Complete the capital works programme as detailed above for the 2021–2031 period
Impact on rates
Option 1 will increase the General Rate over 10 years, based on a property’s capital value as shown below:
| Capital value $ | Annual rate impact of $72m |
|---|---|
| 550,000 | 113 |
| 800,000 | 147 |
| 10,000,000 | 1,385 |
(The rates impact reflects the full roading programme that will be completed progressively over 10 years and assuming the debt is repaid over 20 years. The rate increase above is the impact by 2030/31.)
Cost
The proposed cost is $132 million over the 10 years. This will be funded by a combination of the subsidy from Waka Kotahi NZTA, development contributions from land developers and borrowing.
The approximate funding split is:
- NZTA: $43 million
- Developers: $17 million
- General Rate: $72 million
Impact on debt
We would need to borrow $72 million.
The borrowing will be repaid by the General Rate.
Option 1 is our preferred option because it allows us to work on intersection and safety upgrades and limits the annual general rate increase to 6% per year. Investing more funding in these activities is also what you have told us during the early consultation last year, should be our number one priority.
Consultation has concluded
