Financial Carry Forwards Report for 2025/26
At the last meeting of the year on Thursday, 11 December 2025, Council approved the proposed 2025/26 Financial Project Carry Forwards, to allow the carry-over of unused budget amounts to ensure ongoing projects are funded without interruption.
The number of projects was reduced to align with the current capacity of the Capital Delivery Team and the principle of ‘quality over quantity’.
Council also approved $265,000 of the Community Housing Unit capital budget be moved from the 2026/2027 year to the current financial year to enable the roof renewal and insulation of 15 units at the Naish Courts Community Housing Complex in Balclutha.
Council confirmed its preferred funding source to cover the local share (33% - approximately $741,000) for the October 2024 Transport Infrastructure Emergency Recovery Works (relating to the October 2024 flooding event). It chose the Deferred Roading Maintenance Fund.
Southern Waters Commitment Agreement for cost sharing
Chief Executive Steve Hill was authorised to sign the Deed of Amendment and Cost Sharing for the Southern Waters Commitment Agreement on behalf of Council.
Council is in partnership with the Central Otago District Council (CODC) and the Gore District Council to deliver water services in the future, in a joint Council Controlled Organisation (CCO).
Under the changes to the commitment agreement, Council agreed that CODC, pending its meeting that was held on 17 December and Gore’s on 16 December, would fund the project expenses, estimated at $8.8 million, for the establishment of a joint water service entity. The Central Otago council would recover the costs from the CCO when it was established. CODC was chosen to bear the interim cost, having more access to competitive borrowing levels to cover the set-up.
The arrangement also helped simplify the transaction to form the Southern Waters entity.
Delegation given to appoint Southern Waters Establishment Chair
Clutha District Mayor Jock Martin was delegated the power to appoint the Southern Waters Establishment Chair as Council’s representative.
Mayor Martin is part of the Southern Waters Councils Executive Group comprising the mayors of Clutha, Gore and Central Otago district councils who will make the appointment.
The Southern Waters Project Steering Group, consisting of the three councils’ chief executives, has been recruiting a chairperson, and at a meeting on 4 December 2025, selected a preferred candidate. The Establishment Chair will lead the formation of the new Southern Waters entity. In the interim, the Chair will be an employee of the Central Otago District Council until the Southern Waters entity is established.
Council Delegations Manual 2025-28 – proposed amendments
Council confirmed the Committee and Portfolio Structure (page 7 of the Council Delegations Manual 2025-28), while also adopting the amended manual, including the following appendices:
a. Appendix A: Elected Member Appointments 2025-28
b. Appendix B: Financial Delegations 2025-28
c. Appendix C: Delegations Register 2025-28
These can be found on the council agenda: Council meeting - 11 December 2025 - Clutha District Council.
Government Draft Proposal on Simplifying Local Government
At the meeting on 4 February 2026, the chief executive will present a report and recommendations on a possible Council position, and submissions on the Government’s draft proposal to simplify local government.
Councils and communities have been invited to submit on the draft proposal that was released by the Government on Tuesday, 25 November 2025.
It proposes initially replacing elected regional councillors with a Combined Territories Board (CTB) made up of Territorial Authority mayors, and possibly a Crown Commissioner.
Following that, the CTB would need to consider and develop mandatory regional reorganisation plans within two years to improve service delivery and efficiency.
The plans will need to set out how the region will best deliver infrastructure, public services and regulatory functions in the future, tested against a set of criteria proposed by the Government. These will be assessed by the Local Government Commission and the Minister of Local Government.
Any member of the public can make a submission on the DIA website (by 20 February): Simplifying Local Government - Department of Internal Affairs - Citizen Space. Following submissions, the Government intends to release a final proposal by late March 2026 with legislation to be introduced to Parliament mid-2026.
Cross Recreation Centre
A late item requested interim financial assistance for the Cross Recreation Centre, due to decreased income and increased costs. Council agreed to fund up to $40,000 towards operational costs should upcoming grant applications be unsuccessful, and to immediately release $20,000 (of the agreed amount).
Council confirmed that this would be funded from the Sports Ground Reserve Fund.