Time for government to "fix" unfair Council rates system
Published on 31 August 2016
Monash Council is urging its ratepayers to sign a petition calling on the State Government to reform Victoria’s archaic rating system.
Council is concerned that long standing older residents of Monash are considering selling up and leaving the area because they cannot afford their escalating rate bills.
While rates have increased by 2.5% on average this year, this year’s property revaluation means about 16,900 of Monash’s 73,300 ratepayers have experienced rate increases of 10% or more. The impact is being felt heavily in suburbs like Glen Waverley, Mount Waverley and Wheelers Hill where property values have surged and where some rate bills have increased by more than $1,000.
Mayor Geoff Lake said the Council would not sit idly by while long standing older residents in Monash are so significantly affected.
“These residents have contributed much to our community over many years and it saddens me greatly that I have spoken to dozens over the past week who are saying they can no longer afford to pay the rates for their property,” Cr Lake said.
He said the Council wanted the State Government to change Victoria’s rating system to give councils the flexibility to:
1. limit the increase in any individual residential ratepayer’s rates from one year to the next based on property valuation changes so that their rates cannot increase by more than double the overall percentage increase in rates for that year (i.e for this year, 5%)
2. cap the rate increase possible for any resident over 60 who has lived at their property for more than 10 years so they will never receive an increase above the overall percentage increase in rates (i.e for this year, 2.5%).
Local ratepayers could sign up to a petition (until 6 December).
Wheelers Hill resident Ted Delaney, who has lived in Monash for 42 years, experienced a 17% rate increase this year.
“I think there should be some relief for retired people who have lived in the area for more than 10 years,” Mr Delaney said. “People shouldn’t have to leave a community they have contributed towards, just because their rates are going up that much.”
Cr Lake said: “In our view, no ratepayer should face this sort of brutal bill shock just because a hot property market is playing havoc with the arbitrary calculation of council rates.”
Monash has the lowest rates of all 79 Victorian councils, but a council cannot control fluctuations brought to individual rates bills as a result of changes in property valuations.
Media Contact: Jo Robertson 0418 391 979 or email Joanne.Robertson@monash.vic.gov.au