Rationale for delivery of activity

Council’s general aim is for the unit to provide a Civil Engineering Service that is efficient, technically competent and achieves effective results. This unit is a separate group within Council’s Engineering Division and provides professional and technical consultancy services for carrying out works and utility service operations planned by Council (over 80% of programme currently).

The unit is responsible for investigation, design, contracting and supervision of most of the works and service operations.

Pursuant to Section 31 of the Transit New Zealand Amendment Act 1995 (where Land Transport NZ funding is involved), Council is required to disclose separately a financial statement for the operation of the Professional Service Business Unit. This statement is reported below.

Council employs an in-house business unit to undertake roading investigation and design work in line with the Transit NZ Amendment Act 1995. This is considered to be economically more efficient than contracting the service out.

Community Outcomes

            This activity does not contribute directly to community outcomes as currently identified.

Council contribution to Community Outcomes

Nil.

What is the extent of Council’s responsibility?

            To comply with Transfund under Section 28 of the Transit New Zealand Amendment Act 1995, Council must comply with the special provisions relating to in-house professional services. These conditions include ‘due consideration’ of cost effectiveness, accountability, contestability of service and availability of resources.

Target Levels of Service

            To provide effective, efficient and economically justifiable engineering services for the Council.

How do we measure progress?

            The total consultancy cost for all completed roading projects amounts to not more than 10% of the total physical work costs of all of those projects.

            That the financial returns be managed to ensure that the accumulated shortfall does not exceed $30,000.

Engineering Business Unit Assets

Computer aided design software and specialised computers

Survey equipment

Risks

If the unit was disbanded, the cost to Council of providing this service though Consultants is likely to be higher, as will the physical contract costs.