The Queenstown Lakes District Council is moving into a period of heavy financial constraint, which could force Wanaka ratepayers to hold fire on "nice to have" wish lists — unless surplus land is sold to boost the coffers.
Deputy mayor Quentin Smith said after the main crop of infrastructure projects was delivered this year, the purse strings would tighten.
"That is not a comfortable place for the community.
"We have to be realistic about that.
"The change in government has been incredibly challenging.
"Things like Three Waters [law repeal] changes our entire 10-year plan for us.
"Knowing we still have Three Waters debt heavily impacts on the next two years.
"There will not be a lot of nice to haves in the next few years," he said.
Cr Smith said other territorial authorities would also be pinching pennies.
Transport funding challenges loomed and interests rates were increasing.
But for Wānaka and Queenstown particularly, there was "no doubt" the QLDC’s much reported $100million-plus leaky homes debt had affected long-term financial planning, he said.
The QLDC annual report tabled in October 2023 revealed a $53.8m loss compared with a budgeted $96.1m surplus.
On the bright side, Wānaka had $3.4m left in the Wānaka Reserve Assets Fund to spend on wish lists.
The land rises up from Kellys Flat football field towards Wānaka Primary School.
Cr Smith said the council had already been eyeing up the block — and others around the district — for sale.
For example, in Queenstown, the Commonage was being marketed for sale again, the third time since 2017, and Colliers broker Alastair Wood recently suggested it could go for more than $20m.
Proceeds from land sales would allow the council to continue to invest in strategic opportunities not considered "business as usual", Cr Smith said.
"We should spend it on things with strategic opportunities for the Wānaka community.
"In some ways, it is up to the Wānaka-Upper Clutha Community Board to decide these things ...
"We should not be afraid to spend it on things we want and continue to look to bolster that fund with the sale of other Wānaka assets," he said.
The Wānaka Reserve Assets Fund was created in 2016 when the council sold a large block of land at Scurr Heights to Universal Developments for $15.6m.
The assets fund has since provided grants and contributions to a range of Wānaka capital projects, including the Wānaka Aquatic Centre ($6m), Luggate Memorial Centre ($1m),
Wānaka Community Hub $500,000), Paetara Aspiring Central ($2.4m) and the Mount Iron land purchase ($4m).
The fund also received $2.3m in proceeds from last year’s sale of the former community pool in Plantation Rd to Ministry of Education/Mount Aspiring College.
Cr Smith stressed "crown jewels" would not be put on the market.
"Not Pembroke Park or Lismore Park, not reserves.
"We would not suggest that.
"What we are looking at is freehold land, land without a stated purpose," Cr Smith said.
With the booming Upper Clutha population producing ever more waste, the council had also prioritised waste management and wastewater expenditure this year.
Just before Christmas already allocated, long-term capital expenditure budgets were brought forward so the council could buy an 8.3ha private landfill for $3.36m.
It is next door to Wastebusters in Ballantyne Rd and a community conversation now looms about what the "Wastebusters corner" could look like.
No timeframe or development budget had been given.
Wastebusters corner was also a known traffic blackspot.
That prompted a robust round of comments on social media about council spending, road closures and traffic delays.
But Wānaka Community Board member John Wellington was delighted.
He had long called for something be done there by the council and NZ Transport Agency Waka Kotahi.
"This junction has been a problem for years and as a nearby resident who has had family members and guests staying with us involved in serious accidents [there], I am delighted that significant safety improvements are finally under way ...
It was also good to see the active transport link in Ballantyne Rd extended to Wastebusters.
"This is one of many number of local road improvements that past and present community board members have been advocating for and working with council staff to deliver," Mr Wellington said in an email.
Cr Smith was asked if the roundabout project and land purchase provided an opportunity to build a new carpark for Wastebusters.
He clarified the roundabout project was independent of the land purchase and driven by safety concerns.
"Nothing has been drawn up for the landfill yet."
Over the next six months, more roundabouts would also be completed, notably at Mt Iron, which was opened for the summer holidays but would soon be sporting orange cones again, and at Domain Rd, at Lake Hāwea.
Road cone haters should also be relieved to learn the Schools to Pools active transport path project would be finished.
Importantly, despite financial constraints, the council had committed to progress the $24m Hawea Wastewater Pipeline Project — known locally the Hāwea poo pipe — because hundreds of new houses were being built there in the next few years.
That project was covered by the council’s infrastructure acceleration budget.
It would bring wastewater from Hāwea to the under-pressure Albert Town pump house, before joining the pipeline that conveys Wānaka waste to Project Pure at Wānaka Airport.
Cr Smith said Upper Clutha wastewater projects could end up costing "northwards of $80m" by the time other conveyances from subdivisions at North Wānaka and Riverbank Road joined up.
"It all meets at the Albert Town pump house.
"That blew up last week, which is not lost on me," Cr Smith said.
Last week’s pump house spillage produced a big stink for motorists and residents along State Highway6 near Mt Iron and at Albert Town but did not leak into the Clutha River.
It was fixed by January 11 and the cause was being investigated.
Wanaka’s first community board meeting is on February 8
The council’s planning and strategy committee will be discussing strategic goals for 2024, including completing the Wanaka Airport master plan and Mt Iron’s draft recreation reserve, on February 13.
