The proposal recommends the addition of a red-paved pedestrian crossing on Church St and "significantly" improved lighting, plus a small number of trees and seating and cycle parking on footpaths.
A combined coach stop and loading zone was suggested for outside Nomads Backpackers, in place of six car parking spaces.
Sewerage and water pipes would be replaced and the street would be rebuilt and asphalted.
The southern side footpath would be widened by about half a metre.
Searle Ln would continue to be used as a daytime service lane.
However, one idea considered was that vehicles would be prohibited at night, so the lane could be used by pedestrians and adjacent businesses.
Paving stones and asphalt were earmarked for the lane.
A footpath was not.
QLDC utilities chairman and councillor John Mann told the Queenstown Times that Church St and Searle Ln were all part of the central business district experience and not only had transport functions, but also large amenity values.
"We're seeking confirmation that what we're looking at is appropriate and we have made the right provisions for delivery, pedestrian access and services."
Mr Mann said there were three issues in particular on which the council wanted to comment:
• Was the coach stop and loading zone in the right place?
• Was a second pedestrian crossing needed at the Camp St end of Church St?
• Were the five time-restricted car parks for disabled motorists appropriate?
"I know there are concerns about access for delivery services on Searle Ln and I'm already aware they want it obstruction free," Mr Mann said.
"We want to hear feedback on the idea of sharing the lane between delivery trucks during the day and as a pedestrian and retail amenity at other times."
When asked why the council was turning its attention to Church St and Searle Ln now, Mr Mann said it made sense to wait until construction on the Church St complex was finished before starting "the necessary rehabilitation of the street and the sewerage, water and stormwater utilities all in one shot.
Some of it was due, some of it was brought forward".
Details were yet to be finalised, but the work was aimed to start in October, with a Christmas moratorium until February and completion in March 2010.
The New Zealand Transport Agency was contributing 43% of the cost of upgrading the carriageway.
Amenity contributions from undisclosed parties in the private sector were being negotiated.
The proposal was available online at www.qldc.govt.nz or in the council's office on Gorge Rd.
Residents have until September 4 to lodge their comments.
Submissions would go to the committee for consideration before the project went any further, Mr Mann said.
The council was aware of the ongoing debate concerning the safety of car parks in Marine Pde, between the Main Town Pier and the Memorial Gates.
Mr Mann said QLDC officers were being encouraged to investigate alternatives and the council welcomed any ideas the community might put forward.
