An 11.6% average rates rise has been proposed for the Queenstown Lakes District.
Councillors will be asked to approve the draft annual plan consultation document, which includes the proposed average rates rise, after allowing for a 3.5% growth in the rating database at tomorrow’s full council meeting,
Initially, the proposed rates increase was 19%.
Council’s assurance, finance and risk general manager Katherine Harbrow said, in a statement, the proposed average rates rise was consistent with what was proposed for year three of its long-term plan.
She noted "significant work" had been required to reduce the rates increase and ensure it remained aligned with the council’s original projection.
"This was achieved through carefully considering every project planned for the 2026-2027 year, extending loan repayments, using income from the transport improvement fund and finding operational savings," she said.
It was important to understand the 11.6% figure was an average, she said.
Proposed increases for Hāwea, Cardrona and Kingston, would be higher due to required investment in essential Three Waters infrastructure, she said.
"We know that rates rises can be unsettling.
"It’s a tough proposition, especially when household budgets are tight.
"The council is also facing considerable cost increases which don’t necessarily match the consumer price index (CPI) and has worked hard to minimise the size of any increase in rates."
Increases in some user fees, such as building consents, animal registration as well as sport and recreational services, were also proposed.
"Keeping the balance between general rate funding and direct user fees is an important part of spreading the load appropriately," she said.
The draft annual plan being presented to councillors tomorrow also included details of the work to deliver the long-term plan (2024-2034) to date.
Council corporate services general manager Meaghan Miller said considerable progress had been made despite a challenging backdrop of financial constraints, government reform and consistently high growth.
Highlights over the past year, she said, included progressing negotiations on a regional deal in conjunction with the Central Otago District Council and Otago Regional Council, commencing the establishment of a water services council-controlled organisation, completing a future review of the Wanaka Airport, settling on stage one of the controversial Lakeview development, starting or progressing significant water supply and wastewater conveyance as well as treatment plant upgrades.
"This is along with some outstanding work to plant over 80,000 native trees and begin construction of a trail network at ... the former Coronet Forest site ... new playgrounds and finalising some important strategy work in the waste minimisation and climate and biodiversity space," Ms Miller said.
If approved tomorrow, consultation would begin on Friday. — Allied Media
