MANDURAH City Council rates will rise by 5.3 percent this year despite some calls for them to only rise by 4.8 percent.
Councillors voted to adopt the rate rise for advertising at a special meeting on Tuesday night, allowing the community to have their say on the increase.
After a rates briefing on Monday night some councillors decided a 4.8 percent increase would be better than the full 5.3 percent.
Cr Shane Jones moved an alternate recommendation for councillors to support the 4.8 percent rate rise, or a half percent decrease from the original amount. Mr Newman said the half percent decrease would result in a $215,000 reduction in expenditure for the 2009/10 budget.
He said if councillors were to adopt the 4.8 percent increase some projects including the Mandurah Bowling Club relocation could be deferred until the 2010/11 budget.
He said if the 4.8 percent rise went ahead the impact of decreased expenditure would be relatively minor on a wider scope. “These reductions won’t have too much of an impact on council,” Mr Newman said.
Cr Lynn Rodgers agreed with the 4.8 percent rise, noting the increased state government charges were making it harder for people to live comfortably.
“You can only take so much money out of the people because you can’t take blood out of a stone,” Cr Rodgers said.
Mayor Paddi Creevey asked if the 4.8 percent was adopted, resulting in $50,000 being taken out of the salaries budget, how would it affect the Southern City Strategy.
Mr Newman said the City would not eliminate those job positions altogether.
Mayor Creevey said she was concerned about taking money out of the environment budget and said that the issue of climate change was very important. “It’s a very tough time for the community economically but it’s important to keep funds for important projects like climate change,” she said.
Mr Newman assured council there would only be small reductions to projects if the 4.8 percent rise went ahead.
The 2009/10 budget includes a $36 million capital works program to build the Mandurah Bowling Club/Allnutt Street road link, the Rushton Park redevelopment and the Port Bouvard Surf Lifesaving Club.
Councillors voted against the 4.8 percent increase and all but Cr Rodgers voted for the original 5.3 percent.
Under the proposed new minimum rates residential improved properties will be charged $762, residential vacant $795 and rural improved $835. Rural vacant and business vacant will rise to $795.