Council Rates Policy

1. Purpose

To ensure that the organisationl has a sound basis on which to develop the various charging features when determining its revenue strategies and ensure consistency with provisions of the Local Government Act 1989 (LGA).

2. Scope

The policy applies to the City when considering and determining the annual budget or special rates and charges throughout the financial year.

Council officers must consider the application of this policy when:

• preparing revenue models or raising charges, or
• dealing with any proposed or existing commercial enterprises.

3. References

• LGA – Part 8 Rates and Charges on Rateable Land – in particular see 161(1).
• Ministerial Guidelines for Differential Rating. 

4. Definitions

Use and Level of Differential Rate

The differential rate will be used to fund some of those items of expenditure described in the Budget adopted by Council and set at a level which Council considers necessary to achieve the identified objectives.

Geographic Location

Wherever located within the municipal district, except those differentials which are described below as including a geographic restriction.

Use of Land

Any use permitted under the Greater Geelong Planning Scheme.

Planning Scheme Zoning

The zoning applicable to each piece of rateable land within this category, as determined by consulting maps referred to in the Greater Geelong Planning Scheme.

Types of Buildings

All buildings which are now constructed on the land or which are constructed prior to 30 June 2020.

Vacant Land

No building must be located on the land or constructed prior to 30 June 2020 except for any uninhabitable shed or shelter, the size of which does not exceed 5% of the total area of the land.

Differential Characteristics and Rating Objectives

Residential Land - means any land:

1. that is used exclusively for residential purposes; or
2. on which a habitable building is erected, which building is unoccupied, and which is zoned residential under the Greater Geelong Planning Scheme.

Rating Objective:

To ensure that all rateable land makes an equitable and efficient financial contribution to the cost of carrying out the functions of the City generally, including the:

1. construction and maintenance of public infrastructure;
2. development and provision of health and community services; and
3. provision of general support services.

Vacant Land - means any land:

1. that does not have the characteristics of Farm Land; and
2. on which no building is erected, save for any uninhabitable shed or shelter, the size of which does not exceed 5% of the total area of the land.

Rating Objectives:

1. To ensure that all rateable land makes an equitable and efficient financial contribution to the cost of carrying out the functions of the City generally, including the:
   1. construction and maintenance of public infrastructure;
   2. development and provision of health and community services; and
   3. provision of general support services.
2. To encourage the prompt development of vacant land to attract new residents and businesses to the City of Greater Geelong.
3. To discourage untimely and unnecessary divisions of land.

These objectives will be met by setting the Vacant Land differential at 146% of the Residential Land differential.

Commercial Land – means any land that:

1. does not have the characteristics of:
   1. Farm Land; or
   2. Industrial Land; or
   3. Petroleum Production Land.
2. is used predominately for the sale of goods or services or other commercial purposes; or
3. on which a habitable building is erected, which building is unoccupied, and which is zoned other than residential under the Greater Geelong Planning Scheme.

Rating Objective:

To ensure that all rateable land makes an equitable and efficient financial contribution to the cost of carrying out the functions of the City generally, including the:

1. construction and maintenance of public infrastructure;
2. development and provision of health and community services; and
3. provision of general support services.

The Point – Residential Land - means any land that:

1. is used exclusively for residential purposes; or
2. on which a habitable building is erected, which building is unoccupied, and which is zoned residential under the Greater Geelong Planning Scheme; and
   forms part of the land formerly described in Certificate of Title Volume 09901 Folio 324 and also described as Lot B PS 635643, PS 640648Y, PS 722221H,  PS 722220K, PS 743868K, PS 732908M, PS 638301D, PS 635642R, PS722215C, PS 722214E PS 743877, PS 816893, PS 743876, PS 743878, PS822924, PS 822922, PS 822918 and PS 816907. 

Rating Objectives:

1. To ensure that all rateable land makes an equitable and efficient financial contribution to the cost of carrying out the functions of the City generally, including the:
   1. construction and maintenance of public infrastructure;
   2. development and provision of health and community services;
   3. provision of general support services; and
   4. management of environmentally sensitive land.
2. To ensure that, following the development of the Point Land, and transfer to the City of the management of environmentally sensitive land, including the provision of a range of services around an existing waterway, constructed lake and canal system, an equitable and efficient financial contribution to the cost of the City's management responsibilities will be made by the ratepayers in respect of that land.

The Point – Vacant Land - means any land:

1. that does not have the characteristics of Farm Land; and
2. on which no building is erected save for any small uninhabitable storage shed or shelter, the size of which does not exceed 5% of the total land area; and
3. forms part of the land formerly described in Certificate of Title Volume 09901 Folio 324 and also described as Lot B PS 635643, PS 640648Y, PS 722221H,  PS 722220K, PS 743868K, PS 732908M, PS 638301D, PS 635642R, PS722215C, PS 722214E PS 743877, PS 816893, PS 743876, PS 743878, PS822924, PS 822922, PS 822918 and PS 816907.

Rating Objectives:

1. To ensure that all rateable land makes an equitable and efficient financial contribution to the cost of carrying out the functions of the City, generally including the:
   1. construction and maintenance of public infrastructure;
   2. development and provision of health and community services;
   3. provision of general support services; and
   4. management of environmentally sensitive land.
2. To ensure that, following the development of the Point Land, and transfer to the City of the management of environmentally sensitive land, including the provision of a range of services around an existing waterway, constructed lake and canal system, an equitable and efficient financial contribution to the cost of the City's management responsibilities will be made by the ratepayers in respect of that land.
3. To encourage the prompt development of vacant land to attract new residents and businesses to the City of Greater Geelong and, more specifically, to the Point Land.
4. To discourage untimely and unnecessary divisions of land.

