Abandon proposed rates hike, Federated Farmers says

The rates consultation public meeting earlier this month. Photo: CHARLEY-KAI JOHN
The rates consultation public meeting earlier this month. Photo: CHARLEY-KAI JOHN
Federated Farmers has called for Waitaiki councillors to abandon a proposed rates hike which it says will disproportionately impact ‘‘the economic engine’’.

The options the Waitaki District Council consulted on of 19%, 27% and 45% were also labelled ‘‘unacceptable’’ by a community board in another response to the council’s two-week consultation.

There were even calls to establish an independent taskforce to review council spending by a former All Black.

Around 580 submissions were made on the council’s annual plan this year, a record number.

Councillors pored through public comments at a workshop earlier this week and will do so again today, due to the sheer number of submissions received.

Federated Farmers North Otago provincial president Otto Dogterom, in his submission, called on the council to ‘‘abandon’’ its proposed 19% rates hike.

Mr Dogterom said the primary sector was ‘‘the economic engine of Waitaki’’ and the proposed options represented an ‘‘unsustainable financial burden’’ on the district’s rural businesses that were already facing ‘‘severe macroeconomic headwinds’’.

‘‘We question the narrative that a 19% hike is the acceptable ‘minimum’ baseline, particularly when this burden will fall disproportionately on farming operations due to the council’s land-value rating system,’’ Mr Dogterom said.

The Waihemo Community Board said all ‘‘options’’ presented to the community were ‘‘unacceptable’’.

In its submission, the community board called for the council to instead adopt the 7% increase scheduled in its long-term plan.

The board said it agreed with the council when it said ‘‘we need to make some tough decisions’’ but said it disagreed the tough decisions should fall ‘‘squarely on the laps of ratepayers’’.

‘‘Respectfully, we request this council ‘stop kicking the can down the road’ by clearly identifying core council services and projects and to trim budgets accordingly.’’

Business South chief executive Mike Collins said the organisation was not in a position to formally endorse any of the three proposed rates rises, but said its members required ‘‘full transparency’’ on how rates revenue was used.

The council also need to demonstrate ‘‘fiscal discipline’’.

Business South’s surveying of its members showed a deteriorating trend in how businesses rated the council, Mr Collins said.

Former All Black, businessman Ian Hurst, recommended councillors establish an independent taskforce to review council spending with an aim of achieving ‘‘break even’’ financial performances.

When the council began reviewing submissions on Tuesday, Mayor Mel Tavendale said there had been ‘‘some really clear feedback’’ in the ‘‘amazing’’ number of submissions, forming part of the ‘‘really tough conversations’’ councillors were having.

By the numbers:

• More than half of submitters did not pick one of the council’s three rates options.

• A third of the public opted for the 19% option.

• One-in-10 people went for the 27% option.

• Only 26 members of the public (4.7%) opted for the highest 45% rate.

 *Source: WDC