TE AWAMUTU NEWS | 1
THURSDAY MAY 28, 2020
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Feds back rates freeze Federated Farmers has told the Waipā District Council to “resist the temptation to try and stimulate the local economy. In a joint submission to the council’s annual plan, Federated Farmers said a total rethink was required as a result of the Covid-19 pandemic “which has shifted the goal posts significantly and in a way that could have never been predicted or modelled against”. The submission was in the name of Waikato provincial president Andrew McGiven, and branch chairs John Searle (Cambridge) and Kerry Gray (Te Awamutu). “These are unprecedented times, and Council can’t simply continue with business as usual. We urge Council to review current income and expenditure to identify areas of savings and work to reduce the proposed rate increases,” the wrote. District councillors have this week being hearing submissions on its annual plan – initially pitched with a 4.2 percent rate increase. Ahead of the hearing, and after the Waikato Regional Council announced a freeze on rates, mayor Jim Mylchreest said rates needs of the two were different and
MAY 28, 2020
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Face to face…
Councillors listen to Te Awamutu Community Board chair Ange Holt speaking to its Waipa District Council draft Annual Plan 2020- 21 submission on Tuesday. This is how more than 40 submissions have been considered over two days of hearings this week. For a snapshot of what some submitters wanted, see page 8 likened them to apples and pears (See story, Page 3) A total of 42 submissions were being heard this week as councillors were on one hand implored not to spend, and on the other to support worthy causes in the district.
Down on the farm: Federated Farmers say their members are already facing a pending crisis through compliance costs and drought conditions.
Federated Farmers said they anticipated commercial and residential ratepayers would struggle with rates where income has been lost. The cost of “expansionary local spending frequently lands on farms through property value rates, which in turn adversely affects the rural economy”, the submission argued. The rural economy was facing its own pending crisis in the form of significantly increased regulatory and compliance costs and managing the ongoing and persistent drought conditions heading into winter. “We ask Council to resist the temptation to try and stimulate the local economy. Local Government cannot stimulate growth through spending in the way central government can. The cost of expansionary local spending frequently lands on farms through property value rates, which in turn adversely affects the rural economy. “The rural economy is facing its own pending crisis in the form of significantly increased regulatory and compliance costs
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which are proposed under draft National Policy Statements and managing the ongoing and persistent drought conditions heading into winter.” It encouraged the council to back a zerorate rise. “We also understand there are some community projects which are nearing final stages of completion and clearly these works need to be finished. However other ‘nice to have’ projects need to be parked until the full economic and social impacts of Covid-19 are known and communities are given time to reassess priorities. In a separate submission Federated Farmers National President and Local Government Spokesperson Katie Milne asked council to consider the impact of Covid-19 when setting rates and said her organisation would ask the Government to consider using taxpayer money to meet some local government costs, particularly relating to water. More on the submissions, see Page 8.