Council confirms 5% rates increase and establishes storm damage fund
Published on 26 June 2026
Council has confirmed an average 5% general rates increase for the year ahead, along with an additional $50 increase to the Uniform Annual General Charge to fund a new storm damage reserve.
These decisions were formally confirmed through a unanimous adoption of our 2026-27 Annual Plan this week.
Annual Plans
The 5% increase halves the 10.1% originally set in the Long Term Plan, reflecting strong community feedback during consultation.
Mayor Ken Couper said Council had listened closely to our community.
“Submitters told us they are feeling the pressure of rising living costs and wanted to see a lower rate increase. As elected members, we have heard the concerns of our community and made a conscious decision to ease that pressure where we can.”
However, Mayor Couper said it was important to be transparent about the implications.
“Reducing the rates increase creates a revenue shortfall. We will manage this through a combination of efficiencies and borrowing. The elected members have been very clear – through a motion put forward last month by Finance Chair, Paul Yovich – that they are committed to finding savings and efficiencies to minimise the need for borrowing.”
Feedback from submitters also highlighted the need for stronger financial discipline, greater transparency and a continued focus on essential services.
In response, the Annual Plan has a commitment to deliver at least $1 million in operating savings for 2026-27, through efficiency improvements, cost control and tighter oversight of spending.
This will be supported by:
- tight control on procurement and discretionary spending
- regular reporting on savings delivery, contracts and workforce costs
- continued review of Council-funded organisations and procurement to ensure value for money and alignment with priorities
- close management of workforce, contractor and consultant costs.
“This is about making sure we are getting the most value from every ratepayer dollar,” Mayor Couper said.
Council agreed to establish a new Storm Damage Remediation Fund from 2026-27 to improve the District’s ability to respond to severe weather events.
The decision follows recent weather events that have highlighted the scale of potential costs, including an estimated $5.4 million cost to Council to repair the January 2026 Russell Road slip at Helena Bay.
The fund has an initial target of $2 million for 2026-27, which will be funded this year through a $50 increase to the Uniform Annual General Charge from 1 July 2026. This is equivalent to a 1.8% overall rates increase, on top of the average 5% general rates increase consulted on in March 2026. Council will explore the option of funding this through a targeted rate as part of the 2027-37 Long Term Plan consultation next year.
Mayor Couper said the fund was a necessary step in improving the District’s resilience.
“We know these events are happening more often and the costs are significant. This fund will help ensure we are better prepared and can respond without placing sudden financial shocks on our community.”
“I’d like to acknowledge Deputy Mayor McKenzie’s leadership of this annual plan process and thank all elected members for working through the many options and trade-offs. This budget balances the need to support our community through some significant economic challenges, while doing our best to ensure our District remains resilient, sustainable and well-serviced into the future.”