Rates are worked out using a system that is based on land use and can be made up of several different charges.
This includes:
- uniform annual general charge
- general rates
- commercial and industrial rates
- targeted rates
Use the property search to find out the rating information for any property.
See the detailed list of current rates charges.
Uniform annual general charge (UAGC)
This is a fixed charge applied to each separately used or inhabited part (SUIP) of a property, irrespective of the value of a property. It’s used to pay for general council services including roads, wastewater and stormwater systems, libraries, parks and reserves. The purpose of a UAGC is to ensure that all property owners or ratepayers provide a minimum contribution to fund services that benefit the whole community.
Separately used or inhabited parts (SUIP)
A separately used or inhabited part (SUIP) is a part of a rating unit that can be used as a home or a place of business. Most of our homes, say 2 bedrooms + a kitchen + a bathroom + a lounge, represent one SUIP. When homes or commercial buildings can be used separately by several users (e.g. couples, families or businesses) through e.g. a tenancy, lease or licence, or any other agreement, then you have a case of multiple SUIPs.
Ratepayers need to pay the uniform annual general charge for each SUIP in their rating unit.
The following are examples of what could be considered as multiple SUIPs, and would be charged as such on your rates bill:
- Single dwelling with flat attached
- Two or more houses, flats or apartments on one Certificate of Title
- Business premise with flat above
- Commercial building leased, or sub-leased, to multiple tenants
- Farm or horticultural property with more than one dwelling
- Council property with more than one lessee
- Individually surveyed lots of vacant land on one Certificate of Title offered for sale separately or in groups
- Where part of a Rating Unit that has the right of exclusive occupation when more than one ratepayer/owner
For a residential property to be classified as having an additional SUIP it must have separate cooking facilities, living facilities and toilet/bathroom facilities. If the separate part is internal to the main building (under the same roof) it must also have separate external access.
General rate
This differential rate is charged on the capital value of a property. General rates are paid by all ratepayers, and they pay for the services provided by the Council that are not funded through a targeted rate.
Both the UAGC and the general rate are used fund services such as:
- City and infrastructure planning
- Community people and relationships
- Arts and culture
- Venues and events
- Community partnerships
- Libraries
- Economic development
- Emergency management
- Animal services
- Building services
- Environmental planning
- Environmental health and licencing
- Regulation monitoring
- Marine facilities
- Spaces and places
- Stormwater
- Support services
- Sustainability and waste
- Transportation
Commercial and industrial rates
The differential for properties in commercial and industrial rating categories is higher than for residential properties. This means that commercial ratepayers pay a higher general rate than those in the residential rating category. Properties in the new industrial rating category pay a higher general rate than commercial properties.
New industrial rating category
Tauranga City Council’s new "industrial" rating category aims to share the general rates burden more fairly across all Tauranga ratepayers.
What is the industrial rating category?
The industrial rating category is defined as land for which the primary use is industrial (production, storage, processing, or manufacturing) port, transportation, or utilities networks. Industrial land ranges from small industrial units to larger industrial complexes.
The new differential for the industrial category is set at 2.6:1 over the residential rate. This higher differential charge for industrial properties brings council in line with similar metropolitan centres.
The commercial differential remains at 2.1:1.
Why introduce this category?
Industrial companies are crucial to Tauranga’s economy, providing essential jobs and contributing significantly to the community's wealth. However, their operations also place additional demands on the city’s infrastructure and services, particularly transportation and roading.
To address these factors, council has introduced a new industrial rating category which more fairly aligns rates costs with the benefits different sectors derive from Council services, particularly transportation.
How will the new industrial rating category affect you?
If your property is assessed as being in the industrial rating category, then your rates will be higher than those of the residential and commercial rating categories.
How is my rating category assessed?
Tauranga City Council determines your rating category based on what your property is primarily used for.
The residential category includes residential use, rural use and community recreation and leisure use. Commercial is professional services or an intermediary for selling a product.
Independent rating valuation specialists Opteon conduct Tauranga revaluations on Council’s behalf and maintain the District Valuation Roll. They are required hold individual information about land use for each commercial and industrial rating record.
If your property has unrelated mixed use council can also apportion the separate parts into different rating categories.
If necessary, council staff will visit your property to confirm your correct rating category.
Need more information?
If you would like more information on the industrial rating category, or assistance with understanding your rating category, please email our Rates Team at ratesadmin@tauranga.govt.nz. We’re here to help you navigate these changes and provide any support you need.
Targeted rates
Other than wastewater and water, targeted rates are mostly based on the capital value of your property and are generally measured in the thousandth of a cent per dollar of property value.
Wastewater
Residential properties connected to Council wastewater pay a uniform annual charge for one toilet per occupancy. Commercial properties and other non-domestic properties connected to Council wastewater pay a uniform annual charge for each toilet or urinal. Properties with wastewater available (within 100m of wastewater lines) but not connected will pay an availability charge.
Water
This is a fixed charge based on the size of the metered water supply connection and a volumetric charge based on the number of cubic metres of water used.
Waste Collection
These are three uniform targeted rates, low use, standard use or high use, to fund the kerbside waste collection service in the city (glass, food, recycling and waste) These rates are only set on residential properties.
Garden Waste
These are optional rates which fund garden waste collection in the city. You can choose a two-weekly or four-weekly pickup. These rates are only set on residential property.
Stormwater
A differential rate to fund stormwater infrastructure.
Private Pool Inspections
A fixed targeted rate set on each pool on every rating with one or more pools which funds the cost of the 3 yearly pool inspection. The rate covers the first inspection and subsequent inspections required will be invoiced separately.
Targeted rates for urban growth
Council is committing significant transport investments, benefiting the city and urban growth areas of Pāpāmoa and Wairākei, that also support future development in Te Tumu.
Council has three new Urban Growth targeted rates. A full benefit area, wide benefit area and a city wide rate across ratepayers outside of these areas.
Resilience
A differential rate to fund resilience investigations – to understand what infrastructure we need to invest in to keep our city, communities and economy resilient to rising sea and groundwater levels, storm surge and significant events like storms and earthquakes.
The Lakes, Pāpāmoa Coast and Excelsa
All properties in these subdivisions are charged this targeted rate as they have significantly increased level of service costs because of wider roads, more gardens, reserves and streetlights etc.
Economic development
Only commercial/industrial properties are charged and the income funds economic development through Priority One and Tourism Bay of Plenty.
Mainstreet
Only commercial/industrial properties are charged and income funds the Tauranga, Mount Maunganui, Pāpāmoa and Greerton Village Mainstreet organisations.
Bay of Plenty Regional Council rates
Tauranga City Council will no longer be collecting rates on behalf of Bay of Plenty Regional Council. The August rates invoice that you receive from us will be for Tauranga City Council rates only. You will receive a separate invoice in September from Bay of Plenty Regional Council, please visit their website www.boprc.govt.nz/rates to find out more.
We may pass your email address to the Bay of Plenty Regional Council so that they can contact you about receiving their rates invoice by email.