Ashburton Guardian, Friday, April 3, 2020

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Friday, Apr 3, 2020

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Council mulls rates options By Sue Newman

sue.n@theguardian.co.nz

Ashburton District ratepayers could be in for a two-pronged form of rates relief to help them balance their budgets during the Covid-19 lockdown. A report is being prepared by council staff on rating options that could potentially include a reduction or cancellation of the

the pain they’re going through,” he said. The likely reduction in next year’s rate increase, however, would come with some consequences, Brown said. “Whatever we do, if we reduce the increase in rates we will have to reduce our levels of service and we’ll have to weigh up the sustainability of this.”

penalty for unpaid rates in the May quarter and a reduction in the 4.8 per cent rate increase for next year. Mayor Neil Brown said the relief options would be discussed at Thursday’s council meeting and he’s anticipating a positive outcome. “Let’s hope there is something that will please people and ease

In terms of next quarter’s rates, the council couldn’t simply wipe these as that would effectively mean it had to borrow $8 million to cover the lost income as rates contribute around $35 million to the council’s income for the year, he said. “We have to look at this and ask ourselves if we can do anything and it may be that we opt for no

penalties.” If that was what councillors decided then it would mean that quarter’s rates would not be forgone, rather they could be deferred.

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