Southland District Council will raise basic rates across the district by 9.38%, after today approving its Long Term Plan for 2021-2031. 

The rates increase was due to be 10.15%, funding the accelerated replacement of 161 timber bridges nearing the end of their useful lives and rehabilitation of more sealed roads.

But match funding from Waka Kotahi NZ Transport Agency fell short of the $100 million required. 

Instead, the government agency granted around $85 million. 

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The $15 million shortfall means the council won't be able carry out the full programme of roadworks outlined in its Long Term Plan consultation document.

"As a result, the rates increase required to access Waka Kotahi's 52% contribution to all approved road works has been reduced accordingly," says a council spokesperson. 

The council has still allocated more than its previous three-yearly funding cycle, enabling it to continue a programme of road maintenance and operations.

"The timing of the announcement from Waka Kotahi created a challenge for staff, who were finalising the draft LTP and in the middle of the final audit process when the correspondence was received. 

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"Budgets were reviewed to enable levels of service to be maintained across the roading network consistent with the majority of feedback received through the public consultation process."

A total of 260 submissions were received on the LTP, with 39 submitters speaking to Council during hearings on 27 and 28 April 2021.