Councillors approved what may be one of the biggest rates increases in the country at yesterday’s (Thursday June 29) full council meeting. 

The 14.2 percent average increase, up from 13.6 percent indicated in the draft Annual Plan, was signed off after a lengthy discussion and a terse public forum session.

Queenstown resident John Glover told councillors he thought Queenstown Lakes District Council’s (QLDC) spending was “out of control” and pointed to steps other councils had taken this year to reduce the rates burden.

“Look at what Auckland has done to reduce rates,” he said.

“Invercargill went through line by line…New Plymouth has a system that measures rates rise against quality of service…

“What are QLDC doing apart from blaming everyone else for where we are now?”

Auckland City Council approved a 7.7 percent average increase a few weeks ago and Invercargill signed off on an average increase of 5.67 percent a couple of days ago. 

At the higher end, New Plymouth District Council approved an 12.4 percent average increase, Gore City Council signed off on 10.97 percent average increases and Napier City Council is proposing an 11.97 percent average increase.

At yesterday’s meeting, councillor Nikki Gladding said she did not believe councillors had had enough time to work through the Annual Plan “line by line” and asked about the implications of postponing a decision to further assess it.

Council chief executive Mike Theelen told her councillors had had “numerous opportunities right through that process to consider and debate the plan” and it wasn’t until less than 24 hours before the meeting he received any requests for change from any councillors.

Mike said the council has worked hard to minimise the size of the increase and said the council is facing “considerable” cost increases from factors like increased interest rates and high inflation, plus historic weather-tightness claims.

Deputy mayor Quentin Smith pointed to steps like deferring “an enormous chunk” of council’s capital programme, adjusting its rate-funded debt programme and decreasing funding of depreciation to help minimise the rates increases.

“We’re in an incredibly tough situation here…but we’ve reacted in the best way that is available to us,” Quentin said.

The average rates increase of 14.2 percent after growth will not result in a uniform increase across all rate types and locations.

Average increases for Wānaka are: residential 14.04 percent, country dwelling 16.2 percent; Hāwea 12.33 percent; and Luggate 13.61 percent. 

The differences relate to the services received (some townships do not have reticulated water and wastewater), and the capital values. 

PHOTO: Wānaka App