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Local Government (Rating) Act 2002

Preliminary and key provisions - Key provisions - What kinds of rates may be set?

16: Targeted rate

You could also call this:

"A 'Targeted rate' is a special charge set by your local council for specific services or activities."

Illustration for Local Government (Rating) Act 2002

A local authority can set a targeted rate for certain activities if they are listed in their funding impact statement. You might see a targeted rate for a group of activities, like water services, which are covered by the Local Government (Water Services) Act 2025. A targeted rate can apply to all land in a district or just certain types of land, as described in section 17.

A targeted rate can be the same for all land or different for different types of land. The local authority decides how to set the targeted rate, and it can be based on the type of land. You can find more information about how targeted rates work by looking at the rules for your local area.

The local authority has to follow certain rules when setting targeted rates, and these rules are outlined in the legislation. If you want to learn more about targeted rates and how they affect you, you can look at the Local Government (Water Services) Act 2025 and section 17 for more details.

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This page was last updated on

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM132224.

Topics:
Government and voting > Local councilsMoney and consumer rights > Taxes
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15: Uniform annual general charge, or

"A fixed yearly fee for all homes and properties in a district, paid by everyone, no matter the size."

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17: Categories of rateable land for setting targeted rate, or

"How rates are set for different types of land"

Part 1Preliminary and key provisions
Key provisions: What kinds of rates may be set?

16Targeted rate

  1. A local authority may set a targeted rate for 1 or more activities or groups of activities if those activities or groups of activities are identified in its funding impact statement as the activities or groups of activities for which the targeted rate is to be set.

  2. For the purposes of subsection (1), a group of activities may include a group of water services activities under the Local Government (Water Services) Act 2025.

  3. Repealed

  4. A targeted rate may be set in relation to—

  5. all rateable land within the local authority’s district; or
    1. 1 or more categories of rateable land under section 17.

      1. A targeted rate may be set—

      2. on a uniform basis for all rateable land in respect of which the rate is set; or
        1. differentially for different categories of rateable land under section 17.

          Notes
          • Section 16(1): substituted, on , by section 262 of the Local Government Act 2002 (2002 No 84).
          • Section 16(1A): inserted, on , by section 172 of the Local Government (Water Services) (Repeals and Amendments) Act 2025 (2025 No 43).
          • Section 16(2): repealed, on , by section 262 of the Local Government Act 2002 (2002 No 84).