Rating method questioned after bill doubles

According to Gisborne District Council’s website, this year the council will collect $96.8 million in rates. How much you pay depends on (1) the valuation of your property, (2) number of dwellings, (3) number of service connections for wastewater and water, (4) changes to the cost of council services. 

The pamphlet recently posted states how much you pay in rates also depends on how the land is used and where the property is located. 

There are also different types of rates — for example, general rates based on the capital value of your property, and targeted rates such as for wastewater. 

My sibling and I recently purchased the family home and property off our mum. We were all living in the family home. We added a minor dwelling less than 60sq m (after paying $10k to the council for the building consent). I have moved into the one-bedroom dwelling. The property is still a single title (not partitioned) and the dwelling is not rented. The land is still in the same location (Outer Kaiti) and it is still used the same — for example, wastewater usage has not increased. 

In July our rate record was updated; the capital value had doubled. We recently received our 2024-2025 rates bill that has doubled. In particular, there is an increase from one to two charges for all the following: refuse, wastewater, water, general charges, animal control, noise control, stormwater and passenger transport. 

The much-needed speed bump in our road has also doubled from 0 to 00. 

I’m thinking if the council can calculate the increases for rates, then why can’t they at least — for transparency — break down their calculations in the rates bill/invoices? 

That way I can figure out how a minor dwelling not rented and on the same property with exactly the same number of property users before and after it was built, has doubled the rates bill? 

Are you confused like me? It seems that simply if you build a granny flat, your rates are going to double. 

J. Koia