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Consultation has concluded. Thank you for your contributions.
Summary
This discussion paper has been produced in response to the Council resolution in June 2021 regarding a transition to a differential rating structure. This document provides background and details surrounding the current rating structure of the Glenelg Shire Council and provides suggestions on alternative options.
To comply with the State Government imposed rate capping scheme, Council rates are restricted in increasing more than 1.5% in 21/22. This equates to $344k in dollar terms, of which $147k is foregone as part of the current rebate scheme.
This rebate scheme provided to Primary Producers has increased to total value fromContinue reading
Summary
This discussion paper has been produced in response to the Council resolution in June 2021 regarding a transition to a differential rating structure. This document provides background and details surrounding the current rating structure of the Glenelg Shire Council and provides suggestions on alternative options.
To comply with the State Government imposed rate capping scheme, Council rates are restricted in increasing more than 1.5% in 21/22. This equates to $344k in dollar terms, of which $147k is foregone as part of the current rebate scheme.
This rebate scheme provided to Primary Producers has increased to total value from just over $1m in 2010/11 tonearly $3.5m in 2021/22. Council is unable to sustain such a model going forward. The transition from the current structure to a differential model is a significant change and due to the nature of a differential scheme distribution, these changes will impact all ratepayers within the municipality, not just those receiving the rebate.
In accordance with the requirements of the Local Government Act and the adopted Glenelg Shire Council community consultation and engagement framework, community feedback from all rating categories is being sought on these options for Council to consider when preparing its rating strategy and budget requirements for the financial year period from 22/23 and beyond.
Background
In accordance with the Local Government Act 2020, in early 2021 Council prepared a Revenue and Rating Plan outlining the expected income and revenue for the next four years.Amongst other recommendations, included in this document was a proposal to reduce the rebate applied to the Primary Production category over the term of the plan.
Council received approximately 200 written submissions from the draft Revenue and Rating Plan consultation as well as a number of submitters taking the time to address Council in person.The majority of the submissions were from the primary producer sector and did highlight several common themes. This included that there is wide-spread misunderstanding regarding the concept of a rate rebate compared to a differential rate and that many ratepayers were of the view that there was currently a differential rate in place.
Council considered the submissions and at the Council meeting on the 30 June 2021 adopted a modified Rating and Revenue Plan which maintained the status quo of a 30% rebate off the Primary Producer rate for the 2021/22 financial year but also outlined the intention of Council to transition from a rebate to a differential rating method.
Council also committed to undertake a community consultation process on this transition within the first year of the Revenue and Rating Plan.
Subsequently this document has been produced to outline and explain the key issues to enable informed views from all sectors of the municipality on the future rating structure for Glenelg Shire Council.
Seeking feedback
Submissions on the Draft Differential Rate Proposal are invited and are due by 5:00pm on Friday 25 February 2022. Please click here to view the Draft Differential Rate Proposal, or select the file in the Documents tab on the right of the page.
Following receipt, consideration and analysis of the community consultation and engagement process, Glenelg Shire Council will develop and release its draft budget for 2022/23. The rating structure is integral in the budget process as it provides the basis of what revenue is available for expenditure on necessary Council services and facilities.
Submitters will have an opportunity to present to Council. Given the current Covid environment the date and location will be decided based on the number of responses received that have registered to be heard.
