Agenda of Extraordinary Council meeting

30 June 2025

5 Reports

25.13.2 Adoption of the 2025-34 Long-term Plan

Doc ID: 2497596

Report Author:	Donna McKewen, Acting Chief Financial Officer
Reviewed and authorised by:	Saskia Righarts, Group Manager – Governance and Business Services

1. Purpose of Report

To adopt the 2025-34 Long-term Plan along with the 2025-26 fees and charges schedule.

Recommendations

That the Council

A. Receives the report and accepts the level of significance.

B. Approves and adopts the revenue and financing policy 2025-31 for inclusion in the 2025-34 Long-term Plan

C. Approves the Long-term Plan 2025-34 detailed in Appendix 1, including the 2025-26 fees and charges as detailed in Appendix 2

D. Receive the auditor’s opinion for the 2025-34 Long-term plan

E. Adopts the 2025-34 Long-term Plan and auditors’ opinion in accordance with Section 95 of the Local Government Act 2002.

F. Requests the Chief Executive Officer to prepare the final 2025-34 Long-term Plan including any amendments from the Council, auditors and legal representative.

G. Requests the Chief Executive Officer to formally advise the submitters of Council’s decisions.

2. Background

The Local Government Act 2002 (S 93 and 93A) requires Council to prepare and adopt a Long-term Plan (LTP) every three years. Under normal circumstances Council would have prepared an LTP for adoption 30 June 2024.

Due to the new Government’s significant policy changes and uncertainty around proposed delivery of water services (drinking water, wastewater and stormwater), councils across the country were given the option to delay Long-term Plans by one year and prepare instead an enhanced Annual Plan. Council took this option. There is now more clarity on expectations from Government and Council is developing a plan for delivery of water services. Council’s long-term plan is for nine years and covers the period from 2025 to 2034 and reflects those changes to the delivery of water services.

3. Discussion

Following the 2025-34 Long-term Plan consultation period the Council met on the 15May 2025 to listen to submitters that wished to be heard. Overall 903 submissions, and one staff submission was received. For this Long-term Plan a youth survey was run, which asked similar questions about the consultation topics. A total of 313 youth submissions were received.

In the deliberations meeting held on the 20 May 2025 the councillors reflected on the community’s feedback on the consultations key issues. As a result the following decisions were made:

· Volumetric water charge was set at $1.60 per cubic meter for 2025/26 and then increasing to the proposed $2.40 per cubic meter for 2026/27.

· Community halls and facilities:

o The following halls and facilities to remain under council ownership: Ophir hall; Poolburn hall; Becks hall; Clyde hall; Clyde Museum (Blyth st); Clyde Railway station; Millers Flat hall; Ranfurly hall; Wallace Memorial rooms; Naseby hall; Naseby General Store and Centennial Milk Bar.

o Fenton Library building to remain under council control

o The following halls and facilities to be divested subject to further discussion: Patearoa hall; Waipiata hall and Wedderburn hall.

o The following halls and facilities to be divested: Vallance Cottage; Clyde Police Lock Up; Briar Herb Museum and Cottage; Clyde Goods Shed; Millers Flat Bowling club and Roxburgh Squash club.

o The old Alexandra Riding for the Disabled building to be demolished.

o The Ranfurly Service Centre to be divested as part of the Long-term Plan 2027-37.

· Agreed to accept the Ida MacDonald Roxburgh Pool Punawai Ora to be vested to Council.

· Agreed to retain the Alexandra outdoor pool with further review in the 2027-37 Long-term plan.

· Agreed to fund up to $1.6M of additional funding for the completion of the Manuherekia Valley Community Hub.

· On the basis that there is no offer for Central Otago to host a South Island supercars event no funding is to be allocated.

· Agreed to support both the Dunstan High School and Maniototo Area School artificial turf grants.

· Agreed to continue investigation a joint CCO model for water services delivery.

· Agreed to allocate income from mining agreements with Hawkwood mining to the roading emergency works fund and the emergency event fund.

