Financial matters  |  11 Feb 2020

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Christchurch City Council has adopted a draft budget but is promising to continue working to find ways to bring costs down for ratepayers while still maintaining levels of service.

“The rate increase outlined in the Draft Annual Plan approved by the Council today is lower than forecast in the 2018-28 Long Term Plan (LTP) but our work is far from done,’’ says Mayor Lianne Dalziel.

“Between now and when the budget is finalised in June we will be looking for additional savings and ways of reducing the pressure on the public purse.’’

The proposed rate increase included in the draft budget is 2.74 per cent for a typical household.

The average rates increase across all ratepayers – residential, remote rural and business– is 4.65 per cent, which is lower than the 5 per cent that was budgeted for in the LTP.

The rates collected will be used to fund the Council’s day-to-day operations, debt servicing costs and part of the capital programme.

The Council is also proposing a capital spend of $511.9 million. This money will be invested in new facilities and infrastructure to support the city’s growth.

About a quarter of the Council’s total $1.2 billion spend will go towards providing drinking water, wastewater and stormwater services, 18 per cent will go on roads and transport, while another 12 per cent will go towards providing recreation and sport facilities.

Mayor Dalziel says securing the water supply and continuing to upgrade the city’s roads, footpaths and facilities remains a priority for the Council.

“We’re still working to regain our secure drinking water status. This Draft Annual Plan is focused on meeting the standards we have set in the Water Safety Plan, which we’re hoping will be signed off before this Annual Plan takes effect.

“Every year we hear from residents that they want us to focus on getting the basics done. Improving the quality of our parks, roads and footpaths has a direct impact on residents’ experiences of living in this city.

“We’re the Garden City after all and we’re committed to ensuring we remain so, while expanding on the city of opportunity we have become,’’ the Mayor says.

The Draft Annual Plan 2020–21 will go out for public consultation from Monday 24 February. People will have five weeks to provide feedback.

Where our funding will go in 2020–21

Drinking water, wastewater and stormwater

26 per cent

Roads and transport

18 per cent

Recreation and sport

12 per cent

Parks, heritage and coastal environment

9 per cent

Rubbish and recycling

5 per cent

Libraries

4 per cent

Regulatory and Compliance

4 per cent

Debt repayment

4 per cent

Strategic Planning and Policy

4 per cent

Art Gallery / Museums

2 per cent

Housing

2 per cent

Community development (including Civil Defence, customer services, etc.)

3 per cent

Governance

2 per cent

Other (Other” is made up of unallocated interest costs, and capital expenditure largely relating to the Canterbury Multi Use Arena, IT projects and the Performing Arts Precinct project.

5 per cent