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Outstanding rates still problem in district
Friday, July 13, 2012 • Marino Harker-Smith
GISBORNE District Council is owed $7.5 million in overdue rates as at the end of May.

Outstanding rates continue to be a problem.

A report presented to the council’s finance and monitoring committee yesterday shows that at the end of May the council had $3.5m in outstanding general land rates — an increase of $35,000 for the same period last year — including $507,000 of debt older than one year from 356 properties.

This was eight properities fewer than last year, the report said.

The council also had $4m in outstanding Maori land rates — an increase of $740,000 on the same period last year.

Of this amount, $2.8m is older than one year. There are 664 properties with rates debt older than one year — 40 more than last year.

Finance and committee chairman Brian Wilson said a feasibility study of introducing a credit card payment option for paying rates was “worth looking into” to try to increase rate payments.

Maybe there would be an increase in rates recovery with another payment option, he said.

Mr Wilson said there seemed to be a small amount of progress in terms of reducing debtors.

Some committee members thought it might be a sign of the tough financial times, while others thought that if the council kept “making a fuss” about it publicly, people would just not want to pay.

Deputy mayor Nona Aston said that from her experience of Maori land trustees, she did not think people were deliberately avoiding payment.

“Sometimes we denigrate the people who are trying very hard to get back on their land to make something of it,” she said.

Ms Aston suggested that if some of the penalties were taken away, they might be able to get on with finding solutions.
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