http://www.aucklandcouncil.govt.nz/SiteCollectionDocuments/aboutcouncil/rates/ratesvideotranscript2012.pdf
Rates change 2012
Video voice-over transcript
Auckland Council has recently launched a new plan to make Auckland the world’s most liveable city.
This plan involves new investment in our infrastructure and economy, as well as providing the everyday services we require, such as public transport, rubbish collection or recycling, sports fields and more.
Many of these things are already paid for by your rates.
Up until now, former councils had different ways of calculating rates.
Now we are one council, we are required by government to have one rating system for the whole of Auckland.
This means that over time, every property of similar value and use will be charged a similar amount of rates.
For example; on a residential property valued at 460 thousand dollars you would have paid these different rates amounts.
For a property valued at 460 thousand dollars under the new rating system, you would pay this rates amount.
Overall, the average rates rise this year is 3.6 per cent, which is much lower than the former councils average 5.7 per cent rise over the past 7 years.
The new rates system will mean some rates will increase more than 3.6%, but others will decrease.
There are a number of reasons why your rates will change:
One, the general rates requirement is shared across all ratepayers. Some properties have gone from a relatively high value within their former council area to an even higher value, relative to all Auckland properties region-wide – resulting in a proportional increase in rates. This will also result in many other ratepayers getting a proportional decrease in rates.
Two – every property will now be rated on its Capital Value, where some properties were previously rated using land or annual value.
Thirdly, your new property valuation will be used as a component of your rates this year, so if your property value has changed, your rates may too.
The 4th is there’s now a consistent fixed charge of $350 for everyone. This is called your Uniform Annual General Charge or UAGC. In the past, the former councils charged different UAGC amounts - from $308 to $831.
Five: everyone in Auckland will now be rated on each dwelling, or separately used or inhabited part of their property - which will be a change for ratepayers in Manukau and Franklin. Most people live in a single dwelling or SUIP, such as a house. Examples of properties with more than one SUIP would be a shop that has a flat above it, or a house with a separate minor dwelling - such as a granny flat.
Six: some of your rates will be adjusted by a differential, which depends on the use of your property and whether it is in a rural or urban location.
And seven, your rates will include any targeted rates that relate specifically to your area or property, such as your waste management service, or an improvement, that you are paying off over time.
Lastly, wastewater will now be billed through your water provider. For many areas, this has happened already.
Because of these changes, some ratepayers may experience a significant change. That’s why we’re introducing a transition adjustment to help smooth the impact.
Residential and farm lifestyle properties will have increases capped at 10 per cent for the next three years. Decreases will be capped at around 5.6 per cent in the first year, 3.8 per cent in the second year and 3.7 per cent in the third year.
And for business ratepayers, we will phase in your rates change in equal steps, over a three-year period.
It’s a big change in the way things are done – but it’s an important step towards making Auckland the world’s most liveable city.
Your rates work hard all around Auckland.
Now they’re fairer all round.
Check out aucklandcouncil.govt.nz/rates to find out more information on rates – and thanks for watching.