Around 2600 Far North ratepayers to get refund over mapping error

NRC CEO Malcolm Nicolson

Around 2600 Far North ratepayers will receive a total of about $136,000 in rates refunds due to a mapping error - an average of just over $50 each.

An early version of a map excluding them from a transport rate zone was incorrectly published in Northland Regional Council annual plans.

An investigation showed the error, which came to light after an inquiry from a Kerikeri ratepayer group last year, occurred after an earlier version of a map outlining a Mid-North transport rate was used in the 2016/17 and 2017/18 annual plan documents and associated rate-setting resolutions.

NRC CEO Malcolm Nicolson has apologised for the mistake, which he described as "essentially human error". The processes and procedures leading up to it had been
reviewed to prevent a repeat.

"A more rigorous regime is being developed, and will be in place for the council's new long-term plan and subsequent document production," he said.

The transport trial was ongoing, and an unbudgeted subsidy from the NZ Transport Agency, confirmed after the rate was set, meant there would be no additional cost to ratepayers, despite the pending refund.

Mr Nicolson said the council had consulted on and established a trial Mid North bus service, and a targeted Mid North transport rate to fund that trial during its current (2015-25) LTP process.

The targeted rate and an accompanying map shown in the published LTP document were correct, but when the two subsequent annual plans were published, they had inadvertently incorporated an older, incorrect map that covered around 2600 fewer properties.

After legal advice, and collectively agreeing it was the right thing to do, councillors had voted to refund the targeted transport rates paid by the owners of those 2600 properties, roughly $24 per year (including GST) for non-commercial ratepayers and about $49 annually (including GST) for commercial.

Mr Nicolson said a total of roughly $136,000 (about $68,000 in each of the two years involved) would be refunded before the end of this financial year on June 30. Letters would go to affected ratepayers via the Far North District Council, which collects rates on behalf of the NRC, over the next few weeks.

The NRC was considering introducing a new, district-wide transport rate in the Far North to ensure trial services could be effectively implemented and operationally amended as necessary in future, he said.

The original (correct) 2015 LTP map, and the incorrect map included in the annual plans, can be found at www.nrc.govt.nz/ratesrefundrelease.