Christchurch City Council




Notice of Meeting:

An ordinary meeting of the Christchurch City Council will be held on:


Date:                                    Tuesday 6 August 2019

Time:                                   9.30am
(The purpose of this meeting is to receive deputations on the Global Settlement Report. The report will then be considered by the Council on 8 August 2019)

Venue:                                 Council Chambers, Civic Offices,
53 Hereford Street, Christchurch





Deputy Chairperson


Mayor Lianne Dalziel

Deputy Mayor Andrew Turner

Councillor Vicki Buck

Councillor Jimmy Chen

Councillor Phil Clearwater

Councillor Pauline Cotter

Councillor Mike Davidson

Councillor David East

Councillor Anne Galloway

Councillor James Gough

Councillor Yani Johanson

Councillor Aaron Keown

Councillor Glenn Livingstone

Councillor Raf Manji

Councillor Tim Scandrett

Councillor Deon Swiggs

Councillor Sara Templeton



29 July 2019




Principal Advisor

Mary Richardson

Acting Chief Executive

Tel: 941 8999



Samantha Kelly

Committee and Hearings Advisor

941 6227

Note:  The reports contained within this agenda are for consideration and should not be construed as Council policy unless and until adopted.  If you require further information relating to any reports, please contact the person named on the report.
Watch Council meetings live on the web:



06 August 2019




06 August 2019




1.        Apologies......................................................................................................... 5

2.        Declarations of Interest..................................................................................... 5

3.        Public Participation........................................................................................... 5

3.1       Public Forum....................................................................................................................... 5

3.2       Deputations by Appointment............................................................................................... 5

4.        Presentation of Petitions................................................................................... 5

Staff Reports

5.        Global Settlement Agreement............................................................................. 7   





06 August 2019



1.   Apologies

At the close of the agenda no apologies had been received.

2.   Declarations of Interest

Members are reminded of the need to be vigilant and to stand aside from decision making when a conflict arises between their role as an elected representative and any private or other external interest they might have.

3.   Public Participation

3.1   Public Forum

There will be no public forum at this meeting.

3.2   Deputations by Appointment

Deputations may be heard on a matter or matters covered by a report on this agenda and approved by the Chairperson. There were no deputations by appointment at the time the agenda was prepared.

If you would like to make a deputation at this meeting please contact Liz Ryley on (03) 941 8153 or at


4.   Presentation of Petitions

There were no Presentation of Petitions at the time the agenda was prepared.



06 August 2019



5.     Global Settlement Agreement




Brendan Anstiss – General Manager Strategy and Transformation



1.   Purpose of Report

1.1       The purpose of this report is for the Council to approve the Global Settlement Agreement. 

2.   Significance

2.1       The decisions in this report are assessed as of medium significance in relation to the Christchurch City Council’s Significance and Engagement Policy.

2.2       The level of significance was determined based on an assessment of the current decisions being sought from Council, the public interest in these decisions and the steps being taken to enable the Council to consider community views and preferences.  

2.3       While the negotiations with the Crown have, by necessity, been held in confidence, the Council has always committed that the final consideration and decision related to the Global Settlement Agreement will be made in public.  

2.4       To this end, the Council and public were formally advised via a paper to the 27 June 2019 Council meeting that the global settlement would be considered by Council at the meeting on 8 August 2019.   Briefings on the background and content of the Global Settlement Agreement have been offered in recent weeks to any interested parties, groups or individuals and a number of these have been provided.  In addition, efforts have been made to release this report as early as possible to the public. 

2.5       The public will have the opportunity to make deputations on this paper at a meeting on 6 August 2019. The meeting will then be adjourned to 8 August 2019 when the Council will make its decision. 

3.   Executive Summary

3.1       This report proposes that the Council agrees a Global Settlement with the Crown.  The working draft of the Global Settlement Agreement is included as Attachment A.  This remains a working draft as a small number of final issues are resolved[1] [2], and will become final post agreement by both Council and the Crown.

3.2       The Global Settlement Agreement is designed to settle any ambiguous aspects of the original 2013 Cost Sharing Agreement.  In combination with the $300m Christchurch Regeneration Acceleration Fund (CRAF), it is also designed to encourage regeneration momentum, reduce uncertainty, and normalise the relationship between the Crown and Council. 

