The Lawrence-Tuapeka Community Board yesterday recommended the council grant the developers' request to reduce its financial contribution by 50%.
Discussion about allowing the reduced financial contribution for water and sewerage was brought forward so developer Neville Williams, who attended yesterday's meeting, could listen to the board's comments. Mr Williams is undertaking the 11-unit motel development on behalf of UK owner Stephen Wadsworth. Clutha District Council chief executive Charles Hakkaart said the proposal already had resource consent approval to build on the Beaumont Highway, near the police station, with certain conditions.
"In the [district] plan, we have a financial contribution policy. Normally, we would just apply a formula, but in this case we have had a request [for a reduced rate]," he said.
In response to question from Roger Cotton, Mr Hakkaart said there had already been a precedent for granting such a request.
"It's good to see some new development coming into the town," Mr Cotton said.
"If they were charged the full amount, it would be cost prohibitive, and it's a great initiative."
A recommendation to halve the financial contribution was moved by Garry McCorkindale and seconded by Rowena Paterson.