plan are to explain, clearly and succinctly, the
Council’s strategic and management approach for roading, footpath and car parking assets and
to ensure that the service the network provides and the costs of delivering these services
represent value for money to the Council’s customers. This plan has been prepared in a manner
that enables its programmes and forecasts to be transferred directly into the Long Term Council
Community Plan.
Value for money is defined as:
Ensuring the level of service required by our customers is provided at the lowest longterm cost to the community”
This Activity Management Plan provides the support material for the Long Term Council
Community Plan. It is intended to be a complete record of the asset, the methods used to
manage it, and the activities associated with it. This plan will be continuously updated via the
various “supporting documents”. There is a separate supporting document for every key
strategic and management aspect of the activity.
Each supporting document contains a summary of the strategic approach and management
approaches to that particular issue. The strategic conclusions are then taken forward to the
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Management Plan itself, and the management issues into an ‘implementation and management
improvement programme’ (see Appendix ‘V’).
The intention is that the Council can be satisfied that this plan will form a major part of its ability
to satisfy the community, and the Council’s auditors, as to:
“the quality of the information and assumptions underlying the forecast information
provided [in the consultation LTP];
and
the extent to which the forecast information and performance measures provide an
appropriate framework for the meaningful assessment of the actual levels of service
provision.”2
The Plan will be an important and useful management tool that will be kept updated on a
continuous basis.
1.2.1
Plan Objectives
This plan meets the following objectives:
 Basis for Council Involvement — makes the rationale for the Council’s involvement in
roading clear;
 Evolutionary — builds on the existing situation and on the information that the Council
already has, especially in its earlier Asset Management Plans;
 Complete — All relevant information pertaining to current and future management of the
asset is included in the Activity Management Plan. This ‘Activity Management Plan’ has
been developed in this format to avoid the necessity for the Council to have to prepare a
separate ‘Asset Management Plan’ for this activity. In this context, ‘asset management’
means:
“Systematic and co-ordinated activities and practices through which an organisation
optimally manages its physical assets, and their associated performance, risks and
expenditures over their life cycles for the purpose of achieving its organisational
strategic plan.”
The approach taken envisages all of the physical asset management matters, which
would otherwise be addressed in a separate Asset Management Plan, being addressed
together with explanations of how the Council intends to manage its human assets,
information assets, intangible assets (reputation etc.), and financial assets, in order to
achieve the stated organisational strategy.
Two key reference documents in this regard are:
The International Infrastructure Management Manual (New Zealand edition), published
by the Association of Local Government Engineering New Zealand (Inc.) (INGENIUM);
and
 The draft ‘Specification for the Optimised Management of Physical Infrastructure
Assets’, prepared by the British Institute of Asset Management.

 Focus — the plan is outcomes and outputs focussed;
2
Local Government Act 2002 Section 84(4)
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 Legal Obligations — enables the Council to readily substantiate that it has met its legal
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
obligations and enables it to satisfy all Audit and, The NZ Transport Agency
requirements;
Strategic Approach — provides a clear statement for the elected representatives of the
local strategic approach towards the provision of the particular service, and of the levels
of that service that it is aiming to provide (i.e. a strategic plan) for the particular asset;
Transparency —
 Produces an output that enables the public to easily and readily see and understand
what the Council’s strategic and management approach to the activity is.
 Will automatically result in there being a clear audit trail of the way that decisions have
been made (and the reason(s) for the chosen option) – a necessary requirement now
pursuant to Section 77 of the Local Government Act 2002.
Guidance — provides clear policy guidance of the Council’s expectations to managers
and other staff;
Robust — provides clear evidence of the local authority having decided the District’s
future direction, and its development programme, in a robust manner;
Continuing Improvement —
 Is easily able to be kept continuously updated;
 Is able to be gradually enhanced and developed, in stages, until the desired level of
‘advanced activity (asset) management planning’ is reached;
 Produces an implementation and improvement plan for the Council’s managers, in a
form that can be easily integrated with the Council’s overall controls for management
of the particular activity;
 Is not only able to be used by, but the method of its compilation encourages its use by,
managers as a working document and prime management tool to aid continuous
improvement throughout the year;
Compatibility — Avoids the necessity for the Council to do any further work (other than
minor titivating) relating to this activity for the Long Term Council Community Plan (or
Annual Plan). In other words, it is prepared and formatted in a way so that the information
in it can be ‘dropped directly’ into the Long-term Council Community Plan;
Consistency —
 is at all times consistent with all of the Council’s higher-level strategic and other plans,
especially the District Plan, Strategic Plans, and Catchment Management Plans;
 Is consistent with the Activity Management Plans for all other Council activities;;
Integration —
 Expresses the forecast future capital costs in terms of ‘backlog / maintenance’ of
existing levels of service, ‘increased levels of service’, and ‘growth in order to support
the Council’s Development Contributions / Financial Contributions policy, as a routine
step in the process;
 Includes the Council’s Funding Policy for the Activity;
 Avoids or eliminates the unnecessary duplication that would otherwise occur in a
variety of areas;
 When read by a newly appointed ‘Activity Manager’, will give that person a clear total
picture of the whole situation relating to the activities that he/she is to have
responsibility for;
Focus — as a result of the way in which it has been ‘put together’ and is required to be
updated, forces stronger, more co-ordinated and focussed management of the activity,
and greater accountability allowing the Council to focus less on the preparation of plans
to meet statutory requirements, and more on more effective and efficient long-term
management of the activity.
1.3
Asset Management Level
In 2008/09, the Hurunui District Council commissioned Waugh Infrastructure Management to
review its asset management practices with a view to determining the appropriate level of asset
management for each of its activities. This review recommended that the appropriate level for
Roading Asset management is Core Plus. The Council adopted this recommendation on 27
November 2008 at an ordinary Council meeting.
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A copy of the Waugh report is attached as Annex V to this Plan.”
2
Levels of Service, Performance Measures, and Relationship
to Community Outcomes
2.1
Levels of Service and Community Outcomes
The Levels of Service developed in this Plan are based on the District’s Community Outcomes.
The Community Outcomes are the result of public consultation carried out up to and during
preparation of the 2009/19 Long Term Community Council Plan (LTP).
In establishing the Levels of Service the Council has considered its legal obligations, comments
made to it through formal consultation processes, the results of customer surveys, sound
engineering practice, affordability and economic efficiency.
As not all roads can reasonably be expected to provide identical levels of service a road
hierarchy has been established to assist in defining the expected levels of service. The road
hierarchy reflects the significance and importance of each road in the District Road Network,
generally, the higher a road’s status in the hierarchy the more traffic a road will carry. Hurunui
District Council roads fall into the following hierarchy:
 Strategic Arterial Roads
 District Arterial Roads
 Collector Roads
 Local Roads
For the purposes of establishing levels of service that are sensible to the road-user and at the
level of individual roads these five hierarchies have been rearranged into the following groups,
for which current and desirable levels of service are established:
 Strategic and Arterial Roads
 Collector and Urban Collector Roads
 Local Urban Roads
 Local Rural Sealed Roads
 Local Rural Unsealed Roads
Unsealed Urban Roads are not included in this list as there is only a small number of them and
the Council considers that the minimum level of service for them is a sealed surface.
There are four carriageway service indicators, capacity; ride quality; safety and appearance;
and responsiveness; that are used to define the levels of service on each of the roads in each of
these groups.
The roading asset is also made up of a number of different components, each of which naturally
delivers completely difference “service”. Apart from the carriageway, upon which motor vehicles
normally run, there are also seven other associated roading sub-assets; footpaths and cycle
ways, kerb & channel and drainage, bridges and fords, street lighting, road marking and
delineation, signs, and appearance.
There is only a very shall amount of public off-street car parking that is not directly associated
with an adjacent public building, such as the Council’s Amberley Offices, or with a public
reserve maintained as a Community, rather than Roading, asset. Currently these public off-road
car parks have not been identified but this is programmed to occur early in 2011/12.
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The relationship between these level of service indicators and the Council’s Community
Outcomes is illustrated below:
Table 3, Community Outcome Linkages
Service Indicator
Sub-indicator
Related Community Outcome
Carriageway
Ride quality
Economic wellbeing
Width
Economic wellbeing
Surface
Economic wellbeing
Social wellbeing
Environmental wellbeing
Safety
Social wellbeing
Presence
Social wellbeing
Width
Social wellbeing
Surface
Social wellbeing
Safety
Social wellbeing
Presence
Economic wellbeing
Social wellbeing
Cultural wellbeing
Environmental wellbeing
Type
Social wellbeing
Cultural wellbeing
Environmental wellbeing
Material
Social wellbeing
Cultural wellbeing
Environmental wellbeing
Width
Economic wellbeing
Environmental wellbeing
Load capacity
Economic wellbeing
Environmental wellbeing
Availability (fords)
Economic wellbeing
Social wellbeing
Environmental wellbeing
Cycle lanes
Social wellbeing
Environmental wellbeing
Pedestrian facilities
Social wellbeing
Environmental wellbeing
Presence
Social wellbeing
Environmental wellbeing
Standard
Social wellbeing
Footpaths and cycleways
Kerb & channel and drainage
Bridges and fords
Street lighting
Safety
Social wellbeing
Road marking and delineation
Presence / use of
marking and delineation
Economic wellbeing
Signs
Legal compliance
Economic wellbeing
Presence of Nameblades
Economic wellbeing
Cultural wellbeing
Environmental wellbeing
Appropriate warning of
hazards and sudden
changes
Social wellbeing
Appropriate information
provided
Economic wellbeing
Cultural wellbeing
Environmental wellbeing
Painted surfaces
Social wellbeing
Township roadsides
Social wellbeing
Rural roadsides
Social wellbeing
“Noxious weeds”
Social wellbeing
Environmental wellbeing
Appearance
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Service Indicator
Sub-indicator
Related Community Outcome
Weeds in footpaths and
gutters
Social wellbeing
Environmental wellbeing
Cleanliness
Social wellbeing
Environmental wellbeing
Offensive matter and
crash debris
Social wellbeing
Cultural wellbeing
Environmental wellbeing
NZ Transport Agency (NZTA) has issued maintenance guidelines for all road controlling
authorities, which have been incorporated in the various maintenance contracts as appropriate.
2.2
Reporting
2.2.1
Targets and Measures
Performance measures/indicators for the District’s roading network have, to date, largely been
found within the specifications for the various contracts the Council has made with contractors
and consultants for the maintenance and development of the road network. The maintenance
contracts set fault trigger levels and response time requirements.
The District’s safety performance indicator is to “experience a downward tracking in the annual
accident rate over the next 5 years”.
The NZTA requires all road-controlling authorities to annually report on achievements and a
number of performance indicators.
The NZTA also records and analyses traffic crashes and publishes an Annual Report for
Hurunui District covering reported crashes over the previous 5-year period.
Environment Canterbury’s (ECan’s) Regional Land Transport strategy sets out indicators and
monitoring requirements for a safe, efficient, accessible network that also has regard for the
environment.
Reporting also includes regular staff reports to the Council’s Works and Services Committee.
2.2.2
Network Performance
The information reported in these ways forms the basis of the following Network Performance
Measures. These measures will be reported in the Council’s Annual Reports. Progress towards
them, and the latest Achievements are detailed in Appendix B — Levels of Service
Table 4, Network Performance Measures
Measure
Target
LTP Measures
1.
Essential Infrastructure
a. Maintain infrastructure to a
standard appropriate to their use
and traffic volume
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Roading Activity Management Plan
Measure
Roading Survey data compares
favourably with other rural
councils similar to Hurunui District
Target
Smooth Travel exposure of the
network3
 Overall
 95%
Percentage of “rough” roads on the
Hurunui District’s sealed network
 Overall
Pavement Integrity Index for sealed
roads
 Overall
Surface Integrity Index for sealed
roads
 Overall
NZTA audits confirm that the
Audits are carried out at
40-km of sealed roads have
Annual length resealed
roading network is in satisfactory
condition
waterproof sealing applied peryear
b. Good quality streetlights
c. Good quality kerb and channel in
urban areas
d. Good quality footpaths in urban
areas
approximately 3- to 5-yearly intervals
as determined by the NZTA
 2007/08
 5%
 95%
 95%
2005 - Yes
 40km
Reduce the percentage of substandard
lights by 1% annually to 4% by June
2013
2009/10
2010/11
2011/12
2012/13+
7%
6%
5%
4%
Reduce the percentage of deficiencies
in kerb and channel by 1% annually to
2% by June 2013
2009/10
2010/11
2011/12
2012/13+
5%
4%
3%
2%
The percentage of defects footpath
Currently 0.2%
surfaces does not increase
The percentage of urban streets (by
length) without smooth footpaths
reduces to 12% by June 2013.
2009/10
2010/11
2011/12
2012/13+
3




15%
14%
13%
12%
Determined in accordance with NZTA definitions and reporting criteria incorporated in the
algorithms included in the RAMM database by the Agency..
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Section 2 Levels of Service, Performance Measures, and Relationship to
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Community Outcomes
Roading Activity Management Plan
Measure
2.
Target
A healthy place to live
a. Residents’ satisfaction

The proportion of those surveyed
considering the standard of sealed
roads to be satisfactory or better
increases to 80% by June 2013
 2009/10
 2010/11
 2011/12
 2012/13+




70%
75%
75%
80%




50%
55%
60%
60%
The proportion of those surveyed
considering the standard of unsealed
roads to be satisfactory or better
increases to 60% by June 2013
 2009/10
 2010/11
 2011/12
 2012/13+
b. An additional 1km of unsealed
road is sealed each year
Length of seal extension (km)

c. Bridges have adequate strength
and are well maintained
All bridges are capable of carrying

Class 1 loads
 Number of load restricted bridges
Bridges and bridge components will
be prioritized for renewal and a
replacement programme implemented
 Number of renewed bridges and
major structural components
i. 20010/11
 20 bridges
Bridges are inspected regularly,
according to need, and not less than
once in 5-years
 Number of bridges over-due for
inspection
d. Improving road safety
The number of road crash fatalities on
Hurunui District’s roads reduces
 2009/10
 2010/11
 2011/12
 2012/13+
 Nil




By
By
By
By
5%
10%
10%
20%
Internal measures
3
Unsealed roads
Length of unsealed roads (km)
Proportion of unsealed network
carrying > 100 veh/day
854
0.5%
58.9%
the maintained network
Proportion of travel on unsealed roads <5%
(vkt)
Proportion of unsealed road length in
4
Urban Streets
Proportion of urban streets (by
2%
Proportion of load-restricted bridges
0%
Proportion of network accessed over
3.3%
length) with substandard street
lighting by June 2013
5
Bridges
in the network
load-restricted bridges
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Outcomes
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Roading Activity Management Plan
Measure
6
Target
Road maintenance and renewal
Average remaining seal life (years) on 7-years
all roads
Value for Money
 Maintenance Cost / vkt (Total
value of subsidised maintenance
based on final The NZ Transport
Agency claim)
 Value of Deferred Maintenance at
end of year
 Change in Network Service
Potential4
7
Road safety
Total number of injury crashes per
100 million vehicle km travelled
(108vkt) on local roads
3
The Existing Situation
3.1
Assets
3.1.1
 < $0.05


