Council’s biggest capital programme ever

Council is seeking public advice on the rates rises. File photo.

The Council is seeking public consultation on an Annual Plan involving an average rates increase of 3.8 per cent for households.

For Tauranga homes, it means a rates increase of between $67 and $98 a year depending on the property value.

A $400,000 property will have a rates increase of $71 for the 2017/18 year, a $500,000 property $76 increase $600,000, $80; $800,000, $89, and a $98 for the million dollar properties.

The council is seeking public consultation because, while the proposed Annual Plan budget for 2017/18 is based on year three of the 2015-25 Long Term Plan, changes are proposed to the budgets as set out in the LTP to reflect revised economic and business conditions.

In particular, growth is now estimated at three per cent, which is above levels assumed in the LTP and has implications for both capital and operational budgets.

The $154m capital programme is the biggest in the last ten years, says chief financial officer Paul Davidson.

Infrastructure pressures from the continued high levels of growth continue to put pressure on debt levels.

The consultation period for the Annual Plan 2017/18 will run from 8am March 20 to 5pm April 20. Consultation on the Statement of Proposal will be held concurrently.

Included in the $154 million is half of the $4 million spread over two years to deliver a new Visitor Information Centre at Coronation Park by summer 2018/19. This will be 50 per cent funded by rates, and 50 per cent via the targeted economic development rate on commercial properties.

As the full cost to deliver an iconic building is estimated at $5 million, Tourism BOP with Council support will investigate external funding options to deliver the building as per the concept design.

The $4 million will allow the city to build the Centre based on a more basic design, should it fail to secure external funding.

Other capital works:

Sludge pond decommissioning at Te Maunga wastewater treatment plant, $6 million.

• extension of Tauranga airport terminal, $4.6 million.

• structure plans for new urban growth areas, $1.6 million.

• new Papamoa Community Surf Rescue Base, $950,000 contribution.

• floodlighting at Bay Oval regional cricket ground, $765,000 contribution.

• third hockey turf at Blake Park, $600,000 contribution.

Two Mainstreet organisations have asked for increases to their targeted rates above what was previously requested and budgeted through the Long Term Plan:

Mount Mainstreet is requesting a 10 per cent increase to develop their branding and meet increasing administration and design costs for events and generic advertising. This means an increase from $148,077 in 2016/17 to $162,877 in 2017/18.

Papamoa Unlimited proposes a 100 per cent increase of the targeted rate to be able to run more events and improve the marketing initiatives they undertake on behalf of local businesses. This would mean an increase from $25,000 in 2016/17 to $50,000 in 2017/18.

Council is planning within its financial strategy limits for debt and the debt to revenue ratio. However, the increase in debt to fund infrastructure earlier than in the LTP means the 2017/18 debt level and debt to revenue ratio are higher than they were in the Long Term Plan.



7 Comments

Stop stealing!

Posted on 15-03-2017 20:17 | By Captain Sensible

I know one person who has had a wage/salary increase in the last 8 years...and it was miniscule. Council just want more of our money and it never stops. Stop stealing OUR hard earned money!!!

Excuse me.....

Posted on 15-03-2017 19:37 | By Jimmy

public consultation?, when has the publics voice ever been listened too?, best to be silent as we know you the Council is inept, rather than put out press statements and remove all doubt!.

Prune Manager/s salaries

Posted on 15-03-2017 18:23 | By tabatha

I believe too much is being paid out to TCC workers, that is the managers. Far too many managers and also I feel some are not up to speed. Perhaps the CEO could volunteer a reduction.

Overit

Posted on 15-03-2017 15:23 | By Anbob

I totally agree. The capital works mentioned in the article comes to around $11 m. Where is the other $143m capital works. Council should concentrate on crucial infrastructure (which increases the rates base) before looking at nice to have items. $50 to $100 is a large increase if you have little disposable weekly income.

no increase

Posted on 15-03-2017 14:54 | By susan

no rates increase council need to learn to budget and use what they have,we have no pay increase from our employer and cost of food and living keeps going up,school costs etc,and we can't snap our fingers and get an increase in wages ,so why should council,cut back on your costs petrol travel etc,should be looked at and only used for work.

Caption above....

Posted on 15-03-2017 14:29 | By Mackka

.... .'Council is seeking public advice on the rates rises' Yeah right!!!

No thanks

Posted on 15-03-2017 13:41 | By overit

This Council over the years has wasted a tremendous amount of money on nice to haves. Infrastructure has come last. No thanks to rate increases, why would I want to give you more money to squander.

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Beauty after the storm. Photo: Tracy Hardy. Send us your photos from around the Bay of Plenty. photos@thesun.co.nz