Consultation-Document-2016.Pdf
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1 Thanks for taking the time to read this consultation document from Southland District Council. This sets out the significant changes INDEX Council is making from its 10 Year Plan, which was adopted in June last year and which is renewed every three years. It does 3. Introduction from the Mayor and Chief Executive not go into detail about everything Council will be doing in the 2016/2017 year, only the major changes from the Plan. 4. Significant Issues - Sealing the Catlins Road For more information on all projects, please refer to the - How the changes affect your wallet Annual Plan section on our website southlanddc.govt.nz 11. Updates on major projects 12. What’s happening in your community? 16. The dollars and cents 19. Have your say All dollar values in this document are GST exclusive unless stated. VISION - to have thriving healthy communities - MISSION - working together for a better Southland 2 FROM THE MAYOR AND CHIEF EXECUTIVE Welcome to Southland District Council’s consultation document for the 2016/2017 Annual Plan. Under legislation, this document sets out the significant changes for the upcoming year, not everything that has been planned in the 10 Year Plan for the coming year. Nothing remains the same and staff and Council have identified key issues we need to talk to you about. More information and options are included in the following pages, and it is important that you understand your opinions are central to the decision- making processes of Council in the next few months. The major change is the need to spend more on the Catlins Road sealing project. We discussed this with you last year and Council approved the project as part of the 10 Year Plan in June 2015. However, further investigation has taken place and the project has increased in cost. It is also logical to seal the road to Waipapa Point at the same time, which also adds further cost. Funding is available from the New Zealand Transport Agency because it, too, sees this project as a safety priority, so this is the time to complete this project, but we want to know what you think. The total rates take is proposed to increase by 3.3%. The reasons for this are explained in this document and include fluctuations in expenditure and a proposed increase to the regional heritage rate. Fees and charges are also changing, some because Council needs to meet legislative changes under the Food Act. We have also explained how some of our larger projects, such as the Te Anau wastewater disposal scheme proposal and the Around the Mountains Cycle Trail, are progressing. These projects have already gone through consultation and engagement. Gary Tong Steve Ruru MAYOR CHIEF EXECUTIVE Finally we also highlight key changes to local projects, which, although not considered significant by legislation, we know are important to you. As always, we welcome your thoughts on what Council is doing and encourage you all to have your say. 3 SIGNIFICANT ISSUES SEALING THE CATLINS ROAD INCLUDING EXTENSION TO WAIPAPA POINT The tourist route along the Catlins road, from Nugget Point through Curio Bay and along the alternative coastal route, is gravel and has a high number of crashes, particularly amongst tourists. In last year’s 10 Year Plan, Council consulted on a project to seal the map final section of the road from Haldane to Curio Bay, including the Slope Point Road up to the first carpark. The cost of $4 million was based on a high-level understanding of the project. After submissions, we decided to progress this project. Staff and contractors have now completed an onsite in-depth analysis and more design requirements and material are needed. This includes more gravel under the existing road. An extra $2 million is needed to carry out this sealing project, making a total of $6 million. A popular attraction in the same area is the Waipapa Point Lighthouse. The access road to the lighthouse is gravel and it is proposed to include this road up to the Department of Conservation carpark in the project at a cost of $1.15 million. Doing both projects together is more cost effective. The green dotted lines are the proposed roads for sealing. 4 SIGNIFICANT ISSUES An application to the New Zealand Transport Agency has been made for a minimise disruptions to road users. If NZTA funding is not approved, the project will not go ahead. contribution of 54% of the $7.15 million. It is likely to be approved, but has not yet been confirmed. Council’s share of the project cost would be $3.29 million if it The below table sets out the options we believe we have. We want to know which one you prefer or other is approved. It is proposed to complete the project, if approved, over two years to ideas you might have. Sealing Catlins road Cost and funding Impact on rates Impact on community (levels of service) Our proposed option - Sealing the This project is forecast to cost $7.15 Council starts loan repayments the year The seal extension will provide a safer road and Catlins Road, from Haldane to Curio million and is likely to be funded at 54% following when the costs are incurred. encourage economic growth by making key tourist Bay, including the Slope Point Road to by NZTA. The local share of 46% will be The annual loan repayments for this project will attractions more accessible. the first carpark and the road leading funded via a loan over 20 years. be $105,658 in 2017/2018 and $262,258 to the Waipapa Point Lighthouse. for all remaining years of the loan term. Option 2 - Sealing the Catlins Road, This project is forecast to cost $6 million The annual loan repayments for this project The seal extension will provide a safer road but not from Haldane to Curio Bay, including and is likely to be funded at 54% by will be $105,658 in 2017/2018 and sealing Waipapa Road will mean a key tourist attraction the Slope Point Road to the first NZTA. The local share of 46% will be $218,863 for all remaining years of the is less accessible then if sealed. carpark but NOT the road leading to funded via a loan over 20 years. loan term. the Waipapa Point Lighthouse. Option 3 – Not sealing any of the Maintenance of the roads will be a If there is no loan, then there is no impact The levels of service will remain at the status quo. roads. mixture of rates and NZTA funding. on rates. NB: Sealing the Catlins road was supported in the 10 Year Plan 5 SIGNIFICANT ISSUES HOW THE CHANGES AFFECT YOUR WALLET This plan includes an overall rate increase of 3.33% for 2016/2017, which is a slight increase on the 3.18% forecast for 2016/2017 in the 10 Year Plan. ROADING RATE MODEL The 0.15% change, which equates to about $61,000, is because of: There are adjustments to the roading rate model because of changes to rating information and an increase in the roading budget from 2015/2016. The roading budget is $13.47 million, a 1.3% increase from • Changes in operational contracts and expenditure 2015/2016, but is $436,000 less than what was proposed for this year in the 10 Year Plan. • An increase in the regional heritage rate Outcomes of the model are provided in the table below. 6 SIGNIFICANT ISSUES PROPERTY RATE EXAMPLES Rates on properties will vary depending Below is a list of sample properties and how the proposed changes will impact rates. on location, the local projects being funded and the services received. Southland District was subject to a property revaluation in 2015 and the values stated above are the new values as at September 2015, which are the basis for calculating the 2016/17 rates. Therefore the change in the proposed rates from 2015/2016 to 2016/2017 is partly a result of the change in the valuation of each property. 7 REGIONAL HERITAGE RATE Another proposed change is an increase to The below table sets out the the regional heritage rate. This rate is $34.12 options we believe we have. including GST per household for the 2015/2016 We want to know which one year and is adjusted by inflation annually. It is you prefer or other ideas you collected by Southland and Gore District Councils, might have. and Invercargill City Council and is managed by the Southland Regional Heritage Committee. The Regional heritage rate Funding Impact on rates Impact on community funds are used to support museums and heritage (levels of service) throughout the region. Option 1 - Our proposed Through rates. $5 including GST per Exceeds 10 Year Plan It is proposed that this rate is increased by $5 option – A rate increase of household – a total increase, but provides some including GST per household (making it $39.12 $5 including GST. of $77,095 for the funding for the museum to including GST per household) to provide more district. carry out projects. funding for projects, such as cataloguing and Option 2 – A rate increase Through rates. 84 cents including Increase consistent with 10 research, at the Southland Museum and Art as per the 10 Year Plan GST per household – Year Plan. Gallery. However, it is subject to all three councils (inflation). a total of $12,901 for agreeing to this change. the district. 8 FEES AND CHARGES Another significant change is an increase in some fees and charges. New fees and charges surrounding the recently updated legislation on food safety have been included in the changes, along with alcohol licensing charges.