The council is starting to send out rates bills for this financial year’s final instalment, due in May, but is urging those who cannot afford it to ask the council for help with payment plans.
"Please do not just stop paying your rates or cancel your direct debit. If rates are not paid then our recovery will be slower, more painful and more expensive next year,’’ council chief executive Sue Bidrose said.
At present the council is consulting on a 6.5% rates increase for the 2020-21 financial year.
Other options, including reduced rates rises, reviewing budgets and more borrowing, would now be discussed by councillors when they met to debate the proposed budget for 2020-21, in May, she said.
Dunedin Mayor Aaron Hawkins has publicly expressed support for a rates freeze, wanting in its place to borrow the $10million the proposed 6.5% rates rise would have generated.
He has already indicated some major projects the council was involved in might be put on hold.
Other councils around the country have already indicated they will look to reduce rates rises, though some are sticking with the same levels as those proposed in drafts, saying they cannot afford to take less if services and projects are to remain on track.
The Dunedin City Council, like all others, had no choice legally but to send out rates payment notices in the meantime, Dr Bidrose said.
It recognised some people were experiencing financial hardship as a result of the Covid-19 lockdown, but affected ratepayers were asked to pay what they could. People could contact the council for advice.
No late payment penalties would be imposed for ratepayers facing financial hardship who followed the recommended steps to agree a payment plan, she said.
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Silence.. Tumbleweed rolls down street.
Come on, it's not a bad deal.
NZ's tourism, retail and education sectors will be bearing the brunt of the projected 20-26% unemployment rate and the DCC/ORC are talking rates increases? What planet do these technocrats live on? Can not they give up their under-utilised services which keep their egos going for at least once in their lives? Are they working for us? or for themselves and special interests? So much for community service, more like community pillage! Make all non-essential services user pays- let the people decide what they want with their wallets.
Quote- "Dunedin Mayor Aaron Hawkins has publicly expressed support for a rates freeze, wanting in its place to borrow the $10million the proposed 6.5% rates rise would have generated."
On Monday Mayor Hawkins inticated that he had changed his mind.
Quote- "I’ve previously said I’d support not increasing the rates, and debt-funding the shortfall instead, but the more I think about it the more I think that’s too simplistic."
So let's look at why we are suddenly looking for so much money. If we're constantly borrowing, then that tells us that we're not operating 'balanced books'. All we're doing is debt loading the future. If buying a house isn't hard enough, now we're seeing the potential for being rated out of your home. This has happened in the past, where low icome households have been unable to sustain rating costs. We have just seen the highest hike in CV's that alone will generate higher than usual rates. To place another 6.5% on top of that indicates to me at least.....something is wrong. And as others have pointed out, it will COMPOUND rapidly in the next handful of years. So we may well indeed, be rated out of their homes. Not an ideal LEGACY Mr Hawkins & Co.
Mr Hawkins
We dont need George St one way.....look to New Brighton in Christchurch for a failed example. And listen to Colin Weatherall's 5000 signature petition.
Nor do we need a bridge to nowhere (Harbor Basin).
Just freeze those rates, and dont borrow at least until the economy is back on its feet....which doesnt seem to be any time soon.
"Please do not just stop paying your rates or cancel your direct debit" yet "Ratepayers asked to pay what they can". So which is it?.
"Dunedin Mayor Aaron Hawkins has publicly expressed support for a rates freeze, wanting in its place to borrow the $10million the proposed 6.5% rates rise would have generated".
And hawkins still wants to borrow millions, what planet is he on?.
Just heard that the Mayor, councillors and CEO’s of DCC companies are following the lead of Jacinda and are all taking a 50% cut in pay for the next 12 months.
Not to be outdone, ORC staff will be will all be taking a 75% pay cut for the next 24 months.
Absolutely bloody fantastic guys …
Now if one of you could just pass me another Tui …
Even without the pandemic, a 6% increase in rates means that they will double in exactly 12 years.
Whereas, the probability that our wages and salaries will double in 12 years is virtually zero.
So, we seem to be herded into a position to be foreclosed on, just as happened in the USA in 2008-09. It is highly doubtful whether Kiwis will tolerate this. What is not in doubt is that exponential growth in extortion ---excuse me, I meant rates; silly me--- coupled wiith stagnant or vastly reduced wages will create massive social unrest, and it will be justified.
Councils all over the country had best take heed, because the rest of us certainly are.