H20 Pool – The Facts, Exposed!

Hellen_Swales
Aug 8
4 min read

Updated: Aug 8

Upper Hutt, 8th August 2025

Introduction

Below is an extract from a single social media thread which has been highlighted to me while preparing for the forthcoming Local Body Elections for Upper Hutt in 2025, and I have decided to address it.

A social media post might "weave a story" that captures the minds of some community followers, leading them to believe that because the author is a candidate for the upcoming elections, that this is the truth.

Recently, a candidate submitted a Local Government Official Information and Meetings Act (LGOIMA) request regarding the H2O procurement processes.

From this, it was interpreted and presented to the community, in their opinion, that “Upper Hutt City Council didn’t have a competitive tender for the main contract,” and further claimed that Council “didn’t have a procurement plan.”

How to raise an Information Request (LGOIMA).

While I respect anyone’s right to interpret information, it’s important that interpretations are supported by facts and, ideally, references, especially if you're making such claims after requesting the information directly.

So, in the interest of transparency,

I’d like to share with you the same information that was provided to the candidate, but first here is some background information.

H2O - Procurement Background

In the 2018 – 2038 Long Term Plan Council consulted on a H2O upgrade where a feasibility study was completed to determine what investment should be made in the facility.

The study investigated the current and future needs of the community along with trends in aquatic provision regionally, nationally, and internationally. Design Planning got underway to articulate what an upgraded facility would look like. The community was then consulted further during the design and planning phase and new features would include:

An additional separate lane pool.
A separate toddler pool.
A new splash pad

We had 82% of the community strongly support the direction the Long-Term Plan had set for the next 10 years 2018 – 2028.

In 2021 - 2031 Long Term Plan 79% of respondent's consultation told us they would like to see a full upgrade of H2O Xtream. However, the costs had escalated significantly since 2018, so we had to reconsider our approach, so we asked again for feedback from the community. The cost escalations could be attributed to the effects of COVID on the international supply chains for key equipment for the pool.

The outcome of the subsequent consultation was that 79% supported the completing the upgrade whilst 12% where in support of a two-stage approach.

The upgrade at this time was scoped at an estimated total cost of $27m capital which was going to be paid by 55% rates and 45% from user charges and would include the following:

new leisure pool, full hydro slide replacement,
upgrades to the existing building and operational systems,
new sustainable electric heat pump,
new hydrotherapy/learn-to-swim pool,
offices, reception, café, and other renewal work.

In December 2022, with the costs of materials and labour continuing to rise, the NZ$ exchange rate fluctuation, the procurement of pool equipment, and a tight labour market, council had to rethink how we deliver this project. 

After again consulting with the community as part of the Annual Plan 2022 - 2023, we advised the community that changes where being proposed for the following key projects:

Fixing Fergusson Drive
H2O Xtream upgrade
Civic Centre upgrade

After consultation our recommendation was to proceed with the upgrade at a revised cost of $51M. This was to be completed in a single stage over years 2022 – 2024 to achieve an upgraded, aquatic facility for our city.

While higher in cost than planned, this option provides the overall least cost and highest benefit over the shortest timeframe.

To ensure we could stay within budget while still delivering the critical elements of the project, Council decided to change the scope of the upgrade removing the cafe and the hydro pool from the scope of work. The changes were made consistent with the majority of the feedback we received through our consultation with the community in April and May.

When the H2O upgrade work started, the contractor found issues with the existing pool's roof. Following investigations by architects and engineering staff a solution for the roof was estimated costings between $2m and $4m. Further work on the roof issue had a revised cost being tabled to council on 13/12/2023, an increase of $4m was approved by council to the $51m. So cost was $55m but now excluded the hydrotherapy pool and Café to mitigate increasing costs.

In Summary

Under normal circumstances the Annual Plan usually follows and consolidates the plans laid out in the Long-Term Plan for that year—any variations would not be significant. However, this time around there have been some critical upheavals happening around us and we have had to respond to those.

Inflation was running at 6.9%. The cost of goods, services, and fuel had surged over the last year.
Fluctuations in NZ$ exchange rate impacting imported equipment.
Labour shortages and supply chain slowdowns added delay and cost to everyday business.

All of this has created an unpredictable landscape in terms of costs and the projects we could reliably deliver.

	Upper Hutt City Council did have a procurement plan, which is inherent when a procurement uses the Early Contractor Involvement (ECI) Methodology.
	Upper Hutt City Council did run a competitive Request for Proposal tender process, with 4 companies responding.
	Two companies later withdrew due to supply chain issues for critical equipment needed for the pool
	The remaining two potential contractors went through the rest of the ECI procurement process, with one finally being selected against the Council Request for Proposal (RFP) and ECI requirements.

Email from UHCC CEO

I share the email below with the community as approved by the

Upper Hutt City Council CEO Geoff Swainson.

Files

These are the files shared as part of the Information Request and an Early Contractor Involvement - Information Sheet.


LGOIMA response H2O	H2O Xtream upgrade Business Case Sept 2020	H2O Xtream upgrade ECI Contracts Committee Memo 20 May 2021	Early Contractor Involvement Construction Procurement Process