Rates
Find out what is happening with Council's application for a rate increase.
Why do I pay rates?
Lake Macquarie City Council raises approximately half of its operating income from rates. Council provides many services which rates help to fund. Some examples are:
- maintenance of roads and parks and gardens
- libraries
- community services for senior citizens and youth
- town planning
- food inspections
- animal services
- tourism
- swimming pools
Rates are the way our community contributes to funding these services.
How Rates Work
Council rates are determined in accordance with the provisions of the Local Government Act 1993. This legislation provides the process to calculate rates and limits the income councils can receive from rates. Each property in Lake Macquarie falls into one of four categories for rating purposes depending on the land use of the property.
These categories are:
- residential,
- business,
- farmland, and
- mining.
Council decides which category your property should be in based on its land use.
Rates are calculated annually, and include the ordinary rate and annual charges. The ordinary rate includes a flat base amount, plus an ad valorem amount, which is based on the value of your land. The ordinary rate also includes the Sustainability Levy.
Land valuation is conducted every three years by the NSW Valuer General. The land value does not include the value of your house, buildings, or other improvements to the land. Council uses this figure to calculate the ad valorem amount to reflect any changes in the value of your land.
Sustainability Levy
Currently the ordinary rate includes a special variation known as the Sustainability Levy. This Levy was introduced in July 2009 to fund environmental projects, including continuation of lake water quality improvement works. The Levy finishes in 2014.
Domestic Waste Management Charge
The domestic waste management charge is an annual charge for waste services that is listed as a separate amount on your residential or farmland rates notice.
It includes a levy charged by the state government. Most NSW councils have to pay the levy, which they then have to pass on to ratepayers on a fee for service basis. Councils are not permitted to make a profit or loss.
In 2011/12 this charge is $349.00 for Lake Macquarie. For this, residents get a weekly kerbside collection, a fortnightly recycling collection, bi-annual bulk waste collections, eWaste drop offs, and clean-out services for the disposal of chemicals, sharps and oils. Awaba Waste Management Facility is also partly funded through this charge. In 2012/13 the charge will be $370.50.
| Ordinary Rate (includes Sustainability Levy) | |
|---|---|
| Base Amount | A flat rate that applies to all rateable properties. In 2011/12 it is $475.06 per residential property |
| Ad Valorem (land value) | A variable rate based on the value of your land. In 2011/12 for a residential property with a land value of $210,500, it is $474.90. |
| Annual Charges | |
| Domestic Waste Management Charge | A flat rate calculated annually on a cost recovery basis. In 2011/12 this is $349.50 per property. In 2012/13 this will be $370.50. |
| Commercial Waste Charge | A flat rate calculated annually. In 2011/12 is is $320.00 per property. In 2012/13 it will be $362.00. |