Dunedin Mayor Dave Cull says he would consider a rates rise of more than 3% next year, if the community signals it supports more spending.
Mr Cull said in The Interview the city did need to keep rates affordable.
The council has had a self-imposed 3% maximum increase for the past few years.
However, he said: ``We are already easily the cheapest city in the country and in the lower quartile of councils all around the country for rates.''
If the city wanted to ``stand still'' and maintain services, that close to 3% rise would continue, as that was the inflationary pressure on the council.
"If you want extra we're going to have to spend some more.''
Asked if he would accept a rate increase higher than 3%, Mr Cull said he would.
The community, however needed to consider the value of what it would get for the cost involved, in next year's long-term plan.
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Our rates have increased in excess of $400 over the last five years. Before having our rates increased again, we'd like a response to our query of 25/01/17 asking why our property is rated residential while the majority of similar neighbouring properties are rated as lifestyle. We were directed to "Quotable Value", the valuation service provider for the Dunedin City Council. Two telephone calls resulted in "we'll check and get back to you" and five months later, we're still waiting. Where do we go to get some action?