18% rates rise ‘not an option’, ORC deputy chairman says

Michael Laws
Michael Laws
The Otago Regional Council is due to start consulting on an 18% rates rise, but the deputy chairman says it is "simply not an option" amid the "cost-of-living crisis".

It comes after ratepayers paid a 49.5% increase in rates in year one of the regional council’s long-term plan, and as households struggle to keep up with everyday bills, Cr Michael Laws says.

Corporate planning manager Mike Roesler said the proposed total rates take for 2022-23 was $47.2 million, up $7.2 million from last year — $3.6 million (18.1%) from a general rates increase and $3.6 million from targeted rates.

The increase was in line with what the council consulted and agreed last year, Mr Roesler said.

The rates proposal included a dividend from Port Otago of $14 million to offset what ratepayers would pay.

Cr Laws said the proposed rise in rates and local government charges would be a "dreadful assault" on struggling households and businesses.

The average 49.5% rates rise last year was a "result of past council failure and the imposition of costly central government policies".

"But I don’t think we can use that excuse this year," he said.

People were dealing with "galloping inflation", the price of food, and escalating fuel prices and the regional council should not be adding to the household burden.

The council is set to start consultation on March 31, but Cr Laws said there was still "plenty of time" to review the plan provided there was the political will to back the changes.

The community engagement many councils went through were a "tick-box consultation phase" and "most people know local government consultation is a bit of a sham", he said.

Council chairman Andrew Noone said the ORC’s long-term plan had "full input" from the public and the work being funded was publicly available.

Today’s meeting agenda would ask the council to move forward with requesting public feedback for its annual plan, all of which would be considered, Cr Noone said.

Chief executive Sarah Gardner last year said the rates increase was partly to blame for anger directed at her staff.

Councillors will discuss consultation for this year’s annual plan at today’s council meeting.

wyatt.ryder@odt.co.nz

Comments

You are right - it's not an option, Michael. If the council needs cash, sell some of the buildings you should not have and don't need.

The crocodiles are crying - do you sense an election?

The chief executive reckons last year's rates increase was partly to blame for anger at her staff. I wonder what the other factors are that made the public angry. Wasting that money on unnecessary lawyers for ORC controversies, over-the-top salaries for underperforming executives, just to name a couple more.

Councillor Laws - get on your bike! Ratepayers have had enough of your disingenuous platitudes!

Instead of not increasing rates ORC needs to reduce rates and add value! Over the last four years the performance of ORC has been dismal. The Councillors and Executive have wasted millions of dollars and have failed ratepayers. Their pre-election tinkering is like rearranging the chairs on the Titanic. Let this ship sink and get a fresh crew!

 

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