Grey District Rating Policies
1. Policy on remission of rates for sporting, recreation or community organisations
Objective of the policy
- To facilitate the ongoing provision of non-commercial (non-business) community services that meet the needs of Grey District residents.
- To facilitate the ongoing provision of non-commercial (non-business) recreational opportunities for Grey District residents.
- To assist the organisation’s survival; and
- To make membership of the organisation more accessible to the general public, particularly disadvantaged groups. These include children, youth, young families, aged people and economically disadvantaged people.
1.1 Conditions and Criteria
The Council shall remit rates where the application meets the following criteria:
1.1.1 The policy will apply to land owned by the Council or owned and occupied by a charitable organisation, which is used exclusively or principally for sporting, recreation or community purposes.
1.1.2 The policy will not apply to organisations operated for private pecuniary profit, or which charge commercial tuition fees.
1.1.3 The policy will not apply to groups or organisations whose primary purpose is to address the needs of adult members (over 18 years) for entertainment or social interaction, or who engage in recreational, sporting or community services as a secondary purpose only.
1.1.4 An application for a new rate remission must be made to the Council prior to 1 June for the following rating year. Organisations with an existing remission will have the remission carried forward unless Council advises the organisation before 31 May that they need to re-apply. Council can request documents as outlined under the under mentioned conditions from organisations receiving a remission in subsequent years.
1.1.5 Organisations making an application should include the following documents in support of their application:
- statement of objectives;
- full financial accounts;
- information on activities and programmes;
- details of membership or clients.
A 50% or 100% remission is available on General Rates, determined on eligibility under above criteria.
The policy shall apply to such organisations as approved by the Council as meeting the relevant criteria. The Council may delegate the authority to make such approvals to the Group Manager Support.
Remissions granted will apply to general rates and the uniform annual general charge. No remission will be granted on targeted rates for water supply, sewage disposal or refuse collection.
1.2 Delegation of decision making
Council confirms that all matters that can be delegated under s.132 of the Local Government (Rating) Act 2002 are delegated to the Chief Executive, Group Manager, Finance Manager, Financial Accountant and Rates Officer.
2. Policy on remission of penalties
Objective of the policy
The objective of the remission policy is to enable the Council to act fairly and reasonably in its consideration of rates which have not been received by the Council by the penalty date due to circumstances outside the ratepayers’ control.
2.1 Conditions and criteria
The Council shall remit the penalty rates where the application meets the following criteria:
2.1.1 Automatic remission of the penalties incurred on instalment one will be made where the ratepayer pays the total amount due for the year on or before the penalty date of the second instalment.
2.1.2 Remission of one penalty will be considered in any one rating year where payment has been late due to significant family disruption. Remission will be considered in the case of death, illness, or accident of a family member as at the due date.
2.1.3 The ratepayer is a beneficiary, earns a low income, or has recently been made redundant or unemployed, is without substantial other income and has exhausted other avenues of relief, and where the ratepayer makes acceptable arrangements for the payment of future rates.
2.1.4 There are extenuating circumstances, e.g. loss of records by fire or theft.
2.1.5 The ratepayer had paid after the penalty date but has not previously incurred a penalty for late payment. (Limited to one penalty per property only).
2.1.6 The ratepayer has completed purchase of the property concerned but has not received notice of instalment of rates, e.g. in the case of a cross lease or subdivision in progress where the rates notices continue to be sent to the previous owner until the end of the financial year, resulting in the new owner(s) incurring penalties.
2.1.7 The ratepayer is no longer able to manage his/her own affairs because of age and/or health issues and another person has assumed responsibility for the payment of accounts (limited to one application per ratepayer).
2.1.8 The ratepayer has contacted Council prior to a penalty date to advise that he/she would not have funds available to pay the instalment charge until after the penalty date, as long as payment is then completed within fourteen (14) days of the penalty date. (Limited to one penalty only).
2.1.9 Where there is a small balance overdue, which is uneconomically small to collect. This may be written off in line with other Council procedures and accordingly penalties will not be applied. (less than $10)
2.1.10 Where the circumstances are such that to not remit some or all of the penalties would be unfair or unreasonable and inconsistent when compared to all the criteria listed above.
2.2 Delegation of decision making
Council confirms that all matters that can be delegated under s.132 of the Local Government (Rating) Act 2002 are delegated to the Chief Executive, Group Manager, Finance Manager, Financial Accountant and Rates Officer.
