By Brendon McMahon, local democracy reporter
An urgent $10m flood protection scheme for Westport could grow larger, with the cost falling on ratepayers if central Government doesn't contribute.
Westport sits at the mouth of the Buller River. Photo: RNZ / Samantha Gee
West Coast regional councillors were issued a dose of reality by their chief executive Heather Mabin this week, given there is no guarantee yet the Government will contribute anything to the $10.2m scheme.
The council could have a day of reckoning if it approved another $891,000 in flood protection work in addition to the original $10.2m package estimated for uncosted work with no Government guarantee of funding, she said.
"If you add the $891,000 on top of the $10.2m we're actually saying those ratepayers need to pick up over $11m of potential costs if we don't secure central Government funding, and that is the risk," Mabin said.
The council was considering recommendations for the scheme, as well as an extra $891,000 of protection work recommended by the Westport Rating District Joint Committee.
Council agreed to begin stopbank work and upgrade some emergency banks, but stopped short at approving the estimated $891,000 until it has been fully costed. It decided to seek tenders for the extra work and to consider it in a special meeting.
Mabin said if the council agrees to the $891,000 and there was no extra funding it could lead to a general rate increase in 2023.
Other options to pay for the extra work would be to draw that cost from the already-approved $10.2m, or break into council's investment portfolio to pay.
What is needed, and where will the funds come from?
The first Westport Rating District Joint Committee meeting last week put forward critical early projects.
These include stage one stop banks both above and below the Buller Bridge, upgrades of some emergency flood protection works installed during last month's flood, and retrospective maintenance work on lower Buller River flood works.
The hope is that the Westport flood protection scheme will get a 60/40 'co-investment' with the Government.
Business consultant John Hutchings has been engaged to make the 60/40 case. He said that in a recent letter, Local Government Minister Nania Mahuta had put "a challenge on the table" for both the West Coast Regional and Buller District councils.
"She's calling for an integrated package of solutions, so beyond simply the physical or structural scheme, everything that will build 'community resilience' in Buller against flood risk.
"And of course she wants value for money," Hutchings said.
The minister also wanted reasons why the Government "needs to come to the party".
Hutchings said June was the deadline, then it came down to whether the minister was "of a mind to take recommendations in that report to cabinet".
Councillor Brett Cummings said if the 60/40 funding split did not come through the burden on Buller ratepayers would be "huge".
Mabin said the council could proceed if it felt it had "enough information", but it needed to be "fully across" the risks.
"I would caution you to request: what is that cost, who owns those works, and where is the funding, before you then say yes, 'press the button'."
'Unprecedented' to spread special district costs - Westland mayor
If costs for Westport's flood protection fix were to fall to ratepayers to cover it would be unprecedented, Westland mayor Bruce Smith says.
The Hokitika-based mayor was raised in Westport, said said making all ratepayers pay for the work of a special rating district would be unprecedented on the West Coast.
"That would be an unusual interpretation for how rating districts work," he said.
"I would be very surprised [if] it would end up being the ultimate decision."
Historically "the people in the area who benefit from the work pay the bill. The beneficiaries of rock protection and river protection, they pay."
However, given the scale of what Westport had been through, the Government had to come to the party, he said.
"I can't imagine a better case across the country than the Buller scheme."
Grey District mayor Tania Gibson said the possibility raised by Mabin reminded her of the dilemma the Greymouth council grappled with following Cyclone Fehi in February 2018.
The cyclone coincided with a king tide, and the Cobden foreshore, old rubbish dump and tiphead were badly damaged.
The council used up all of its contingency fund to fix the foreshore, "on a promise" to then-mayor Tony Kokshoorn from central Government that it would cough up its share. Work to fix the port's breakwater was covered separately by insurance.
After several attempts to satisfy the bureaucracy, the council got nothing.
"We had to spend the emergency fund... We feel for Buller, that's for sure."
Gibson said the scale in Westport was worse and really trying when that town was under "a lot of stress".
While it sounded "a bit mean", the Greymouth flood rating district was in a similar position after the regional council had considered spreading upgrade costs across the board, but rejected it.
Hopefully the Government "will step in" and help Westport, she said.
Buller mayor Jamie Cleine has been approached for comment.
Local Democracy Reporting is Public Interest Journalism funded through NZ On Air