The Kāpiti Coast District Council has over-turned plans for two controversial long-term investment funds.
At the council’s first meeting for 2019 today, it was decided that the funds will be removed from the 2019/20 Annual Plan.
The funds were approved in June 2018 as part of the new Long-Term Plan but has met with much public criticism, particularly as the funds were to be set up with borrowed monies.
The decision comes after a due diligence process, including external financial advice, that started following the June 2018 approval of the Council’s new Long Term Plan.
Mayor K Gurunathan said Council had been through a comprehensive process to assess how the long term investment funds could be put in place for the Kāpiti District before the decision not to proceed with next steps to establish the funds.
“The financial complexity underpinning the proposal and the timing during a volatile market has raised public concerns and councillors have taken those on board,” Mayor Gurunathan said
“This process shows this Council is continuing to actively look at ways to find other ways of raising funds instead of burdening ratepayers.”