Richard and Evelyn Johnson face a rates bill of between $3385 and $3511 a year for their Waiotira property, which they say they will struggle to pay on their pension. Photo / Denise Piper
Richard and Evelyn Johnson face a rates bill of between $3385 and $3511 a year for their Waiotira property, which they say they will struggle to pay on their pension. Photo / Denise Piper
Whangārei District Council proposes a 10.7% general rates increase and a new $180 stormwater rate.
Evelyn and Richard Johnson face a 35% rates increase, which they say is unaffordable on their pension.
The Johnsons urge public involvement in the consultation, fearing they may have to sell their home.
A couple living in rural Whangārei say their proposed rates rise of about 30% is unfair and unaffordable on their pension.
The council is planning a general rates increase of 10.7%, plus a new targeted stormwater rate averaging $180 per property and an increase in other charges.
It also wants to change its uniform annual general charge, reducing this flat-rate to $500 by increasing the land value-based charge, so higher-value properties pick up more of the bill than lower-value properties.
For Waiotira pensioners Evelyn and Richard Johnson, their Whangārei District Council rates are proposed to increase 35% if the uniform annual general charge is reduced to $500. If the charge stays at $909, their rates will increase 29%.
The Johnsons’ total rates bill is proposed to be between $3385 and $3511 a year, a cost Evelyn Johnson said was unaffordable on a pension and unfair given the lack of services in the area.
The couple bought their 20ha property in the 1970s for $12,000 and, while property values have rocketed since then, they have received no extra services on their unsealed road about 30km from central Whangārei.
Their property is now zoned residential lifestyle and charged the same rate as residential properties in town.
“It’s a big increase for lifestyle blocks that have zero facilities,” said Evelyn Johnson. “We don’t have footpaths or streetlights or [public] transport.”
Richard Johnson said he would like the council to cut its costs, so the impact on ratepayers is not so high.
Evelyn and Richard Johnson's rates are proposed to increase between 29% and 35%, even though they have no more services on their unsealed road. Photo / Denise Piper
The Johnsons are particularly impacted because their land value went up $75,000 to $540,000 in the latest valuation.
Unfortunately, when the new values were reported in December 2024, Yvonne Johnson had just been diagnosed with bowel cancer and Richard Johnson was recovering from heart problems caused by Covid-19.
“It really was the last thing on our mind,” he said.
Both have since recovered and they attended the council’s annual plan roadshow meeting in Ruakākā on April 8 with their daughter-in-law, where they were shocked to be the only members of the public there.
Yvonne Johnson said more people need to get involved with the consultation and let the council know the increases are too expensive.
She worried if rates kept increasing, the couple would have to sell their home and move to a cheaper flat in town, despite loving the quiet of the countryside.
The Johnsons already have a reverse mortgage to help pay for costs on their block, such as a $500 UV treatment of their rain water and a $2500 improvement to their stock water. They do not want to add rates to this mortgage.
Rate tools ‘blunt’, council admits
Whangārei District Council revenue manager Alison Puchaux also encouraged ratepayers to get involved, by finding out how much their rates are proposed to change and making a submission.
The council’s website shows a rates breakdown for each property based on the $500 uniform annual general charge, but ratepayers can also inquire if they want to know what their rates will be with a $909 uniform annual general charge, she said.
Reducing the uniform annual general charge to $500 sees savings for properties with lower land values, which elected members agreed was a desired outcome, Puchaux said.
But she admitted the tools available to council to charge rates are blunt and the rates do not take into account ratepayers’ income and ability to pay.
Property owners with high values have already let the council know they do not agree with the proposed changes, due to problems with affordability and lack of services, Puchaux said.
For low-income ratepayers struggling to pay their rates, there is some assistance available from central government, including a rates rebate of up to $790 and Work and Income’s accommodation supplement.
Payment options are also available to match income payment, such as fortnightly instalments, she said.
The Johnsons are also working with the council to see if their property valuation can be reviewed, given the increase was greater than other properties on their street.
Denise Piper is a news reporter for the Northern Advocate, focusing on health and business. She has more than 20 years in journalism and is passionate about covering stories that make a difference.
