Annual Plan | Mahere ā Tau 2022/23
The Annual Plan | Mahere ā Tau is our commitment to Cantabrians for the activities and outcomes we’re planning to deliver in 2022/23.
Every three years we put together a long-term plan. On the other years an annual plan outlines the activities and budget for the upcoming financial year.
Changes from the Long-Term Plan
While the activities in the Annual Plan largely align with Year 2 of the Long-Term Plan 2021–31, we will make a few changes to address some of the challenges and opportunities that have arisen over the last year.
We plan $264.7 million of total expenditure in 2022/23, with $150.2 million funded by rates. A total rates revenue increase of 16.2%.
Council received over 2,800 submissions on the draft Annual Plan in March/April 2022, of which 110 were presented in person during hearings held 26-29 April. Council deliberations took place 24-25 May, and the final plan was adopted at the Council meeting on 16 June 2022.
Find out more about what's included in the Annual Plan
The Annual Plan | Mahere ā Tau is our commitment to Cantabrians for the activities and outcomes we’re planning to deliver in 2022/23.
Every three years we put together a long-term plan. On the other years an annual plan outlines the activities and budget for the upcoming financial year.
Changes from the Long-Term Plan
While the activities in the Annual Plan largely align with Year 2 of the Long-Term Plan 2021–31, we will make a few changes to address some of the challenges and opportunities that have arisen over the last year.
We plan $264.7 million of total expenditure in 2022/23, with $150.2 million funded by rates. A total rates revenue increase of 16.2%.
Council received over 2,800 submissions on the draft Annual Plan in March/April 2022, of which 110 were presented in person during hearings held 26-29 April. Council deliberations took place 24-25 May, and the final plan was adopted at the Council meeting on 16 June 2022.
Find out more about what's included in the Annual Plan
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What does this mean for you?
Public transport fare reductions
Council has adopted a combination of two of the three options presented in the draft Annual Plan to effectively target our goals of emissions reduction and social equity. This will involve a flat fare structure, leading to a fare reduction for all bus users.Flood recovery
Because of the regional significance of the May 2021 flood, Government has committed to co-fund about $7.5 million of the total $20 million required for flood recovery. We will fund our share by borrowing $12.2 million to fund the recovery costs. This will be repaid by general rates over a 10- year term.Flood protection costs in Ashburton
If you live in the Ashburton River/Hakatere rating district, part of your rates bill goes towards maintenance of the flood protection scheme. We will restructure the rating classes, reducing the number of classes from 13 to 6, and including some properties that receive protection from flooding but don’t currently contribute. The changes will more accurately reflect the benefits to residents of the flood and erosion protection. -
The consultation process
Earlier this year we consulted with the public on a draft version of the annual plan. While there are always challenges in determining future community needs and balancing those with the affordability of rates, those challenges are exacerbated by the demands of external influences such as COVID-19. The number of submissions received was comparatively high when compared with previous public consultations.
Council considered all submissions and was able to develop a plan that is still committed to action, while reducing rates increases to an affordable level within the context of those challenges.
Over 2800 submissions were made to our draft Annual Plan, 110 of which presented their submission in person to Council. Your calls for affordability resonated with us. In year 2 of the 2021- 2031 Long-Term Plan we assessed total rates revenue to be $153.5 million. This annual plan reduces that to $150.2 million, a reduction of $3.3 million.
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How did we get here?
While the activities in the Annual Plan largely align with Year 2 of the Long-Term Plan 2021-2031, the changes we have made to address some of the challenges and opportunities that have arisen over the past year will affect the total rates revenue for 2022/23.
In the Long-Term Plan we had planned for $250.2 million of total expenditure in 2022/23, with $153.5 million funded by rates – a total rates revenue increase of $24.3 million (18.8%)
This was amended in the draft Annual Plan 2022/23. We proposed $253.9 million of total expenditure with $160.4 million funded by rates – a total rates revenue increase of $31.2 million (24.1%)
Following public consultation, and in response to the community concern about rates affordability, this has been further amended. The adopted Annual Plan 2022/23 outlines $264.7 million of total expenditure with $150.2 million funded through rates – a total rates revenue increase of $21 million (16.2%)
It’s important to note that the percentage increase in rates will vary by property and location. Check some sample properties on the right hand side of this page.
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What was behind the changes?
New bus fare structure
92% of people who submitted on the draft Annual Plan supported a reduction in bus fares. In response, we will establish a new bus fare structure from February, 2023 for a two-year trial period. This will require a $2.3 million increase in rates revenue.Additional public transport features
Improvements in driver and customer safety, an extension to SuperGold card benefits and inflation will add a further $4.7 million to public transport costs.Borrowing for flood recovery
To fund recovery from the May 2021 flood, we will borrow up to $6.1 million in 2022/23 and up to $6.1 million in 2023/24 and pay that back over a 10- year period from general rates.General reserves
General reserves provide funding for unexpected events and smoothing of expenditure fluctuations. These are replenished from rates as required. To replenish our General Reserve to the $3 million minimum limit noted in our Reserves Policy, $12 million will be borrowed and repaid from general rates over a five-year period.Funding for Waitaha Action to Impact Fund
An additional $0.3 million is planned for the Waitaha Action to Impact Fund. This is a contestable fund for community organisations in Canterbury which aim to build community engagement and action for a better environment in the region.Freshwater Regulatory Framework
We will be using debt funding for the 2022/23 and 2023/24 workstream of the Freshwater Regulatory Framework Package and recovering the costs from general rates over 10 years from the year of borrowing. This will provide a $6.6 million decrease in rates revenue required.Digital operating efficiencies and changes in programme expenditure
A reduction in expenditure and, where possible, the scale of projects, combined with a more streamlined approach to our digital applications, generated a decrease in rates revenue required of $5.8 million.Me Uru Rākau
The Me Uru Rākau programme engages and enables landowners and community groups to protect and regenerate priority ecological catchments – we provide practical advice and support for biodiversity, water quality, mahinga kai, climate change mitigation and adaptation. A deferment in funding will provide a $0.9 million decrease in rates revenue required.
Download the plan
Timeline
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2 March 2022
Annual Plan | Mahere ā Tau 2022/23 has finished this stageConsultation opens
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21 & 29 March 2022
Annual Plan | Mahere ā Tau 2022/23 has finished this stageAnnual Plan Conversations - online drop-in sessions
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3 April 2022
Annual Plan | Mahere ā Tau 2022/23 has finished this stageConsultation closes
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26–29 April 2022
Annual Plan | Mahere ā Tau 2022/23 has finished this stageCouncil Hearings
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24 May 2022
Annual Plan | Mahere ā Tau 2022/23 has finished this stageDeliberations - Councillors meet to discuss submissions and make decisions.
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16 June 2022
Annual Plan | Mahere ā Tau 2022/23 is currently at this stageAnnual Plan 2022/23 adopted