Federated Farmers Submission Queenstown Lakes District Council Long Term Plan
We support Council’s considered approach to allocating costs through targeted rates and cautiously support a shift to a more forward thinking approach to infrastructure planning and investment, but we have concerns that over time these will result in an unreasonable increase in farmers’ rates.We agree with Council that central government should make funding available for infrastructure investment where this is required to meet tourism demand.
Rates (revaluation and affordability)
- Federated Farmers notes the proposed overall rates increase for 2018/19 is 10.35 percent, or 6.95 percent after subtracting the 3.4 percent increase in the rating database.
- While we recognise these increases are largely warranted, they will still have to be assimilated into the budgets of ratepayers, including farmers.
- We support Council’s proposal to reduce the overall reliance on rates as a proportion of total revenue. We support Council’s efforts to recover a greater proportion of costs through non rating sources, including fees and user charges, increased returns from investments, and additional subsidies and grants.
- We disagree with Council’s proposal to amend the differentials to ensure the Primary Industry category contributes 4 percent of the differential rates allocation. If anything, there should be a reduction in the Primary Industry category contribution to the differential rates allocation given the drivers for additional expenditure.
- As a consequence, we consider the General Rate differential allocation to the Primary Industry rating base should be reduced to 3.6 percent rather than increased to 4 percent.
For more, please see the full submission