Queenstown Lakes District Council communications manager Meaghan Miller said the council was alerted to the issue of surface water on the Bay View Park pathway by a resident two weeks ago and a request for service was made.
She said pooling in the area had been a problem before and contractors visited the site last week in an attempt to identify whether the source of the water was a broken pipe or ground water.
She said the pooling was caused by ground water, which is part of a wider issue in Kelvin Heights.
"Ground water can appear at this time of year and has been a problem in general at Kelvin Heights, on and off, for the last 10 years," she said.
Last week, Kelvin Heights resident Rex MacDonald told the Queenstown Times he was unhappy with the flooded pathway and said it was time to put some pressure on the council to "get it sorted".
Mr MacDonald said it felt "terrific" to know work was being started on the flooded pathway.
"The digger is there today ... It's good to know the work is under way," he said.