Backing for lowering stadium rates

Dunedin city councillors have given initial backing to a proposal to slash the Forsyth Barr Stadium's $2 million annual rates bill.

Councillors at yesterday's pre-draft budget meetings voted in favour of resolutions that would cut the rates bill for Dunedin Venues Management Ltd - the company running the stadium - from $2 million a year to a more manageable $134,000 a year.

That amounted to a 93% discount on the venue's city council rates, and kept the bill within the company's $200,000 budget to pay both city and regional council rates.

It meant the council would be receiving the same rates as it would have from properties previously occupying the stadium site, and the bill would be adjusted by the council in future years based on the annual rates increase, councillors agreed.

The move came after a report to yesterday's meeting said, given the stadium's "exceptional" value, the council had to consider how its addition into the mix of city property values could be managed without "distorting" the rating impacts on other properties.

Council finance and resources general manager Athol Stephens said the addition of a $200 million building in Dunedin would lower the rates of non-residential properties, as DVML would have been paying a percentage of the total.

The council would also otherwise need to add money to DVML's budget to pay the bill, he told yesterday's meeting.

Councillors voted to accept the recommendations without debate, meaning the changes would be incorporated into draft budgets to be presented for public consultation in March.

 

 

Add a Comment

 

drivesouth-pow-generic-1.png

Our journalists are your neighbours

We are the South's eyes and ears in crucial council meetings, at court hearings, on the sidelines of sporting events and on the frontline of breaking news.

As our region faces uncharted waters in the wake of a global pandemic, Otago Daily Times continues to bring you local stories that matter.

We employ local journalists and photographers to tell your stories, as other outlets cut local coverage in favour of stories told out of Auckland, Wellington and Christchurch.

You can help us continue to bring you local news you can trust by becoming a supporter.

Become a Supporter