Regional deal discussed in closed door QLDC workshop

The mayor and councillors have been briefed today on the potential for a regional deal for Queenstown Lakes.

The coalition government has flagged regional deals between central and local government as a means to drive economic growth and deliver much-needed infrastructure around the country.

However today's discussion in the Gorge Road council chambers happened behind closed doors, with members of the public and media excluded on grounds of commercial sensitivities.

"The establishment of any regional deal will require negotiations with a range of central government and private sector parties," today's workshop agenda notes.

"These could be disadvantaged by public disclosure of the discussions surrounding what we might bring to the negotiation or desire from these parties prior to negotiations commencing."

In a statement in August announcing a framework for the rollout of regional deals local government minister Simeon Brown says New Zealand is facing an infrastructure deficit.

"Water pipes are bursting, roads have been falling apart, and there simply isn’t enough houses. With a growing population, it is critically important we are delivering the long-term infrastructure we need for growth in our cities and regions," the minister says.

With subdivisions potentially delivering upwards of 6,000 new homes to Queenstown Lakes included in the government's list of projects revealed in recent weeks as making the Fast-track Approvals Bill, any local infrastructure deficit is front and centre for local policymakers.

Central government is expected to finalise its first regional deal in 2025, after shoulder tapping up to five regions to provide basic proposals to them.

It is unclear if Queenstown Lakes is in the mix, however district mayor Gyn Lewers has indicated he would welcome the opportunity.

His council has committed to exploring alternative funding in its latest Long Term Plan, as it struggles to balance the burden of infrastructure costs across ratepayers and visitors.

Throwing up a curveball, one local economic commentator has suggested Cromwell, which sits within the Central Otago District, should be grouped with Queenstown Lakes in any regional deal negotiated with central government.

Regional or city deals have reportedly been a successful tool used in the United Kingdom for establishing longer-term cooperation between local and central government, and QLDC chief executive Mike Theelen went on a ratepayer-supported study trip in June to check some out firsthand.

The council has directed Crux to Mr Theelen's report on the trip, taken as part of an Infratsructure NZ delegation.

In the report, Mr Theelen says regional deals work best when they are viewed as more than simply transactional arrangements, and good local government leaders are essential to their success.

"The learnings for New Zealand, and possibly Otago and QLDC, do fundamentally go back to the 'why' and the 'what', and ultimately the 'how'," Mr Theelen says in his report summary.

"There is a risk that in policy settings the focus becomes obsessed with the 'how'. The UK showed examples of plenty of 'how' initiatives that failed to have an enduring positive impact on local government, its role, and its relationship with the central government and its communities.

"For me in particular, the lessons were about having a clear and deliberate plan that moved slowly but inexorably towards a shared goal and understanding, and that is something that councils, LGNZ, and the government need to think carefully about as it enters this area of debate and decision-making."

Main image (Supplied/QLDC): Queenstown Lakes District Council chief executive Mike Theelen.