The Clutha District Council will exceed its debt per capita level this year but that shows an investment in the community, according to one councillor.
The council acknowledged at a meeting last week that it would exceed its debt per capita level and would review the limits as part of the 2015/25 long-term plan.
The level of internal debt is predicted to rise to $27,279,000, instead of the proposed $24,455,000, which means the limit of $1500 per head of population will be exceeded by $90.
But Clutha District Council Mayor Bryan Cadogan said it was the council's job to put a line in the sand.
''It has shown us, quite startlingly, what happens when you break it down to individual communities.''
Deputy mayor Hamish Anderson said it showed an investment in the community.
''When people come to us to ask for something to happen in their community it will cost money.''
Chief executive Charles Hakkaart said two internal loans were overlooked when developing last year's long-term plan.
''You can expect the interest to come down as the principal is paid off.''
The council also agreed to make no changes regarding fluoridation of water.
A staff report noted of the five submissions received, only one was from a resident of the Clutha District.
It also noted the Ministry of Health had provided the funding for the facilities at Milton, Kaitangata and Tapanui, and the council would have to repay the money if fluoridating stopped within 10 years.
The council also agreed that the existing fortnightly collection of refuse and recycling bins continue.
The final annual plan will be adopted and the rates struck for 2013/14 on June 20.
- © Fairfax NZ News
Subscribe to a digital replica of The Southland Times.
Southland Times subscriber news and information.
Click here for information about advertising with The Southland Times.