Rates Inquiry Tackling Issue Of Rates On Maori Land

The Local Government Rates Inquiry is inviting Maori landowners to provide their views on the rates issues arising with Maori-owned land, and their possible solutions.

Maori land administered under Te Ture Whenua Maori Act 1993 comes under the jurisdiction of the Maori Land Court, and comprises around six percent of the land in New Zealand (1.5 million hectares). Much of it is freehold land and the owners generally have to pay rates on the local council.

However, it differs from general freehold land in many ways. For instance, the average number of owners is 59 per block, more than half of the blocks are not surveyed, up to a third of the land is land-locked, and up to a third of the owners recorded on titles are deceased.

The Rates Inquiry chair, David Shand, says local authorities and owners of Maori land agree that the rates issues need to resolved.

"Some owners of Maori land find it hard to pay the rates, and Maori freehold land is disproportionately represented amongst the properties that have rate arrears.

"We want to know whether issues such as outdated ownership records and low economic output affect the ability of owners to afford the rates on the land. We also want to know if rating valuations accurately reflect the value of Maori freehold land, and whether the basis for valuing Maori land for rating purposes could be improved."

David Shand says the panel also wants to know whether Maori land owners are taking advantage of the rates remission opportunities offered by councils as a way to encourage land development.

"These are very important issues that affect the owners of a significant amount of the freehold land in New Zealand. We are running a series of hui around the country to meet with the owners, and would like to hear from as many of them as possible."

The Inquiry has released a discussion paper on the impact of rates on Maori land, which is available from its website www.ratesinquiry.govt.nz, or by ringing its office on 0800 728 373 or emailing info@ratesinquiry.govt.nz. It is also available from offices of Te Puni Kokiri.

Submissions are due by 30 April 2007.

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