Goulburn Mulwaree Council has bowed to public backlash and revised its rate increase proposal.
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In a statement released late Thursday, November 16, the council said it was responding to community feedback, particularly surrounding cost of living and financial pressures.
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At a meeting on Tuesday, November 21, councillors will consider an amended proposed Special Rate Variation (SRV) to be phased in over three-years.
This is:
- 22.5 per cent in 2024/25 (including the rate peg), equalling a a $722 minimum rate;
- 16pc in 2025/26 (including the rate peg), equalling an $837 minimum rate;
- 6.4pc in 2026/27 (rate peg is not applicable), equallinga .4pc minimum rate.
It represents a total cumulative increase of 51.2pc over three years, with that increase to be permanently retained within the rate base.
"As the council's original proposal was for a total increase of 51.2pc over two years, the maximum increase for any period cannot exceed 51.2pc," a spokesperson said.
"As such, no rate peg will be applicable in the third year of the proposed SRV."
It follows an eight-week consultation process on three options, including a 43.5pc rise in year one, splitting a 51.2pc increase over two years, or a 'base case,' with only the legislated rate peg.
Mayor Peter Walker said in light of community feedback, the council had expanded its hardship policy.
"This enhancement is targeted to provide additional support to those in financial distress, ensuring equitable and fair implementation of the SRV," he said in a statement.
"The change includes a new SRV provision that enables ratepayers who experience distress to enter into an arrangement for up to three years to repay outstanding rates with no interest applied to the debt, provided repayments are made as agreed.
"This initiative is part of our ongoing effort to support the most vulnerable members of our community. Through all councils, we are looking at addressing the cost shifting issues from state and federal governments as well as looking at our own efficiencies.
"Councillors are dedicated to fulfilling their legislative duties to ensure the council's financial sustainability, and these decisions are not made lightly. This responsibility is balanced with a deep commitment to the well-being of our community, ensuring that Goulburn Mulwaree remains a vibrant and sustainable growing regional city."
A report to Tuesday's meeting stated that 1855 submissions were received during the community engagement sessions, with 30.9pc of respondents raising affordability and hardship as issues. About 26.2pc cited cost of living pressures as the basis of their opposition.
Councillors considered the feedback at a workshop on November 8 and according to the report, "were mindful of the affordability impact".
They subsequently developed "option four," splitting the increase over three years, if it proceeded with the SRV.
The report noted that this did not exceed the 51.2pc increase over two years that was publicly exhibited.
The document also recommends that a final version of the council's long-term financial plan, incorporating the revised rate rise proposal, and final audited results for 2022/23 be submitted to the December 19 meeting.
Councillors will decide the matter at their meeting, which starts at 6pm on Tuesday.
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