Hastings District Council has released its 2024/25 financials, which includes $231 million in capital projects in the last financial year. Independent auditing is underway ahead of formal publication next month in the Annual Report.

The investment in infrastructure is the sixth highest of all New Zealand councils, with about $128 million (55%) spent on cyclone recovery. Pre-cyclone, HDC’s annual investment in capital projects was around $85 million. Of the total invested in capital projects, including cyclone recovery, $156 million was funded by central government programmes. 

External funding for capital projects came from a number of sources. including the National Infrastructure Funding and Financing programme (NIFF) for Cyclone Gabrielle recovery ($92.4 million), Waka Kotahi NZ Transport Agency ($26.9 million), the Infrastructure Acceleration Fund ($6.8 million) and Ministry for Culture and Heritage ($7.7 million).

Capital projects are the large, long-term works that build or improve community assets. In Hastings they include roads, bridges, water and wastewater networks, parks, and public facilities.

Key projects in the last financial year include the rebuilding of the Moteo-Puketapu Bridge ($28 million), the re-engineering and building of the Kererū Gorge culvert ($31 million), and drinking water and wastewater pipe works ($38 million) to improve resilience and enable housing growth.

Debt closed at $443 million, which was $39 million better than budgeted. Council also borrowed less for operational costs than planned, using $4.3 million of the $14 million approved, due to savings in operating costs and sourcing additional external funding income.

Across all Council spending, excluding Cyclone recovery ($263 million), more than 80% went into core services, including those required by central government legislation.

Councillor Michael Fowler, who has chaired the committee leading Council’s work on the financial strategy over the last term, commented: “While Cyclone Gabrielle and rapid increases in costs for things like construction materials, insurance and interest meant the cost of conducting council business was at record levels, Council finished the year in a stronger-than-budgeted financial position.”

The economic slow-down was reflected in several revenue lines, including less waste going to landfill ($870,000) and slower payment of Development Contributions ($2.3 million). Insurance payments and committed Government funding of $12.5 million were also yet to be received.

Council chief executive Nigel Bickle commented: “This has been a year of unprecedented investment in Hastings’ infrastructure. By securing external funding and managing our finances carefully, we have been able to focus on recovery and building for the district’s future while achieving all-important savings.”

BayBuzz advises … as you vote for Hastings candidates for mayor and council, consider who appears best equipped to oversee spending of this scale and complexity on core services. Who are the doers, who are the easy fix sloganeers?