Government to study Rates Report recommendations

Local Government Minister Mark Burton today made public the 277-page final report of the Independent Inquiry into Local Government Rates, which he launched in November last year.

"The Government initiated the Inquiry following widespread debate about local government funding," said Mr Burton. "It is reassuring that the Inquiry has found that local government finances 'are generally in a healthy position, with low overall debt and in many cases significant levels of income earning investments.'

"I want to acknowledge that the Inquiry has consulted widely and completed its report within its relatively tight time frame," said Mark Burton. "My congratulations and thanks to chairman, David Shand and panellists Dr Christine Cheyne and Graeme Horsley on their hard work.

"The Panel has made some significant recommendations across 8 categories dealing with; the drivers of expenditure, the use of rating tools, non-rates funding mechanisms, alternative sources of funding, sustainability and affordability of rates, land covered by Te Ture Whenua Maori Act, exemptions, decision making, planning and accountability.

"Some recommendations are challenging and others are reassuring. We must now consider the Inquiry's recommendations in detail and work closely with local government representatives to analyse and address issues for the sector outlined in the report."

Mark Burton noted that work was already underway across government on a range of means to reduce the burden on ratepayers and to assist local government. These include the very successful Rates Rebate Scheme, assistance for community sewage and water schemes, and the Regional Fuel Tax announced in Budget 07. Some of this work will, he says, potentially address a number of the independent panel's recommendations.

"I want to thank the thousands of New Zealanders who took the time to give their input into the Inquiry, through written submissions or in person at public meetings and hui. I look forward to commenting further on this, as the analysis of specific recommendations is completed."

The full report of the Independent Inquiry into Local Government Rates is available at: www.ratesinquiry.govt.nz from 11:30am today.

ENDS

See... Executive summary,rating inquiry (PDF)

© Scoop Media