Rates rise caused by new service

Mike Theelen
Mike Theelen
A council bid to reduce solid waste is the driving force behind a significantly higher-than-expected rates increase for Queenstown Lakes District residents.

Councillors will this week be asked to approve public consultation on the draft 2019-20 annual plan.

The 10-year plan had signalled an average rates rise of 5.99% for the year.

That will jump to 8.72%.

Kingston residents who own a residential property with a capital value of $460,000 will be the worst hit, with an average rates increase of 17.33%.

According to the draft plan, the main factor behind the increase is a new solid waste service set to launch on July 1.

Instead of users buying blue rubbish bags and red wheelie bins, the new service will be paid for through a targeted rate.

Because of that, the council said for many the change will represent an overall cost saving.

"For those individuals who are already on their way to creating minimal waste, we acknowledge and accept that for you, there is a price to supporting the whole district's journey towards zero waste.''

Every household will have two 140-litre bins (for separate glass and rubbish) and one 240-litre bin for other recycling.

There will also be district-wide glass recycling.

In their introduction to the plan, Mayor Jim Boult and council chief executive Mike Theelen said the district had reached a "crossroads'' in terms of its commitment to recycling, composting, and reducing waste.

"It's not radical, fringe or alternative to reduce our carbon footprint - it's our only option.

"Climate change is bigger than any of us and will need global change. As a council and a community we must accept that the actions of every individual can shift the outcomes for future generations.

"We need to act now.''

As well as a hefty rates rise, the plan also forecasts major population growth for the district - the average day population for the district expected to increase from an estimated 67,129 people this year to 87,888 in 2028.

Meanwhile, the budget for total revenue has decreased by $9.27million overall, largely the result of the deferral of part of the anticipated Lakeview sale which was included for the coming year in the 10-year plan.

The successful master developer of the Lakeview site is expected to be named next month, according to the plan.

"Whilst excellent progress has been made, the financial benefit will not be seen to the community until the 2020/21 financial year.''

Public submissions will open next Monday , and close on April 12.

Hearings will take place in May, and the plan is expected to be adopted on June 27.


 

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