Rate in the Dollar
The City of Campbelltown needs to raise $34.9m in rates to fund the 2016/2017 Budget. Rate revenue (net) accounts for 80% of Council's operating income.
To fund the rate revenue required, Council has set a single general rate in the dollar of 0.00321358. To calculate your rates, the rate in the dollar is multiplied by the capital value of your property, as determined by the Valuer General.
Council must review the rate in the dollar annually to make sure it only raises the budgeted rate revenue requirement. As a result of this, Councils do not, therefore, gain windfalls from valuation increases. Valuations do not determine the rates income of a Council but are used only to divide the total rates amount among individual ratepayers. Therefore, a person with a property valued at, say, $150,000 will contribute less than someone with a property valued at $300,000 in the same Council area.
Council rates are a form of property taxation and depend upon property values. Valuations play an important part in determining how much each ratepayer will pay. Rates are not a fee for services provided to individual ratepayers but a form of taxation.
Rates are payable in four approximately equal instalments. You may elect to pay any instalment in advance. We will send you further notices for each quarter thirty days before each instalment is due.
|1||1 September 2016|
|2||1 December 2016|
|3||1 March 2017|
|4||1 June 2017|
How does the Council set rates?
Council sets its rates for the following year as part of its annual budget process.
Rates are declared, along with the budget, at a special Council meeting in June each year.
Council determines how much rate revenue it needs to raise to balance the budget and then divides this rate revenue over the capital value of the properties within the Council area. This gives Council a rate in the dollar.
This rate in the dollar is then applied to the capital value (which is the value provided to Council by the Valuer General) of each individual property. This determines the rates payable for each property for that particular year. If you do not agree with the valuation of your property you can object in writing to the Valuer General within 60 days after the date of service of the rate notice. Council cannot alter valuations.
You can send your objection to:
State Valuation Office
GPO Box 1534
ADELAIDE, SA 5001
Or email: Lsgobjections@sa.gov.au
Phone 1300 653 345
Council must set a policy on how it will determine rates. This is a broad statement by the Council of the approach that it will take and the reasons for this. This process helps to ensure community accountability. A summary of the Annual Business Plan is sent out with your first rate notice for each year. Download a copy of the 2016/2017 Annual Business Plan & Budget Summary(454 kb), alternatively, copies also available at the Council office for perusal.
Councils try hard to ensure that rates are kept to a responsible level, consistent with meeting the demands of the local community in maintaining infrastructure and providing services. We also work hard to ensure rates are applied across the community as fairly as possible.
To assist in making the impact of rates fairer on the community, Councils have a number of options that they can use in determining how rates will be set.
The options available to Council are:
- General Rates. With this simple system, the property value is used to determine the rates irrespective of what the land is being used for or where it is located. OR
- Differential General Rates. A Council may charge different rates depending on the type of land use such as residential, commercial or primary production. Alternatively rates can be set on the basis of the location of the land. For example, in country areas a township may enjoy some services that are not available to rural properties. Different rates can also be applied according to both the use and location of the land.
- A Fixed Charge. Under this system some of the money needed will be raised by first applying a fixed charge (ie a flat amount) evenly across all ratepayers. This forms part of the general or differential general rate and ensures that everyone contributes fairly for the administration and services offered by the Council. The remaining money required is then collected from all ratepayers based upon the value of each ratepayer's property. OR
- A Minimum Amount. This provides a mechanism by which lower valued properties pay not less than a flat (minimum) amount. Generally only a small proportion of properties pay a minimum amount and it cannot be more than 35% of all properties.
Councils may also use a separate rate (for a specified purpose) or a service rate or charge (for a specific service).
Campbelltown only imposes a general rate across the Community. We also charge a minimum rate of $909.