Please note: this is an old article
It was published in June 2011, so the information may be out-of-date.
Greater Shepparton City Council Mayor Geoff Dobson said the 2011-12 Budget adopted today provided a responsible financial framework for Council to work within during the next 12 months.
"There's no doubt we face some significant financial challenges - largely as a result of cost shifting and under-funding from the State and Federal governments - in regards to our ability to maintain the level of service our community expects in delivering a myriad of services including home and community care, childcare, kindergartens and public libraries," Cr Dobson said.
"We also face significant costs to repair community infrastructure damaged or destroyed as a result of the floods late last year and earlier this year on top of the ongoing costs of maintaining existing Council assets.
"In spite of this, through good financial management this current financial year we've been able to reduce borrowings for next financial year by $1.5 million from $4.5 million to $3 million."
Cr Dobson said one of the major changes to the draft 2011-12 Budget was that kindergarten fees would not increase from $115 a term to $175 a term as of July 2011.
"We were overwhelmed by the feedback from the community on this issue and we have responded by taking on board their message that incremental increases are easier for those families under financial pressure to manage," Cr Dobson said.
Council will instead phase-in increases as follows:
• $135 a term from July 2011;
• $155 a term from January 2012;
• $175 a term from July 2012; and
• $195 a term from January 2013.
Cr Dobson said Council would raise $53 million from general rates, the municipal charge and waste service charges. This is an increase in total rates and charges revenue of 6.95 per cent compared to the previous year.
"However, as a result of bringing the farm rate differential in to line with the residential rate, most farmers will see a rate decrease," Cr Dobson said.
He said the municipal charge would increase from $111 to $164.
"This charge redistributes the burden of rates - all ratepayers pay the same amount for the charge - therefore reducing the amount that needs to be collected in the form of rates attached to the value of a property," Cr Dobson said.
He said the rate increase also reflected a number of State Government-imposed costs on Council including an Environmental Protection Agency levy and costs incurred in order to meet Maternal and Child Health Service Framework requirements.
Cr Dobson said Council was very aware of the need to keep rates affordable without compromising service levels.
"However achieving the right balance remains difficult as the gap widens between funding from other levels of government and actual service delivery costs," he said.