Wellington City Council sets rates for 2007/08-Another election year

Wednesday morning March 21 2007
This is a Council on the run from its own policies and is about to have cardiac arrest. The Deputy Mayor, with his handful of votes that got him elected to Council, senses that CPR might be needed to a Council that is in its death throes now gasping for life with the possibility of an eight percent rate increase to the residents and a two percent increase to the commercial sector.

Rebellion will become more common from now on as Councillors realise their seats around the Council table may be lost, and rates are not the only issue that has Council worried. The increase in fees for sandwich boards will be back after the election. The proposed new charges have incurred the wrath of retailers and residents alike.

On the 20th of March I wrote to Council
The City's commercial sector is big business and residents have been forced to subsidise it with the differential rating changes. With this proposal we get a last minute act of political desperation in an attempt to fool the public but the target and transfer of wealth continues with a pause in this election year. This is an act of incredible political cynicism.

The collection of local tax should be the responsibility of the business district. I say this because millions of people a year come to it and use its services. The users of the city's services, those who are employed by business, and visitors that business makes its profits from, have become an overhead to the residents. Those who come on a regular basis and the tourists who use the city's services are being subsidised by residents. Effectively, residents are subsidising the infra-structure and entertainment of those users. The report to Council argues that it is business that subsidises residents. As such the report is a highly political document with a strong bias for the further transfer of wealth from the residential sector to business sector.

Bryan Pepperell

Council Officer writes to Council
Councillor Shaw,
You have indicated that you wish to propose an amendment to the LTCCP (and Revenue and Financing Policy) to change the 2007/08 differential to 4.2:1 and the timeline for reaching the 2.8:1 target out to 2011/12.


Councillor Pepperell
I certainly will support the first part of the amendment to the LTCCP.
"That the rates differential for 2007/8 be set at 4.2:1 commercial / residential but would like the second part taken separately as I would not agree with what followed, namely the continued but extended target differential (this was also supported by Councillors Gill and Ruben and others) .

Media statement
Wednesday Night
Breaking news
Yes I was right! The Mayor and Deputy voted to save their necks in this election year. The rating differential will remain unchanged till after the election. Wake up Wellington, because you have been told what happens next.
Cheers
Bryan Pepperell
Jack Ruben