Our risk response

Building sector capacity and capability

There is a risk that the building sector and local authorities do not have the ability or will to implement the changes brought about by the Building Act 2004.

Working better with the sector

Information will be gathered from the sector through surveys and relationship management processes to understand the needs of the sector and the barriers to implementation of the Building Act 2004.

Information will be gathered from relationship management processes, BCA case managers, the BCA accreditation process, and other departmental processes to help us understand the barriers and therefore to develop strategies to overcome the barriers as they arise.

A key part of overcoming the barriers will be to provide information to the sector and local authorities that is:

• timely
• easily accessible and understood
• pertinent to the difficulties faced by the sector and local authorities.

Working better with the sector

The Department has worked extensively with the building and local government sectors at all levels. The Chief Executive and Deputy Chief Executive Sector Capability have worked extensively across the sector to support local government in achieving accreditation as building consent authorities. There has also been work through the Case Advisors to support the development of the systems and processes within territorial authorities to support the development of the building consent functions.

The Department has undertaken work to establish the feasibility of an online consenting process and an online product database.

The Department has established industry advisory groups we work through to develop the building practitioner licensing classes.

An Industry Reference Group is also running, which is made up of senior representatives from key stakeholder organisations. This group meets quarterly to discuss licensed building practitioner related issues.

Building consent authority capacity and capability

There is a risk that some councils' level of preparedness and current capacity limitations could prevent them from achieving accreditation by 30 November 2007.

Supporting local government's accreditation preparations

The Department is administering a $3 million assistance package, which includes:

• funding external contract support to councils
• dedicated one-on-one Case Advisors to councils
• providing national training workshops about accreditation.

The Department is also:

• providing guidance, advice and tools to support preparations
• actively supporting cluster arrangements to work collaboratively to share resources and expertise
• closely monitoring these activities.

Supporting local government's accreditation preparations

The Department completed the disbursement of the $3 million assistance package and continued the provision of Case Advisor support, material and information to support councils through the accreditation process.

A number of authorities have decided to transfer their functions to accredited and registered building consent authorities.

The timeframe for completion of accreditation and registration of building consent authorities was extended to 31 March 2009.

Effectiveness of the WHRS reforms

There is a risk that the outcomes expected by claimants and stakeholders from the Weathertight Homes Resolution Services Act 2006 will not be realised.

The Department will continue to work closely with key stakeholder groups in the implementation of the WHRS reforms.

The Department will implement a programme to monitor the impact and results being achieved under the new Act.

Effectiveness of the reforms

The Department has continued to work with the sector to monitor the impact of the reforms.

There is now evidence that the new Tribunal has reduced times to resolve claims from an average of one year to 17 weeks. Further the Tribunal is now receiving applications from apartment owners under the class action provisions and has had apartment claims referred from the Courts. The new assessment reports are more comprehensive as they incorporate potential damage and the total costs to remedy.

More applicants are now proceeding to repair first and are using the actual costs to claim and many applicants are now progressing their claims having been on hold.

Sustainability

There is a risk that the Department's work programme is not aligned to the Government's sustainability objectives.

Increased focus and capability

Across its work programme and in particular its work on reviewing the Building Code, amendments to the current Code and its energy efficiency initiatives, the Department will continue to work collaboratively with other government agencies (including the Ministry for the Environment and the Energy Efficiency and Conservation Authority) and will actively consider sustainability issues, including energy efficiency and building quality and design issues.

Sustainability

The Department has continued with work on amendments to the Building Code which support more energy-efficient homes and buildings.

Work included the implementation of new requirements for house insulation which came into effect over the 2007/08 year. The Department has also contracted with BRANZ Ltd for the collection of information on energy use in commercial buildings which will inform future amendments to the Building Code.

A substantial energy efficiency consumer information programme was completed with television advertising and a comprehensive distribution of information to householders through the Smarter Homes booklets.

Implementing a wide-ranging reform programme

There is a risk that departmental capability and capacity cannot be developed at a rate sufficient to meet the significant demands the Department's wide-ranging programmes of reforms make on departmental resources. This could compromise the quality of the reforms for which we are accountable and the health and wellbeing of our people.

Building capacity and capability at all levels

Recent changes to the Department's organisational structure have been designed to better align the structure of the organisation with the Department's work programme, to ensure resources are placed where demand requires. In addition, an Organisational Development and Strategy Branch has been established, with a specific mandate to focus on supporting the Chief Executive to develop the people capability, core systems and strategic direction required to underpin the work programme. This work includes building leadership capability at all levels of the Department.

Building capacity and capability

The Department has continued with its programme of employee engagement initiatives with the completion of the team leader management training and the ongoing delivery of the leadership programme to key staff.

The focus on organisational development has been maintained with the ongoing work through the Building for the Future work programme. The Department has completed and implemented the reviews of the Groups within the Corporate Branch and the Sector Capability Branch.

There has also been a review of many of the Department's people management policies and processes and these have been refined and training delivered to staff.

The Department has continued to use contract resources to meet short-term work pressures and fill gaps in specialist areas.