RISE IN RATES

Taupo Times, Volume IV, Issue 185, 12 August 1955, Page 4

RISE IN RATES

Mayor Discusses Auckland Man's Statement A report published last week in the New Zealand Herald stated that a "sharp rise" in rates had worried projierty owners in Taupo, and that niany property valuations had been raised by 300 per cent. The report continued : "Oue Aucklander who owns two sections and a house at Taupo, is paying a general rate of 7 5-8d in the £ to the Taupo Council. Ile points out he only pays a rate of about 8d in the £ for his home at Takapuna. "All amenities are provided by the Tjakapuna Borougb Council for the man's home which is valued at over £4000. At Taupo he has no sewerage, or water reticulation, no footpaths and poor roads." When the report was referred to the Mayor, Mr J. E. Story, for comment, he pointed out that the comparison between Takapuna and Taupo was hardly a fair oue. Takapuna Borougb had been a comparatively thickly populated area for many years, while Taupo had only commenced to grow in the past few years. Consequently, the possibility of provlding amenities for Taupo which had long been enjoyed at; Takapuna was only now coming into existence. Takapuna, in common with other towns estabiished years ago, had been able to secure most of its permanent. amenities at a time when capital costs were a fraction of what they were to-day. That the steeply rising costs of all public works, from ordinary street maintenance to suc-h projects as road sealing and water supply schemes, was out of all proportion to conditions in the past, was common knowledge. Further, ordinary street maintenance in Taupo was heavier than in many other towns becanse of the larger mileage of roads in Taupo than in many other centres- A certain amount of road sealing in the business area had been done out of revenue in the past two years or so which was to the general benefit of all townspeople. A £1.0,000 street loan was now being raised for rnaking a start with further sealing, and a water supply scheme to cost about £130,000 was on the way. The estimated cost of the latter a comparatively few years ago was under £50,000, a fact which showed the fallacy of comparing rating charges, where capital works had been done years ago, with those payable in places where maintenance and development had to be done at today's inflated costs. Mr Story commented that the rise in valuations in Taupo, as in many other growing and progressive areas, was due to the prices people were willing to pay for properties there.