Horizons Regional Council shares rate increase ahead of releasing final annual plan

Horizons Regional Council chair Rachel Keedwell said the rate increase was not ideal but was needed for the continuation of core business. Photo / NZME

The Horizons Regional Council rates will rise by an average of 6.6 per cent this year.

The increase will be included in the council’s final annual plan, which it chose not to publically consult on due to a lack of “significant changes” to activities outlined in previous years.

Horizons chair Rachel Keedwell said an additional $3.7 million in rates revenue was needed to continue to do core business.

“Council are aware that any rate increase is not ideal and have worked hard to ensure any total rates increase did not exceed what was already forecasted,” Keedwell said.

She said an additional $300,000 was going towards insurance costs, particularly for flood protection assets in response to recent weather events.

Fuel cost inflation accounted for $280,000, while $200,000 will go to the cost of a fully-electric vehicle fleet as part of the planned Palmerston North public transport network improvements.

“To make these small adjustments we have refined some of our other work programmes, particularly in our river management capital work programmes,” Keedwell said.

She said the Horizons Regional Council had also planned for a significant reduction in external funding for the sustainable land use initiative, as the current contract was due to expire.

“In order to maintain service levels for this programme, a $400,000 rates increase was planned for in the long-term plan.”

All other council activities would remain as planned for the next 12 months.

Keedwell said there was a continued focus on priority areas of freshwater, biodiversity, climate change, and making data and information accessible to communities.

“It’s important to keep in mind that this rate impact will differ from district to district due to factors such as changes to property values and specific rating inputs such as river schemes, biodiversity, and passenger transport.”

The final annual plan, with the details of the council’s key work programmes for the year, will be made publicly available on Horizons’ website www.horizons.govt.nz and at council’s service centres within the next few weeks.