Annual Plan 2023-24 tracking for 5.99 per cent average rate rise

Published: 27 February 2023

Ashburton District residents are looking at a 5.99 per cent average rate rise for 2023-24 with councillors deciding to defer some non-critical projects but add an extra $1 million to the roading budget.

Mayor Neil Brown said that the proposed rate rise varied around the district, depending on where people lived, but councillors had made sensible choices about what they could achieve given inflation at 7.2 per cent and the rising cost of living.

“Ashburton town properties will have some of the highest rises, at just over 8 per cent, and that increase is largely the result of extra Government-imposed regulation on drinking water, wastewater and rubbish collection services. So, if you live in Ashburton and your property has a value of $441,000, your rates bill will rise by $217.”

Methven residential rates are proposed to rise by an average 4.88 per cent and Rakaia residential rates by 7.41 per cent. Rural properties have the smallest rate rise at just under 2 per cent.

“We’ve tried very hard to plan work on problem areas, like roads, and some costs we just can’t avoid passing on to those who live in residential areas. Overall, we think this is a reasonable and responsible Annual Plan given the financial climate.”

New national waste levy fees have added about $70 to an urban household’s solid waste collection costs, while the cost of meeting increased national water compliance rules adds $33 to drinking water and $32 to wastewater services.

Mayor Brown said a budget workshop last week had identified savings while some non-essential projects had been removed.

Councillors also decided not to increase the budget for visitor promotion from $195,000 to $375,000. The extra funding was sought after councillors decided to bring visitor promotion inhouse following the early ending of its tourism promotion contract by ChristchurchNZ.

Fees and charges are proposed to rise by 4.3 per cent.

Overall, Council plans to collect $46,915,569 in rates, which is an increase of 5.99 per cent from the 2022-23 year.

Mayor Brown said the average rate rise was close to what was indicated in the 2021-31 Long Term Plan and Council would likely not be consulting with the community this year over the 2023-34 Annual Plan.

“Later this year we’ll begin seriously talking to the community about the 2024-34 Long Term Plan and residents will be able to tell us about their aims and aspirations for the district and how we can improve or add to services. These past few years have given us all pause for reflection and setting new goals.”

The draft annual plan is expected to go before Council for adoption on Wednesday 5 April.

Share this article

More News

View all news