Lower rates increase expected

Auckland city ratepayers may have a lower rates rise than expected next year.

With a $454 million planned spend on projects and facilities across the city in 2010/2011, Councillor Douglas Armstrong, chair of the Finance and Strategy Committee, said he will be recommending a 1.9 per cent rates rise which is significantly lower than the 3 per cent increase project earlier in the year.

The final figure is expected to be confirmed by councillors when the annual plan is adopted on Wednesday, 28 April.

Councillor Armstrong says it hasn’t been easy to bring the rates increase down.

“We are committed to keeping rates as affordable as possible for our communities while still delivering the essential progress needed for the city to grow and prosper.

“The cost of delivering our existing services have gone up and the council is building and buying over $300 million of new assets, but by examining all our expenditure line by line and finding savings we have been able to plan for a capital expenditure spending of over $450 million, and include additional projects coming into the budget like sports fields purchases, bringing forward the refurbishment of the Mt Roskill library and hosting the Volvo Ocean Race.

“The council has done a great job of hitting their savings targets and identifying opportunities for greater efficiencies which all contribute to bringing down the rates increase.

“At the end of the day, the dollars are best left in the ratepayers pockets.”

ENDS

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