City Council meets on 15 July to finalise its Annual Plan
10 July 2003
Christchurch City Council meets next week to debate and approve its annual
plan and budget for 2003/04 and Cr Alister James believes the proposal
being put up by his committee balances the needs of a growing city with
the desire
to contain cost increases.
If approved, the Annual
Plan to be considered
on 15 July would result in an over-all rates increase of 3.12 per
cent. The breakdown by
sector is: residential +4.22%, commercial/industrial –0.53% and rural
+4.77%. The City Council budget year runs from 1 July to 30 June.
“I’m pleased we’ve been able to keep our rate increase
to around 3 per cent and that the indicative changes for future years are
also modest,” says
Cr James. “We’re doing that at the same time as maintaining
existing levels of service for a growing city and providing for
some new services and facilities.
“The South Christchurch Library is about to open and we’ve
brought forward some money into this year so that we should have a start
on a new
library for Parklands later next year. The same is true for the
Jellie Park pools upgrade.
“One fairly large change between the draft and this final plan going
to Council is an extra $540,000 in capital this year for the North
New Brighton War Memorial Hall project,” Cr James says. “That
community’s
presentation was very strong, persuasive and positive. The committee
members were impressed and I think it made a big difference in
what was decided.
This extra money means that work can now start and the total upgrade’s
likely to be finished this financial year.”
The Draft Plan was open
for public comment from 23 April until 28 May. More than 300
people and groups made submissions, with
more than 200 asking for more to be spent on current and new
schemes. Many of these
were from community organisations. Of about 100 pleas to do with
streets issues, many asked that work be started earlier than
has been planned.
Cr James says several other items in the Plan
are likely to be of interest to councillors when they meet next
week. These include:
Road works (including kerb and channel and
surfacing): The price of this work continues to rise at a
rate well above that of general inflation. The
committee report warns that, despite a 14% rise in the budget
set aside for these works, planned projects for the year may
overrun budgeted costs.
Theatre Royal: The committee is recommending
that $2.3m in capital funds
be given to assist the theatre’s $6.8m restoration project. It is
hoped the public and central government will provide the other
two thirds of funding needed. Another proposal, for money to help
buy and renovate
an old theatre on Tuam Street, was turned down.
“
For the city, the Theatre Royal has to be the priority,” Cr James
says. “It’s loved and well used and it’s an important
heritage building. ”
Growing city: The plan predicts $2m more in rates revenue from growth – new
subdivisions, building additions and new developments inside
the city.
Lake Isaac Watersports Park: Cr James’ committee suggests
the Council commit to a capital investment of $12.4m in 04/05
and 06/07 to build the
lake. He warns that this is more an indication than a firm commitment.
“
We’ll want to know that we’re getting satisfactory tenure in
the land and that this is something the community wants and that it fits
with land-use issues in that area,” he says. “We also want to
see a strong business case that it can survive on its own once it’s
built. This is a significant item that wasn’t signalled in the Draft
Plan so it will need full public consultation before we can go
ahead. ”
Clearwater
Golf Classic: Over the next three years, the committee is recommending
that the Council grant $400,000 a year to this
international sporting event.
The Council had been asked for $500,000 a year.
“
The case put up by the organisers was pretty compelling,” Cr James
says. “There’s nothing else in the South Island that gives
such a huge international television audience and it seems that, without
this support in its early years, the tournament would be lost
to New Zealand.
The committee I think saw this as an economic development issue. ”
Youth initiatives: Several projects which aim to assist the city’s
young people have been earmarked for additional support. These include the
198 Youth Health Centre, the Canterbury Youth Workers’ Collective
and Youth and Cultural Development.
Aranui Renewal: “We had a number of submissions in support of the
work being done under this umbrella idea,” Cr James says. “It
seems to be generating positive outcomes and the committee wants
Council support to continue.”
- Notes on budget: Each year, the full cost of City Council
operations are met by the rates take and earnings from investments
and dividends from the companies which it owns or part-owns and
from fees and charges. The plan going before the full Council
on 15 July has an operational budget of $287 million. A little
under half of
that ($132m)
will come from income other than rates. This plan’s
capital spend is expected to be $97.4m.
The Council’s policy is to borrow money only for projects
which create or improve a capital asset, not for general
operational spending. What this means is that extra spending
such as money
grants from the Council or higher payments for fuel and wages
directly push up rates, while money earmarked to refurbish
a hall or build a new library do not have the same direct
effect.
View the 2004 Draft
Financial Plan and Programme (previously known as the Annual
Plan)
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