Peters reaches Auckland Airport before making his way to Wellington.
Video / Michael Neilson
Western Bay of Plenty District Council has deferred adoption of its Long-term Plan due to a “lack of clear national direction” on core water and transportation services.
A Long-term Plan is a core planning document for any council and essentially underpins all activities and services a council provides, and how these would be funded, over the next 10 years.
At a meeting today, Western Bay councillors agreed to stall the adoption of its Long-term Plan to allow time to factor in a number of potential government-driven changes, post the October 14 general election.
It will now adopt its Long-term Plan 2024-34 in September 2024.
Western Bay mayor James Denyer said in a statement it was a “very deliberate decision” as there was “significant uncertainty and implications” regarding the affordable waters reform and transportation spaces following the general election.
Denyer said it was vital to have the most accurate and up-to-date information on these key areas, which had a major impact on the council’s financial and infrastructure strategies, as well as on rates affordability for the community.
“The Long-term Plan is our direction and social licence to operate and do the best for our community to address their priorities and preferences.
“We don’t want to have a kōrero with our community on a plan that is based on incorrect or incomplete information, or when things are likely to change. That would not be fair or transparent.
“Ultimately, we will ensure that we produce a Long-term Plan that provides for growth in the district, takes account of government-driven changes, recognises the economic challenges, and balances the need for rates affordability against delivering what our communities expect.”
A Long-term Plan is updated every three years and is a requirement of the Local Government Act.
The deferral meant the council would miss its deadline for adoption by the end of June 2024. It was unclear whether provision for later adoption would be considered in legislative changes.
Western Bay of Plenty District Council mayor James Denyer. Photo / Alex Cairns
“We are not alone in this space, with most councils experiencing challenging situations with rates and rating implications due to dealing with so many external factors all at once – the current legislative environment, change in government, inflation and the cost of living,” Denyer said.
The statement also said the current environment was also challenging due to significant inflation and increased debt servicing costs, which put more pressure on the council’s budget and ability to deliver core services and intergenerational projects.
Rates affordability was a key issue the council faced, and the uncertainty on water management and transport would compromise the council’s decision-making.
“All of this makes it really challenging for councillors to make good trade-off decisions with so much uncertainty. We also need to ensure that we are not compromising core services and projects with longer-term benefits for short-term rates reductions,” Denyer said.
Western Bay of Plenty District Council. Photo / Alex Cairns
“This extra bit of time will allow us to make better-informed decisions on our financial strategy, including debt levels and rates affordability considerations, and to present a more realistic and robust plan to our community for consultation in May and June 2024.”
Yesterday, major economics consultancy firm BMI reduced its score in its Short-term Political Risk Index, which measures a country’s political stability. New Zealand’s political stability now ranked at its lowest rating in more than a decade, with the report suggesting the lack of government due to the ongoing negotiations.
