LTP 2012-2022 - Introduction - Hurunui District Council

www.hurunui.govt.nz
future, who should pay, and how to meet the expectations of
our communities. The Government has expressed concern
over high rating increases and expects councils to be restrained.
Whereas we agree, unfortunately dramatic increases in our
insurance costs, the new legislative requirement to meet New
Zealand drinking water standards, and funding sewer and
stormwater improvements, mean that we too have higher rating
increases than we would have preferred.
As a result of the Council’s decisions after considering public
submissions, the increase in the 2012/2013 year has reduced
from 6.94% (what we said in the draft Long Term Plan), down to
5.83%. The downside is the flow on effect to the 2013/2014 and
2014/2015 years’ rates which will increase from 4.80% to 5.77%
for 2013/2014 and from 4.62% to 5.37% in the 2014/2015 year.
The primary causes for the increases in our rate projections
can be attributed to the following items, all of which are further
explained in the ‘key issues’ section of this plan.
• Insurance has significantly risen as a direct result of the
Canterbury earthquakes and other natural disasters,
such as the Queensland floods. We have traditionally had
comprehensive insurance cover, and we have budgeted to
continue to do so.
• We face huge capital outlay to become compliant with the
legislated New Zealand Drinking Water Standards. The
good news is that we will no longer have any of our water
schemes on permanent boil water notices; but it comes at a
price. We will be treating the water of our at-risk drinking
water intakes in the 2012/13 year. This will enable us to be
compliant in the short term but this is only an interim step.
In the long term we will need to upgrade our schemes by
2027. To make this affordable, we will commence rating
for the estimated $14 million (in today’s dollars), in the
2015/2016 year.
• In recent years, we have incurred significant costs in
upgrading some of our water supplies, sewer schemes and
stormwater systems. The work undertaken has resulted
in increased debt for those activities and we are at a stage
where the interest and debt repayments need to be made
and these have to be funded through rates.
There are a number of other aspects that influenced the
development of this Plan. We were guided by our proposed new
vision of Community partnership in growth and wellbeing,
as well as our core principles:
• Focus on core services
• Financial responsibility and affordability
• Continuous improvement in service to everyone in our
district
• Facilitate appropriate growth in the district
We have confirmed this new vision through the long term
plan consultation process. It builds upon our previous vision
which was based on a ‘wellness’ concept (Hurunui Wellness:
“In Hurunui, we live the lives the rest of the world would
love to live”). We wanted to further define it and convey that
everything we do, we do in partnership with our communities.
With your support for our plan and the services, infrastructure
and facilities we provide and you pay for, we have confidence
that we will be meeting the aspirations or expectations of our
communities, which contribute to wellness and wellbeing.
Important contributors to this Plan have been the many people
in our district who are members of our boards and committees.
In particular, we have taken into account the views of the Ward
Committees and the Hanmer Springs Community Board on the
submissions received affecting each of their respective wards.
These groups, having been chosen by their local communities,
provide valuable insight into what is considered important
locally.
All submissions were considered in the context of affordability,
priorities for the district and Government’s new bill, ‘Better
Local Government’. This bill, expected to be passed around
September 2012, aims to provide better clarity about council’s
roles, stronger governance, improved efficiency and more
responsible fiscal management. The Government is concerned
about increased public spending and debt levels and is requiring
both central and local government to improve the efficiency
of delivering public services and take a prudent approach to
public debt. The new bill proposes that councils will have a new
purpose -“providing good quality local infrastructure, public
services and regulatory functions at the least possible cost to
households and business”. This will replace the current purpose
which references a responsibility to the social, economic,
environmental and cultural well-being of communities. In
addition, the Government is proposing to introduce legislation
around fiscal responsibility to limit council expenditure growth
to no faster than inflation and population growth. A strong
Hurunui 10-Year Timeline
2012/13
Representation Review
Nine New Miox Water Treatment Installations
Targeted Tourism Rate and
District Promotion Review
Earthquake Prone Building Assessments
Cheviot Library Relocation
Local Government Elections
Earthquake Prone Building Assessments
Review of the District Plan completed
2013/14
2014/15
Central Government Elections
Earthquake Prone Building Assessments
Hanmer Springs Community Hall Extension
Long Term Plan Review
Drinking Water upgrade
Hanmer Springs Sewerage Treatment
Plant Upgrade
Hanmer Springs Sports Stadium
2015/16
2016/17
Local Government Elections
Cheviot Medical Centre Upgrade or
Rebuild
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