March 9 2021
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Long Term Plan’s rates impact u by Andy Bryenton
The Kaipara District Council’s proposed Long Term Plan for 2021–2031 is now available for public consultation and comment, with submissions on the proposed plan open all month.
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Significant issues such as wastewater, civic buildings, CCTV security and infrastructure growth are addressed. ‘Kaipara District is changing,’ reads the preamble to the LTP document. ‘Since our last Long Term Plan, we have a newly elected council and are delivering significant projects for our community, including a capital works programme in 2021/2022 that is twice the dollar value of previous years.’ Expenses for 2021/2022 are listed at $50.8 million. The LTP outline goes on to identify that the KDC has similar growth challenges as many other larger councils and additional challenges resulting from a previous lack of investment in infrastructure. For the first time, Kaipara residents can read about the proposed solutions to these challenges and their costs. The LTP proposal contains seven major points, which were made public two weeks ago in this publication. Homogenisation of wastewater charges, the demolition or reconstruction of Dargaville’s civic hub, relocation of the Mangawhai library, potable water supply and reticulation, climate change response, waste minimisation and a targeted rate for CCTV security coverage in Dargaville. New to the documents released March 1 is a breakdown of what this will cost in rates revenue. Rates will be limited to an average rise of five per cent per annum. Still, that average includes drops for some and rises for others outside this percentage.
The LTP proposal document includes a section titled, What does this mean for your rates, in which sample properties in different Kaipara municipalities and subregions are listed next to land values. This table indicates that, should the LTP be adopted verbatim, some homes will see reductions in their total contribution to the KDC’s coffers, while others will see significant increases in the coming year 2021/2022. Analysis of the table on page 59 of the LTP proposal shows that a large part of this change comes down to rapid rises in land valuations delivered to individual homeowners last month via mail. Local real estate professionals consulted on the issue agree that the land valuation figures are within the parameters we have seen on recently issued GV reports. These professionals consider that the highest percentage change in these projections representing a sample of calculations, is for a residential home in Ruawai, which would see a 37% increase in one year or $500 or more in rates. Using the same mathematics, one sample Mangawhai home drops by 11.72% for the same period. Te Kopuru residents may expect increases of up to 22.5%, with approximately $200 of this increase, and any increases made in Dargaville and Glinks Gully, coming from the homogenisation of wastewater charges. Mangawhai wastewater costs for each household would drop from approximately $1,300 to $1,051.
p Mayor Jason Smith and his councillors are ready to answer public questions about the 2021 to 2031 Long Term Plan, now online for your perusal
Of course, these sample calculations have been made based on what have been unprecedentedly high land valuation increases in a volatile market. Residents can estimate their likely rate increases (or potential decreases) from the figures presented, but every property Kaipara wide will be different. Nevertheless, such a spectrum of rate hikes and falls across the region is all the more reason for ratepayers to analyse and make submissions on the LTP document, taking a deeper look at where that revenue will be deployed to enhance civic amenities. The LTP proposal is available from kaipara.govt.nz. ¢
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