Latest news#
Farmers and cyclone-affected properties supported with tax rule changes#
The Government has confirmed details of changes to the bright-line test for cyclone-damaged properties, with the release of the required legislative amendments.
The Minister of Revenue released a Supplementary Order Paper (SOP) to be considered by the Finance and Expenditure Committee in the next Parliament, as it finalises a bill regarding annual taxation rates. The Bill is already before the House.
As previously announced, the law change will ensure owners of cyclone or flood damaged properties, who agree to a voluntary council buy-out, will not be caught by the tax rules that apply to profits on some land sales.
In addition to addressing issues with voluntary buyouts, the Government is also extending the main home exemption for people who vacate their main home for more than 12 months while it is being repaired.
Officials anticipate only a small number of properties could be affected. These are homes purchased on or after 27 March 2021, impacted by the severe weather events, and have been uninhabitable during repair work that takes longer than 12 months to complete.
Once enacted, the Government intends this measure to apply from 8 January 2023, effectively backdating it to prior to the North Island weather events including Cyclone Hale.
Central government to support Nelson recovery from weather event#
Some Nelson homeowners severely impacted by the extreme weather event of August 2022 will be able to access Government support, including a buyout deal for their damaged homes, subject to agreement from Nelson City Council.
The Government will contribute $12.3 million to support Nelson’s recovery and provide certainty to those affected so they can move on with their lives.
Officials will consider proposals from Nelson City Council to support those affected that are consistent with the approach taken by the Government to support the regions affected by flooding and Cyclone Gabrielle.
Nelson City Council has identified 14 households where landslide risk is too high for people to return to their homes, but the costs to mitigate the risk is prohibitive. The Mayor asked the Government to consider sharing the costs for these homeowners to be offered a buyout deal.
94 resilience projects confirmed for state highways#
Work will start this year on the first 94 projects under a dedicated fund for early preventative works to protect the state highway network from future severe weather disruption.
Waka Kotahi has confirmed the Transport Resilience Fund projects will start in 2023/24. The list covers projects across the country and includes some substantial projects in Northland and the West Coast in particular.
Budget 2023 established the $419 million Transport Resilience Fund. It complements the Government’s funding of more than $1 billion in 2023 for immediate works to repair cyclone-affected roads.
Nearly $44 million will be invested in Northland, including a $25 million project to help stabilise subsidence risks across the region’s highway network. This will focus on 92 sites where urgent works are required. The works will be programmed over seven years.
For the full list of 2023/24 state highway projects funded by the Transport Resilience Fund, visit the NZTA website.
Update on risk assessment for Piha and Karekare in Auckland#
Auckland Council advised residents in Piha and Karekare that engineering firm GHD is still on track to complete their landslide risk assessment and deliver a final report by late September, as previously advised in the timeline shared in the 25 May newsletter.
The Auckland Recovery Office are working with GHD on how results from this work will be shared with affected property owners prior to the final report being made public.
Workforce projections available to support recovery planning#
The New Zealand Infrastructure Commission, Te Waihanga is sharing construction workforce projections to support regions affected by the North Island Weather Events earlier this year in their recovery planning.
The work is part of the Recovery Construction Workforce Project jointly undertaken by Te Waihanga and the Construction Sector Accord. Waihanga Ara Rau is providing additional recovery workforce projections for residential construction on their Workforce Information Platform.
By giving decision-makers an early understanding of the possible labour demands, these projections will support affected regions in their planning and coordination.
The interactive tool, developed by Te Waihanga can be used to estimate the construction workforce needed to deliver potential recovery projects, such as the repair or replacement of damaged public assets including roading, water and energy infrastructure.
Additional workforce insights
Waihanga Ara Rau has enhanced their Workforce Information Platform to provide recovery workforce projections for the residential construction sector.
Updates across government#
Waka Kotahi#
- SH25A Taparahi Bridge remains on target with soil nailing, associated drainage works underway and abutments being poured. Bridge beam production and protection works are ongoing.
- Foamed bitumen stabilisation pavement work on SH2 in Tairāwhiti is back underway having been on hold for the month of August due to inclement weather.