Application for rate variation brings levee upgrade one step closer

Application for rate variation brings levee upgrade one step closer to reality - 19 February 2016

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Wagga Wagga City Council has submitted an application to the Independent Pricing and Regulatory Tribunal (IPART) for a temporary special rate variation (SRV) to begin in 2016/17.

IPART is currently reviewing the application and is expected to make an announcement on whether or not it is successful in May 2016.

If successful, the money raised will be used to fund Council’s one third, $7.75M share of a $23.3M upgrade to the main city and North Wagga flood levee system.

Director of Corporate Services, Craig Richardson, says this is an important step towards upgrading the levee system.

“A temporary special rate variation is the responsible way to fund this major project, which will be of great benefit to the wider Wagga Wagga Local Government Area,” he said.

“To fund a project of this scale within Council’s existing budget would have a significant impact on the delivery of services.”

Under the proposed rate increase property owners in the Farmland rate category will pay an additional 3.7% in 2016/17 (1.8% rate page, 1.9% levee upgrade component). All other properties will see an increase of 5.9% in 2016/17 (1.8% rate peg, 4.1% levee upgrade component).

The levee upgrade component of rates will be maintained, but will not compound, for a period of five years. Rates will only rise by the rate peg for the last four years of this period and the levee upgrade component of rates will drop of at the end of this period.

To ensure transparency, the levee upgrade component of rates would be shown separately on rates notices each year over the five year period.

Residents are encouraged to learn more about how the increase will affect them by calling 1300 292 442 or going to the website wagga.nsw.gov.au/srv

Submissions on the application can be made on the IPART website, closing 14 March.