Recently I saw the Minister for the Environment Hon David Parker react to the Horticultural growers on TV1. Horticulture New Zealand is getting increasingly concerned that valuable horticultural land is being swallowed up by housing or by lifestyle blocks.
For ages I have had in my mind that local rates should always be struck on the basis of land values not capital values. So I wrote the following letter to the Minister for the Environment. It was easy to find his email but I don’t expect a reply for ages.
to d.parker 28 April, 2019
I am delighted you have stated you would like to protect soils that can grow vegetables.
As someone who spent three years on a 3ha lifestyle block in Otaki I can say that our rates were very similar to rates on a good half acre property in the Otaki village which was wrong.
This is a suggestion:
Make sure the rates are dependent on the area of valuable land. This is really equivalent to saying rates should be based on land values. The fact that councils can by law choose between rating on capital value and rating on land value (plus others) is wrong. Councils should be forced to rate on land values which is less regressive. It protects valuable land, and encourages compact cities. It has been the legacy of neoliberal economics to train council officers to recommend rating on capital values. Local politicians rarely give a thought to the underlying principles of rating system these days. Tragic.
I know other factors will be involved like the effect of zoning, but I also know this is a critical issue for New Zealanders future and I greatly respect you as a good thinker who sincerely wants the best for the most.
Thank you
Deirdre Kent