Carterton authorities plan to review the road toll system for farmers

According to a report by Morrison Low Advisory, forestry, dairy farming, and livestock farming account for more than 68% of road maintenance costs in Carterton that are not related to weather conditions. Analysts justify the need for changes by the high volume of heavy traffic associated with the operations of these industries.

Currently, expenditures for road infrastructure are distributed among all taxpayers in proportion to the capital value of their properties. If the proposed model is adopted, the charging system will become more differentiated: the focus will shift from fixed payments to targeted charges corresponding to the actual impact on the road network. According to the authorities' estimates, this will reduce the burden on more than 4,800 properties, including 3,100 residential households.

However, for some rural producers, the consequences could be significant. As an example, the consultation document cites a forestry site with a capital value of $7.48 million, for which the annual payment could rise from $14,000 to $183,000 upon switching to the new scheme. For a large dairy farm with a capital value of $13.75 million, an increase from $24,000 to $72,000 is expected.

Mayor Steve Cretney noted that a final decision has not yet been made. Before implementing the changes, the council intends to conduct public consultations and organize hearings. The authorities are considering three possible scenarios: maintaining the current approach (status quo), implementing the proposed model, or developing a compromise option taking into account the submissions received.

It is important to note that this review concerns solely the structure of road cost distribution and does not affect the council's overall budget or the level of services provided. In the coming years, tax invoices will also be influenced by the upcoming local government reform, the transfer of utility services to the management of Waitī Waters, and updated property valuation data from QV.