New options for funding of sewerage

Jules Witt
Jules Witt
New funding options are on the table for proposed sewerage schemes in Tokoiti and Benhar.

At a special draft annual plan meeting yesterday the Clutha District Council decided to change the way the schemes were funded in favour of sharing some of the cost of the two townships' sewerage schemes with other centres.

Under the council's new preferred funding option, each Benhar ratepayer would pay an annual sewerage rate of $992 (previously $1714) and each Tokoiti ratepayer $1018 (previously $1780). Balclutha's annual sewerage rate would rise $27 (previously $15), Milton's by $9 (previously $2 drop) and other townships by about $11.

Two councillors voted against the change.

Council manager district assets Jules Witt said the council's new preferred option set a cap on the capital rate for Benhar and Tokoiti ratepayers, sharing the remaining capital costs over all properties paying a sewerage rate.

The figures provided were estimates relying on the costs provided for the council's preferred reticulation schemes in the townships - $825,000 for Benhar and $575,000 for Tokoiti.

A total of 116 submissions were made to the council's annual plan, with 27 individual submissions on the Benhar proposal, and 24 on the Tokoiti proposal. Residents of each township also made a group submission. Seven funding options were considered by the council, with four options sharing Benhar and Tokoiti's capital costs across other sewerage rates at different percentages.

Over the next 12 months, the council will consult the Benhar and Tokoiti communities on how to develop the two sewerage schemes in the townships. It will also consult the wider community on how to fund the schemes.

The final decision will be made in the council's long-term plan next year.

The council will consider a policy allowing postponement of rates payments on the basis of financial hardship in the 2012-22 long-term plan.

helena.dereus@odt.co.nz

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