3.3       The Agreement includes the transfer from the Crown to the Council of central city public realm assets (including the Margaret Mahy Playground and Avon River Precinct); roading assets; the Bus Interchange; the Metro Sports Facility; former residential red zoned land in the Ōtākaro Avon River Corridor, Port Hills, Brooklands and Southshore; and land for the Performing Arts Precinct.  Agreement is also proposed on governance arrangements for transitional use of the former residential red zone; inclusion of Ngāi Tahu preferences (especially related to ongoing governance); transition of the functions of Regenerate Christchurch; a right of first refusal for the Council on Crown owned central city land; and establishment of a senior officials group responsible for ongoing implementation monitoring of the Global Settlement Agreement.

3.4       Transfer of Te Pae, the Christchurch Convention and Exhibition Centre, is not proposed as part of the Global Settlement Agreement.  Ownership will remain with the Crown.   

3.5       The Canterbury Multi Use Arena and the development agreement for the Metro Sports Facility are dealt with under separate processes given their complexities.

3.6       The Crown and Council will each complete and variously make payments as previously agreed under the 2013 Cost Share Agreement. 

3.7       All aspects of the Global Settlement Agreement are within Council budgets as previously approved through the 2018-2028 Long Term Plan and 2019 Annual Plan.  No additional or unbudgeted payments are required.

3.8       If approved by Council the Global Settlement Agreement will need to be agreed by the Crown, and then signed by delegated authority before coming into effect.


4.   Staff Recommendations

That the Council:

1.         Notes that, consistent with previous Council decisions, senior Council staff have led a process with Crown officials to negotiate and recommend a global settlement with the Crown.

2.         Notes that this process has included progress on determining and allocating the $300m Christchurch Regeneration Acceleration Fund; as well as a preliminary and detailed due diligence exercise; and direct negotiation with the Crown in arriving at a proposed Global Settlement Agreement.

3.         Agrees to the Global Settlement Agreement detailed as Attachment A and delegates approval to the Mayor to make any changes to the Agreement as may be necessary.

4.         Delegates authority to:

a.         the Mayor to sign the final agreement on behalf of Council once it has also been agreed by the Crown; and

b.         the Chief Executive to take the necessary steps to implement the  terms and conditions of the Global Settlement Agreement, once signed.

5.         Notes that if the Crown wishes to make any material changes to the Agreement that this would require re-consideration and approval of the Council.

6.         Notes that the three detailed investment cases that comprise the $300m Christchurch Regeneration Acceleration Fund (Canterbury Multiuse Arena, $220m; Avon Otakaro River Corridor regeneration funding, $40m; and roading and transport infrastructure funding, $40m) will now be completed and presented for endorsement to Council over coming months before final submission and approval by the Crown.



5.   Context/Background

5.1       In February 2018 Council mandated a two-step process with regard to firstly, agreeing the priorities for the $300m Christchurch Regeneration Acceleration Fund (CRAF: announced in Budget 2018); and secondly, completing the Global Settlement negotiation.  Progress on the priorities and allocation of the $300m CRAF is well advanced with final investment cases now pending for the Canterbury Multi-use Arena, Ōtākaro Avon River Corridor, and transport infrastructure.  Once these investment cases are agreed by the Council and Crown, the $300m funding will start to be able to be drawn down. 

5.2       At this juncture (and still subject to consideration and approval of the final investment cases), the overall allocations within the $300m remain as, Canterbury Multi-use Arena - $220m; Ōtākaro Avon River Corridor seed funding - $40m; and transport infrastructure funding - $40m. 

5.3       The second aspect relates to a Global Settlement Agreement with the Crown.  This is intended to finalise outstanding issues between the Crown and Council (especially related to the 2013 Cost Sharing Agreement) and ensure that the Council and Crown relationship is normalised and focused on joint and emerging priorities.  It is a significant milestone in the return of full decision making back to appropriate local institutions (from Central Government).   The Global Settlement Agreement is also designed to provided certainty, and in conjunction with the $300m CRAF funding, accelerate momentum for delivery of tangible projects and benefits.     

5.4       Council agreed on 13 December 2018 to commence negotiations with the Crown for the purposes of arriving at a global settlement agreement (CNCL/2018/00326).  On 4 April 2019 Council received an update report and endorsed the agreement-in-principle that staff from the Council and the Crown were working to conclude the Global Settlement Agreement (FPCO/2019/00020).

