Rates up 3.7pc to fund $72m bill

00:58, Jun 20 2014

Nelson ratepayers will cough up $72.44 million in rates and charges in the coming financial year after city councillors approved an average 3.7 per cent increase.

Councillors struck the rate at yesterday's meeting with little discussion, having worked through the planning and rating process in previous meetings. They also adopted the 2014-15 annual plan.

The rate rise had been forecast at 9.6 per cent but was reduced by savings in corporate costs and capital programme delays, with an allowance for 1 per cent growth in the rating base.

In her message with the annual plan, Mayor Rachel Reese said it was a "progressive yet prudent" programme that held the rate rise to what was signalled in the draft but advanced significant projects.

A full 3 per cent of the rise was to repay debt, including $1.8 million into the Disaster Recovery Fund for costs related to the December 2011 flood, she said. "We have carefully considered the fairness of the rates rise for current ratepayers. Further reductions could have been made, but they would have come at a risk to assets and a loss of services."

The general rate will bring in $31.61m, water charges $11.93m, uniform annual general charge $7.57m, the wastewater charge $6.99m, the general charge for stormwater and flood protection $4.32m, and the Clean Heat Warm Homes and Solar Saver targeted rate $562,000. GST adds $9.45m.



Makeup of the average $2723 rates bill (including GST):

Water $540

Parks and active recreation $463

Wastewater $388

Social $385

Transport $317

Environmental management $249

Stormwater and flood protection $243

Economic $82

Corporate $56

Source: Nelson City Council

The Nelson Mail