Jesse James and Charles Smithdorf say no one is listening to their concerns. Photo / Talia Parker 010422tpbop2
Residents of a lifestyle village claim their rates are "unjust" compared to nearby homes, as they fight the council's latest valuation of their homes.
But Tauranga City Council says the village's rates have been lowered in response to objections before and the most recent objections would be reviewed.
Residents ofthe Golden Sands Lifestyle Village in Pāpāmoa are all over 55 and own their units, but not the land underneath them. The land is owned by the Bluehaven Group, and residents pay "land rent" to live there.
The village properties are 180 square-metre, two-bedroom units and were recently valued by the council at $500,000 to $510,000.
Resident Jesse James said the most expensive unit sold in the village went recently for $430,000, and the average unit was about $400,000.
Another unit in the village sold earlier this year for $422,000.
According to the council website, properties in the village valued at $500,000 paid $1844.26 in rates this year. Under the proposed Annual Plan, this would increase more than 10 per cent to $2035.73 in the 2022-23 rating year.
James said 400 to 500 sq m, four-bedroom homes neighbouring the village paid $300 to $400 more in rates each year.
"If we're half the size, wouldn't you think we'd be paying half the amount?"
He said the residents loved the village and had no qualms about paying the land rent but they were being charged rates on a leasehold rather than freehold basis.
"When they send you the rates bill, [it says] you've got title on the land - how can you have title and not own it?
"This is unjust."
James said it was extremely difficult to pay high rates on a pension.
"There are people here on their own who have not got a lot of money - that's why we came here in the first place."
James said he and many other villagers had contested their valuations, but some had struggled with the process.
"Some people don't have computers, some are not computer-literate - a lot of [residents] are in their 90s, 80s, and they're not au fait with using a computer.
James said residents felt they were "being ignored".
"'Oh, here's those moaning old buggers again.' That's the way it feels."
James' neighbour Charles Smithdorf said the rising cost of living was only making it harder for pensioners.
"Everything is increasing, and we are just being hammered from all angles - but the council is the worst culprit."
James wanted an explanation about why their rates were so high and said if the issue was not resolved, the future looked "pretty grim" for residents.
James had a message for the public: "Help us, please. Please help us ... nobody's listening, nobody cares."
Former mayor Tenby Powell told the Bay of Plenty Times that he understood and had empathy for the residents' position, given they did not own their land.
"I think it's a very valid point - why would one pay the same rates for a house that may have more amenities ... that is getting capital gain through the appreciation of that asset, when they're not getting any of that?"
Powell, who met with residents of the village during his partial term as mayor, said he thought Tauranga City Council "could act more proactively" and quickly regarding issues such as rates queries and building consents.
The council's manager of transaction services Jim Taylor said the village residents' rates were lowered by seven per cent in 2018 in response to their objections.
"Tauranga City Council has provided the Department of Internal Affairs feedback in regards to reviewing the eligibility criteria and level of rates rebate assistance for residents who need help paying their rates."
Taylor said he visited a group of residents at the village last year.
"No change was made to their rates at this time, as they were correctly set, according to their valuations and legislation.
"Whenever council is contacted by residents about their rates, a full response is provided to all queries and questions received. Full explanations have been provided to Golden Sands residents on a number of occasions."
He said the residents who objected to their most recent valuation would have their objections reviewed by June 30.
"If the valuation changes, the new value will be used to assess future rates."
He said residents who were struggling with their rates should contact the council - "we can set up payment plans, and work with them to ensure their commitments are met".
The latest council valuations were completed by Opteon and released in February.
Scott Chapman, manager director of Opteon in Australia and New Zealand, said Opteon was an external, independent valuation contractor that is required to revalue the district every three years.
"Tauranga City Council is solely responsible for rating policy and any questions related to rating policy should be discussed with [the] council."