Council looks to cut CBD rates

Bunbury City Council is looking to cut rates in the central business district in a bid to make the area more attractive for retailers.

CBD properties have traditionally been valued more and the council has charged owners a higher rate than mixed-use and industrial properties in the city.

But the council has released a discussion paper with proposals to reform its rating procedures.

One proposal, favoured by Mayor Gary Brennan, is to simplify its rating categories to cover residential and business properties.

The impact of this proposal would be that CBD and other businesses would be on an even footing in terms of council rates.

Mayor Gary Brennan said there was little “appetite” for the council to change the way residential areas were rated.

“That is not our main concern, ” Mr Brennan said.

“Our concern at the moment is we have a different rate for CBD properties. We have a different rate for mixed use and industrial.

“What we are asking the community is do you believe the ratepayers for the CBD should be treated differently to mixed use and industrial?

“The CBD pays the highest rate in the dollar based on valuation.”

In the discussion paper, it states that 63 per cent of the council’s income for the 2013-14 financial year was generated from rates.

"There is no single rating system that best suits or is preferred by all rate ratepayers, ” it states.

“Which rating tools to use and the extent and details of their use is a choice the council needs to make having regard to a wide range of factors.

“It needs to be mindful of historic arrangements and the current and likely future circumstances and character of its community.”

The Bunbury Chamber of Commerce and Industries was last night set to meet for a presentation on the council’s proposals.

Chief executive officer Ray Philp said an official position on the discussion paper would be formed after the presentation.

The Bunbury City Council’s discussion paper on different rating practices can be found on its website www.bunbury.wa.gov.au.

A hard copy of the document can also be found at the council’s administration building.

“Modelling undertaken as part of this review suggests it would be possible to make changes to improve the council’s rating system without excessive volatility in rates paid by most ratepayers,” Mayor Gary Brennan said.

“Ideally we want to find the most equitable approach to raise the level of rate income required to deliver services to a standard determined by the community.”