Selwyn District could drastically limit rates rises but it comes at a cost

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Source: Radio New Zealand

Selwyn mayor Lydia Gliddon says hard conversations need to be had. Supplied/ Facebook

Selwyn District Council is attempting to drastically limit rates rises this year but the plan comes with some caveats.

Councillors agreed on Wednesday to consult the public on an average rates increase of 5.4 percent.

Ratepayers would also be asked to give feedback on options of 4.9 percent and 6.5 percent – all had different trade-offs.

The preferred option was less than half of last year’s hike of 14.2 percent.

However, all options excluded water charges which were now handled by a separate company – Selwyn Water Ltd.

Councillors were also searching for savings by possibly shifting some costs from general rates to user-pays.

That could result in increases to building consent costs, aquatic and fitness class fees, and dog registration fees.

The council would also have to reduce its library programmes and exhibitions to achieve the 5.4 percent increase.

Selwyn mayor Lydia Gliddon said there would need to be some hard conversations with the community.

“My view around community services is not to try and cut everything but to look at how we do it and work smarter with what we do have to provide benefit for our community as well,” Gliddon said.

Achieving lower rates hikes required careful prioritisation and difficult decisions, Gliddon said.

“This is our first annual plan as a new council and it reflects what we heard clearly during the election – that rates affordability matters and the council must live within its means while continuing to deliver essential services,” she said.

The draft plan said the rates increase could be reduced to 4.9 percent by significantly reducing recruitment at Selwyn District Council for the next year, removing some roles from budgets and significantly reducing consultant costs.

It was not recommended by staff, who said it could affect the council’s ability to meet its legal obligations and deliver services.

The plan included investments in roading upgrades and maintenance, Lincoln’s town centre, replacement of the Whitecliffs Bridge and remediation of the Leeston Medical Centre.

The plan said they were needed to support the district as it was one of the fastest growing areas in the country.

The council was predicting $213.6 million in revenue during the next financial, while it would spend $196.5m on operating expenses and $86m on capital infrastructure.

Consultation opens on Monday.

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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

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