Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Local Government Bill passes, but funding must be next

30 November 2012

Local Government Bill passes, but funding must be next

Federated Farmers welcomes the passage of the Local Government Act Amendment Bill, but more must be done to contain and reduce the rates burden, Federated Farmers local government spokesperson Katie Milne says.

“The passage of the Bill is good news for ratepayers. Since 2002 rates have increased an average of 7 percent per year,” Ms Milne says.

“This growth is unsustainable and to rein it in councils and communities need better guidance and clarity on local government spending priorities.

“The Bill does this by changing the purpose of local government away from its activist, open-ended job description towards something more like what most people think local government should focus on: local infrastructure, local public services and local regulation.

“However, the Bill really just tinkers at the margin and will only go part of the way to containing and reducing the rates burden.

“What‘s needed now is funding reform, which so far has been the missing element of the Government’s work.

“It is well known that rates fall heavily and inequitably, with farmers being particularly hard hit. Far too many farmers pay more than $20,000 per year in general rates to fund activities they barely use or benefit from.

“What is perhaps less well understood is that funding policy also affects councils’ regulatory performance, especially when central government makes laws for councils to enforce, but does not provide any resources. The incentives are all wrong.

“We also think limited funding options are a factor in housing affordability, for example when councils impose high development contributions that push up the costs of sections.

“The burden of funding local government must be spread more equitably and that means moving away from the over-reliance on a 17th century system of property value rates and finding new and better tools for councils operating in the 21st century.

“Federated Farmers has always been up for this debate. With growing concern about housing affordability we sense the time is right to make some progress,” Ms Milne says.

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

SOE Results: TVNZ Lifts Annual Profit 25% On Flat Ad Revenue, Quits Igloo

Television New Zealand, the state-owned broadcaster, lifted annual profit 25 percent, ahead of forecast and despite a dip in advertising revenue, while quitting its stake in the pay-TV Igloo joint venture with Sky Network Television. More>>

ALSO:

Insurers Up For More Payouts: Chch Property Investor Wins Policy Appeal In Supreme Court

Ridgecrest NZ, a property investor, has won an appeal in the Supreme Court over insurance cover provided by IAG New Zealand for a Christchurch building damaged in four successive earthquakes. More>>

ALSO:

Other Cases:

Royal Society: Review Finds Community Water Fluoridation Safe And Effective

A review of the scientific evidence for and against the efficacy and safety of fluoridation of public water supplies has found that the levels of fluoridation used in New Zealand create no health risks and provide protection against tooth decay. More>>

ALSO:

Scoop Business: Croxley Calls Time On NZ Production In Face Of Cheap Imports

Croxley Stationery, whose stationery brands include Olympic, Warwick and Collins, plans to cease manufacturing in New Zealand because it has struggled to compete with lower-cost imports in a market where the printed word is giving way to electronic communications. More>>

ALSO:

Prefu Roundup: Forecasts Revised, Surplus Intact

The National government heads into the election with its Budget surplus target broadly intact, delivering a set of economic and fiscal forecasts marginally revised from May to reflect weaker commodity prices and a lower tax take. More>>

ALSO:

Convention Centre: Major New SkyCity Hotel And Laneway For Auckland

Today SKYCITY Entertainment Group Limited revealed plans to build a new hotel and pedestrian laneway of bars, restaurants and boutique shopping on land it owns in the Nelson and Hobson Streets block, expanding the SKYCITY Entertainment Precinct. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news