Rates top CPI again

Jessica Benton
Council rates are set to increase faster than predicted inflation again next year.
Surf Coast Shire ratepayers are set to be hit the hardest with rate increases of 5.75 per cent, almost double the predicted rise in inflation.
City of Greater Geelong has proposed a 4.9 per cent rates hike and Borough of Queenscliffe wants a 3.5 per cent increase.
The councils’ budgets noted the Consumer Price Index measure of inflation was expected to rise about three per cent in 2009/2010.
Geelong’s budget also flagged a $10 million increase in debt to $36 million.
Council also planned for a $4.6 million surplus and $80 million in capital works.
Mayor John Mitchell said the budget responded to the impacts of the global financial crisis.
“There’s a limited amount of money and a lot of work to do,” he said.
“We’ve come up with a balanced, responsible budget that can move us forward in a tough economic climate.”
Cr Andrew Katos described the budget as “the most important document to come before council for the whole year”.
Rates would increase no more than $1 a week on average for each household in the City, or $47.55 a year.
Surf Coast’s budget proposed a $25 increase to the shire’s “municipal charge” on top of the rakes hike.
Most of the municipal charge rise would go to “environmental management and addressing the effects of climate change”, the shire said.
Surf Coast Shire planned to borrow $8.8 million for a $27 million capital works program, finishing the year with a $4.5 million surplus.
Mayor Libby Mears said the budget provided significant boosts for community facilities and essential infrastructure, including a proposed community and civic precinct project.
Borough of Queenscliffe’s proposed 3.5 per cent rate rise would be about half of last year’s increase. The 2009/2010 increase would give the shire rates revenue of $4.8 million.
Mayor Bob Merriman said the “moderate” rate rise allowed sufficient funds for a $1 million capital works program.