Council Rating Strategy - Mount Alexander Council
Project Member(s): Mangioni, V.
Funding or Partner Organisation: Mount Alexander Shire Council
Start year: 2015
Summary: The capping of rates in Victoria will present significant challenges to local governments. These potential outcomes include those already identified by the Victorian Parliament Environment and Planning Committee Inquiry into Rate Capping Policy, such as the financial viability of councils, possible reductions in service for local residents, and a negative effect on the provision of local infrastructure. The Centre for Local Government were engaged by Mount Alexander Shire Council to undertake a review of its rating system with a view to developing a framework to be used by Council in determining a fair and equitable distribution of the rating burden. The framework will include the use of differential rating in responding to the demographic and economic environments to be encountered over the next decade. The framework provides some flexibility to suit its requirements within the context of public finance methodology, which includes the principles of ‘good tax design’ which encompass equity, benefit, efficiency, simplicity, and community resource allocation.
Mangioni, VJ 2016, Land Tax in Australia: Fiscal Reform of Subnational Government, 1, Routledge, Abingdon.
Mangioni, VJ 2015, 'Do Valuations Assist Residential Property Investors Prior to Purchase - An Industry Perspective', RICS 2015 Conference Proceeding, Construction, Building and Real Estate Research Conference (COBRA), Royal Institution of Chartered Surveyors, Sydney, pp. n.p.-n.p..
Keywords: rate capping, financial viability, local government, differential rating framework
FOR Codes: Urban and Regional Studies (excl. Planning), Structure, Delivery and Financing of Community Services