Ratepayers in the firing line to meet Auckland’s transport costs.

10 years after the Ratepayers Rebellion is the damn about to burst?

The Auckland Council today ‘received’ the final report of the Consensus Building Group (CBG) which had been set up to find options for funding Auckland’s $12 billion ‘transport funding gap’.

The report concluded that a mixture of road pricing, fuel taxes and council rates was the preferred option to raise an additional $400 million each year for the next 30 years.

Out of that mixture only rates could be set and collected by the council, and possibly some form of charging on council-owned roads.

Road pricing on the motorway system, and increased fuel taxes, are both the responsibility of Government.

Councillors at today’s meeting made comments about keeping rates increases under control, but the CBG project head said that Aucklanders must make a substantially greater contribution.

The situation is that the council is already spending millions now on protecting routes for its major projects, including buying up property for the controversial Central Rail Loop (CRL).

If these projects get started without being fully funded the ultimate underwriters are the ratepayers of Auckland.

If the government does not come up with all the funding options the CBG is suggesting, and the council decides to borrow even more to pay for its projects, it is ratepayers who will underwrite this borrowing, and will also be ultimately liable for any cost overruns.

Ten years ago double-digit rates increases were commonplace, but ratepayers’ pressure and revolt have forced council’s around the country to keep increases down to below 5% and more recently below 3%.

By coincidence, the project director for the CBG was the Chief Executive of the Auckland Regional Council in 2003 when that council’s rates increase ignited the Ratepayers Rebellion, which included a region-wide rates strike and a march up Queen St

Now, ten years later, the very real threat of substantial rates increases is clearly visible on the horizon, possibly enough to re-ignite the fire of rebellion.

Auckland’s transport funding solutions could well see the damn burst if the council does not revise its plans to produce more affordable transport solutions.

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