$2.28m in rates

Waimarino Bulletin, Volume 6, Issue 243, 24 May 1988, Page 4

$2.28m in rates

Rates totalling $2.28 million are to be collected in the Waimarino District this year. This includes general rates plus arrears, charges for water, sewerage and rubbish collection and levies for catchment work and pest destruction. The rural ward contributes $995,730, Ohakune contributes $844,886 and Raetihi contributes $437,806. A significant event takes places this year in the form of revaluation in the rural or old county ward. This means that ratepayers will be facing adjustments regardless of the general rate increase. Councillors were told at the annual estimates meeting earlier this

month that the total net capital value of the district is $222 million. At a rate of 1.375 cents in the dollar, which represents last year's 1.25 cents in the dollar and a flat 10 per cent increase, the maximum rate allowed was $3,053,513. After a five-hour debate the council rejected District Manager John Murrihy's recommended 13.6 per cent increase in the rural ward but generally accepted his recommendations for Raetihi and Ohakune. The council agreed to increases of 1.8 per cent in the rural ward, 8.3 per cent in Ohakune and 6.1 per cent in Raetihi. - Under the scheme of amalgamation by which the Waimarino District was formed in April, separate accounts will be kept for each of the wards although administration, the most costly area of council activity, will be met from a central services account. Of the $2.28mto be collected in rates, $974,415 will be spent on central services. These are largely administration costs, the biggest item being wages and salaries at $345,000. The next biggest items are bank charges of $64,000, holiday and sick pay of $56,000, honorariums of $45,000, inspection licence costs of $46,300, private works and services of $40,000, staff transport and travel of $38,200 and telephone rental and tolls of $28,000. Listed below are the key figures from the estimates under the two main headings of RATES and APPROPRIATIONS. The former includes levies and charges. The latter is a budget of what has been provided for esti-

mated or expected cost centres. Note that opening debit Or overdraft balances apply in Ohakune and Raetihi whereas the rural ward opens the year with a credit balance of $146,000. In Raetihi's case, a nil closing balance has been provided for. This means Raetihi will pay for the deficit this year. The imposition of further cost to bring Raetihi into a credit balance would impose "an unfair burden" on ratepayers according to Mr Murrihy. He believes the current position and the anticipated future direction of the council's accounts means that a credit balance can easily be put in place in the next financial year. In the rural ward it is the healthy credit balance, which before pruning at the estimates meeting started at $162,000, that has enabled a tiny rate increase to be made. Coupled with a reduction in the closing balance to a credit of $72,470, this has been used to provide for increased costs without rating the rural ward much extra. But Mr Murrihy warned councillors that it was false economy to use the credit balance. He made the point several times during the rates debate that using the credit this year was unwise. The remaining credit would be used up next year and would cause a substantial increase in rates probably in 1990-91. Following are the RATES and APPROPRIATIONS figures from the estimates: