However moves to alleviate the impact on ratepayers who will have to pay more, hinge on proposed legislative changes under consideration by the State Government.
If the Bill is passed then Cumberland’s new rates will take effect from July 1, with the residential minimum charge to start at $650 before increasing by 10 per cent each year for four years. The business rate minimum amount will start at $1,200 and increase annually by the rate peg, as determined by Independent Pricing and Regulatory Tribunal (IPART).
Cumberland’s general manager, Hamish McNulty, says that a single rates structure means a redistribution of the total rates income so that all ratepayers have their rates calculated in the same way but does not involve an increase in total rates revenue.
“Rates help to pay for essential infrastructure and services,” he said.
“This process will deliver much-needed reform to our rates structure and ensure an equitable distribution of rates, where in the past some residents and businesses have been paying higher rates and have been carrying a greater financial burden.”
Public submissions on the Local Government Amendment (Rating) Bill 2020, close on Friday, February 5, however the council also warns that if it does not pass, then it’s proposed rate harmonisation changes will come into effect in one year instead of over four and have a greater impact on some ratepayers.
