Feedback sought on proposal to create a CCO to build a new library
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Grey District Council is seeking feedback and input from its community on the proposal to create a Council Controlled Organisation (CCO) in partnership with Development West Coast to fund and build a new library in Greymouth. Council decided yesterday to consult on the issue and while unanimous in its decision, Councillors were also unanimous in expressing concern about the impacts the project will have on rates and debt.
Acting CE Paul Pretorius says it’s a big decision and there are number of points that convinced Council to go ahead on public consultation on the issue.
“Our current library has proven to be too small to function properly as both a library and community/social hub. This is a model that has proved to be highly successful elsewhere and our district deserves to have a fit-for-purpose space.
“We want this to be a special place for all our communities to enjoy, and so we consulted on the idea of a new library in the 2021/2031 Long Term Plan. This gave us the mandate to move ahead with plans for a new building, given the current one can’t be built up or out.”
Mr Pretorius says an approach from Development West Coast coupled with two external funders on a one-off basis has brought the project forward and presented Council with the opportunity to build a new library and invest in additional retail space in Greymouth.
“This funding will fall away if we don’t use it. Council would have preferred to avoid the need for a Limited Liabiltiy Company and a part commercial approach to the project, but the funding will not be available if we change course now, and ultimately, the project would become unaffordable. We need to decide to do it now, or never.”
Grey District Mayor Tania Gibson says the rise in resident numbers over the last five years can in part be attributed to the better community facilities the district is enjoying, like the Westland Recreation Centre and the new Hockey Turf.
“We strongly believe our District will grow even more over the next decade with renewed interest in sustainable mining and associated activities. A new library will assist in the process and make Grey District a thriving, connected and resilient place to live.”
Mayor Gibson says Council also sees the library project as stimulus for the development of Greymouth’s Heritage precinct.
“The Port cranes will add further impetus to this,” she says. “We need to future proof our district for families and children growing up here. This project will have benefits for all our communities for years to come.”
Council expects its financial contribution to the project to be around $11m, which is lower than the $14m signalled in the 2021/2031 Long Term Plan. This amount excludes financial provision to extend library open hours beyond what is currently in place and wider outside beautification for the proposed building.
“This amount will be debt funded over 40 years, which will sit as a ‘block debt’ on Council’s books for the term of the loan and be paid off at the end of the term by means of annual depreciation of the building,” Mr Pretorius says.
“This project will increase the signalled estimated rates increase for 2025/26 of 10% by a further 2.2%, which means the new anticipated rate increase for that year will be 12.2%.”
Mayor Gibson says Council needs to hear from the community about the proposal before it makes its final decision.
Submissions are now open and can be made online via Council’s website, Have your say Grey, or the Consultation Document and submission form can be collected from the Council offices in Tainui St.