3. Policy on remission of uniform annual general charges on rating units
Objective of the policy
This policy will apply to rating units which are:
- Used for residential purposes and which include a separately inhabited part occupied by a dependent member of the family of the owner of the rating unit.
- The policy is to provide for the possibility of rates remission where more than one uniform annual general charge is assessed on a rating unit because that rating unit comprises more than one separately used or inhabited part and where the rating unit is used for residential purposes and includes a separately inhabited part occupied by a dependent member of the family of the owner of the rating unit.
3.1 Conditions and criteria
The Council may remit the specified rates where the application meets the following criteria:
- The rating units must be used as the owner’s residence but also contain a minor flat or other residential accommodation unit which is inhabited by a member of the owner’s family who is dependent on the owner for financial support (e.g., a granny flat).
- The owner(s) of the rating unit must complete and provide to the Council a statutory declaration stating that these conditions above apply. Such a declaration will be effective for three years or until the conditions cease to be met, whichever is earlier. A fresh declaration must be completed and provided in order to qualify for consideration for remission beyond the first three-year period.
The rates which may be remitted are as follows:
- Any uniform annual general charge assessment in respect of the rating unit, apart from the first of each.
3.2 Delegation of decision making
Council confirms that all matters that can be delegated under s.132 of the Local Government (Rating) Act 2002 are delegated to the Chief Executive, Group Manager, Finance Manager, Financial Accountant and Rates Officer.
4. Policy on remission of excess water rates
Objective of policy
To standardise procedures to assist ratepayers who have excess metered water rates due to a fault (a leak) in the internal reticulation serving their rating unit.
4.1 Conditions and criteria
The Council shall remit the excess water rates where the application meets the following criteria:
- The policy will apply to applications from ratepayers who have excess metered water rates due to a fault(s)
- in the internal reticulation.
- That all applicants are requested to submit their application in writing.
- That proof of the repairs to the internal reticulation be submitted for verification (i.e., plumber’s repair
- account).
- That the ratepayer be charged the full charge for normal consumption.
- That the balance of the account being the difference to be remitted.
- The remission will not apply for more than one water billing period per financial year.
NOTE: If Council are the ones to notify the ratepayer of a suspected leak and it is not fixed within two weeks there will be no remission for the ratepayer.
4.2 Delegation of decision making
Council confirms that all matters that can be delegated under s.132 of the Local Government (Rating) Act 2002 are delegated to the Chief Executive, Group Manager Finance Manager, Financial Accountant and Rates Officer.
This policy must be applied in conjunction with Council's water supply bylaw.
5. Policy on remission of rates for school wastewater charges
Objective of this policy
To provide relief and assistance to educational establishments as defined in Sections 25 and 26, Local Government (Rating) Act 2002 in paying sewerage charges.
5.1 Conditions and criteria
5.1.1 The Policy will apply to educational establishments as defined in Schedule 1 Part 1 clause 6 (a-b) of the Local Government (Rating) Act 2002. The Policy does not apply to school houses or parts of a school used for residential purposes.
5.1.2 The wastewater charge is the rate that would be levied using the same mechanism as applied to other rating units in the District, divided by the number of toilets/urinals as determined in accordance with the clauses below.
5.1.3 Where the formula is applied and the wastewater charge is higher than the amount that would normally be levied if no formula was applied, the amount to pay would be whichever is the lesser of the two.
5.1.4 For the purpose of clause 1.2, the number of toilets/urinals for rating units occupied for the purposes of an educational establishment is one toilet/urinal for every 20 pupils and staff.
5.1.5 The number of pupils in an educational establishment is the number of pupils on its roll on 1 March in the year immediately before the year to which the charge relates.
5.1.6 For early childhood establishments, the number of pupils is the maximum number of pupils licensed for each session.
5.1.7 The number of staff in an educational establishment is the number of full time equivalent teaching and administration staff employed by that educational establishment on 1 March immediately before the year to which the charge relates.
5.2 Delegation of decision making
Council confirms that all matters that can be delegated under s.132 of the Local Government (Rating) Act 2002 are delegated to the Chief Executive, Group Manager Finance Manager, Financial Accountant and Rates Officer.
6. Policy on remission of rates on GDC owned and/or occupied land
Objective of policy
To account for the rates that are liable for payment by the Grey District Council.
