Community groups face money pressure

With council budget cuts looming, the focus has fallen on services provided by community groups.

The Devonport-Takapuna Local Board is assessing its funding priorities for grants rounds, while waiting to find out how much money it will get to distribute. Janetta Mackay reports. Extra costs are on the cards for sports and community groups that own properties and currently enjoy council rates relief.

Six groups, including Takapuna Bowling Club, Milford Cruising Club and North Shore Squash Club, are among those in the Devonport-Takapuna Local Board area that have regularly received rates grants from the board..

Other beneficiaries have included North Shore Rugby Club and the Michael King Writers Centre in Devonport, and the Stanley Bowling and Petanque Club in Stanley Bay,

Faced with yet-to-be-finalised but large funding cuts of its own, the local board was asked by Auckland Council officers at a workshop this momth if it wanted to discontinue rates grants or roll them over for a year.

The grants amounted to $95,000 over the past two financial years, with $64,518 having been set aside for the 2023-24 year. Council officers suggested a sum of $26,986 remaining from the 2022/23 budget could be diverted to pressured general-grants budgets

The leftover amount is due to Takapuna Bowling Club and the Stanley Bay club being the only groups thus far applying to take advantage of their grants this year, being awarded $9481 and $25,863 respectively.

Groups that lease their sites from Auckland

Council for peppercorn rents do not have to pay rates. A desire for fairness led to the introduction of rates grants for property-owning groups.

Board chair Toni van Tonder said the legacy arrangement paid around 85 per cent of groups’ rates bills, but she noted change had been signalled in the past.

Member Gavin Busch said more detail was needed about the financial position of the groups. “Some clubs and organisations might be sitting on substantial sums,” he said.

Member George Wood noted that the Milford Cruising Club’s rates covered a slipyard it could make money from and that North Shore Rugby Club was paying rates on a building used as a gym.

Van Tonder said another workshop with staff should be held to help guide members.

“There’s a piece missing here, which is our budget,” she said.

Indications are the board’s discretionary spend will be cut by 60 per cent to around $500,000 as part of Auckland Council’s $295 million citywide budget cuts, drastically reducing the amount it can allocate

Public consultation on the budget has just closed. After feedback is collated, the board will have a further chance for input to the council, before the draft budget is finalised.