The State Government requirement for Council to harmonise rates will be introduced on 1 July following its decision at their monthly meeting last night.
Rates harmonisation mandated that merged councils rates be harmonised so that rates are more evenly and fairly distributed across the local government area. Ratepayers with the same land value will now pay the same rates for the same level of Council services and infrastructure.
Mayor Michael Regan said this was a challenging decision for Council.
“We understand the principle of fairness and equity that needs to be applied across the whole Council area now we have been one Council for almost five years.
“However, that hasn’t made this decision any easier.
“It’s hard to endorse an increase for one ratepayer but equally difficult to deny the decrease to another who has been paying more than others for years.
“Ultimately, we should all be paying the same for the same Council services.
“Whilst I am pleased the Minister listened to my calls to be able to introduce harmonisation gradually across all the amalgamated Councils, our community was divided on this issue.
“Many ratepayers disagreed with gradual harmonisation as it denied them their rate reduction for too long – especially when they have been paying higher rates since amalgamation.
“Added to this is the complexity of new land valuations that will be happening in the next few years.
“Considering all points of view and issues, Council decided to fully harmonise on 1 July, 2021.
“We will now be finalising the draft budget and delivery program and asking the community to have their say in May.”
Council endorsed Scenario 4 – the weighted average harmonisation model.
At the meeting, Council also endorsed the harmonisation of the Stormwater Management Service Charge, previously only applied to former Manly and Pittwater residents, and chose the most generous pension concession arrangements, the former Warringah area.
Mayor Regan said this finished almost all the points of business for amalgamation.
“We are almost five years in as one Council and while it has been challenging at times to put three very different organisations together, I am proud of what we have achieved in that time.
“We are paying off millions of dollars in debt, getting our assets back in shape and still being able to fund significant new infrastructure and services. And we have been able not just to absorb the financial impacts of COVID but also support our community via rate relief and business support.”
More information on the consultation around rates harmonisation and various models considered can be found here.