Council cuts out for comment

Aucklanders are being encouraged to have their say on a proposed mix of options to close a $295 million shortfall in Auckland Council’s annual budget.

Group chief financial officer Peter Gudsell says there are some tough choices ahead and it is important Council hears from Aucklanders on the proposals that have been put forward.

“The proposed budget outlines where Council plans to raise its revenue and what it will spend its money on, including plans to reduce the operating costs by an additional $125 million across Auckland Council and Council Controlled Organisations,” Gudsell says.

“These are important decisions we’re making on behalf of Aucklanders so it’s crucial we hear from them.”

Council plans to make savings by maintaining the currently reduced number of public transport services, and cutting spending on economic development and tourism promotion, and regional services such as community and education programmes, arts and culture programmes, regional events and some social services activities such as homelessness funding, community empowerment and funding for youth centres.

Local board budgets are being slashed by $16 million and there will be less money spent on grants to environmental, sports, cultural and arts projects. Council estimates it will save $1 million by no longer providing childhood education services.

In total, Council plans to spend $3.593 billion on operating costs and $2.791 billion on capital investment in the next financial year.

The proposed rate rise will be 4.66 per cent or $154 a year (around $3 a week) for the average value residential property. The proposed average increase in general rates across all existing properties, including non-residential, is seven per cent.

Council is proposing to borrow more – up to $75 million – to fund capital expenditure, rather than funding it through rates and user charges. Although its current financial settings allow it to use up to $140 million of additional debt, its budget document states that debt should be used sparingly and only as a last resort to address the operating budget gap.

Budget documents and feedback forms can be accessed online at akhaveyoursay.nz/ budget or at local libraries or service centres.

Anyone who isn’t able to access the information online or visit a centre in person, can call 09 301 0101 for more information.

Feedback closes at 11pm on Tuesday, March 28.