Riccarton rates to rise 9.5 p.c.

Press, 28 August 1984, Page 5

Riccarton rates to rise 9.5 p.c.

The “average” Riccarton ratepayer will have to pay 3.25 per cent more in rates next year, but some shops face a 35 per cent increase. A general rate rise of 9.5 per cent for 1984-85 was set by the Borough Council last evening. The rise includes the new differential rate for the Riccarton town centre project and a slight increase in ad hoc rates. The effects of the increase would depend on property valuations and proportion of capital value to and value, the council’s treasurer, Mr John Skinner, said in his report. The differential rate will mean a small shop in Riccarton Road may have to pay 35 per cent more next

year, while a nearby commercial building may pay 25 2 per cent more. A property in Rattray Street had an average valuation and represented the borough yardstick, Mr Skinner said. It would have a rate increase of $11.57 (3.25 per cent) and a new rate of 5368. This compared favourably with “average” residential properties around the city, which ranged from $452 to $513, he said. Rate increases in the last five years had been less than inflation. At the same time there were greater services and new commitments provided, said Mr Skinner. This had led to a growing

imbalance between rate revenue expenditure. The council’s finance committee believed that this trend had to be reversed so that rates met commitments. Several big capital works projects will be continued next year. The estimates include allowances for the completion of the first two stages of the Riccarton town centre project and the start of the third stage ($467,710), the completion of owner-occupied flats in Broadbent Street ($535,607), and 12 new Division Street flats for the elderly ($237,335). A large electricity capital works programme includes $410,600 to place overhead power lines underground. The of a

new borough depot is also allowed for in the estimates, with $500,000 set aside. Over-all revenue expenditure is estimated at $4,930,000 and capital expenditure at $3,017,000The estimates also include $97,450 for reserves, $23,000 more than was spent last year. Reserves at Peverel Street, Longley Place, and Walsall Street will be developed. The electricity account is expected to have a surplus of $256,000 in March next year. The finance committee proposed to use this surplus to reduce nondomesfic electricity tariffs 10 per cent from April next year. The deficit in the elderly persons housing account

was $25,000 in March and is expected to be $Bl,OOO in March next year. This growth caused the council considerable concern and it intended to seek help from the appropriate authorities to remedy the problem, Mr Skinner said. The chairman of the finance and by-laws committee, Cr Mervyn Cooper, said the estimates were late because of a review of operations earlier this year and because the deputy town clerk had been ill. Street cleaner The purchase of a new suction street cleaning machine for $129,500 was fapproveed by the coupcil last evening. y.