Rodney Stevens

Despite Clarence Valley Councillors not yet voting to adopt the Final 4.7 per-cent rate peg awarded last month by IPART, council has indicated it will apply the Final Rate Peg, but denied rumours that they will apply for a Special Variation.

Last month councillors attended a workshop called Hot Topics where the CV Independent was told executive staff discussed applying to the Independent Pricing and Regulatory Tribunal IPART for a Special Variation of 3.5 per-cent above the Final Rate Peg of 4.7 per-cent, which would apply for the next seven years.

The CV Independent asked council’s communications department several questions about the workshop and received this response from General Manager Laura Black.

“Councillors attend regular workshops to be informed about projects and matters before making decisions at a Council meeting,” Ms Black said.  

Although no questions asked about an Environmental Levy, which is mentioned once in a five-word statement in the 2023-2024 Operational Plan, council included this information.

“Preparing a Business Case for an Environmental Levy is an action contained in the Operational Plan 2023/2024 adopted in June 2023 after public exhibition and consideration of community feedback,” Ms Black said.

“The Operational Plan is a legislative requirement that gives direction to Council’s expenditure of funds, and it is publicly available on Council’s website.”

The Environmental Levy, if introduced, could effectively be a special variation with a different name.

If council is to lodge a Special Variation application, which Ms Black said it currently has no plans to do, it needs to be endorsed by council and sent to IPART by February 5, 2024.

Council said in a statement staff will use the 4.7% rate peg in their preparation of the 2024/2025 draft Budget, which will be considered by Council in early 2024 prior to being placed on public exhibition.

Following the exhibition period, it will be Council that determines the budgets, including the rate peg to be applied to the 2024/2023 financial year.

Council’s General Manager, Laura Black says she is pleased that IPART has commenced application of the new methodology, which better reflects the increased cost to Council to provide the services and facilities community expects.

“While we recognise that some ratepayers are doing it tough, the option of not providing services or reducing service levels below expectations, is not viable,” she said.
“Therefore, we will be basing our draft plans on the full rate peg allowed.

“Ultimately, applying the rate peg is the decision of the Council when it considers the 2024/2025 Operational Plan.”