The Queenstown Lakes District Council is about to undertake a review of its funding/rating system, QLDC finance manager Stewart Burns said.

"We are very keen to receive feedback from the community and have sent out letters to community associations, interest groups and anyone that has queried our rates structure within the last two years," Mr Burns said.

The Council would hold a series of public meetings to give the community an opportunity to ask questions and give feedback, he said.

The Council last undertook a comprehensive review of the QLDC rating system during the 2002/03 year, having previously given a commitment that the funding/rating system would be reviewed on a three yearly basis.

"It is logical to undertake this review in the same year that the new rating valuations are issued by Quotable Value, remembering that these new values cannot be used for rating purposes until the 2006/07 year," Mr Burns said.

The rates review would be undertaken by a working party known as the Funding and Rating Review Working Party. This working party would be made up of members of the Finance Audit Property and Audit Committee (FAPAC), which would recommend changes to the full Council.

"The working party meetings will be open to the public and all reports and minutes will be made available," Mr Burns said.

Issues to be covered would include:

• Financing and Revenue Policy
• Recalculation of  Differential levels  - (especially roading rate)
• Differential categories - (especially Holiday homes used for Visitor Accommodation)
• Existing policy and legislative requirements would be dealt with first.

"The review will therefore commence with an overview of the current system including the important relationship between the Financing and Revenue Policy and the rates system," Mr Burns said.

The Financing and Revenue Policy indicated which funding tools were most appropriate for any given Council activity. A good understanding of this was essential before examining the rating mechanisms themselves.

From there, the review would look at the different types of rates we have, which would include the full report from the 2003 review.

"This will include an examination of which functions are funded by each rate and how the rate is applied. This will lead into a review of the differential categories for each rate and the differential levels that will apply to each category," he said.

It was important to note that the review would not include within its scope the overall level of rates payable. This was decided by full Council as part of the Annual Plan process.

It was intended to commence the rates review during the later half of November with a view to make a recommendation to the February meeting of full Council.

"Any proposed changes to the Rates system or Financing and Revenue Policy will need to be incorporated into the Draft Council Community Plan for 2006/16 which is then subject to public submission through the special consultative procedure," Mr Burns said.

A series of seven public working party meetings have been scheduled to take place from November 16 to February 1. The first half hour of each meeting would allow members of the public to address the working party directly.

"People can also make a written submission if they prefer which can be addressed to me," Mr Burns said.

ENDS

For further information please contact Stewart Burns 03 441 0499

By: Tamah