Council agreed to a 3.65 per cent rate increase at last week’s draft budget meeting, which is out for public comment.
Mayor John Carey said this was the lowest rate increase since the 2006/07 financial year, when rates increased by 3.2 per cent.
The rate increase also covers 2.75 per cent CPI increase.
Mr Carey warned that the small rate rise would be the last seen before mergers and said that process could cost each council $7 million.
‘I suspect next year’s rates going into potential forced mergers could be significantly higher,’ he said.
‘This will be the last of the lower rate increases because of forced mergers.’
Mr Carey said the sale of Tamala Park had allowed the City to fund its Bike Plan, the biggest expenditure outlined in next year’s budget.
Money has also been set aside for improvements to Mt Hawthorn roads and capital works in North Perth, Leederville and Mt Hawthorn town centres.
Funding will also be directed to Britannia Reserve upgrades including paths, power and lighting.
‘The key focus has been on capital works and leaving a really strong legacy for the community in terms of renewal of town centres, bike plan, greening plan and improving parks,’ Mr Carey said.