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A 16-year-old has worked his way to a number one ranking for powerlifting in the Waikato. St John's…
Whether it's having a reliable morning routine, a repertoire with customers, or a favourite radio st…
A Waikato mum-of-eight has qualified for the Natural Universe bodybuilding championships. Running o…
WATCH THIS SPACE. Redlid Garden Bins & Bags will be able to provide you a different service soon.
For the first time in close to a decade, Hillcrest High School represented at a kapa haka competitio…
Hi neighbours! I am looking for gardening equipment/tools for a recently-arrived refugee family who want to grow their own vegetables. Things like a spade, fork, trowel, etc. If you have anything spare this would be gratefully received. Thank you!
An Updated ratepayer’s summation of the city’s financial woes
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Hamilton City Council borrows $4 million per year to fund the day to day running of the city. It was identified in March 2017 that there was a $12.1 million hole in the city finances requiring a 11.7-12% rate rise to stem the … View moreAn Updated ratepayer’s summation of the city’s financial woes
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Hamilton City Council borrows $4 million per year to fund the day to day running of the city. It was identified in March 2017 that there was a $12.1 million hole in the city finances requiring a 11.7-12% rate rise to stem the ‘bleeding’. This was confirmed by the Financial Strategy Assessment Report from PricewaterhouseCoopers in July 2017.
Council voted against the 9% amendment and the original motion to increase rates by 12%. The annual 3.8% rate rise introduced in 2012 will remain. Therefore the hole in the day to day running of the city will increase to $16 million next year (2018/19) exacerbating the issue of how to address/fund the shortfall.
Hamilton City Council has $3.2 billion of assets, some falling into disrepair e.g. losing $2-$3 million dollars of water a month through leaks in the infrastructure. Council also incurs annual losses of:
a. $10 million loss on Claudelands,
b. $3 million loss on FMG Waikato Stadium,
c. $3 million loss on the Zoo, and
d. $2 million loss on Seddon Park
Disposal of these losses alone would address (and then some) the $12.1 million shortfall in the day to day operation of the city and prevent an 11.7% - 12% rate rise.
The 2015 Asset Management Plan (AMPs) estimated $1,014 million of capital works is required by 2025. In addition the Waikato Regional Council’s Healthy Rivers Plan for Change imposes replacement cost of $274.6 million for wastewater treatment over the period 2016-45 with annual operating cost of $9.2 million and does not account for future population growth.
Finance (Interest) Cost(s)
2017/2018 Annual Plan
There was much joy and jubilation when Hamilton received approval of $272 million interest free from the Government $1 billion infrastructure fund to fund development of Peacockes. The current debt is $348 million; finance (interest) cost is $21,819,000 (nearly $22 million per year), with a debt to Revenue ratio of 165% or 205% (165% as at 30 Jul 17 – 205% Annual Plan figure). The uplift of $188 million from the Housing Infrastructure Fund (HIF) will push the debt to $536 million with additional cost of $18.8 million per year to pay back the $188 million HIF, takes the annual finance (interest + HIF repayments) cost to $41.019 million and pushes the interest + repayments cost-to-total-revenue to credit card rates of 19.22%, and a debt to revenue ratio of 253.66%. Local Government Funding Authority’s maximum debt to revenue ratio is 250%. To allow headroom for civil emergencies and unplanned events Council considers that a prudent limit is 230%.
Current Finance Cost (Interest) $21,819,000
Plus
Infrastructure Fund Payments $18,800,000
Total Interest + HIF Loan Repayment $40,619,000 per year
Broken down Council (Ratepayers) have to fund/find
Monthly (12) $3,384,916.67
Weekly (52) $781,134.62
Daily (365) $111,284.93 to pay the interest + HIF Loan Repayments.
As well as run the daily operation of the city and fund depreciation of the $272 million of infrastructure at Peacockes. All of this takes no account of 24 Unfunded Plans & Strategies, the 3 largest plans include:
a. Biking Plan ($52m) - Various projects from 2018/19 to 2023/24 to transform Hamilton into a bike-friendly city. Examples of projects include: University route, Widening of the Hamilton river path and State Highway 3 cycle way.
b. Central City Transformation Plan ($39m) - Projects mostly from 2018/19 to 2021/22 to revitalise the central city. Examples include: Upgrade Garden Place, extension of shared zone down Alexandra Street and completing the Collingwood Land redevelopment.
c. Ferrybank Development Plan ($42m) - Capex in 2018/19 and 2023/24 to enable commercial, hospitality and retail development with connections to the central city and the river.
