Inflation fuelling higher roading costs

High Inflation and a disproportionate increase in road construction costs (such as fuel, labour, and aggregates) is putting pressure on our budget for road maintenance.

More funding is needed to make sure local roads remain at a high standard.

Across the District the Council maintains over 950km of sealed roads, 580km of unsealed roads, 350km of footpaths, 288 bridges, 18km of cycleways, over 18,000 signs and many more roadside assets that help keep drivers safe.

We know a safe, well-maintained road network is important to our residents and we are committed to supplying a high standard network to ensure our District remains well connected and easily accessible.

It’s also important to ensure the safety of residents as they move about Waimakariri.

Roads are jointly funded by Council rates as well as Waka Kotahi through taxes in an approximate 50/50 split.

With 2023 being the last year of Waka Kotahi/NZTA’s National Land Transport Programme (NLTP) three-year funding cycle, we do not have the option of going to the agency seeking additional funding until 2024.

To ensure our road network remains at the current standard, the Council will need to make up the difference.

Our expected budget for subsidised road maintenance for the year ahead is a total of $6.54m. On top of this amount, we are seeking a further $1.058m to ensure our road network remains at the current high standard.

OPTIONS

A: Council's preference

We partially fund the gap for some renewal projects and all maintenance activities. This equates to an added $1.058m of funding.

B: Only fund maintenance

We only fund the gap for maintenance. This equates to $665k.

C : Fully fund the shortfall

We fully fund the shortfall of $1.28m which means our road network receives the maintenance and renewals needed.