Thursday, October 4, 2007

Fair Rates

Rates are one of the issues that will be on people's minds as they vote in this year's local body elections.

While most people are comfortable to pay rates in order to provide the infrastructure and services needed for a vibrant, growing city, people also want to that any increases are reasonably justified, and that the way their rates are levied is fair.

It is this second point that has received very little attention in the mainstream media, and is a major difference between City Vision and Citizens and Ratepayers.

Citizens and Ratepayers policy is to levy a "uniform annual charge" (UAC) on all households. The UAC is a flat tax - all property owners pay it, no matter what the value of their property. So a modest working family in a $350, 000 home in Mt Roskill pays the same UAC as a wealthy currency trader living in a $2 million Parnell mansion.

City Vision believes that the UAC is fundamentally unfair. It places more of the rating burden on low-middle value property owners, and reduces rates for the very wealthy.

Our policy is to abolish the UAC. This term we have halved it (we didn't quite have the numbers to abolish it completely), and if elected as a majority on Council we will fulfill our pledge to make rates fairer by getting rid of the UAC completely.

The choice is clear - vote Citizens and Ratepayers to give the wealthiest people a rate cut with the rest of us paying more, or vote City Vision for a fair system under which everyone pays their fair share.

4 comments:

Anonymous said...

Shouldn't people pay for the services they use?

Michael Wood said...

I guess that works for our wealthiest citizens, but where would it leave lower and middle income people if they had to pay to go to the local park, swimming pool, library, or even to drive on their local road?

There is a balance to be struck, but City Vision strongly believes that we are all in this together, and it takes everyone contributing according to their ability to make a decent society. Important public services should be funded through progreessive rating, and should be (on the whole) free to access.

Anonymous said...

I do pay to use my local pool. Doesn't bother me none.

Michael Wood said...

Well I guess that's the difference between City Vision and our opponents. We don't just enact policies that work for us personally, but think of the impact on other people, and the community as a whole.