It has concerns about recent changes to board delegations, wants assurances the board would still have a "tangible influence" on decisions about significant Cromwell projects and wants a legal opinion on what Cromwell’s endowment funds can be used for.
The concerns were outlined in a recent board submission to the council by board chairwoman Anna Harrison.
Mrs Harrison said it was "unclear what the board would stand to lose and hence the district does not understand what it stands to gain" from moving to a district-wide funding model.
The board understood infrastructure needs across the district were one of the drivers for the districtisation discussion, but was worried wealthier wards would be funding district projects.
"This is perceived as a potential loss for Cromwell ward that has carefully managed land holdings and monetary reserves over time and been able to use these to fund major projects and developments within Cromwell without seeking any funding from the district", Mrs Harrison said.
According to a recent report to community boards by the council’s business support group manager Saskia Righart, all four wards have reserves accounts, some in surplus and some with negative balances.
"Cromwell has overall a positive balance over $20m, which will be largely expended in the next couple of years by funding the development of the new hall.
"This funding is already earmarked and will not be affected by a decision to further ‘districtise’ activities.
"Once the money for Cromwell is spent, the wards will have relatively similar reserve levels and under the proposal to further districtise activities these could be amalgamated", Ms Righart said.
Mrs Harrison said the board needed assurances that Cromwell voices would not be diminished.
"The board’s voice ... must still be heard with defined and tangible influence", she said.
It was essential the board continued to feed into decision making, and receive formal reports for board input before council decisions were made, she said.
Significant change was already coming, following a representation review that would see just one councillor appointed to community boards.
The board had questions about this process and was worried about reducing the board’s scope and increasing the workload for board chairpersons, Mrs Harrison said.
A legal opinion would clarify what future proceeds from the Cromwell land sales could be used for.
Developing $300m of assets would require a strategic, master-planned approach and the board expected to be responsible for doing that, Mrs Harrison said.
Delegations and districtisation were "very closely related" and many questions remained, she said.
In an opinion published by the Central Otago News last Thursday, Mr Cadogan set out a series of questions he would like people to consider when community feedback is sought in August.
"There are infrastructure projects that need to be done that our smaller communities in particular couldn’t or wouldn’t be able to pay for, that only through the whole district combining can be achieved. And sooner or later, everyone will be the receiver as well as the giver", he said in his opinion.
Mr Cadogan asked people to consider whether advantages of districtisation outweighed disadvantages.
He also asked ratepayers to consider what districtisation meant for everyone in Central Otago, not just for those living in a particular place.
The council would consider a formal staff paper on districtisation on July 31, including feedback from the four boards.
Public consultation is planned for August before the council begins developing the 2025-34 long-term plan.
What is districtisation?
"Districtisation" means rating activities and services on a district-wide basis, rather than a ward-based basis.
At present, 82% of the Central Otago District Council’s services and activities are funded at a district level, such as roading, water and waste disposal.
The council is proposing to extend districtisation to its remaining services and activities, adding in parks, community facilities, pools and property, which are rated at a ward level at present.
