newzealand.govt.nz - connecting you to New Zealand central & local government services

Annual Report 2006/07

Alternative format

Download the Annual Report 2006/07 [PDF 880 KB, 126 pages]

Published in October 2007

help with PDF files

Find out more »

Annual Report 2006/07: Part 4 - Additional Information

Legislation administered by the Department

The Department administers the following legislation and regulations.

Building Act 2004

Building Regulations 1992
Building (Forms) Regulations 2004
Building (Specified Systems, Change the Use, and Earthquake-prone Buildings) Regulations 2005
Building (Fee for Determinations) Regulations 2005
Building Levy Order 2005
Building (Accreditation of Building Consent Authorities) Regulations 2006
Building (Consent Authority Accreditation Fees) Regulations 2007
Building (Designation of Building Work Licence Classes) Order 2007
Building (Design Work Declared to be Building Work) Order 2007

Chartered Professional Engineers of New Zealand Act 2002

Chartered Professional Engineers of New Zealand Rules 2002
Chartered Professional Engineers of New Zealand Rules (No 2) 2002
Chartered Professional Engineers of New Zealand (Appeals) Regulations 2002
Chartered Professional Engineers of New Zealand Levy Regulations 2004

Construction Contracts Act 2002

Construction Contracts Regulations 2003

Electricity Act 1992 (provisions relating to registration of electrical workers only)

Electricity Regulations 1997

Engineering Associates Act 1961

Engineering Associates Fees Regulations 2002

Fencing of Swimming Pools Act 1987

Registered Architects Act 2005

Registered Architects Rules 2006

Residential Tenancies Act 1986

Residential Tenancies (Fees) Regulations 1998
Residential Tenancies Regulations 1998
Residential Tenancies Rules 1998

Retirement Villages Act 2003

Retirement Villages Act Commencement Order 2006
Retirement Villages Act Commencement Order (No 2) 2006
Retirement Villages (General) Regulations 2006
Retirement Villages (Disputes Panel) Regulations 2006
Retirement Villages (Fees) Regulations 2006

Weathertight Homes Resolution Services Act 2006

Weathertight Homes Resolution Services Act 2006 Commencement Order 2007
Weathertight Homes Resolution Services (Fee) Regulations 2007
Weathertight Homes Resolution Services (Lower-value Ceiling) Regulations 2007.

A summary of each of the Acts administered by the Department follows.

Building Act 2004

The Building Act 2004, as amended in April 2005, aims to improve the control of, and encourage better practices in, building design and construction. It regulates constructing, altering, demolishing and maintaining new and existing buildings throughout New Zealand. It sets standards and provides procedures for people involved in building work to ensure buildings are built properly the first time.

Chartered Professional Engineers of New Zealand Act 2002

The Chartered Professional Engineers of New Zealand Act 2002 establishes a registration system for chartered professional engineers in New Zealand. It requires a professional body to carry out the functions relating to the registration system, the code of ethics, the complaints and disciplinary process, and establishes the Chartered Professional Engineers Council and Registration Authority to oversee aspects of those functions.

Construction Contracts Act 2002

The Construction Contracts Act 2002 reforms the law relating to construction contracts and in particular facilitates regular and timely payments between the parties to a construction contract, provides for the speedy resolution of disputes arising under a construction contract and provides remedies for the recovery of payments under a construction contract.

Electricity Act 1992

The Department is responsible for administering the provisions in the Electricity Act 1992 that establish a registration system for electrical workers. The Act provides for a complaints and disciplinary process and establishes the Electrical Workers Registration Board and Complaints Assessment Committee to oversee these functions.

Engineering Associates Act 1961

The Engineering Associates Act 1961 provides for the registration and control of certain persons associated with or employed in engineering work, and for the encouragement of better qualification in that work. The Act establishes the Engineering Associates Registration Board and Investigation Committee to oversee these functions.

Fencing of Swimming Pools Act 1987

The Fencing of Swimming Pools Act 1987 promotes the safety of young children by requiring the fencing of certain swimming pools.

Registered Architects Act 2005

The Registered Architects Act 2005 establishes a registration system for registered architects under which persons who wish to be registered architects must meet minimum standards. It provides for a code of ethics and a complaints and disciplinary process to apply to registered architects, and establishes a statutory body to carry out these functions.

Residential Tenancies Act 1986

The Residential Tenancies Act 1986 defines the rights and obligations of landlords and tenants of residential properties. It establishes the Tenancy Tribunal for the purpose of expeditiously determining disputes arising between landlords and tenants, and also establishes a fund in which bonds payable by tenants are held.

Retirement Villages Act 2003

The Retirement Villages Act 2003 aims to protect the interests of residents and intending residents of retirement villages. It also seeks to enable the development of retirement villages under a legal framework readily understandable by residents, intending residents and operators.

