KEY POINTS:
A bid to help struggling North Shore ratepayers with rates rebate top-ups of $200 was defeated at a city council meeting yesterday.
Instead, the council will try to activate a potential 9000 home owners who could qualify for the Government's rates rebate scheme.
Mayor Andrew Williams said he supported the idea of a council $200 top- up being considered by councillors and public when setting the city's financial plan for the next decade.
He said council figures showed the need for fresh alternatives, considering only two ratepayers had taken an option to have their rates postponed under financial hardship rules.
"North Shore and Tauranga have a large proportion of elderly people and we have the highest rated land in the country," he said. "For people with cash flow difficulty only a few hundred dollars makes a big difference."
He said it was the difference between the rates increase and the consumer price index that caused concern for people on tight budgets.
"I'd sooner see [budget] savings by council put back into assisting the community instead of $650,000 for a bicycle lane."
Seeking public comment on the council topping up the rates rebate would have, at least, helped to tease out more ideas and make people aware of present relief - the Government's rates rebate scheme and the council's postponement option.
However, the bid was defeated five votes to 10. Objections included the principle of a council redistributing wealth when that was the Government's job.
Ken McKay reacted to suggestions that long-term residents have their rates set at specific level plus inflation, or be subsidised.
"Elderly people have their pride and will pay their way," he said.
"They are more concerned about how the young people will manage than they are for themselves."
Council financial services manager John McLaren said any remission to some ratepayers meant that others would pay more.
This year about 3925 rates rebate applications would be approved.
If the council were to top-up each rebate by $200 this would cost $785,000 and rates would need to increase on average $10 a property to pay for it.
Mr McLaren said postponement was not a popular choice because rates had to be paid eventually. The council also decided to put off a proposal to charge by volume for wastewater.
