Kaikōura Sets Rate Rise To Just Under 10%

Thursday, 1 May 2025, 8:34 pm
Article: David Hill - Local Democracy Reporter

Kaikōura's council is sticking to its promise to keep its average rate rise under 10 percent - but only just.

The Kaikōura District Council approved its draft 2025/26 annual plan on Wednesday, April 30, proposing an average rate rise of 9.58%.

Mayor Craig Mackle said he was pleased to avoid sacrificing service levels.

‘‘One thing I don’t want to do is back off on the roads and footpaths. We’ve got one chance to get on top of it.

‘‘Driving around town today and looking at our drains, which we have been working on, they have done a great job,’’ Mr Mackle said of Thursday’s heavy rainfall.

Major projects in the annual plan include the Waiau Toa Clarence River bridge replacement, the western development project and the Wakatu Quay development, which are all receiving significant Government funding.

The fate of the Waiau Toa Clarence River bridge hangs in the balance, with the Waka Kotahi NZ Transport Agency board due to meet later this month to make a final decision on funding.

The agency had approved a 95% subsidy to build a new $13.5m bridge after the 2016 earthquake, but it has a sunset clause to June 30.

The project has been beset by delays and costs have risen due to inflation.

The council’s corporate services senior manager Peter Kearney said consultation is not required as there is no significant change from last year’s 2024/34 Long Term Plan (LTP).

Last year’s average rate rise was 14.75%, and the council had signalled its intention to keep this year’s rate rise under 10%.

Submitters to the LTP gave overwhelming support (86%) to the council's plan to increase spending on footpaths.

Last year the council asked NZTA for a $944,000 subsidy over three years to support its footpath renewal programme.

But it received just $252,000 from the 2024/27 National Land Transport Programme.

In September, the council voted to borrow an extra $84,000 a year to keep on top of its footpath programme.

Mr Kearney said staff will continue to work on the annual plan to look for more savings ahead of its final adoption on June 25.

‘‘If interest rates continue to come down it will provide some leeway.’’

In lieu of consultation, the council will send out a newsletter to provide an update to ratepayers and residents.

LDR is local body journalism co-funded by RNZ and NZ On Air.

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