Long Term Plan 2024-2034

Challenge: It's estimated that our District of around 26,000 right now will maintain a steady rise over the medium term, with Council forecasting the South Waikato to have a population of over 34,000 by 2053. Our District averages higher population growth for both young people (0-14) and elderly (65+) than ages in between (15-64).

Aim: Invest in infrastructure to meet growth demand over time, following a growth strategy to ensure sufficient land is zoned to support economic and housing growth. It is crucial to balance the needs of current and future communities, whilst maintaining affordability and understanding the natural environment,

Challenge: Currently the District's unemployment and beneficiary numbers are rising. Since the start of the pandemic in 2020 the South Waikato has seen 20% growth in unemployment to almost double the national average recorded between March 2022 and March 2023.

Aim: Support growth in employment and continue to recognise that lower knowledge levels, skills and experience are contributing factors to the District's challenging unemployment rate.

Challenge: The Not in Education, Employment or Training rate of our District's 15-24 age group is 23%, while recent data shows that our District schooling has at least double the New Zealand average of stand-down and suspension rates.

Aim: Consistent with the last Long Term Plan, Council intends to maintain a focus on working with partners to support growth in educational achievement across our District. Doing so will help our communities thrive in a supported environment where our young people can transition better into employment or further education or training opportunities.

Challenge: Housing affordability is a significant issue because our District's average household income is significantly lower than the national average.

Aim: Maintaining a working partnership with Government and community agencies, Iwi and other stakeholders to support affordable housing growth in the District.

Challenge: Similar to other local governments, Council faces significant economic and fiscal challenges arising from cost increases and infrastructure under-investment in prior years.

Aim: To keep operational costs affordable for ratepayers, Council will review its provision of facilities and services over this period and has budgeted for annual efficiency targets, requiring operational savings to meet these goals. Ensuring Council addresses operating sustainability has an impact on affordability for ratepayers now and in the future but is important. It also highlights the need to be financially prudent.

Council have adjusted our fees and charges so that where appropriate, the user who benefits from the service pays for it rather than being a burden on general ratepayers. There was broad support for this approach, which has now taken effect and is reflected in our updated fees and charges for 2024-2025.

This Kaupapa supports the financial direction we started as a Council in 2023 and it is the best move for our District’s long-term future.

An important community asset that supports the health and wellbeing of our people, Council faced the prospect of losing the South Waikato Indoor Pools forever if there was further inaction on the facility or a continuation of the patch-and-go approach from recent years.

Council has made room for a $17m investment, spread over years one and two of the Long Term Plan, which will future proof the pools for years to come. Delaying the work wouldn't have made a substantial difference to rates and would have created more uncertainty around project costs.

Council would like to see more opportunities for whānau to own their own homes and has developed a Growth Plan to ensure that there is sufficient residential and business land to provide and encourage growth in the District.

If Council is seen to be proactive in providing for growth and encouraging development, it will give developers greater confidence to invest in the South Waikato.

In order to recover costs to continue maintaining these facilities, rent increases were necessary for pensioner housing. Following consultation with the community, Council moved to halve the proposed rent increases for the 2024-2025 financial year and instead spread the increases over two years in order to give residents more time to adjust to the new rents.

Council is changing its approach to community development investment to ensure it aligns with the District's long term goals. A series of hui held in August 2024 – involving Iwi, community leaders and potential delivery partners – will help shape the plan which will then be presented to elected members. The view is to have the new approach in place for the 2025-26 financial year.

Council has budgeted for water meter implementation work to start in year three of the Long Term Plan, subject to consultation with the community as part of the annual plan process for that year. This will assist with leak detection and encourage efficient water use. ensuring services and facilities meet the collective needs of the community.

The upcoming review of the National Policy Statement for Fresh Water could limit Council’s ability to increase the intake of drinking water from streams and rivers. Climate change modeling also suggests future water availability may be constrained, requiring communities to use water more efficiently.

The Long Term Plan (LTP) 2024-34 outlines the Council's vision and strategic direction for the next decade. It includes goals and planned initiatives aimed at fostering a thriving community and robust economy in South Waikato.

The plan was developed through a collaborative process involving the community, elected members, Council staff, and other stakeholders. It included a record number of submissions and appearances at hearings, which helped shape the final plan.

The main goals focus on improving employment, housing, the economy, and the environment. The plan aims to set strong foundations for a better future by addressing these key areas.

The plan includes measures to avoid overspending and commits to an operational efficiency saving of $29 million. Adjustments to fees and charges will also ensure that where possible users pay for services they benefit from, rather than the burden falling on ratepayers in general. The Council also aims to be in the black and to fully fund operational costs by year four of this plan.

The plan outlines a capital expenditure of $270 million for various projects to benefit residents and business owners.

Key investments include a $150 million capital program for ageing three waters infrastructure and a $17 million investment in the South Waikato Indoor Pools.

Rates will increase over time due to significant investments in growth, infrastructure, and legislative compliance, along with recent high inflation and the need to restore operating surpluses. The proposed average rates increases are as follows:

2025-26: 8.9%

2026-27: 8.9%

2027-28: 7.9%

2028-29: 7.5%

From 2029-30 onwards: 3%

The Council has proposed that rates revenue increases will not exceed 9% in any given year.

While the Council may not directly deliver these services, it plays a leadership and advocacy role to encourage better outcomes in education, employment, and housing for the community.