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Home / New Zealand

Penalty bills go out to late payers

1 Sep, 2003 09:56 AM3 mins to read

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By WAYNE THOMPSON

The Auckland Regional Council says rates penalty bills will be sent this week to 18 per cent of its ratepayers in North Shore City and Rodney and 24 per cent in Waitakere and most of Manukau.

The council said the number of ratepayers to be hit with the 10 per cent penalty for late rates due on August 18 were fewer than the billing and collection agency predicted.

It had been paid for 65 per cent of the 450,000 rates bills sent out in the previous two months, although the last bundle of rates demands - to Auckland City - were not due for payment until September 15.

Ten days ago, the council said 44 per cent of rates bills had been paid and $46.5 million was outstanding.

ARC councillor Ian Bradley, who represents the North Shore, said collection appeared to going well.

He could not say the same for the rates revolt in Rodney and North Shore, where thousands of ratepayers last month protested against the council's new rating policy.

"As a revolution it leaves something to be desired."

He said the figure for penalty payments concerned him because it meant some people were persuaded by protest groups not to pay the whole amount of their rates and would be penalised.

But Mr Bradley said some of the 18 per cent would include thousands of people on the North Shore who had not received a rates bill because of incorrectly or inadequately addressed envelopes.

Waitakere ARC representative Paul Walbran said the number of defaulting ratepayers was lower than the 70 per cent predicted a year ago.

"We are running way ahead of where we thought we would be."

He thought defaulters would include the protest element, but also those who could not afford the rates or forgot to pay by the deadline.

Rodney's ARC representative, Brian Smith, who had sought an amnesty for late payers, said more than 18,000 people in the district had not paid.

"That's a lot of envelopes being stuffed with penalty payments for delivery in Rodney on Wednesday and Thursday," he said.

"That's when my phone's going to get hot."

In Rodney, the average ARC rate was $166, but penalty payments would mount to more than $100,000, and twice that for the North Shore.

Mr Smith said the number of people who had not paid was double that of other years and the ARC would be reaping a windfall in penalty payments.

John Drury, president of Orewa Ratepayers and Residents Association, which kicked off the rates protest, said he did not believe the 18 per cent figure.

He said 10,000 people in Rodney had signed a petition saying they had no confidence in ARC chairwoman Gwen Bull and six councillors who voted for the rates increase.

Mr Drury said he had suggested people pay only 10 per cent of their rates and attach a note saying it was the first 10 per cent payment, so they could make their protest without incurring the penalty.

An ARC spokesman said last night a penalty payment would not apply to those who had paid in full or arranged to pay by direct credit.

He said the default figures included people who had told the council they needed special arrangements to help them pay.

Rates bills

* The ARC sent out 450,000 rates bills during July-August.

* 65 per cent of bills were paid.

* Late penalty to hit 18 per cent of North Shore and Rodney bills and 24 per cent of Waitakere and Manukau bills.

Herald Feature: Rates shock

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