Auckland Council plans 4.9% rate increase
The new Auckland Council is planning a 4.9% overall rate increase to fund $2.5 billion of spending in the year starting July 1 this year.
According to the council’s draft annual plan it is proposing to spend $1.8 billion on providing services for the region and $773 million on capital projects.
To pay for these capital projects Auckland Council will borrow an additional $346 million in 2011/2012.
Mayor Len Brown said that without any intervention, the starting point for the overall rate increase would have been 9.4%.
“This was clearly not acceptable and we have set a maximum of 4.9% with an expectation that efficiency savings will be found.”
The council needs to save $62 million to get to this target.