The New Zealand government has announced its support for the city of Nelson following the extreme weather event in August 2022, including a buyout deal for high-risk properties pending an agreement with the Nelson City Council.
“For a small number of Nelson homeowners, the impacts from last August’s severe weather event have been similar to those affected by the North Island Weather Events,” cyclone recovery minister Grant Robertson said in a news release.
Nelson City Council has identified 14 households whose homes are at high risk of landslides, making it unsafe for residents to return, and the costs associated with mitigating this risk are deemed prohibitive. The mayor sought the government's consideration in sharing the expenses to offer these homeowners a buyout opportunity, much like what has been previously considered and decided for Hawke’s Bay homeowners.
“Consistent with the approach taken in affected regions in the North Island, the government and Nelson City Council will contribute 50% each to the net cost of this buyout. The net cost is the amount above the insurance and EQC payments received by the homeowner, with the government’s contribution expected to be up to $6 million,” Robertson said.
Furthermore, the government has also tasked the Ministry of Social Development with collaborating with the Cyclone Recovery Unit to provide temporary accommodation assistance to families facing acute financial hardship. MSD is currently establishing a payment system expected to be implemented within the coming weeks. This support aims to alleviate some of the financial strain faced by families who are still unable to return to their homes, continue to pay mortgages, and have exhausted insurance-covered rent support.
The August 2022 weather event led to numerous landslides affecting residential areas in Nelson. A council taskforce has identified 18 significant slips on council-owned land that impact private properties. Of these, it is believed that 16 can be restored to their pre-event condition and made more resilient to future events. The government will contribute 50% of the cost for remediating these 16 slips, with a maximum allocation of $6 million.
“The government has also agreed to pay for ongoing monitoring using specialised equipment of the Tāhunanui Slump, an area in Nelson that moves around 10cm a year, for the next ten years. The total cost of this will be $300,000. We will also consider a contribution to funding of the replacement of storm water systems in Nelson in the future,” Robertson said.
“Overall, 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,” Robertson said.
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