· Agreed to reduce the rates contribution towards the roading emergency works fund from $165k to $100k for 2025/26.

· Agreed to fund the Blossom Festival $24,500 from the District Tourism reserve fund for 2025/26 and 2026/27.

As a result of the Ida MacDonald Roxburgh Pool Punawai Ora vesting the Roxburgh Pool to the Council, the admission charges for the pool have been added to the fees and charges. The admission charges are consistent to those charged under the previous management.

The total average rates increase for year one of the LTP is 12.47% (adjusted for growth of 2.1%). This is a reduction of 0.54% from the average rates increase of 13.01% that was consulted on. This was impacted from the decisions made during deliberations. The individual rates’ increases will vary depending on the services received and how the property valued. The LTP prospective financial forecasts show a balanced budget for the LTP. To achieve this council will rely on land sales across the 9 years of the plan. If these sales are not achieved the council will not achieve a balanced budget in the 9 years of the plan.

The LTP considers the transfer of Three waters assets to a council-controlled organisation (CCO) and the financials show this impact. Rates will increase on average over the next two years by 9.99% (adjusted for growth of 2.1%). This will decrease significantly in year 3 of the LTP by (29.48%) when Central Otago District Council is proposing to transfer three waters to the CCO and will no longer be collecting rates for Three waters activities.

External debt is expected to peak in year 2 at $141M, increasing from the Annual Plan 2024/25 planned debt level of $88M. This will decrease to $31M in year 3 and further dropping to $8M by year 9. It is expected that the three waters debt will transfer to the CCO in year 3.

There are risks associated with the proposal to create a regional CCO to deliver water services. Councils who have indicated their preference to create a regional entity, may not join with us. This will mean the Council will proceed to set up a single council CCO. Council has undertaken a more extensive consultation around water reform to comply with the current legislation and the preferred option is to create a regional CCO. However, the outcome of this consultation will not be known until after 10 July when council will hear submissions and decide which option it wishes to take. Council will also be required to submit a water delivery plan to the Department of Internal Affairs for approval. It is anticipated that approval will occur after 3 September 2025.

The Council has employed a transition manager to oversee the transition of the delivery of the three Water services from Council ownership to CCO. There are many unknowns including the management structure and fees, the Board and the Chief Executive, along with the Council’s operating structure going forward. The shared investment in the new CCO is calculated on the net asset assumption, which includes the fair value of the assets less liabilities (borrowing). The percentage of the Council ownership will be dependent on the final number of councils that join the CCO. There is a key assumption that the level of ownership of the regional CCO will be consistent with relative contributions of net assets by each council joining the CCO.

4. Financial Considerations

This decision is in-line with the overall plans and budgets of the 2025-34 Long-term Plan. It also ensures compliance of the Local Government Act 2002 and Local Government (Rating) Act 2002.

The financial impact of adopting this plan and any amendments (if applicable) are significant as it determines the operational and capital expenditure for the 2025-34 Long-term Plan and how these are funded from rates, activity revenue, reserves and loans.

The average rates increase is 12.47% for year 1 of this long-term plan. This

number includes the modelling for the preferred options for each of the nine consultation items as well as an allowance of 2.1% for growth.

5. Options

Option 1 – (Recommended)

That Council adopts the 2025-34 Long-term Plan and sets the fees and charges for the 2025-26 financial year.

Advantages:

· Meets legislative requirements.

· Allows Council to collect the relevant fees and charges.

· Continues with the programme of work contained within the 2025-34 Long-term Plan.

Disadvantages:

· None.

Option 2

That Council does not adopt the 2025-34 Long-term Plan, set the fees and charges for the 2025-26 financial year.

Advantages:

· None.

Disadvantages:

· Breach of Local Government Act 2002, Local authorities must have at all times a Long-term Plan under Section 93 of the Local Government Act 2002.

· Does not allow Council to assess and collect rates for 2025-26 which would result in significant financial implications for council.

