The Hutt City Council could increase rates by 0.6% to cover a $840,000 financial hole for local swimming pools.
By Justin Wong of Local Democracy Reporting
Early budget documents for the next annual plan show the council expected to lose $550,000 of income from the pools next financial year but costs to run Lower Hutt's three all-season pools and three summer pools would go up by $290,000.
The plan suggested covering the deficit with a 0.6% rates increase. That was yet to be publicly consulted and decided by councillors.
Mayor Fauono Ken Laban said the numbers showed the pressure that councils were facing as rising costs were hitting basic community services. The council's focus was on carefully reviewing spending, making sure every dollar was where it should be and listening to public feedback before making final calls, he added.
"Pools are important places for kids, families and community wellbeing, and we do not want cost to become a barrier."
The council papers partially attributed falling revenue to fewer people signing up for swimming lessons because of economic conditions and enrolments potentially moving to the refurbished H2O Xtream in Upper Hutt, which returned as a lesson provider after its re-opening last year. Falling swim lesson enrolment was also seen at pools around the country, it said.
It also blamed fewer general admissions on cost of living pressures and last year's cryptosporidiosis outbreak linked to the region's swimming pools, where public authorities reported more than 90 cases of the highly contagious stomach bug.
Running costs, such as power and water bills, were set to go up $290,000, which were "unavoidable" because they were essential to keep the pools open.
There were no plans to change swimming lessons fees because they were an essential skill education, but the papers described a potential lever to shave costs was to cut pool opening hours. Other considerations for councillors included major refurbishments for the Stokes Valley swimming pool and Wainuiomata summer pool within the next decade.
The 0.6% rates increase for the swimming pool budget was part of the proposed average rates increase of 9.5% for the coming year, after the council handed costs associated with water to the new metropolitan water entity, Tiaki Wai Metro Water.
Council officials also told councillors in a December meeting they had been developing a "targeted operating model" to find more savings, after earlier budget process "exhausted" smaller-scale opportunities to find spending cuts, like shortening opening hours, axing programmes and increasing fees and charges.
However, more details would be released only in February.
Local Democracy Reporting is local body journalism co-funded by RNZ and NZ On Air
SHARE ME