MAKARA COUNTY

Evening Post, Volume CXXXIX, Issue 50, 28 February 1945, Page 6

MAKARA COUNTY

EFFECT OF RATE CHANGE

The decision of ratepayers of Makara County at the recent local elections to have rates struck on the unimproved value instead of the capital value was the subject of submissions by the county council to the Parliamentary Committee on Local Government yesterday afternoon.

Mr. E. Windley, chairman of tlie council, said the county comprised both farming and residential ratepayers, and the farming lands contributed more in rates, as the farm land valuation was greater than the residential valuation. There was every indication that the position would be reversed as the residential area continued to grow. It would appear . that the farm lands would be called on to contribute a substantial increase towards the revenue required by the council. The residential ratepayer would' be called on to contribute much less,;or in other words, he would be relieved of a substantial part of his contribution at the expense of the farmer.

The unimproved value of the farm lands was already high compared with the capital value, and to increase that value now would increase the rates on the farmer still further. On the other hand, to increase the unimproved value of the residential ratepayer would still further confound the issue, as he expected a reduction. There was reason to believe that the supporters of the proposal did not see any danger of any section of ratepayers being unduly penalised. The question arose, was there an undue rate burden on the residential ratepayer which induced him to vote for the proposal to rate on the basis of the unimproved 7u lv If so* tne remedy was worse than the evil of rating on the capital value, as it would inevitably further increase the contribution of the farmer.

The position seemed to be identical with ,the case of the small farmer in 8-■ The, report and recommendations of the investigating commission culminated in legislation be!^L# r<i vlded f(? r the protection of the w? J axm ur -in boroughs by rating him on a.basis apart from the basis £ "je unimproved value, which was adopted by the boroughs.