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Auckland Council’s proposed budget for 2021-2031 is a mixed bag for Hibiscus Coast residents, according to local Councillor John Watson.
The budget continues on from the Emergency Budget 2020/21 and the emergency is still very real, including an immense loss of Council revenue due to Covid-19.
The draft proposes a five percent rates increase next year, followed by a return to 3.5 percent in 2022, as well as a possible eight percent rise in Watercare’s charges. Rates for an average house in Auckland valued at $1,083,500 would rise from $2810 to $2957 – an increase of $147. An eight percent hike in water prices would add about $80 a year to the average water bill of $996.
Cr Watson says the cumulative impact of these increases when many are struggling and uncertainty exists due to the effects of Covid-19 concerns him.
“The council is under huge financial pressure but so are many in our community,” he says. “It will be up to the public to say whether the mayor has hit the balance between recovery and people’s capacity to pay.”
At the same time, the proposed budget facilitates infrastructure and could see the Orewa Beach seawall between Kohu St and Marine View built. A detailed project list will not be released until next year, however the Orewa Seawall is specifically mentioned in the draft and the Hibiscus & Bays Local Board has kept it front of mind for Council.
Cr Watson also says that there is pressure on the ability to renew and maintain facilities such as libraries and recreation centres, so the Hibiscus Coast is fortunate in having had major investment recently put into the Stanmore Bay Leisure Centre and local sports fields – something the local board worked for.
A large programme of asset sales ($243m-worth in 2021-22) includes the row of 23 properties on Whangaparaoa and Brightside Roads previously detailed in this paper.
A key concern is that debt levels are reaching unsustainable levels, Cr Watson says.
“The Super City was promoted as a way to reduce costs to Aucklanders – it’s resulted in the opposite. The collective debt of the eight legacy councils in 2009 was $3.9b. Now it’s $10b and rising. Personally I don’t think the present model is sustainable and the sooner that is acknowledged the better – otherwise, after all the assets are gone, all that will remain is the prospect of year on year rates increases.”
Public consultation on the budget is planned to run next year from February 22 to March 22. Council will make final decisions in May and adopt the final budget in June.
