Local Government (Rating) Act 2002

Reprint as at 20 May 2014

Local Government (Rating) Act 2002

Public Act2002 No 6
Date of assent30 March 2002
Commencementsee section 2

Note

Changes authorised by subpart 2 of Part 2 of the Legislation Act 2012 have been made in this official reprint.

Note 4 at the end of this reprint provides a list of the amendments incorporated.

This Act is administered by the Department of Internal Affairs.


Contents

1 Title

Part 1
Preliminary and key provisions

Subpart 1Preliminary provisions

2 Commencement

3 Purpose

4 Outline

5 Interpretation

6 Act binds the Crown

Subpart 2Key provisions

What is rateable?

7 Rateable land

8 Non-rateable land

9 Non-rateable land liable for certain rates

Who is a ratepayer?

10 Who is ratepayer?

11 Entry of ratepayer in rating information database and district valuation roll

Who must pay rates?

12 Liability for rates

What kinds of rates may be set?

13 General rate

14 Categories of rateable land for setting general rate differentially

15 Uniform annual general charge

16 Targeted rate

17 Categories of rateable land for setting targeted rate

18 Calculating liability for targeted rate

19 Targeted rate for water supply

20 Rating units in common ownership

Maximum revenue from certain rates

21 Certain rates must not exceed 30% of total rates revenue

22 Defence land

How are rates set?

23 Procedure for setting rates

24 Due date or dates for payment

Regulations relating to rating of educational establishments

25 Regulations relating to rating of educational establishments

26 Report of Ministerial review of rating practice in relation to educational establishments

Part 2
Rating information database and rates records

Rating information database

27 Rating information database

28 Inspection of rating information database

28A Inspection of complete rating information database

28B Local authority must inform owners of right to withhold certain information from database

28C Owner entered on database may require local authority to withhold information from database

28D Transitional provision for local authority to establish database

29 Objections to rating information database

Notification of change in circumstances

30 Interpretation

31 Notification of change of ownership of rating unit

32 Notification of surrender or termination of lease or licence

33 Notification of transfer or assignment of lease or licence

34 Effect of notice on liability for rates

35 When name of ratepayer entered in rating information database may be removed

36 Notification of change of name

Rates records

37 Rates records

38 Inspection of rates records

39 Objection to rates records

40 Local authority may correct errors in rating information database and rates records

41 Amended assessment if error in rating information database or rates record is corrected

41A Amended assessment to give effect to objection to valuation under Rating Valuations Act 1998

