CITY of Subiaco councillors will vote tomorrow night on the 2016-17 Budget, including a proposed 4.1 per cent rate rise in a special council meeting.
Council opted last month to defer a decision on the budget for further discussions after community opposition over a proposed 8.7 per cent rate rise to offset the impact of the City of Perth Act.
Chief executive Don Burnett said council had looked at all the options to keep the rate rise as minimal as possible.
“Council is mindful of the difficult economic times that businesses and households across the state are currently faced with, while also needing to take and approach that will be most beneficial for the City and long-term community,” he said.
The City has made significant changes to mitigate the impact of the legislation, including reducing its annual operating costs by more than $3 million, however it was still left with a $1.3 million shortfall because of the act.
The City will lose $43 million over the next 10 years because of the Act, which came into effect on July 1.
Mr Burnett said the 4.1 per cent increase would be made up of a normal operational 1 per cent rate increase and 3.1 per cent applicable to the City of Perth Act.
“As well as the proposed 4.1 per cent increase, the City will utilise a small surplus that has been carried forward and a one off transfer from the waste reserve to cover the shortfall that has resulted from the Act,” he said.
“These measures have seen the impact halved the $650,000, which provides some breathing space.
“Over the next year, council will consider options to address the remaining $650,000 for 2017-18 and beyond.”