5.5       Negotiations between senior Council and Crown officials have now materially concluded and a Global Settlement Agreement has been drafted and is recommended for approval by both the Council and Crown.   This document is Attachment A.  It remains a working draft while final issues are resolved and until agreement is provided by both the Council and the Crown.

5.6       Officials from Development Christchurch Limited (DCL), supported by professional services firms, have led the due diligence exercise over the key assets considered for the Global Settlement Agreement – in particular the assets of the Ōtākaro Avon River Corridor (flatland RRZ); Te Pae (Christchurch Convention and Exhibition Centre); surplus central city land; and the Bus Interchange. 

5.7       The material for the Global Settlement has been reviewed by relevant Council staff, including significant input from expert Legal Services staff.  Progress has also been supported by the Global Settlement Steering Group (comprised of Karleen Edwards/Mary Richardson, Paul Munro, Rob Hall, Joanna Norris, Carol Bellette, Jonathan King and Brendan Anstiss). 

5.8       It is noted that any agreement will need to be approved by both the Council and the Crown.  If this Global Settlement agreement (Attachment A) is approved by Council then it will subsequently go to the Crown for Cabinet approval. 

6.   Global Settlement Agreement

6.1       The Global Settlement Agreement is designed to settle any ambiguous aspects of the original 2013 Cost Sharing Agreement.  In combination with the $300m CRAF, it is also designed to encourage regeneration momentum, reduce uncertainty, and normalise the relationship between the Crown and Council. 

6.2       The Global Settlement Agreement affirms a number of the decisions made in the 2013 Cost Sharing Agreement (or otherwise given effect to through various Council Annual Plans or Long Term Plans since then).  Proposed affirming decisions are;

6.2.1   Ownership of all public realm (including South Frame, Avon River Precinct, and Margaret Mahy Family Playground) will be with Council in exchange for the budgeted payment of $13m. 

6.2.2   Ownership and delivery responsibility for the Performing Arts Precinct will be with Council (Council has budgeted $30m for delivery of stage 1, being the Court Theatre).  The Crown will divest all the required land to Council at no cost.  The Crown will also provide funding for public realm works (approximately $1.5m) and land decontamination (approximately $1.5m) that may be required at the Precinct (out of a total of $13m for decontamination).  The Council will procure a car park on the Performing Arts Precinct land.  Council has thus far led a commercial expression of interest process and will shortly be in the market seeking requests for proposals.  The car park will be integrated with, and support the objectives of the Performing Arts Precinct.  Council will coordinate with the Court Theatre on the specifications for the car park.

6.2.3   Ownership of the Bus Interchange will be with Council in exchange for the budgeted payment of $22.933m.  The Crown will be responsible for resolution of any necessary remedial works. 

6.2.4   The Crown will provide its share of Cathedral Square funding ($4.6m) to the Council, which will match this, and commit the full $9.2m to ongoing regeneration of Cathedral Square.  As part of its contribution, the Council has already committed to work that is now underway in the South Eastern corner of Cathedral Square.

6.3       The Global Settlement also seeks to provide certainty and clarity on a number of additional issues.  These include;

6.3.1   Inclusion of Ngāi Tahu and Ngāi Tūāhuriri statement of preference and the recognition for the role and interests of Te Rūnanga o Ngāi Tahu (as Treaty partner), Te Ngāi Tūāhuriri, and Te Hapu o Ngāti Wheke in residential red zone land, and inclusion in future governance. 

6.3.2   Ownership of the Ōtākaro Avon River Corridor (OARC; former residential red zoned (RRZ) land), Port Hills RRZ, Brooklands and Southshore RRZ will transfer to Council at nil cost.  This land has a present capital value (for rating purposes) of approximately $90m, but obviously a far higher purchase price was paid by the Crown.   The land titles for the OARC (including existing Council owned land in the OARC) will first be reconfigured by LINZ to the requirements outlined in either any approved Regeneration Plan or as specified by Council.  The legal land reconfiguration is expected to take a number of years for LINZ to complete and the land will therefore transfer in tranches as this work is completed. The Crown via LINZ will also support some land / title issues in other RRZ areas, especially related to road stopping, and will make a payment of $1m to the Council for it to undertake any necessary title reconfiguration for RRZ land outside the OARC.

