Venkat Raman
Auckland, April 17, 2020
The Auckland Council has said it would seek public opinion on its proposal to increase its rates.
Following a meeting of the Emergency Committee yesterday, Mayor Phil Goff said that there will be a new round of consultation on this issue.
“The Emergency Committee looked at all options for rate increases and the impact different levels of rate increase, including a 0% increase, would have on the ability of the Council to provide services for Aucklanders and to invest in infrastructure for jobs. There will be a new round of consultation with Aucklanders providing a clear explanation of what each rating option would mean for Council services and infrastructure and we will be providing robust information as part of the consultation document to ensure that picture is clear,” he said.
The need for revision
Mr Goff said that an increase of 2.5% would mean an additional $1.35 per week, while a 3.5% would equate to additional $1.83 per week.
“But Aucklanders will want us to continue to provide core services that the city needs, and which make our city a great place to live. Aucklanders will also want us to partner with the government to invest in the construction of vital infrastructure that the city needs, and which will contribute a stimulus to growth and jobs to assist our recovery, “ Mr Goff said.
The Emergency Committee agreed on a suite of measures to offer support to ratepayers, including businesses, facing hardship due to the crisis.
Relief to businesses
These would include, with immediate effect waiving of the Accommodation Provider Targeted Rate (APTR) payment from April 1, 2020 to June 30, 2020 for all accommodation and tourism businesses and an opportunity for all ratepayers; a broadening of the Council’s rates postponement policy to include businesses experiencing financial hardship; and suspension of APTR and the expenditure that it would fund until March 31, 2021.
“Councillors were unanimous yesterday that the Council needs to take decisive steps to reduce the pressure on residents and businesses facing economic hardship, while ensuring we can protect and maintain the essential services Aucklanders rely on,” Mr Goff said.
These measures would result in substantial reduction in non-rates revenue caused by the recession, and/or curtailment or postponement of projects and services to reduce expenditure, he warned.
“Our priority is to look at what we can do in the area of rates to support those Aucklanders under real strain; acting to protect and maintain the key services Aucklanders rely on; ensuring we play our role in partnering with the government on the projects needed to kickstart economic recovery and employment, and taking a long-term view of the budget to ensure we can meet the short-medium term financial challenges posed by COVID-19 while continuing to invest in our region’s future,” Mr Goff said.