$10m of projects deferred for cyclone repairs
Northland’s worst-hit Cyclone Gabrielle district is deferring more than $10 million of planned work rather than almost doubling its rates to pay for major damage.
Kaipara District Council ratepayers would otherwise be facing a 10.14% rate increase, almost double the 5.38% draft rates lift they are currently looking at for the 2023/24 financial year starting on July 1.
The deferments come as the council considers the vexed question of how to pay for more than $26 million of damage across the district.
Kaipara suffered Northland’s worst damage when Cyclone Gabrielle hit the district on Valentine’s Day.
This was followed by the February 24 Mangawhai rains, which brought further damage hot on the heels of the cyclone.
All that in turn came after extremely wet conditions in Kaipara throughout November, December and January in the months leading up to the cyclone.
Council general manager infrastructure services Anin Nama said in a severe weather updated to a council briefing meeting in Mangawhai on Wednesday early estimates showed Gabrielle had brought a $26.39m hit for the district.
This was made up of $20.9m in transport and roading impacts, $2.55m damage to stormwater, $1.53m damage to the council’s wastewater treatment plants, $1.21m damage to the district’s land drainage systems and $200,000 damage to drinking water supplies.
The council is looking at deferring $5.1m of work on bridges and to a lesser extent road sealing is to be deferred, along with $5.4m of work across a variety of plan plus.
Nama said the $5.4m of potential general projects deferment included work on: aspects of Dargaville’s wastewater treatment plant, council vehicle replacements, the council’s Waiatua drinking water reservoir north of Dargaville, public consultation about the council’s waste strategy, the council’s Kaihu River Rotu water intake and Wood Street Mangawhai stormwater system and beautification.
The council will be writing to Waka Kotahi and the minister of transport seeking an extension to the June 30 deadline for up to 100% Cyclone Gabrielle government funding available towards the bridge work and, to a lesser extent, road sealing.
Should this be achieved, this part of the deferred work of this type would be back on the radar.
The council is also to seek a lift from its current business-asusual 62% Waka Kotahi subsidies for local roading.
Cr Mark Vincent said one cyclone repair funding option could be to increase council debt.
Council general manager sustainable growth and investment Sue Davidson said the council would be getting close to its agreed $60m debt ceiling in the next 18 months.
The council’s Kaipara recovery manager, Glynis McCarthy – one of three newly appointed district council recovery managers in the north reporting to a regional recovery manager – said the scale of the damage facing the district was overwhelming for many.
McCarthy said there had been 150 applications totalling more than $2m to the council’s Mayoral Relief Fund.
This was four times its available $485,468.94. (Applications closed on Monday last week.)
The fund is made up of $5000 from Waikato’s Pirongia Golf Club, $250,000 from the government’s disaster relief fund, about $209,600 from Stuff, $10,800 from Toyota Finance and $5000 from Mitre 10.
McCarthy said fund applications had come from around the district. Staff had been working with applicants in the face of its oversubscription to help direct them to other available funding options.
Oversubscription meant applicants would probably get only part of what they had applied for.
She said the council’s executive would make final decisions on paying out on those applications before the end of the month.