While rating differentials are a complex issue, they have recently become very real for property owners whose farms have been deemed lifestyle blocks, and whose rates have risen accordingly.
That was a result of a government, rather than a council, decision, council finance and strategy committee chairman Cr Richard Walls said yesterday, after Quotable Value made "an arbitrary change" to the category of some properties, on behalf of the valuer-general.
The council decided on Tuesday to reconsider the issue, through its rates working party of Crs Chris Staynes (chairman), Bill Acklin, Syd Brown, Dave Cull, Andrew Noone, Richard Walls and Mayor Peter Chin.
Cr Walls said yesterday it was clear from annual plan submissions farmers had concerns about what they were paying compared with residential and commercial ratepayers.
There had been changes in land use, with some farms now lifestyle blocks.
Some councils had up to 13 different categories of land use, compared with Dunedin's three.
Rating was "a blunt instrument", but the simple answer was differentials had to be in line with land use, Cr Walls said.
The council decided at annual plan hearings this week it would review the differentials again, and consult groups such as Federated Farmers and the Otago Chamber of Commerce before next year's draft annual plan.
The working party would also consider a differential for lifestyle blocks.
