Government rail funding a good sign for ratepayers
NoMoreRates.com
THE NATIONWIDE CAMPAIGN TO REFORM THE
COUNCIL RATING SYSTEM
Media release
16th March
2009
Statement from David Thornton.
Government rail funding a good sign for ratepayers.
Royal Commission should bring further changes.
Ratepayers in Auckland
and Wellington will welcome the likelihood that the new
Government will fund the purchase of new rail stock.
The abandonment of the ill-designed regional fuel tax, proposed by the last government, will be a further benefit to cash-strapped motorists and ratepayers.
In Auckland the sharp reduction in Ports of Auckland profits – with a NIL dividend for the Auckland Regional Council – would have left the ARC with insufficent funding for new trains, and the shortfall would have fallen on regional ratepayers.
It is to be hoped that this is the start of a radical rethink by the new government of the whole issue of how local and regional councils are funded.
The Rates Inquiry, which reported over 18 months ago, made it clear that the present rating system was becoming unsustainable – and more central Government funding was one of the options for shifting the rates burden away from residential property owners.
An oportunity for further changes to the rating system should an integral part of proposals from the Royal Commission for reorganising local government.
Its report is due to be completed by the end of the month.
ENDS