WITH the faltering State economy in mind, the City of Melville is considering a blanket rate increase of just 1.5 per cent.
Council last week voted unanimously to advertise the proposed rate increase, which will not be formally adopted until the 2016/17 budget is passed.
The 1.5 per cent rise, based on the consumer price index for Perth, is less than half of last year’s rate in the dollar increase of 3.75 per cent.
The City uses a differential general rates scheme based on land use but the proposed increase will apply across categories.
City of Melville chief executive Shayne Silcox pointed out that the advertised increase did not guarantee the final rate to be adopted.
“As a local government we are required to advertise the differential rate, which simply sets the increase on the 2015/16 rate in the dollar,” Dr Silcox said.
“The reality is the draft budget is still being prepared, and the council may decide that additional revenue needs to be raised to address specific issues not currently included in the draft budget, so it is too early to commit to a final outcome.
“The final rate increase and other budget decisions will be considered by council at the 2016/2017 budget meeting in June.”