Council finances pass audit

Tauranga City Council has been given the big tick of approval by auditors who say it has correctly set its rates and is not in a dire situation like Kaipara.

Council staff were today complemented by auditors for getting the city accounts out a month early, making the information timely and relevant, says auditor Ben Halford.

Tauranga City Council has passed its audit with a clean bill of health.

Ben told Mayor Stuart Crosby TCC is not in a similar situation as Kaipara District Council, which spent $25million on a sewerage scheme against ratepayer's wishes.

The Mangawhai Ratepayers Association claim the council borrowed millions for the scheme, without consulting them, or showing the debt in its financial impact statements resulting in court action by ratepayers.

The government commissioners tried to prevent the court action and in the decision released yesterday Justice Heath awarded costs against the council and suggested a judicial review take place later this year.

'There's nothing that would suggest you are in that situation,” says Ben.

The answer was in reference to recent criticisms over the council's handling of the Southern Pipeline Project and level of debt.

Tauranga's $100 million Southern Pipeline Project remains in the major projects section of the city pre-election report, with the note: 'Investigations continue into the use of an alternative route and new technology for the Southern Pipeline project.”

The city's council controlled organisations running Baypark and the city's pools network also came through the audit with a clean bill of financial management. The only qualification auditor Athol Graham mentioned is on cash handling in the city pools.

Larry Baldock commented that the directors at one stage considered cameras, but employment rights issues prevented it.

The rates requirement for the 2013/14 year is a gross increase of 2.6 per cent. This includes a growth assumption of 0.6 per cent.

The average general rates increase per property will therefore be 2 per cent, within Council's rate cap of 3 per cent. Rates have been assessed using values from a city-wide property revaluation that took place in 2012.

The council is planning to spend $43.5million on stormwater projects in the next five years. Stormwater modelling work is planned city-wide as part of the integrated stormwater project. Specific areas where urgent problems are identified will be addressed within 18 months and significant projects within three years.

The city is continuing the sale of non-strategic council properties with about $6million expected in the 2013/14 year. Overall returns from land sales are expected to return $26million with most of the land sold by 2016/17.

Three major roading projects are planned at Papamoa in the next three financial years. These include a new interchange at Sandhurst Drive, the completion of the Tara Road upgrade project and the upgrade of Domain Road. All are part of the enabling work required for the completion of the Tauranga Eastern Link project.

Council has agreed to reconsider the proposed extension of the Greerton Library as part of the 2014/15 Annual Plan process.

Improvements will be made this financial year to Cameron Road between 17th and 20th Avenues. This includes four-laning Cameron Road and installing traffic signals at the intersection with 18th Avenue. The project will be jointly funded by the Bay of Plenty District Health Board, the New Zealand Transport Agency and Tauranga City Council.

The pre-election report figures are the ones contained in the audited report and are available here:

http://econtent.tauranga.govt.nz/data/documents/reports/pre_election_report.pdf

5 comments

Where is the surplus?

Posted on 30-08-2013 14:05 | By YOGI BEAR

$3.2m from last year, not paid off debt not shown anywhere so where did that disappear to?


traffic signals

Posted on 30-08-2013 20:18 | By Capt_Kaveman

at 18th ave well i hope not id rather see it turn into left turns only, the traffic lights here are so out of sync


Re: Surplus

Posted on 31-08-2013 10:31 | By groutby

YOGI BEAR.... you expectin' genuine transparency?


Audit NZ

Posted on 31-08-2013 10:33 | By Plonker

Last I heard they were thrown out of Kaipara for a not so good job done. So that means that they are failing to live up to the real world of what is happening at TCC. Everyone is living in fairyland and the Mayor is looking to smooth over the mess until after 12/10/2013.


Smoke and mirrors

Posted on 02-09-2013 16:35 | By Richard Moore

$3.2m surplus has been rolled into this year's surplus of about 4m. What I would like to know is what figures were given by council to the auditor? To say the situation isn't as bad as Kaipara is nonsense - as will be shown in the next few weeks. Kaipara ratepayers owed $10,000 each, TCC ratepayers owe $10,000 each.


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