DRAFT LTP book.indb - Hurunui District Council

www.hurunui.govt.nzServiceRelevant CommunityOutcomesRelevant Issues & ConstraintsWho benefi ts, andover what periodFuture Funding & SustainabilityCommunityServices andFacilities –LibrariesThe Council’s funding ofCemeteries contributes tothe Hurunui district being:A desirable and safe placeto live:• We have attractive welldesigned townships• Communities haveaccess to adequatehealth and emergencyservices and systems andresources are availableto meet civil defenceemergencies• Risks to public healthare identifi ed andappropriately managedA place where ourtraditional rural values andheritage make Hurunuiunique:• People have a rangeof opportunities toparticipate in leisure andculture activities• Our historic and culturalheritage is protected forfuture generationsLibraries receive a signifi cantamount of funding; hence there isjustifi cation in terms of transparencyand account- ability for fundingthis service distinctly from otherservices. Funding this serviceseparately adds no extra cost.It is Council policy to providea public library network for thedistrict and the high number ofvolunteers and the high membershiprate demonstrate a strong level ofcommunity support.The Local Government Act 2002stipulates free membership oflibraries - the aim being to providean accessible library servicethat supports an educated andculturally enriched community. Thelibrary provides resources for thecommunity regardless of income,isolation, ability and technicalexpertise.Funding discussions centre aroundthe ‘who pays’ argument and theimpact that charges will have onthe community. Library collectionstoday are made up of many formatsincluding books, video, DVD, CD,magazines, newspapers and a varietyof online databases including theinternet. The library retrieves 3% ofits operational costs. Charges applyto overdue items and to services thatare considered value added. Rentalsare applied to most audiovisual loans– copyright legislation stipulates thatlibraries are not to make a profi t onthese items – and to some internetusage.Having different charges for differentgroups of people (low incomeearners, children, superannuatants,etc) is more costly to administerthan the cost of free access tolibrary services.The target group (adults with lowincome and children) could notafford to pay user charges for books.Bringing in differentiated chargeswould be an enormous administrativeload that would cost more than freeaccess. The closest to a user chargewould be a Uniform Annual GeneralCharge.The predominant benefi tfrom libraries is to theDistrict as a wholein encouraging thedevelopment of an informedand educated Community.Additional benefi ts fromenhanced library servicesmay be derived fromresidents of the local wardor community rating area inwhich the library is located.Operational Costs:• Library user charges (overdue fi nes,book reserves etc).• The libraries in Amberley andHanmer Springs are locatedon reserves, therefore, the netoperational costs are funded throughthe surplus from the Hanmer SpringsThermal Reserve.• The libraries in Culverden, Hawardenand Cheviot are not located onreserves and as such, the fundingof the operational costs for theseis made from an allocation fromthe Council’s treasury surplus.Therefore, there is no rating input tooperate the libraries.Capital Costs:• Signifi cant Capital Expenditure onland and building will be funded fromCouncil reserves or loans pursuantthe Council’s Internal FinancingPolicy, and if any of this CapitalExpenditure caters for future growth,then that portion of the expenditurethat relates to growth may be fundedfrom future units of demand viaDevelopment Contributions.• The construction of the HurunuiMemorial Library has been fundedfrom two loans pursuant to theCouncil’s Internal Financing Policy.• The fi rst loan represented themajority of the cost. The repaymentsof principal and interest for themajority of the loan are funded byway of development contributions.• The second loan was the marginalcost of an enhanced building whichwas assigned to the Amberley Ward.The marginal cost was assessed at$260,000. Since 2004, the AmberleyWard Ratepayers have beencontributing $16.00 per rating unit,which has been used to fund theinterest and principal repayments.This loan is expected to be repaidin 2016.Sustainability:• There will be a positive effect onthe current and future social andcultural wellbeing of library users.244