Rating Structure

1.Overview

Your Rates Notice Explained 2016/2017(PDF, 384KB)

What is rate capping?

This video explains rate capping in a clear way

FAQ

Council has established a rating structure comprised of two key elements:

1. The property values component reflecting the capacity to pay; and
2. The user pays component reflecting the usage of services provided by Council.

The existing rating structure comprises four (4) different rating categories: residential, commercial/industrial, farm dryland and farm irrigation.

Council’s Rate Strategy allows for a 60/40 split when determining the rate burden for the various property types (60% residential, commercial and industrial and 40% farms).

2.Property Valuations

Property valuations are determined by Council's Contract Valuer and are used to calculate the rates to be levied.

The vaulation shown on your current notice is based on levels at 1 January 2016. The State Government requires every Victorian local Council to undertake a revaluation of all rateable land every two years. The next revaluation will be based on levels at 1 January 2018.

What method of valuation does Council use?

Council adopts the Capital Improved Value (CIV) method to determine the rates. The CIV reflects the market value of the land and improvements excluding chattels, fixtures and fittings.

Please note that Site Value is included in the CIV.

3.What is a supplementary valuation?

A supplementary valuation is an update of the valuation following any significant change to the property that alters its value. A supplementary rate notice can be sent at any time throughout the year.

4.How are my rates calculated?

The Capital Improved Value (CIV) is multiplied by the rate set by Council. 

The Capital Improved Value (CIV) is multiplied by the rate set by Council. For 2016/2017 the General Rate (Residential Rate) is 0.006383 cents in every $1 of the CIV.

For example, if the CIV of a residential property is $250,000 the rates are calculated as follows:

$250,000 x 0.006383 = $1595.75

For 2016/17 the differential rate for commercial and industrial properties is set at 0.006738 cents in the dollar and dryland farms is set at 0.005143 cents in the dollar. The rate for farm irrigated district is 0.006443 cents in the dollar.

If you believe that your property is farmland in accordance with the Valuation of Land Act 1960 and is not rated as a farm, please contact the Rates Coordinator.

5.Why do I pay a garbage charge?

The garbage charge is charged for the collection of waste and recyclables from your property and its disposal and/or treatment. In the case of domestic garbage, the charge is made up of two components: the first covers the contract cost of actual collection of the waste; the second covers its disposal at Council's refuse disposal site.

The charge applies to each residential property (other than vacant land) within all the townships throughout the Shire regardless of whether or not the service is used. The charge is based on the number of bins at each property.

Garbage Charges for 2016/2017

Total Service Waste & Recycling 

120L Garbage/240L Recycling = $327.00

240L Garbage/240L Recycling = $471.00

Greenwaste Collection = $52.00 (Koondrook residents for the 12 month trial period get a $2.00 rebate)