Napier City Council proposes 6.4 per cent rates increase

Napier City Council has proposed a rate increase of 6.4 per cent in the 2019/2020 year. Photo / File

Napier City Council's draft annual plan has been approved for the public to have its say on, including a possible increase in rates of 6.4 per cent.

Consultation will be on five key areas: water projects, kerbside recycling and rubbish collection, the regional disaster relief trust, the Whakarire Revetment and applications to the Provincial Growth Fund.

In council's long term plan, it projected a 2019/2020 rates increase of 5.1 per cent, but an increased likely cost to the kerbside recycling contract has forced this up.

Overall recycling changes will raise rates by 3 per cent, but this will be spread over three years, so will impact rates 1.3 per cent in the 2019/2020 year.

Councillor Kirsten Wise , who moved the motion, said she did not believe there was a councillor at the table who wanted to consult on a 6.4 per cent rates increase.

She said the scope to the annual plan consultation is limited, as council only consults on changes which are significantly different to the long term plan.

"I think we've got some challenging times ahead of us and, the 6.4 per cent rate increase which is proposed for this year, will potentially be looking even more horrific going forward based on some of theses risks and challenges."

Mayor Bill Dalton said the risks Napier City Council faces in the future are not as great as those facing many councils around New Zealand, as Napier is starting from a strong base.

"However, I don't think we should ignore the risk."

Consultation opens on Monday, March 8, and runs until May 13. The consultation period includes three public meetings, and the public also has the opportunity to submit opinions online.