Council Adopts Annual Plan Budget
Mayor Nadine Taylor thanked Council staff for their work to bring rates down from the Long Term Plan forecast of 10.62%.
'Council's core spending remains strongly focussed on providing infrastructure, including roading, flood protection, waste management, water supply and community facilities.
'The increase is made up of a number of elements outside Council's control - depreciation at 3.23% and local government inflationary adjustments at 3.3%*, which add up to 6.53%. We are also still paying for the Covid Rates Relief fund applied during the pandemic to help ratepayers, the cost of which is spread over three years, with an impact of 1.5% per year.'
'Roading and footpaths are the biggest item of Council capital expenditure with $64M allocated this year for improvements and renewals. Included in this figure is $29M to repair and rebuild the storm damaged Sounds roading network, on which work continues at pace. It's especially pleasing that the Sounds roading repairs are ahead of schedule and under budget.'
'Thirty one million dollars is allocated to three waters infrastructure, with $16M going towards flood protection and community facilites.'
She said the annual plan included $6.5M for building flood protection works in Spring Creek and at Conders Bend, Renwick, provided through the Government's Kānoa Regional Infrastructure Fund.
'As we experienced again in the past few days, our stop bank network is critical to the safety of the communities who live beside the Wairau River. I want to assure everyone that the budget is in place for the necessary stop bank rebuilds and repairs.'
'Council's capital expenditure budget for this year has increased to $119M, including the Sounds roads recovery. As a result, projected debt is $154M at the end of June 2026, as opposed to $190M forecast in Council's Long Term Plan (LTP) last year.'
'I'd like to thank the 89 people and organisations who made the effort to give us their feedback via the new streamlined engagement process. Your ideas covered many topics including community facilities, parks and open spaces, regional development, animal control and roads.'
'Councillors referred some ideas to the Long Term Plan Working Group for further consideration and confirmed a $40k annual museum operating grant to the Marlborough Historical Society.'
A record of the councillors' public feedback discussion can be found in the Economic, Finance and Community Committee minutes of 18 March 2025 on Council's website.
Public consultation also recently took place on charges for the Bluegums landfill and the consequential impact on charges at transfer stations. An average increase of 17.82% will be applied to fees at the Blenheim landfill and transfer station, meaning the average trailer load of waste will cost an extra $5.92 to dispose of.
Councillors received the draft annual plan budget at its 8 May 2025 meeting and supported three small levels of service requests for the 2025-26 financial year, including replacing the air conditioning system at the Marlborough Events Centre.
Councillors declined requests to fund a part time Welcoming Communities Coordinator role and a full time librarian position to cover the loss of 1.5 FTE fixed term positions. The Marlborough Library in Blenheim will therefore reduce its opening hours by five a week, closing at 5pm rather than 6pm on week days. Weekend opening hours will remain the same.
Note:
The BERL Local Government Cost Index (LGCI) is a measure of the change in costs for goods and services purchased by local government in New Zealand, similar to the Consumer Price Index. BERL (Business and Economic Research Limited) provides this index to councils, which is used to forecast price and cost movements, including for major expenditure items like bitumen and water pipes.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
RNZ News
5 minutes ago
- RNZ News
Final cost of breaking South Korean ferry contract revealed
A digital image of a new Interislander ferry that was to be built by Hyundai Mipo Dockyard. Photo: Supplied / KiwiRail KiwiRail and the government have confirmed the final settlement costs for breaking the contract with South Korean shipbuilders is $144 million. That brings total project costs for the scrapped iReX ferry project to $671m. Some $449m was spent on landside infrastructure, project management and wind-down costs. Another $222m in total was paid to Hyundai Mipo Dockyards. Minister for Rail Winston Peters says engagements with shipbuilders for new replacement ferries are progressing well, as is the remaining work on the ports. He says the new ferries will provide a more pragmatic solution at an affordable price. More to come...
