Review of the Basis of Rating Consultation Paper

The main change is to transition from Site to Capital Value as the basis for rating, as required by legislation.  This change will result in a redistribution of the rating costs across ratepayers, with some ratepayers paying less than previously and others paying more.

The Council's current rating system is based on Land Use, and the Council is considering adding a rating category based on the locality of the Development Zone, ‘Employment Bulk Handling’.

Council is also considering setting different rating categories for each Land Use, known as Differential Rates, to assist in easing some of the effects of these changes.

The Act has undergone significant reform, introduced over the past few years.

A significant change has been that Councils in South Australia can no longer use the Site Value of properties as the basis to calculate rates but must use the Capital, the Improved Value, of those properties.

Councils must change to Capital Value for the 2024/25 Financial Year's Rating at the latest.  

This means there are different "Rates in the Dollar" set for different categories of properties.  A Council can use either Land Use, Locality (Zones), or a combination.  

The City of Port Lincoln is considering differential rating based on Land Use Codes listed below:

Residential

Commercial (Shop)

Commercial (Office)

Commercial (Other)

Industrial (Light)

Industrial (Other)

Primary Production

Vacant Land 

Other

Marina Berths

Employment Bulk Handling

A differential rate allows a Council to structure their rating strategy more closely with its community's needs and profile and to use rating as a tool to assist in achieving the Council's strategic goals.

The total General Rate Revenue increase proposed in the 2024/2025 Annual Budget is 6.3%.  However, there will be some higher and some lower than this.

It is important to note that as a result of the change to Capital Values, many properties may see significant changes, both increase and decrease when comparing prior year rates.

Your rates are made up of as follows:

• Rate in Dollar: Determined by the Land Use Code x capital value of your property 

  Land Use Code	Rate in the Dollar $
  Residential	0.00272576
  Commercial Shop	0.00354349
  Commercial Office	0.00354349
  Commercial Other	0.00354349
  Industry Light	0.00354349
  Industry Other	0.00354349
  Primary Production	0.00354349
  Vacant Land	0.00817729
  Other	0.00272576
  Marina Berths	0.00272576
  Employment Bulk Handling	0.01090306

• Fixed Charge: $650.00
• Waste Collection: $315.00 annual service charge
• Recycling Collection: $64.00 annual service charge
• Regional Landscape Levy: Determined by Land-use Type and collected by Council on behalf of the Eyre Peninsula Landscape Board

Yes, a 2% discount on the general rate amount will be applied for those who pay their rates and charges in full by 4.30pm Friday 13 September 2024.

If you choose to pay your rates quarterly, reminders will be sent out at least 30 days before each instalment due date of: 

• 13 September 2024
• 6 December 2024
• 7 March 2025
• 6 June 2025

If you find yourself in a difficult financial position and are unsure if you can make your rates payment when it falls due, we encourage you to contact Council's rates department as soon as possible to advise us of your situation.

Individuals and businesses can apply to have their rates postponed and/or enter into an agreed payment plan if they meet the hardship criteria outlined in Council's Financial Hardship Policy 7.63.17.  This will be upon application and assessed on a case by case basis.  

The Financial Hardship Application Form can be found under the Related Documents section above.