Rates slammed in WA
The WA Local Government Minister has unleashed on the financial management of councils after claims that city councils were imposing rate increases well above inflation.
Figures tabled in State Parliament this week show council rates are up for the 2015-16 financial year by an average of 4.24 per cent.
That is nearly double the forecast consumer price index growth of 2.25 per cent.
The figures cover 28 of the 30 metropolitan councils.
Local Government Minister Tony Simpson said the situation was “getting out of control”.
Mr Simpson and Premier Colin Barnett have both warned councils that their rates will come under close scrutiny.
They say this is in line with growing community unrest at the size of rate increases.
Mr Simpson said the latest figures added weight to the argument that councils needed to be more responsible.
“Ratepayers ... need to know where their rates are going,” he said.
“We're not getting that transparency about it, but also the rate increases are getting out of touch with what's really happening out there.
“Local governments have to look at what they're doing.
“They seem to have a situation where they have their wish list of what they want to build and then look at how they can raise the money to do it, instead of saying; ‘With a reasonable rate increase this year, we can achieve this much money this year and build this much’.”
Labor local government spokesperson David Templeman said State Government “cost-shifting” was a big part of the rate growth, but even so, councils need to do more to avoid increases.
“Local governments always claim that they are the closest to people but I'm sure if they are listening to their community people are telling them things are tough,” he said.
The stats this week show the Town of Victoria Park brought in the biggest average rate increase this financial year - 8 per cent.
The City of Stirling had the smallest, with a hike of 1.9 per cent.