Tough times call for tough decisions. And despite navigating almost constant change and uncertainty, Waipā District Council has emerged from a tough year with a firm focus on the future.
As the Council adopted its 2023-24 Annual Report this week, Mayor Susan O’Regan said the best word to describe the previous 12 months was ‘challenging’, with more difficult decisions ahead.
“Like most other councils, we faced financial challenges with interest costs, high inflation, depreciation, and the cost to deliver services skyrocketing. And the change in tack from central government for water services delivery was a gamechanger, given our rising level of debt.
“It was a year that certainly posed its fair share of uncertainty, not only for us as a council but for our communities as well.”
The financial headwinds saw the council make some tough calls, she said.
“These included putting some major community projects on hold, and making significant cuts to discretionary funding.”
However, despite the challenges, close to $130 million of capital work was delivered via 160 projects across five programmes.
These included the long-called-for safety improvements and a signalised crossing in Ōhaupō, and an upgrade to Te Awamutu’s Walton Street, making it safer for people walking as well as providing new carparks and a new toilet block. Cambridge saw the completion of a suite of urban projects on Hamilton Road, including new shared walking and cycling paths and raised pedestrian crossings. The historic Victoria Street Bridge had a glow-up, with maintenance and repainting completed without disrupting traffic, and a new toilet block and carparks were built at the Leamington Cemetery.
Even with the tricky financial climate, the council has maintained its AA- stable outlook from international credit rating agency Fitch for the seventh year in a row. “This is a nod to our financial prudence, and allows the council to access lower interest rates,” O’Regan said.
Another encouraging sign was the higher satisfaction scores received in the annual residents’ perception survey, including satisfaction with services and facilities as well as value for money.
“These gradual improvements indicate our residents are slowly building trust in us again, which has been – and will continue to be – a core focus of mine as Mayor.”
The council’s attention is now firmly on delivering the 2025-34 Long Term Plan, striving to keep rates as affordable as possible while continuing to deliver high levels of service. Management of debt will be a big feature of the ongoing financial strategy.
Alongside this is the need to decide how water services will be delivered in Waipā, and responding to ongoing legislative reform.
“As always though, we will continue to seek input from our residents into our decision making, and most importantly we will strive to deliver on our vision of building connected communities.”
How the rates were spent
Of the $81 million collected from rates in the 2023-24 year (which was 47 per cent of the council’s total revenue), water services were the biggest ticket item. The wastewater, stormwater and water activities accounted for 36 per cent, or $29 million of those rates.
Just over a third (34 per cent, or $27.5 million) was spent on community services and facilities including maintaining parks, reserves, playgrounds, libraries, halls and cemeteries.
Roads and footpaths accounted for 17 per cent, or nearly $14 million.
Planning and regulatory costs accounted for 6 per cent, while 8 per cent went on governance, including strategy, communications and governance support staff.
