Residents' group wants thinner mayoral budget

Takapuna Residents Association is gauging public opinion on rates. Photo / Herald on Sunday

North Shore Mayor Andrew Williams lost 7kg knocking on the doors of thousands of homes during the 2007 election campaign.

Last night some of those householders held a public meeting to tell Mr Williams to trim the fat off his first long-term spending plan.

The council's plan calls for a 5.9 per cent average rates rise for 2009/10, with an additional 0.5 per cent for the new Auckland Regional Amenities levy.

It is the biggest rates rise proposed by any city in Auckland.

North Shore is also the first city to extend the traditional 10-year spending plan to 15 years, forecasting council needs for a 5.4 per cent average rates rise in each of those years.

Mr Williams said the average rate this year would rise by $116.

"That's equivalent to $2 a week per average household. It's not the end of the day."

Meeting organiser Gavin Fletcher, of the Takapuna Residents Association, said rates would double during the long-term plan period.

"We can't afford it. Our view was to try to keep rates rise under inflation like other councils do. This one has ignored that, so our meeting is to gauge public opinion."

A straw poll of 20 members showed their rates had gone up by 4 to 11 per cent. The plan showed council debt would peak at $670 million in 10 years.

"Andrew Williams was talking about reducing costs all over the city and now we see works projects dominating the list," said Mr Fletcher.

Mr Williams said his aim had been for rates to rise by the costs of inflation plus 2 per cent.

"And that's what we are looking at - a 3 to 4 per cent inflation rate plus 2 per cent for growth on the North Shore.

"We are going from very high projected rates levels in the 2006-16 city plan. This year was going to be an 8.4 per cent rise and in some years it was nearly a 10 per cent increase. This first budget is a pretty good effort."

Glenfield Community Board member Nick Kearney wants rate rises tied to inflation, with an allowance for population growth.

"The peak debt forecast is unacceptable," he said. "The council cannot control rates rising unless it controls expenditure."

Infrastructure chairman Ken McKay said: "I know there's a lot of angst out there about rates. But if we are to progress we must keep some of those essential works."

COST OF LIVING

* 6.4 per cent average rates rise this year (based on land value $384,989).
* $116 average rise per house.
* $1929 average house rates bill.
* 5.4 per cent annual average rates rise forecast 15 years.
* $3970 projected average rates in 15 years.