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Transfund funding may ease pressure on rates

Transfund funding may ease pressure on council rates,
says Local Government New Zealand

“We welcome any additional funding from Government to assist councils, particularly in critical areas such as roading,” says Local Government New Zealand transport spokesperson and Mayor of Rotorua, Grahame Hall.

“Yesterday’s announcement by Transfund New Zealand of more funding for local council road construction projects and minor safety works has the potential to ease pressure of rates. Councils will be now able to do more road construction and minor safety works within their same budgets”.

Transfund New Zealand announced yesterday that it will increase its financial assistance to local councils by approximately $12 million from 1 July next year. Transfund currently gives financial assistance at different levels to councils, ranging from 43 percent to 85 percent. The announcement will result in each council having a five percent increase on its financial assistance rate for new roading construction.

“We look forward to working with Transfund on other transport projects which may lead to further increases in the levels of financial assistance,” said Mr Hall.

Ends Local Government New Zealand is the national voice of all 86 councils of New Zealand. For more information contact: Kirsty Anderson, DDI: (04) 924 1202 or email: kirsty.anderson@lgnz.co.nz (until 12pm 24/12/03), otherwise mobile: 029 924 1202.

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