GAWLER Council will prepare its final 2019/20 Budget and Business Plan to include a 2.9 per cent rate increase for the upcoming financial year, which is 0.1 per cent less than the draft figure originally released for public consultation in May.
Local governments across the state have been scrambling to revise their budgets after the State Government last month hit them with an unexpected 40 per cent increase to the Solid Waste Levy.
From July to January, councils will be charged $110 per tonne of waste sent to landfill – up from $100 – and that per tonne figure will increase to $140 in the new year.
Gawler Council, as a result, will be $126,000 out of pocket as a direct result of the changes, and will cover the cost by hiking up ratepayers’ Waste Management Service Charge by $12.
However, instead of passing on what would have been a 3.6 per cent rate rise to its constituents – comprising a three per cent increase to general rates, and 0.6 per cent increase to waste charges – elected members last Tuesday night voted to offset the extra Solid Waste Levy costings by dipping into council’s $315,000 surplus.
Councillor David Hughes moved a motion – which was subsequently passed – to drop the general rate increase to 2.3 per cent, on the back of the Reserve Bank of Australia slashing interest rates by a further 0.25 per cent on the same day.

“Our economy has stagnated, unfortunately – that’s why we’re getting these interest rate cuts – and our local community is struggling,” he said.
“We’ve got a lot of people on fixed incomes who don’t get three per cent or over increases in their wage – in a lot of jobs they’re lucky to get two per cent wage increases, and in other areas they haven’t had wage increases for many years.
“I don’t think it’s palatable to go to our community with more than a 2.9 per cent total rate increase when so many people are struggling.
“I think we have to set the example; a bit like the Reserve Bank dropping the interest rates, we also have to drop our take from our community.
“Hopefully that may help keep people in jobs and help businesses in the town, but it also shows we’re good fiscal managers.”
The Reserve Bank’s 0.25 per cent cut to interest rates, coupled with revised property valuations from the state’s Valuer-General, has seen council find an extra $50,000-$60,000 to add to its surplus which, factoring in council’s decision last week, will sit at around $150,000.
However, despite elected members approving the revised rate figure, Cr Jim Vallelonga argued it was still too much of a hit to the community.
“I’m going to vote against it because I don’t think it’s enough,” he said.
“We always increase (rates) every year, but inflation is nowhere near that.
“I think going down 0.1 of a per cent (from the initial draft three per cent figure) is an insult, and I don’t think that tells the ratepayers we’re working hard.
“We talk about running a tighter ship…the way the economy is at the moment, three per cent is a little bit too much.”
A final report on council’s 2019/20 Budget and Business Plan will be presented to elected members at a special meeting this coming Tuesday, July 16.