A general rate increase of 5.34% is included in the Otago Regional Council draft annual plan for 2013 to 2014, which is now open to public comment.
The draft plan budgeted the general rate to be $5.02 million, compared to $4.76 million in 2012 to 2013.
A plan to invest in an irrigation scheme for the Tarras area accounted for 2.4%, or $113,000, of the proposed general rate increase.
The proposed rate increase would see the general rate for a house valued at $250,000 in Dunedin increase from a total of $35.70 to $37.60.
Chairman Stephen Woodhead in a statement said while the council had not yet decided whether to invest in the Tarras Water Ltd scheme, the long-term plan was amended to allow for the proposed $3.5 million investment.
A total of $10.7 million was to be collected through targeted rates, compared to $11 million in 2012 to 2013. Targeted rates on 10 of the regional council's activities remained unchanged from 2012-13; seven have been increased, and two have decreased.
One of the two decreases related to the Wakatipu transport rate, which fell from about $540,000 to about $65,000. This occurred because contract bus services which were being run on a trial basis were now commercial and no longer required funding from the regional council.
The total of both targeted and general rates to be collected in 2013 to 2014 was proposed to be $15,745,000, compared to $15,301,000 in 2012 to 2013. This was an increase of $444,000, or 2.9%.
Submissions on the draft plan close on May 3 and hearings are scheduled for the week beginning May 13.