Council rates will rise by a maximum 2 per cent next year, which is less than this year's rate rise, but Armidale Regional Council says it may seek to extend its current rate variation.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
The Independent Pricing and Regulatory Tribunal has set the 2021-22 rate peg at 2 per cent, which includes 0.2 per cent to help councils fund next year's elections.
Rates went up by 2.6 per cent in the current 2020-21 financial year.
Armidale Regional Council's Acting General Manager John Rayner said the Council had to live within its means, including the 2021/22 rate peg announced by IPART.
Councils can apply for a higher rate rise, and Mr Rayner said this was still on the cards for the ARC.
"We will continue to examine our options for a continuation of the special rate variation which was put in place for the former Armidale Dumaresq Council and is due to expire in June 2021," Mr Rayner said.
"As part of those investigations, we will be consulting with the community."
In 2013 was determined that Armidale Dumaresq Council may increase its general rate income by 12.3% including the rate peg of 2.3%. The increase above the rate peg is retained in the Councils general income base for 7 years, being 2014/15 through to and including 2020/21.
READ MORE:
Tribunal Member Deborah Cope said IPART recognised councils faced higher costs for the elections.
She said the 0.2 per cent adjustment should cover costs.
"This allows councils to collect additional revenue in 2021-22 to meet the costs of the 2021 local government elections," she said.
"The rate peg for 2021-22 is lower than recent years, which is a positive outcome for NSW ratepayers."
IPART's rate peg is based on an index of the average costs faced by NSW councils and reflects moderate price inflation over the previous year for most cost categories.
Ms Cope said the rate peg increase is the maximum councils may increase their general income. For almost all councils, general income consists entirely of revenue from rates.
However, individual ratepayers' rate rises can vary according to other factors, including land values set by the Valuer-General NSW.
IPART also announced it will not set a limit on percentage variations for annual domestic waste charges made by councils for 2021-22.
It is currently seeking feedback on its recently-released discussion paper on these charges. Submissions close on October 6.
Vanessa Arundale
Everyone has a story to tell and I like to help them do it.
Everyone has a story to tell and I like to help them do it.