The Point – Commercial Land - means any land that:

1. does not have the characteristics of:
1. Farm Land; or
2. Industrial Land; and
2. is used predominantly for the sale of goods or services, or other commercial purposes; or
3. on which a habitable building is erected, which building is unoccupied, and which is zoned other than residential under the Greater Geelong Planning Scheme; and
4. forms part of the land formerly described in Certificate of Title Volume 09901 Folio 324 and also described as Lot B PS 635643, PS 640648Y, PS 722221H,  PS 722220K, PS 743868K, PS 732908M, PS 638301D, PS 635642R, PS722215C, PS 722214E PS 743877, PS 816893, PS 743876, PS 743878, PS822924, PS 822922, PS 822918 and PS 816907.

Rating Objectives:

1. To ensure that all rateable land makes an equitable and efficient financial contribution to cost of carrying out the functions of the City, generally including the:
   1. construction and maintenance of public infrastructure;
   2. development and provision of health and community services;
   3. provision of general support services; and
   4. management of environmentally sensitive land.
2. To ensure that, following the development of the Point Land, and transfer to the City of the management of environmentally sensitive land, including the provision of a range of services around an existing waterway, constructed lake and canal system, to ensure that an equitable and efficient financial contribution to the cost of the City's management responsibilities will be made by the ratepayers in respect of that land.

Industrial Land – means any land that:

1. does not have the characteristics of:
   1. Vacant Land; or
   2. Commercial Land; or
   3. Petroleum Production Land. 
2. is used predominately for industrial purposes, which includes manufacturing, repairing, servicing, processing and reprocessing.

Rating Objective:

To ensure that all rateable land makes an equitable and efficient financial contribution to the cost of carrying out the functions of the City generally, including the:

1. construction and maintenance of public infrastructure;
2. development and provision of health and community services; and
3. provision of general support services.

Mixed Use Land – means any land that:

1. has the characteristics of Residential Land combined with the characteristics of Commercial Land or Industrial Land; and
2. is used partly for residential purposes and partly for commercial and/or industrial purposes.

Rating Objective:

To ensure that all rateable land makes an equitable and efficient financial contribution to the cost of carrying out the functions of the City generally, including the:

1. construction and maintenance of public infrastructure;
2. development and provision of health and community services; and
3. provision of general support services.

Farm Land – means any land which:

1. is not less than 2 hectares in area; and
2. is used predominantly for the business of grazing (including agistment), dairying, pig-farming, poultry farming, fish farming, tree farming, bee-keeping, viticulture, horticulture, fruit growing or the growing of crops of any kind or for any combination of those activities; or
3. satisfies the criteria for municipal purpose benefit for large holdings to the extent that it is, for example, land that is predominantly used and maintained for heritage, cultural or environmental purposes, or land that is held as natural bushland under a trust for nature covenant, or land that is held under some other type of similar formal undertaking.

To avoid doubt, 'business' for the purposes of identifying Farm Land has the same meaning as that given to it by section 2(1) of the Valuation of Land Act 1960 for the same purpose, being a business that:

1. has a significant and substantial commercial purpose or character; and
2. seeks to make a profit on a continuous or repetitive basis form its activities on the land; and
3. is making a profit from its activities on the land, or that has a reasonable prospect of making a profit from its activities on the land if it continues to operate in the way that it is operating.

Rating Objectives:

1. To ensure that all rateable land makes an equitable and efficient financial contribution to the cost of carrying out the functions of the City generally, including the:
   1. construction and maintenance of public infrastructure;
   2. development and provision of health and community services; and
   3. provision of general support services.
2. To encourage and support the business of primary production and, where appropriate, expand the business of primary production.

These objectives will be met by setting the Farm Land differential at 80% of the Residential Land differential and by the provision of a farm rebate under Section 169 of the LGA.

Petroleum Production Land – means any land that is:

1. used primarily for the production or conveyance of petroleum and/or petroleum by-products; and
2. described as all that land generally bounded more or less by Princes Highway, Shell Parade, Corio Bay Foreshore, Wharf Road, Station Road and neighbouring land.

Rating Objective:

To ensure that all rateable land makes an equitable and efficient financial contribution to the cost of carrying out the functions of the City generally, including the:

1. construction and maintenance of public infrastructure;
2. development and provision of health and community services; and
3. provision of general support services.

The Petroleum Production Land differential is set at the Industrial Land rate differential from 2017-18.

Cultural and Recreational Land – means any land that:

1. has the characteristics of 'recreational lands' as defined by the Cultural and Recreational Lands Act 1963; and
2. the following organisations will be reviewed to confirm eligibility based on land use definition:

If the ratepayer is not eligible then the transitional rebate may apply.

5. Council Policy

5.1. Statement of Principles

5.2. Rating Strategy

Parameters to be considered in developing Rating Strategy:

5.3. Other Legislative Provisions (LGA)

5.4. Incentives, Discounts and Rebates

5.5. Rates Waivers

Rates Assistance will be reviewed annually as part of the budget process and published within Council's Rating Strategy. Ratepayers will be provided with a range of payment options. Applications for hardship will be considered in accordance with Sections 170 and 171 of the LGA.

5.6. Rate Review

5.7. Policy Review

6. Quality Records

Quality Records shall be retained for at least the period shown below.

7. Attachments

None.