Whangarei District Council's annual plan adopted for coming year

Wright Rd is one of the benefactors of the 2017/2018 Annual Plan. Photo/Michael Cunningham

The latest Whangarei District Council annual plan features a lower-than-anticipated rates increase, an allocation for more sealing on notorious dusty rural roads and the delay of work on the Hikurangi Swamp.

The 2017/2018 Annual Plan was adopted by the Whangarei District Council at the full council meeting last Thursday.

It includes an average general rates rise of 3.9 per cent; $1.25 million - including a 53 per cent NZTA subsidy - towards further sealing Wright and McArdle Rds and an end-of-year debt of $150.5 million, below its debt limit of $170.5 million.

In February the council opted not to put the plan out for public consultation as there were no significant differences from year three of the 2015-2025 Long Term Plan.

Newly formed council watchdog group Better Whangarei, which includes former district councillors Brian McLachlan, Frank Newman and Susy Bretherton, read the Annual Plan closely.

Mr McLachlan said there were two main issues he had with the Annual Plan.

He disagreed with the council's belief that there were only minor changes between the third year of the Long Term Plan and the Annual Plan and said it should have been consulted on.

Mr McLachlan said the delaying of the Whau Valley Water Treatment Plant, worth $18.7 million, triggered the significance policy, as the cost is more than 10 per cent of rates revenue.

He also raised concerns about staff having the opportunity to make changes but the public not.

Mr McLachlan said for example, there is an extra $5 million in transport capital projects in the annual plan than was forecast in the Long Term Plan.

"If we weren't allowed to make changes, how come staff could? Whose council is it, staff or ratepayers?"

Mr McLachlan's other concern was over the rates rise. He said the rates increase is getting chewed up by an increase in staff wages and internal charges and recovered overheads.

"What are we getting for these increases? More staff and pens and pencils."

Whangarei District Council corporate general manager Alan Adcock said the plan is backed by legislation.

"The Local Government Act sets out the criteria that trigger the need for consultation on the Annual Plan, and these boil down to significant and material changes.

"There will always be variations from a plan adopted some time ago, but none of the changes outlined in the plan council has just adopted will compromise our financial strategy, infrastructure strategy or service levels that were outlined in the Long Term Plan and therefore they are not considered significant or material."

He said based on this the council resolved not to consult.

Mr Adcock said staff numbers are increasing as the district grows and economic activity increases.

"The staff increases are so we can achieve the service levels we have already consulted on."

He said similarly, changes in transport are designed to make sure the council meet the agreed service levels and fall well below significance criteria.

"Work on the water treatment plant has already begun and while the completion date has been moved out, this again will not compromise service levels."

To view the full annual plan see www.wdc.govt.nz