Daily Archives: January 20, 2014

DCC Draft Annual Plan 2014/15

Here come politics from Liability Cull (spendthrift) and performance checks on integrity and guts of new chief executive Sue Bidrose (spendthrift). For every project they personally endorse come cuts to core business (and frills); and ramped up service charges not yet mentioned —with, yes, a rates increase above the rate of inflation (or DCHL will enter another disguised arrangement to borrow money for DCC to artificially keep rates down, like happened last year). An exercise in bulldust is already underway —this is THE year of driving the overworked Spooks-slaves.

Note: Council consolidated debt last cited (Annual Report) as $623 million. In today’s news, $612 million. Where did the $11 million go?

Councillors could opt not to spend the $633,000, and keep rates at 2.5%, use the money to pay off debt, or invest it in areas designed to save more money over the longer term. –Cull

### ODT Online Mon, 20 Jan 2014
Spending cuts trim rates rise
By Chris Morris
The DCC cannot afford to be ”profligate” when attention turns to its next budget later this week, despite staff trimming millions of dollars of spending to cut the forecast rates increase to just 2.5%, Mayor Dave Cull says. Mr Cull and council chief executive Sue Bidrose were both full of praise for council staff, who had produced a forecast rates increase lower than the council’s goal of no more than 3% for the 2014-15 year.
Read more

Key numbers (via ODT)
Rates: Up 2.5% (target: no more than 3%)
Savings: About $3 million
Cash in hand: $633,000
Debt: $258.4 million (down $6.3 million) – DCC debt only; excludes companies/stadium.

Key dates
• Jan 23-24 (and Jan 27-29 if required): Council pre-draft annual plan public meetings.
• Feb 24: Council meeting to approve draft plan for consultation.
• March 15: Public consultation begins.
• April 15: Submissions close.
• May 7-9: Public hearing on draft plan submissions.
• May 14-16: Councillors’ draft plan deliberations.
• June 23: Council meeting to adopt annual plan and confirm rates.
• July 1: 2014-15 annual plan active.

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The council’s consolidated debt – spread across the council and its companies – stood at about $612 million. However, the council’s share of that, excluding companies, was forecast to drop from about $264 million in 2013-14 to $258 million in the coming financial year. –Bidrose

### ODT Online Mon, 20 Jan 2014
Council set to crest debt summit
By Chris Morris
The Dunedin City Council looks set to reach the summit of its debt mountain and start paying it down over the other side. However, Dunedin Mayor Dave Cull and council chief executive Sue Bidrose have cautioned now was not the time for profligate council spending, and discipline would be needed for years to come.
Read more

The figures (via ODT)
DCC core debt forecast*

• 2013-14 $264.7 million
• 2014-15 $258.4 million
• 2015-16 $249.1 million
• 2016-17 $238.5 million
• 2017-18 $233.8 million
• 2018-19 $226.6 million
• 2019-20 $217.5 million
• 2020-21 $202.6 million
• 2021-22 $187.9 million

* Gross debt, excluding DCC companies.

Posted by Elizabeth Kerr

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