CDC debt cap breached

The Clutha District Council will exceed its self-imposed debt-per-capita level after two internal loans were overlooked last year.

At its meeting last week, council chief executive Charles Hakkaart said two internal loans were overlooked when the council was developing its long-term plan last year.

A limit of $1500 per head of population had been set for a proposed debt level of $24.455 million.

However, the level of internal debt is expected to rise to $27.279 million, bringing it to $1590 per head of population.

Mr Hakkaart said submissions on the annual plan were ''pretty quiet'' regarding the level of rates.

Clutha Mayor Bryan Cadogan said it was the council's job to draw a line in the sand.

''It has shown us, quite startlingly, what happens when you break it down to individual communities.''

Councillors decided to exceed the limit and adjust it as part of the 2015-25 long term plan.

- helena.dereus@odt.co.nz

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