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 Maitland rate rise approved 

Maitland rate rise approved

16 Feb, 2011 03:00 AM
Maitland City Council has become the second Hunter council in as many days to seek a rate rise above the statewide limit.

Councillors unanimously voted to seek a 9.8per cent rate rise in the coming financial year at an extraordinary meeting held last night on the issue. Maitland’s vote came just a day after Muswellbrook councillors voted to seek a rise 4per cent above the Independent Pricing and Regulatory Tribunal cap of 2.8per cent, to 6.8 per cent.

In Maitland, rates would increase 7per cent above the cap, with a 10per cent rise the following year.

The rise would increase rates by an average $57 next financial year and $118 the following year, raising $16million over the next four years.

It would also lift Maitland’s base revenue from rates, which is used to calculate future increases.

The Newcastle Herald has reported the rise would help fund an infrastructure backlog worth more than $67million over the next decade.

Maitland City Council general manager David Evans said the rate rise would relieve pressure over the infrastructure bill.

‘‘I’d describe it as a very critical first step to solving that problem,’’ he said.

‘‘We’ve said it would raise another $16million over the first four years, and that’s money that can be directed to that $67million infrastructure backlog.’’

Mr Evans said the council was also searching for savings elsewhere, including selling unused land.

‘‘We have been reviewing all of council’s sources of funds including fees and charges, loans, grants and the possibility of selling property that is no longer needed,’’ he said.

It was important that Maitland residents knew where the money would be spent and understood that work could not be done without extra revenue.

The public will be consulted on the rates plan.

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