Council is required to review these three policies at least once every 6 years (Local Government Act 2002). These reviews are designed to meet this legal requirement. The proposals for each policy are contained in the respective draft policies. The key proposed changes to the policies are outlined below. The largest changes are to the Rates Remission Policy, including removing some existing remissions.
In addition to the changes outlined below, we have made many other changes to the previous policies to update them, to improve the readability of the policies and to reflect legislation changes. You are welcome to make comments on any aspect of the policies, in addition to the specific questions we have asked below.
Draft Policy on Remission and Postponement of Rates on Māori Freehold Land
Purpose
Council is legally required to have this policy. It provides for the remission of rates on Māori Freehold land in recognition that there are particular cultural, historical and legal factors that distinguish Māori Freehold Land from General Land, in particular:
- The land is generally multiply owned; and/or
- There are legislative and cultural constraints on the ability to alienate Māori Freehold Land (and in many cases, the owners do not want to alienate the land) and therefore it is not freely tradeable; and/or
- The land is undeveloped and/or unoccupied for cultural, spiritual or practical reasons.
Council’s proposal for the Policy on Rates Remission and Postponement of Rates on Māori Freehold land is contained in the Draft Policy available here: [nelson.govt.nz and click on the tile for the parallel consultations].
The current policy adopted in 2021 is available here for comparison: https://www.nelson.govt.nz/building-and-property/r...
Key consultation matters | Advantages | Disadvantages | Options |
This Policy is largely the same as the existing Policy. We are proposing some changes to meet new legislative requirements. | The proposed amendments meet the legal requirement to state how the policy supports the principles set out in the Preamble to Te Ture Whenua Māori Act 1993 (TTWMA). | No disadvantage. | Council has no option but to add wording relating to TTWMA, as it is a new legal requirement. However, the wording could be amended. |
Draft Rates Postponement Policy
Purpose
Council can choose to have a Rates Postponement Policy. The rates postponement policy enables Council to provide older ratepayers with more options and flexibility. It lets older ratepayers decide how best to manage their finances and also gives them the opportunity to stay in their houses for longer.
Council’s proposal for the Rates Postponement Policy is contained in the Draft Policy available here: [nelson.govt.nz and click on the tile for the parallel consultations].
The current policy adopted in 2021 is available here for comparison:
Proposed key consultation matters
Key consultation matters | Advantages | Disadvantages | Options |
This Policy is largely the same as the existing Policy. We are proposing some changes to meet new legislative requirements. | The proposed amendments meet the legal requirement to state how the policy supports the principles set out in the Preamble to Te Ture Whenua Māori Act 1993 (TTWMA). | No disadvantage. | Council has no option but to add wording relating to TTWMA, as it is a new legal requirement. However, the wording could be amended. |
Changes to charges. | Costs better reflect the actual cost of administering the rates postponements so that some of the costs do not fall on other ratepayers. | The costs will increase for the applicants for a rates postponement. | The options available to Council are:
Not increasing or decreasing the charges would mean that some of the costs of administering the rates postponements would fall on other ratepayers. Increasing the charges further would mean that applicants pay more than the cost of administering the rates postponements, which may be seen as unfair. |
Draft Rates Remission Policy
Purpose
The rates remission policy is made up of a series of sub-policies that describe the circumstances in which the Council can provide rates remissions. Each sub-policy outlines objectives the Council seeks to achieve by the remission of rates and the conditions and criteria applicants need to meet to receive a rates remission. The Council cannot make any rates remissions that are inconsistent with this Policy.
Council’s proposal for the Rates Remission Policy is contained in the Draft Policy available here: [nelson.govt.nz and click on the tile for the parallel consultations].
The current policy adopted in 2021 is available here for comparison:
https://www.nelson.govt.nz/building-and-property/r...
Proposed key consultation matters
| Key consultation matters | Advantages | Disadvantages | Options |
| The proposed amendments meet the legal requirement to state how the policy supports the principles set out in the Preamble to Te Ture Whenua Māori Act 1993 (TTWMA). | No disadvantage. | Council has no option but to add wording relating to TTWMA, as it is a new legal requirement. However, the wording could be amended. |
| Changes to the rates remission for residential properties in commercial and industrial areas:
| Provides clarity for applicants on how to apply for the remission and makes it clear that land subject to private plan changes will not be eligible for the remission. This is because those landowners have chosen to change their zoning, rather than having the change made through a zoning change initiated by Council. | Landowners making private plan changes may consider it a disadvantage that they are not eligible for a remission. | Council could decide not to make the amendment. This may mean that landowners subject to private plan changes could apply for a remission.Any cost from lost revenue from the remission would need to be met by other ratepayers. |
| Removal of the remission for heritage buildings. | Other ratepayers will no longer need to meet the costs of lost revenue from this remission (approximately $90,000 - $100,000 per year). | Owners of heritage buildings will no longer receive a remission, which will add to their rates costs. This may make it harder for them to maintain the heritage buildings. | Retain the remission which will mean other ratepayers need to meet the costs of the rates not recovered from heritage building owners, totalling between $90,000 - $100,000 per year. |
| Removal of the remission for underground utilities. | This remission has not been used since created in 2002 and officers consider there would not be circumstances where it would need to be used. | Underground utility providers may see removal of this sub-policy as a disadvantage for them as they would no longer be eligible to apply for a remission. | Council could decide to retain the remission for underground utilities. This would leave it open for underground utility operators to apply for a remission. Any cost from lost revenue from the remission would need to be met by other ratepayers. |
| Removing the remission of Clean Heat Warm Homes targeted rate. | This voluntary rate is no longer offered so this section is not needed in the Policy. | No disadvantage. | Council could decide not to remove this remission sub-policy, however, it is redundant as the voluntary rate is no longer offered, so there is no advantage in retaining the wording. |
| Removing the Other remissions deemed fair and equitable section of the Policy. | Council has an extensive remission policy which is likely to cover most circumstances and the remission has not been applied for since its inception and is therefore unnecessary. This type of remission would be costly to administer. | A disadvantage would be if there were extraordinary circumstances where Council wished to provide a remission, not covered elsewhere, then Council could not grant a remission. | Council could decide not to remove this remission sub-policy. If Council wished to retain the sub-policy, the wording would need amending to provide greater clarity on the criteria and procedures.Any cost from lost revenue from Council granting a remission under this section would need to be met by other ratepayers. |
This is your chance to have a say on Councill’s rating policies. We want to hear from you.
Please look through what we propose and let us know what you think by 28 April 2024.
Submissions can be made:
- Online by clicking on the submission button on this page.
- By dropping it off to Civic House, 110 Trafalgar Street, Nelson
- By post to Nelson City Council, PO Box 645, Nelson 7050. Freepost 76919
- By email to submissions@ncc.govt.nz
Consultation information is available from:
- Online at nelson.govt.nz
- Our Customer Service Centre at the corner of Trafalgar and Halifax Streets
- The public libraries in Nelson, Tāhunanui and Stoke
- Or talk to a person by calling us on 03 546 0200 to answer your questions
The Council will inform all submitters that supply their contact details of the final decisions it makes on the rating policies.
Submitters have the opportunity to present their feedback on these policies verbally to councillors, at the same time as feedback on the Long Term Plan 2024 – 2034. These hearings will take place on 9 - 10 May 2024.
