Wed 28 November 2012

Submissions close Friday on proposed rates remission

Submissions on Gisborne District Council’s proposal to offer a rates reduction to some properties closes on Friday (30 November 2012) at 4pm. The proposal will benefit properties that had substantial increases in three of their targeted rates this year. The proposed reduction, or remission, is for those properties that had an increase of more than 30%, and $100 on each of the targeted rates that caused the biggest increase - pests and plants, rural fire and soil conservation.

We have had 17 submissions on the proposal, says Mike Drummond, Group Manager Corporate Services. “All will be fully considered before a recommendation is made to Council in December.”

“The remission will not apply to properties where rates increased for other reasons. It will not fix everyone’s complaints and not all properties that had substantial increases will benefit from the proposal. The proposed reduction, or remission, is for this year only and is a short term fix.”

Meanwhile Council is reviewing its approach to rating for pests and plants, rural fire and soil conservation services and looking at different options. A useful workshop was held today (Wed 28 November 2012) with a few members of the public attending. Any proposed changes would be consulted on in March 2013.

“Longer term we will be looking at Council’s whole basis for rating. Council’s rates have become more targeted and more complicated over time. An independent review of the principles and practice of our Revenue & Financing policy has started.”
Full details of the proposed rates remission and a submission form are available on Council’s website. Submissions close 4pm, Friday 30 November 2012.

Details of the proposed remission

1. The policy only applies to a property where rates increase is caused by changes to the calculation of targeted rates for Plants and Pests; Rural Fires and Soil Conservation for the 2012/2013 rating year.

2. The policy only applies where there is a 6% or greater increase in the total rates payable for a property after other remissions have been applied.

3. To qualify for remission each targeted rate (Plants and Pests; Rural Fires; and Soil Conservation) must have a minimum increase of $100 and a minimum increase of 30% from what it was in the 2011/2012 rating year.

4. No remission will granted where the total remission for all the relevant targeted rates combined (Plants and Pests; Rural Fires; and Soil Conservation) does not exceed $25 (GST inclusive).

5. The three targeted rates (Plants and Pests; Rural Fires; and Soil Conservation) will be assessed for remission individually.

6. If a property qualifies for a remission, the balance of the targeted rate above the 30% or $100 threshold will be written off.

The rates remission is capped to ensure the total rates increase for each property does not go below 6%.

ENDS

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