The Whakatāne District Council has approved its lowest rates increase for more than a decade, with average rate costs across the District set to increase by just 2.49 percent.

Mayor Tony Bonne says many of the 221 submissions made to its draft Annual Plan for 2013/14 were very supportive of the Council’s efforts to keep rates costs down.  “Rates affordability has always been a key consideration for this Council and Councillors and staff were determined to keep the average rates increase as close as possible to the 2.47 percent projected in the draft Annual Plan,” Mr Bonne says. “New information since the draft plan was finalised has resulted in some changes, but we have been able to keep the overall rating impact to an absolute minimum.”

He notes that the actual average increase is also well below the 4.52 percent forecast for the year in last year’s 2012-22 Long Term Plan.

Significant changes which have a rating impact include:
• Additional solid waste costs (after increased fees and charges have been deducted) – plus $284,000;
• Corrections to the revenue budgeted for the Plains, Whakatāne and Ōhope Water Supply Schemes – a reduction of $190,000; and
• Savings in interest and loan repayment costs (arising from the use of asset sale proceeds to make early repayments on loan facilities) – a reduction of $206,000.

Changes to be funded from sources other than rates include:
• Additional, loan-funded District Plan implementation costs (relating to landslide risk investigations) –  $170,000;
• Whakatāne Library and Exhibition Centre landscaping costs (after recoveries from other Esplanade Mall tenants) - $100,000, funded from the Harbour Fund;
• Whakatāne Harbour entrance modelling report - $50,000, funded from the Harbour Fund; and
• CBD Geotechnical Report (costs to be partly recovered from fees and charges) - $150,000, funded from the Harbour Fund.

The final Annual Plan for 2013/14 will go to a full Council meeting for approval and implementation on 26 June.