Cumberland Council makes final call on rate structure

A single rate structure for the residents of Cumberland City will come into place from July 1, pending State Government approvals.

Following the 2016 council amalgamations, Cumberland City Council inherited three additional rate structures from suburbs that were previously under Holroyd, Auburn and Parramatta Councils. The proposed ‘harmonisation’ approach will simplify this into one single rate system that is consistent across the region.

Last year Cumberland City Council sought community feedback on two proposed structures.

A total of 550 written submissions were received, with 65 per cent supporting Option 1, being no special rate variation increase and a transition over five years to a single rate structure across the Local Government area (LGA).

General Manager, Hamish McNulty has confirmed they are moving ahead with this option, which will redistribute the total rates income so that all ratepayers have their rates calculated in the same way. It does not however involve an increase in total rates revenue.

“Rates help to pay for essential infrastructure and services. This includes footpaths, resealing roads, and stormwater drainage as well as community facilities like parks, gardens, libraries and pools,” Mr McNulty said.

“This process will deliver much-needed reform to our rates structure and ensure an equitable distribution of rates, where in the past some residents and businesses have been paying higher rates and have been carrying a greater financial burden.”

Subject to the passing of the required legislation in the first half of 2021, Council will be harmonising its rates over a four-year period to reduce the impact on those ratepayers who will have to pay more.

Currently those formerly under Auburn Council pay $812 per year, those formerly under City of Parramatta Council pay $929 and those formerly under Holroyd Council pay $1102.

The proposed change would see a single Cumberland rate of $1010.
Council will also lodge an application with the Minister for Local Government to harmonise minimum rates.

The proposed residential minimum amount will start at $650 and increase by 10 per cent for four years.

The business rate minimum amount will start at $1,200 and increase annually by the rate peg, as determined by IPART.

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Troy Dodds is Parra News' Managing Editor and Breaking News Reporter. He has more than 20 years experience as a journalist, working with some of Australia’s leading media organisations. In 2023, he was named Editor of the Year at the Mumbrella Publish Awards.

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