 <5% of
maintenance
budget
 -1 % to +5%
Urban 30
Rural 27
Assets Required.
To fulfil the Council’s social and legal obligations and to meet the outcomes it has agreed with
its community the Hurunui District Council requires a roading network that provides:
 Certainty of public access, through Council ownership or formal agreements for the use of
land under roads
 Appropriately surfaced carriageways that provide for the safe movement of people and






3.1.2
goods
Culverts, surface water channels and storm water drains to remove runoff from the road
and thus help maintain its integrity
Road user information and enhanced safety through use of signs, barriers and pavement
markings
Bridges to carry traffic over waterways
Footpaths, walkways and cycle-lanes to transport pedestrians and cyclists
Street lighting to provide for safe and comfortable movement of pedestrians and vehicular
traffic at night in built-up areas
Off-road car parking where these facilities not able to be provided adjacent to traffic lanes
Asset Register
The Council’s asset register is maintained in its RAMM 5 database. It was first compiled in the
early 1990’s and has been continually updated since then. As roads and the road asset are
dynamic assets they are continually changing work always needs to be done to record the
current details of some of the roading assets, and to be able to accurately ascertain the
condition, serviceability and remaining useful lives of some asset components, particularly on
4
Levels of Service or Service Potential are a key performance factor determined by the Local
Government Act 2002 (cf. LGA s100(2) and 2002 Sched 10 s2(1)(d) )
5
RAMM (Road Assessment and Maintenance Management), is a comprehensive road asset
management software suite developed by CJN Technologies, Transit NZ and Transfund NZ, (now
The NZ Transport Agency). It is used by virtually all road controlling authorities in NZ and endorsed
by The NZ Transport Agency.
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lightly trafficked metal roads. This information is required to allow more accurate prediction of
future needs.
The major component of the network is the carriageway.
The following charts show the distribution of carriageway types by hierarchy and between urban
and rural areas.
Figure 1 Carriageway Types
Carriageway Types
km
Data: 11 Nov 09
1,600
1,400
1,200
1,000
800
600
400
200
-
Arterial
Unsealed
Sealed
Collector
Local
Grand Total
-
16.848
839.202
856.050
82.337
154.947
360.003
597.287
-
-
0.221
0.221
Concrete
Link: HDC RdAMP Apx A Overview 3.0.6.xlsx]Hierarchy > $A$24
Figure 2 Carriageway Types
Vehicle-km travelled /year
60.0%
40.0%
20.0%
0.0%
Sealed
Unsealed
Rural
36.5%
58.3%
Urban
4.6%
0.6%
Link: HDC RdAMP Apx A Overview 3.0.6.xlsx]Hierarchy > $A$68.
Proportion of network vkt
Proportion of Network Total
Network length
80.0%
100.0%
80.0%
60.0%
40.0%
20.0%
0.0%
Sealed
Unsealed
Rural
67.7%
20.4%
Urban
11.7%
0.2%
Data: 3/11/09
Some 66,755,526 vehicle-kilometres are travelled (vkt) on these roads annually, with
4,916,000-vkt being in covered in urban areas 58,787,839-vkt on rural roads. (Source: HDC RdAMP
Apx A Overview 3.0.2.xls]Hierarchy > $G$62)
Bridges are the other significant asset element. The Bridge Inventory is summarised in the
following chart.
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Figure 3 Bridging Summary
Bridge Summary
Data: 2 Apr 09
6,000
250
Length (road centreline-m)
5,000
200
150
3,000
100
Number
4,000
2,000
50
1,000
0
Concrete
Steel
2805
1525
89
56
Timber
Other
Concrete
Steel
375
7
492
9
31
1
11
2
Single Lane
Length (m)
Quantity
3.2
Timber
Other
Concrete
Steel
16
171
347
41
3
2
20
1
Ambiguous
Timber
Other
Grand
5
0
5792
1
0
217
Two Lane
0
Total
How the Roading Assets are Maintained and Operated
Maintenance and Operation are discussed in detail in Appendix E.
Maintenance in this context includes most activities normally associated with the word but
excludes “renewals”, which are the replacement of long-life assets or components at the end of
their useful lives. Renewals are detailed in a separate section, below. Maintenance also
excludes new works, and works whose prime purpose is to improve levels of service, e.g. seal
extensions
The Council’s operational maintenance strategy is to provide the most cost effective
maintenance solution in each circumstance. This is done by:
 monitoring the condition and performance of assets,
 investigating any system deficiencies which are outside the parameters of the target level
of service,
 identifying the work required to correct defects, and
 engaging skilled, qualified and experienced contractors after seeking prices for work on
the competitive market.
Assets are monitored through routine proactive inspections, testing and the analysis of
customer complaints and condition reports. Service levels are managed by assessing the
consequences of asset failure and assessing the levels of customer expectation. Asset
ownership costs are minimised by identifying, evaluating and introducing new technologies and
equipment that may improve operational and management efficiencies.
All physical maintenance activities are carried out under contract. The Council maintains no
physical-road-works maintenance staff, either directly or through a Council Controlled
Organisation, to carry out road maintenance activities.
The government supports 50% of the cost of many of the maintenance activities carried out on
the District’s roads. This support, commonly called “subsidy” but more correctly termed financial
assistance, is only available when the work meets particular criteria, specified in The NZ
Transport Agency’s manuals, and is generally not available for amenity works or work on
footpaths or off-road facilities. The Inland Road between Mt Lyford and the Conway River is an
exception to the normal subsidy regime. This road (17.3km) is designated a special purpose
road because of its national significance and attracts a 100% maintenance subsidy.
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The Council has in place a Civil Defence plan that has been prepared in accordance with the
Civil Defence Act 1983. This plan will be updated to meet the requirements of the Civil Defence
Emergency Management Act 2002.
The Council also has an Adverse Events Plan to cover those events that may occur that do not
activate a full civil defence emergency.
3.2.1
Maintenance and Operating Issues
Maintenance of the road network has generally been to a standard sufficient to maintain safety,
keep abreast of maintenance and respond to most public complaints. However, the
development of this Activity Management Plan has highlighted four principal areas where
maintenance has not kept up with demand, or where it may fall behind if something is not done.
These are: road widths (seal widening), seal extensions, area wide treatment or strengthening
overlays, and short culvert barrel-lengths creating pinch points.
The overall condition of the network has been improving over the years but, in some instances,
user expectations have increased faster than the improvements can be funded or implemented.
However, the adoption of the agreed levels of service should go some way to addressing this.
3.2.2
Business Continuity, Emergency Management and Reinstatement
The Council has in place a Civil Defence plan that has been prepared in accordance with the
Civil Defence Act 1983. This plan is to be updated to meet the requirements of the Civil
The Council also has in effect an Adverse Events Plan to cover those events that may occur but
do not activate a full civil defence emergency.
Emergency reinstatement refers to unforeseen significant expenditure that arises from a
defined, major, short duration natural event such as earthquakes or major floods It allows for the
restoration of roads and roading structures to a standard no better than that which existed
before any damage occurred.
The Hurunui District Council has experienced only three adverse events that have required
emergency expenditure since its formation in 1989. It is understood that the previous local
authority did not experience these types of events in the 10-years preceding amalgamation
either; therefore no financial provision has been made for Emergency Reinstatement. It is
expected that should there be a need for such work, there would be significant expenditure
required and the costs, after subsidy, would be met by loans.
Expenditure on “predictable” and minor emergencies, such as heavy, but not extreme, snow,
wind or rainstorms, is funded as routine maintenance under the corridor maintenance category.
3.2.3
Maintenance Forecast
The Maintenance Forecast is at Appendix E. Maintenance forecasts by activity area are also
outlined Annex II to this plan
3.3
Renewals and Depreciation
Renewals are discussed in detail in Appendix F — Renewals.
Asset renewals are activities that go beyond maintaining the serviceability of an asset and
extend its life significantly. For roads, the main parameter that signals the need for renewals is
the condition of asset elements. As an element deteriorates some of its characteristics change,
for example, a sealed road surface will become rougher with age and a sealed-carriageway will
crack and lose chip as it ages, eventually losing its waterproofing qualities.
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All renewal activities are carried out under contract. The Council employs no maintenance staff,
either directly or through a Council Controlled Organisation, to carry out road maintenance or
renewal activities.
The renewal activities listed will take place across the District, based on the state of the assets
and the relative priority of the work. In assessing the relative priority, staff will consider the
requirements of the Council’s Safety Management System for Roads.
3.3.1
Renewals funding
Roading renewals are not funded from depreciation charged on roading assets; rather, the
costs of renewals are met as direct costs. Nevertheless, depreciation — an amount charged
over a period to reflect the cost of the portion of the life of the asset ‘consumed’ over that period
— is calculated and charged annually. This amount is compared with actual and forecast
expenditure on renewals as one measure of the Council’s commitment to maintain the current
service capacity and integrity of the Council's assets.
Not all components of the network deteriorate over time and hence depreciation is not charged
on all components. Land is one example of a non-deteriorating component. A complete
discussion on depreciation is contained the Associated Documents.
3.3.2
Particular Renewals Issues
3.3.2.1
General
The most significant issue when renewing roading assets is the difficulty in obtaining NZTA
financial assistance for renewal works, because of the very low traffic volumes on many of the
District’s roads.
Approximately 26% of sealed surfacings have exceeded their design lives by more than 2years. While some of these “over-runs” could be the result of missed reseal dates in the data
collection process, most are considered to be the result of better than expected achievement –
typical of the upper end of the “bell curve” that defines the distribution of lives around the mean.
(Source: [HDC RdAMP Apx F Renewals v3.0.3.xls]Surfacings > $A$123)
3.3.2.2
Bridges
There are 48 bridges, with a total replacement value of $42,297,893 that do not meet the
NZTA’s requirements for funding, because they are deemed to be “uneconomic”. These are
discussed in detail in Appendix F — Renewals. Source: [HDC RdAMP Apx F Renewals v3.0.3.xls]Bridges > $A$13
3.3.2.3
Roads
The current NZ Transport Agency funding arrangements with do not allow certainty when
programming renewals works, especially pavement renewals. The programmes developed in
this plan are based on sound engineering practice and, where applicable, industry and NZTA
accepted modelling techniques, nevertheless the NZTA’s economic based approach can
sometimes preclude funding for some projects.
3.3.3
Renewals Forecast
The Renewals Forecast is at Appendix F. Renewal forecasts by activity area, are also outlined
Annex II to this plan
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3.3.4
Change in Service Potential
In is accepted practice that the useful capacity of an infrastructural network, such as the
Council’s roading network, can be represented by its replacement cost. From an asset
management perspective the most useful part of this measure is its annual change, which can
provide an indication of the long-term sustainability or otherwise off the investments being
made in the network.
Standard practice is that the annual change in network service potential (sometimes call decline
in service potential) is measured by the difference between annual depreciation 6 and the annual
investment in asset renewals, at a network level.
Because the change in network service potential varies with changes in both the annual budget
and the asset valuations, it changes year-on-year. To facilitate more accurate and timely
reviews of the changes in network service potential it is discussed in Annex III below, which can
be amended and updated more easily than the body of this plan.
3.4
3.4.1
Future Demand and New Expenditure
Future Demand
The land transport network is responsible for the efficient movement of people and goods
throughout the District and to neighbouring districts. The land transport network is a core facility
maintained by the Council to assist it in meeting its Community Outcomes.
The major factors that may force the need for change on the assets are a change in population,
a change in the way a road is used, a change in the level of service demanded by the road
users, and a change in the strategic management of the assets.
No rigorous demand predictions have been prepared for the Hurunui District.
The District population has grown slowly but steadily over the last 10 years, with the majority
occurring in the built-up areas of Hanmer Springs and Amberley. There has been some recent
movement towards small “lifestyle” holdings in the rural area but this is not yet having an
appreciable effect on the District’s road network. As the bulk of traffic in the District is carried on
the State Highway network, owned and maintained by the Crown, any effects of growth on the
road system are largely confined to the areas experiencing the growth.
There is one significant exception to this “minimal effect’ rule of thumb, Hanmer Springs. Growth
here has been significant and is putting considerable strain on the Council to upgrade the
facilities in the older parts of the town to match those being provided by developers in newer
areas.
3.4.2
New Expenditure
Demand for new or upgraded facilities arises from the needs of the existing population i.e.
meeting the level of service standards, changing habits, and population growth. This demand
can manifest itself in the need for:
 New roads;
 Sealing of unsealed roads;
 Widening and alignment improvements;
 Upgraded intersections;
 New or upgraded bridges;
6
Calculated using the Optimised Depreciated Replacement Cost method
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 Appropriate urban facilities in closely settled areas, e.g. streetlights, kerb and channel,
footpaths
These projects are identified via monitoring, community and Council input, and through statutory
requirements. The condition of the network and its components are continually monitored and
council staff, contractors and consultants identify development opportunities. The concerns and
desires of all stakeholders are also identified, considered and taken into account through
feedback and consultation. To date the rate of development has not generated a need for any
new roads outside the subdivisions themselves; this is expected to remain the case at the
current rate of development.
Projects are funded based on need, with funding priorities determined on condition and any
known safety deficiencies. Where there are competing projects preference will be given to those
eligible for subsidy. New footpaths and kerbs and channel are funded from the Amenities
budget, which is allocated to and approved by Wards Committees.
The new works planned to be provided during the next three years are listed in Annex III.
3.4.3
How New Works are Funded
The Council’s share of new works above $100,000 is funded from reserves or by loans over 20years with the cost met by the District Roading Rate. The Council’s share of new works
expenditures less than $100,000 is funded as operational expenditure from the District Roading
Rate.
Other sources of funds for roading improvements are:




