Museum construction to continue despite costs

Construction of Southland’s new museum will plough on amid budget issues, but just how much extra it will cost remains a question for the future.

Last night councillors discussed a path forward for Te Unua Museum of Southland on the back of information it would not be possible to deliver the project on budget.

A report prepared for the meeting showed as much as $19.5 million extra could be needed.

After almost two and a-half hours of discussion, councillors settled on progressing a public consultation with suggestions for how costs could be pared back.

Three main areas were highlighted: reducing the "experience", forgoing a Green Star sustainability certification and delaying the creation of a carpark.

The certification and carpark were costed at about $3m.

Councillors were firm that although the museum was experiencing budget issues, works should not be paused, which was one of the options put forward by staff.

Multiple elected members pointed to the clear mandate given during previous consultation for the council to not hold back in creating something new.

Councillor Trish Boyle said the community had asked for a museum which would continue to be modern, while mana whenua representative Pania Coote warned against cutting corners to save money.

"When we remove the wow factors, we end up with a tin shed".

Councillor Ian Pottinger provided an alternate perspective to many, saying the council owed the public an explanation for how the budget had become out of hand since August 2022 when it appeared things were on track.

"This museum is not the end of what we spend our money on, we’ve got other stuff," he said.

Ultimately, four options were decided on for an upcoming public consultation.

The first was to stick with the original plan, which could see the build exceed its budget by as much as $19.5m.

The second was to remove the Green Star accreditation, which could save the council about $1m.

The third — and recommended option from council — was to remove both the accreditation and delay the carpark.

The fourth option was to adopt the third option as well as get feedback on reducing the "experience" to save costs.

Discussion also covered external funding for the project.

The expected budget blowout for running with the status quo included $6.6m of external funding that the council was still trying to obtain, but had agreed to underwrite.

Council group manager community spaces and places Rex Capil said his organisation was presenting to ILT and others for funding.

• LDR is local body journalism co-funded by RNZ and NZ On Air.