· Does not allow Council to collect the relevant fees and charges.

6. Compliance

Local Government Act 2002 Purpose Provisions	Local authorities must have at all times a Long-term Plan under Section 93 of the Local Government Act 2002. This has been supported by a consultation process which enables democratic local decision making and action by, and on behalf of the community. AND This decision promotes the (social/cultural/economic/environmental) wellbeing of the community, in the present and for the future by giving consideration to the communities preference for their district included in the 2025-34 Long-term Plan.
Decision consistent with other Council plans and policies? Such as the District Plan, Economic Development Strategy etc.	Yes
Considerations as to sustainability, the environment and climate change impacts	These have all been considered as part of the 2025-34 Long-term Plan.
Risks Analysis	The risk if Council does not consider the setting of the rates in conjunction with the 2025-34 Long-term Plan is that Council will be in breach of the legislation.
Significance, Consultation and Engagement (internal and external)	The decision to adopt this report is significant as adoption will approve the 2025-34 Long-term Plan; and the confirmation of the 2025-26 fees and charges. The special consultative procedure was used in the process in accordance with the Local Government Act 2002.

7. Next Steps

The 2025-34 Long-term Plan will come into effect on 1 July 2025 and will be used as the primary financial and non-financial performance plan for the 2025-26 year.

Rates assessments and invoices will be provided to ratepayers from July 2025 onwards, as required in the Local Government (Rating) Act 2002.

The Rating Policy will be made available on the Council website, along with Council’s resolution from this report.

Once the 2025-34 Long-term Plan has been adopted it will be published on our website and a notice placed in Council’s Noticeboard in The News.

8. Attachments

Appendix 1 - 2025-34 Long-term Plan ⇩

Appendix 2 - Fees and Charges Schedule 2025-26 ⇩

30 June 2025

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25.13.3 Setting of Rates for the 2025/26 Financial Year

Doc ID: 2497874

Report Author:	Donna McKewen, Acting Chief Financial Officer
Reviewed and authorised by:	Saskia Righarts, Group Manager – Governance and Business Services

1. Purpose of Report

To resolve the setting of the rates, due dates and penalties for rates for the 2025-26 financial year.

Recommendations

That the Council

A. Receives the report and accepts the level of significance.

B. That the Central Otago District Council resolves to set the following rates under the Local Government (Rating) Act 2002, on rating units in the Central Otago District for the financial year commencing 1 July 2025 and ending on 30 June 2026.

General Rates

A General rate set on land value of the land under section 13 of the Local Government (Rating) Act 2002 on all rateable land. The Council sets a differential general rate on the land value of all rateable rating units in the district as set out in the table below:

CATEGORY	Factor(s) for calculation of liability	Rate per $ of Land Value (GST inclusive)	Total revenue sought from this category (GST inclusive)
All Other Properties	Land value	$0.0013953	$14,116,869
Large Dams	Land value	$0.2942774	$1,627,354
Paerau Dam – Maniototo	Land value	$0.1193186	$70,398
Teviot Power Scheme – Roxburgh	Land value	$0.1659184	$152,645

Uniform Annual General Charge

A Uniform Annual General Charge set under section 15 of the Local Government (Rating) Act 2002 of $107.00 per rating unit.

CATEGORY	Factor(s) for calculation of liability	Fixed Charge per rating unit (GST Inclusive)	Total revenue sought from this category (GST inclusive)
Uniform Annual General Charge	Rating unit	$107.00	$1,571,577

Water Rates

The Council sets a differential targeted rate set under section 16 of the Local Government (Rating) Act 2002 on all rating units connected to or serviceable by a Council water supply (as defined in the Rating Policy - Funding Impact Statement (FIS)) as follows:

CATEGORY	Factor(s) for calculation liability	Fixed charge $ (GST Inclusive)	Total revenue sought from this category (GST inclusive)
Connected (Lateral Provided)	Per connection	$684.66	$7,845,544
Serviceable (No Lateral Provided)	Rating unit	$342.33	$29,928

Volumetric Water Charges

The Council sets targeted rates for volumetric water charges under section 19 of the Local Government (Rating) Act 2002 at $1.60 per cubic meter on all rating units that are connected to a Council water supply, with effect for readings from November 2025. Reading from 1 July 2025 until November 2025 is set at $0.60 per cubic meter on all rating units that are connected to a Council water supply. As defined in the FIS, as follows:

One unit equals one cubic meter which is 1000l or 1m3.