6.3.3   The Crown will be responsible for paying rates on RRZ land until title transfer is completed.

6.3.4   Maintenance obligations will transfer to Council for all RRZ land (except Port Hills RRZ) on 1 July 2020. 

6.3.5   The Port Hills RRZ land will transfer to Council on 31 May 2021 (prior to expiry of the Greater Christchurch Regeneration Act 2016 (GCRA)) and the Council will make its budgeted payments totalling $40.53m for Port Hills properties red zoned due to rockfall / rock roll on 30 September 2019.    

6.3.6   Co-governance arrangements will be established to best support transitional use decisions for all former RRZ land.  Co-governance is expected to include Council, Community Board, Ngāi Tahu / Ngāi Tūāhuriri, stakeholder groups, and community representation.   Council made an allowance of $350k for each of the next two financial years to support this co-governance arrangement and provide seed funding to support practical projects. A Council paper detailing these arrangements will be considered by the Social, Community and Housing Committee in August 2019.  

6.3.7   Council will have 20 working days first right of refusal over any surplus central city land owned by Otakaro.  Council and Otakaro would need to agree any sale and purchase conditions (including price). 

6.3.8   Regenerate Christchurch will be requested to prepare and implement a transition plan.  This is consistent with the Letter of Expectations recently issued by the shareholders (Council and Minister for Greater Christchurch Regeneration). 

7.   Te Pae

7.1       There is no change to the Crown’s ownership (via Otakaro) and operation of Te Pae (the Christchurch Convention and Exhibition Centre).  All construction, ownership and operational costs will remain with the Crown.

7.2       The Crown and Council have agreed to continue discussions related to Te Pae as necessary.

7.3       Both the Crown and Council strongly support a successful and vibrant convention centre for Christchurch City and are confident that Te Pae – regardless of ownership - will deliver this.

8.   Canterbury Multiuse Arena

8.1       Ownership, delivery and operation of the Canterbury Multiuse Arena will be determined via the investment case that is currently being progressed with urgency. To avoid any confusion or duplication, the Global Settlement Agreement simply refers to the forthcoming investment case, upon which decisions will be made by the Crown and Council.

9.   Decontamination

9.1       The agreement proposes a cash fund of $13m provided by the Crown to the Council for the purpose of land decontamination on the Performing Arts Precinct site and the Canterbury Multiuse Arena site.  As noted earlier, $1.5m of this fund is also proposed for public realm works on the Performing Arts Precinct site.  There is flexibility in the allocation of the fund and this will be solely at Council’s discretion (although subject to approval of the Canterbury Multiuse Arena investment case).  Further technical work, including structural designs and foundation designs, and further land assessment, is required on both sites before any decontamination necessity, scope, and methodology to address if required, are confirmed.   

10. Metro Sports Facility (MSF)

10.1    The MSF (and associated land, including car parking) will transfer to the Council. The Council will contribute $146.996m and Ōtākaro will continue to deliver the MSF and retain delivery risk as per the 2011 Cost Sharing Agreement.  The Council will own and operate the facility once completed.

11. Surplus Central City Land

11.1    Council will have first right of refusal for a period of 20 working days (from signing the Global Settlement Agreement) on any surplus land in the central city that is owned by Otakaro (and not under an existing sale process).  Terms and conditions will need to be agreed with Otakaro. 

12. Horizontal Infrastructure

12.1    The global settlement negotiation did investigate the possibility of further contribution by the Crown to the horizontal infrastructure costs.  The Crown’s position was, and is, that it has meet all the provisions of the 2013 Cost Share Agreement and the emergency repair provisions under the Guide to the National CDEM Plan with respect to network reinstatement for all eligible horizontal infrastructure.  This is effectively the same conclusion reached by the independent assessor in her 2015 review of the horizontal infrastructure costs (under the 2013 Cost Sharing Agreement).  The Crown does not wish to relitigate the arrangements previously settled in the 2013 Cost Sharing Agreement and thus, no further horizontal infrastructure payment by the Crown will be made. 

