Few submissions, rates overhaul adopted

A Central Otago rates collection overhaul has been adopted, despite some Manuherikia farmers feeling ''frustrated'' at a 30% increase.

At a meeting in Alexandra yesterday the Otago District Council adopted an amendment to its Revenue and Financing Policy aimed at smoothing out rates across the district.

It would have varying impacts throughout the area, for example decreasing Alexandra commercial property rates by 36% while increasing those for a Manuherikia lifestyle block by 40%.

In his oral submission Andrew Paterson, who will experience a 28% increase on his farm in Omakau, said he was ''frustrated'' at paying higher rates towards expenditures which would not benefit him.

''What do I get for tourism promotion?''''When you get a big rates increase like this you have to think what you're getting out of it, which doesn't seem to be a lot.''

One factor contributing to the rate increase for Manuherikia farmers was the policy of combining the separate targeted rates of Alexandra, Earnscleugh and Manuherikia into one Vincent ward services rate.

There was discussion about stagnating the cost of this over two years, but it was decided it was too difficult.

''It would be nice to soften the blow, but it's just not practical,'' deputy mayor Neil Gillespie said.

Federated Farmers senior policy adviser David Cooper said he accepted Manuherikia farmers needed to pay higher rates to catch up, but thought farmers in general paid rates disproportionately to urban residents.

''The general rate is based on land value, which really hurts farmers.''

Project accountant Andrew Griffiths said there were some areas where farmers got more back than they paid.

In the last five years 69% of the roading budget was spent on rural roads while this year only 48% of that money came from rural rates, he said.

Cr Martin McPherson said receiving only 35 submissions was ''disappointing''.

Cr Clair Higginson said the lack of submissions was an indication people were content with the changes.

''In the past when we've done things people don't like, we get hundreds calling up.''

Former mayor Malcolm Macpherson gave an oral submission supporting the changes saying they were a step towards Central Otago becoming ''a more unified district''.

It was adopted unanimously.

Changes will come into effect on July 1, 2016.

jono.edwards@odt.co.nz


 by Jono Edwards

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