Amending two targeted rates

Rates are one of our main funding tools we use to pay for the work we do. We charge general rates and targeted rates. General rates cover activities that benefit the entire region, with no specific groups identified for cost recovery. Targeted rates apply when certain ratepayers cause the need for the activity or benefit more than others in the region. Other sources of funding include grants and subsidies (including central government funding), income from our investments, borrowing, reserves, and fees and user charges.

Council made some key changes in February 2024 to how we set our rates. This followed a comprehensive two-year review of how we rate to make it clear, fair, simple, consistent, and flexible.

Council changed some of our targeted rates including how we rate for passenger transport and for our flood resilience and drainage schemes.

We received lots of feedback and when Council adopted its Three-Year Plan 2024-2027 in July 2024 Council said it would revisit the Passenger Transport rate and the Upper Tukituki Flood Resilience Scheme rate.

Council has done this and is proposing changes to these two targeted rates that we want your feedback on.

These are the two targeted rates we are proposing changes to

About passenger

About passenger transport

We provide the following services which are partially funded through our Passenger Transport targeted rate:

  • a bus service, goBay, that operates in the urban areas of Napier, Hastings, Havelock North, Bay View, and Clive. This includes a commuter express service between Napier and Hastings.
  • a Total Mobility service to assist eligible people with a permanent disability that makes it difficult for them to use our public transport, to instead access alternative subsidised transport services. Total Mobility operates across Napier, Hastings, and Central Hawke’s Bay. It does not operate in Wairoa as the district does not have an approved taxi service.

Regional Council does not operate school buses.

What are we proposing and why

We are proposing a new method for the Passenger Transport rate. This was a big topic of discussion during our Three-Year Plan 2024-2027. Council has undertaken further assessment of who benefits from having access to our services and who should pay.

For more information, see page 24 of our full Consultation Document

About the Upper Tukituki Flood Resilience Scheme

About the Upper Tukituki Flood Resilience Scheme

The Upper Tukituki Flood Resilience Scheme is one of two major flood schemes we administer, the other being Heretaunga Plains.

The scheme covers the low lying historic river plains of the Upper Tukituki River and its tributaries. It protects around 24,750 hectares of land and around 7,000 properties within the scheme boundaries. This includes the urban centres of Waipawa, Waipukurau, Ongaonga, and a small number of properties (130) in the Hastings district.

In line with all our flood schemes we collect a targeted rate (70%) and use the general rate (30%) to fund repairs, improvements, and maintenance work. The targeted rate amount depends on the location of your property within the scheme boundary and is calculated on capital value. The general rate component is also calculated on capital value across the whole region.

Properties within the scheme are assessed as high, medium, or low (known as bandings or rating factors) to reflect the benefit they receive from the scheme. Most properties (5,600) are in the low-banding.

What are we proposing and why

We are proposing a new rating method for the Upper Tukituki Flood Resilience Scheme.

This is to address the cumulative impact of policy changes and increases in activity through our Three-Year Plan 2024-2027 which led to large increases particularly for ratepayers with higher capital value properties in the medium and high bandings.

For more information, see page 32 of our full Consultation Document

Consultation timeline

Tell us what you think

31 March - 2 May 2025
You tell us what you think. You can submit your feedback to us during this time to consider when making decisions.

Speak directly to the Regional Transport Committee

16 May 2025
You can speak directly to the Regional Transport Committee about your feedback on the Regional Public Transport Plan in person at a public meeting called a hearing.

Speak directly to councillors about your feedback

20 - 21 May 2025
You can speak directly to councillors about your feedback on our Annual Plan in person at a public hearing.

Council meet to consider all feedback

28 May & 4 June 2025
Council meet to consider all feedback on our Annual Plan and make decisions about proposed changes. This is called deliberations.

Regional Public Transport Plan deliberations

6 June 2025
Regional Transport Committee meet on the Regional Public Transport Plan and deliberate on proposed changes.

We adopt our Annual Plan

25 June 2025
Council formally adopts its Annual Plan 2025-26, Regional Public Transport Plan, and amended policies. Your rates are then set for 2025-26 and the plans and policies are implemented.

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