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Home / New Zealand

$5.5m bill for economic strategy a ?modest sum

Wairarapa Times-Age
2 Nov, 2006 04:00 AM2 mins to read

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A TOTAL of $5.5 million is a "modest sum" to be spending on economic development in the greater Wellington area, says regional council chairman Ian Buchanan.
Mr Buchanan was defending the Wellington Regional Strategy, an initiative now out for consultation, which has been criticised by some Wairarapa councillors.
The strategy proposes taking
the $3.5 million now spent on economic development and increasing it to $5.6 million by 2009 to 2010, through a single region-wide agency.
"It is important to keep the cost in perspective," Mr Buchanan said.
"The regional rate bill is over $400 million. We're talking about 1 per cent of that amount being spent on economic development. This is a modest sum given the economic issues facing the region."
At a Masterton District Council meeting this week, Rod McKenzie slammed the strategy as "another tax on ratepayers", and Owen Perry said he would not give it "an inch of support".
Mr McKenzie says he can see benefits in supporting some regional expenses, but "what I'm against is another rate."
"The rate burden in Masterton is big enough. It's a complete new rating system."
Mr McKenzie said some initiatives, like "public transport, the airport and the ports" affected Wairarapa and could be supported on a case-by-case basis.
Councillors will confirm their submission on the strategy in a behind closed doors meeting on Friday, after first meeting with Go Wairarapa.
Council chief executive Wes ten Hove said the meeting with Go Wairarapa was "not a meeting of the council itself", and so was not required to be open to the public.
Mr ten Hove said discussions about any "reorganisation" or funding reductions for Go Wairarapa might have "employment implications" for the organisation, and as a courtesy these should not be held in public.
Masterton District Council has indicated it wants to avoid "double dipping", or paying twice for the same service, which may mean economic development funding goes to the regional strategy instead of Go Wairarapa.
Go Wairarapa is also funded by the Government through Trade and Enterprise.

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