Speak up on rate rise plan, IPART confirms council's application

The Independent Pricing and Regulatory Tribunal (IPART) has confirmed an application for a 36.3 per cent Special Rate Variation (SRV) across two years has been submitted by Tamworth Regional Council to keep the organisation afloat.

If approved, the council would up rates by 18.5 per cent in the 2024-25 financial year; and 15 per cent for the following financial year.

Both increases include the yearly rate peg which is set by IPART.

Tamworth council has submitted the rate rise is required to achieve financial stability and maintain fit-for-purpose infrastructure. A majority of the extra cash is expected to go towards maintaining and renewing the road network.

IPART chair Carmel Donnelly said the tribunal was now seeking community feedback about the proposal.

"Community feedback is an important part of the tribunal's assessment of special variation applications," she said.

"We encourage affected ratepayers and community members to fill out the survey on the IPART wesbite or lodge a submission in relation to any of the applications we've received."

Ms Donnelly said Tamworth council had been required to submit evidence of the need for additional revenue, community consultation, and the impact on residents.

The potential rate hike was first put forward by Tamworth council in September 2023, in a bid to steer clear of a "very bad financial state", according to mayor Russell Webb.

Since then, residents have hit back against the proposal, with 97 per cent of participating residents voting no the rate rise during community consultation in late-2023.

Despite the angst, the council voted to press ahead with the application and lodge the variation request following a meeting in November, 2023.

On average, the rate increase would see residential rates increase by $221.50 in the next financial year, and $212.82 the year after.

Businesses would be forced to pay an extra $768.49 in the 2024-25 financial year, and $738.38 the following year.

Tamworth council's SRV application for 2024-25 can be viewed on IPART's website. A short survey and information about how to lodge a submission is also included.

IPART will accept feedback on the applications until 11:59pm on March 18, 2024.

Across NSW, a total of nine councils have applied for SRVs.

Kempsey Shire Council; Blayney Shire Council; Goulburn Mulwaree Council; Griffith City Council; Narrandera Shire Council; Randwick City Council; Snowy Valleys Council, and Willoughby CityCouncil have also applied for rate variations.

IPART will release a final decision on the SRV applications in May 2024.