12.2    The Global Settlement Agreement does include the provision by the Crown at nil cost approximately 600 hectares of land in the Ōtākaro Avon River Corridor.  This land was purchased by the Crown over a period of years post-earthquakes as part of the policy response to the residential red zoning.  This land is expected to be subject to a Regeneration Plan (under the GCRA [2016]).  Approximately 2,600 hectares of Christchurch water catchment drains through this land into the Ōtākaro Avon River Corridor, providing the Council a significant opportunity to improve stormwater treatment and the river water quality.  At the same time, approximately 4,000 homes are presently protected by the Ōtākaro Avon river stopbanks and improving and future-proofing these arrangements utilising a greater expanse of Ōtākaro Avon river land is envisaged under the draft regeneration plan and Council’s 30 year Infrastructure Strategy. 

12.3    Utilising the Ōtākaro Avon River Corridor land for both enhanced stormwater management (expected to be approximately 80 hectares) and flood protection will deliver enduring and practical benefits to many Christchurch residents; will be consistent with Council requirements under the 2019 global stormwater consent; will offer significant ecological and environment benefits; and reflects the importance and natural values of this area to the manawhenua, Ngāi Tūāhuriri. 

13. Resolving Conditions to Transfer and Additional Terms

13.1    Many of the assets to be transferred under the Global Settlement Agreement have conditions or “tags” whereby the Crown (or Ōtākaro) must complete conditions before the asset is transferred to Council and payment made.

13.2    The purpose of these conditions is to ensure that the asset is in the agreed state at transfer and that all expected and reasonable obligations on the Crown have been met before the Council accepts the asset.

13.3    There are some examples where the conditions of transfer are significant.

13.3.1 Bus Interchange: Ōtākaro must complete at its cost the identified remedial work to the HVAC system, the roof coating, and if necessary any door opening technology issues. The Council will hold a retention to the estimated value of these works (i.e. it will not make the full and final payment until the works are completed by Ōtākaro).

13.3.2 Residential Red Zone Land: The Crown (via LINZ) must reconfigure all land titles in the Ōtākaro Avon River Corridor (including existing Council owned land) in accordance with Council requirements.  Council provided to the Crown its requirements in May 2019.  LINZ are expecting to utilise the GCRA for this purpose and it is agreed that the focus will be on the Ōtākaro Avon River Corridor and those aspects of land configuration that can be most expeditiously completed under the GCRA (i.e. alternative legislative options are not readily available).

13.3.3 If the Crown is not able to complete the land configuration work on the Ōtākaro Avon River Corridor by the expiry of the GCRA in June 2021, then the Council will continue the work and be reimbursed by LINZ up until 30 June 2025. 

13.3.4 The Council will lead any title reconfiguration work outside the Ōtākaro Avon River Corridor (as it may consider necessary) and the Crown will provide $1m of funding to Council to enable this.  

13.3.5 Performing Arts Precinct: The Crown will divest the land to the Council at the Performing Arts Precinct (at no cost).  The Crown will also provide funding for public realm works and land decontamination that may be required at the Precinct.

14. Financial Implications

14.1    There are no unbudgeted impacts on the Council from the Global Settlement Agreement, although timing of payments will put pressure on interest revenue for 19/20 financial year, this will need to be monitored closely. 

14.1.1 All capital payments have been budgeted (or are already on the balance sheet) and agreed through previous Annual and Long Term Plans. 

14.1.2 Operating budgets for the Bus Interchange and central city public realm (including Avon Precinct, Margaret Mahy Playground) are already on budget for the 19/20 financial year, and maintenance budgets for the residential red zoned land ($2.7m in total [excluding rates], commencing 1 July 2020) have been resolved through previous Annual Plans.  These budgets will allow the relevant business units to assume operational responsibility for these assets once the necessary actions by the Crown to enable transfer are completed.

14.2    The Council has carefully considered and received independent advice on the most advantageous placement of the various assets being transferred (e.g. Council Controlled Organisation, Council owned, mixed ownership).  For the most part, all transferring assets will be held by the Council.  The Ōtākaro Avon River Corridor residential red zone will be held by Council, although in due course Council can give consideration to alternative ownership structures – or long term lease arrangements - including to community and / or commercial groups, and Ngāi Tūāhuriri. The same applies for other former residential red zoned land.    

