RATES, and the way MidCoast ratepayers get charged, could potentially change, amidst rumblings from the Independent Pricing and Regulatory Tribunal (IPART).

IPART is responsible for regulating rates and increases, and has released a draft report proposing changes to the way rates are structured.

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MidCoast Council has publicly indicated that it welcomes the “potential for changes to the way rates and rate charges are implemented”, but ratepayers need not get too excited yet.

“It is clear that IPART has listened to councils and the community and have made sensible recommendations to adjust the rate peg methodology,” MidCoast Mayor Claire Pontin said.

The ‘rate peg’ is the maximum percentage amount by which a council can increase its total rates income in a year, and IPART sets this percentage annually, as delegated by the Minister for Local Government, developing its draft report based on feedback from ratepayers and Councils statewide.

“Importantly IPART has acknowledged all councils in NSW are not the same and proposes a methodology which groups councils into Metropolitan, Regional and Rural,” Mayor Pontin said.

Under the proposed change MidCoast Council would be categorised as ‘Regional’, and the controversial Emergency Services Levy will also be acknowledged and considered for adjustments based on the impact of each council’s individual emergency services levy.

“IPART has also recognised that in addition to adjusting the rate peg the financial model for Local Government needs to be investigated to address financial sustainability issues,” Mayor Pontin said.

“The report recommends an independent investigation into the financial model for NSW Councils.

“We will examine the detail of the report and provide comments to IPART by 4 July and look forward to the final report being issued in August 2023.”

By Thomas O’KEEFE