Water charges – including GST

Meter Reading Area	Cost per Unit $0.60	Cost per Unit $1.60
Clyde, Omakau, Maniototo, Teviot	July 2025	November 2025 March 2026
Alexandra	August 2025	December 2025 April 2026
Cromwell South (split along Barry Ave and SH 6 Cromwell to Luggate) including Pisa	September 2025	January 2026 May 2026
Cromwell North (split along Barry Ave and SH 6 Cromwell to Luggate) including Bannockburn and Lowburn	October 2025	February 2026 June 2026

Ripponvale Water Management Rate

The Council sets a targeted rate for capital contribution to the Ripponvale Water Scheme Upgrade Capital Funding Plan within the Ripponvale community. The rating basis is a fixed charge per rating unit and is applied to those rating units where ratepayers did not elect to make a lump sum payment for their share of the capital contribution to this project.

The Rates Information Database identifies properties that have a targeted rate for capital contribution, and those that made a lump sum payment and to which the targeted rate for capital contribution does not apply.

Sections 117A-M of the Local Government (Rating) Act 2002 relate to Lump sum payment contributions.

The targeted rate is based as a fixed charge for each rating unit for a finite ten-year period as follows:

CATEGORY	Factor(s) for calculation liability	Fixed charge $ (GST Inclusive)	Total revenue sought from this category (GST inclusive)
Ripponvale Water Management (targeted rate payment per year)	Rating unit	$602.57	$37,962

Wastewater Rates

The Council sets a differential targeted rate set under section 16 of the Local Government (Rating) Act 2002 on all rating units connected to or serviceable by a Council wastewater supply (as defined in the Rating Policy - Funding Impact Statement (FIS)) as follows:

CATEGORY	Factor(s) for calculation liability	Fixed Charge $ (GST Inclusive)	Total revenue sought from this category (GST inclusive)
Connected (Lateral Provided)	Per connection	$1,094.44	$10,460,675
Serviceable (No Lateral Provided)	Rating unit	$547.22	$67,594

Additional Pan Commercial Accommodation Rate.

The Council sets a targeted rate under section 16 of the Local Government (Rating) Act 2002 as a fixed charge for each additional pan or urinal after the first, on connected rating units providing commercial accommodation or commercial elderly rest homes as defined by the rating valuations rules 2008. This is calculated at 25% of the Connected (Lateral Provided).

The rates for this service are shown below:

CATEGORY	Factor(s) for calculation liability	Fixed Charge $	Total revenue sought from this category (GST inclusive)
Additional Pan Commercial Accommodation	Per additional pan	$273.61	$206,720

Clyde Wastewater Management Rate

The Council sets a targeted rate under section 16 of the Local Government (Rating) Act 2002 for wastewater management as a fixed charge per rating unit within Clyde (identified by Valuation Roll 28461) not connected to the Wastewater network.

CATEGORY	Factor(s) for calculation liability	Fixed Charge $ (GST Inclusive)	Total revenue sought from this category (GST inclusive)
Clyde Wastewater Management	Rating Unit	$85.01	$54,491

Clyde Wastewater Capital Contribution Charge Rate

The Council sets a targeted rate under section 16 of the Local Government (Rating) Act 2002 for capital contributions to the Clyde Wastewater Reticulation Scheme Upgrade - Capital Funding Plan to properties identified in Stage 1 of the project. The rating basis is a fixed charge per rating unit and is applied to those rating units where ratepayers did not elect to make a lump sum payment for their share of the capital contribution to this project.