Financial Contributions, levied under the Resource Management Act 1991 (the RMA).
The policies to offset adverse effects of a particular development are identified in the
Hurunui District Council’s District Plan.
Development Contributions, levied under the Local Government Act 2002 (the LGA) for
growth related projects that are identified in the Council’s Long Term Council
Community Plan.
Existing residents, through rates and loans..
Direct contributions from residents, e.g. towards seal outside a residents’ property.
Councils can require contributions from developers to offset the costs or adverse effects of
growth. However, to do so the mechanisms must be stipulated in a Development Contributions
Policy and the District Plan must contain rules providing for Financial Contributions. The Council
cannot take Development Contributions for the same purpose as it has also levied Financial
Contributions.
Debt, loan repayment period, priorities, impact of future debt level, and similar topics are
discussed in Appendix J — Debt and Loan Servicing
3.4.4
Other New Works issues.
3.4.4.1
Land Transport Programme
The Land Transport Management Act 2002 requires that the Regional Transport Committee, of
which the Hurunui District Council is a member, to prepare a Land Transport Programme threeyearly, to coincide with the Long Term Council Community Plan cycle, and to formally consult
the public on it. The Hurunui District Council prepares a Land Transport Programme as an input
to this process.
3.4.5
New Works Forecast
The New Works Forecast is at Appendix F. New works forecasts by activity area, are also
outlined Annex II to this plan; the forward programme for the next three years is at Annex III.
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3.5
Asset Retirement / Disposal
Assets are considered for disposal when they become uneconomic to own and operate, such as
when they become an uneconomic roading facility as supported by The NZ Transport Agency,
or through rationalisation of the asset stock.
The use of revenue arising from the sale of any assets will be credited to the respective
operating account at the time of the asset’s disposal.
Other than Deans Bridge on Kilmarnock Rd, which has been bypassed and is scheduled to be
sold in 2008/09, no major assets are expected to be disposed of over the next 10 years.
4
Resource allocation and budgeting
Resource allocation and budgeting are components of the continuum illustrated in Figure 4
below. Changing any part of this continuum affects all the other parts. While none of these
effects is unexpected, the sequence of events is often lost sight of.
Figure 4 The budgeting continuum
Resource
Allocations
Levels of
Service
Asset
condition &
performance
measures
Budgets
Achieved
performance
Programs
At the Core Plus level of asset roading management adopted by the Council budgets should be
based on asset management needs developed through the asset management process. While
the process is continuous the start point of each cycle at the Core Plus level is Levels of
Service; thus if a particular budget outcome is required this will normally be achieved by
adjusting the levels of service. However, even in organizations exhibiting the highest levels of
best practice asset management there will be occasions when the immediate needs of the
assets cannot be met by available funding and budgets are adjusted ahead of changes in levels
of service.
The continuum illustrated Figure 4 shows that the immediate effect of a change in budget is on
resource allocation. A change in budget influences levels of service and the expected end-ofperiod condition and performance of the assets through their immediate effects on resource
allocations. This change in turn affects the Council’s programs and ultimately its performance.
These considerations provide the basis for the Council’s asset management process when
there is an urgent need or desire to reduce or increase a budget or a budget has been
unexpectedly changed. The appropriate response is to:
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 Review planned resource allocations.
 Determine the effects these will have on agreed levels of service.
 Assess how these changes in levels of service will be reflected in the end-of –period
asset condition and performance.
 Adjust the work plan as necessary to achieve the best possible life cycle asset condition
and performance within the available budget. This may mean leaving some assets to
decline in condition to the stage that they require more expensive action later.
 Assess the effects of the revised programs of the agency’s performance targets.
 Report the anticipated effects on the targets to senior management.
When the need for a budget change is less urgent or is anticipated, the sequence illustrated in
Figure 4 will be followed, starting at levels of service and going through as many iterations as
many times as required to produce the desired result. Before any changes to levels of service
are confirmed the Council will consider whether the required changes are sufficient to warrant
consultation with key stakeholders or customers.
4.1
Funding the Annual Net Cost – ‘Who Pays?’
Councils are required to have a Revenue and Financing Policy to show who pays for the
services it delivers. There is a list of principles, relating to the funding of expenditure needs, in
the Local Government Act 2002 that the Council must take into consideration when it adopts its
Revenue and Financing Policy.
Many roading activities receive financial assistance from the Crown, through The NZ Transport
Agency. These Crown funds are essentially a user charge and are gathered by the Crown from
road user charges, petroleum taxes and similar charges and fees. Currently maintenance
activities attract financial assistance at 50% of total cost and construction activities at 60%.
The benefits apply in part to the whole community, as people are free to use any public road in
the District. The recovery of subsidies from The NZ Transport Agency reflects partly the private
benefits that are attributed to the roading network. However, in many instances parts of the
roading activity are not eligible for subsidy. Therefore, the balance of costs must be recovered
through rates.
When considering the underlying roading infrastructure the Council recognises that there are
benefits to both individuals and to properties, from of the roading activity. The Council’s
assessment is that its share of roading costs should be gathered solely from a rate on the
capital value of properties, with no uniform annual charges levied as this best reflects equity,
use and access to the network.
Private developers generally meet the full cost of new roads, or contribute to the upgrade of
existing roads through Development Contributions, the balance of funding requirements are met
by the Council and funded as for other new works. For minimum standard, non-subsidised, rural
seal extensions, direct contributions are made by benefiting landowners.
4.2
Schedule of Fees and Charges
Some important, but relatively minor aspects of the network’s operation traditionally attract
charges or user-pays costs in some districts. The Council’s policies and practices on fees and
charges are discussed in Appendix L — Income, Fees, Charges and Funding Policy. In
summary, there are few charges or fees, the most common fees charged are for road-opening
permits (not charged to utility operators) and for road closures for car rallies.
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5
Environmental Management, Regulatory Matters and
Activity Management Issues
5.1
Environmental Management Issues
Some roading activities may have potential or actual effects on the environment and the Council
is required to monitor the environmental impacts of its activities. Ensuring that all necessary
resource consents are applied for, and granted, in a timely fashion is a critical part of road
management. The Council has three types of resource consents from Environment Canterbury
to cover its roading activities, Global Consents, Period Consents and Project Consents.
The Council maintains an electronic database for all its consents, the majority of which are for
activities related to the operation of its various utilities. This database keeps track of all consent
requirements and the monitoring of them. It also generates alert notices prior to expiry of
consents. Large consent applications, such as a global consent for working in waterways, can
take up to a year and $20,000 to $30,000 to prepare and lodge.
Current consents are detailed in Appendix N — Resource Management` Matters:
Consents required from time to time for specific projects are generally relinquished once the
work has been completed.
Future resource consents to be sought are also discussed in Appendix N.
The Hurunui District Plan contains two roading designations for the Hurunui District Council
under the Resource Management Act for road widening on Osborne Road and Courage Rd.
5.2
Demand Management
The number of motor vehicles per household in the District is predicted to increase in the short
term but the change is the medium to long term is very unclear. The Council has adopted the
policies set out in the Regional Land Transport Strategy that will encourage and facilitate the
reduction in motorised road traffic.
Policies and strategies that will encourage a reduction in the levels of motorised road traffic
include:
 Aiming to reduce the use of Heavy Commercial Vehicles on local roads as defined in the
road hierarchy;
 Promoting economic alternatives to roading where alternatives are safe and efficient;
 Ensure that significant land use developments provide for a range of land transport
movements (cycle ways, waterways, public transport, etc.) in their developments, either
directly or as part of a financial contribution;
 The District promotes a choice of transport modes, including public transport and
provides facilities for cycling and walking particularly within urban centres;
 Implementation, where economically acceptable, of the recommendations of the District
Cycling/Walking Strategy;
Further development of policies and strategies to manage roading demand is required as part of
the Activity Improvement Plan
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6
Significant Negative Effects
The Hurunui’s land transport network provides people a high degree of mobility. However, the
development of the roading network, despite being the foundation upon which the whole District
functions, can also have some negative effects, or more accurately, use of the network can
have some adverse effects. These include road safety, local air pollution, road run-off (rainwater
that becomes polluted on the road surface) to adjacent land and waterways, traffic noise and
vibration, visual impacts, loss and damage of land and natural environments, separation of
neighbours and emission of greenhouse gases. These impacts can also have a negative effect
on public health and well-being.
Some of these negative effects are beyond the control of the road owner but measures can be
taken to alleviate the effect of many and this is taken into account during design and
construction of projects and other work.
High volumes of traffic affect residential amenity. The most common effects are noise, lighting
and air quality. Dust from unsealed roads causes a nuisance on neighbouring properties.
In addition to the effects on air quality discharges from motor vehicles has the potential to
diminish the water quality of adjacent streams from the run off from the roads.
6.1
Road Safety
On the Hurunui District’s roads there were 2 fatal, 10 serious, 42 minor and 70 non-injury traffic
crashes in the years 2000 - 2004. In 2004 the social cost of road crashes on local roads,
according to the NZ Transport Agency Road Safety Report, was $19.91 million. This was 0.55%
of the social cost of all crashes New Zealand.
The social cost of a road crash includes a number of different elements:
 Loss of life and life quality;
 Loss of output due to temporary incapacitation;
 Medical costs;
 Legal costs;
 Property damage costs.
The average value of a loss of life due to a road crash is estimated by the amount of money the
New Zealand population would be willing to pay for a safety improvement that would result in
the expected avoidance of one premature death. It, and the social cost of each crash, is
established by the NZ Transport Agency on behalf of the Crown.
The Hurunui District currently ranks 3rd for urban local roads and 4th for rural local roads in NZ
Transport Agency’s Peer Group ‘E’.
The Council challenges the people of the District to meet the vision of:
“We live the lives that the rest of the world would love to live”
The road safety goal is:
To develop a responsible road safety culture by changing behaviour and attitudes.
The Council proactively encourages commitment to road safety activities at all levels of the
community.
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7
Significant Assumptions, Uncertainties, and Risk
Management
7.1
Assumptions and Uncertainties
7.1.1
Growth
From research carried out for the Regional Land Transport Strategy by ECan future traffic
growth is predicted to be at a level of 2% per annum. This level of traffic growth is linked to:
 population growth in established urban centres and the coastal margins between




Amberley and Christchurch;
an increase in vehicle ownership within the District;
growth in intensive agriculture and agricultural processing industries (e.g. vineyards and
wineries;
development in both the primary and value-added sectors; and
the popularity of Hurunui as a tourist destination.
Increasing traffic volumes are expected to significantly affect the Districts arterial road network,
which is largely owned and operated by the NZTA on behalf of the Crown.
7.1.2
Costs
Project costs are based on current practice, standards and local knowledge of materials and
construction costs. Provision for future inflation, required in LTPs by the LGA 2002, has not
been included in this plan. Rather, it will be estimated and applied uniformly to all aspects of the
LTP at a corporate level. Costs in this plan are quoted in “Year Zero” dollars. Year Zero is the
current year – that before the first year of the programme or plan. Costs for the coming year are
reviewed annually as part of the annual budget preparation process.
It is assumed that costs forecast in forward programmes will not vary beyond the corporate
allowance for inflation. The Council has no contingency in its budget to allow for increases. If
costs do increase over the budget amount, the Council may have insufficient budget, this will
affect levels of service.
It is assumed that the only increases in Operations and Maintenance costs associated with the
network are related to growth of the network. Unidentified increases in costs could reduce the
Council’s ability to deliver the maintenance programmes.
7.1.3
Useful Lives
The useful lives of the network described in the asset valuation are assumed to be an accurate
representation. An incorrect assumption relating to useful life would affect the asset valuation
and depreciation calculations, which further impact on the depreciation recovery portion of rates.
The council is confident in the accuracy of the current figures; however these are continually
under review to ensure on going accuracy.
7.1.4
Legislative Environment
The Council has assumed there will be no changes to legislation that will incur significant
increases in compliance costs. No budget provision has been made for any increased costs in
this area.
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7.1.5
Planning Environment
Although there are changes proposed to the Resource management Act 1991 by the
Government7, this plan makes now allowance for the affects of any changes that may occur,
because of the uncertainties that surround tem. Further, this plan assumes there will be not
changes to the Hurunui District Plan or the Canterbury Natural Resources Regional Plan.
7.1.6
Risk Management.
The council is exposed to a number of risks arising from the operation of the road network.
Risks arise from any number of sources, but can generally be grouped into two main areas:
 Management: those risks that are largely concerned with the way the roading network is
managed, including funding, resourcing, programming of work and interaction with the
public.
 Environmental: those risks that are concerned with the impact of the environment on the
physical assets, including natural and man-made disasters.
At present there is no comprehensive hazard register for the Hurunui road network. Never-theless the roading staff are familiar with the network and the Council has progressively reduced
risk on the network over the years by improving high-risk sites as the work can be afforded. This
process has been assisted by crash-reduction studies, focussed on areas where there are
clusters of crashes, with the assistance and support of The NZ Transport Agency. Development
of a Hazard Register for the road network is included in the Improvement Plan.
Risks have been analysed by staff of the Council and they are currently only a limited view of
the risks the network is exposed to. The list was developed by considering each area of the
Council’s road network activities and identifying risks arising from the way each activity is
carried out. These risks were then be evaluated and ranked using the criteria described in
Appendix R. The result is the Roading Risk Register which identifies and evaluates risks as well
as identifying mitigation and management options to reduce the level of risk.
7.1.6.1
Natural Hazards and Lifelines
In addition to the risks arising from the operation of the road network the network itself is at risk
of damage from natural events such as earthquake, flood freezing and snow. Because of the
importance of roads in ensuring that communities and individuals can obtain the necessities of
life consideration of the risks of natural events on the network and of methods of addressing
and overcoming these risks is described as Lifeline Security.
The Council has a set of well-established procedures for dealing with snow, flood, fire, and wind
events. It has also worked with NZTA on the development of the State Highway Lifelines project
covering SH7, SH7A and SH1 within the District. A separate Hurunui District Lifelines Study is
being undertaken.
8
Roading Bylaws and Statutory Obligations
8.1
Bylaws
The following council bylaws affect roads, roading and transportation:
 Hurunui District Council Public Places Bylaw 2008
 Hurunui District Council Speed Limits Bylaw 2005 (as amended)
7
At 1 Feb 2009
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 Hanmer Springs and Gore Bay Liquor ban Bylaw 2006
 Hurunui District Council Dog Control Bylaw 2008
 Hurunui District Council Livestock Movement Bylaw 2008
The process for, and timing of, bylaw reviews are both managed by the Council’s Policy
Section. These processes are carried out in accordance with the requirements of the Local
Government Act 2002.
8.2
Principal Statutes
The principal statues affecting this activity are listed below. This is not a comprehensive list.
That is contained in the supporting documents to the Plan.
 Local Government Act 1974
 Local Government Act 2002
 Land Transport Management Act 2003
 Resource Management Act 1991
Legislative and other similar requirements are discussed in more detail in Appendix S.
9
Business Improvement
9.1
Activity Management Plan Improvement and Review,
During preparation of this plan, a number of opportunities to improve the management and
operation of the road network were identified. Each of the supporting documents has its own
Improvement Plan. These individual improvement plans have been consolidated into the
Roading Activity Management Plan Improvement Plan at Annex A to this document.
This plan will be updated during preparation of the 20012/22 LTP and reviewed and revised
during preparation of the 2015/25 LTP to ensure that it meets the needs determined by the
revised Community Outcomes that will be adopted by the Council for that Plan.
9.2
Public Consultation
The Council intends to consult the public only on the Customer Levels of Service detailed in
Appendix B. Consultation on the funding and on new works associated with this plan will occur
through the Long Term Council Community Plan and Annual Plan and Budget processes.
10
Improvement Plan
The Asset management Improvement plan is at Appendix U, it is a compiled from the
improvement actions listed in each appendix.
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Annex I
Appendix A
List of Appendices
Overview of the Activity. — incorporates:
 An Overview of every Separate Significant part of the Activity”
 An outline of How the Council Develops and Delivers the Activity
Appendix B
Future Planned Levels of Service
Appendix C
Asset Valuations
Appendix D
Risk
Appendix E
Maintenance and Operations
Appendix F
Future Renewals' Requirements
Appendix G
Depreciation and Decline in Service Potential
Appendix H
Future Demands and Trends and New Works
Appendix I
Development Contributions and Financial Contributions
Appendix J
Debt and Loan Servicing
Appendix K
Asset Disposals
Appendix L
Income, Fees, Charges and Funding Policy
Appendix M
Summary of Future Overall Financial Requirements
Appendix N
Resource Management Matters and Property
Appendix O
Land Transport Management Act Matters
Appendix P
Demand Management
Appendix Q
Significant Effects
Appendix R
Growth, Significant Forecasting Assumptions, Uncertainties
Appendix S
Legislative and Other Requirements
Appendix T
Stakeholders and Consultation
Appendix U
Continuous Improvement Programme
Appendix V
Overview of Roading Management and Standards
Appendix W
Special Cultural Considerations
Appendix X
Glossary of Terms
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Annex II
Financial Summary
The financial summary appears on the following pages. Because they are prepared separately
from this document the following pages may not conform to the formatting and other
conventions of this plan.
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Annex III
Change in Network Service
Potential
Review of the network shows that there is currently no significant visible maintenance backlog.
The most recent asset valuation, and consequent depreciation provisions, was carried out using
the same useful lives and other data that were used in the preparation of this plan.
The change in the service potential of the network is assessed by subtracting annual
depreciation charges from the total cost of renewals, the forecast changes are illustrated by the
following chart
Figure 5 Forecast Change in Network Service Potential 2009-10
Link: [AMP Budgets HDC_12_13 v3_6_8.xlsm]Renew_Summary > $C$208
This chart shows that annual value of asset renewals over the planning period will exceed the
annual value of deprecation charges in each of those years. This is likely to be the result of a
number of factors including:
 Discrepancies between the lives being achieved in practice and those used for asset
valuations resulting in lower estimates of annual depreciation.
 Discrepancies between the replacement costs obtained in practice and those used for
asset valuations; resulting in lower estimates of annual depreciation.
 The current state of the network and the proportion of assets that are currently due for
renewal
The values of these predicted changes, and their accumulated values, need to be considered in
relation to the total replacement value of the network. This comparison is made in Figure 6
below
Figure 6 Forecast Percentage Change in Network Service Potential 2009-10
Link: [AMP Budgets HDC_12_13 v3_6_8.xlsm]Renew_Summary > $C$240
There are small increases in service potential of around 0.6% each year, the significant increase
in 2010/11 is the result of the planned reconstruction of Amberley Beach Road. This chart
suggests that at worst there will be no significant decline in the service potential of the network
and that it may possibly increase. However work needs to be done to eliminate the potential
discrepancies outlined above before this prediction can be relied on.
Continual review is required to ensure:
 That the potential of the asset is not
Either being “mined” or “stripped”
Or that renewal work is being carried out before it is necessary; and
 That it is being maintained in a suitable state to the benefit of current and future users
while attributing costs fairly to each group.