6.1 Conditions and criteria
This policy applies only to rating units for which the Grey District Council is liable for the payment of rates under the Local Government (Rating) Act, 2002.
Amount remitted - Council can decide to remit all or part of the annual levy struck for all or some of such rating units.
6.2 Review process
The policy will be reviewed annually as part of the Annual Plan process.
6.3 Delegation of decision making
Council confirms that all matters that can be delegated under s.132 of the Local Government (Rating) Act 2002 are delegated to the Chief Executive, Group Manager Finance Manager, Financial Accountant and Rates Officer.
7. Policy on remission of rates on land affected by natural calamity
This remission applies to owners where they meet the following objectives and criteria.
Objectives of the policy
To assist ratepayers experiencing extreme financial hardship due to a natural calamity that affects their ability to pay rates.
7.1 Conditions and criteria
Remissions approved under this policy do not set a precedent and will be applied only for each specific event and only to properties affected by the event.
- The Council may remit all or part or any rate on any rating unit where the application meets the following criteria:
- Where erosion, subsidence, submersion or other natural calamity has affected the use or occupation of a rating unit, and
- It is applicable for each single event and does not apply to erosion, subsidence etc… that may have occurred without a recognised major event, and
- Where the Government has established a reimbursement scheme for rates remitted in respect of such properties, and
- The Council can set additional criteria for each event. This is because the criteria may change depending on the nature and severity of the event and available funding at the time.
The Council may require financial or other records to be provided as part of the remission approval process.
7.2 Delegation of decision making
Council confirms that all matters that can be delegated under s.132 of the Local Government (Rating) Act 2002 are delegated to the Chief Executive, Group Manager Finance Manager, Financial Accountant and Rates Officer.
8. Policy on remission of collection of unpaid rates
Objective of this policy
Council will endeavour to recover any unpaid rates and penalties and subsequent collection costs through the provisions of the Local Government (Rating) Act 2002.
8.1 Conditions and criteria
Where it is deemed uneconomic to continue with recovery, an alternative outcome will be decided by Council. (Refer to s91)
8.2 Delegation of decision making
Council confirms that all matters that can be delegated under s.132 of the Local Government (Rating) Act 2002 are delegated to the Chief Executive, Group Manager Finance Manager, Financial Accountant and Rates Officer.
9. Policy on remission/postponement of rates on Māori freehold land
Objective of policy
The objectives are set out in Schedule 11 of the Local Government Act 20023 and the policy supports these objectives.
9.1 Māori freehold land rates remission policy
This policy on Remission of Rates on Māori freehold land is prepared under Section 108 and Schedule 11 of the Local Government Act 2002.
This policy recognises the principles of Schedule 11 and seeks to implement the remissions or postponement policy in support of those principles.
“Māori Freehold Land” is defined in section 5 of the Local Government (Rating) Act 2002 as “land whose beneficial ownership has been determined by the Māori Land Court by Freehold Order”. Only land that is the subject of such an order may qualify for remission under this policy.
9.2 Māori freehold land - nature of the land remission
9.2.1 Remission Period
Indefinitely – so long as the land still qualifies under the policy.
9.2.2 Remission Value
Up to 100% of rates.
9.2.3 Conditions and Criteria
Rates may be remitted on land that meets any of the following criteria:
- The land is occupied, and no income is derived from the use or occupation of that land; or
- The land is better set aside for non-use (whenua rāhui) because of its natural or cultural features or is unoccupied, and no income is derived from the use or occupation of that land; or
- The land is inaccessible and is unoccupied; or
- Only a portion of the land is occupied; or
- Other purposes.
The extent of relief is at the sole discretion of the Council and may be cancelled or reduced at any time.
Examples of “other purposes” are remissions on dwellings and commercial zones, contiguous (not in same ownership but in common usage, and rating units that are used for residential purposes that include separately inhabited part occupied by dependent family members.
Owners or trustees making application should include the following information in their applications:
- details of the property;
- the objectives that will be achieved by providing the remission;
- documentation that proves the land that is the subject of the application is Māori freehold land.
9.3 Delegation
Council confirms that all matters that can be delegated under s.132 of the Local Government (Rating) Act 2002 are delegated to the Chief Executive, Group Manager Finance Manager, Financial Accountant and Rates Officer.
