WBOP Council Approves 8.92% Rates Rise After Budget Errors

Western Bay of Plenty District Council has adopted its 2025/2026 Annual Plan with an overall rates increase of 8.92% — higher than the 7.42% originally signalled in the draft plan. The jump came after staff reviewed the budgets and uncovered errors, with general manager corporate services Adele Henderson telling Thursday's meeting that the council was carrying a general rates deficit and needed to rebuild its rates reserve. Changes to loan lengths and repayment schedules added a further $2.3 million to the budget, though staff found $1.4 million in savings through reduced debt costs, personnel reductions — including 13 full-time equivalent positions — and other cuts.

For homeowners, the real-world impact ranges from roughly $114 to $206 extra in rates depending on their property's capital value. Councillor Rodney Joyce acknowledged there had been "a number of mistakes" and called for a proper explanation, while deputy mayor John Scrimgeour described the situation as "a bit of a clean-up," saying it was disappointing not to deliver the figures put forward in February. Councillor Margaret Murray-Benge expressed regret the rise wasn't closer to the rate of inflation, noting that average incomes in several council wards sit between $32,000 and $41,900 — hardly a high-income community.

The council also approved a range of capital projects as part of the plan, including roading network upgrades in Ōmokoroa and Te Puke, improvements to Minden Lookout, staged delivery of the Tahawai and Beach Road concept plans, and the start of the Dave Hume Pool upgrade in Katikati. Separately, Tauranga City Council adopted its own Annual Plan on the same day with a 9.9% rates increase, while the Bay of Plenty Regional Council approved a 3% general rates increase the week prior — well below its forecast of 8.2% — equating to an average rise of just $11 per ratepayer.

Originally published in Katikati News (Sun Media).