30 April 2009

LTCCP: HELLS DANGER

The most disastrous danger with the Nelson City council's LTCCP, is that it is flying in the face of government directions and giving a one finger salute to Minister Rodney Hide, by totally ignoring the government's public statements and directions on the subject of the economic need to bring rates and spending under control, and particularly so in the current economic climate.
Minister Hide has always made it abundantly clear to local government that double digit rate increases are simply not acceptable and has explicitly and publicly made that particular statement many times over.
He has also made it extremely clear that he intends to introduce a rates cap to counter, the out of control spending being indulged in by local government.
However as previously discussed the fundamental underlying effect of Nelson's LTCCP is, that it locks into place double digit plus, plus inflation, rate increases for the next ten years or more, and that puts the NCC on a head on collision course with the governments stated objectives.
Therefore when the government puts that rates cap into place, at around the rate of inflation, the Nelson City council will be caught with its backside hanging out in the wind.
If council lock these double digit plus, plus inflation, rate increases into place, then, when the government puts a rates cap into place at inflation levels, the effect is, that the NCC is left with negative or minus double digit rate increases locked into place.
Effectively Nelson will be going backwards out the back door in reverse gear at reverse double digit warp speed.
If this LTTCP is allowed to survive it will lock into place minus rate increases and negative progress for many years to come, which will oversee the disastrous ruination of Nelson.
This is an extremely dangerous game of head on chicken that this council is playing with the government, and any resulting pissing contest will see this council staring down the loaded barrel of long term backwards progress. This LTCCP is outright insanity and must be stopped.