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Call to reassess rate caps

Brimbank council has made a recommendation to the state government to reassess rate caps as part of this year’s statutory review of the rate capping framework, which occurs every four years.

The rate cap for 2025-26 was set at three per cent under the state government’s Fair Go Rates system, equal to the forecast Consumer Price Index for the same period.

Brimbank resident Emma Mendelsohn said she would be concerned if the current rate cap was increased.

“From my perspective I would prefer to see better accountability and auditing of where the money is being directed because we’re not seeing it in the appropriate places,” Ms Mendelsohn said.

“What’s the extra money going to be used for and can we have a plan for that?”

Ms Mendelsohn said she would like to see a stronger investment into new sporting facilities in the municipality as well as increased trees and canopies.

“The fire levy [emergency services and volunteers fund] has upped [council rates] by ten percent so I’d say most people would struggle with even a five per cent increase,” Ms Mendelsohn said.

Brimbank mayor Cr Thuy Dang told Star Weekly rate capping and a culture of cost shifting from other levels of government has been impacting council’s financial performance for years.

“We, like all councils, really need to put the case forward for sensible change to ensure our operations remain financially sustainable,” mayor Cr Dang said.

“Factors requiring consideration in Brimbank’s situation include our community’s significant reliance on our services, the need for continual investment in social cohesion and the management of contaminated land. We are also expecting Melbourne’s West to bear greater costs relating to climate change and increasing temperatures.

“The timing of the annual rate cap announcement by the minister, which happens in late December, also disrupts the annual budgetary planning cycle, putting projects at risk and forcing us to make decisions that may not be in the community’s best interests.”

A government spokesperson told Star Weekly “councils may apply for a higher rate cap if they can demonstrate a need for spending on services or projects that require a rate rise above the capped amount.”

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