Hamilton rating change likely to be dumped

Hamilton Mayor Julie Hardaker. Photo / Christine Cornege

Hamilton city councillors are poised to abandon an unpopular proposal to change the way rates are struck.

Emails have this week been circulating among elected members asking for their views on the move, which would see owners of older homes in more established areas pay less in rates and owners of newer homes on smaller sections pay more with the change from a land to a capital-based system.

Councillors approached by the Herald yesterday said they were against the proposal with the majority veering towards the status quo.

The city council will make a decision in mid-December.

Hamilton Mayor Julie Hardaker, who personally favoured a capital value rating system, said the consultation process showed residents were not very supportive.

She planned to listen to the community's views over her own, which was that a capital rating system was fairer to everyone.

"I think it will be a hard decision ... part of the reason the public gets to have a say and we listen to that."

Of the written submissions received, about 80 per cent opposed the move to capital value and councillor Roger Hennebry estimated about 90 per cent of those who verbally made representations to councillors were againstit.

Mr Hennebry said the "overwhelming result" spoke for itself and he would be voting against capital value.

He also opposed another move to charge for rubbish bags as he feared it would result in an increase of illegal dumping.

Councillors Dave Macpherson and Peter Bos felt it was the wrong economic climate to be changing the system on residents.

While they were not prepared to put the idea of user-pays rubbish on the table, they said they could be persuaded to vote for it if it had majority support.

Angela O'Leary and John Gower will also not be supporting the current proposal and are veering towards the status quo. "I was one of about three of us who said why are we going out to start with," said Mr Gower.

"All it has brought up is some anxiety and frustration amongst older people."

Councillors had mixed views on differentials applied to commercial properties.

Ewan Wilson, who did not support the proposal, said his biggest concern was the removal of the differential from commercial properties.

"It transfers an unfair burden from commercial to residential who are least able to pay."

Mr Macpherson suggested reducing the differential paid by businesses in the CBD.

Only 10 city councillors will make the decision after legal advice suggested councillors Maria Westphal, Daphne Bell and Gordon Chesterman could have a conflict of interest because they owned property in the central business district, which is the area set to benefit the most.

RATES PROPOSAL
* Rates paid by owners of older buildings in the CBD would drop.
* Owners of new buildings in the suburbs would pay more.
* Removal of a differential paid by commercial properties would result in about 80 per cent of residential ratepayers having an average 20 per cent rise.