QLDC keen to be part of new funding model
Sue Wards / Wānaka App
Queenstown Lakes District Council (QLDC) is keen to be part of a new funding approach for councils to deliver infrastructure, which includes enhanced private sector involvement and the liberalism of planning rules.
Local government minister Simeon Brown announced the introduction of ‘regional deals’ last week (August 22), which he said will coordinate capital investment between central and local government and utilise new and existing funding tools to finance infrastructure.
QLDC mayor Glyn Lewers told the Wānaka App the council has not received an invitation to provide a proposal for a regional deal, but it would “welcome the opportunity to do so”.
“As stated in the recent consultation document on the draft Long Term Plan, this council is committed to exploring alternative funding, particularly if it can help balance the burden of infrastructure costs across ratepayers and visitors.”
The regional deals model would rely on greater regional collaboration and enhanced private sector involvement, Simeon said.
“Deals will work to unlock economic and regional growth, remove regulatory bottlenecks, and support investment in infrastructure funding and provisions, in exchange for a commitment of planning liberalisation,” he said.
The minister said initially five councils will be invited to submit proposals and central government may then commit to supporting specific projects such as transport, schools, and hospitals.
This could be funded through “new user charges, value capture, targeted rates, tolling and congestion charging”; reallocation of existing government funding (eg via the International Visitor Conservation and Tourism Levy); and enhanced Going for Housing Growth payments - “which could include a share of GST for local government”, the minister said.
Support could also be through “sharing royalties generated by new and reestablished exploration of the mineral estate, or other forms of regional economic development”; and legislative changes.
The government intends to complete the first deal in 2025, the minister said.
He added that support would be contingent on councils being in a growth area with “clear objectives around economic growth, productivity and infrastructure”, with spatial plans and future development strategies in place.
Implementing ‘regional deals’ is a commitment under the National-ACT coalition agreement.
