Kavinda Herath / Tips
The Kennington area was originally slated for an average rate hike of 31.4 percent, but adjustments have been suggested to the Invercargill City Council rate policy that would reduce the average rate hike to 19.1 percent .
Invercargill City Council appears poised to change its proposed pricing policy, which will ease the burden on its “rural” taxpayers.
As part of the council’s consultation on the 2021-2031 long-term plan, he proposed that some previously targeted costs be spread across the city on the basis of capital value.
It has been proposed that rural areas contribute to public lighting, footpaths, public transport and, in some cases, stormwater drainage.
Just over a third of bidders were positive about the proposed rating changes, the most common reason being that it would be a fairer system.
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Although the proposed changes also aroused the anguish of others.
Most of the “negative” responses to the proposal concerned the refusal of some taxpayers to pay for services they felt they did not benefit from.
The biggest opposition came from residents of Kennington, who were set for an average rate hike of 31.4 percent, and those who own farm properties.
Federated Farmers told the board it should not change its current rating system and should continue to use targeted rates.
He suggested that the council look for savings on its staff costs and that the council reconsider its capital works program to ensure that taxpayers are only charged for the services that will be provided during this period. pricing.
The advisers will discuss its performance rating policy, policy and partnerships on Tuesday.
Board Strategy and Policy Director Rhiannon Suter wrote a report recommending a change to the proposed rating policy.
It is recommended to include two new target rates “to reflect the private / public benefit associated with the services”.
Rural areas will see a smaller increase than previously forecast rates due to the recommended changes.
The expected average Kennington area rate increase will drop from 31.4% to 19.1% as a result of the change.
Still the biggest contribution to Kennington’s rate increase was the city-wide reassessment change in rate distribution.
It is recommended to introduce two new targeted tariffs and that the rest of the costs remain in the general tariffs and be distributed throughout the city according to the proposed pricing policy.
Following the Performance, Partnerships and Policy meeting, the pricing policy will be submitted to the full board at the June 30 meeting for adoption.
Kennington resident Craig Templer was particularly vocal in his opposition to the rating changes initially proposed by council.
Templer said it would be nice to have services like street lights, trails, and being able to walk to a bus and go to the library. However, Templer said they didn’t have them in Kennington and didn’t think they should have to pay them.
“The council’s proposal to charge taxpayers for services is a drain from a minority of taxpayers,” Templer said in his submission to the council.
Templer was happy that council staff recommended the changes.
“They listened, and you have to give them credit for that,” he said.
Although Templer felt there were still “improvements to be made” to the board to help reduce costs and the amount taxpayers had to shell out.