2011-2012 Annual Report - Full Version - PDF - Palmerston North ...

Council Controlled OrganisationsThe Council does some of its work through Council Controlled Organisations (CCOs).A CCO is any organisation in which the Council owns or controls at least 50 percent of the votingrights or has the right to appoint at least 50 percent of the directors or trustees. CCOs are mostlyset up to independently manage Council facilities, or deliver specific services and developmentson behalf of local residents.The Council has four reporting CCOs:• Caccia Birch Trust Board• Globe Theatre Trust Board• Regent Theatre Trust Board• Te Manawa Museums Trust Board.A Council Controlled Trading Organisation (CCTO)is a CCO that is set up to make a profit for theCouncil and hence for the ratepayers.The Council has one CCTO:• Palmerston North Airport Limited.CCOs and CCTOs operate at arms length to theCouncil. They are run by their Boards, not by theCouncil. Each year the Council and the Boardagree on what services that Board will provide.This agreement is called the Statement of Intent.The Council then provides funding so that theBoard can implement the Statement of Intent.The Council works through CCOs and CCTOsbecause they bring business and communityexpertise that the Council may not be able toeasily access otherwise.They can also attract funding from sources otherthan ratepayers.All the CCOs (other than the Airport) particularlycontribute to the Council’s goal of makingPalmerston North a socially sustainable city wherepeople want to live because of its safe and easylifestyle and its many social, cultural and leisureopportunities. They do this by providing a rangeof leisure opportunities for both performers andaudiences. They also do this by making the Citymore attractive by preserving and promoting itsheritage.By attracting visitors to Palmerston North theyalso contribute to economic development in theCity. Te Manawa, especially, also adds to the City’sscience, education and research base.Palmerston North Airport Limited contributesto the Council’s goal of being an economicallysustainable city which attracts, fosters and retainsbusinesses and jobs to create a prosperouscommunity.The Council can exempt small CCOs from theplanning and reporting requirements of the LocalGovernment Act. These are called exemptedorganisations and the Council has three of them:FreightGate Ltd (associated with the airport) thePalmerston North Performing Arts Trust Fund, andthe Manawatu-Wanganui Regional Disaster ReliefFund Trust.Council Controlled Organisations OverviewPalmerston North City Council Annual Report 2011/12189