Rates Movements 2018-28 Rates Movements 2018-28 Total Rates and Charges for 2018-19 are estimated at $67,201,782 (GST exclusive). This represents an increase of $2,676,413 (4.15%) on last year’s levy. The rating effect will be different for individual properties because of the varying effects of the recent District-wide revaluation; movements in general-type rates not impacting uniformly on all geographic rating areas; and movements in targeted separate rates (such as Sewerage and Water etc) affecting only those properties able to receive these services Significant contributors to the overall rates increase are as follows: General Rates and Charges Community Facilities $805,569 Increased operating costs are budgeted for: • Increased costs of maintenance contracts, excluding Reserves, following tendering on the open market • Debt servicing costs for new projects • Overhead allocation • Insurance for halls and reserves • Depreciation for public conveniences. Environmental $515,959 More resources are required to implement the Proposed Marlborough Environment Plan, as well as the range of National Environmental Management Policy Standards and Regulations. Community Support $452,686 The increase is due to : • Expected increased uptake of energy efficiency schemes • Events Management previously in Regional Development • Smart and Connected Communities now included, previously included in Regional Development and roading activities • Maintaining and enhancing the region’s heritage assets. Libraries $303,342 Increased depreciation and operating costs resulting from the opening of the new purpose built Library and Service Centre in Picton. The new Library budget has been reclassified into library services from customer services. Biosecurity (Pest $108,021 Increased funding for the implementation of the proposed Regional Pest Management Plan and the Biosecurity Strategy. Management) Harbours ($78,906) Internal allocation of navigation levies has reduced rates, offset by increase in contract costs for navigation safety information. Building Consents ($116,088) Increase in consent building fees from increased activity, value of work and fee increase. In part this has been offset by increase in personnel costs due to increased compliance to achieve building warrant of fitness, compliance schedules and meeting the requirements of the Earthquake-Prone Buildings Act Emergency Management ($353,361) Fire Protection operations ceased as they were taken over by Fire Emergency New Zealand. Targeted Rates and Charges Combined Water $433,176 Increased depreciation and overhead allocation plus reduction in utilisation of Water Reserves built up from previous years. Offset by reduced interest costs from interest rate reduction. Wairau Valley River Works $264,324 Increased debt servicing costs for the Wairau Tuamarina and Ruakanakana (Gibson) Creek floodway upgrades and ongoing Wither Hills soil conservation. Water Awatere Rural $122,303 Increased depreciation and operating costs. Combined Sewerage $106,573 Increased depreciation and treatment costs. Offset by reduced interest costs from interest rate reduction and increased funding of debt servicing costs from the Infra Upgrade Reserve Additional information in support of the summarised rate movements is included in the Rates Movement section and Funding Impact Statement of this Long Term Plan. 2018-2028 Long Term Plan Page 290