Residential and commercial properties in Oamaru face rate rises greater than the draft 6.4% increase proposed by the Waitaki District Council for the next financial year.
However, residential and commercial properties in rural towns in the Waitaki Valley and in Palmerston will have rises less than the 6.4% average in total rates take proposed in the council's 2008-09 draft annual plan. That is being caused by special rates paid by ratepayers in those town.
In Oamaru's case, residential property owners face an increase in the amenity rate which pays for kerbing, channelling and seal extensions because of projects the council plans. That flows on into the commercial sector, which also faces an additional rise in the business rate they pay.
The rural towns in the Ahuriri and Waihemo wards are more fortunate, with a reduction in their amenity rates caused by the council proposing to transfer some of that to reserves contributions paid by developers in those areas.
Individual examples of the impact of the draft annual plan on rates throughout the district have been produced by the council. Ratepayers will also receive a newsletter which will tell them what their rates will be under the draft annual plan, comparing them with their present rates and the percentage increase.
Across the district, the average increase in rates on residential properties is predicted to be 4.2%. However, in Oamaru the impact of the amenity rates rise will see increases of between about 7% and almost 8%, according to the council's examples. The higher capital value of a residential property, the greater the rise.
In contrast, residential rates rises in Waitaki Valley towns range from 1.75% to about 6% and in Palmerston slightly more than 2%.
Oamaru commercial property examples show increases of between 6.16% for low capital value properties up to between 10% and 15% for higher value properties of $2 million or more in the central business district, reflecting payment of the business rate based on capital value.
In the Waitaki Valley, rates rises for commercial properties range from 2.13% to 5.26% and in Palmerston between 1.24% and 2.28%. The average rate rise for all commercial properties across the district is 8.23%.
The average rates rise for agricultural properties across the whole district is 5.33%, although again individual examples vary widely between 2.3% for a 10ha Palmerston lifestyle block to 12.09% for an 8.4ha Oamaru lifestyle property which feels the impact of the Oamaru amenity rate. Most other large farms ranging from dairy to dryland blocks are around the overall average rise of 5.33%.
But while residential ratepayers may grumble, spare a thought for farmers - one property at Omarama faces paying $35,541 in rates next year and a Waitaki Valley dairy farm $18,578.
Meridian Energy Ltd faces a $207,742 bill for its Benmore dam valued at $158 million (it also pays rates for the Aviemore and Waitaki dams and part of the Upper Waitaki scheme) and Oceana Gold $263,992 for its $6.3 million Macraes mine.
