Submission To The Budget For The Knox City Council
Wednesday, April 23rd, 2008by Anne Schmid
JUNE 2006
This submission is made with particular reference to the proposed introduction of the waste collection charge.
I ask the question – Are user charges better than rates? What is the next charge going to be? Traditionally councils have relied on rates for their revenue and a push to obtain local revenue from sources other than local land values leaves councils vulnerable to vested interests, pressure groups and anti social forces.
I believe that unless we have local revenues collected from site values all words about community building and equity is merely rhetoric.
Councilors, ratepayers and council advisors must recognize that council services generally, whether a transport system, water reticulation, sewerage, or rubbish collection, enhance land values. Ethically it is on the land values so created that the annual rates should be calculated as in site value rating. CV rating corrupts this to a large extent as properties are rated on improvements as well as site value. User charges disconnects completely any recognition of the relationship between services and land value.
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