In response to COVID-19 Council has not applied a blanket rate increase for 2020/2021, however some ratepayers may experience an increase due to what is known as the growth benefit. Council has no control over the growth benefit of rates as this is influenced by property values which are determined by the Valuer-General.
In 2020/2021 it is anticipated that 68% or $21,785m of Council’s operating revenue will come from rate revenue. Council’s rating strategy uses a combination of a fixed charge on every rateable property and a differential or variable rating system, based on land use, when calculating general rates.
The fixed charge component of $682.70 for 2020/2021, reflects no increase compared to last financial year’s. Fixed charge applies to every rateable property and will continue to raise just under one half (45%) of Council’s gross general rate revenue.
The differential or variable rating component that raises the remainder (55%) of Council’s gross general rate revenue is determined by multiplying the individual property value (capital value provided by State Valuation Office) by the differential rate in the dollar adopted for each separate land use category i.e.
Council has determined that it will require an increase in the overall general rate revenue equivalent to 1.74%, being the “growth benefit” over the previous year.
In terms of residential rates, the average residential ratepayer will pay $1,247, an increase over last year of 0.7% or $9 per annum or $0.17 cents per week, below that of the State Metropolitan Average ($1,643 last year).
The South Australian Local Government Association comparative rates data report (2019/2020) provides the following information on the average residential rates for South Australian Councils:
Councils average residential rates for the financial year 2020/2021 of $1,247 continues to be below the previous years State Average.
Want to know what you get for your rates? Visit the LGA website.