Ratepayers pursued over non-payment

Masterton District Council is chasing 17 errant ratepayers to settle their accounts with the territorial authority.

Legal action is being taken against 17 errant Masterton district ratepayers, mostly urban ratepayers according to the district council's finance manager David Paris.

Fielding questions at a meeting of the council's Audit and Risk Committee this week Mr Paris said legal action is a last resort and is usually restricted to those owing more than $3000 for rates outstanding for two years or more.

Until recently the council was dealing with 28 properties with rate arrears over $1000 owing for longer than the current year's rates but 10 of those have since paid and another is under a payment arrangement agreement.

Mr Paris said those facing legal action had made no effort to pay despite having been telephoned and had a "series of letters" sent to them requesting payment.

"That's when we go into the legal process and they get notification we could sell their home," he said.

One of the non-payment cases was in dispute and involved rates owing over eight years.

Mr Paris said there were many different reasons why payments were not made.

Some ratepayers simply walked off, abandoning their properties while others were on benefits or had mental health problems and needed budgeting advice.

The only time non-payment of rates impacted on other ratepayers, Mr Paris said, was when council had to write-off arrears owing.

As far as this year's rate arrears are concerned those falling behind on instalments had been sent reminder notices.

Mr Paris said many had decided to make payment arrangements and if there was a mortgage on the property council staff had contacted the mortgagee asking for the rates balance to be paid.

"Where there is no mortgage a lawyer-generated message has been sent to the property owner," he said.

Despite legal action pending against the long-standing debtors, uncollected rates in total - from prior years - is actually down on the same period last year.

Last year the uncollected rates were $98,500 but this year stands at $92,000.