Flood-hit town gets $3m from Government for rebuilding

The scene at Matata in May after mud and debris left residents with a huge mess. Picture / Alan Gibson

After months of waiting, the people of Matata yesterday learned that the Government will contribute $3 million to rebuilding their devastated Bay of Plenty town.

But reaction from residents was mixed, with some saying the money is key to Matata's survival and others dismissing it as inadequate.

Civil Defence Minister Rick Barker said the Cabinet had approved one-third of the capital costs of rebuilding projects that the Whakatane District Council decided to undertake after community consultation.

"That we've got it through prior to Christmas is fantastic," Mr Barker said. "We can now get on with the rebuilding of Matata."

The projects include a dam designed to protect the town from a repeat of the May 18 disaster when debris flows of mud, rocks and trees hit two large areas at the eastern and western ends of Matata.

The announcement came after the council submitted a final report with the project costings on Wednesday.

Mr Barker said the Government was not prepared to pay more than one-third of the project costs because it had not gone beyond that in past natural disasters.

Council recovery manager Diane Turner said the amount granted was consistent with that requested.

She said the council could now proceed with funding allocations for the projects in the New Year.

A priority was to employ a manager to oversee the works.

Kay Fergusson, whose beachfront home was hit by debris flows, said she was relieved at the Government assistance. "I'm really pleased because we didn't think Helen [Prime Minister Helen Clark] would go through with it."

Mrs Fergusson and her husband Keith own a second property in Matata where they had planned to retire.

That property is one of three that the council is now likely to buy to make way for construction of the debris dam on Awatarariki Stream.

The other two are properties without houses.

Mrs Fergusson said parting with their property with the cottage was a necessary sacrifice.

"We're just grateful to be able to rebuild our big house and get on with our lives."

But Matata Resource Centre co-ordinator and iwi development adviser Anthony Olsen said $3 million was far from enough.

"It's just not going to do anything," he said.

Rates rises that the council must now impose on the community to fund the remaining two-thirds of the rebuilding projects would force many local Maori out of town.

The package

The Government's $3 million for Matata will help pay for:

* A 17m debris dam on Awatarariki Stream.

* A bund on Waitepuru Stream to control future debris flows.

* A project manager to oversee the rebuilding works for two years (the Government contribution to this is $100,000).