Auckland mayor Wayne Brown is having to rethink spending on stormwater. Photo / Dean Purcell
The weather gods appear to be forcing Auckland mayor Wayne Brown to abandon plans to cut stormwater maintenance by $2 million in this year’s budget and boost spending on storm events by $20m.
Last night, a mayoral spokesman said the mayor would not support cuts to stormwater maintenance, saying the $2m figure was a technical change to the way that the council budgeted for reactive stormwater maintenance.
The January 27 floods and now Cyclone Gabrielle are impacting the council’s financial position and prompting a rethink on proposed cuts to environmental and climate-related items in Brown’s first budget, drawn up in response to a $295m budget hole and the cost of living crisis.
Forest & Bird says Brown’s mayoral proposal released before Christmas is not fit-for-purpose in a climate emergency and biodiversity crisis.
“It’s shocking that this budget would slash funding for stormwater management. It’s the last thing Aucklanders need after enduring devastating floods,” said Forest & Bird Auckland regional conservation manager Carl Morgan.
He said proposed cuts to stormwater management, public transport, local environmental efforts, and sustainable urban regeneration are not consistent with the council’s climate plan, Te Tāruke-ā-Tāwhiri.
Five days ago Brown and councillors received an update from senior finance officers on the impact of the storm event on the council’s group finances and on Wednesday an emergency committee meeting of the governing body is due to adopt consultation material for the budget.
In the update was a reference to the way the council budgets for reactive stormwater maintenance, with officers saying a move to base it on long-term averages is expected to reduce the operating budget requirement by $2m a year.
“This might no longer be appropriate and will need to be reviewed as part of decision-making on the final budget. This would require $2m of alternative funding to be required,” officers said.
The mayoral spokesman said the December mayoral proposal included a $2.6m increase in the stormwater budget to $75.8m. It also included $134.6m in capital spending on stormwater infrastructure.
“There has been some confusion about this because of changes to the way the budget has been presented.
“In preparing advice on the proposal, council management made a technical change to the way that the council budgeted for reactive stormwater maintenance. That reduced the amount budgeted for the item, but does not represent an actual reduction in maintenance spending. It may be that this change will not be made,” said the spokesman.
He said the mayor has not proposed, and would not support, cuts to stormwater maintenance or infrastructure.
“As a result of the recent severe weather events, we are now proposing to increase our operating budgets for reactive and proactive storm response by a further $20 million each year. This addresses the immediate need to do better as a result of underinvestment in this area over many years,” the spokesman said.
The emergency committee talks come hot on the heels of the council’s planning committee last week launching an investigation into the implications of the floods on infrastructure and planning issues with the intention of bringing the Government to the table.
The city’s infrastructure and planning shortcomings were exposed in the flood disaster, prompting the council to review its planning rules and regulations.
The $20m boost in this year’s budget for more regular clearing of drains, increased emergency management, waste disposal, building support, and support for affected people is equivalent to a 1 per cent rate rise.
Officers are still calculating the cost of the floods, which include emergency management costs, such as building inspections, clean-up and repair costs; free disposal of waste; reduced revenue from storm-damaged council facilities such as the zoo; disruption to public transport, and waiving transport fines.
The costs to support the flood response and recovery work, repairing and renewing council-owned and managed assets “could be substantial over time”, they advised councillors.
However, officers believe there is enough flexibility within the council’s debt headroom, existing budgets, insurance cover, the climate change response fund, and Government funding to deal with the near-term effects.
Officers also believe the storm events should not have a material impact on plugging the $295m budget hole, which includes reducing running costs at the council and council-controlled organisations (CCOs) by an extra $130m, and selling the council’s airport shares valued at $2 billion.
The budget measures add up to a proposed general rates rise of 7 per cent but with rating changes it equates to a 4.6 per cent rate rise for households.
The draft budget also depends on a raft of other cuts, including slashing the water quality targeted rate and natural environment targeted rate by two-thirds this year and using reserves in those targeted funds to carry on works in the 2023-2024 financial year.
Also in the firing line are several regional services that would be stopped, reduced, or made dependent on other funding. Council funds would stop for regional events such as Music In Parks, CultureFest, and the Citizens Advice Bureau. Comet, a CCO that supports education and skills training, would also lose council funding.
Further details on cuts to regional services will be provided when the draft budget goes out for public consultation between February 28 and March 28.
Barbara Guy, Citizens Advice Bureau manager at Massey, said plans to cut $2m from the city’s 22 offices would be a “kick in the guts” when the free service is supporting Aucklanders affected by the floods and Covid-19.
“West Aucklanders are coming to the Citizens Advice Bureau desperate because their houses are unliveable, they have nowhere to go and their landlords are still demanding rent.
“How is it acceptable for Auckland Council to rip away a safety net for vulnerable Aucklanders who can’t otherwise get the support they need?” said Guy, whose organisation has the support of the PSA for continued ratepayer funding.
Morgan said Forest & Bird is deeply concerned about significant cuts proposed for community-led environmental efforts, including weed and predator control, restoring urban forests and wetlands, and flood protection.
“Aucklanders care deeply about their environment and these cuts will severely impact their ability to deliver on-the-ground conservation for the betterment of our city … for every dollar that council invests, we get back many more volunteer hours,” he said.