Aucklanders will shortly be consulted about a regional petrol tax of 11.5 cents a litre to tackle congestion but won't be immediately told where the money will be spent.
This is because Auckland Council and the new Labour-led Government have not lined up their transport priorities for the city, and uncertainty lingers over Government funding.
The regional petrol tax is the brainchild of Mayor Phil Goff to boost spending on transport across the city where commuters have been warned Auckland's gridlock nightmare is set to escalate by 30 per cent at peak hours and 50 per cent off-peak.
The tax is estimated to cost households $140 a year. It will raise $130 million to $150m a year, but this will be offset by the loss of $60m a year raised by an interim transport levy which expires this year.
The regional fuel tax is included in the council's draft 10-year budget. The consultation document for the budget is expected to be approved by councillors tomorrow to go out for public consultation on February 28.
The only thing the consultation document says about where petrol tax will be spent is it "will be committed to transport projects and/or services and will improve the performance of Auckland's transport network".
Consultation on the budget begins before a review of a joint government-council transport programme is due to be completed next month. Once the review of the Auckland Transport Alignment Project (ATAP) is completed, Aucklanders will be consulted on a specific transport programme funded from the tax.
The 10-year budget outlines the financial pressures facing the council from decades of under-investment in key areas like transport and stormwater and a city growing by the population of Tauranga every three years.
There's a warning the council cannot afford to renew all of its libraries, swimming pools and playgrounds to modern standards. The 21 Local Boards have been asked to advocate for one key project in the budget (see below). Libraries, swimming pools and playgrounds are high on the list.
Projects in the budget are city-centric, with the central city and waterfront topping the list for investment arising from the additional pressure from the America's Cup defence and Apec leaders meeting in 2021.
The council is expected to spend tens of millions of dollars on infrastructure for the America's Cup bases and $260m on other waterfront and downtown work.
"We still don't have enough funding," says the consultation document, adding working with government, revenue other than rates and selling more assets are options to fund the gap.
Goff was unavailable for comment today.
Main points of the 10-year budget
Hold overall rates increase to 2.5 per cent in the first two years and 3.5 per cent thereafter.
Introduce regional petrol tax of 11.5 cents a litre to replace the interim transport levy.
Proposed water quality targeted rate based on value of your property.
Two different proposals for natural environment targeted rate to fight kauri dieback and other projects.
Increase universal annual general charge (UAGC) - a flat charge paid by all ratepayers - in line with the general rates rise.
Resumption of long-term plan to gradually reduce business rates, leading to small increases for residential ratepayers. The reduction was halted in Goff's first budget last year.
Changes to the targeted rate for accommodation providers.
Disestablish Auckland Council Investments Ltd
Local Board key projects
Albert-Eden - replacing aquatic centre at Mt Albert Grammar and badminton/table tennis centre in Gillies Ave.