A FIVE per cent rate rise has been flagged by the Corangamite Shire for next financial year as a state government cap looms over the horizon.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
Councillors will discuss the rate increase in Camperdown tonight at its monthly meeting with the shire expected to garner $19.5 million from ratepayers during the 2015-16 budget.
Rates and charges account for 45 per cent of the council’s total revenue, according to re-meeting documents, higher than many metropolitan councils.
Corangamite Shire mayor Chris O’Connor said the rates increase was in line with how the council has operated over the past three years. He said some of the revenue raised would go towards debt repayments as the state government rate cap would restrict the council’s ability to make payments into the future.
“We have a long-term strategic plan to bring down debt levels, not that we have a large debt but all the council feels its in its best interests to work on that area,” Cr O’Connor said.
“It’ll be difficult under the new government regime for all councils to work on their debt levels so this a prime opportunity now to focus on that area.”
The shire’s 2015-16 capital works program includes more than $6 million allocated to roads. Specific thoroughfares set to be upgraded are Princetown’s Wiridjil Road ($395,000) and Bradvale’s Mount Bute Road, located near Skipton ($283,000).
Cr O’Connor said Castle Carey Road bridge ($1.1 million) was set to be the shire’s biggest project next financial year, depending on state government support.
“The federal government have made a contribution,” he said. “Now it is the state government’s turn to chip in. It’s a significant project for Mortlake, Terang, Camperdown and many of the communities in between.”
Corangamite Shire is the first south-west municipality so far to release its draft budget with Southern Grampians set to release its proposed rates figures this week.
Mitchell Shire, located in the Euroa region north of Melbourne, has the highest rates increase so far at 6.9 per cent in its draft budget. Several metropolitan councils have listed rate rises between 5 and 6 per cent with most councils yet to release data.