14.3    If DCL (on behalf of the Council) exercises the right of first refusal for surplus central city land (and agreement is reached on sale with Otakaro), then this will be paid for and owned by DCL.  At this juncture, the Council does not intend to purchase any of this land directly. 

15. Legal Implications

15.1    The Legal Services Unit has provided legal advice and support as required to the senior Council staff involved in the negotiations with Crown officials, and has been closely involved in the drafting of the proposed Global Settlement Agreement document.  The legal advisers have given advice based on the information and knowledge available and provided to the legal services unit at the time.

15.2    Because of the scale of the subject matter that the proposed Global Settlement Agreement deals with, it has been necessary to deal with each asset proposed to be transferred to the Council in some detail. Accordingly, the Agreement has been divided into two specific parts, the first generally dealing with overarching or generic matters, and the second dealing with each of the individual assets involved by schedules.

15.3    In considering the proposed Global Settlement Agreement, it is necessary to recognise the strategic goal of the Council to achieve an agreement with the Crown of a ‘global’ nature across nearly the full range of issues and assets at hand, and the strategic opportunities for the Council that such an agreement presents. However, as the Council’s legal advisers, the Legal Services Unit has also been mindful of the need to manage and limit, as far as is practicable in an environment of a negotiation process between two sophisticated and commercially aware parties, the financial risks that will pass to the Council as assets are transferred to it.

15.4    It is for these reasons that the proposed Global Settlement Agreement includes the following provisions:

15.4.1 Bus Interchange – the completion by the Crown of certain remedial works before transfer, and the novation of required contracts and warranties to the Council.

15.4.2 Residential Red Zoned Land – the requirement on the Crown (LINZ) to undertake all required land titles reconfiguration in the OARC before transfer (using GCRA powers prior to expiry of those powers), with financial support from the Crown to the Council for any land titles reconfiguration work in the OARC not completed by the expiry of that Act and for land titles reconfiguration outside the Corridor.  The Crown has also provided to the Council some information concerning the risks arising from property ownership of the RRZ, especially in relation to the Port Hills RRZ.  Also, transfer of the Port Hills RRZ to the Council is delayed until 31 May 2021, with the ability for the Council to reject any land then the subject of any nuisance claim by a third party.

15.4.3 Performing Arts Precinct – the agreement of the Crown to divest the Performing Arts Precinct land to the Council, at no cost.  The Crown is also required to contribute financially to the cost of the land decontamination work and public realm development required.

15.5    However, notwithstanding inclusion of the above provisions, it is not always possible to contemplate or remove all financial risks that may arise in the future. This is especially so in the circumstances of a document which seeks to deliver particular strategic outcomes of a non-financial nature and is the result of a negotiation process between two sophisticated and commercially aware parties. The result is a balance between achieving the Council’s strategic objectives on one hand, and managing and limiting financial risk on the other. Where that balance finally sits between these two imperatives is a matter of political or commercial judgment for the Council to make.

Community Views and Preferences

15.6    The Council must, in the course of its decision-making process in relation to a matter, give consideration to the views and preferences of persons likely to be affected by, or to have an interest in, the matter (s.78 Local Government Act 2002).  How to achieve compliance with this requirement is up to the Council to determine, based largely on the significance of the matter (s.79 of the Act).

15.7    The Council is also entitled to take into account the extent to which the current views and preferences of the community are already known (s.82(4)(b)).  This is relevant to the decisions the Council is being called upon to make in response to the staff report.

15.8    Provision for the Council’s contribution to the cost of anchor projects in the city was initially included in the 3 Year Plan 2013-2016, then in the Long Term Plan 2015-2025 and, most recently, the 2018-28 Long Term Plan. The Council consulted with its community before adopting these plans, and would be entitled to conclude it is aware of the community’s views on this matter.  It is apparent there is support for the Council applying ratepayer funds to the projects included in the 2013 Cost Sharing Agreement between the Council and the Crown.

15.9    As noted elsewhere in this report, the Council and the Crown have now negotiated settlement of matters not fully provided for in the Cost Sharing Agreement.  This focuses on the cost to the Council of operating the assets the Crown agreed to transfer to the Council in 2013, and the terms on which such transfers are to be made. 

