Good news at last for ratepayers
‘‘I was appointed on the basis that efficiencies were to be made, with rates rises the number one issue for residents.’’
Porirua ratepayers have received good news, with the projected rates rise now cut to 3.7 per cent after the city council flagged a slew of cost cutting.
In the 2015-25 long-term plan, projected rises of more than 5 per cent each year until 2021 were indicated, which drew howls of protest from ratepayers.
However, in the recently released draft annual plan, the rise has been pared back dramatically.
Savings include staff ($200,000), reprioritising city promotion activities ($174,000) and reducing capital expenditure ($250,000).
Service changes will affect Titahi Bay residents especially. Halting funding for weekday lifesaving at the beach (annual council funding of $22,000), removing beach wardens ($30,000) and locking the beach gates at night and reopening in the morning ($9000) are proposed.
Council chief executive Wendy Walker said hard decisions were made and more would follow.
‘‘We are being very aggressive and some tough calls were made,’’ she said. ‘‘But looking at the annual plan submissions, there seems to be general support for the approach we’re taking.
‘‘I was appointed on the basis that efficiencies were to be made, with rates rises the number one issue for residents.’’
Porirua has 18,000 ratepayers and without a big commercial base, nearly 73 per cent of the council’s revenue comes from rates.
Under the revised rates rise, Porirua compares better with other cities.
Napier and Invercargill, which are of similar size, are projecting 4.2 and 2.33 per cent rises in the next 12 months.
Invercargill City Council interim chief executive Dean Johnston said demand for better services but keeping rates at a manageable level was a balancing act.
‘‘We’ve gone out the last few years with an annual plan rates increase less than is indicated in the long-term plan. But it’s an ongoing challenge,’’ he said.
Auckland is projecting a 3.2 per cent rates rise in 2016/17 and Christchurch a 5 per cent increase. Wellington ratepayers are facing a 4.5 per cent rise and Upper Hutt 4.39.