It will be necessary to continue ensuring that the lives and costs used in the asset valuations
match those being achieved and that deterioration rates are well understood and applied
throughout the asset management process, including valuations.
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Annex IV
Planned New Works
The data on the following pages is the same as that included with Appendix H. It is repeated
here to enhance understanding of the programmes and because of the significance of new
works to the Council
The items financial summary appears on the following pages.The forward programmes wee
prepared in a spreadsheet and do not necessarily conform to the numbering and other
conventions of this plan. They appear on the following pages
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Year 0
Currrent
2011/12
Description of Works
2012/13
Year 2
2013/14
Year 3
2014/15
Seal Extension
- No Programme
- Total seal extension
-
-
-
- Other Costs:
- Total seal widening
$104,500
$104,500
$104,500
$104,500
$104,500
$104,500
$262,590
$262,590
$262,590
$262,590
$262,590
$262,590
- No Programme
- Total reconstruction and realignment
-
-
-
- No Programme
- Total new cycleways
-
-
-
-
-
-
-
-
-
$367,090
$367,090
$367,090
Seal Widening
Minor Works -local roads
- Other Costs:
- Total minor works -local roads
Reconstruction and Realignment
New Cycleways
Seal Widening - Special Purpose Road
- No Programme
- Total seal widening - special purpose road
Reconstruction - Special Purpose Road
- No Programme
- Total reconstruction - special purpose road
- Total Subsidised New Works
Financial Forecast New Unubsidised Works
Year 0
Currrent
2011/12
Description of Works
2012/13
Year 2
2013/14
Year 3
2014/15
Minor Seal Extension
- Dust Sealing- Allows for one 200m frontage @
50:50 cost sharing ( recovery shown above )
- Total minor seal extension
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
-
-
-
- No Programme
- Total miscellaneous new works
-
-
-
- No Programme
- Total loan repayments
-
-
-
$25,000
$25,000
$25,000
Major Seal Extension
- No Programme
- Total major seal extension
Miscellaneous New Works
Loan Repayments
- Total Unubsidised New Works
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Annex V
Setting the Level of Roading
Asset Management
The report on the following pages discusses the issues behind establishing the appropriate
level of asset management for the District’s roads and recommends an appropriate level. The
Council adopted this recommendation on 27 November 2008 at an ordinary Council meeting.
The report does not necessarily conform to the numbering and other conventions of this plan.
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Quality Record Sheet
Hurunui District Council
Selecting the Appropriate AM Level
Issue Information
Issue Purpose
Final
Issue Date
30 January 2009
Version Number
1.0
Authorisation
Page 2
Hurunui District Council
Bruce Yates, Engineering Services Manager
Date
4 September 2008
Prepared By
Grant Holland
Reviewed By
Andrew Iremonger
Report Number
64-026-1007
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TABLE OF CONTENTS
1.0
INTRODUCTION
5
1.1 Purpose of this Report .................................................................................................. 5
1.2 Assessment Methodology ............................................................................................. 5
1.3 Definition of ‘Core Plus’ Asset Management Practice .................................................. 6
2.0
2.1
2.2
2.3
2.4
2.5
INITIAL RISK SCREEN – DISTRICT POPULATION
8
Overview of New Zealand City and Town Populations ................................................. 8
New Zealand Main and Secondary Urban Areas.......................................................... 8
Analysis by Community Population ............................................................................... 9
Analysis by District Total Population ........................................................................... 10
Initial Risk Screen - Conclusion .................................................................................. 10
3.0
CONSIDERATION OF DISTRICT WIDE RISK FACTORS
11
3.1 Identification of District Wide Factors .......................................................................... 11
3.2 Consideration of District Wide Factors - Conclusion .................................................. 12
4.0
SECTION 2.2.4 DETAILED FACTOR ANALYSIS
13
4.1 Detailed Analysis Hurunui District Council Asset Groups ........................................... 13
4.2 Final Appropriate Asset Management Level Determination ....................................... 14
5.0
5.1
5.2
5.3
5.4
ASSET MANAGEMENT POLICY STATEMENTS
17
Land Transport ............................................................................................................ 17
Utilities ......................................................................................................................... 20
Community Services (Parks & Property) .................................................................... 23
Solid Waste ................................................................................................................. 26
6.1
6.2
6.3
6.4
DETAILED ANALYSIS OF ASSET GROUPS
29
Land Transport ............................................................................................................ 31
Utilities ......................................................................................................................... 34
Community Services ................................................................................................... 39
Solid Waste ................................................................................................................. 42
6.0
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TABLE OF TABLES
Table 2.1:
Table 2.2:
Table 2.3:
Table 2.4:
Table 3.1:
Table 3.2:
Table 4.1:
Table 5.1:
Table 5.2:
Table 5.3:
Table 5.4:
Table 6.1:
Table 6.2:
Table 6.3:
Table 6.4:
Extraction of New Zealand City and Town Populations from WINZ Database ..................... 8
2006 Census Main and Secondary Urban Areas .................................................................. 8
Hurunui District Council ......................................................................................................... 9
Total District Population ...................................................................................................... 10
Identification of District Wide Risk Factors .......................................................................... 11
Examples of District Wide Risk Factors .............................................................................. 12
Detailed Analysis Hurunui District Council Asset Groups ................................................... 13
Land Transport Activity Factor Assessment Results ........................................................... 17
Utility Factor Assessment Results ....................................................................................... 21
Community Services Factor Assessment Results .............................................................. 24
Solid Waste Factor Assessment Results ............................................................................ 26
Land Transport Detailed Asset Management Practice Assessment ................................... 31
Utilities Detailed Asset Management Practice Assessment ................................................ 34
Community Services Detailed Asset Management Practice Assessment .......................... 39
Solid Waste Detailed Asset Management Practice Assessment ........................................ 42
TABLE OF FIGURES
Figure 1.1: Methodology for Determining Appropriate Asset Management Level ................................. 6
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1.0
INTRODUCTION
Authorities that manage assets on behalf of their communities need to define an appropriate level of
asset management for the asset or activity being managed. For some authorities and asset / activity
groups this may not necessarily be fully comprehensive (advanced) asset management practices.
Section 2.2.4 of the International Infrastructure Management Manual (IIMM) contains a section
regarding core and comprehensive (advanced) asset management practices. The part of this section
that deals with selecting the Appropriate Asset Management Level is replicated below:
Selecting the Appropriate AM Level (from IIMM Section 2.2.4, page 2.9)
Selecting the appropriate asset management level for an organisation, which for activities or asset
types may not need to progress beyond a core approach, will depend on a number of factors,
including:
 The costs and benefits to the organisation
 Legislative requirements
 The size, condition and complexity of the assets
 The risk associated with failures
 The skills and resources available to the organisation
 Customer expectations
1.1
Purpose of this Report
The purpose of this report is to outline the methodology used by Hurunui District Council to select an
Appropriate AM Level for each of the District’s asset groups.
This methodology is required to be logical and robust, and able to be used by Council to adopt a
position or policy on the appropriate level of asset management sophistication for each asset group.
The methodology and Section 2.2.4 Appropriate AM Level adopted will be scrutinised by Council’s
Auditors and the methodology, and subsequent determination must be robust enough to withstand this
scrutiny. Assessing and adopting an Appropriate AM Level will allow Council to focus resources
accordingly and enhance prudent management of community infrastructure.
1.2
Assessment Methodology
The assessment methodology, developed by Waugh Infrastructure Management Limited, in
conjunction with a number of local authority partners, is as follows:
1. Adopt a risk based approach using district population and largest town size as a proxy for risk
and an initial screen
2. Determine an initial position based on the population risk screening
3. Modify initial position based on the District wide risk factors
4. Examine each asset group and conduct a further analysis based on the Section 2.2.4 factors:
a. Costs and Benefits
b. Legislative Requirements
c. Size, condition, complexity of assets
d. Risks associated with failures
e. Organisational skills and resources
f. Customer expectations
g. Sustainability (additional to IIMM list)
5. Adopt a Final Appropriate AM Level position for each asset group based on the detailed factor
analysis
6. Use a detailed analysis table to plot the adopted position
7. Use the detailed analysis of asset groups to identify gaps between adopted appropriate
practice and current practice
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Figure 1.1: Methodology for Determining Appropriate Asset Management Level
METHODOLOGY FOR DETERMINING APPROPRIATE ASSET MANAGEMENT LEVEL
ASSET FACTORS
Costs and
Benefits
DISTRICT WIDE FACTORS
Legislative
Requirements
Determine District
Population
Asset size,
condition,
complexity
Determine District
Wide Risk Factors
Determine size of
largest town
Failure Risks
Organisational
Skills and
Resources
Modify Initial AM
Level Postion
Determine Initial
AM Level Position
INTERNAL
MANAGEMENT
INITIAL ASSESSMENT
Adopt Final Appropriate Asset
Management Level for each
asset group
Customer
Expectations
Sustainability
Undertake detailed analysis of
each asset group for internal
management and direction
purposes
Assess each asset group by
these factors
1.3
Definition of ‘Core Plus’ Asset Management Practice
This report introduces the concept of ‘Core Plus’ asset management practice. The IIMM in Section
2.2.4 indentifies two levels of asset management practice; core and comprehensive (also referred to
as Advanced). For many asset owning authorities their desired practice levels, based on their
infrastructure drivers will be above core practice (as defined in the IIMM) but may well be below
comprehensive asset management practice.
For this situation the concept of ‘Core Plus’ asset management practice has been introduced.
The genesis of the thinking around this level of asset management practice goes back to the New
Zealand Infrastructure Asset Management Manual (June 1998), which was superseded by the IIMM.
Section 2.3 of the 2006 Edition covered the topic of Basic and Advanced Asset Management. The
table on page 2.22 suggested six stages of asset management improvement as follows:
Stage 1:
Stage 2:
Stage 3:
Stage 4:
Stage 5:
Stage 6:
practice)
Strategy Development
Basic Asset Register
Basic Technical Asset Management
Improved Maintenance Management
Introduce Advanced Asset Management Techniques
System Optimisation (fully optimised decision making and advanced asset management
This approach outlined in the 1998 Manual anticipated graduated stages of improving asset
management practice. ‘Core Plus’ asset management practice covers Stage 4 and 5 using this
approach.
So what is ‘Core Plus’ asset management practice? Is it:
 Core, plus one or two advanced categories fully compliant.
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


Core, plus with over 50% of advanced categories fully compliant
Core, plus some advanced categories substantially compliant
Core, plus most advanced categories. substantially or fully compliant
The answer is it could be any one of these and there may not be an appropriate single response due
to the variations within any organisation. ‘Core Plus’ asset management practice is above core and
below fully compliant with comprehensive practice.
Therefore, each asset owner needs to consider the Appropriate AM Level on an activity basis, taking
into account national, regional and local drivers of asset management practice for that asset.
The recommended methodology for assessing this is to use the Detailed Asset Management Practice
Assessment Tables included in Section 5.0 of this report to assess appropriate practice levels for each
activity or asset group. These tables cover detailed analysis of the following asset management
practice areas:










