The subcommittee overseeing the plans has been granted $80,000 in the latest round of Stewart Island/Rakiura visitor levy fund allocations.
Southland district councillor Bruce Ford, who represents the island and chairs the council's Stewart Island jetties subcommittee, said the grant was "just delightful''.
"We really needed this money, otherwise we would have come to the point when the jetty had to close for safety reasons, and that point was getting close.
"Visitors would have had to have been unloaded on to the beach, and not everyone can cope with that.''
The 270ha Ulva Island lies within Paterson Inlet, a short boat ride from Stewart Island.
It is managed by the Department of Conservation and visited by an estimated 25,000 people annually.
Cr Ford said even with the latest grant, plus an earlier grant of $20,000 towards design costs, the subcommittee still did not have enough money to build the new jetty.
He said it could be another year before all the money was raised, and it was hoped construction would take place in early 2018.
The final cost was not known, but he said he would not be surprised if it reached $200,000.
Last year the subcommittee rebuilt the wharf at Port William, Stewart Island, a popular pick up and drop off point for trampers and hunters.
It had come in at $150,000 - about $50,000 over initial estimates - and the subcommittee had taken a $49,000 loan which was being paid off over 15 years.
The subcommittee was continually hampered by a lack of funds, he said.
Its only income was from landing concession levies paid by tourist operators.
"But once we have new assets in place the subs go a long way towards maintaining them.''
The subcommittee also received a grant of $6624 from the visitor levy fund towards maintenance costs at the Millars Beach wharf.
Visitor levies have been in place since October, 2013.
Visitors arriving by ferry, plane or cruise ship are charged $5 each and the money is used to fund visitor infrastructure via a contestable fund.
Grants totalling $154,799 were approved earlier this month.
The other recipients were the Stewart Island/Rakiura Community Environmental Trust ($4800 for operational costs), Stewart Island/Rakiura Community Board ($40,000 to upgrade Horseshoe Point Track and $20,000 to upgrade part of the Main Rd footpath), Stewart Island Promotion Association ($2000 for a street map), and Stewart Island Community Centre ($1375 for signage).
Visitor levy allocations committee chairman Cr Neil Paterson said three applications had been turned down because the committee had to prioritise projects.
"There are more applications for funding now than there is money to be allocated, which is a good, healthy situation to be in.''
Cr Ford said almost $400,000 had been distributed since the levy began.
