IPART granted Rockdale Council permission for a 6 per cent Special Variation in rates from 2014 to 2018.
As government legislation prevents the council from charging this full increase to apartment dwellers the burden has been passed to other ratepayers.
This is an excerpt of an email I received from the general manager, Meredith Wallace:
"IPART approved an increase of 6 per cent per annum, including the rate capped annual increase of approximately 3 per cent, on the global amount of rates that council can levy in any one year.
"The increase applied on an individual property depends on its relative value compared to other properties in the Local Government Area."
Also the letter notes that there is a systemic problem in those parts of Sydney which are experiencing growing numbers of multi-unit developments.
Under the current statewide rating system units are usually charged minimum rates. Minimum rates can only make up 50 per cent of the total amount of rates levied. This means that the 50 per cent of total rates contributed by units is being distributed across increasing numbers of ratepayers as more development occurs.
On the other hand, shrinking numbers of single dwellings are contributing more to make up the other 50 per cent of the rate base.
If the council allows development on a small block, let's say six homes are demolished to make way for a conservative four levels of units i.e. 24 units. Even if they were only allowed to charge the minimum rates on these units surely they would receive more revenue from these ratepayers than on six single dwellings.
Please sign a petition to stop Rockdale Council from unfairly burdening single dwelling ratepayers. Go to change.org and search stop-rockdale-city-council-from-unfairly-charging-higher-rates.
Mary Pittas, Bexley
