Targeted rate challenge is dismissed

A Waimarama land owner who refused to pay a targeted rate following the purchase of a neighbouring domain has had her case rejected by the High Court.

Justice Edwin Wylie yesterday issued his decision regarding the targeted rate payment of $23,000 that was to be paid to the Hastings District Council by 18 adjourning residents to the Waimarama Domain to help fund its purchase.

Janis Tacon was the only landowner to dispute the payment and questioned the legality of the way the council arrived at the targeted rate.

In his written decision, Justice Wylie said he was not persuaded that the council had fully complied with its obligations under the Local Government Ratings Act but thought payments "should lie where they fall".

He said there were deficiencies in the way the council handled the matter that included not setting out in detail how the targeted rate was calculated.

"Simply asserting that it was based on the direct private benefit to adjourning landowners is not helpful to adjourning landowners seeking to determine exactly how the targeted rate has been levied against them."

However, despite the deficiencies, he declined Mrs Tacon's case and said the council had consulted with its community assiduously. He also took into account the fact that all other home owners in the affected area were happy with the targeted rate.

In a statement from Hastings District Council, Chief Executive Ross McLeod said "we will learn from and implement Justice Wylie's helpful guidance".

"Council will approach the plaintiff in the first instance to discuss the matter of the recovery of costs so as to minimise any impact on ratepayers from this action."

Hastings District Council bought the Waimarama Domain from the Society of Mary for $1.17 million in 2011. The council and Hawke's Bay Regional Council met about $810,000 of the total cost, and the shortfall was to be met by the 18 property owners in homes adjacent to the domain.