FNDC's unusual problem: More infrastructure funding than it can handle

Regional Economic Development Minister Shane Jones announces $7.5 million in PGF funding for the Bay of Islands Vintage Railway and the steam ferry Minerva in Kawakawa in July, just a few of the $65m worth of projects funded so far. Photo / Peter de Graaf

The Far North District Council is so swamped with government cash for Provincial Growth Fund projects it has set up a dedicated steering group to make sure they're all built on time.

The council, along with its commercial arm Far North Holdings, has so far received more than $65 million for infrastructure projects from the PGF and the Covid-19 Economic Recovery Fund.

They include roundabouts, sport facilities, jetties, breakwaters, a museum, an industrial park, historic site upgrades and a sculpture, to name a few.

Most of the funding applications were submitted by community groups, with help from council staff.

The council is now working with those groups to make sure the projects meet tight Government deadlines.

Mayor John Carter said the newly formed Programme Steering Group would oversee projects such as Bay of Islands Sports Hub, Kerikeri Domain, Lindvart Park Pavilion, Mangonui boardwalk, Te Hiku revitalisation, Twin Coast Cycle Trail/Northland Adventure Experience and maritime facility upgrades.

"Legal entities are being established for each project to provide a signatory for the funding agreement with central government. Working groups will answer to these legal entities and will gather public opinion and develop solutions for each project."

Carter said planning was already well-advanced on the Kerikeri Domain, Te Hiku revitalisation and Bay of Islands Sports Hub projects, with work possibly starting this month.

Getting community input on each project was important but in some cases it would be a difficult process.

''There are many passionate groups in the community with strong and sometimes conflicting views about how each project should be implemented. Agreeing project plans will require a great deal of faith and compromise in some cases."

The council risked losing funding if it failed to meet Government deadlines, Carter said.

"Our community partners understand this, and we are developing ways to gather their input quickly so each project can progress smoothly. This will likely be through a combination of representative steering groups and online feedback options."

During NZ First leader Winston Peters' visit to Kerikeri on Wednesday, a member of the public claimed that PGF money for community projects was ''stuck'' inside the Far North District Council.

Regional Economic Growth Minister Shane Jones, answering on his leader's behalf, said he would solve the problem by applying ''a suitable laxative'' to the council.