It is among three NRC options including 11.05 per cent, or higher subject to what ratepayers might want.
NRC’s general rates went up by 4.5 per cent in 2020/2021, 20.7 per cent in 2021/2022, 13.89 per cent in 2022/2023 and 10.48 per cent for the current 2023/204 financial year.
Cr Stolwerk said it was natural that ratepayers would err towards wanting the lowest-end rates rise in comparison with a second higher 11.05 per cent increase – or even higher, should they wish to include NRC funding towards putting what he said were key council-supported activities back onto the books or other additions.
He said ratepayers needed to closely check the Long Term Plan public consultation document to see what activities were being left in or out of the next decade’s budget.
Cr Stolwerk said targeted rates funding for local emergency services was critically absent from the 2.9, and 11.5 per cent increases.
His comments came as NRC on Wednesday adopted its proposed Long Term Plan public consultation document at an extraordinary council meeting in Whangārei.
NRC’s rates increase will affect its ratepayers across 100,000 properties, in a region with 200,000 people.
Cr Stolwerk said the 2.9 per cent increase would see the council barely be able to carry on its business-as-usual work.
“We can probably scrimp through on 2.9 per cent, but only just,” Cr Stolwerk said.
The LTP consultation document says the proposed options reprioritised existing work to keep rates increases as low as possible.
“This Long Term Plan is about rebalancing. We’ve looked through our existing programmes to see what work can be reprioritised, and what things aren’t core business that could potentially be stopped to help keep rates down in a time of high inflation,” the document says.
The shift also removed targeted rates for regional sporting facilities, as well as the emergency services targeted rate.
The third 2024/2025 rating option in NRC’s new proposed LTP consultation document could include reintroducing these targeted rates.
NRC chairman Geoff Crawford said it was important Northlanders had their say on the new LTP for council services, which was spread from Cape Reinga to Topuni near Wellsford in the south.
Crawford said communities were under real financial pressure and the second of its proposed main rates increase option would impact the average rates bill by 11.05 percent for the coming year.
The proposed option involves doing high priority work the council believes is necessary to maintain momentum on existing programmes, address new challenges, foster partnerships and meet new legislative requirements.
“This would mean an overall rates increase of 11.05%, or $58 per rates bill on average for the coming year.”
The alternative “bare minimum’ option would keep a rate increase to 2.9%, or $13 per rates bill on average for the coming year.
“While this would fund the bare minimum of what’s required to meet legislative and contractual obligations, there are consequences with this pared back option,” Crawford said.
Crawford said both options were based on NRC proposing to stop annual funding contributions to emergency services and regional sporting facilities, freeing up $2.7 million a year to deliver core work while keeping rates down.
“We know these are hugely important for our communities - but they’re not core regional council functions and it’s time to ask whether we should still be contributing annual funding to them.”
Crawford said continuing to support both those services would mean an extra additional 5.72% 2024/2025 rates increase or an average of $27.65 per annual rates bill in the first year of the 10-year plan.
This would take Northlanders’ average proposed total rates increase to 16.77 per cent for the 2024/2025, on top of the council’s preferred 110.05 per cent rates increase.
Cr Stolwerk, who is also Waipū Cove Surf Life Saving Club president, said the emergency services rate amounted to $11.40 per ratepayer per year.
He said NRC ratepayers had been paying targeted rates towards emergency services funding for some time.
Funds went towards the Northland Emergency Services Trust (NEST) for its helicopters, New Zealand Surf Life Saving Association and Hato Hone St John Ambulance.
He said ratepayers needed to closely check the Long Term Plan public consultation document to see what activities were being left in or out of the next decade’s budget.
Cr Stolwerk said targeted rates funding for local emergency services was critically absent from the 2.9, and 11.05 per cent increases.
His comments came as NRC on Wednesday adopted its proposed Long Term Plan public consultation document at an extraordinary council meeting in Whangārei.
The NEST funding rate was brought in by NRC in 2009 when then NEST chair John Bain was also an NRC councillor.
Cr Stolwerk said his conflict of interest as the president of a local surf life-saving club meant he did not take part in NRC voting on the emergency services rate, but was able to contribute to debate around the council table on the topic.
■ LDR is local body journalism co-funded by RNZ and NZ On Air.