Sections 117A-M of the Local Government (Rating) Act 2002 relate to Lump sum payment contributions.

The targeted rate is based as a fixed charge for each rating unit for a finite ten-year period as follows:

CATEGORY	Factor(s) for calculation liability	Fixed Charge $ (GST Inclusive)	Total revenue sought from this category (GST inclusive)
Clyde Wastewater Capital Contribution Charge	Per rating unit	$1,277.00	$176,417

Stormwater charge

The stormwater charge is a uniform targeted rate targeted rate under section 15 of the Local Government (Rating) Act 2002. It recovers the funding required by Council for stormwater purposes. It is assessed on all rating units.

CATEGORY	Factor(s) for calculation liability	Fixed Uniform Charge $ (GST Inclusive)	Total revenue sought from this category (GST inclusive)
Stormwater Charge	Rating unit	$10.92	$160,397

Waste Collection Charge

The Council sets targeted rates under section 16 of the Local Government (Rating) Act 2002 for waste collection for rating units (as per the FIS).

CATEGORY	Factor(s) for calculation liability	Fixed Charge $ (GST Inclusive)	Total revenue sought from this category (GST inclusive)
Waste collection with collection 4 bins (availability of service)	Per rating unit	$598.75	$6,235,123

Waste Management Charge

The Council sets targeted rates under section 16 of the Local Government (Rating) Act 2002 for waste management for rating units with no collection (as per the FIS).

CATEGORY

Factor(s) for calculation liability

Fixed Charge $ (GST Inclusive)

Total revenue sought from this category (GST inclusive)

Waste management charge (no collection from rating unit)

Rating unit

$132.63

$589,515

Waste Collection Additional Bins Charge

The Council sets targeted rates under section 16 of the Local Government (Rating) Act 2002 on rating units provided with any additional service, on a per additional container basis as follows:

CATEGORY	Factor(s) for calculation liability	Fixed Charge $ (GST Inclusive)	Total revenue sought from this category (GST inclusive)
Waste collection additional general refuse bin (red) 240L	Per additional bin	$348.47	$344,642
Waste collection additional general refuse bin (red) 140L	Per additional bin	$203.58	$35,015
Waste collection additional mixed recycling bin (yellow)	Per additional bin	$101.79	$87,843
Waste collection additional glass recycling bin (blue)	Per additional bin	$47.90	$32,955
Waste collection additional organics bin (green)	Per additional bin	$113.76	$14,903
Waste collection upsized household rubbish bin (red) 240L	Per upsized bin	$143.70	$24,142

Community Facilities Charge

The Council sets a uniform targeted rate of $982.61 per rating unit under section 16 of the Local Government (Rating) Act 2002 for community facilities on every rateable rating unit in the district.

CATEGORY	Factor(s) for calculation liability	Fixed Uniform Charge $ (GST Inclusive)	Total revenue sought from this category (GST inclusive)
Community Facilities Charge	Rating Unit	$982.61	$14,434,428

District Library Charge

The Council sets a uniform targeted rate under section 16 of the Local Government (Rating) Act 2002 for library services within the District. The targeted rates will be based as a uniform charge for each rating unit as shown in the table below:

CATEGORY	Factor(s) for calculation liability	Fixed Uniform Charge $ (GST Inclusive)	Total revenue sought from this category (GST inclusive)
District Library Charge	Rating unit	$150.74	$2,214,150

Grants Rate

The Council sets a targeted rate under section 16 of the Local Government (Rating) Act 2002 for Grants within each ward, except Teviot Valley Ward.

For each ward the rate will be on a differential basis, based on the use to which the rating unit is placed (as defined in the table below).