Weathertight Homes Resolution Services Act 2006

The Weathertight Homes Resolution Services Act 2006 provides owners of dwellinghouses that are leaky buildings with access to speedy, flexible and cost-effective procedures for assessment and resolution of claims relating to those buildings.

Sector governance

The Department administers a number of Acts and Regulations under which statutory entities are appointed.

The Department provides support to responsible Ministers by monitoring and reporting on the performance of statutory bodies and boards charged with providing building- and housing-related services and functions. The Department's role includes: providing advice on, and evaluating the delivery of the Government's social housing policies through Housing New Zealand Corporation; and advice on appointments and the performance of other building and housing entities such as occupational licensing boards.

The Department also provides support to statutory bodies and boards by providing some induction guidance, registrar functions and other administrative services. The boards/entities that are supported by the Department are listed below, together with the legislation under which the board/entity is established.

Crown Entity

Housing New Zealand Corporation (Housing Corporation Act 1974, Crown Entities Act 2004).

Tribunals and other Statutory Bodies

State Housing Appeal Authority (Housing Restructuring and Tenancy Matters (Appeals) Regulations 2000)
Tenancy Tribunal (Residential Tenancies Act 1986)
Weathertight Homes Resolution Service (Adjudicators and Mediators) (Weathertight Homes Resolution Services Act 2006).

Occupational Licensing Boards

Building Practitioners Board (Building Act 2004)
Electrical Workers Registration Board and the Complaints Assessment Committee (Electricity Act 1992)
Engineering Associates Registration Board and the Engineering Associates Investigation Committee (Engineering Associates Act 1961)
New Zealand Registered Architects Board (Registered Architects Act 2005)
Chartered Professional Engineers Council (Chartered Professional Engineers of New Zealand Act 2002).

Chief Executive Statutory Appointments

Building Advisory Panel (Building Act 2004).

The Department provides additional administrative and/or operational support to the following boards and entities.

State Housing Appeal Authority

The State Housing Appeal Authority was established under provisions of the Housing Restructuring and Tenancy Matters (Appeals) Regulations 2000. The State Housing Appeal Authority consists of a Principal Member, Deputy Principal Member, and members (the number of members is not specified in the Regulations).

The Principal Member and Deputy Principal Member are appointed by the Governor-General on the joint recommendation of the Minister of Housing and the Minister of Justice.

The purpose of the State Housing Appeal Authority is to sit as a judicial body to determine appeals from applicants relating to decisions made by Housing New Zealand Corporation (HNZC) on the:

assessment of income-related rents
applicant's eligibility for HNZC housing
applicant's assessed need for HNZC housing.

A panel is convened of either the Chair or Deputy Chair and two other members. In accordance with the Housing Restructuring and Tenancy Matters Act 1992, the State Housing Appeal Authority (in determining an appeal) has all the powers, duties, functions and discretions HNZC had in relation to the matter concerned and may confirm, modify or reverse the decision or determination; or refer all or any part of the matter back to HNZC for further consideration, together with any directions it thinks just relating to the reconsideration and a written statement of its reasons for doing so.

There are currently seven members on the Authority, including the Principal Member and the Deputy Principal Member.

On 30 July 2007, Kay McKelvie was appointed as the Principal Member, replacing Geoff Sharp, and Alister James was appointed as the Deputy Principal Member.

The members are:

Dean Hyde
Conrad Jackson
June Kearney
Jeannette MacKenzie
Geoff Tucker.

Felicity Hutcheson resigned during the year.

The Department employs the Registrar for the Authority. The Registrar receives the appeal applications and makes arrangements for hearings to be conducted by panel members.

Building Practitioners Board

The Building Practitioners Board comprises six to eight members who are appointed by the Governor-General on the recommendation of the Minister for Building and Construction under section 344 of the Building Act 2004.

The Minister may accept nominations for membership of the Board, but each member is appointed to undertake the functions and duties of a member, rather than to represent the interests of any person. One member of the Board must be a barrister or solicitor of at least 5 years' standing.

The functions of the Building Practitioners Board are to:

approve rules relating to licensed building practitioners that are prepared in accordance with the Act
receive, investigate, and hear complaints about, and to inquire into the conduct of, and discipline of, licensed building practitioners in accordance with the Act
hear appeals against certain decisions of the Registrar in accordance with the Act
review and report to the Minister on the performance of the functions and duties, and the exercise of the powers, of the Board under the Act.

The members of the Building Practitioners Board are:

Alan Bickers (Chairperson)
Paul Blackler (Deputy Chairperson)
David Clark
Jane Cuming
Patrick Lawrence
Graham Moor
David O'Connell
Colin Orchiston.

