City’s recovery planned
The Palmerstonnorth City Council has released a Covid-19 city recovery plan that could prompt amajor overhaul of its planned budget for 2020-21.
The council will debate its draft budget and submissions on Wednesday, including recommendations for shifting spending priorities to help lead the city’s bounce back from lockdown.
Mayor Grant Smith said the council had a responsibility to support the economy and the community emerging from the crisis, and to stimulate growth.
He said councillors had heard calls for a rates freeze, but that was unlikely to happen because it would shift costs into future years.
The rates rise was also unlikely to be as high as the 4.4 per cent proposed in the draft budget.
The council had already taken a knock to its income, which Smith estimated could rise to $4.5 million depending on how long losses endured.
Losses so far included rental holidays for council tenants, $68,000; loss of parking meter revenue, $50,000 aweek; and library fee waivers, $35,000.
There had also been added costs in additional cleaning of council facilities and public toilets, and support for the welfare response during the emergency.
Smith said the first stage of recovery work supporting economic, cultural, social and environmental concerns was already underway.
The council was working with key partners, including Rangita¯ne omanawatu¯ and the Central Economic Development Agency, to focus resources where they were most needed.
Some work could be done from existing budgets, but Wednesday’s meeting would be asked to consider shifting money around or investing new money.
One of the larger proposals was for a new $200,000 community relief fund.
Sports field user charges could be reduced, costing $57,000, and $20,000 could be spent temporarily widening footpaths in the central city to assist physical distancing.
The councilwas also likely to work with Sport Manawatu¯ to asses whether $100,000 allocated but not spent on sports events could be redirected to other priorities.
‘‘We know that the economic and social impacts are likely to be significant and felt by the community long into the future,’’ Smith said.
‘‘It’s a recovery plan for everybody.’’
Smith said Palmerston North and the council were better placed than some regions to bounce out of the Covid-induced recession.
Councilmeasures were in place to help boost confidence, through supporting the Choose Manawatu¯ ‘‘buy local’’ campaign and an employment summit.
Smith is leading a team of councils advocating for the national rates-rebate scheme to be extended to help people on low and fixed incomes.
He said the parts of the economy likely to continue to suffer most were hospitality, retail and accommodation, so the recovery planwould focus on bringing fresh energy into the central city.
That could include providing parking vouchers to ratepayers to encourage them into town, extending outdoor dining spaces, and finding activities that could fill under-used buildings.
The environment could also benefit, with proposals being considered to help Environment Network Manawatu¯ set up a temporary or long-term eco centre.
Council chief executive Heather Shotter said the council had already demonstrated its ability to use its capital projects to support local jobs and confidence through the Central Energy Trust Arenamakeover.
The council had also applied to the Government’s shovel-ready fund for nearly $125m of projects.
Smith said the council had been realistic in its bid and although it wanted to invest in projects that wouldmake a difference, some of its capital spending might be pegged back for the coming year.