The targeted rates are based on the capital value of all rating units as shown in the table as follows:

CATEGORY	Factor(s) for calculation liability	Rate Factor per $ of Capital Value (GST Inclusive)	Total revenue sought from this category (GST inclusive)
Cromwell Ward
Commercial and Industrial	Capital value	$0.0000822	$84,593
Residential	Capital value	$0.0000153	$62,258
Rural	Capital value	$0.0000118	$33,345
Dams and Utilities	Capital value	$0.0000106	$234
Vincent Ward
Commercial and Industrial	Capital value	$0.0000706	$29,501
Residential	Capital value	$0.0000131	$38,713
Rural	Capital value	$0.0000101	$28,898
Dams and Utilities	Capital value	$0.0000091	$6,736
Teviot Valley Ward
Commercial and Industrial	Capital value	$0.0000000	$0
Residential	Capital value	$0.0000000	$0
Rural	Capital value	$0.0000000	$0
Dams and Utilities	Capital value	$0.0000000	$0
Maniototo Ward
Commercial and Industrial	Capital value	$0.0000441	$2,719
Residential	Capital value	$0.0000082	$3,204
Rural	Capital value	$0.0000063	$7,971
Dams and Utilities	Capital value	$0.0000056	$80

Planning and Environment Rate

The Council sets a targeted rate under section 16 of the Local Government (Rating) Act 2002 for Planning and Environment on all rating units. The rate is based on the capital value of all rating units in the District according to the table below:

CATEGORY	Factor(s) for calculation liability	Rate Factor per $ of Capital Value (GST Inclusive)	Total revenue sought from this category (GST inclusive)
Planning and Environment	Capital value	$0.0001217	$2,226,045

Economic Development Rate

The Council sets a targeted rate under section 16 of the Local Government (Rating) Act 2002 for economic development on all rating units. The rate is based on the capital value of all rating units in the District according to the table below:

CATEGORY	Factor(s) for calculation liability	Rate Factor per $ of Capital Value (GST Inclusive)	Total revenue sought from this category (GST inclusive)
Economic Development	Capital value	$0.0000114	$208,265

Tourism Rate

The Council sets a targeted rate under section 16 of the Local Government (Rating) Act 2002 on a differential basis based on use of all rating units, except those rating units used as sport and recreation, for Tourism. The rate is based on the capital value of all rating units in the district.

CATEGORY	Factor(s) for calculation liability	Rate Factor per $ of Capital Value (GST Inclusive)	Total revenue sought from this category (GST inclusive)
Residential	Capital value	$0.0000750	$577,225
Rural	Capital value	$0.0000577	$445,635
Commercial and Industrial	Capital value	$0.0004026	$622,027
Dams, Utilities	Capital value	$0.0000517	$68,500

C. To set due dates and penalties for the financial year.

Due Dates

Rates for 2025-26 (other than for metered water) be due for payment in four equal instalments on the dates as detailed below:

• 20 August 2025

• 20 November 2025

• 20 February 2026

• 20 May 2026

Penalties

Penalties will be added under sections 57 and 58 of the Local Government (Rating) Act 2002 to unpaid rates (other than for metered water):

• 10% on any outstanding amount of any instalment not paid by the due date.

• The penalty will be applied on 27 August 2025, 27 November 2025, 27 February 2026 and 27 May 2026 respectively for each instalment.

• 10% on amounts outstanding from earlier years, such penalty being applied on 1 October 2025 and 1 April 2026.

Sets the due dates for metered water billing as follows:

Meter Reading Area

Read Period

Billing Due Dates

Clyde, Omakau, Maniototo, Teviot

July 2025

November 2025

March 2026

28 August 2025

8 January 2026

30 April 2026

Alexandra

August 2025

December 2025

April 2026

25 September 2025

29 January 2026

28 May 2026

Cromwell South (split along Barry Ave and SH 6 Cromwell to Luggate) including Pisa

September 2025

January 2026

May 2026

30 October 2025

26 February 2026

18 June 2026

Cromwell North (split along Barry Ave and SH 6 Cromwell to Luggate) including Bannockburn and Lowburn

October 2025

February 2026

June 2026

27 November 2025

27 March 2026

30 July 2026

Penalties will be added for 2025-26 under sections 57 and 58 of the Local Government (Rating) Act 2002 on unpaid metered water rates as follows:

10% on any metered water rates outstanding after the due date.

