Councillors will consider a substantial average rates increase at a bumper Queenstown Lakes District Council (QLDC) meeting today (Thursday June 30).

If they choose to approve the 2022-2023 annual plan, they will be signing off on an average rates increase of 6.5 percent.

This exceeds QLDC’s self-imposed maximum increase of six percent and is also well above the 5.87 percent increase established only last year in the 2021-31 10-Year Plan. 

A range of changes to the capital expenditure programme totalling close to $50M have pushed the proposed rates above the six percent mark.

They include an increase to the venues and facilities budget of $4.45M (which includes $3.8M for the new Wānaka sports, youth and community centre), an additional $16.2M for wastewater (including an increase of $12.9M for the Project Pure upgrade), and other seven-figure increases to transport, stormwater, water supply, and parks and reserves budgets.

QLDC has also increased its operating costs by almost $10M, including $3.6M in legal fees for council to defend an increasing number of legal claims related to weather tightness and building defects and $1.8M to increase QLDC’s staffing numbers.

The proposed 6.5 per cent increase takes into account a proposed increase in user fees and charges, designed to keep the rates increase down, as well as an estimated 3.5 percent increase in the district's rates-paying population. 

If approved, resource consent and building fees will increase by five to ten percent; waste services by seven to 55 percent; and sport and recreation fees, such as fees to use the Wānaka Recreation Centre and swimming pool, will go up anywhere between 4-100 percent. 

And while the 6.5 percent increase is an average across the whole of the Queenstown Lakes district, the average increases to residential rates in Wānaka-Albert Town and Hāwea are expected to be higher still.

For instance, the average proposed increase in rates this year for a median value Wānaka residence is 7.93 percent (around $253); for the same in Hāwea an increase of 7.3 percent (around $195) is indicated.

Other matters on today’s agenda include the 2022-2025 climate and biodiversity plan,  Queenstown Airport Corporation’s new statement of intent, and an amendment to the relationship between QLDC and the Queenstown Lakes Community Housing Trust. 

The QLDC meeting will take place today at 1pm via Zoom and members of the public will be able to watch the live stream of the meeting on the council's Facebook page.

PHOTO: Supplied