A fragile coastal road in South Wairarapa has been thrown a lifeline with the Government committing to halt its funding withdrawal for three years.
By Emily Ireland of Local Democracy Reporting
Mayor Fran Wilde has welcomed the move as "an early Christmas present for local residents, district ratepayers and the council".
In 1997, Cape Palliser Rd was designated as a Special Purpose Road which meant that it received 100% government funding.
The category has now been disestablished by the New Zealand Transport Agency and the special funding was due to lapse at the end of this financial year.
Running along the coastline, the road is a popular tourist route and provides access to a fur seal colony and the Cape Palliser Lighthouse.
Earlier this year, South Wairarapa District Council put a business case to the transport agency and said its 3200 ratepayers could not fund a road serving the nation.
It estimated that removing the special status would leave a funding hole of up to $35 million over 10 years.
Consequently, in its forward plan the district council had estimated an increase of around 4% in rates for that road alone, starting on July 1, 2027.
"Clearly this was pretty disastrous for ratepayers, so we have been working hard with impacted parties to put together a business case for continued NZTA funding," Wilde said.
"We thought this was a reasonable ask because its national importance has not changed since it was designated as a Special Purpose Road.
"As well as being used by local residents, fishers and farmers, it’s an iconic national route, with access to a wide range of visitor attractions and an exceptional landscape. It is the southernmost tip of the North Island – te Upoko o Te Ika a Maui – with one of the highest concentrations of pre-European Maori sites in any part of the country, so is critical to iwi."
NZTA had notified the council that from July 2027 until the end of June 2030 it would fund the road at a rate of 95%, including emergency works.
Emergency work currently being undertaken following this year’s storm events would be funded at 100%.
"This is a significant decision given that the fragility of the road," the mayor said.
"Obviously, the medium-long term future of road will continue to be big for the council, locals and other users, but it certainly takes pressure off us all now to allow longer term planning, so we are grateful to NZTA for its continued support.
"I want to particularly thank very warmly all those who helped our staff put together the business case. Locals and iwi worked hard, gathering support from a wide and diverse range of people and organisations – that work has paid off."
– LDR is Local Democracy Reporting, local body journalism co-funded by RNZ and NZ on Air
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