Householders face hefty Auckland Council rate rises

Ratepayers in Auckland face significant increases from July 1 if proposals in a budget consultation document, which is currently out for public feedback, are adopted.

Auckland’s Long Term Plan (2024-2034) covers everything from transport, drinking water and stormwater to parks and community, city and local development, environmental management and economic development. It also suggests establishing an Auckland Future Fund to create a more diverse set of investments that can be used to manage future challenges such as global pandemics, extreme weather and environmental challenges.

For ratepayers, it will mean a general rate increase of between 5.5% (do-less-pay-less) and 14% (pay-more-get-more), or a central option of 7.5%, which would add $271 to the average annual rates bill.

But the big increase will be in water charges, which are recommended to rise by nearly 26 percent – adding a further $348 to the average household bill annually.

This is on top of three city-wide targeted rate charges for natural environment, water quality and climate action, and the Rodney Local Board transport targeted rate.

Watercare is also proposing to increase infrastructure growth charges (development contributions) by 25.8 percent.

Watercare’s board of directors chair Margaret Devlin says the board had to balance the vital need to invest in new water and wastewater infrastructure – ensuring safe and reliable water and wastewater services for Auckland – with council’s directives to maintain a debt-to-revenue ratio of 340 percent and to ensure that growth funds growth.

“We know many Aucklanders are struggling with the cost of living, and we understand the news of this projected price rise will not be welcome,” Devlin says.

“We want to reassure them that central and local government are working together to achieve a financially sustainable water model, and we understand their initial conversations have been positive.”
Watercare chief executive Dave Chambers says funds raised will help deliver hundreds of projects for Auckland.

“This includes completing the Snells Beach wastewater treatment plant and the transfer pipeline, and a major upgrade to the Wellsford wastewater treatment plant,” Chambers says. “We have already reviewed our infrastructure programme and identified projects that we can safely defer in the short term.

“However, to ensure we keep providing reliable services now and into the future, it’s still vital to invest $1.257 billion in the coming year, which equates to a daily spend of around $3.44 million.”
Chambers says Watercare is on target to achieve around $14 million in operational efficiencies this year, which will be replicated next year.

The draft Long Term Plan’s central proposal includes a $13.4 billion investment by Auckland Transport to make public transport faster, more reliable and easier to use. It also includes strengthening Auckland’s resilience to flooding with the new Making Space for Water Programme of more than $1 billion of investment, which includes government co-funding.

The draft budget is out for feedback until March 28 and final decisions will be made in June. The Mayoral Proposal can be read here.

HAVE YOUR SAY
In person: A hearing style event will be held at the Rodney Local Board office, Elizabeth Street Warkworth, on Tuesday, March 19, from 4pm to 6pm. This is an opportunity to ask questions or leave feedback. Registrations essential. Email: rodneylocalboard@aucklandcouncil.govt.nz
Online: visit akhaveyoursay.nz/ourplan for all the information, upcoming webinars and consultation documents
Phone: 09 301 0101
Social media: Auckland Council’s social media pages
Community: visit your local library, council service location or local board office.