Council’s Special Rate Variation Consultation Progress Update
Tuesday, 08 Aug 2023
Griffith City Council is pleased to announce that face-to-face community consultation regarding the proposed Special Rate Variation (SRV) has concluded.Council would like to thank the community for actively participating and providing valuable feedback during the process so far.
This phase of the consultation has been highly successful, with a significant number of community members attending various meetings held across the Local Government Area. These gatherings included COG Meetings at Yoogali and Hanwood, as well as five Council Cafes/Information sessions at different locations in Griffith. Additionally, Council representatives delivered presentations at several community group meetings, fostering engagement with organisations such as the Griffith Business Chamber, U3A, Rotary Club Avanti, Griffith Rotary, Griffith East Rotary, Griffith Ladies Probus, Yenda Progress Association, Yenda Rotary, Griffith Lions Club, NSW Farmers Association, and Griffith business leaders.
While the formal presentations and information sessions have concluded, Council emphasises that online feedback submissions remain open until August 31 2023. Residents are strongly encouraged to submit their feedback to ensure that all relevant information is available to Councillors for an informed decision on whether or not to apply to the Independent Pricing and Regulatory Tribunal (IPART) for the proposed Special Rate Variation.
The proposed SRV aims to increase ordinary rates by 10.5% (including the assumed 3% rate peg) annually for three consecutive years, starting from 2024/25 to 2026/27 (a cumulative total increase of 34.9%). The increased revenue would be permanently retained in Council's rate base.
To assist ratepayers in understanding the potential impact of the SRV on their properties, Council offers a Special Rate Variation Estimator on its website.
More than 100 submissions have been received so far, with Council endeavouring to answer all questions submitted on the SRV page on the website. Many questions and a significant proportion of community comments in general have been concerned with the cost of living. This and some of the other frequently asked questions are addressed below.
Q. With the cost of living going up so much now, how can we be expected to manage this increase?
The proposed SRV is not a decision taken lightly. Council recognises the delicate balance between providing essential services, maintaining infrastructure, and ensuring affordability for our residents. Council offers the Pensioner Rebate Scheme, which financially supports this important group in our community. Council also has a Hardship Policy to accommodate the special needs of those unable to pay their rates in full on time. The increase is proposed to come into effect in July 2024 and staged over a 3-year period, recognising the impact and in an effort to minimise this impact as much as possible whilst ensuring Council’s financial sustainability.
Q. What is Council doing to remediate the situation?
Regardless of whether Council resolves to apply for an SRV, Council's Senior Management Team is committed to finding $1 million in savings each year starting from 2024/25. This will be achieved by identifying operational efficiencies. Councillors are also being encouraged to identify possible alternate revenue sources and potential saving opportunities.
Q. What do land valuations have to do with my rates?
The NSW Valuer General’s Office is responsible for the valuation of all rateable land in NSW and is revalued every three (3) years. Rateable land within the Griffith LGA was revalued during 2022 and these values were provided to Council. Council calculates rates using the land value determined for your property plus a base amount.
The land revaluation process does not provide any additional rate revenue for Council. The total increase in rate revenue to Council is capped on an annual basis by the Independent Pricing and Regulatory Tribunal (IPART. For the 2023/24 year the rate cap increase is 3.7% above 2022/23 level (ie approx. $700,000).
Changes to land values will impact the amount of rates payable for individual properties but the total increase in rate income received by Council for the year does not exceed the rate cap as determined by IPART.
Whilst we acknowledge that some individual assessments have moved by much greater than the 3.7% rate pegging figure, many have also increased by less and in fact some assessments have reduced in line with new land valuations.
Q. What is the alternative to the proposed rate increases?
Without a Special Rate Variation, Council would need to consider reducing the levels of services provided to the community to save costs. Examples of services that may be impacted include the Griffith Regional Aquatic Leisure Centre, Griffith Regional Theatre, Pioneer Park Museum, Griffith Regional Sports Centre and Griffith City Library. In addition, service levels will be reduced. Some examples of these include our roads, parks and gardens, strategic planning and storm water drainage.
Griffith City Council values community input and encourages feedback during the consultation period up until 4pm on Thursday 31 August 2023. Residents can submit their views via email to admin@griffith.nsw.gov.au, by mail to PO Box 485 Griffith, 2680, or through an online submission.
Following the comprehensive community consultation, Council will consider a further report in October 2023, during which a final decision will be made on whether to apply to IPART for the Special Rate Variation. If IPART approves the application, the first stage of the increase will take effect in July 2024.
For more information and updates, residents are urged to visit Council's website at griffith.nsw.gov.au/srvhaveyoursay or follow Council's Facebook page.
Council sincerely appreciates the community's engagement and looks forward to reaching a decision that best serves the interests of all residents.
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