Councils dive on tourism funding
Councils around the country have posted wish lists for $35 million worth of tourism infrastructure and the race is on to get the money from a new Government fund in time for the coming summer.
The first round of grants from the Government’s $100m tourism infrastructure fund attracted 43 eligible applications for $17.8m, with local authorities covering the remaining $17.2m cost of projects such as car parks, freedom camping facilities, and sewerage and water works.
The $100m fund announced as part of the Budget is to be spread over four years, with up to $25m available annually.
A ministerial spokesman said an announcement on successful applications depended on when the new Government was sworn in and the aim was to have recommendations signed off by the end of November.
Tourism Minister Paula Bennett said there were four applications for feasibility studies, but declined to release any details of the projects involved until a panel decided where the money would go.
However, the Mackenzie District Council has already announced publicly that it wants almost $300,000 towards the $420,000 cost of dealing with overcrowding, lack of parking and noise around the popular Church of the Good Shepherd on the shores of Lake Tekapo.
Westland District mayor Bruce Smith said it had applied for $1.9m to help pay for Franz Josef’s wastewater plant and half a dozen other projects including car parking in the Hokitika Gorge
‘‘We expect 70,000 visitors [to the gorge] this year. I can remember not that long ago that we had under 10,000.’’
Smith said that even if they were successful in getting the money, the work would not be completed in time for this summer because of the time needed to get approvals and tenders sorted.
Local Government New Zealand
"We expect 70,000 visitors [to the Hokitika Gorge] this year. I can remember not that long ago that we had under 10,000." Westland District mayor Bruce Smith
president Dave Cull said uptake of the fund proved the need for a more sustainable system of paying for tourism infrastructure – ‘‘a fund that has a predictable, equitable way of being distributed, rather than a grace and favour one where you have to apply’’.
‘‘You could allocate it on a population basis or on the GST generated for the region.’’
When the new fund was announced in May, the criteria made it clear it was targeting councils that had reached their debt limits, had high visitor-toratepayer ratios, and were in regions earning less than $1 billion a year from tourism.
Bennett promised other sources of funding to assist areas that failed to meet the criteria, and Queenstown Lakes District Mayor Jim Boult took up her offer.
He said they were in negotiations with government departments for special funding for a couple of projects, including transport, which ‘‘would have taken a significant portion of the tourism infrastructure fund’’.
Boult said he had held discussions with other political parties and was hopeful plans would not be affected by the outcome of the election.