Skip to content.
Return to Department of Building and Housing home page.

Sector and Regulatory Policy

Sector and Regulatory Policy
This output expense involves the provision of policy advice in relation to the building and housing sector in New Zealand. It includes the provision of policy advice on the government's regulation of the building and housing sector, monitoring the building and housing sector, and the provision of the regulatory framework for the building industry.

Performance measures Performance to 30 June 2006

Output: Sector and Regulatory Policy Advice
Complete the review of the Residential Tenancies Act and develop an associated implementation strategy to give effect to any agreed outcomes by 30 June 2006

During the year a Cabinet paper was presented and agreed, covering the high-level policy principles and secured approval to present further papers on the review in August 2006. A working paper of options for second-order policy issues was completed as the foundation for the August Cabinet report.

The Residential Tenancies Act review comprises four sequential papers and the remaining papers will be completed in 2006/07. Once the final decisions are taken, a draft bill will be developed for Parliament to consider next year

Complete the review of the Unit Titles Act and develop an associated implementation strategy to give effect to any agreed outcomes by 30 June 2006

A discussion paper on options for reform was approved by Cabinet in April 2006. Analysis of public submissions was completed along with consultation with key stakeholders.

The policy options arising from the consultation will be concluded in 2006/07

Develop a sustainable approach to resolving building- and housing-related disputes by 30 June 2006

Work was completed on aspects of weathertight homes dispute resolution and work is under way on mechanisms for homeowners where the Construction Contracts Act 2002 does not apply.

Development of the Department's integrated service delivery model for dispute resolution will follow in 2006/07 after the review of the location of the Weathertight Homes Resolution Service and the review of the Unit Titles Act

Develop strategies to address the quality of existing building stock (including houses) by 30 June 2006 Departmental consultation on draft standards was completed and a draft report prepared.
Provide policy and regulatory advice in support of the implementation of the Building Act 2004 Terms of reference for the Building Act amendments were completed and a review of the projected amendments was also completed. Policy work continued on the Building Act implementation

Output: Sector, Industry and Market Monitoring
Develop a strategy to build and apply knowledge of the building and housing sector to the government's policy, regulatory and other interests in the sector by 31 December 2005

A sector information and statistics section was developed and posted on the new departmental website. Development of Intermediate Outcome indicators for the Department (and the sector) has begun.

The characteristics of a departmental information and knowledge management strategy were agreed in February 2006. Further work on the strategy will continue in 2006/07 as agreed with the Minister for Building Issues

Develop a strategy to evaluate the effectiveness of the government's building and housing sector policies and regulatory interventions by 31 December 2005 An evaluation framework strategy was completed in December 2005. Discussion on the information required to enable effective sector monitoring was commenced with Local Government New Zealand and Statistics New Zealand

Sector and Regulatory Policy (continued)
Performance measures Performance to 30 June 2006
Develop a programme of work in consultation with Housing New Zealand Corporation to identify and address issues that may be affecting the ability of the sector to respond to housing demand by 30 June 2006

A number of projects were undertaken during the year, including:

  • an analysis of the regional housing market in New Zealand, 1981-2004 - completed by Motu Economic and Public Policy Research
  • housing supply chain analysis, including planning and zoning processes in the Auckland region - a contract was let to Motu and DTZ New Zealand
  • 'contribution of investment to the residential property market' - initial report completed by NZIER
  • case studies of regional labour and housing markets and the impact on housing supply and affordability - under way by Motu
  • affordability of newly built housing (2000-2005) - under way by DTZ New Zealand
  • planning system changes - legal advice has been obtained on constraints in the current planning legislation (Resource Management Act and Local Government Act) and possible mechanisms open to territorial authorities wanting to encourage affordable housing

 

Financial Performance(figures are GST exclusive)

2006

Actual

$000

2006

Main
Estimates

$000

2006

Supplementary
Estimates

$000

2005

Actual

$000

Revenue - Crown 3,659 3,709 3,909 3,037
Revenue - departmental 17 17 29 2
Revenue - other - - - -
Total revenue 3,676 3,726 3,938 3,039
Total expenses 3,356 3,726 3,938 2,936
Net surplus/(deficit) 320 - - 103