Description of assets
Levels of Service
Managing Growth, including sustainability strategies
Risk Management
Lifecycle decision making
Financial forecasts
Planning assumptions, linkages, and confidence levels
Improvement programmes
Planning qualifications
Commitment by asset owner
For the asset owner where the overall practice has been set at ‘Core Plus’ there still could be
variations of practice by asset or activity group.
It is possible for some organisations that their asset management practice for some activities may be
required at nearly comprehensive practice (e.g. Land Transport), while their practice for others may be
nearer to core practice (e.g. Parks and Reserves).
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2.0
INITIAL RISK SCREEN – DISTRICT POPULATION
2.1
Overview of New Zealand City and Town Populations
In order to undertake an initial assessment on the District Population, Waugh Infrastructure
Management Ltd extracted the New Zealand city and town populations from the WINZ data base.
Analysis of this data shows that New Zealand is a nation of few metropolitan areas, a range of large
towns and small cities and many small towns. From this analysis it is suggested an initial
determination of Core and Comprehensive AM Levels can be made.
It is acknowledged that while populations provide a guide for community activities, it is less
appropriate for broader activities such as Land Transport.
Table 2.1: Extraction of New Zealand City and Town Populations from WINZ Database
Number Towns
Population
WIML Suggested Initial AM Level
10
90,000 and above
Comprehensive (Advanced)
34
10,000 – 90,000
Core Plus
31
5,000 – 10,000
Core
559
Less than 5,000
Core
Notes
Auckland split by
Councils
Compiled from: http://www.drinkingwater.org.nz/supplies/Suppliescompliance.asp 16 July 2008
2.2
New Zealand Main and Secondary Urban Areas
The Table below contains an analysis of New Zealand’s main and secondary urban areas, as defined
by Statistics NZ. It can be seen that there are no communities within Hurunui District, listed within the
main and secondary urban areas identified by Statistics NZ. This suggests that based on a population
risk screen Hurunui’s urban areas should be aiming for Core as an appropriate level of asset
management practice.
Table 2.2: 2006 Census Main and Secondary Urban Areas
Main and Secondary Urban Areas for the Census Usually Resident Population Count
Main/Secondary Urban
Main Urban Areas
Areas
Populations
Total New Zealand
4,027,947
Total Main Urban Areas
Total Secondary Urban Areas
2,892,831
243,081
Other
UA 004 Central Auckland Zone
Main Urban Areas
892,029
395,982
Comprehensive
UA 005 Southern Auckland Zone
UA 022 Christchurch
Main Urban Areas
Main Urban Areas
371,658
360,768
Comprehensive
Comprehensive
UA 002 Northern Auckland Zone
UA 003 Western Auckland Zone
Main Urban Areas
Main Urban Areas
248,112
192,339
Comprehensive
Comprehensive
UA 020 Wellington Zone
UA 006 Hamilton Zone
Main Urban Areas
Main Urban Areas
178,680
155,262
Comprehensive
Comprehensive
UA 023 Dunedin
UA 009 Tauranga
Main Urban Areas
Main Urban Areas
110,997
108,882
Comprehensive
Comprehensive
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Main and Secondary Urban Areas for the Census Usually Resident Population Count
Main/Secondary Urban
Main Urban Areas
Areas
Populations
UA 018 Lower Hutt Zone
Main Urban Areas
97,149
UA 016 Palmerston North
UA 013 Hastings Zone
Main Urban Areas
Main Urban Areas
76,032
62,118
UA 021 Nelson
UA 012 Napier Zone
Main Urban Areas
Main Urban Areas
56,364
56,286
UA 010 Rotorua
UA 014 New Plymouth
Main Urban Areas
Main Urban Areas
53,766
49,281
UA 001 Whangarei
UA 019 Porirua Zone
Main Urban Areas
Main Urban Areas
49,080
48,396
UA 024 Invercargill
UA 015 Wanganui
Main Urban Areas
Main Urban Areas
46,773
38,988
UA 025 Kapiti
UA 017 Upper Hutt Zone
Main Urban Areas
Main Urban Areas
37,347
36,402
UA 011 Gisborne
UA 110 Blenheim
Main Urban Areas
Secondary Urban Areas
32,529
28,527
UA 113 Timaru
UA 101 Pukekohe
Secondary Urban Areas
Secondary Urban Areas
26,886
22,515
UA 103 Taupo
UA 109 Masterton
Secondary Urban Areas
Secondary Urban Areas
21,291
19,494
UA 107 Levin
UA 104 Whakatane
Secondary Urban Areas
Secondary Urban Areas
19,134
18,204
UA 112 Ashburton
UA 007 Cambridge Zone
Secondary Urban Areas
Main Urban Areas
16,836
15,192
UA 008 Te Awamutu Zone
UA 106 Feilding
Main Urban Areas
Secondary Urban Areas
14,454
13,890
UA 102 Tokoroa
UA 114 Oamaru
Secondary Urban Areas
Secondary Urban Areas
13,530
12,681
UA 105 Hawera
UA 111 Greymouth
Secondary Urban Areas
Secondary Urban Areas
10,776
9,672
Core
Core
9,648
Core
UA 115 Gore
Secondary Urban Areas
Source: http://www.stats.govt.nz/census/census-outputs/default.htm 19 August 2008
2.3
Comprehensive
Analysis by Community Population
The reality of New Zealand local authority asset management practice is that it is conducted at a
Council level in a similar manner. The requirements of the largest population centre in the Council
tends to set the appropriate practice level. Hurunui District Council’s town population is shown in the
table below. Cheviot is the largest town, and based on the initial determination in 2.1 suggests a
‘Core’ asset management practice level is appropriate.
Table 2.3: Hurunui District Council
Town Rank
(All NZ Towns
150
160
171
231
January 2009
Town Name
Cheviot
Hanmer
Amberley
Amberley Beach
WINZ
Population
1,640
1,500
1,300
630
HDC
Population
Data
540
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WIML Assessed Initial
AM Practice Level
Core
Core
Core
Core
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Town Rank
(All NZ Towns
239
258
289
290
439
WINZ
Population
600
500
420
420
150
Town Name
Motunau, Greta, Scargill
Leithfield
Culverden
Waiau Township
Leithfield Beach
HDC
Population
Data
Source: http://www.drinkingwater.org.nz/supplies/Suppliescompliance.asp
WIML Assessed Initial
AM Practice Level
Core
Core
Core
Core
Core
18 August 2008
As some water supplies include rural and urban areas the community populations may be overstated
in the WINZ database.
2.4
Analysis by District Total Population
Analysis of the 2006 Census results of Council total population gives the following results for the
following sample Councils. The sample set has been selected to illustrate a range of different sized
Councils.
Table 2.4: Total District Population
Council
2006
Population
Council Size
Rank (72
Authorities)
Rodney
85,845
11
Core Plus, effectively comprehensive in some
areas/activities
Timaru
42,000
25
Core Plus, with near comprehensive in some
areas/activities
Gore District
11,763
58
Core
Hurunui
District
10,083
59
Waimate
7,041
68
AM Practice Level Indicated by Size
(WIML Estimated Assessment)
Core
Core
Source: http://www.stats.govt.nz/census/census-outputs/default.htm
19 August 2008
The mix of total District population and the size of the largest population centre provides a good initial
screen for the risks associated with asset service delivery. It is acknowledged that Land Transport is
managed on a network and regional basis and the relevance of population is lower than for other
activities. This initial screen will be modified by consideration of the other factors as detailed in
Section 3.
2.5
Initial Risk Screen - Conclusion
Based on this initial screen of urban areas, all council population centres and total district population
the suggested level of appropriate asset management practice for Hurunui District Council is ‘Core’.
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3.0
CONSIDERATION
FACTORS
OF
DISTRICT
3.1
Identification of District Wide Factors
WIDE
RISK
Following the initial population screen based on appropriate practice for the largest population centre
in Hurunui District, further consideration needs to be given to other District Wide Risk Factors that may
affect the initial assessment of Core.
The District Wide Risk factors identified in a workshop of Hurunui District Council’s Asset Managers on
17 September 2008 include:
1. Large geographic area with small rating base
2. Funding – including financial assistance from NZ Transport Agency
3. High Level of Service expectations - sometimes unrealistic
4. Influence of tourists
5. Land use change
6. Seasonal impacts on roading
7. Resourcing and the labour market
8. Oil prices
9. Climate Change
10. Demand for Recreation Facilities
11. Proportion of unsealed roads
12. Geographic issues and fault lines
13. Overweight vehicles and potential for fifty tonne trucks
14. Changes in legislation and regulations
The relative importance of these factors was considered as high or, medium in terms of each activity,
the results are shown below.
Large Geographic Area and Small Rating Base
Funding – including NZTA financial assistance
January 2009
Solid Waste
Reserves &
Property
Land
Transport
Utilities
Table 3.1: Identification of District Wide Risk Factors
H
H
H
H
M
H
H
M-H
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Reserves &
Property
High Level of Service expectations
M-H
M-H
M-H
M
Changes in Legislation and Regulation
M-H
M
M
M
Demand for Recreation Facilities
L
M
H
L
Oil Prices
L
H
L
M
Influence of Tourists
L
L
M-H
M-H
Seasonal Impacts on Roading
L
L
M-H
L
Proportion of Unsealed Roads
L
M
L
L
Land Use Change
L
M
L
L
Resourcing and the Labour Market/
L
L
L
L
Climate Change
L
L
L
L
Geographic issues and fault lines
L
L
L
L
Overweight vehicles and potential for 50 tonne trucks
L
L
L
L
Utilities
Land
Transport
Solid Waste
Selecting the Appropriate AM Level
By way of comparison, the Table below outlines the assessed District wide risk factors for the sample
Council’s listed in Table 2.4.
Table 3.2: Examples of District Wide Risk Factors
Council
Population
Other Factors
Appropriate AM
Determination
(WIML Estimated
Assessment)
Rodney
Core
Plus,
effectively
comprehensive
Rapid growth, heavily influenced by
Auckland dynamics
Dispersed urban areas
Tourism/holiday destination
Comprehensive
Timaru
Core Plus
Geraldine – International Visitors;
Major
industries
(Fonterra
Clandeboye); Regionally significant
freight hub;
Primary
industry
growth
and
subsequent transportation network
impacts
Core Plus
Gore
Core
None
Core
Hurunui
Core
Large geographic area with few small
communities, growth of non-resident
population in Hanmer Springs
Waimate
Core
None
3.2
Core
Consideration of District Wide Factors - Conclusion
Based on the identified district wide risk factors, the suggested level of appropriate asset management
practice for Hurunui District Council is ‘Core’.
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4.0
SECTION 2.2.4 DETAILED FACTOR ANALYSIS
Following the initial population screen and assessment of District wide risks, a more detailed
screening was developed for each individual asset group for the District.
4.1
Detailed Analysis Hurunui District Council Asset Groups
A more detailed analysis of where the sophistication of Hurunui District Council asset management
should be, uses the criteria outlined in Section 2.2.4 of the IIMM as a basis.
Table 4.1: Detailed Analysis Hurunui District Council Asset Groups
Criteria
Land Transport
Utilities
Community
Services
Solid Waste
(Parks & Property)
Population
District Wide
Risks
Costs and
Benefits
(Source:
Operating Costs
HDC Annual
Plan 2008-09)
Legislative
Requirements
Core
Core
$7.0 M*
(29% of total HDC
operating costs)
January 2009
$1.5M
(6% of total HDC
operating costs)
*includes half of local
facilities and
maintenance costs
Compliance
approach
including high
level of regional
involvement
Changing regime
under new
legislation
Size, Condition,
Complexity of
Assets
$5.1M
(21% of total HDC
operating costs)
Large rural
network with
distributed small
communities
$0.8M**
(3% of total HDC
operating costs)
** excludes household
collection costs
Compliance
approach –
increasing water
quality
requirements
(NZDWS)
Water quantity
issues increasing,
along with
increasing
demands from
pNRRP
Wide range of
small urban and
large rural
schemes
Compliance
approach Specific
LOS requirements
for some groups
Compliance and
level of service
approach followed
which is generally
ahead of
legislation
Simple approach
to range of assets
Few assets – five
transfer stations,
closed landfills
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Criteria
Land Transport
Utilities
Community
Services
Solid Waste
(Parks & Property)
Risks
Associated with
Failures
Moderate level of
risk
Some critical
routes, bridges
and demand
issues
High risks
identified with
water supplies ,
average level of
risk for
wastewater
Generally lower
and isolated level
of risk
Low level of risk
The supply of
stock water
essential for stock
welfare and fire
fighting
Management
issues arise
through
subdivision and
changes in
ownership
Organisational
Skills and
Resources
Customer
Expectations
Sustainability
Appropriate
AM Level
4.2
Page 14
Drainage assets
affect some
communities flood
risk
Hurunui District Council comprises a small organisation serving a large area of
small communities
The organisation is comfortably resourced with a range of experienced staff, staff
are stable and there are very few vacancies. Services are delivered through a
combination of in-house teams and Contractors
Levels of service are well understood and an increase in expectations has been
observed over time
This increase is particularly evident in Hanmer Springs and rural-residential areas
where ‘City values’ reflected in expectations of those who shift into the district from
Christchurch
No Corporate Policy at this stage, part of AMP and planning process at activity
level
Influenced by
Targets set in
LTMA, NZTS and
2005 and being
RLTS
reviewed in 2008
Core Plus
Core
Core
Recycling
underway and
ahead of
expectations of
Waste
Minimisation Bill
Core
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The initial population screen for Hurunui District Council, using urban area, all township populations,
and total district population showed that asset management practice should be Core.
The examination of individual factors is summarised in Table 4.1: Detailed Analysis Hurunui District
Council Asset Groups above and commentary on these factors is as follows:
Costs and Benefits
The Land Transport and Water & Wastewater budgets are the largest in Council and represent higher
risks if AM practice is not at an appropriate level. These budgets also allow more scope to develop
asset management practice as appropriate. The value of the Roading assets at $167M (DRV) is
considerably higher the value of water and wastewater assets ($39M DRV). Solid Waste and Parks &
Property represent significantly smaller areas of expenditure, and are associated with less risk
exposure.
Legislative Requirements
Hurunui District Council policy is to meet minimum legislative requirements, or exceed requirements
where deemed appropriate and cost effective through Levels of Service Consultation.
Size, Condition and Complexity of Assets
There are a range of assets spread across the large district. In particular the roading network and
rural water supplies are extensive with only a small rating base. While the assets are not highly
complex the isolated nature of the communities requires a specific approach.
Risks Associated with Failures
Overall risks associated with asset failure have been assessed to be average apart from water and
wastewater and drainage. Failure of water systems would lead to a range of issues, wastewater
system failure has public health and environmental consequences. This suggests a higher level of
risk management practice for water and wastewater, while drainage is integral to manage flood risk.
Public Health risk management is already legislatively mandated. The risk of flooding is high and the
district’s drainage systems are essential to the well-being of the community.
Organisational Skills and Resources
Hurunui District Council comprises a small organisation serving a large area of small communities.
The organisation is comfortably resourced with a range of experienced staff, staff numbers are stable
and there are few vacancies. Services are delivered through a combination of in-house teams and
Contractors. This approach would be consistent with a ‘Core’ approach.
Customer Expectations
The District has a range of community assets that are of a high standard and the community is
justifiably proud of them, and has high expectations of the development and maintenance.
Levels of service are well understood and an increase in expectations has been observed over time.
This increase is particularly evident in Hanmer Springs and rural-residential areas where ‘City values’
are reflected in expectations of those who shift into the district from Christchurch.
Overall customer expectations are judged to be medium to high and the trend of increasing customer
expectation is likely. This suggests a requirement for well developed asset management practice to
consistently meet community expectations in the long term.
Sustainability
Hurunui District Council is following the sustainability regimes of the Land Transport Management Act
2003, NZTS and RLTS requirements (including subsequent amendments and revisions) for Land
January 2009
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Transport; otherwise Council is still in the process of developing its sustainability policies. This will
include incorporating legislative changes and the any national or regional policies or plans.
Any impact of these on asset management practice will be incorporated into the next review of Asset
Management Policies.
Conclusion
Having considered all these factors, for each asset / activity group it is apparent that Hurunui District
Council should be managing it’s assets at the following levels:
Activity
Land Transport
Utilities
Community
Services
Solid Waste
(Parks & Property)
Final
Appropriate
AM Level
Comment
Page 16
Core Plus
Core
Core
Core
A more
sophisticated
approach than core
with an emphasis
on managing the
lifecycle costs of
assets and the
communities ability
to fund long term
costs
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5.0
ASSET MANAGEMENT POLICY STATEMENTS
The Asset Management Policy Statements for the Activities assessed follows.
5.1
Land Transport
The Hurunui District Council Asset Management Policy Statement for the Land Transport Activity is
outlined below. It is intended that this Policy Statement be added to the introduction of the Activity
Management Plan, to set the direction of the Land Transport Asset Management process.
5.1.1
Objective of the Land Transport Asset Management Policy
The objective of the Hurunui District Council’s Asset Management Policy for the Land Transport
Activity is to ensure that Council’s service delivery is optimised to deliver agreed community outcomes
and levels of service, manage related risks, and optimise expenditure over the entire life cycle of the
service delivery, using appropriate assets as required.
The Asset Management Policy requires that the management of assets be in a systematic process to
guide planning, acquisition, operation and maintenance, renewal and disposal of the required assets.
Delivery of service is required to be sustainable in the long term and deliver on Council’s economic,
environmental, social, and cultural objectives.
This Asset Management Policy sets the appropriate level of asset management practice for Council’s
Land Transport Activity.
5.1.2
Asset Management Policy Principles
The following principles will be used by Council to guide asset management planning and decision
making:
 Effective consultation to determine appropriate Levels of Service
 Ensuring service delivery needs form the basis of asset management
 Integration of asset management with corporate, financial, business and budgetary planning
using activity management plans and Council’s LTCCP to demonstrate this
 Integration with neighbouring authorities and other agencies including NZ Transport Strategy,
National Land Transport Programme, and the Regional Land Transport Strategy
 Integration of asset management within Council’s strategic, tactical and operational planning
frameworks
 Informed decision making taking a lifecycle management and inter-generational approach to
asset planning
 Transparent and accountable asset management decision making
 Sustainable management providing for present needs whilst sustaining resources for future
generations
5.1.3
Policy Linkages to Other Plans
This Asset Management Policy links to Council’s LTCCP, the Canterbury Regional Land Transport
Strategy, and Land Transport Activity Plan.
5.1.4
Structured Assessment of Asset Management Practice
Table 5.1: Land Transport Activity Factor Assessment Results
Criteria
Assessment Commentary
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Criteria
Population
Assessment
Core
District Wide
Risks
Costs and
Benefits
Core
$7.0 M*
(29% of total
HDC
operating
costs)
Commentary
The initial population risk screen for urban areas, all township
populations, and total district population showed that asset
management practice should be ‘Core’
Based on the identified district wide risk factors, the suggested
level of appropriate asset management practice should be ‘Core’
The Land Transport budget is the largest in Council and
represent higher risks if AM practice is not at an appropriate level.
These budgets also allow more scope to develop asset
management practice as appropriate. The value of the Roading
assets at $167M (DRV) is considerably higher the value of water
and wastewater assets ($39M DRV)
*includes half of local facilities and maintenance costs
Legislative
Requirements
Compliance
approach
Size, Condition,
Complexity of
Assets
Large
network,
otherwise
typical
Moderate
level of risk
Risks
Associated with
Failures
Organisational
Skills and
Resources
Average
Customer
Expectations
Average +
Hurunui District Council policy is to meet minimum legislative
requirements, or exceed requirements where deemed appropriate
and cost effective through Levels of Service Consultation. There
are considerable changes under new legislation which requires a
high level of regional involvement
Large rural network with distributed small communities
Seasonal variations and changes in land use impact on levels of
service and maintenance requirements
Overall risks associated with asset failure have been assessed to
be moderate. There are some critical routes, bridges and
demand issues
Increasing heavy vehicles and the potential for fifty tonne truck
are a real risk to the network
Hurunui District Council comprises a small organisation serving a
large area of small communities. is a relatively small local
authority
The organisation is comfortably resourced with a range of
experienced staff, staff are stable and there are very few
vacancies. Services are delivered through a combination of inhouse teams and Contractors
This approach would be consistent with a ‘Core’ approach
The District has a range of community assets that are of a high
standard and the community is justifiably proud of them, and has
high expectations of the development and maintenance
Levels of service are well understood and an increase in
expectations has been observed over time
This increase is particularly evident in Hanmer Springs and ruralresidential areas where ‘City values’ reflected in expectations of
those who shift into the district from Christchurch
Overall customer expectations are judged to be medium to high
and the trend of increasing customer expectation is likely. This
suggests a requirement for well-developed asset management
practice to consistently meet community expectations in the long
term
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Criteria
Sustainability
Assessment
No
Corporate
Policy at this
stage, part of
AMP and
planning
process at
activity level
Final AM Level
Core Plus
5.1.5
Commentary
Hurunui District Council is following the sustainability regimes of
the Land Transport Management Act 2003, NZTS and RLTS
requirements (including subsequent amendments and revisions)
for Land Transport; otherwise Council is still in the process of
developing its sustainability policies. This will include
incorporating legislative changes and the any national or regional
policies or plans
Any impact of these on asset management practice will be
incorporated into the next review of Asset Management Policies
Analysis of factors suggests that asset management practice
requires a more sophisticated approach than core with an
emphasis on managing the lifecycle costs of assets and the
communities’ ability to fund long term costs
Implementation and Review of Policy
This Asset Management Policy will be implemented in conjunction with the 2008 Asset Management
Plans and 2009 LTCCP. This Asset Management Policy may require review once Council has
completed the development of its Sustainability Policies.
This next full review of this Asset Management Policy shall be completed in June 2011 (3 years) prior
to completing asset plan updates to support the 2012 LTCCP.
5.1.6
Asset Management Implementation Strategy
Council staff have completed a detailed analysis of appropriate asset management practice within the
