4 September 2020

Media: Local Democracy Reporter

Topic: Building Act changes

Enquiry

NOTE: This is a follow-up to yesterday's enquiry about Building Act change [see HERE]

I'm just after a little bit of clarification with this, particularly this set of questions and answers:

How much were those consents worth in $ figures? The value of work associated with those consents would be approximately $450,000.

What is the drop in revenue the council is expecting with this change? The estimated reduction in revenue is approximately $28,000.

What my question was driving at was how much were those 30 - 40 building consents (that would fall under the exemptions) worth to the council (in terms of fees for those consents).

Therefore I'm a bit confused as to how the $28,000 relates to the $450,000.

I should have been clearer too, with that second [question] - I mean how much does the council expect to lose in revenue as a result of these changes in the next year?

Response

The following clarification was provided:

$28,000 is the approximate amount the 30 - 40 building consents from the previous year that would now fall under the new exemptions were worth to the council (in terms of fees for those consents).

$450,000 is the cost of the building work that was associated with those consents.

As a result of the new exemptions to the Building Act, Rotorua Lakes Council predicts the loss of income be in the vicinity of $28,000 in the next year.

All of the responses can be attributable to Council's Operations Group Manager Jocelyn Mikaere.