A summary of the Statement of Intent 2009-12

Outcomes framework – linking outcomes and what we do

Government goal

To grow the New Zealand economy in order to deliver greater prosperity, security and opportunities to all New Zealanders.

Outcome for New Zealand

A building and housing market that delivers good quality homes and buildings for New Zealanders that contribute to strong communities and a prosperous economy.

Medium-term outcomes

1. A business-enabling regulatory environment for building and housing that is efficient and effective, ensures public safety and delivers good quality homes and buildings that perform well in the New Zealand environment
2. An enhanced housing and building market that provides an accessible range of houses and buildings that meet New Zealanders' economic and social needs
3. A well performing, professional building and housing sector that has the capability and capacity to do a good job
4. Participants in the building and housing market are well informed, can transact with confidence and are supported to resolve their disputes

Why we are going to do this

The current regulatory environment can be streamlined and made more effective through the removal of barriers to business, and by providing more targeted and consumer-accessible information. Clear and appropriate standards supported by a streamlined, cost-effective regulatory environment will help remove barriers and enable businesses to build good quality homes and buildings.

The building and housing market will perform more effectively if there is access to adequate quality and timely information to inform decision-making. The market will also perform more effectively if supported by effective policies and regulations that enable a wide range of housing choices for consumers that meet their needs.

The building and construction sector is a major component of the economy. Increasing sector productivity and performance will contribute to greater prosperity and better value delivered to homeowners and building owners. Working with the sector to lift skills, and to build capability and capacity to do a good job, will lift productivity. This in turn will assist the delivery of good quality homes and buildings that contribute to strong communities and a prosperous New Zealand economy.

In order to make well-informed decisions and to resolve disputes, people need reliable and timely information and access to appropriate services. Efficient, effective and timely services support the resolution of disputes and will reduce their overall number. This enables the housing and building market to work more effectively and deliver better value to customers.

How we are going to do this

We will work with the sector, stakeholders and consumers in the design and implementation of a streamlined, cost- effective regulatory environment to ensure good quality homes and buildings and public safety.

We will lead development of the research agenda for building science and design for New Zealand We will lead the development of innovative policy and approaches to housing and building supply and affordability for the New Zealand environment.

We will work with the sector and education providers to lift skills and productivity in the building and construction sector so that participants do a good job.

We will work to raise consumer knowledge and awareness through the supply of targeted advice, accessible information and dispute resolution services so consumers can transact with confidence in the building and housing market.

We will design, develop and deliver excellent, integrated, cost-effective and accessible services that are valued by New Zealanders.

We will continue to build the capability to lead and manage a cost-effective and high performing organisation through ongoing development and implementation of our Organisation Development Plan.

What are we going to do

• Complete the review of the Building Act 2004 and the regulatory reform process.
• Review the approach to resolving weathertight claims so that it is more cost-effective and better focused on repair of properties.
• Review and update the Building Code and Standards to ensure they are appropriate and can be cost-effectively applied, are accessible and clear, and more integrated.
• Provide information, guidance and advice to the sector to support effective performance.
• Monitor and report on the performance of the statutory building control functions of councils to ensure they are cost-effective and enable business investment and activity, and deliver value to customers.
• Review the way that liability is distributed in relation to building work.
  
• Provide performance monitoring and investment advice about Housing New Zealand Corporation to the Minister to enable quality decision-making.
• Monitor and evaluate sector trends and performance, and publish high quality, timely information on them to enable participants in the sector to make informed decisions.
• Provide policy advice on building and housing issues and on housing supply options, including advice on Auckland issues and urban intensification, to ensure issues are effectively addressed.
• Provide policy advice on the Residential Tenancies Amendment Bill and the Unit Titles Bill to ensure Ministers have the necessary support to take legislation through the Parliamentary process.
• Provide information, advice and guidance that supports consumers and the sector.
  
• Work with other agencies and the sector to develop and implement a building and construction sector skills strategy.
• Further refine and develop the licensing system for building practitioners to ensure it delivers benefits at least cost.
• Carry out the licensing and auditing of electrical workers and building practitioners.
• Develop options to use technology to enhance the consenting system in order to support the streamlining and efficient operation of the building consent process.
• Develop an integrated licensing system to deliver more cost-effective services to fee payers.
  
• Develop a broader suite of service options to deliver better value and improved access to customers.
• Reduce operating costs.
• Provide targeted information and advice to support decision-making.
• Manage bond lodgements, refunds and investment.
• Provide efficient, effective and timely dispute resolution services.
• Carry out statutory functions under the Residential Tenancies Act 1986, Weathertight Homes Resolution Services Act 2006, Unit Titles Act 1972 and Retirement Villages Act 2003.

How will we measure this

• Amendments to the Building Act 2004 to provide a more simplified and streamlined approach to building regulation by the end of 2010.
• A reduction in the number of buildings requiring consents by the end of 2010.
• A 5% reduction in the number of determinations under the Building Act 2004 from 135 (the average for 2005 to 2008) to 128 by 2012.
• A reduction in the time to obtain building consents with the aim of 100% of consents processed within the statutory timeframes by 2012 (increased from 83.4% in the quarter ending 28 February 2009).
  
•  A high level of Ministerial satisfaction with departmental policy advice.
• A high level of Ministerial satisfaction with monitoring and investment advice on Housing New Zealand Corporation.
  
• Reduce the number of sector-related occupations identified as having:
  • 'extreme' shortage from 14 building and construction groups in 2007 to 7 in 2012
  • 'severe' shortage from 10 building and construction groups in 2007 to 5 in 2012, as measured by the Department of Labour (Skill Shortages: Occupations in Shortage in New Zealand surveys)
• Reduce the proportion of building firms identifying labour as the main constraint to growth from 5% (December 2008 quarter in the NZIER Quarterly Survey of Business Opinion) to 3% in 2012.
• Increase the number of licensed building practitioners from 534 on 1 April 2009 to 20,000 by 2012.
  
• 85% of stand-alone weathertight claimants able to close, commence to repair, or resolve their dispute within 12 months of lodging a WHRS claim, with a 1% improvement annually to 2012.
• 100% of Body Corporate representatives are able to resolve their WHRS dispute within their agreed targeted timeframe, and this is maintained to 2012.
• Reduce the numbers of landlords and tenants who have been involved in at least one tenancy-related problem over the preceding three years. Reduction by 2012 to:
  • less than 35% for landlords
  • less than 15% for tenants
• An annual increase of 5% in the proportion of applications for dispute resolution resolved by mediation out of court, from the audited actual for 2008/09 to 2012.