Glossary of terms

Financially sustainable 

To be able to maintain financial health over the long term. It involves having enough income to cover expenses and continue operations now and in future. 

Operational costs / operational expenditure

The costs of normal day-to-day operations. 

Capital costs / capital expenditure

The costs of buying, upgrading, or maintaining long-term items such as property, buildings, equipment or technology. These costs are investments that provide benefit over a long period, to grow or maintain operations.

Due diligence

Taking careful steps to check things out before making a decision or an agreement. It ensures that all important details are understood, and any potential risks are identified.

Council-controlled trading organisation (CCTO)

An organisation controlled by a local council, which trades for the purpose of making a profit. This keeps rates lower for ratepayers.

Strategic Asset

An asset (for example, a facility, property or cash), that is vital to Council in delivering services or helping achieve any outcome that is important to community wellbeing.

Significance & Engagement Policy

A formal policy that sets out how and when the community can expect to be engaged in Napier City Council’s decision making processes. It lets Council and the community decide the degree of significance of particular issues, proposals, assets, decisions, and activities.

Capital programme

A plan or schedule of projects to be undertaken over a specific period, along with the costs.

Rating Unit

A specific area of land that is assessed for property rates by a council.