General support for $854m spend

Dunedin city councillors have shown a cautious approach to the significant investment proposed for the city, but also a general acceptance it is required.

Councillors were approached yesterday to respond to a draft 10-year plan released on Thursday that signalled $854million of spending.

That would spark increased rates, an extra $68million of debt and asset sales of $63million.

Cr David Benson-Pope said for too long the council had not done the required level of maintenance "in all sorts of areas".

It was also facing the fact its visible infrastructure was tired and in need of attention.

There could now be "a positive, open and very public discussion about that".

Asked if it was time to spend, he said it was "time to make sure we’re not going backwards".

Cr Rachel Elder supported extra spending.

"I think Dunedin’s on a really good roll at the moment."

The city needed to invest to upgrade and maintain infrastructure, to look after infrastructure for sea level rise and water, but also to pay for projects such as the bridge linking the city and the harbourside.

Cr Elder said there was a rates relief scheme for those who could not afford a rates rise.

Cr Doug Hall said there was limited information as yet.

For instance it was uncertain what assets could be sold.

Cr Hall said he would prefer the rates rise to be under 5%,  but "the spending on assets has got to start sooner or later".

Cr Aaron Hawkins said it had been obvious for some time continued austerity would not allow the council to do what it was doing at the moment, "let alone achieve the priorities the community has set up for us under the strategic framework".

"There’s no point asking people what they want to get done and then turning around and not spending any money and trying to get those things done."

For some people any rates increase was a burden, something he would keep in mind during deliberations, but  the city must not be allowed to stagnate, Cr Hawkins said.

Cr Mike Lord said he was "looking forward to the debate".

The council had to make decisions on whether it wanted the premium version of projects, or less expensive options.

But he was "comfortable enough to increase debt".

The economy was growing, and there was plenty of spending about to begin, ranging from Aurora Energy’s pole replacement programme to the new hospital build.

"There will be a lot of things happening that mean we’ll boom."

Cr Damian Newell said Dunedin had to compete, and if that meant investment in the city "I think that’s something we have to look at".

It was important to hear from ratepayers during consultation, but there were exciting projects in the plan.

"I think Dunedin’s at a really, really good spot;  we’re going ahead," Cr Newell said.

Cr Conrad Stedman said if the public wanted what it had been asking the council for "it’s got to be paid for somehow".

"Things cost money, unfortunately."

Not everyone could afford rates rises, but there was rates relief available for those who needed it.

Cr Lee Vandervis said unless someone at the council started taking "reality pills" the city would be in serious trouble in terms of the amount of debt it took on.

The council needed to prioritise the harbourside link, the new Mosgiel swimming pool and  essential renewal work and upgrades to the city’s water network.

If the council had spent on water upgrades four or five years ago it would have avoided the $170million cost of the South Dunedin floods.

"The upgrade for the centre city and a whole lot of other things can wait."

Cr Andrew Whiley said he supported spending on renewals.

Asked whether it was time to invest in the city, he said he was interested in hearing what the public had to say.

On the city’s economy, he said there was about $4billion of spending on projects by the University of Otago and the Dunedin Hospital rebuild coming up.

"There is going to be a different vibe going through the city in the next 10 years than what there has been in the last 10 years."

Cr Kate Wilson said it was time to invest in Dunedin.

"It’s a really bright future, and I’m really excited by it."

Other councillors could not be contacted yesterday.

david.loughrey@odt.co.nz