Rotorua Lakes Council approves its draft long-term plan for consultation. Photo / Laura Smith
Rotorua ratepayers are facing a potential average 10.24 per cent rates rise in what one council leader describes as “by far the most challenging” draft 10-year plan to draft.
The “critical services”-focused draft 2024-34 Long-Term Plan (LTP) was approved for public consultation at a Rotorua Lakes Council meeting on Wednesday.
Total investment outlined in the plan would reach $2.4 billion over the next decade, with ratepayers funding $1.91b of that.
Debt would be used to fund growth in the city, peaking at $570m before dropping to $514m by the end of the plan period.
Colle said this would take the council close to its internal borrowing limit – 250 per cent of revenue – but allowed room for further opportunities or challenges.
Key consultation questions revolved around a proposal for a $10m inner city improvement project, aquatic centre add-ons and changes to developer contributions. Another was about “operating within [the council’s] limits”.
Changes to rating models were also suggested, such as for vacant land and short-term accommodation.
Councillors held mixed views of the draft. Karen Barker said difficult decisions and adjustments had to be made.
Barker expected some rural residents she represented would have views on business-as-usual work they believed was “not happening” on street improvement and seal extensions.
Don Paterson said he was concerned about those with “no voice” who would look at their rates bill of “around-about over $4000″.
“Which, when you break that down – and this is GST inclusive… – $84 a week to live in their own homes, and of course that’s then going to be kicked on to those who pay rent.”
Paterson said he had wanted to wait for government policy to know what funding it could offer for infrastructure.
Conan O’Brien agreed and said he could not support the draft plan for consultation for concerns about debt levels and rates rises.
Councillor Fisher Wang said it had achieve efficiencies and worked to be “frankly in a better position than many other councils.”He said some were facing rates rises in the high teens or the 20s.
Mayor Tania Tapsell said differing views were a good thing.
“The voice of our community and their opinions is actually what matters most.”
She was proud it would continue to invest in the community, particularly the majority going to “critical services”.
“In order for homes and our people to get clean water in their taps, to get the rubbish picked up, to flush the toilet, to drive, to walk to run on adequate pavements … this is something we need to focus on, that we don’t let our community fall apart.
“That we can continue to invest in essential services well.”
“There’s a lot of mahi to do behind the scenes to get that.”
Consultation will run from April 4 to May 6 and the final plan will be adopted on June 26.
Laura Smith is a Local Democracy Reporting journalist based at the Rotorua Daily Post. She previously reported general news for the Otago Daily Times and Southland Express, and has been a journalist for four years.
- LDR is local body journalism co-funded by RNZ and NZ On Air.