'Rates smoothing' could be adopted by WDC

Paul Hope.
Paul Hope.
For the first time, the Waitaki District Council will propose ''rates smoothing'' in its draft annual plan to lessen rates rises in the district over the next two years.

Council chief financial officer Paul Hope said the council's long-term plan forecast a relatively large 2.44% rates rise in 2018-19, so it decided at its February 15 meeting to ''fund some costs early''.

Rather than propose a -0.3% rates change in 2017-18 which was projected to jump to a 2.44% rates rise in 2018-19, the council would instead this year propose a draft annual plan with a 0.96% rates rise in 2017-18 and a projected 1% increase in 2018-19.

''[Councillors] decided they would repay some old loans a bit earlier and get rid of the debt servicing costs,'' Mr Hope said.

''The basic idea of keeping things affordable ... it's probably accepted that small increases are easier for people to deal with than a big shock in maybe 12 months' time - 'big' being comparative, 2% or 3% is not huge.''

At the council's February 15 meeting, councillors decided to invite feedback on the annual plan proposal as it had done in the past, council policy and communication manager Mike Roesler said. Staff would now create the consultation material for approval at the council's March 15 meeting.

The annual plan consultation would then begin for council consideration in May so the annual plan could be approved in June.

hamish.maclean@odt.co.nz

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