Meter Reading Area	Penalty Date
Clyde, Omakau, Maniototo, Teviot	4 September 2025 15 January 2026 7 May 2026
Alexandra	2 October 2025 5 February 2026 4 June 2026
Cromwell South (split along Barry Ave and SH 6 Cromwell to Luggate) including Pisa	6 November 2025 5 March 2026 25 June 2026
Cromwell North (split along Barry Ave and SH 6 Cromwell to Luggate) including Bannockburn and Lowburn	4 December 2025 2 April 2026 6 August 2026

2. Background

The Local Government (Rating) Act 2002 requires that rates be set by resolution of Council (Section 23), that due dates be set by resolution of Council (Section 24) and that penalties be set by resolution of Council (Sections 57 and 58).

3. Discussion

There is a requirement for the Council to set the rates for the district every year. The rates being collected determine the operational and capital expenditure for the Council during the financial year as detailed in the 2025-34 Long-term plan.

The resolution has had an independent legal review, and the minor changes that were recommended have been included in this report.

4. Financial Considerations

This decision is in-line with the overall plans and budgets of the 2025-26 financial year. It also ensures compliance of the Local Government Act 2002 and Local Government (Rating) Act 2002.

The financial impact of adopting this plan and any amendments (if applicable) are significant as it determines the operational and capital expenditure for the 2025-26 financial year and how these are funded from rates, activity revenue, reserves and loans.

5. Options

Option 1 – (Recommended)

Council sets the rates for 2025-26 financial year, including setting the instalment dates, application of penalties and the amount of the penalties.

Advantages:

· Meets legislative requirements.

· Allows Council to assess and collect rates for 2025-26.

· Continues with the programme of work contained within the 2025-34 Long-term Plan.

Disadvantages:

· None.

Option 2

That Council does not set the rates for 2025-26 financial year, including setting the instalment dates, application of penalties and the amount of the penalties.

Advantages:

· None.

Disadvantages:

· Breach of Local Government Act 2002, section 95(3) “An annual plan must be adopted before the commencement of the year to which it relates”.

· Does not allow Council to assess and collect rates for 2025-26 which would result in significant financial implications for council.

6. Compliance

Local Government Act 2002 Purpose Provisions	The resolution to set rates, due dates and penalties is a direct result of Council’s adherence to the Local Government (Rating) Act 2002 and the Local Government Act 2002. This has been supported by a consultation process which enables democratic local decision making and action by, and on behalf of the community. AND This decision promotes the (social/cultural/economic/environmental) wellbeing of the community, in the present and for the future by giving consideration to the communities preference for their district included in the 2025-34 Long-term Plan.
Decision consistent with other Council plans and policies? Such as the District Plan, Economic Development Strategy etc.	Yes
Considerations as to sustainability, the environment and climate change impacts	These have all been considered as part of the 2025-34 Long-term Plan.
Risks Analysis	A failure to set the rates by resolution would result in Council not being able to set and collect rates or penalties for 2025-26.
Significance, Consultation and Engagement (internal and external)	The decision to adopt this report is significant as adoption will approve setting of the 2024-25 rates.

7. Next Steps

Rates assessments and invoices will be provided to ratepayers from July 2025 onwards, as required in the Local Government (Rating) Act 2002.

The Rating Policy will be made available on the Council website, along with Council’s resolution from this report.

8. Attachments

Nil


AGENDA Extraordinary Council Meeting Monday, 30 June 2025
Date:	Monday, 30 June 2025
Time:	2:00 pm
Location:	Ngā Hau e Whā, William Fraser Building, 1 Dunorling Street, Alexandra (A link to the live stream will be available on the Central Otago District Council's website.)
Peter Kelly Chief Executive Officer

Report Author:	Sarah Reynolds, Acting Governance Manager
Reviewed and authorised by:	Saskia Righarts, Group Manager – Governance and Business Services