“Our council recently discovered a faulty process for recalculating direct debit payments of rates, that dates back to 2018,” Tararua Mayor Tracey Collis said.
“This error impacts those who pay by direct debit and receive a rates rebate.
“We take full responsibility and, as mayor, I want to offer a heartfelt personal apology. It’s tough for everyone right now, with the high cost of living and so many challenges and issues with loss of services... and we’re still recovering from the cyclone.
“It’s really unfortunate that the council has added to that. We are trusted to make direct debits and we got it wrong. This is our error, we take full responsibility and we are devastated this has happened.”
Of the $400,340 owed to the council, 321 homeowners owe from as little as one cent to up to as much as $6747.42.
Of the $146,758 the council owes to ratepayers, 281 homeowners are owed between one cent and $3983.55.
Current methods of repayment to the council can include a lump sum or a payment plan.
Tararua ratepayer Pat Kelly said “I am 81, and I now owe $3600. To ask me for that sort of money is... well, cheeky is being polite.
“It’s their error, they fouled up and they should take it on the chin. That’s the consensus I’m hearing. I feel very strongly that they shouldn’t make us pay it back. Even if they delay it, then on my death my family have to pay it. It’s a cop-out.”
At a Tararua District Council meeting on Wednesday, the council addressed adopting a rates payment postponement policy that could be applied to those impacted by the error.
Councillors voted unanimously to adopt the draft policy which, if it is put into place, could allow payment of arrears to be postponed, with no penalty, until such time as the property is sold.
Affected ratepayers have been sent a letter outlining the draft policy and have been invited to make submissions, and the draft policy is now out for public consultation until October 20.
Hearings will then be held on November 4 and 5, in both northern and southern parts of the Tararua District, with the possibility of an evening hearing as well, before the policy is put back to the council vote.
Collis said: “We want to make participating in the consultation as easy as possible. This is the most meaningful solution we can provide.”
Collis admits the new policy, if adopted “isn’t a quick fix. It has to go through the consultation process and it will not be the right solution for everybody. It will be an option, a tool we can make available.
“Each ratepayer’s situation will be different, and different tools for solution need to be applied. We are encouraging those affected to speak with us about what that will look like.
“Myself, councillors and council staff have been in contact with more than 200 of those affected. We have been in every town meeting with ratepayers and support people.”
She emphasises that the council is legally unable to waive the owed amounts.
“We are legally obliged to use all the tools at our disposal to recoup the lost revenue. We have to go through this process. In the meantime I urge anyone affected to please reach out to the council or support agencies. I don’t want anyone in Tararua to have nothing but toast for tea, because of this.”
