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Special Rate Variation

Building a Stronger Future

A major challenge confronting all NSW councils is the need to increase the amount of funding they allocate to the maintenance and renewal of existing infrastructure.

Along with other councils, Blacktown City has reached the point where it needs to invest more to renew the City’s infrastructure such as roads, footpaths, bridges, drainage and stormwater assets, parks and playing fields, as well as Council buildings such as libraries and community centres.

In NSW it is estimated the backlog of total council infrastructure renewal works is $7.2 billion.

Blacktown City is responsible for over $2.8 billion worth of public infrastructure assets and it is our challenge to adequately maintain and renew these vital assets. As at 30 June 2013 our estimate to bring the City’s assets to satisfactory standard was $68 million. This cost will grow if not addressed now.
Our objective is to maximise the life of the infrastructure which it maintains on behalf of the community, at the lowest cost in the long term

In February 2014, we applied to the Independent Pricing and Regulatory Tribunal (IPART) for a Special Rate Variation.

Special Rate Variation - IPART determination announced

On 3 June 2014, the Independent Pricing and Regulatory Tribunal (IPART) announced its determination of the applications which were made by NSW councils to increase rates in 2014/2015 above the rate pegging limit.

IPART has advised that the special variation for which we applied has been approved in full.

IPART has stated that our application adequately addressed all criteria for a Special Rate Variation.

Council adopts Delivery Program 2013-2017 and 2014/2015 Operational Plan and Budget which includes Special Rate Variation

On 25 June 2014 at Council’s Ordinary meeting, Council resolved to adopt the 2014/2015 Operational Plan and Budget. This includes the Special Rate Variation approved by IPART.

Key Points for our Residents

  • Our residential rates will increase by 5.3% for the 2014/15 financial year. This includes the increase of 2.3% which is permitted to all councils.

Key Points for our Businesses

  • Business - General category will increase by 5.3% in 2014/15. This includes the increase of 2.3% which is permitted to all councils.
  • Business - Sub-category will increase by 12.3% in 2014/15 and a further 13% in 2015/16 (including the increase permitted to all councils)

Key Points for our Community

  • The higher level of rates will be permanent.
  • Without extra revenue, or cuts to other services, we are not in a position to invest the amounts required.
  • By investing more now, we can avoid much higher costs in the future.
  • In addition to the extra rate revenue, we will allocate a further $3 million of funding from operational savings and existing capital works funding.

We understand that some ratepayers may not be able to afford the additional costs. If you are concerned, call our Rates Section on (02) 9839 6000.

Further information can be at http://yoursayblacktown.engagementhq.com/SRV

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