Mayor King changes tack on rates

Hamilton Mayor Andrew King

The public outcry over a 16.5 per cent Hamilton rates increase suggested by Mayor Andrew King has forced the mayor and his chief executive Richard Briggs to back down on the huge increase.

Last week, Mr King shocked the city with a proposed 16.5 per cent rates increase, saying Hamilton needed to deal with the city's debt problem now or face the consequences later.

The news of the possible monster increase increase was met with a hostile response from city councillors and many ratepayers.

I think we've got a real strong feeling now to drive that (16.5 per cent) figure down.

Richard Briggs, Chief executive

The proposed increase is the main topic for discussion at a meeting of the Hamilton Residents and Ratepayers Association tomorrow at the Celebrating Age Centre, in Victoria St beginning at 10am.

"Stop wasting money on things that are not needed. Why should us the tax payers pull them out of debt when they the council put us in it. So not right at all and people will leave Hamilton for greener pastures," was one reaction on Facebook.

Jane Skilton commented, "Stop growth, put the green belt around Hamilton and if you can't afford to do something don't do it. It's called working within your budget we all have to do it and the budget is getting tighter and tighter for many of us."

David Wise also commented, "Take back the CEO's bonus. Don't waste money redoing Garden Place again, sell off buildings that are in city, no funding for Founders theatre until debt is payed [sic] off."

Councillor Mark Bunting last week told Hamilton News he was tired of the ratepayers having to bail Hamilton out.

At an elected members council briefing on Tuesday, Mr Briggs told councillors the 16.5 per cent rate rise is not a set number and is a work in progress.

He was concerned that the public had taken the 16.5 per cent as a final number and not the starting point.

"Mayor Andrew wanted to test the feeling around the table in terms of the 16.5 increase and what was the feeling behind that," Mr Briggs said.

"I think we've got a real strong feeling now to drive that figure down."

"We started this process with a number far bigger than that, but the goal has always been to be to drive that number as far south as possible."

Mr King went on the defensive and told councillors on Tuesday the council was never turning the lights off in the city if the 16.5 per cent rate rise did not go ahead.

"There was never talks of shutting this city down," Mr King said.

"When we asked what services you wanted in and out, nothing was taken out and there was only things added in."

Councillor Angela O'Leary countered Mr King's message saying that council had put the message out the large rates rise was needed to run this city.

"The key message from this organisation in the last five or six days is we need 16.5 per cent is to run the business and to keep the lights on," Ms O'Leary said.

It has not all been negative for the rates discussion however as Waikato Chamber of Commerce CEO William Durning said that it is a good move from the council to start these discussions early.

"From a business perspective we are happy that the council have brought this discussion up early," Mr Durning said.

"Hamilton need's a rates increase to deal with the growth of the city, how they do that is still up for discussion."

Council last week discussed three options of raising the rates, raising rates by the full 16.5 per cent, staggering the increase out of three years or keeping it at the annual 3.8 per cent increase.

"Because Council have came out early we can now discuss with our members how they feel and what they think about it in time so that we can report back to council."

Council will discuss the 10 year plan budget which includes a rates increase in further detail on December 6 and 7.