MORNINGTON Peninsula Shire has adopted its 2016/17 annual budget, keeping average rate rises below the state government’s 2.5 per cent limit.
The mayor Cr Graham Pittock said the shire was still able to allocate more than $30 million for capital works from the $152.14 million rates income, which includes $900,000 in supplementary rates.
The $180 municipal charge has been abolished, but is effectively replaced by a $193 waste service charge to cover kerbside waste collection, street sweeping, beach cleaning, street litter bin collection and capping the Rye landfill.
Cr Pittock said the general rate in the dollar would “decrease significantly” under the Capital Improved Value (CIV) rating system, with property revaluations conducted every two years.
Figures provided by the shire show that in the coming year a $400,000 property’s rate will be $839, plus the waste service charge of $193, and fire service levy of $156.20, giving a total rate payable of $1188.
A $700,000 property will attract a rate of $1467, plus the fixed waste service charge of $193 and a fire services levy of $194.60, for a total of $1855.
A $1 million property will pay a rate of $2096, plus the waste service charge and $233 fire services levy for a total of $2522.
Cr Pittock said the council had not sought a variation to the state government’s Fair Go Rates maximum rate rise of 2.5 per cent.
Adding the 2.5 per cent cap to last year’s average rate of $1493 gives an average rate of $1530.74, or $37 extra.
Acting chief financial officer Matt Hubbard said under the Fair Go Rates System the rate cap is applied to the average rate per property within the municipality. The average is calculated by dividing the council’s total rate revenue by the number of properties in the municipality.
In the case of Mornington Peninsula Shire, opt-in green waste charges are excluded.
Council has budgeted for estimated supplementary rate revenue of $900,000 in 2016/17. These are an estimate of revenue that will be levied part-way through the year as properties are developed.
The 2016/2017 budget is available at at: mornpen.vic.gov.au