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June 18, 2015 June 2015 No Comments

It’s Annual Plan time again. The time when the District Council invites residents to present suggestions in regard to the coming financial year. In most cases these turn out to be wish list of things which would be nice to have or do.

The problem is that the Draft Annual Plan already proposes a series of rate increases considerably in advance of the rate of inflation. A two or three percent rise does not look much on the face of it. However on the proposed rises a current average a average $2,250 annual rate will rise to $2,570 over five years, an increase of $320.

Meanwhile none of the districts sectors are expecting income increases. Farmers have experienced significant income reductions, retirees likewise find their savings investments incomes dropping by up to half, and with no inflation pensions will not be rising. Most local employment is in low pay industries, CTU figures show that these people are already struggling to meet mortgages, insurance, rates etc. Rate increases which formerly could be reasonably easily absorbed will now be an extra burden for many people.

Now it is time for councillors and Council officers to have a closer look to see if and where reductions can be made. Are contractors being pushed to sharpen their pencils a bit? Are contractors from a wider area being sought. When revamping the Town Square the committee found a Wellington contractor who did an excellent job at a considerably lower price than the Wairarapa companies’ quotes. Are all proposed works absolutely essential, or are there projects which could be postponed or even cancelled? Have all avenues for office supplies been checked out? Are all the social services supported by council giving results in line with their costs?

The council is burdened with must do projects such as providing an adequate water supply and responsible waste water disposal. The question is what can be sidelined to compensate for these expenses?

It’s time for councillors to look beyond the précis of proposed contracts and into the details to see if and where savings could be made or even if further tenders are called for.

For those considering making a submission asking for more or new funding; not this year, hang off. This is not the year for feel good projects, this is the year for living within the ratepayers’ means. For it must be remembered that councils do not have any money, it is your and my money which is being talked about in the Annual Plan.

Mike Beckett

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