Not to mention:
a. $13.3 million at ‘Waterworld’ www.stuff.co.nz...
b. $15.7 million for the Zoo Plan,
c. $34.5 million on Founders Theatre, www.stuff.co.nz... and
d. other ‘Dreams are Free’ Plans/Projects proposed by Council.
Ratepayers objected to the recent “Free” parking proposal; the majority of submitters (82%) opposed but Council went against their wishes and will implement "Free" parking in October 2017 with the consequential loss of revenue of $650,000 Oct 17 Jun 18 then $1 million per year. Imagine the reaction when they receive their rates to fund $40,619,000 of interest and + HIF repayments and that does not include the day to day operation of the city or the renewal of the ‘clap out’ infrastructure plus any other ‘Dreams are Free’ plan(s)
In the interim there should be no debate or further work on the aspirational 24 unfunded plans. It will take a brave council with some testicular fortitude to curtail the wants and concentrate on the needs of the city. It is believed that the majority do not have the required ability to debate the issue nor the intestinal fortitude to make a decision to address the shortfall and future known costs in the best interests of the ratepayer and the city.
It is believed that council will take the easy option and will impose the cost onto the ratepayer, rating some out of their home.
Thanks to the thousands of Neighbourly Neighbours who entered our draw for a free Ring Video Doorbell! Congratulations to Suzy P. of Auckland for taking home the grand prize!
Even if you didn’t win, we don’t want you to leave empty-handed. To show our thanks, we’re giving you an exclusive… View moreThanks to the thousands of Neighbourly Neighbours who entered our draw for a free Ring Video Doorbell! Congratulations to Suzy P. of Auckland for taking home the grand prize!
Even if you didn’t win, we don’t want you to leave empty-handed. To show our thanks, we’re giving you an exclusive $40 discount only for Neighbourly members.
To claim your discount, simply go to Ring.com and purchase a Video Doorbell or Security Camera. During the checkout process, enter promo code NEIGHBOURLY40 to save $40 on your new device. The promo code will expire on August 31, so be sure to redeem it soon. Limit two per household.
Ring sends alerts to your phone, tablet and PC whenever motion is detected. Answer the alert, and you can see, hear and speak to people on your property from anywhere. With Ring, you’ll never miss another visitor. Because with Ring, you’re always home.
Saturday 19 August is World Orangutan Day. Sadly, these beautiful animals are under threat. How can you help? By making sustainable choices. Many of our wood and paper products are FSC certified, which means the wood content is sourced from sustainable forests and plantations. When you choose … View moreSaturday 19 August is World Orangutan Day. Sadly, these beautiful animals are under threat. How can you help? By making sustainable choices. Many of our wood and paper products are FSC certified, which means the wood content is sourced from sustainable forests and plantations. When you choose these products, you’re helping to protect forests and the animals that call them home. Find out more.
Opinion: Sometimes good things come in threes, some other times, they come in fives or sixes – I hav…
Would they be interested in being part of our Youth Advisory Group? Registrations of interest have opened for a new youth advisory group and online youth forum for education.
Encourage them to register their interest for this exciting opportunity to have a say in our education system. … View moreWould they be interested in being part of our Youth Advisory Group? Registrations of interest have opened for a new youth advisory group and online youth forum for education.
Encourage them to register their interest for this exciting opportunity to have a say in our education system. Register here today
Hello neighbours,
We are just left with two more intakes for this year. So, again here is another opportunity to help out in our community and to become a Refugee Support Volunteer (RSV) with the Red Cross. RSVs are placed in teams to assist newly arrived refugees during their first 3-6 months in … View moreHello neighbours,
We are just left with two more intakes for this year. So, again here is another opportunity to help out in our community and to become a Refugee Support Volunteer (RSV) with the Red Cross. RSVs are placed in teams to assist newly arrived refugees during their first 3-6 months in Hamilton. The support is very practical: setting up a house, showing the new arrivals around Hamilton, assisting them with doctors, schools, grocery shopping etc... A free training course starts on Thursday 31st August (ONLY evening sessions). Contact: Shally Arora; phone: 07 960 7285 email: shally.arora@redcross.org.nz;
Auction
Marketed by David McGuire
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