42 Recovery of additional rates in certain cases

Part 3
Assessment, payment, and recovery of rates and remission and postponement

Subpart 1Assessment, payment, and recovery

Basis for assessment of rates

43 Rates must be assessed in accordance with values and factors

Notice to ratepayers of rates liability

44 Notice of rates assessment

45 Contents of rates assessment

46 Rates invoice

47 Issue of amended rates invoice

48 Delivery of rates assessment and rates invoice

49 Late delivery of rates invoice

50 Rates invoice based on previous year’s rates

51 Combined rates assessment and rates invoice

Collection of rates

52 Payment of rates

53 One or more local authorities may appoint collector

54 Power not to collect small amounts

Provision for early payment of rates

55 Policy for early payment of rates in current financial year

56 Policy for payment of rates for subsequent financial year

Penalties

57 Penalties on unpaid rates

58 Imposition of penalty

Recovery of unpaid rates

59 Rates are charge against rating unit

60 Invalidity of rates not ground for refusal to pay rates

Recovery from persons other than owner

61 Default by person other than owner

62 Recovery of rates if owner in default

Legal proceedings to recover rates

63 Legal proceedings to recover rates

64 Service of summons

65 Limitation of time for recovery of rates

66 Registration of charging order for judgment for rates

Rating sales and leases

67 Enforcement of judgment

68 Rating sale or lease

69 Service of notice

70 Rating unit may be sold or leased

71 How rating sale or lease must be conducted

72 Further powers and duties of Registrar

73 Execution of documents for rating sale or lease

74 Presumption of valid rating sale or lease

75 Application of proceeds of rating sale or lease

76 Application of balance of proceeds

Abandoned land

77 Sale or lease of abandoned land

78 Court may order sale or lease of abandoned land

79 Conduct of sale or lease of abandoned land

80 Execution of documents for abandoned land

81 Presumption that sale or lease valid

82 Application of proceeds of sale or lease

83 Registration of instruments

Crown land

84 Crown land held on lease or licence

Subpart 2Remission and postponement

Remission of rates

85 Remission of rates

86 Recording remitted rates

Postponement of requirement to pay rates

87 Postponement of requirement to pay rates

88 Postponement fee may be added to postponed rates

89 Recording postponed rates

90 Postponed rates may be registered as charge on rating unit

Part 4
Rating of Māori freehold land

91 Liability of Māori freehold land for rates

District valuation rolls

92 Recording name of ratepayer

Land vested in trustees

93 Limitation on trustee liability

Māori freehold land in multiple ownership

94 Appointment of person to receive notices

95 Effect of appointment of owner or agent

Person actually using Māori freehold land in multiple ownership

96 Person actually using land liable for rates

97 Rates assessment delivered to person actually using land

98 Recovery of unpaid rates from person actually using land

Charging orders

99 Application for charging order

100 Matters that must be taken into account by Māori Land Court

101 Powers of Māori Land Court to make charging order

102 Charging order must be registered

103 Charging order in favour of owner paying rates

Effect of charging orders

104 Effect of charging order

105 Charging order in force until discharged

106 Consolidation of charging orders

107 Charging order apportioned if land partitioned

Enforcement of charging orders

108 Māori Land Court may enforce charging order

109 Scope of order

110 Cancellation of order to enforce charging order

111 Māori Land Court may make order for payment

Discharge of charging orders

112 Discharge of charging order in full or in part

113 Notation and registration of discharge

Remission, postponement, and exemption of rates

114 Remission of rates

115 Postponement of requirement to pay rates

116 Exemption of Māori freehold land from rates

117 Effect of exemption

Part 4A
Lump sum contributions

117A Interpretation

117B Local authority may fund capital project by lump sum contributions

117C Requirement to pay lump sum contribution must not be imposed on ratepayers

117D Consequences for local authority if capital project funding plan adopted

Capital project funding plans

117E Contents of capital project funding plan

Invitations to make lump sum contribution

117F Invitations to make lump sum contribution

117G Contents of invitation

Elections to make lump sum contribution

117H Eligible ratepayer may elect to make lump sum contribution

117I Lump sum contribution invoice

117J Consequences for eligible ratepayer (and any future ratepayers) of election to make lump sum contribution

Local authority must record certain matters

117K Local authority must record elections and lump sum contributions in rating information database and rates records

Change of ownership of rating unit

117L Local authority must notify new ratepayer of liability in respect of rating unit for lump sum contribution

Recalculation of lump sum contributions

117M Recalculation of lump sum contributions

Late payment or non-payment of lump sum contribution

117N Late payment or non-payment of lump sum contribution

Part 5
Replacement of rates and miscellaneous matters

Subpart 1Replacement of rates

118 Interpretation

Setting rates again

119 Local authority may set rates again

Replacing invalid rates

120 Replacement of invalid rates

121 Notice that rates will be replaced

122 Matters relevant to setting replacement rates

Rates replacement proposal

123 Rates replacement proposal

124 Adoption of rates replacement proposal

Effect of replacement rates

125 Adjustment of rates due on properties

126 Allocation of excess

127 Assessment of deficit

Particular circumstances

128 Subdivision of rating unit

129 Replacement of postponed rates

130 Cancellation of deficit

Subpart 2Miscellaneous matters

131 Estimate of projected valuation by regional council

132 Delegation

133 In certain cases Governor-General in Council may extend time or validate proceedings

134 Judge, etc, not interested merely by being ratepayer

135 Evidence of certain matters

136 Notification

Amendments, savings, repeals of other enactments, and transitional provisions

137 Amendments to other enactments

138 Repeals and savings

139 Transitional provision for rates remission

140 Transitional provisions for rates postponement

141 Transitional provision for rates-postponement values

142 Transitional provision for special rateable values

143 Certain terms in other enactments must be treated as terms under this Act

144 Certain terms in leases, licences, and contracts must be treated as terms under this Act

145 Saving relating to lump sum contributions

146 Savings for rates made in accordance with classification or differential systems

147 Act does not limit charging powers

Schedule 1
Categories of non-rateable land

Schedule 2
Matters that may be used to define categories of rateable land

Schedule 3
Factors that may be used in calculating liability for targeted rates

Schedule 3A
Lump sum contributions

Schedule 4
Amendments to Rating Valuations Act 1998

Schedule 5
Amendments to other Acts and regulations

Schedule 6
Repeals and revocations

Local Government (Rating) Amendment Act 2006

Reprint notes