Spatial planning could impose high costs on small North Canterbury councils

Kaikōura and Hurunui ratepayers could face rate hikes for a Canterbury-wide planning process many don't want.

Kaikōura District Council will likely need to to contribute $250,000 and Hurunui District Council $520,000 to help devise the Waitaha Canterbury Regional Spatial Plan, with rate rises expected to cover the cost.

Under the proposed Resource Management Act (RMA) replacement legislation, due to pass into law in the coming weeks, councils will have two years to draft and notify regional spatial plans, to plan for growth and infrastructure over the next 30 years.

''It's interesting that the Government is bringing in a rates cap, at the same time as forcing unfunded mandates on us,'' Hurunui Council Chief Executive Hamish Dobbie said.

The Government has proposed legislation that would require councils to implement a rates cap of between 2% and 4% in next year's Long Term Plan, which will take effect from 2029.

Kaikōura is weighing up whether to participate in forming the Canterbury-wide spatial plan, while awaiting a decision on its proposal to merge with the Marlborough District Council as part of local government reforms.

The council's Corporate Services Senior Manager Peter Kearney said the council was supportive of establishing a committee to begin work on the plan.

But the council is not committing any funding, for now.

''The legislation as it stands means we are still part of Canterbury for the next two years, even if we are approved to join with Marlborough, but we want to put our efforts into working with Marlborough.''

The cost of producing a Canterbury Regional Spatial Plan is estimated to be between $7m and $10m, with the region's 11 councils asked to contribute $725,000 upfront towards the establishment phase.

Under terms drafted by the Canterbury Mayoral Forum, Kaikōura's share is 2.5% or $18,137.50 for the initial budget.

Should the process cost $10m, Kaikōura's share would be around $250,000 over two years, representing an average rate rise of around 1%.

The Kaikōura District Council adopted its own spatial plan in December 2024 to plan for growth in the town, while the Hurunui District Council adopted a spatial plan for its south ward, including Amberley, in July 2024.

The Hurunui District Council's share is 5.2%, with the council to contribute $37,726 towards the establishment phase.

Mr Dobbie said the mayoral forum's funding model is based on each council's population and land area.

''This is a fundamental planning document and we all have a responsibility to be a part of it.

''We have all encountered problems with the RMA process, so if we can transition smoothly into the new planning framework it will be good for all of us.''

Mr Dobbie said Canterbury's councils had a history of working together, including developing the Canterbury Water Management Strategy and the Canterbury Climate Partnership Plan, and their work through the Canterbury Regional Transport Committee.

But participating in the spatial planning process will come at a cost.

Hurunui ratepayers could be required to stump up with around $520,000 over two years, representing an average rate rise of around 0.5%.

The Canterbury Mayoral Forum's proposed funding model would see Environment Canterbury and Christchurch contribute 20.5% each, Selwyn and Waimakariri 10.7%, Ashburton and Timaru 9.8%, Hurunui 5.2%, Waimate and Waitaki 3.9%, and Kaikōura and Mackenzie 2.5%.