Tuesday, 23 April 2024
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LOCKED IN – Gawler Council sets 2.4 per cent rate rise for pandemic budget
2 min read

GAWLER Council has locked in its 2020/21 budget, with a 2.4 per cent rate rise to cover rate remissions for those financially affected by the COVID-19 pandemic.

At their ordinary meeting last week, elected members voted to endorse the budget, which has been delayed since March due to the coronavirus.

It includes a 2.4 per cent rate rise for the average residential ratepayer, which will raise $530,000 in revenue.

This revenue will then be used to fund rate remissions for eligible ratepayers, both business and residential, who can prove they have been significantly impacted by the COVID-19 pandemic.

Eligible residential ratepayers will be eligible for rebates of up to $400, or possibly more depending on property valuation, if they can prove they’ve lost 30 per cent of their income as a result of the pandemic or are receiving the JobKeeper payment.

For commercial ratepayers, they will be eligible for a remission of up to $4000 if it can be proven they lost 30 per cent of profitability and are either receiving the JobKeeper payment for employees or have closed their doors.

Gawler Mayor Karen Redman supported the 2.4 per cent rate rise, which is above the local government consumer price index of 1.6 per cent, saying it would offer support to those who need it.

“If you look at it, the $530,000, which will be used to support people in need, is 2.4 per cent of rate revenue,” she said.

We’ve had close collaboration with the Gawler Business and Development Group and I think what this shows is that despite the pandemic, despite some of our businesses having to close, this community has worked together and came up with a package that we’re happy with.

“The local business community, through the Gawler Business Development Group, is supportive of this package.”

Ms Redman added the council saw the $530,000 remissions pool as adequate for the number of people expected to apply.

In the event more people apply than budgeted for though, a decision will be made by elected members as to whether to increase the remissions pool or scale payments to avoid a blowout.

The council has also outlined a $2 million “economic stimulus package” for the town, including a number of projects it hopes will boost business for local employers and suppliers.

All four of Gawler’s major sporting precincts will receive $40,000 each to enable upgrades to their facilities.

The rate remissions and stimulus spending will see the council run a $1.7 million deficit this year, but Ms Redman said it was worth it to help local businesses and ratepayers through the COVID-19 pandemic.

“A $2 million COVID support package is quite significant for us, but we’ve done that because there’s a need,” she said.

“Good local government will respond to a need.”

During debate on the budget at last week’s meeting, councillor Nathan Shanks supported its passing, but had “reservations”.

“I am happy with this direction in the way of what we are proposing for a COVID relief fund,” he said.

“We are offering the option to defer rates or even waive them for those in need, so I think what we’ve got there is a good move forward, but I do have some reservations.

“The nitty gritty is definitely something we need to delve further into.”