guidance offered by this Policy. This analysis has examined asset description, levels of service,
managing growth, risk management, asset lifecycle decision making, financial forecasts, planning
assumptions and confidence levels, improvement programmes, use of qualified persons and Council
commitment to asset management planning.
From this detailed analysis Council’s level of achievement and any gaps in appropriate asset
management practice were identified.
Asset management practice gaps that were noted have been transferred to the Asset Management
Improvement Programme for action.
January 2009
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5.2
Utilities
The Hurunui District Council Asset Management Policy Statement for the Utilities Activity is outlined
below. The Utilities comprise Community Water Supplies, Wastewater, Stormwater and Land
Drainage. It is intended that this Policy Statement be added to the introduction of the Activity
Management Plan, to set the direction of the Utilities Asset Management process.
5.2.1
Objective of the Utilities Asset Management Policy
The objective of the Hurunui District Council’s Asset Management Policy for the Utilities Activity is to
ensure that Council’s service delivery is optimised to deliver agreed community outcomes and levels
of service, manage related risks, and optimise expenditure over the entire life cycle of the service
delivery, using appropriate assets as required.
The Asset Management Policy requires that the management of assets be in a systematic process to
guide planning, acquisition, operation and maintenance, renewal and disposal of the required assets.
Delivery of service is required to be sustainable in the long term and deliver on Council’s economic,
environmental, social, and cultural objectives.
This Asset Management Policy sets the appropriate level of asset management practice for Council’s
Utilities Activity.
5.2.2
Asset Management Policy Principles
The following principles will be used by Council to guide asset management planning and decision
making:
 Effective consultation to determine appropriate Levels of Service
 Ensuring service delivery needs form the basis of asset management
 Integration of asset management within the Utilities communities of interest and across Council
utilising corporate, financial, business and budgetary planning using activity management plans
and Council’s LTCCP to demonstrate this
 Integration of asset management within Council’s strategic, tactical and operational planning
frameworks
 Informed decision making taking a lifecycle management and inter-generational approach to
asset planning
 Transparent and accountable asset management decision making
 Sustainable management providing for present needs whilst sustaining resources for future
generations
5.2.3
Policy Linkages to Other Plans
This Asset Management Policy links to, Council’s LTCCP, Utilities Asset Management Plans and the
Water and Sanitary Services Assessment. An approach where planning is based around communities
of interest is favoured, as this aims to promote an integrated management regime and encourage
efficiencies across the district’s water schemes.
5.2.4
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Council has undertaken a structured assessment of the appropriate level of asset management practice for the Utilities assets. This
structured assessment follows the guidance provided in Section 2.2.4 of the International Infrastructure Management Manual. The results
of this assessment are shown in Table 5.2: Utility Factor Assessment Results below:
Table 5.2: Utility Factor Assessment Results
Criteria
Assessment Commentary
Population
Core
The initial population risk screen for urban areas, all township
populations, and total district population showed that asset
management practice should be ‘Core’
District Wide
Core
Based on the identified district wide risk factors, the suggested
Risks
level of appropriate asset management practice should be ‘Core’
Costs and
$5.1M
The combined Utilities budgets comprise the second largest in
Benefits
(21% of total Council and represent higher risks if AM practice is not at an
HDC
appropriate level. These budgets also allow more scope to
operating
develop asset management practice as appropriate
costs)
Legislative
Compliance
Hurunui District Council policy is to meet minimum legislative
Requirements
approach –
requirements, or exceed requirements where deemed appropriate
and cost effective through Levels of Service Consultation
There are increasing water quality requirements (NZDWS) and
water quantity issues arising, along with increasing demands from
pNRRP
Size, Condition,
Large
There is a wide range of small urban and large rural schemes
Complexity of
network,
The water supplies include extensive pumping and reticulation
Assets
otherwise
assets
typical
Drainage assets are minor but of high importance
Risks
Moderate to
Overall risks associated with asset failure have been assessed to
Associated with
High
be average apart from water and wastewater and drainage.
Failures
Failure of water systems would lead to a range of issues,
wastewater system failure has public health and environmental
consequences. This suggests a higher level of risk management
practice for water and wastewater, while drainage is integral to
manage flood risk. Public Health risk management is already
legislatively mandated. The risk of flooding is high and the
district’s drainage systems are essential to the well-being of the community
Organisational
Average
Hurunui District Council comprises a small organisation serving a
Skills and
large area of small communities
Resources
The organisation is comfortably resourced with a range of
experienced staff, staff are stable and there are very few
vacancies. Services are delivered through a combination of inhouse teams and Contractors
This approach would be consistent with a ‘Core’ approach
January 2009
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Criteria
Customer
Expectations
Assessment
Average +
Commentary
The District has a range of community assets that are of a high
standard and the community is justifiably proud of them, and has
high expectations of the development and maintenance.
Levels of service are well understood and an increase in
expectations has been observed over time
This increase is particularly evident in Hanmer Springs and ruralresidential areas where ‘City values’ reflected in expectations of
those who shift into the district from Christchurch
Sustainability
Final AM Level
5.2.5
No
Corporate
Policy at this
stage, part of
AMP and
planning
process at
activity level
Core
Overall customer expectations are judged to be medium to high
and the trend of increasing customer expectation is likely. This
suggests a requirement for well developed asset management
practice to consistently meet community expectations in the long
term
Council is still in the process of developing its sustainability
policies. This will include incorporating legislative changes and
the any national or regional policies or plans
Any impact of these on asset management practice will be
incorporated into the next review of Asset Management Policies
Analysis of factors suggests that asset management practice
should be Core
Implementation and Review of Policy
This Asset Management Policy will be implemented in conjunction with the 2008 Asset Management
Plans and 2009 LTCCP. This Asset Management Policy may require review once Council has
completed the development of its Corporate Sustainability Policies.
This next full review of this Asset Management Policy shall be completed in June 2011 (3 years) prior
to completing asset plan updates to support the 2012 LTCCP.
5.2.6
Asset Management Implementation Strategy
Council staff have completed a detailed analysis of appropriate asset management practice within the
guidance offered by this Policy. This analysis has examined asset description, levels of service,
managing growth, risk management, asset lifecycle decision making, financial forecasts, planning
assumptions and confidence levels, improvement programmes, use of qualified persons and Council
commitment to asset management planning.
From this detailed analysis Council’s level of achievement and any gaps in appropriate asset
management practice were identified.
Asset management practice gaps that were noted have been transferred to the Asset Management
Improvement Programme for action.
Page 22
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Annex V Setting the Level of Roading Asset Management
January 2009
Version 3.0
Roading Activity Management Plan
5.3
Community Services (Parks & Property)
The Hurunui District Council Asset Management Policy Statement for the Community Services Activity
is outlined below. Community Services (Parks and Property) comprise Recreation Reserves,
Sportsfields, Playgrounds, Halls and other Community Buildings, Public Toilets, Cemeteries and
Pensioner Flats. It is intended that this Policy Statement be added to the introduction of the Activity
Management Plan, to set the direction of the Community Services Asset Management process.
5.3.1
Objective of the Community Services Asset Management Policy
The objective of the Hurunui District Council’s Asset Management Policy for the Community Services
Activity is to ensure that Council’s service delivery is optimised to deliver agreed community outcomes
and levels of service, manage related risks, and optimise expenditure over the entire life cycle of the
service delivery, using appropriate assets as required.
The Asset Management Policy requires that the management of assets be in a systematic process to
guide planning, acquisition, operation and maintenance, renewal and disposal of the required assets.
Delivery of service is required to be sustainable in the long term and deliver on Council’s economic,
environmental, social, and cultural objectives.
This Asset Management Policy sets the appropriate level of asset management practice for Council’s
Community Services Activity.
5.3.2
Asset Management Policy Principles
The following principles will be used by Council to guide asset management planning and decision
making:
 Effective consultation to determine appropriate Levels of Service
 Ensuring service delivery needs form the basis of asset management
 Integration of asset management with corporate, financial, business and budgetary planning
using activity management plans and Council’s LTCCP to demonstrate this
 Integration of asset management within Council’s strategic, tactical and operational planning
frameworks
 Informed decision making taking a lifecycle management and inter-generational approach to
asset planning
 Transparent and accountable asset management decision making
 Sustainable management providing for present needs whilst sustaining resources for future
generations
5.3.3
Policy Linkages to Other Plans
This Asset Management Policy links to Council’s LTCCP, Walkway Policy, Community Facilities
Strategic Plans and Reserve Management Plans.
5.3.4
Structured Assessment of Asset Management Practice
Council has undertaken a structured assessment of the appropriate level of asset management
practice for the Community Services assets. This structured assessment follows the guidance
provided in Section 2.2.4 of the International Infrastructure Management Manual. The results of this
assessment are shown in Table 5.3: Community Services Factor Assessment Results below.
January 2009
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Page 23
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Selecting the Appropriate AM Level
Table 5.3: Community Services Factor Assessment Results
Criteria
Assessment Commentary
Population
Core
The initial population risk screen for urban areas, all township
populations, and total district population showed that asset
management practice should be ‘Core’
District Wide
Core
Based on the identified district wide risk factors, the suggested
Risks
level of appropriate asset management practice should be ‘Core’
Costs and
$0.7M
The Parks and Property operations budgets are relatively small in
Benefits
(3% of total
terms of Council expenditure and represents minor risks if AM
HDC
practice is not at an appropriate level
operating
costs)
Legislative
Compliance
Hurunui District Council policy is to meet minimum legislative
Requirements
approach
requirements, or exceed requirements where deemed appropriate
and cost effective through Levels of Service Consultation
Size, Condition,
Average
A simple but varied approach is required given the range of
Complexity of
assets involved
Assets
Good data now held on assets and condition
Risks
Generally
Overall risks associated with asset failure are well understood
Associated with
lower and
and have been assessed to be low with the exception of playgrounds,
Failures
isolated level which have higher associated risks
of risk
Organisational
Average
Hurunui District Council comprises a small organisation serving a
Skills and
large area of small communities
Resources
The organisation is comfortably resourced with a range of
experienced staff, staff are stable and there are very few
vacancies. Services are delivered through a combination of inhouse teams and Contractors
This approach would be consistent with a ‘Core’ approach
Customer
Average +
The District has a range of community assets that are of a high
Expectations
standard and the community is justifiably proud of them, and has
high expectations of the development and maintenance
Levels of service are well understood and an increase in
expectations has been observed over time
This increase is particularly evident in Hanmer Springs and ruralresidential areas where ‘City values’ reflected in expectations of
those who shift into the district from Christchurch
Sustainability
Final AM Level
Page 24
No
Corporate
Policy at this
stage, part of
AMP and
planning
process at
activity level
Core
Overall customer expectations are judged to be medium to high
and the trend of increasing customer expectation is likely. This
suggests a requirement for well developed asset management
practice to consistently meet community expectations in the long
term
Council is still in the process of developing its sustainability
policies. This will include incorporating legislative changes and
the any national or regional policies or plans
Any impact of these on asset management practice will be
incorporated into the next review of Asset Management Policies
Analysis of factors suggests that asset management practice
should be Core
Final
Annex V Setting the Level of Roading Asset Management
January 2009
Version 3.0
Roading Activity Management Plan
5.3.5
Implementation and Review of Policy
This Asset Management Policy will be implemented in conjunction with the 2008 Asset Management
Plans and 2009 LTCCP. This Asset Management Policy may require review once Council has
completed the development of its Sustainability Policies.
This next full review of this Asset Management Policy shall be completed in June 2011 (3 years) prior
to completing asset plan updates to support the 2012 LTCCP.
5.3.6
Asset Management Implementation Strategy
Council staff have completed a detailed analysis of appropriate asset management practice within the
guidance offered by this Policy. This analysis has examined asset description, levels of service,
managing growth, risk management, asset lifecycle decision making, financial forecasts, planning
assumptions and confidence levels, improvement programmes, use of qualified persons and Council
commitment to asset management planning.
From this detailed analysis Council’s level of achievement and any gaps in appropriate asset
management practice were identified.
Asset management practice gaps that were noted have been transferred to the Asset Management
Improvement Programme for action.
January 2009
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Annex V Setting the Level of Roading Asset Management
Page 25
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Selecting the Appropriate AM Level
5.4
Solid Waste
The Hurunui District Council Asset Management Policy Statement for the Solid Waste Activity is
outlined below. It is intended that this Policy Statement be added to the introduction of the Activity
Management Plan, to set the direction of the Solid Waste Asset Management process.
5.4.1
Objective of the Solid Waste Asset Management Policy
The objective of the Hurunui District Council’s Asset Management Policy for the Solid Waste Activity is
to ensure that Council’s service delivery is optimised to deliver agreed community outcomes and
levels of service, manage related risks, and optimise expenditure over the entire life cycle of the
service delivery, using appropriate assets as required.
The Asset Management Policy requires that the management of assets be in a systematic process to
guide planning, acquisition, operation and maintenance, renewal and disposal of the required assets.
Delivery of service is required to be sustainable in the long term and deliver on Councils economic,
environmental, social, and cultural objectives.
This Asset Management Policy sets the appropriate level of asset management practice for Council’s
Solid Waste Activity.
5.4.2
Asset Management Policy Principles
The following principles will be used by Council to guide asset management planning and decision
making:
 Effective consultation to determine appropriate Levels of Service
 Ensuring service delivery needs form the basis of asset management
 Integration of asset management with corporate, financial, business and budgetary planning
using activity management plans and Council’s LTCCP to demonstrate this
 Integration of asset management within Council’s strategic, tactical and operational planning
frameworks
 Informed decision making taking a lifecycle management and inter-generational approach to
asset planning
 Transparent and accountable asset management decision making
 Sustainable management providing for present needs whilst sustaining resources for future
generations
5.4.3
Policy Linkages to Other Plans
This Asset Management Policy links to Council’s LTCCP and Waste Management Plan 2005.
5.4.4
Structured Assessment of Asset Management Practice
Council has undertaken a structured assessment of the appropriate level of asset management
practice for the Solid Waste assets. This structured assessment follows the guidance provided in
Section 2.2.4 of the International Infrastructure Management Manual. The results of this assessment
are shown in Table 5.4: Solid Waste Factor Assessment Results below.
Table 5.4: Solid Waste Factor Assessment Results
Criteria
Assessment Commentary
Population
Core
The initial population risk screen for urban areas, all township
populations, and total district population showed that asset
management practice should be ‘Core’
Page 26
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January 2009
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Roading Activity Management Plan
Criteria
District Wide
Risks
Costs and
Benefits
Assessment
Core
$0.8M**
(3% of total
HDC
operating
costs)
Legislative
Requirements
Compliance
approach
Size, Condition,
Complexity of
Assets
Risks
Associated with
Failures
Organisational
Skills and
Resources
Low
Customer
Expectations
Average +
Commentary
Based on the identified district wide risk factors, the suggested
level of appropriate asset management practice should be ‘Core’
The Parks and Property operations budgets are relatively small in
terms of Council expenditure and represents minor risks if AM
practice is not at an appropriate level
** excludes household collection costs
Hurunui District Council policy is to meet minimum legislative
requirements, or exceed requirements where deemed appropriate
and cost effective through Levels of Service Consultation
For Solid Waste services a level of service approach is being
followed which is generally ahead of legislation
Few assets – five transfer stations, closed landfills
Community facilitated recycling activities
Low level of
risk
Given the limited assets involved, overall risks associated with
asset failure have been assessed to be low
Average
Hurunui District Council comprises a small organisation serving a
large area of small communities
The organisation is comfortably resourced with a range of
experienced staff, staff are stable and there are very few
vacancies Services are delivered through a combination of inhouse teams and Contractors
This approach would be consistent with a ‘Core’ approach
The District has a range of community assets that are of a high
standard and the community is justifiably proud of them, and has
high expectations of the development and maintenance
Levels of service are well understood and an increase in
expectations has been observed over time
This increase is particularly evident in Hanmer Springs and ruralresidential areas where ‘City values’ reflected in expectations of
those who shift into the district from Christchurch
Sustainability
Final AM Level
January 2009
No
Corporate
Policy at this
stage, part of
AMP and
planning
process at
activity level
Core
Overall customer expectations are judged to be medium to high
and the trend of increasing customer expectation is likely. This
suggests a requirement for well developed asset management
practice to consistently meet community expectations in the long
term
Council is still in the process of developing its sustainability
policies. This will include incorporating legislative changes and
the any national or regional policies or plans
Any impact of these on asset management practice will be
incorporated into the next review of Asset Management Policies
Analysis of factors suggests that asset management practice
should be Core
Final
Annex V Setting the Level of Roading Asset Management
Page 27
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Selecting the Appropriate AM Level
5.4.5
Implementation and Review of Policy
This Asset Management Policy will be implemented in conjunction with the 2008 Asset Management
Plans and 2009 LTCCP. This Asset Management Policy may require review once Council has
completed the development of its Sustainability Policies.
This next full review of this Asset Management Policy shall be completed in June 2011 (3 years) prior
to completing asset plan updates to support the 2012 LTCCP.
5.4.6
Asset Management Implementation Strategy
Council staff have completed a detailed analysis of appropriate asset management practice within the
guidance offered by this Policy. This analysis has examined asset description, levels of service,
managing growth, risk management, asset lifecycle decision making, financial forecasts, planning
assumptions and confidence levels, improvement programmes, use of qualified persons and Council
commitment to asset management planning.
From this detailed analysis Council’s level of achievement and any gaps in appropriate asset
management practice were identified.
Asset management practice gaps that were noted have been transferred to the Asset Management
Improvement Programme for action.
Page 28
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January 2009
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Roading Activity Management Plan
6.0
DETAILED ANALYSIS OF ASSET GROUPS
The following tables are provided for internal Council use to set in detail appropriate practice levels,
and assess compliance to that practice and any AM practice gaps.
The tables are based on IIMM figure 2.2.4 “Criteria for Assessing Conformity to “Core” and “Advanced”
Levels of Asset Management in New Zealand.”
The recommended process is identified below.
Step One
Identify the Appropriate Level of AM, as outlined in Sections 1-4
 For ‘Core’ AM - all Core assessment criteria are relevant (indicated Bright Green)
 For ‘Core Plus’ - all Core assessment criteria are relevant (indicated Bright Green) and
additional criteria will be relevant. The additional criteria have been identified during the
workshop to determine the Appropriate Level of AM (the additional criteria are indicated Light
Green)
 For ‘’Comprehensive’ or ‘Advanced‘ AM all assessment criteria are relevant (indicated Bright
Green)
Step Two
Undertake a compliance status analysis.
This involves the Asset or Activity Manager assessing current performance in terms of each of the
assessment criteria. This may be done with the assistance of the asset or Activity Plan Writer if this
appropriate.
Once the current performance is assessed the compliance gaps can be identified.
Step Three
Following the assessment of practice gaps this information can be transferred to the Asset or Activity
Management Plan improvement programme. It is expected that this assessment would be undertaken
by the individual Activity Plan Writers and Activity Managers.
Example
A worked example follows to illustrate the process (data is for illustrative purposes only).
January 2009
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Page 29
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Selecting the Appropriate AM Level
Relevant Assessment Criteria
Core criteria
Additional relevant criteria
Compliance Key

