Selwyn rates to increase by almost 50% over next three years

Friday, 5 July 2024

Selwyn’s growing population will see rates increase by almost 50% in the next three years. (File photo)

The average Selwyn ratepayer will see an almost 50% increase in their rates over the next three years.

Selwyn District Council adopted its long-term plan 2024/2034 on Wednesday, forecasting rate hikes of 14.9%, 14.2% and 13.3% for the next three years.

That was a 48% increase, meaning a household paying $5000 a year in rates would pay an additional $2500 by the end of 2027.

Selwyn District Cuncil councillor Grant Miller voted against the long-term plan. (File photo)

An increase of 15.6% for the coming year was initially proposed, but councillor Grant Miller said it could have been lower if more projects were deferred.

Miller said investment in soft services has pushed Selwyn’s rates hike higher than necessary, but its mayor said that was what the people wanted.

He said the building of a $11.3 million Malvern Recreation and Sport Facility with two indoor basketball courts were nice-to-haves for the future, but not necessary for the current population.

Selwyn District Mayor Sam Broughton says balancing affordability with necessity was essential in the long-term plan. (File photo)

“We haven’t had people knocking down the door here saying, ‘we absolutely need a sports centre now’, in fact, three years ago it wasn’t even on our radar.”

The previous year’s rise was 5.9%, but with increasing infrastructure, maintenance and labour costs, Broughton said putting double digits on the table was a necessity as the average rise across the motu was expected to be 16%, according to a report from LGNZ.

“What we’ve seen is inflation generally pushes prices up, and as our community has continued to urbanise there’s been increased expectations from our community for what council will provide. Those two things drive up the amount of things we have to do.”

From left, Āpōpō president Gary Porteous, Selwyn district Mayor Sam Broughton at the Pines Waste Water Treatment Plant near Rolleston. (File photo)

Broughton said the council found savings where it could while staying true to the needs and wants of the communities they served.

He said while rate affordability was a “key part in the arguments” in the deliberations, “actually winning the arguments comes down to growth, delivery, and staying at the head of the pack”.

Broughton said 85% of the council’s capital spend was set aside for essential transport and water infrastructure, but tight budgets had been made for the soft services also.

The 10-year plan promised to see multiple community facilities built, including three Park and Ride facilities in Rolleston and Lincoln, as well as an upgrade to the district’s public transport infrastructure - subject to NZ Transport Agency Waka Kotahi funding.

Leeston’s new library and community centre Whata Rau will receive $16m, with a further $3.4m budgeted for improvements to its neighbouring park.

The plan was adopted by majority vote, nine votes for and two, councillors Miller and Elizabeth Mundt, voted against. The council resolved to complete a rates review ahead of the 2027-2037 LTP.

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