Otago Daily Times
2 hours ago
- Otago Daily Times
Poll: Data reveals developers exploited contributions loophole
New data shows property developers saved more than $33 million by exploiting a loophole the Selwyn District Council is powerless to close. Data from the district council shows that in June last year, 2578 lots of development contributions (DCs) were applied for, right before increased DC rates were signed off in the council's Long Term Plan 2024-34. DCs are paid by developers or property owners to the council, primarily to offset any additional infrastructure that might be needed to support the new homes they are building. DCs help the council pay for the cost of new community facilities, roading upgrades, water and sewerage, and reserve upgrades. Costs vary around the district. DCs are invoiced at the time of resource consent applications. The council began consulting on the LTP, which included the DC rates, in April 2024. The following month, 809 lots of DCs were applied for, followed by 2578 in June, compared to an average of 80 DC applications a month from December 2023 to April 2024. The LTP came into effect in July 2024. Applications for DCs prior to July paid rates set in 2021. While an inflation adjustment had been carried out, the rates did not take into account large cost increases for infrastructure. For example, a sewage connection DC cost $4809 in the 2021 financial year, $5772 in 2023 and $12,917 from July 2024. Of the June 2024 applications, the majority came from 15 applicants. The council was effectively shortchanged about $33.9m. It has given assurances that the shortfall will be paid for by future development and not ratepayers. But outgoing Springs Ward councillor Grant Miller said in the council's finance and performance committee last week that developers were rorting the system. 'They might think it is clever business, but they have taken advantage of the system in not paying their fair share, and it should be flatly put to them, you are not paying your fair share,' Miller said. He said developers who took advantage of the loophole were just passing on the cost. 'So future section owners, instead of paying, let's say $13,000, are going to pay $15,000 or $16,000 to make up what these beggars haven't paid now.' Other councillors spoken to by Selwyn Times agreed with Miller. They also acknowledged they were powerless to stop it due to the need to consult on price increases before they are implemented. Mayor Sam Broughton said growth should pay for growth, but was less concerned about the shortfall. 'Uncollected development contributions from this year are recovered from developers later, not from ratepayers. Likewise, if more had been collected than budgeted, future charges could drop. It's purely timing, and council cannot control when a development happens.' Construction analyst Mike Blackburn said if developers did not take advantage of the loophole they wouldn't be very good at business. 'It's standard business practice; if you didn't do that, you wouldn't be a good businessman.' Blackburn said generally it is the property owner who pays in the end. 'From a developer's point of view, development contributions are a zero net sum because they pass those fees onto the buyer.' He said new development also provides councils with more money in rates. In Selwyn, rates rose by an average of 14.2% in July, but the council's rates take is expected to be about 19% higher because of growth. Of the applications lodged in June, 844 came from Darfield between two applicants. Malvern Ward councillor Lydia Gliddon was concerned about what it meant for the Darfield Indoor Courts, which is budgeted to cost $9m with 47% paid for by DCs. Because the council had not consulted on the project prior to the 2024-34 LTP, none of the DCs collected before July 2024 can be put towards it. 'We were reliant on those sections to pay into that. To me, that project is quite compromised now,' Gliddon said. The Government has proposed replacing DCs with development levies, which are designed to be fairer for councils, but they are not expected to take effect until about 2027. Broughton supports the new system and also wants the Government to make changes to give 50% of the GST on new builds back to councils. 'For Selwyn, this would have meant $48 million extra last year, reducing rates.'
Scoop
2 hours ago
- Scoop
South Island Masters Games And Marlborough District Council Extend Partnership
The South Island Masters Games and Marlborough District Council extend Partnership and announce Naming Rights Partnership with Marlborough Lines Limited The South Island Masters Games and Marlborough District Council are delighted to announce an extension of their successful partnership for a further two events, ensuring the Games will return to Marlborough in 2027 and 2029. Since first being held in Blenheim in 2021, the South Island Masters Games have generated more than $5.5 million in economic benefit for the Marlborough region, while also contributing over $150,000 directly back into local sports clubs and organisations. Thomas Nation, Chair of the South Island Masters Games, said the partnership extension reflects the strong support from the Marlborough community and the positive impact the Games have created. 'We are thrilled to confirm that the South Island Masters Games will remain part of Marlborough's event calendar for years to come. The economic and social benefits have been significant, and we are proud that the Games have not only brought thousands of visitors to the region but also contribute meaningfully to grassroots sport.' Marlborough Mayor, Nadine Taylor welcomed the announcement. 'The South Island Masters Games have become a much-anticipated highlight in Marlborough. We're excited to see this partnership continue and deliver further opportunities for our local clubs, volunteers, and businesses. The Games showcase Marlborough's fantastic facilities and warm hospitality to participants from all over New Zealand.' In a further boost for the event, The South Island Masters Games is also proud to announce a new naming partnership with Marlborough Lines Limited. Commencing with the 2025 Games, Marlborough Lines will become the Naming Partner of the South Island Masters Games in Marlborough through to 2029. Thomas Nation said the support of Marlborough Lines would help grow the event and deliver even greater benefit to the community. 'Marlborough Lines is a valued community partner, and their commitment will ensure the Marlborough Lines South Island Masters Games continue to thrive. This partnership will enable us to enhance the experience for participants and deepen our connection with local sport.' Tim Cosgrove, CEO of Marlborough Lines, said the company was proud to support an event that contributes so strongly to the region's economic, social and sporting life. 'Marlborough Lines is committed to investing back into our community, and the South Island Masters Games are a fantastic way to bring people together, encourage participation, and support local clubs. We are delighted to have our name associated with this event over the next three editions.' The 2025 Marlborough Lines South Island Masters Games will be held in Blenheim from 17–27 October 2025, welcoming over 2,000 participants who will compete across 25 sports and more than 500 events. As part of the partnership, thanks to Marlborough Lines all entrants living in the Marlborough region can save $10 off their Games Registration Fee by entering the promo code MARLBOROUGH when entering.
