Rate rise contained

The Far North District Council is projecting an average rate increase of less than 4% this year in a streamlined programme designed to concentrate on core business.


Chief Executive Clive Manley says the 2008/2009 draft Annual Plan which will be released for public appraisal this week provides for a year of significant changes in the way the council delivers services and in the way funds are applied.


"Following on from the initiatives taken last year to raise the level of both customer services and customer relations, a further programme of internal improvements have been scheduled to reduce operating costs, divert savings and raise the level of annual investment in infrastructural projects," he says.


"To achieve these objectives, some traditional practices are being reviewed. This includes proposals to move building and planning staff closer to where the greatest levels of demand are occurring, to continue to effect internal efficiencies, to generate savings through the smarter use of electronic alternatives and to rationalise the use of existing facilities such as service centres, libraries and information offices.


"The drive to engage and communicate better with our communities is reflected in the move to give added responsibilities to Community Boards and simplify the democratic process encouraging greater public input and involvement.


"The new Council has acted to limit levels of rate increase in the coming year. It is anticipated that around $6 million in cost pressures will be absorbed through efficiency savings, with a further $2 million released to be redirected to capital projects. Greater savings are anticipated as some of the proposed changes take effect.


"Council’s actions to limit the overall amount raised through rates means that the average increase proposed for 2008/2009 (3.98%) is at the lower end of increases proposed across the country - close to or below the rate of inflation on current forecasts. This restraint is in spite of external cost pressures, increasing asset depreciation costs and the recovery programme to meet the severe flooding events last year," Mr Manley says.


Actual rates levels in 2008/2009 will be influenced by the recent revaluation exercise undertaken by Quotable Value NZ. This will have varying impacts in different parts of the district.