Jokes about Hamilton aside, this kind of sucks.

As someone who lives here it’s sad to see and I’ll get to pay for it through rates rises too!

  • Bakers Doesn't @sh.itjust.works
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    7 months ago

    Not knowing the history (and the article doesn’t delve into it), how did Hamilton fuck up their finances so bad that these are now their only options?

    • eagleeyedtiger@lemmy.nzOP
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      7 months ago

      I suspect kicking the can down the road for many years. Promising not to raise rates wins votes during council elections I suppose.

      • absGeekNZ@lemmy.nz
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        7 months ago

        This is what it is; campaigning on “No rates rises”, will almost always get you a bunch more votes. So investment is always kept to an absolute minimum.

    • TagMeInSkipIGotThis@lemmy.nz
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      7 months ago

      Its not just a Hamilton problem, it extends to essentially all councils, everywhere. They have increasing compliance and service costs but since the reforms in the 80s have realistically only had rates as a way of generating revenue to pay for things. That’s one of the reasons why Three Waters was happening; it was an acknowledgement that there was no way councils could pay for necessary improvements so instead of expecting them to fail, it would be more centralised and allow government to fund it.

      Have a look at the graph Fig 6 in this study which shows how funding for local councils changed over time. https://oag.parliament.nz/2014/assets/part3.htm

      Of course, the services they provided changed as well - they weren’t responsible for power, but the cost to the end user just shifted from going to a council to going to increasingly privatised lines companies etc.