Pride in Putaruru & Putaruru Moving Forward – Funding Model Changes

Pride in Putaruru & Putaruru Moving Forward – Funding Model Changes

Our Focus

We are currently considering the future focus of Pride in Putaruru (PIP) and Putaruru Moving Forward (PMF). This is driven by a changing vision, community engagement and changing times. This engagement document outlines the new focus and the funding required to ensure we deliver on the Putaruru Concept Plan. Add to this, a change in staff, some funding anomalies and other changes and it makes this an ideal time to do a complete review.

This post runs you through those… but first a little background.

The Background

PIP has been part of Putaruru for over 20 years. The activity is half funded by Putaruru Ward residents and half by (some) businesses (ie those currently being rated under the Putaruru Business Rate). It delivers a range of services including but not limited to the Putaruru Business Awards, Christmas Parade, Information Service, Business After 5 Ladies Breakfast, The Prattler, picnic tables, among other events and initiatives.

PMF is a newer group working closely with PIP to prepare Putaruru to meet the demands of the future, foster economic growth and drive community vibrancy.

Both PIP and PMF enjoy an excellent relationship with Elected Members and Council staff. This relationship ensures that together we can make significant positive changes in Putaruru.

The activities of PIP and PMF contribute greatly to the economic and community development of Putaruru.

Survey

There is an online survey available at the bottom of this information. We encourage you to read the information first before completing the survey. We suggest too that if you have questions please contact

• Stu Edmeades (Putaruru Moving Forward) on 0274 409 899; or

• Ben Smit (Council’s Deputy Chief Executive) on 021 436 580

FEEDBACK PLEASE BY 17 JANUARY 2018

Current Situation

The PIP contract with Council is up for renewal. The contract is currently $66,125 (incl GST) and has not been increased for a decade.

The scope and current level of funding does not cover the full extent of activities that both groups are now involved in. These new areas were developed over the last few years in response to community and business feedback. Some of these larger projects include the tidy up of the town centre (CBD area), the development of the Putaruru Concept Plan, involvement in the Putaruru Growth Plan and attracting new business to Putaruru.

The Putaruru Concept Plan needs further development to achieve the outcomes that came from community feedback.

The Future

The Putaruru Concept Plan identifies five work streams:

• Facilitating a strong sense of community
• Planning for residential growth
• Supporting existing businesses (eg, shop frontages, mentoring, etc)
• Managing community events, information centre and the community focused Prattler
• Encouraging new business development

Extra Resource and Direction

PIP’s current funding employs a part time manager. Our current manager has retired. We have appointed a temporary manager to coordinate events and manage PIP until the end of June 2018.

We believe it is timely for us to employ a full time manager to: 

• Further develop and support the implementation of the Putaruru Concept Plan.
• Provide a community support function, eg extra community events, information service, websites and The Prattler.
• Support business by facilitating mentoring programmes, improved alignment with Waikato Innovation Park, project coordination with PMF and a business development and investment link.
• Develop and maintain a database of land for sale and business opportunities together with a business investment website to highlight our strengths, our good news and the marketing of Putaruru.
• The new manager with work closely with PIP and PMF and with Council Elected Members and staff, the SWIF Trust, Waikato River Trails, local business people, Economic Development Agencies and others to develop Putaruru.

Community Benefit vs Business Benefit

Given the focus of the Putaruru Concept Plan, it is felt that the ‘community in general’ and the ‘business community’ will benefit equally from the outcomes of these activities so it is proposed that the current split of the PIP funding being 50% from the Ward and 50% as a business rate remains status quo.

Additional Funding

To employ a full time manager with the experience to drive business development, facilitate business and community connections, deliver events, develop the website, deliver the information service and other functions we need to increase our funding.

To cover the cost of a full time manager and other increases in costs over the last ten years we are looking for additional funding of $64,400 (incl GST).

As part of the total review we are also recommending a change in the rates funding model based on the benefits and equity.

The current rating model is:

• Putaruru Ward rate – charged at a fixed rate of $24.86 to each property in the Ward.
• Putaruru Business rate – charged on capital value to all properties currently rated on a designated list. The list of business properties is out of date.

The Business Rate

The current list doesn’t include a number of businesses that it should and includes some properties that it shouldn’t.

Most notably we are proposing to exclude the Rangiuru units as they are residential properties, and include some businesses that should be rated. These businesses will be approached individually.

Currently the business portion of the funding works on capital value only. This could be seen to be inequitable, resulting in a small number of higher value properties paying a significant portion of the funding and lower valued properties paying very little.

To make it more equitable it is proposed that half of the Putaruru Business Rate (ie 25% of total funding) be based on capital value; and half as a flat rate per property (ie, 25% of the total funding). This means the split is more equitable across all businesses.

Funding Model – now and proposed

All business rates will be different depending on its capital value (see examples to the right). Figures, incl GST. Most properties fall into either the Property B or C example below. It is impossible to detail the specifics. If you have a question, contact details are on the front cover.

Below are the rating options that compares 2017-18 rates with proposed rates going forward. Figures, incl GST. Properties in the Ward (ie, not businesses) will see an annual increase in rates of just under $10.

* not all of this funding goes to PIP, there are some additional elements funded, eg CCTV cameras, administration costs

Have your say

• Online survey link here.

• Hard copy information engagement flyer (including hard copy survey form) here.