19 Dec 2012

Kaipara council blames rates revolt for roading delay

9:43 am on 19 December 2012

Kaipara District Council is putting off $1 million worth of roadworks, blaming a rates revolt.

Hundreds of Kaipara property owners have been withholding rates in protest at the former council's cost blowouts, unlawful rating, and attempts to impose huge rate increases.

Council staff say the projected debt level for the year is remains at $78.7 million as expected.

But they have advised the commissioners now running the council that because of the delays in collecting some rates the council might need to borrow more to fund scheduled work on roads and wastewater projects.

Chair of the Commissioners John Robertson says the council has to live within its means and exceeding the debt limit is not an option. He said the council will be sticking to its plan not to borrow for operating expenses.

Kaipara District Council chief executive Steve Ruru said the road works are needed but the council will defer them until it can be sure there is money to pay for them.