Wairoa District Council says its proposed rates increase of more than 15 percent signals the government that it needed major financial support for its cyclone recovery.
The proposed 15.4 percent hike is nearly double the 7.8 percent increase projected in the council's long term plan.
Most residential and commercial property owners would pay 15 to 16 percent more, while rural property owners would stump up 18 percent more.
The annual plan engagement document currently out for consultation said Wairoa could not recover from the cyclone alone.
"This plan will send a signal to external agencies and the NZ government that we can fund some recovery activities but will still require major external financial support," it said.
It blamed the huge jump from 2021 Long Term Plan projections on other factors, too.
"Since then, we have seen much higher than expected inflation figures, interest rate increases, staff recruitment and retention pressures, significant project, and contract cost escalations and now we face the ongoing costs to rebuild and recover."
The council indicated it would seek external funding while the plan is out for feedback to try and bring down the proposed increase.
Rates rise across Hawke's Bay
Wairoa joined its neighbouring Napier, Hastings and Central Hawke's Bay councils in proposing or adopting rates rises greater than long term plan projections - citing Cyclone Gabrielle as a big factor.
Much of the councils' annual plan progress went out the window after the cyclone hit, with officials rehashing the numbers to deal with significant clean up and recovery costs.
But the regional council bucked the trend, proposing a six percent rates increase - less than half the 14.5 percent projected in the long term plan.
It was also proposing an additional $75 regional recovery charge "to help cover unplanned costs of Cyclone Gabrielle."
Hawke's Bay Regional Council Chair Hinewai Ormsby said council was conscious of cost-of-living pressures and the impact of the cyclone on the community.
"We wanted to strike a balance between keeping rates increases contained where we could, and then resourcing for unplanned cyclone work," she said.
"To reduce the rates increase, we had to make some tough decisions about our previously planned work for the upcoming year."
Hawke's Bay rates increases vs long term plan projections
- Wairoa*: 15.4% (projected 8%)
- Napier: 11.7% (projected 6.9%)
- Hastings*: 8.5% (projected 5.7%)
- Central Hawke's Bay: 11% (projected 6.5%)
- Hawke's Bay Regional Council*: 6% (projected 14.5%)
*Increases proposed, but not yet formally adopted so could change.
RNZ
