Rate increase down to 3% after listening to our community

Council finalised its road-map for the next 10 years today.  After listening to community concerns about rating levels, and mindful of the economic downturn, council has looked for further reductions.

The Draft Ten Year Plan required a $2.9M million or 7% increase in overall rates for the 2010 year. Changes made to the plan after community consultation, receiving submissions and the hearing process has resulted in a final plan that requires a $1.4M or 3.3% increase in overall rates.

Feedback formally and informally at the various community and stakeholder meetings has genuinely influenced the priorities and projects in the adopted plan.  The reduction in rate increase has been achieved by removing some projects, halving the wastewater capital rate and reducing operating costs.

Major projects that were not well supported include the reticulation of Makaraka, universal water metering and a mobile library service. These projects have been removed. The Waipaoa river flood protection scheme upgrade has been included in the final plan even though it was not in the draft and the variation of rates between different types of properties and locations has been smoothed.

Some major projects that received good community support will be fast tracked including walking and cycleway extensions, the redevelopment of the inner harbour and the War Memorial Theatre upgrade. The multipurpose recreational facility and Olympic Pool was also well supported but the learn-to-swim pool development will be delayed until 2015 and included with the upgrade of the complex as a whole.

Despite the economic constraints, the Ten Year Plan retains Council's commitment to achieving a positive vision for the district. There are no major reductions in the levels of service that the council provides to the community and in a number of areas significant enhancements are programmed. 

Council's financial strategy reflects its awareness of the economic downturn and rates affordability whilst being poised to respond to any upturn in the economy.  This balance has been achieved by prioritising capital expenditure that is essential to the functioning of the community, and that council is committed to. Capital projects that attract external funding have also been given a higher priority. Projects which improve community infrastructure have been pushed back until the community is better placed to fund them. Council staff have committed to reducing operating costs by $1M and employee benefits will not be indexed to inflation in the next year.