Average residential rates will rise by 15 per cent and average commercial rates by 33 per cent for 2021-22.
The residential rise includes the cost of the new kerbside bin service, which starts on the same date. The higher commercial rise is the result of the council changing the commercial differential from 1.2 to 1.6.
The overall 22 per cent average rise was set today by commissioners at the conclusion of deliberations over the Long-term Plan 2021-31.
Council general manager of corporate services Paul Davidson said the rise was consistent with the draft that went out for public consultation.
Commissioner chairwoman Anne Tolley said that, on the whole, she felt "comfortable that a significant number of the population were positive about the changes as long as we deliver."
Council finance manager Kathryn Sharplin said the new kerbside rubbish and recycling collection service was a significant part of the residential rise.
"Rates are up 7 per cent plus the cost of the new waste service for the average person.
"They haven't gone up 22 per cent [or] 15 percent without anything new."
The rise equates to $7 per week or $364 per year for a median residential property worth $655,000.
It would be $31 per week or $1612 per year for a median commercial property valued at $1.07m.
The plan will be finalised for adoption on July 26.
In a statement, the council said "a number of" community requests were included in the plan, which confirms the work programme and budgets for the next decade.
Tolley said the commissioners talked to hundreds of people "about their priorities for the city and the commitments they were prepared to make to see Tauranga progress and have our infrastructure issues addressed," she said.
"The commissioners have listened and taken those views into account and I believe the LTP we have developed as a result of the community's feedback represents a significant step forward for the people of Tauranga."
Among the big decisions was staggering an $18,000 hike in development contributions over seven months.
An increase of $7500 will apply from August 1, 2021, and an additional increase of $10,500 will apply to building consents for new residential and non-residential developments from February 1, 2022.
The figures are based on a three-plus bedroom dwelling and will be adjusted accordingly for smaller dwellings and non-residential developments.
Tolley said the commissioners had taken community feedback into account and the phased approach would hopefully help ease the impact of these "unavoidable charges".
"Development contributions are critical to ensuring Tauranga can provide the key infrastructure needed for our growing city.
"The cost of infrastructure continues to rise, and we need to keep pace with these increases."
Tauranga City Council general manager of strategy and growth Christine Jones said water infrastructure projected to ensure the city could meet demand for 30 years was the main reason for the increase. She said if not funded through contributions, the cost would have to go on rates.
"The city's water networks are at capacity, and growth is driving the need for a new water treatment plant.
"When the Waiāri Water Supply Scheme and trunk mains are in place, [the] council will divert the existing houses and development in the coastal areas such as Pāpāmoa and Mount Maunganui, and their primary water supply will be from the Waiāri.
"So while some new households won't connect directly to the scheme, they're still contributing to the need of an additional water treatment plant and will benefit from the capacity it creates."
The completed works will increase the city's water capacity by about 45,000 cubic litres, providing water for about another 30,000 houses in the city.
- Increase the commercial rating differential from 1:1.2 to 1:1.6, bringing it more into line with other centres and work to identify new commercial rating categories (such as CBD and port and related industries groupings) to better reflect affordability and benefit profiles
- Approve 90 Devonport Road as the preferred medium-term location for the council's administration premises, with a capital budget of $16.7 million over the 2022-24 years
- Deliver the Papamoa East Interchange by 2024, with $4 million being brought forward to 2021/22 to undertake preliminary work and design.
- $100,000 fund administered by Priority One for the film and media sector
- $500,000 city centre development incentive fund, with a particular focus on residential development
- Continue two-hour free parking in the CBD
- Confirmation of one full-time equivalent role to coordinate the Kāinga Tupu programme to address homelessness
- Construct a new Memorial Park aquatic centre, and agreement to bring forward the indoor sports facility project, if possible, as the aquatic project progresses
- Capital grant of $1.72 million to the Bay Oval Trust, with debt to be retired over the next 11 years, as a one-third contribution towards the cost of the Stage 2 pavilion, event day toilets generator shelter and broadcast towers
- $150,000 to projects to assess the needs of roller sports, upgrade skatepark facilities and develop the design of a destination skatepark facility, with a further $670,000 available in 2022/23 to contribute to construction
- Engage with Welcome Bay community and key stakeholders on reserves and amenity development, using funds which had been earmarked for Forrester Drive walkway use in 2022 and an additional $309,000 in 2023
- Additional $375,000 towards replacing the lights at the netball and tennis courts at Gordon Spratt Reserve and retention of $235,000 to install a pump track, both in 2021/22.
- $290,000 in 2021/22 to fund improved reserve amenities (drinking fountains, public toilets, etc.);
- $60,000 for tree planting, in addition to the existing shade provision budget.
- $43,000 in 2021/22 and $31,000 in 2023 and 2024 to support Predator Free Bay of Plenty's activities;
- $146,000 towards the 'Wednesday Challenge' a new app-based initiative to encourage the use of alternative transport modes to private vehicles (subject to funding from other sources);
- Partnership agreement with Envirohub BOP, to deliver programmes to raise awareness and promote action around climate change, biodiversity, pollution and resilience (funding to be provided via the new Community Grants Fund)
- $100,000 (split between 2021/22 and 2022/23) to explore innovative transport solutions.
- $100,000 to enable temporary exhibition of parts of the city's Heritage Collection;
- Create $150,000 heritage fund to support business case development for a heritage and taonga collection.