Auckland councillors debate mayor Wayne Brown's possible rates increases

4:07 pm on 20 February 2024
Auckland Mayor Wayne Brown

Auckland mayor Wayne Brown is urging councillors to put the rates proposals out for consultation - not argue about them. Photo: Glenda Wakeham

Auckland mayor Wayne Brown has warned councillors they are meeting to decide on a public consultation document for their 10-Year Budget, 'not argue about it'.

Brown's proposal for the Long Term Plan was put forward in 2023, and includes establishing a $3 billion wealth fund for the city, and plans to free up some land at the Ports of Auckland for public use or development.

The draft budget for consultation outlined in the mayoral proposal would require overall average rates increases for residential ratepayers of 7.5 percent, 3.5 percent, and 8 percent respectively, for the first three years, and then no more than 3.5 percent a year after that.

Brown's proposal also includes a "pay more, get more" rates hike up to 14 percent one year, and 10 percent the following two years, and 5 percent subsequently.

Another "pay less, get less" option is also on the cards, with rates going up 5.5 percent in year one, 3.5 percent in years two and three, then no more than one percent "above CPI inflation thereafter".

Part of the proposed consultation covers improvements to the North Harbour Stadium, with $33 million of investment over the next 10 years.

Brown has previously said he wants the broadest range of options to go out for consultation.

Consultation will start at the end of February.

On Tuesday, Brown began by telling councillors the meeting was about adopting the plan for consultation, not arguing about it.

At the start of the meeting Albany councillors John Watson and Wayne Walker aired concerns about plans for North Harbour Stadium.

Walker said there was incomplete information on revenue and expenses for the stadium which would hinder the public's ability to properly submit during consultation.

"This is information so that members of the public can make an informed submission around operational management matters, and have the information, rather than a circumstance where we have absolute obfuscation."

Watson said he too was concerned at consultation documentation. "I'm having real problems with the balance and the neutrality of the content that's been put out here," he said.

Their questioning ended with councillor Richard Hills calling for a point of order, after Walker thanked council staff for their "lack of answers".

Hills questioned council staff on funding for local boards and asked about the real impact of the fairer funding model in the proposed long-term plan, and what it meant for local boards across the city.

The fairer funding model hoped to address legacy imbalances, with a combination of new funding and reallocation.

Brown's response was brief.

"It means there will be some winners and some losers, there'll be some smiling people and some frowning, I suppose," he said.

"We're trying to get a broad view across the whole city, whether they think it's a good move or not."

Funding crisis v spending crisis

During debate, councillor for ​Albert-Eden-Puketāpapa Chris Fletcher said she supported the document, but acknowledged its complexity.

"We are never going to be able to give all of that everybody wants," she said.

Speaking specifically to plans for Ports of Auckland in the proposal, Fletcher said this was a chance to give Aucklanders the understanding that council's position was unsustainable.

"We have to have a departure from the way that we've done things traditionally."

Waitākere councillor Shane Henderson encouraged Aucklanders to engage with elected members.

"Talk to your local board members, talk to your ward councillors, we're here to represent you, this is our job," he said.

"These direct conversations are really, really important so that we can act in your interests."

He too supported the document, highlighting the backdrop for this long term plan.

"It's fair to say local government has a funding crisis," Henderson said.

"It's a mismatch between the services people currently enjoy, not the stuff that they need in the future, the stuff they currently rely on in their lives versus the money needed to pay for it."

But Waitematā and Gulf Ward councillor Mike Lee saw things differently.

"We don't have a funding crisis, we have a spending crisis," he said.

"We have systemic failures in the model we use of outsourcing to ensure value for money."

Lee said he never dreamed he'd be asked to authorise what he called a massive sale of public assets.

"One would have thought that Thatcher-ism, Roger-nomics, and Ruth-anasia was long in the past, but sadly it's not," Lee said.

The council adopted the document, with councillors Lee and Ken Turner voting against, and councillors Wayne Walker and John Watson recording their concerns regarding plans in the proposal for North Harbour stadium.

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