Viewpoint – Council pays back targeted rate

There was a Court of Appeal decision this month that has implications not just for Hibiscus Coast accommodation providers but for Aucklanders generally. 

The court ruled that the targeted rate on accommodation providers is ‘invalid’. At the time it was imposed, the rate was championed by the Mayor. As a result of the court decision, Auckland Council faces the prospect of paying back nearly $30m in collected rates plus court costs (as well as $1.5 m already spent on legal fees).

For those who’ve had occasion to contest or challenge council decisions, this judgment will be of special interest. 

“If you don’t like it, take us to court” is a statement I’ve heard a little too often in some council circles. A large organisation used to just bulldozing its way over opposition can lead to an institutional arrogance that ordinary citizens find difficult, if not impossible, to combat – the vast resources of council effectively turned against the very people who fund them.

If this decision makes Council treat other groups and individuals more fairly, that will be something at least – even though the long-suffering ratepayer has to pick up the tab for this poorly conceived targeted rate policy. If it doesn’t (and that’s a possibility) then we have a problem and one a lot more damaging than the judgment in this case. 

The accommodation providers had the money to go through the courts to ensure their members were treated fairly – most others cannot afford to even contemplate this. 

There have been a series of poor decisions now where councillors like ourselves (along with members of the public) have been proven right after-the-fact (APTR, Civic sale, stadium strategy, attempted marina sales, diversified assets disposal to name but a few). “I told you so” is all very well but the ongoing blind adherence to the party-bureaucratic machine is concerning, as is the absence of any apparent self-reflection or accountability.

On a more positive note it’s been great to see the new kids’ playgrounds being unveiled around the Coast and the upgrades to coastal assets around our beaches. It’s not always big ticket items that are appreciated at local level. 

Talking of big ticket items, Penlink is looking promising for a construction start next earthworks season (later in 2022). There won’t be much change out of $1 billion when this project is completed but a lot of preparatory work has been done this year already by NZTA/Waka Kotahi. 

Finally I was moved recently by the community response on social media to a young guy reaching out for help with work and accommodation. It was genuinely uplifting to see the number of people keen to help in whatever way they could. 

With Christmas fast approaching I’m sure that same Coast spirit will continue strong as ever. Take it easy everyone, and keep looking out for one another.