Tauranga council projects delayed amid LTP deliberations, three waters blamed

Mount Maunganui and Tauranga CBD as seen from above. Key Mount projects have been delayed due to budget constraints. Photo / Mead Norton

Major projects aimed at helping Tauranga cope with a rapidly growing population could be pushed back due to “budget limitations”.

A statement released last nightsaid while deliberating the Long-term Plan 2024-34 Tauranga City Council commissioners had to “alter priorities” around key investment projects.

Transport and roading plans for Mount Maunganui and Ōtūmoetai had now been delayed, as had the completion of Cameron Rd Stage Two works.

The council began deliberations on the plan, which includes significant projects such as a proposed community stadium, Te Manawataki o Te Papa updates, and Te Tumu, yesterday.

As part of those deliberations, the commission opted to scrap a controversial road-pricing project.

The coalition Government’s repeal of the Water Services Acts meant the council needed to provide planned investment in water services from year three of the long-term plan onwards, pushing some projects out.

In the statement, commission chairwoman Anne Tolley said changes were required to the timing of major projectsdue to the additional three waters capital required.

The council commission had to take into account how many infrastructure projects the city could cope with at any one time and spread the delivery phases.

“Since taking on our roles, we have been playing catch-up on years [of] underinvestment in the city, however, we are also mindful the city has a threshold for disruption linked to infrastructure projects. What we’ve tried to do here is create a balance, so that the city doesn’t fall further behind, but that key works are staggered,” Tolley said.

“The Ōtūmoetai and Mount multi-modal projects have been moved towards the end of the LTP period.”

The Accessible Streets for Ōtūmoetai and Mount Maunganui projects aims to provide safer and easier access for people in Matua, Bureta, Cherrywood, Ōtūmoetai, Bellevue, Judea and Mount Maunganui walking, cycling or bus-riding. A business case for Ōtūmoetai was approved in December 2023 and this was yet to be reviewed.

Works to improve transport corridors on Hewletts Rd, Aerodrome Rd and Totara St were also unlikely to progress in the immediate future.

“This reflects revised prioritisation indications from the Government for NZTA [Waka Kotahi NZ Transport Agency] subsidy,” Tolley said.

“However, tackling Tauranga’s congestion issues is more important than ever, so the Turret Rd/15th Ave project which could really ease pressure in that part of town, has been moved to earlier in the LTP.”

The Turret Rd/15th Ave project aims to create a third tidal lane between Burrows St and the SH29A/Maungatapu intersection to help alleviate congestion.

Tolley said costs of the second stage of the Cameron Rd upgrade project had increased, meaning its completion date was now 2030 instead of 2028 at the time of the draft long-term plan.

“This considers some planning uncertainties yet to be resolved.”

A review of the Cameron Road upgrade was labelled a failure for not addressing the financial losses businesses suffered as a direct result of the council-led project.

Yesterday, the council agreed to a residential rates increase from the draft long-term plan and created a new “rating category” to help make the system fairer, Tolley said.

A new industrial general rate meant residential rates were about 3 per cent lower than they would have been, she said.

The Long-term Plan 2024-34 has residential rates estimated to increase by 8.3 to 9.4 per cent (including an estimated IFF levy) but final rates are expected to be published with the plan is adopted in April.