Proposed rate hike of concern

Farm viability fears centred on a proposed 10.1 per cent rate hike in Carterton have been raised by members of Federated Farmers.
"Federated Farmers New Zealand is extremely concerned that rates are continuing to increase at a greater rate than inflation. Some of our members are questioning the future viability of their farms," states a written submission to the Carterton District Council's proposed 2006-16 Long Term Council Community Plan, incorporating the 2007-08 Annual Plan.
Wairarapa Federated Farmers representatives presented an oral submission to the hearing yesterday and urged the council to keep costs low and focus on essential services.
"The Carterton district is very reliant on the viability of farmers for economic and social well-being," the written submission says.
"Farmer and householder ratepayers have no ability to pass higher costs on, unlike many businesses who do."
Carterton resident Patricia Venn has questioned whether the district council considered the burden on superannuitants, whose property values have increased but incomes have not, when setting its rates.
"It is becoming increasingly difficult for me to live on my lifestyle property from which I receive no income," her written submission states.
"The cost of living has been slowly and almost imperceptibly rising so that a trolley of food, which used to cost me $60, now costs $100.
"What do the council think is going to happen to people like me ? have they ever considered us?"
Carterton resident Hank Optland said in his written submission that rates increases should be kept as close to the Consumers' Price Index as possible to lessen the financial burden.
"Why should there be an increase of almost 26 per cent over two years when salaries and wages have taken almost a decade to rise by this magnitude?" Mr Optland said.
Wellington Regional Chamber of Commerce has called for an ongoing assessment of overheads and non-essential spending to lessen ratepayers' financial burden in the face of rapid growth of councils' activity costs.
"Because CDC has a monopoly in the provision of many of its services and because much of its income is guaranteed by legislations, many of its services could potentially be inefficiently delivered and/or overpriced," its written submission states.
"CDC has very little debt even when compared with the councils across the country.
"Ratepayers' equity amounts to a substantial 97.9 per cent of total assets.
"We encourage the council to use debt to fund projects so the cost is spread across future generations of ratepayers who will benefit from them."
Meanwhile, Carterton resident Barbara Durbin has registered her approval that the council has addressed its under-funding issues.
"Rates are the price we pay for living in a community," her written submission states.