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Federated Farmers Advocacy Keeps Council Rates in Check, Easing Financial Strain on Rural Communities

New Zealand 05.11.2024
Source: DairyNews.today
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Federated Farmers has successfully championed rural interests in council rate discussions across New Zealand, delivering financial relief to farming communities. By mobilizing local farmer leaders to advocate alongside policy staff, Federated Farmers has strengthened its position against significant rate increases, ensuring that rural perspectives are more visible in council decision-making.
Federated Farmers Advocacy Keeps Council Rates in Check, Easing Financial Strain on Rural Communities
“It’s always more effective to put a face to a cause,” said Federated Farmers local government spokesperson Sandra Faulkner. While councils can more easily overlook policy submissions, she explained, the presence of farmers in council chambers brings the voice of rural families directly to decision-makers. This approach fosters a climate where council members are more inclined to scrutinize proposed budgets closely.

Federated Farmers reviewed 66 district and regional council financial plans this year, focusing on the 10-year Long-Term Plans that include substantial rate increases averaging 15% nationwide. Many rural properties face higher rates under a system that bases charges on land and capital values rather than actual use of council services, which, Faulkner noted, is a particularly unfair burden for farmers. Federated Farmers promoted a “back-to-basics” approach, arguing that council costs should align with the principle of “who benefits pays.” They advocated for per-property charges, targeted rates, and rural differentials to reflect rural residents’ limited use of council services.

Their efforts led to several notable wins:

Kaikoura: In a key victory, Federated Farmers helped reduce the rural differential from 90% to 80%, saving the average farmer nearly $900 annually by adjusting the share of general rates applied to rural properties.

Hawke’s Bay: After extensive advocacy, the regional council transitioned from a land value-based rating system to a capital value-based system, projected to save farmers as much as $1,000 per year.

Carterton: A proposal to remove the 80% rural differential was defeated, preserving an annual saving of $919 to $1,225 for rural ratepayers.

Horizons Regional Council: Federated Farmers persuaded the council to increase the regional funding share for drainage schemes from 10% to 30%, recognizing the broader community benefit of land protection.

Waitomo: Federated Farmers advocated for a higher rating differential on forestry land, resulting in a 300% differential on exotic forestry properties to better reflect their impact on road maintenance.

Faulkner highlighted Federated Farmers’ success not only in rate debates but also in pushing back against costly regulations and unfavorable district plan changes. She encouraged more farmers to consider council roles to amplify rural perspectives in local governance, especially with local body elections approaching next October.

“For those who want to support their rural communities, standing for election is an effective way to drive meaningful change,” Faulkner said, urging farmers interested in running to seek support from Federated Farmers.

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