15.10  Council staff recognise the Council has an obligation to conduct its business in an open, transparent, and democratically accountable manner (s.14(1)(a) of the Act) and has consistently advised the Crown that the Council will be considering the proposed Global Settlement Agreement in a meeting which will be open to the public.  The Council has also been clear in its wish to allow the community the opportunity to ‘have its say’ in respect of the Agreement before it is adopted.

15.11  A difficulty with this is the pressure on the Council to conclude the matter without undue delay. However, as noted in paragraph 2.5, the public will have the opportunity to present their views through deputations to be heard on 6 August 2019, before the Council is scheduled to make its decision on 8 August 2019.

15.12  The advice from the Legal Services Unit (confirmed by one of the Council’s external legal providers) is that by taking this approach the Council has complied with its obligations under the Local Government Act 2002.  There are a number of reasons for this.

15.12.1 The capital and operational cost for the Council’s contribution to the anchor projects has already been consulted on and provided for in the Council’s Long Term Plan.

15.12.2 The circumstances in which the decision is to be made do not allow the Council sufficient scope and opportunity to consider a wide range of options, nor to revisit community views and preferences (s.79(2)(c) of the Act).  The Council is doing as much as it can to allow people to present their views, through the deputation process.

15.12.3 The Council’s Significance and Engagement Policy specifically provides that the Council may elect not to undertake consultation if a decision is required as a matter of urgency.  The Crown has also expressed the need to conclude any outstanding matters with some urgency.

16. Next Steps and Implementation Monitoring

16.1    Once agreed by Council, the Global Settlement Agreement will be presented by the Minister to Cabinet for the Crown’s agreement.  If Cabinet agree, then it is proposed that the Mayor and joint Minister’s sign the Agreement. 

16.2    Once the Global Settlement is agreed, responsibility for ongoing implementation will be overseen by a senior officials group from the Council, DPMC, DCL, Ōtākaro and LINZ.  The purpose of this group is to ensure progress with the decisions and prevention of any ambiguity.

16.3    For the sake of clarity, it is noted that each schedule of the Global Settlement Agreement has various and different requirements to be completed before an asset transfers and payment is made.  It will be the responsibility of the implementation monitoring group to ensure consistency with the schedules, and escalation to governance (both Crown and Council) if required. 

16.4    At the same time, Council will continue to:

16.4.1 Finalise the investment cases for the $300m Christchurch Regeneration Acceleration Fund proposals (Multi-Use Arena, Ōtākaro Avon River Corridor seed funding, and roading and transport infrastructure).  The investment cases are expected to come back to Council for endorsement and then referral to Cabinet for agreement in the near future.

16.4.2 Conclude the development agreement between the Council and Ōtākaro in relation to the Metro Sports Facility.

16.5    Finalising the Global Settlement Agreement will be a significant achievement for the Council and will bring to an end ambiguities in the 2013 Cost Sharing Agreement.  It will reflect a normalised relationship between the Crown and Council – one that reflects the importance and significance of Christchurch as the second largest city in New Zealand and capital of the South Island.  The maturity of this proposal reflects that the city has the ambition and capability that its residents deserve and is fully empowered to make its own choices.   







Draft Global Settlement Agreement




Confirmation of Statutory Compliance

Compliance with Statutory Decision-making Requirements (ss 76 - 81 Local Government Act 2002).

(a) This report contains:

(i)  sufficient information about all reasonably practicable options identified and assessed in terms of their advantages and disadvantages; and

(ii) adequate consideration of the views and preferences of affected and interested persons bearing in mind any proposed or previous community engagement.

(b) The information reflects the level of significance of the matters covered by the report, as determined in accordance with the Council's significance and engagement policy.




Brendan Anstiss - General Manager Strategy and Transformation

Adela Kardos - Head of Legal Services

Bruce Moher - Manager Planning & Reporting Team

Approved By

Brendan Anstiss - General Manager Strategy and Transformation

Carol Bellette - General Manager Finance and Commercial (CFO)



06 August 2019


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[1] Items marked by square brackets [ ], in the working draft of the Global Settlement Agreement are still actively being considered by the parties.  Any updates on these matters will be advised as soon as possible.

[2] Minor redactions in two sections (Performing Arts Precinct and Residential Red Zone schedule) exist due to the need to protect ongoing commercial negotiations by the Crown.  These redactions will be removed once the commercial transactions are completed by the Crown or no longer exist.