Pākōwhai was one of the worst-hit residential areas during Cyclone Gabrielle. Photo / Paul Taylor
Hastings and Napier councils have officially agreed to fund half the bill for Category 3 home buyouts, and to accept a shared-cost cyclone package from the Government.
It is an unprecedented move for both councils, which have not been involved in voluntary buyouts of homes before.
The two councils met separately on Thursday and both agreed to make amendments to their Long Term Plans (LTPs) - a procedural step which means they can now move ahead with voluntary buyouts of residential properties.
That voluntary buyout process will likely begin next month, with the more than 300 Category 3 property owners in Hawke’s Bay.
In early August, both councils provisionally agreed to accept a shared-cost cyclone package from the Government, pending community consultation. That included the Government and councils going 50/50 on the bill for Category 3 home buyouts.
A community consultation process concluded earlier this month and attracted about 200 written submissions across both councils.
That feedback was taken into account before the councils agreed to make amendments to their LTPs and go ahead with finalising an agreement with the Government.
“Adopting both the policy and the LTP amendment will enable Hastings District Council and Napier City Council to move forward with making buyout offers for residential Category 3 properties once we have finalised the agreement with Government,” Hastings Mayor Sandra Hazlehurst said.
“Having a voluntary buyout programme in place will allow [Category 3 property owners] to make informed decisions and provide certainty for their future.”
The Government’s half-billion-dollar cyclone package for Hawke’s Bay includes up to $92.5 million for property buyouts (with councils covering the other half of those buyouts), $203.5m towards flood protection and $260m for road and bridge repairs and replacements.
While it does carry a financial burden for Napier and Hastings councils and ratepayers, it was widely accepted as the best offer available from the Government.
Hastings District Council has more than 300 properties provisionally placed in Category 3, while Napier City Council has 20 properties.
No other councils in Hawke’s Bay have Category 3 properties.
That means Hastings District Council will have the biggest financial burden for the buyouts.
Lead minister for the Hawke’s Bay cyclone recovery, Kieran McAnulty, said this week marked an important step.
“I think it is a really significant moment in the recovery for the councils to have gone through their process, and to have approved this,” he said.
“For them to say ‘yes we are doing this’ will provide so much certainty to people who are affected here.”
The next step is for Hawke’s Bay Regional Council to move its list of Category 3 properties from provisional to final.
That process is expected to be completed by the end of this month, which will then allow Hastings and Napier councils to begin the buyout process.
Suburbs with Category 3 properties include Esk Valley, Pākōwhai, Tāngoio, Dartmoor, Bay View (Eskdale end), Rissington and Aropaoanui.
Gary Hamilton-Irvine is a Hawke’s Bay-based reporter who covers a range of news topics including business, councils, breaking news and cyclone recovery. He formerly worked at News Corp Australia.