The scheduled revaluation to update the rating valuation for every property in the city (called a general revaluation) was well underway when the earthquake struck. Because of the significant damage caused by the earthquake, in agreement with the Valuer-General an Order in Council was passed allowing the Government to extend Christchurch’s deadline for General Revaluation by a year – until late 2011.
Council valuers will now update the existing rating valuations, based on an effective valuation date of 2007, on the worst-affected commercial, residential and rural properties. Rates payable for the year starting 1 July 2011 will be set based on these valuations, which will also inform the city-wide general revaluation next year.
Corporate services general manager Paul Anderson says the timing of the earthquake means that Council will continue to use 2007 valuations to levy rates until 1 July 2012. Valuers have been directed to focus on updating the 2007 valuations for the properties most significantly damaged.
“Christchurch City Council revalues all properties on a three-yearly basis. We were just about to finish the 2010 revaluation when the earthquake occurred. If we issued those valuations to ratepayers, they would not reflect the damage suffered to some properties. Therefore, we have asked our valuers to update the 2007 valuation by focusing on those properties most badly affected by the earthquake,” he says.
As earthquake-affected properties are rebuilt, the Council will capture further changes in value through the consenting process.
Mr Anderson says the Council recognises that some ratepayers are suffering financially. “We encourage those ratepayers experiencing hardship to take up the existing hardship grants, apply for rates relief, and set up direct debit payments to spread cashflow.”