Fully compliant
S
Substantially compliant
P
Partially compliant

Does not comply
SAMPLE DATA ONLY
Assessment Criteria (as outlined in IIMM)
Compliance Status Analysis
Relevance
Description of Assets
Compliance
Gaps
Notes
Process of Development
RAMM & dTIMS
fully operational

Adequate Description of Asset

Financial Description of Asset
Core
Current
Performance

Remaining useful life
RAMM & dTIMS
fully operational

Aggregate & Disaggregate Information
Reliable Physical inventory
P
- Physical attributes (location, material, age etc)
Traffic counts
for some roads
only
Traffic Counts 3yr
cycle, counts for all
roads will be
completed in 2010
- Systematic measurement performance
S
- Utilisation/capacity
Page 30
Footpath survey
underway (2008)
RAMM Rating &
FWD

- Systematic monitoring of condition
Advanced
Footpath data
incomplete
Final
Annex V Setting the Level of Roading Asset Management
January 2009
Version 3.0
Roading Activity Management Plan
6.1
Land Transport
Relevant Assessment Criteria
Core criteria
Additional relevant criteria
Compliance Key

Fully compliant
S
Substantially compliant
P

Partially compliant
Does not comply
Table 6.1: Land Transport Detailed Asset Management Practice Assessment
Assessment Criteria (as outlined in IIMM)
Compliance Status Analysis
Relevance
Description of
Assets
Compliance Gaps
S
S
Financial Description of Asset
S
Remaining useful life
Aggregate & Disaggregate Information

S
Reliable Physical inventory
S
- Physical attributes (location, material, age etc)
S
- Systematic monitoring of condition
Data needed on
‘other structures’
Data needed on
‘other structures’
Data needed on
‘other structures’
RAMM and Opus
Database for Bridges
Annual Valuation/Review
Data needed on
‘other structures’
Data needed on
‘other structures’
Data needed on
‘other structures’
RAMM managed by
Maunsell
Sealed roads only
Advanced
S
- Systematic measurement performance
Levels of Service
- Utilisation/capacity

Define LOS or performance
P
P
Linkage to strategic/community outcomes
P
Links to other planning documents
P
Core
Levels of consultation identified and agreement

Service life of network stated
January 2009
Notes
S
Process of Development
Adequate Description of Asset
Core
Current
Performance
Final
Annex V Setting the Level of Roading Asset Management
Data needed on
‘other structures’
Annual Valuation/Review
Sealed roads only, some
FWD survey and model in
place
Sealed roads only
Programme in place (all
roads >40vpd every 5
years, major rotes
annually)
Show linkages in
AMP
Regional linkages
to be shown
Outline
consultation
undertaken
(LTCCP Ward
Meetings and AP)
Shown in LTCCP
Annual Valuation/Review
Page 31
Version 3.0
Selecting the Appropriate AM Level
Assessment Criteria (as outlined in IIMM)
Compliance Status Analysis
Relevance
Current
Performance
Compliance Gaps
P
Outline options
and consultation
in AMP
Outline options
and consultation
in AMP
Outline option and
consultation in
AMP
Demonstrate
through 2009-19
LTCCP
Demonstrate
through 2009-19
LTCCP
Update approach
following
consultation
Notes
For Significant Services
- Evaluating LOS Options
P
- Consult LOS options with community
P
Advanced
- Adoption LOS & Standards after consultation

- Public communication of service level

- Monitoring & public reporting
P
AMP's reflect agreed LOS & how service is delivered
Managing
Growth

Demand Forecasts (10 year)
Core
Advanced
Risk
Management
Core
Specific data in AMP
section R4


Demand Management drivers
Demand Management strategies
Sustainability Strategies
Forecasts include factors that comprise demand
Sensitivity of asset development (Capital Works) to
demand changes
Asset Utilisation/ Demand Modelling
?
P
Document in AMP
P
P
Document in AMP
Document in AMP
Apply standards & industry good practice
RM integrated with Lifelines, disasters recovery,
Continuity plans,.
Strategies for critical assets to include mitigation –
CORE
Integrate with maintenance and replacement
strategies
P
Document in AMP
Lifecycle and Asset Management Practices

Service capacity gap analysis
Evaluation and ranking based on criteria of options
for significant capital invest decisions for
Maintenance Outcomes, Strategies, Standards and
Plan


Identify critical assets
Identify significant negative effects
Identify associated risks and RM strategies
Strategic routes have been
identified (integrated with
NZTA)
Recognition & application of principles of integrated
risk management to assets
Advanced
Lifecycle
Decision Making
Core

P
Identify options for asset maintenance to achieve
optimal costs over life of asset
Advanced
Lifelines undertaken
P
- Apply agreed evaluation tools to prioritise work
programmes
Continue
development and
outline in AMP
Continue
development and
outline in AMP
RAMM TSA, Initial dTIMS
analysis
- Predictive modelling to support long-term financial
forecasts for maintenance, renewals & new capital
Significant negative effects
Page 32
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January 2009
Version 3.0
Roading Activity Management Plan
Assessment Criteria (as outlined in IIMM)
Compliance Status Analysis
Relevance
Financial
Forecasts
Core
Advanced
Planning
Assumptions
and Confidence
Levels
Core
Advanced
Outline
Improvement
Programmes
Core
Advanced
Planning by
qualified persons
Core &
Advanced
Commitment
Core
Advanced
Current
Performance
Compliance Gaps
Notes

10 year Financial plan – Maintenance, Renewals,
New Capital (LOS and demand).
Validate the Depreciation/Decline in Service
Potential
Translate operational, planned maint, renewal & new
work into financial terms over period of strategic plan

Provide consistent financial forecasts & Substantiate
Sensitivity of forecasts

List all assumptions and possible effects
Confidence level on asset condition, performance
Accuracy of asset inventory
Confidence level demand/growth forecasts
Confidence level on financial forecasts
List all assumptions including organisations strategic
plan that support AM – linkages with other planning
doc
Confidence levels (IIMM 4.3.7)
- Inventory Data
Critical Assets (Grade 1)
Non Critical Assets (Grade 2)
- Condition Data
Critical Assets (Grades 1 or 2)
Non Critical Assets (Grades 1, 2 or 3)
- Performance Data
Critical Assets (Grades 1 or 2)
Non Critical Assets (Grades 1, 2 or 3)




Identify improvements
techniques
&
?
Identify weak areas & how they will be addressed
Timeframes for improvements
Identify resources required (human & financial)
Improvement programmes are monitored against
KPI’s
Previous improvements identified and formally
reported against KPI’s
AM Planning should be undertaken by a suitably
qualified person
?
to
AM
processes
?
?


