Tauranga city rates revenue take will increase by 9.9 per cent next year.
After allowing one per cent for growth anticipated, this will mean about 8.9 per cent for ratepayers.

Plus an extra 2.5 per cent GST for the second instalment rates in February. Council cut out about $600,000 in the deliberations, of which $500,000 I reported on last week was for proposed funding for leaky homes. This increase is just another nail in the coffin of how rates are unsustainable for a majority of ratepayers – if not now, then it is coming.
The government seems intent on transferring unpopular controversial expensive issues on to local government, but also appears to be embarking on privatising essential utilities or water/wastewater. These, like the electricity ‘reforms' are in fact cash cows for central government. You charge what you like, collect PAYE and tax on profit, GST, profit through SOEs and have your people installed to run the CCOs – every post a winning post for everyone except the consumer. I digress. Something will have to give in this equation. In the meantime, this is the cost of keeping the city ticking over, keeping up maintenance and allowance for costs coming on stream from past decisions.

Learning from the library
The library debate demonstrated the difficulty of altering the status quo and future controversial proposals are likely to meet the same resistance until the situation inevitably reaches the crisis point for the majority. The 10 year plan shows more of the same to a greater or lesser extent depending on which year you look at. If it is the community/ratepayers' wish to keep up with the demands of growing community then this is the real cost. And no amount of promises from anyone will change this. It's only an acceptance from the majority in the community to reduce services and central government giving support that will reduce the unsustainable rates spiral.

Development contributions
During the annual plan deliberations elected members canvassed the issue of development contributions. These are the costs collected when land is subdivided and when a building permit is issued. Costs of growth are horrendous. Especially when infrastructure has to be completed and paid for before the people arrive. It's either sub-dividers, builders or ratepayers, or a mixture who have to pay. Mayor Stuart Crosby fired a salvo at some developers and gave an example of a purchase of reserve land at Royal Palm Beach, some time ago that should have cost council $60,000, but ended up at $240,000. On the other hand, take the Lakes subdivision – more or less complete, but hardly any new impact fees being paid as the downturn affects sales. The building industry is affected also, but in the interim all the expensive infrastructure is in the ground and of course there is a huge holding cost.

Residents before business
Council also discussed a request for attention to stormwater issues in the Triton Ave commercial area. It was agreed that any extra stormwater expenditure would give priority to urgent residential flooding over commercial and industrial property. Matua Bowling Club will get $60,000 towards their upgrade. Rick Curach said it was a bit rich getting ratepayer funding, but he anticipated that because it was election year it would go through. He said it was a private club but Mayor Stuart Crosby told Rick he was in fairyland – Matua Bowls was a public entity – an incorporated society. Rick agreed and said he hadn't thought of that and changed his mind and voted for it.

Wearing it for Wellington
On the GST increase, some council activities will absorb the increase – like the Airport. The GST increase will cost the parking account around $200,000, but elected members will consider this when parking charges are reviewed. David Stewart fell about laughing when I suggested reducing the time limit to accommodate the matter in the short term. I was serious. If the city is to have more parking, the money has to come from somewhere – not rates.

Not so free parking
Another oopsie from the Bay Times. In Friday's paper before Queen's Birthday Weekend, under the heading ‘All you need to know around the Bay' on page five there was an item headed ‘Parking'. It read 'parking will be free this public holiday”. Taking this at face value proved expensive for some shoppers who copped a $40 fine. My phone ran hot as constituents rang me. Complainants told me later they had rung the Bay Times to find out the source of this item only to be given the bums rush. No-one wanted to know apparently.
For the record there was neither a council nor Mainstreet parking promotion.
Bay Times must have been interviewing their keyboards again. My suggestion to those who acted on this false information was to keep on and seek redress from the newspaper.

Not ‘about to fall over'
At projects and services committee elected members had a presentation on getting the Southern Pipeline across the harbour. It's linked with the need to replace the Matapihi rail bridge walkway which we were told will need major work within three years. Staff are still negotiating with Kiwi Rail (which has absorbed On Track) for a mutually beneficial upgrade of the rail bridge. Apparently they have two grades of bridge. One is ‘fit for purpose'; and the other ‘about to fall over' – Matapihi is ‘fit for purpose' – at present – but we were also told it was susceptible to even a minor earthquake. Council's proposal is for adjacent piers to carry the pipeline with a new walkway on top. If we go under the harbour via a submarine pipeline we still face the conundrum of the walkway. Staff told us that a stand alone walkway would cost $8m-12m with only about $1m in government subsidy. We also said that non replacement was not an option. It's not easy and this is just another example of difficult issues and decisions that face the city that will have to be paid for in future annual plans. At the upcoming council election in October I will be seeking re-election as an ‘at large' councillor. I will also run for the mayoralty. If I am re-elected this column will continue.