Electrical Workers Registration Board

The Electrical Workers Registration Board comprises seven members all of whom are appointed by the Minister for Building and Construction under the Electricity Act 1992, for a term of up to 3 years. Members can be reappointed. Five members must be registered or entitled to be registered, and two lay persons must not be registered or entitled to be registered.

The functions of the Electrical Workers Registration Board are to:

register and licence the four classes of registration under the Electricity Act 1992 (electrician, electrical inspector, electrical service technician and line mechanic)
ensure registered persons maintain an adequate level of competency
exercise disciplinary power according to the Act and initiate prosecutions for contravention of the Act in cases where the Board considers appropriate.

Complaints Assessment Committees are convened to hear complaints. Complaints Assessment Committees are appointed from a list of members who have been approved by the Minister. Members may be appointed for a term of up to 5 years.

The members of the Electrical Workers Registration Board are:

Donald Pryde (Presiding Member)
Samuel Ponga (Deputy Presiding Member)
Edwin Eeles
Bernardine Hannan
Tom Leong
Murray Willis.

At present there is one vacancy on the Board. Deborah Rundle resigned during the year.

The Registrar is employed by the Department to support the Board in carrying out their functions, and to process licensing applications. The Registrar of the Board is John Sickels.

Building Advisory Panel

The Building Act 2004 provides that the Chief Executive of the Department of Building and Housing appoint a Building Advisory Panel that consists of experts in the building sector.

The Panel provides independent, specialist advice to the Chief Executive on trends in building design, quality and performance, building technology, sustainability, urban planning and consumer issues.

The members of the Building Advisory Panel are:

Don Hunn (Chairperson)
Professor Andy Buchanan
Mike Fox
John Jarvis
Ann Magee
Richard Michael
Gordon Moller
Peter Neilson
Peter Neven
David Russell
George Skimming
Adam Thornton.

The Panel met twice during 2006/07.

Quality standards for policy advice

Quality measure

We will seek written response, at least 6-monthly, from the Minister for Building and Construction and the Minister of Housing on our performance against the following quality standards. The assessment process will also incorporate an assessment of ministerial satisfaction through a structured discussion with each Minister focusing on the quality standards. The performance target will be 3 (good) or better, on an overall scale of 1 (poor) to 5 (excellent).

We will supply high-quality services meeting the standard quality characteristics below.

We will provide a comprehensive service that:

has the capacity to act quickly in response to urgent/critical issues
offers timely and relevant briefings on significant issues
supports Ministers as required in Cabinet Committees, Select Committees and in the House.

Standard quality characteristics

All advice will include the following.

Purpose
An objective for the policy advice has been clearly stated, including its relationship to the Government's agreed outcomes and objectives.

Focus
A clear and logical statement of the issue or problem and why it necessitates ministerial action.

Viability
Viable options to address the issue are presented and costs/benefits will be assessed, winners and losers identified, cost-effectiveness addressed and any value judgements drawn to the attention of the Minister.

Logic and evidence-based
The assumptions behind the advice and the logic of how the options will resolve issues and achieve objectives are clear. Assumptions and advice are evidence-based.

Accuracy
The facts are accurate and based on reliable research or evaluation findings or other appropriate information.

Practicality
The advice draws on appropriate knowledge and experience, and the practicalities of implementing it are clearly explained, including any industry, legal, machinery of government, Treaty of Waitangi or other issues that require management.

Consultation
Interested government agencies and affected and interested parties have been consulted and their views considered.

Presentation
The advice is presented clearly, logically, in plain and grammatically correct English, free from any typographical or spelling errors, and conforms to the Cabinet Office requirements.

Recommendations
Recommendations are clear, logical, action-oriented and able to stand alone from the rest of the advice.

Timeliness
Specified reporting deadlines are met.

Cost
Outturn is within budget.

Structure

The Department was formed in November 2004 and incorporates the Ministry of Housing, the Building Industry Authority, the Weathertight Homes Resolution Service from the Department of Internal Affairs, the building policy functions from the Ministry of Economic Development, and related functions from the Ministry of Social Development and Housing New Zealand Corporation.

The functions of the Electrical Workers Registration Board were transferred to the Department in September 2006.

A new organisational structure for the Department was adopted from 1 March 2007. The Department is organised into branches by function (see the organisational chart on the following page).

As at 30 June 2007, there were 321 full-time employees and 49 part-time employees. There were also a number of people undertaking contracting roles to fill vacant positions, or providing specialist skills or additional capability for specific work.

Our employees are spread across:

Wellington-based national office (194 employees)
the Porirua-based Services Centre (77 employees)
19 regional offices located throughout the country from Invercargill to Whangarei (99 employees).

Organisational Chart

Organisational chart.

Service Locations

North Island Service Locations.
South Island Service Locations.