Internal review process by
plan writers regarded as
adequate
Process should be Peer reviewed
P
Plan adopted by Council including improvement
programme


Plan key tool to support LTCCP
AM Plan regularly updated and should reflect
progress on improvement plan
AM Plan requirements are being implemented and
discrepancies formally reported
AM Plans evolving as AM systems provide better
information


AM Plans updated every 3 years along with
organisations strategic planning cycles
Aim to do this – may be
compromised by
resourcing

Council has defined the Appropriate AM Practice it is
adopting
January 2009
Completed AMP
to Council for
adoption
Final
Annex V Setting the Level of Roading Asset Management
Page 33
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Selecting the Appropriate AM Level
6.2
Utilities
Relevant Assessment Criteria
Core criteria
Additional relevant criteria
Compliance Key

Fully compliant
S
Substantially compliant
P

Partially compliant
Does not comply
Table 6.2: Utilities Detailed Asset Management Practice Assessment
Assessment Criteria (as outlined in IIMM)
Compliance Status Analysis
Relevance
Description of
Assets
Process of Development
Current
Performance
S
S
Financial Description of Asset
S
Remaining useful life
Advanced
Levels of Service
Core
Advanced
Managing Growth
Aggregate & Disaggregate Information
Reliable Physical inventory
- Physical attributes (location, material, age etc)
- Systematic monitoring of condition
- Systematic measurement performance
- Utilisation/capacity
Define LOS or performance
Linkage to strategic/community outcomes
Links to other planning documents
Levels of consultation identified and agreement
Service life of network stated
For Significant Services
- Evaluating LOS Options
- Consult LOS options with community
- Adoption LOS & Standards after consultation
- Public communication of service level
- Monitoring & public reporting
AMP's reflect agreed LOS & how service is delivered
Demand Forecasts (10 year)
Demand Management drivers
Demand Management strategies
Notes
S
Adequate Description of Asset
Core
Compliance Gaps
Held in BizeAsset
some minor
updating required
Held in BizeAsset
some minor
updating required
Held in BizeAsset
some minor
updating required









P
Core
Sustainability Strategies
Annex V Setting the Level of Roading Asset Management
Ongoing
development of
sustainability
practice in
accordance with
changing
national
legislative
Version 3.0
Roading Activity Management Plan
Assessment Criteria (as outlined in IIMM)
Compliance Status Analysis
Relevance
Current
Performance
Compliance Gaps
Notes
requirements:
- Climate
change
- Emissions
Trading
Advanced
Forecasts include factors that comprise demand
Sensitivity of asset development (Capital Works) to
demand changes
Asset Utilisation/ Demand Modelling
Annex V Setting the Level of Roading Asset Management
Version 3.0
Selecting the Appropriate AM Level
Assessment Criteria (as outlined in IIMM)
Compliance Status Analysis
Relevance
Current
Performance
P
Risk Management
Identify critical assets
Identify significant negative effects
Core

S
Identify associated risks and RM strategies
Compliance Gaps
Notes
Need to enter
against assets in
BizeAsset.
Further risk
management
integration with
corporate
strategies
Recognition & application of principles of integrated risk
management to assets
Advanced
Lifecycle Decision
Making
Core
Apply standards & industry good practice
RM integrated with Lifelines, disasters recovery,
Continuity plans,.
Strategies for critical assets to include mitigation – CORE
Integrate with maintenance and replacement strategies
Lifecycle and Asset Management Practices

Service capacity gap analysis


Evaluation and ranking based on criteria of options for
significant capital invest decisions for
Maintenance Outcomes, Strategies, Standards and Plan
Advanced
Financial Forecasts
Core
Advanced
Planning
Assumptions and
Confidence Levels
Identify options for asset maintenance to achieve optimal
costs over life of asset
- Apply agreed evaluation tools to prioritise work
programmes
- Predictive modelling to support long-term financial
forecasts for maintenance, renewals & new capital
Significant negative effects
10 year Financial plan – Maintenance, Renewals, New
Capital (LOS and demand).
Validate the Depreciation/Decline in Service Potential
Advanced


Translate operational, planned maint, renewal & new
work into financial terms over period of strategic plan
Provide consistent financial forecasts & Substantiate
Sensitivity of forecasts
List all assumptions and possible effects
Confidence level on asset condition, performance
Core
New capital
identified for
Amberley
following District
Plan changes

S
S
Accuracy of asset inventory
Confidence level demand/growth forecasts
Confidence level on financial forecasts
List all assumptions including organisations strategic
plan that support AM – linkages with other planning doc
Confidence levels (IIMM 4.3.7)
- Inventory Data
Critical Assets (Grade 1)
Non Critical Assets (Grade 2)
- Condition Data
Critical Assets (Grades 1 or 2)
Based on desktop
& field operator
experience. Some
testing of AC pipes
required in next 10
years to confirm.


Annex V Setting the Level of Roading Asset Management
Version 3.0
Roading Activity Management Plan
Assessment Criteria (as outlined in IIMM)
Compliance Status Analysis
Relevance
Current
Performance
Compliance Gaps
Non Critical Assets (Grades 1, 2 or 3)
- Performance Data
Critical Assets (Grades 1 or 2)
Non Critical Assets (Grades 1, 2 or 3)
Annex V Setting the Level of Roading Asset Management
Version 3.0
Notes
Selecting the Appropriate AM Level
Assessment Criteria (as outlined in IIMM)
Compliance Status Analysis
Relevance
Outline Improvement
Programmes
Identify improvements to AM processes & techniques
Current
Performance
Compliance Gaps

AM
Improvement
Plan

Identify weak areas & how they will be addressed
Core
Advanced
Planning by Qualified
Persons
Core & Advanced
Commitment
Core
Advanced
Timeframes for improvements
Identify resources required (human & financial)
Improvement programmes are monitored against KPI’s
Previous improvements identified and formally reported
against KPI’s
AM Planning should be undertaken by a suitably
qualified person
Process should be Peer reviewed
Plan adopted by Council including improvement
programme
Plan key tool to support LTCCP
AM Plan regularly updated and should reflect progress
on improvement plan
AM Plan requirements are being implemented and
discrepancies formally reported
AM Plans evolving as AM systems provide better
information
AM Plans updated every 3 years along with
organisations strategic planning cycles
Council has defined the Appropriate AM Practice it is
adopting
Notes



P
Completed AMP to
Council for
adoption



Annex V Setting the Level of Roading Asset Management
Version 3.0
Roading Activity Management Plan
6.3
Community Services
Relevant Assessment Criteria
Core criteria
Additional relevant criteria
Compliance Key

Fully compliant
S
Substantially compliant
P

Partially compliant
Does not comply
Table 6.3: Community Services Detailed Asset Management Practice Assessment
Assessment Criteria (as outlined in IIMM)
Compliance Status Analysis
Relevance
Description of Assets
Core
Advanced
Levels of Service
Core
Advanced
Managing Growth
Core
Current
Performance
Compliance
Gaps
Process of Development
Adequate Description of Asset
Financial Description of Asset
Remaining useful life
Aggregate & Disaggregate Information
Reliable Physical inventory
- Physical attributes (location, material, age etc)
- Systematic monitoring of condition
- Systematic measurement performance
- Utilisation/capacity
Define LOS or performance
Linkage to strategic/community outcomes
Links to other planning documents
Levels of consultation identified and agreement
Service life of network stated
For Significant Services
- Evaluating LOS Options
- Consult LOS options with community
- Adoption LOS & Standards after consultation
- Public communication of service level
- Monitoring & public reporting
AMP's reflect agreed LOS & how service is delivered
Demand Forecasts (10 year)
Demand Management drivers
Demand Management strategies
Sustainability Strategies
Annex V Setting the Level of Roading Asset Management
Version 3.0
Notes
Selecting the Appropriate AM Level
Assessment Criteria (as outlined in IIMM)
Compliance Status Analysis
Relevance
Advanced
Risk Management
Core
Current
Performance
Compliance
Gaps
Forecasts include factors that comprise demand
Sensitivity of asset development (Capital Works) to
demand changes
Asset Utilisation/ Demand Modelling
Identify critical assets
Identify significant negative effects
Identify associated risks and RM strategies
Recognition & application of principles of integrated risk
management to assets
Advanced
Lifecycle Decision
Making
Core
Apply standards & industry good practice
RM integrated with Lifelines, disasters recovery,
Continuity plans,.
Strategies for critical assets to include mitigation – CORE
Integrate with maintenance and replacement strategies
Lifecycle and Asset Management Practices
Service capacity gap analysis
Evaluation and ranking based on criteria of options for
significant capital invest decisions for
Maintenance Outcomes, Strategies, Standards and Plan
Advanced
Financial Forecasts
Core
Advanced
Identify options for asset maintenance to achieve optimal
costs over life of asset
- Apply agreed evaluation tools to prioritise work
programmes
- Predictive modelling to support long-term financial
forecasts for maintenance, renewals & new capital
Significant negative effects
10 year Financial plan – Maintenance, Renewals, New
Capital (LOS and demand).
Validate the Depreciation/Decline in Service Potential
Translate operational, planned maint, renewal & new
work into financial terms over period of strategic plan
Provide consistent financial forecasts & Substantiate
Sensitivity of forecasts
Annex V Setting the Level of Roading Asset Management
Version 3.0
Notes
Roading Activity Management Plan
Assessment Criteria (as outlined in IIMM)
Compliance Status Analysis
Relevance
Planning Assumptions
and Confidence Levels
Core
Advanced
Outline Improvement
Programmes
Core
Advanced
Planning by Qualified
Persons
Core & Advanced
Commitment
Core
Advanced
Current
Performance
Compliance
Gaps
List all assumptions and possible effects
Confidence level on asset condition, performance
Accuracy of asset inventory
Confidence level demand/growth forecasts
Confidence level on financial forecasts
List all assumptions including organisations strategic
plan that support AM – linkages with other planning doc
Confidence levels (IIMM 4.3.7)
- Inventory Data
Critical Assets (Grade 1)
Non Critical Assets (Grade 2)
- Condition Data
Critical Assets (Grades 1 or 2)
Non Critical Assets (Grades 1, 2 or 3)
- Performance Data
Critical Assets (Grades 1 or 2)
Non Critical Assets (Grades 1, 2 or 3)
Identify improvements to AM processes & techniques
Identify weak areas & how they will be addressed
Timeframes for improvements
Identify resources required (human & financial)
Improvement programmes are monitored against KPI’s
Previous improvements identified and formally reported
against KPI’s
AM Planning should be undertaken by a suitably
qualified person
Process should be Peer reviewed
Plan adopted by Council including improvement
programme
Plan key tool to support LTCCP
AM Plan regularly updated and should reflect progress
on improvement plan
AM Plan requirements are being implemented and
discrepancies formally reported
AM Plans evolving as AM systems provide better
information
AM Plans updated every 3 years along with
organisations strategic planning cycles
Council has defined the Appropriate AM Practice it is
adopting
Annex V Setting the Level of Roading Asset Management
Version 3.0
Notes
Selecting the Appropriate AM Level
6.4
Solid Waste
Relevant Assessment Criteria
Core criteria
Additional relevant criteria
Compliance Key

Fully compliant
S
Substantially compliant
P

Partially compliant
Does not comply
Table 6.4: Solid Waste Detailed Asset Management Practice Assessment
Assessment Criteria (as outlined in IIMM)
Compliance Status Analysis
Relevance
Description of Assets
Core
Advanced
Levels of Service
Core
Advanced
Current
Performance
Compliance
Gaps
Process of Development
Adequate Description of Asset
Financial Description of Asset
Remaining useful life
Aggregate & Disaggregate Information
Reliable Physical inventory
- Physical attributes (location, material, age etc)
- Systematic monitoring of condition
- Systematic measurement performance
- Utilisation/capacity
Define LOS or performance
Linkage to strategic/community outcomes
Links to other planning documents
Levels of consultation identified and agreement
Service life of network stated
For Significant Services
- Evaluating LOS Options
- Consult LOS options with community
- Adoption LOS & Standards after consultation
- Public communication of service level
- Monitoring & public reporting
AMP's reflect agreed LOS & how service is delivered
Annex V Setting the Level of Roading Asset Management
Version 3.0
Notes
Roading Activity Management Plan
Assessment Criteria (as outlined in IIMM)
Compliance Status Analysis
Relevance
Managing Growth
Core
Advanced
Risk Management
Core
Current
Performance
Compliance
Gaps
Demand Forecasts (10 year)
Demand Management drivers
Demand Management strategies
Sustainability Strategies
Forecasts include factors that comprise demand
Sensitivity of asset development (Capital Works) to
demand changes
Asset Utilisation/ Demand Modelling
Identify critical assets
Identify significant negative effects
Identify associated risks and RM strategies
Recognition & application of principles of integrated risk
management to assets
Advanced
Lifecycle Decision
Making
Core
Apply standards & industry good practice
RM integrated with Lifelines, disasters recovery,
Continuity plans,.
Strategies for critical assets to include mitigation – CORE
Integrate with maintenance and replacement strategies
Lifecycle and Asset Management Practices
Service capacity gap analysis
Evaluation and ranking based on criteria of options for
significant capital invest decisions for
Maintenance Outcomes, Strategies, Standards and Plan
Advanced
Financial Forecasts
Core
Advanced
Identify options for asset maintenance to achieve optimal
costs over life of asset
- Apply agreed evaluation tools to prioritise work
programmes
- Predictive modelling to support long-term financial
forecasts for maintenance, renewals & new capital
Significant negative effects
10 year Financial plan – Maintenance, Renewals, New
Capital (LOS and demand).
Validate the Depreciation/Decline in Service Potential
Translate operational, planned maint, renewal & new
work into financial terms over period of strategic plan
Provide consistent financial forecasts & Substantiate
Sensitivity of forecasts
Annex V Setting the Level of Roading Asset Management
Version 3.0
Notes
Selecting the Appropriate AM Level
Assessment Criteria (as outlined in IIMM)
Compliance Status Analysis
Relevance
Planning Assumptions
and Confidence Levels
Core
Advanced
Outline Improvement
Programmes
Core
Advanced
Planning by Qualified
Persons
Core & Advanced
Commitment
Core
Advanced
Current
Performance
Compliance
Gaps
List all assumptions and possible effects
Confidence level on asset condition, performance
Accuracy of asset inventory
Confidence level demand/growth forecasts
Confidence level on financial forecasts
List all assumptions including organisations strategic
plan that support AM – linkages with other planning doc
Confidence levels (IIMM 4.3.7)
- Inventory Data
Critical Assets (Grade 1)
Non Critical Assets (Grade 2)
- Condition Data
Critical Assets (Grades 1 or 2)
Non Critical Assets (Grades 1, 2 or 3)
- Performance Data
Critical Assets (Grades 1 or 2)
Non Critical Assets (Grades 1, 2 or 3)
Identify improvements to AM processes & techniques
Identify weak areas & how they will be addressed
Timeframes for improvements
Identify resources required (human & financial)
Improvement programmes are monitored against KPI’s
Previous improvements identified and formally reported
against KPI’s
AM Planning should be undertaken by a suitably
qualified person
Process should be Peer reviewed
Plan adopted by Council including improvement
programme
Plan key tool to support LTCCP
AM Plan regularly updated and should reflect progress
on improvement plan
AM Plan requirements are being implemented and
discrepancies formally reported
AM Plans evolving as AM systems provide better
information
AM Plans updated every 3 years along with
organisations strategic planning cycles
Council has defined the Appropriate AM Practice it is
adopting
» » End of Roading Activity Management Plan
Annex V Setting the Level of Roading Asset Management
Version 3.0
Notes