Tauranga's new Finance and Risk Committee is looking at a request to extend staff financial powers today.

This afternoon's Tauranga City Council committee meeting will involve discussion around a staff report that states greater efficiencies can be achieved by granting greater financial powers.

TCC chief executive Garry Poole.

The issues include the powers of the chief executive, who is currently permitted to commit funds to projects in the 'Annual Plan' but not to projects and contracts that span multiple years. Multi-year contracts of all sizes require approval from Council - despite them having been approved as part of an Annual Plan process.

There is also concern current staff financial delegations relating to legal claims made against Council, do not provide staff with the authority to make a deal in for example a leaky home mediation or Judicial Settlement Conference.

Staff also want council general managers to be able to sub-delegate more financial authority to their staff to enable budget holders, or general manager direct reports, to approve more appropriate levels of expenditure.

It's considered more cost effective, and there are already checks and balances involving a number of staff in the authorisation process in place before a purchase order is paid.

Goods, services and projects over a certain amount cannot be procured without a procurement plan that is also subject to an approvals process.

The committee is also reviewing today the draft development contributions policy for the annual plan that increases development contribution charges for west Bethlehem and Wairakei.

West Bethlehem charges are to increase six per cent in line with a previous council decision to discount the development contribution charge to encourage development to occur. The development contribution charge was previously much higher in west Bethlehem than it was anywhere else in the city and no development was occurring.

The concern is the city council spent about $10 million debt funded on infrastructure in West Bethlehem.

The six per cent increase is a reducing reduction made to encourage development in west Bethlehem.

Development contributions for west Bethlehem residential developments are $22,174 per lot or unit. This compares with $13,321 in Bethlehem, or $9868 in Papamoa, $9353 in Welcome Bay and $3400 for Tauranga infill housing developments.

At Wairakei catchment the charges are planned to increase by between five and eight per cent over the three sub-catchments.

There are two main causes for the increases - the correction of project cost estimates for some roading projects was out-of-date, and the council is looking at bringing forward construction of Te Okuroa Drive.

Starting early means the debt will be incurred earlier than planned and more interest will be incurred before it is repaid through the collection of development contributions.