The council had in March approved a draft capital expenditure budget of almost $240m for 2026-27 annual plan consultation while at the same time signalling such a spend was unlikely.
In reports to be discussed by councillors next week, the revised figure is just above $210m.
Most of the reduction is accounted for in the waste minimisation sector.
Its capital expenditure budget was cut by $26.8m to about $23m.
Work on projects such as a materials recovery facility and resource recovery park precinct were being ‘‘rephased’’.
Councillors are to consider two other ways they might trim capital spending.
One is possible deferral of the Princes St bus priority and safety plan.
The other is deferring the next stage of the harbour arterial efficiency improvements project.
Deferral could allow the council to reassess timing, scope, staging and alignment with network priorities before committing capital to the next stage, a staff report said.
However, both projects were within the regional land transport plan programme and had funding support of 51% from the NZ Transport Agency Waka Kotahi.
At this stage, they were in the council’s 2026-27 capital spending budget — $3.2m for Princes St and $1.5m for the harbour arterial route.
Plans included creation of a roundabout beside the Oval at the intersection of Princes St and South Rd.
Regarding further work on the harbour arterial route, staff said its effectiveness could depend on future network improvements, including a long-term solution for the Ward St bridge over the railway.
The harbour arterial route is aimed at attracting some traffic away from the city centre, particularly given the city’s new hospital is being constructed there.
A disadvantage of deferral was this would prolong reliance on central city streets for freight and through-traffic, the report said.
Councillors have previously expressed concern about the Ward St bridge’s capacity and potential upgrade costs.
