Whakatāne District Council adopted its Long Term Plan 2024-34 and associated supporting documents at an Extraordinary Council Meeting held yesterday (5 August).
Council began the development of its Long Term Plan in March 2023. The Plan has been described as one of the most challenging in decades as councils throughout New Zealand have grappled with how to manage the impact of deferred rates increases, followed quickly by record-high inflation and interest rates meaning the cost to continue delivering the same services is significantly higher.
The Mayor and Councillors acknowledged the time and effort that many Whakatāne District residents, groups and organisations took to share their aspirations, and provide feedback on what was proposed through the draft Long Term Plan 2024-34 consultation process.
Council received almost 1,000 submissions from individuals and groups and heard from approximately 80 submitters during public hearings that occurred in April and May 2024. There was a very clear message from many submitters that ‘times are tough’. Council is acutely aware of the need to balance the extremes of delivering only basic services, with its requirement to plan for communities that will serve future generations.
Key decisions made through Long Term Plan include:
- The prioritisation of health and safety improvements up to $7.8 million in value over the next four years for the War Memorial Hall and Rugby Park, and development of a master plan an external funding plan for redevelopment of the Rex Morpeth Recreation Hub.
- Retaining the status quo for kerbside collection, rather than introducing a new kerbside foodwaste collection service.
- Closing the funding deficit (caused by significant inflationary increases) over a six year period.
- Lowering the fixed portion of rates (Uniform Annual General Charge) to 20 percent to address cost of living increases and better reflect the ability of lower-value property owners to pay.
The adoption of the Long Term Plan has been later than originally anticipated due an extended independent audit process. This was partly due to the coalition government’s change in direction on Three Waters legislation late last year resulting in the Council needing to bring its Three Waters programme back into the LTP late in the development of the plan.
The Plan went through a rigorous process with Audit New Zealand, who issued a qualified audit opinion as explained at the meeting by Auditor, David Walker. The opinion notes that the successful completion of three larger valued projects - Destination Cycleways, Matatā Wastewater and the Rex Morpeth Recreation Hub - are contingent upon securing external funding that is uncertain at this time. The plan also anticipates upgrades to Council’s three waters infrastructure that exceeds what is able to be funded through the LTP, due largely to the debt cap imposed on councils and the significant investment required.
Alongside the adoption of the Long Term Plan 2024-34, Council formally resolved to set the rates for the 2024/25 financial year. This is a requirement of the Local Government (Rating) Act 2002. The average rates increase for the 2024/25 year is 15 percent (net of growth). The first rates instalment is due on Friday, 20 September 2024, which is later than previous years due to the delayed adoption of the Plan.
Council reminds residents that payment options are available for anyone who may be struggling with cost of living increases. Additionally, rates rebates up to $790 can be claimed by those who meet the Department of Internal Affairs eligibility threshold. For payment options and assistance, ratepayers are encouraged to phone, email or visit the Council for help on an individual basis.