Those figures were aired at a Vincent Community Board meeting in Alexandra yesterday, by Central Otago District Council chief executive Phil Melhopt. The preliminary estimates came from a report by Rationale, commissioned by the majority of local authorities in the lower South Island, to look at the economic impact of the new policy, he said. Building and Construction Minister Maurice Williamson yesterday said getting the policy right involved striking a balance between the risks posed by buildings in earthquakes and the costs of strengthening or demolishing them. Submissions on the policy close on March 8.
Local authorities are responsible for dealing with earthquake-prone buildings in their district. The Central Otago council has a ''passive'' policy. Alterations to the building or a change of use are trigger points for an engineer's assessment and possible strengthening. Under the proposed national policy, local authorities will have up to five years after the changes take effect to carry out seismic capacity assessments on all non-residential and multi-unit, multistoreyed residential buildings.
Owners will then have 10 years to strengthen or demolish earthquake-prone buildings. Mr Melhopt said local authorities involved in the report gave information about their building stock to Rationale. Based on those figures, there were 1600 Central Otago buildings - mostly commercial and rural properties - that would require seismic assessments.
''It would cost about $2 million to do those assessments and it would be the council's responsibility to do that. Council needs to have a good discussion about our submission on this policy,'' he said. Possibly, about 260 of those buildings would need strengthening to meet the new building standards. Based on a figure of $400 a square metre to strengthen, and 130,000sq m of buildings, it would cost Central Otago property owners a total of $52 million.
''If owners of commercial properties can't afford to upgrade, will businesses take off and relocate somewhere else?'' he asked.
Central Otago Mayor Tony Lepper said the policy would have a big effect on Central Otago towns. Board member Tim Cadogan asked: ''Can I just check - is this the same Government that is telling us to keep our rates down?''Community board members were concerned about the impact on businesses.
''It'll hit small rural communities big time,'' Martin McPherson said. After the meeting, Mr Melhopt said it was a ''huge issue'' and the council would look at the possible impacts.
''What will it do to town centres and to landlords, who are struggling to exist in the current economic climate?'' he asked.
