Ashburton's planned second bridge now faces its biggest hurdle, with the need to find $76 million more than originally expected to pay for it.
The Ashburton District Council will pursue the government to help fund its nationally significant $113.6 million second bridge project. Photo: Ashburton Guardian via LDR
The Ashburton District Council approved the detailed business case (DBC) for the now $113.6m second urban bridge project and it will now go to Waka Kotahi NZ Transport Agency to seek project approval.
That process kick-starts the biggest and most important conversation - funding.
Council chief executive Hamish Riach said the DBC produces a compelling case for a nationally significant project to pursue government funding.
The council has budgeted $7.5m for the project in its long-term plan (LTP), but that was when the initial estimate was $37m.
It is now much more than just a bridge, and that comes with a bigger price tag, three times as much, to match.
When Waka Kotahi considers the DBC it will confirm their contribution to the project, and then the council will engage with the government to seek funding solutions to meet the shortfall.
At the bare minimum of 51 percent, Waka Kotahi would contribute $57.9m.
The DBC calculates that Waka Kotahi will contribute 62 percent (an additional 7 percent for the reduced crash risk for the state highway and 4 percent for the wider GDP resilience benefits) which would be a $70.4m contribution.
With the council's current $7.5m, that leaves anywhere between $36m and $48m unaccounted for.
In light of the DBC, and the significant increase in scope and construction costs, the council has said it will consider increasing its contribution in its next Annual Plan process 2023/24.
Waka Kotahi is likely to respond with its decision, and what its contribution will be, in November.
The council will also likely be in discussion with the government on funding options before it reconsiders its contribution.
Councillors were adamant the DBC presented a compelling argument for the second bridge and chief executive Hamish Riach said it placed the council in a strong position to seek funding from the government.
Once funding is secured, the detailed engineering design is proposed for 2024/25 with construction planned to begin the following year.
Preparing the DBC cost $1m, 51 percent funded by Waka Kotahi and also included a $94,500 grant from the provincial growth fund.
No longer just a bridge.
The second urban bridge over the Ashburton/Hakatere River is now more than just a bridge.
The concept design for the new bridge and road includes a 360-metre-long bridge across the Ashburton/Hakatere River, a 60-metre-long bridge in the Tinwald flood plain, and new roundabouts at South Street, Wilkins Road, and Grahams Road intersections.
It also includes provisions for pedestrians and cyclists which will help reduce the number of cars on road giving the project a climate change element.
The $113.6m project is about improved connectivity between Tinwald and Ashburton that will reduce congestion along State Highway 1 which is what the council believes makes it a project of national significance.
Local Democracy Reporting is Public Interest Journalism funded through NZ On Air