Restructuring Reforms
Between 2018 and 2023 the regulatory framework we operate under was significantly reformed. Following a change in government in late 2023, some of these reforms are subject to significant change.
Investing in Infrastructure
We are a widespread district of over 1,000 km² including various towns and smaller settlements that all have their own infrastructure needs.
Council has a key role in maintaining and providing infrastructure and is responsible for managing around one billion dollars worth of infrastructure, including the third largest local roading network in the country.
ln recent years there has been a substantial investment in infrastructure, and our communities are experiencing the benefits of these works. Our roading network is generally in good condition when compared to other similar networks and this has reduced capital works for sealed roads, compared to 10 to 15 years ago.
However, the challenges of changes in government policy on three waters services means the district has to take on substantial commitments over coming years to ensure quality drinking water, wastewater treatment and stormwater infrastructure renewals.
Our challenges
Council faces the challenges of balancing the known with the unknown. Increasingly, we face added pressure financially, geographically, and politically. These include:
Our challenges
Council faces the challenges of balancing the known with the unknown. Increasingly, we face added pressure financially, geographically, and politically. These include:
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High Inflation
Since 2020 New Zealand has experienced significant inflation, impacting Council’s purchasing power.
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Our Changing Community
Some are growing, some are declining and as a society we are getting older.
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Climate Change
These challenges are expected to impact our district with an increased risk to infrastructure from flooding, coastal inundation and heavy rainfall events.
Our proposed priorities
Many of these proposed projects are expected to see us through for many decades. We’re operating in a constantly changing environment with a lot of uncertainty. The ‘doability’ of what we’re proposing will be a significant challenge and risk. Funding is also a huge consideration. We know we will need to use debt to fund these over time, to make it fairer so the current generation doesn’t foot the whole bill.
There are challenges and calls to make for adapting to the impacts of climate change as our district gets wetter, windier and warmer. We’re also mindful of how we can prepare ourselves for natural disasters or other unknowns that might come our way.
Following our previous successes in capital project deliverables, along with the Central Government Three Waters Reform repeal, we are once again proposing to increase our capital expenditure over the next ten years (2024-34) to $427M for capital works.
Acheiveing this capital works programme is based on the assumption we will receive the appropriate rates and borrowing. And in roading projects that we recevie the appropriate NZTA funding.
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Safer drinking water ($16.3M)
Compliance with the NZ Drinking Water Standards is a legal requirement. The level of treatment necessary is dependent on the quality of the water source. Work for all our rural treatment plants continues to take place.
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Improving stormwater protection ($28.6M)
How we collect and dispose of stormwater run-off affects residents, their properties and businesses.
These projects are in Milton, Owaka, Lawrence, Tapanui, Heriot, Clinton, Waihola and Pounawea. They will mean a higher level of protection during heavy rainfall events. Heavy weather events are becoming more common, so we’re investing in stormwater systems with more capacity.
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Increasing standards for discharges ($149M)
New rules and regulations have influenced levels of treatment for wastewater.
Several of our wastewater treatment plants are currently working through resource consent and compliance renewals. Consequentially, of the $196.4M planned expenditure over the next ten years, $128.9M is associated with consent/compliance requirements.
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Community housing improvements ($6.5M)
A key consideration for helping our district move forward is quality housing. To assist members of our community who are in the lower income brackets and to keep up with demand, we are planning a programme of new builds, which would increase our residential housing units from 98 to 108 residential units across the Clutha District.
During the past three years all of our units have been brought up to Healthy Home Standards, making them warmer and drier.
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Securing the future for Mt Cooee Landfill ($15.7M)
The current resource consent at Mt Cooee Landfill expired in 2023. An application for the renewal of this consent has been submitted, which encompasses not only the current landfill area, but also proposed extensions and upgrades, which are designed to support the landfill’s operation for 35 years. These enhancements are coupled with ongoing investment in waste minimisation and recycling initiatives, extending the landfill’s lifespan and minimising cost impacts. More work is needed though.
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Efficient sealed road renewals ($60.5M)
Improving the cost effectiveness of road maintenance translates into direct benefits to our community and our co-investors.
Post COVID-19 has seen significant increases in roading costs and as such we are aligning our budget expenditure to meet these increases.
Note: At the time of writing we awaiting NZTA budget approvals.
We continue with our strategy on maintenance and renewals of our local road network, where we are focusing on roads that have the biggest economic benefit to the district.
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Strengthening our bridges ($34.7M)
As we improve how freight moves around New Zealand, trucks are becoming both longer and heavier with 50 tonne loads becoming the norm. At the moment a large part of our local roading network, i.e. access to farms and forestry, is not accessible by what are referred to as High Productivity Motor Vehicles (HPMVs). Council’s delivery partner for roads, NZTA (Waka Kotahi) is looking to actively support us to open up more of the local network to HPMV vehicles.
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Critical bridges - to commence 2034-54 ($23.5M)
There are four large and economically critical bridges that may require replacement within the next 30 years: Clydevale Bridge, Papatowai Bridge, McLennan Bridge and Bridge 462 (Tuapeka Flat Road).
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Milton Main Street improvements ($2.2M)
The Milton Main Street upgrades are continuing into 2024-25 year with the completion of the work to replace old water, stormwater and wastewater pipes on Union Street, between High Street to Abercrombie Street, as well as undergrounding overhead powerlines.
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Footpath renewals ($8.1M)
Council is committed to bringing all of our existing footpaths up to an acceptable standard. This programme is expected to take approximately 15 years with expenditure of over $8 million in the next 10 years.
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Milton Community Library & Pool Complex ($17.5M)
The new Milton community library and pool complex is being designed as an effective solution to replace the current facilities, both of which have a range of issues. This modern, multi-functional facility will offer a huge variety of services all year round, from swimming lessons, competitions, and aquatic play, through to digital help, library programmes, local history, and access to information, including council services; for people of all ages and backgrounds.
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Balclutha Library renewals ($5.3M)
The Balclutha Community Library is extremely well used with approximately 1,000 visits per week but has a number of structural and spatial issues. Most urgent of these is the need to address the ongoing watertightness and ventilation issues, to ensure continued safe operation of the library ($500K).
The long-term future of the library can then be properly assessed through a subsequent LTP process, but for budgeting purposes we have included funding of $4.8M to be spread over 2 years from 2030.
