Sheryl Mai: Covid-19 impacts Whangārei council projects current and future

Whangārei's new civic centre, under construction on Rust Ave. The delivery of council infrastructure projects is being continually impacted by Covid-19. Photo / Michael Cunningham

FROM THE MAYOR'S DESK

The effects of Covid-19 are continuing to be felt across our district, and as time goes on, the long-term implications are becoming all too real.

Some of these impacts are less tangible, such as those that have bearing on our mental health, wellbeing and the education of our tamariki, while others are easier to assess, such as the effects on our tourism, hospitality and construction industries (among many others).

Our Government holds the responsibility for much of the support and welfare required as a result of the Covid-19 pandemic, from personal wellbeing and domestic welfare to business support and economic development. This is a massive responsibility for any Government, involving countless departments across multiple agencies.

At a local government level, our responsibilities are on a smaller scale, but they are no less important to us and to the people of our district. Our focus lies in mitigating financial and operational risk as much as possible while continuing to deliver council infrastructure projects and services in a measured and sustainable way.

In particular, the delivery of council infrastructure projects is being continually affected by Covid-19. While there are benefits to living on an island nation during a pandemic, there are also many challenges – including the unique difficulties of managing interrupted international supply chains for materials and speciality equipment.

This, combined with increased demand on labour and materials due to a national rise in residential housing construction, has led to a perfect storm of shortages of labour and materials, and rising costs across the board.

For local authorities, these uncertainties have direct implications on the viability of Long Term Plans, where the costing of capital projects was completed in a different economic climate to the one we live in today.

Where projects have already begun, the challenge lies in mitigating these Covid-related increasing costs as much as possible, to ensure a viable outcome within acceptable financial boundaries.

For projects yet to begin, our challenge lies in assessing the viability of the planned works, balancing need against cost. No doubt you are having similar issues in your own homes, businesses and lives.

This is an ongoing discussion and one which will have many revisions, as we adapt to conditions along with the rest of New Zealand. It is not an easy process to undertake. However, I can assure you that our council has a strong focus on risk mitigation, both with our delivered works and our internal processes.

Our deliberations are also analysed and approved through a robust, transparent external audit process, where every consideration is taken to ensure our council is moving in the right direction.

At the heart of it all sits the need for our local economy to continue to move and grow, increasing employment, training and business opportunities for the people of our district.

It's all a balancing act, where we are continually seeking the best advice to ensure the right outcome for our people and our economy.

• Sheryl Mai is mayor of Whangārei.