Council looks at 10-year budget

Key decision: The coming year will see about $505 million of investment in capital works across Auckland city.

From City Scene, published on 16 November, 2008

Councillors will meet this week to look at the city's budget for the next 10 years.

Councillor Douglas Armstrong, chairperson of the Finance and Strategy Committee, says, "Like most people, we also have to examine our budget and our spending, and prioritise the list of projects we want to do over the next 10 years. Balancing rates demands so they are affordable, particularly in these tough economic times, and continuing to invest in the city requires some key decisions this year.

"The council has agreed to keep rates increases to the council's level of inflation, which will mean that after making organisational efficiency gains, we may need to delay certain projects, or pare them back from what was planned for the next 10 years, while still continuing with the day-to-day regular works and essential services that we provide now," Mr Armstrong says.

"It is difficult to have to cut any projects. We sympathise with those who feel they are missing out but we have to look at what is essential and what is just nice to have. This is the first draft of the list - our ears and minds are open.

"There is a lot of debate, interaction and consultation to be done before it is finalised. People will have an opportunity to send in their feedback during the public consultation phase in April next year.

"Our overriding imperative is to keep the rates increase to five per cent, the council's rate of inflation. This means we can change projects but must keep the same level of expenditure overall."

Mr Armstrong said that despite the delays to some of the council's projects, which is necessary to keep the rates increase in check, the coming year would see about $505 million of investment in capital works across the city - which would be this council's biggest single-year expenditure programme.

Over the next 10 years, more than $1.5 billion will be spent acquiring and building new assets for the city. Councillors will discuss the proposed capital expenditure programme at a meeting on 18 November.