60ACharges as security

1. This section applies if—

2. an Auckland water organisation has granted a security interest over a water services charge or the revenue from water services charges revenue as security for a loan or the performance of any obligations under an incidental arrangement; and
3. a receiver has been appointed under section 40A or 40B of the Receiverships Act 1993 in respect of that loan or arrangement; and
4. the Crown monitor has been informed of the appointment.

5. The receiver may, without further authority than this section, assess and collect in each financial year a charge under this section to recover sufficient funds to meet—

6. the payment of the Auckland water organisation’s commitments in respect of the loan or incidental arrangement during that year; and
7. the reasonable costs of administering, assessing, and collecting the charge.

8. However, a receiver may not create, or receive, any interest or security in water services infrastructure.

9. A charge under this section must be assessed as an amount that is a uniform percentage (which percentage may exceed 100%) of the total water services charge payable in relation to a property during the 12-month period ending on the last day of the calendar month immediately before the month in which the charge is assessed under this section.

10. A charge under this section over any 1 or more of the assets of an Auckland water organisation is subject to the Receiverships Act 1993.

11. A charge under this section must not be limited by a Watercare charter made under section 77 of the Local Government (Water Services Preliminary Arrangements) Act 2024.

12. A charge imposed under this section is—

13. a debt due to the Auckland water organisation; and
14. recoverable as a debt by the Auckland water organisation in any court of competent jurisdiction.

15. A charge imposed under this section is—

16. a debt due to the Auckland water organisation; and
17. recoverable as a debt by the Auckland water organisation in any court of competent jurisdiction.

18. In this section,—

    Crown monitor means a Crown monitor appointed under section 72 of the Local Government (Water Services Preliminary Arrangements) Act 2024

    incidental arrangement has the same meaning as in section 112 of the Local Government Act 2002

    loan has the same meaning as in section 112 of the Local Government Act 2002

    property means a street address that, at any point in a 12-month period ending on the last day of the calendar month immediately before the month during which a charge is assessed under this section, is (or has been) connected to 1 or more of an Auckland water organisation’s—

    1. water supply services:
    2. wastewater services:
    3. stormwater services (if responsibility for stormwater services has been transferred to an Auckland water organisation under a transfer agreement under section 12 of the Local Government (Water Services) Act 2025)

    stormwater services has the same meaning as in section 4 of the Local Government (Water Services) Act 2025

    water services charges means any charges set by an Auckland water organisation (including charges under section 86 of the Local Government (Water Services) Act 2025) for providing—

    1. water supply services:
    2. wastewater services:
    3. stormwater services (if responsibility for stormwater services has been transferred to an Auckland water organisation under a transfer agreement under section 12 of the Local Government (Water Services) Act 2025).