Mr Bailey's statement was contained in a report to the council's community services committee earlier this week, which outlined a $457,519 budget for tree maintenance and dangerous tree removal in the 2011-12 financial year.
The danger posed by unsafe trees was highlighted during high winds in 2009 when Russell Albert Liggett (57) died after a 20m poplar tree fell on his Toyota Hilux cab as he was driving near his home on Lower Shotover Rd.
In March, another tree fell on a road in high winds near Wanaka and reignited the debate about the potential dangers posed by ageing trees.
"I have stated numerous times in the past that the tree budget is less than realistic in comparison with the number of trees the council has in its ownership," Mr Bailey's said in his report.
Council has more than 8000 trees on its register, with more than $90,000 allocated in its hazardous tree removal budget.
"The majority of these trees saw no proactive maintenance for over 10 years, so council is still in catch-up mode and will be for some years yet.
Mr Bailey said he "generally" accepted council's explanation that it had limited funds for tree works.
In March, the Otago Daily Times reported that more than 300 trees in the district needed to be felled or trimmed because experts said they were dangerous, but the council did not have enough money set aside to deal with them all immediately.
A 2010 survey by Asplundh examined 571 individual and groups of trees and classified 76 as needing "urgent" attention, estimated to cost $104,000.
Five of the trees were in Wanaka, with the remainder in the Wakatipu.
Another 74 trees needed to be dealt with within 6-12 months, and another 155 trees within the next two years.
The average cost of felling and removing a tree was $1380 and there was about $30,000 remaining in the budget for this financial year at the time.
The New Zealand Transport Agency had agreed to provide some funding, bringing the net budget up to $52,600 for this year.
On Tuesday, the committee moved the recommendations for expenditure including $229,157 for cyclical six-year maintenance, $100,000 for hedge and $36,000 for requests for service.
Hazardous tree sites identified for 2011-12
Large trees at reserve between Hensman Rd and Frankton Rd ($71,000)
• Millbrook Cr poplar hedge ($12,000)
• Mt Aspiring Rd ($5762)
• Lake Hayes, northern end ($3500)
• Anderson Dr ($3500) Morrow's Mead ($3000)
• Arrow River ($3200)
• Willow trees opposite Mantra Apartments, Frankton Marina ($2400)
