Cr Bill Faulkner in his weekly column makes reference to the Labour Government's Shard report of 2007 warning of rates unsustainability.
This report goes on to say that there is a need to change the way local government is financed and where the money is to come from.
There is no doubt that the present system is outdated and unfair.
If this matter is not resolved in the next few years the country will be involved in a rates revolt of a magnitude that could bring New Zealand to its knees. In the meantime there are two things that could be put in place immediately to give some temporary relief to ratepayers.
1 An increase in rates to be no more than the rate of inflation.
2 GST to be removed from rate demands. No matter what politicians may say GST on rates is a tax on a tax.
Perhaps Mr Faulkner in future writings could bring us up to date on what is being done to bring about change.
L Woods, Katikati.
2 comments
You're asking the wrong person
Posted on 20-10-2012 10:01 | By Gee Really
L. Woods needs to get on to an MP, because it is parliament that decides where to levy GST and how local government is organised.
Immediate action on rates unsustainability
Posted on 22-10-2012 15:12 | By algail
I was under the impression that legislation had been passed restricting rates rises to the inflation rate. Further any increase above the inflation rate would have to be voted on by the ratepayers. However I could be wrong I just seem to recall that this is the case One wonders if that were the case in Tauranga which way such a vote would go. My guess is they would vote in favour of it because they voted the same incompetents in at the last election that they had suffered under for the previous period or more. Oi vey Alastair Bethlehem
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