Published on Tuesday, 6 August 2024 at 6:00:00 PM
- The Shire of Capel Council carefully considered and adopted the 2024/25 Annual Budget and Rating Strategy at its July Council meeting.
- Councillors acknowledged that this has been a very different year for budget and rating setting, following the first Gross Rental Valuation (GRV) in nearly 6 years and seeing an average 48% GRV increase.
- The rating strategy adopted partially mitigates the significant increase in property and rental values, with Council mindful of the economic circumstances facing many families in our community, while balancing the long term sustainability of the Shire, leading to an average increase of $5.20 per week.
- The 2024/25 Budget and Rating Strategy balances the current economic challenges with proper resourcing and long term financial sustainability.
The Shire of Capel Council adopted the Annual Budget and Rating for 2024/25, designed to address the effective resourcing for both operational and capital funding needs, now and into the future, while taking into consideration the current economic circumstances.
Earlier this year, all properties in the Shire of Capel underwent a re-valuation based on the Gross Rental Valuation (GRV). This independent process, conducted by Landgate valuers, determines the annual rent a property might reasonably earn if leased on the rental market. Landgate takes into consideration a variety of factors such as location, access to services, and improvements to the property such as a pool, patio etc.
This has resulted in the Shire observing on average 48% property and rental value increase, however this will vary based on individual property situations. To mitigate the impact on ratepayers an adjustment to the rate (cents) in the dollar was necessary.
Through a series of workshops and briefings, the Council has considered a range of scenarios, and crafted the budget and rating strategy that aligns with our community's needs and supports the Shire's long-term sustainability.
Key Figures and Features of the 2024/25 Draft Annual Budget include:
- Project Funding: Fully supports the 2024 - 2028 Corporate Business Plan, including $3.7 million for new projects, ensuring ongoing development and growth within the district, including:
- Phase 2 of the development of an Agribusiness Precinct
- Upgrade lighting at Ferndale Park, Dalyellup
- Develop a self-contained RV dump point in Boyanup
- Preliminary CHRMAP / Climate Mitigation investigations
- Tourism / Visitor Destination website
- Capel Regional Equestrian Park – upgrade completion
- Archive Collection Digitisation
- Ironstone Gully Falls – Reserve Management Plan
- Trails Masterplanning
- Cemeteries Masterplanning
- Place Plan – Integrated Growth Framework delivery
- Community Support: Allocates $96,778.00 towards Community Budget Commitments, reinforcing our dedication to local initiatives.
- Capital Works: Forecasts an investment of $18,346,695.00 in Capital Works, aimed at sustaining infrastructure and services, and including the construction of the Dalyellup Multipurpose Community and Youth Centre.
- Financial Reserves: Plans for a financial reserve re-investment of $2,214,377.00 to boost investments for future projects and initiatives, such as the future Sport Spaces Plan.
- Workforce Planning: Provides financial backing for the 2024 - 2028 Workforce Management Plan, including funds for the 2024/25 Recruitment Schedule. This being the first major investment in this area since 2013.
- Rate Adjustments: Eases the impact on ratepayers with the adjustment of some rate zones and maintenance of others, partially absorbing increases due to rising property valuations.
- The Annual Waste Levy Charges increased only by CPI.
- Minor Deficit: The budget projects a small deficit of $4,650.00 for the year, reflecting our commitment to balanced financial management.
- The Specified Area Rate for Dalyellup resident will remain the same at $218.54.
- The minimum rate for residential properties increases $40 to $1,470.
The above infographic is designed as a pictorial representation of rates invested, figures are rounded to the nearest whole percentage.
Shire President, Doug Kitchen says, “Our adopted Rating Strategy for 2024/25 is designed around the principles of being fair, equitable, and transparent. It aims to meet the financial needs of the Local Government, while taking into consideration the current economic conditions.
This budget has been carefully designed to support the anticipated growth in the district over the next 10 years. The Council is committed to investing in the Workforce Plan, enabling our Shire team to expand and meet the community's needs and expectations, while strengthening our ability to deliver the services and projects we have said we will.
This year, we will begin implementing a new Enterprise Resource Planning (ERP) system, a modern business software that will provide our staff with efficient, customer-focused applications and programs. The current ERP system, which has been in use for over 30 years is outdated, and no longer meets the needs of the Shire to provide modern services and is in need of urgent replacement.”
The revaluation of the GRV will see many property values change, the adjustment to the rate in the dollar does partially mitigate this impact on property owners. While this adjustment will partially ease the financial burden, ratepayers will see varied changes in their annual rates due to the individual nature and condition of each property valuation, as well as the significantly increased property and rental values being experienced.
The Shire of Capel offers several payment options including instalments, and understand that sometimes, families experience financial difficulties. Getting assistance and support early is important. Please contact the Rates team at the Shire of Capel on 9727 0222 or info@capel.wa.gov.au to discuss and establish a customised and confidential rates payment plan if needed.
Doug Kitchen Gordon MacMile
Shire President Chief Executive Officer
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