CITY OF GREATER GEELONG 2012-2013 Rating StRategy

Use of Land
Any use permitted under the Greater Geelong Planning Scheme.
Planning Scheme Zoning
The zoning applicable to each rateable land within this category, as determined by consulting
maps referred to in the Greater Geelong Planning Scheme.
Types of Buildings
All buildings which are now constructed on the land or which are constructed prior to 30 June
2010.
Vacant Land
No building must be located on the land or constructed prior to 30 June 2011 except for any
uninhabitable shed or shelter that does not exceed more than 5% of the total area of the land.
5. COUNCIL POLICY
5.1. Statement of Principles
5.1.1. The application of the rating strategy should be simple, efficient, and include a mechanism
that contains principles of public benefit taxation.
5.1.2. While general rates are not a user pay mechanism, elements of the rating strategy will
embrace the user pays principle where practicable. Council may consider the imposition of
specific costs that may warrant the striking of new or higher differentials.
5.1.3. Rating must ensure that there is sufficient funding to meet the cost of providing and
maintaining infrastructure assets and services for the benefit of current and future
communities.
5.1.4. The City of Greater Geelong applies a capital improved valuation (C.I.V.) method to all
properties within the municipality to take into account the full development value of the
property. This method is applied irrespective of whether the property is subject to rates or
exempt under legislation. Council recognises that people with higher value properties
generally have higher wealth and a greater ability to meet the provision of Council
services.
5.1.5. Rating, through the application of higher differentials recognises the ability of some
ratepayers to obtain concessions from the tax deductibility of Council rates and provides
for a series of differential rates. This takes into account low economic return to large
landholdings, avoid distortions in the market or an ability to contribute above the standard
charge.
5.1.6. Rating shall endeavour to promote and encourage economic development throughout the
municipality.
5.1.7. The farm differential is to recognise the benefits of large holdings, open space and
traditionally, generally less demand upon Council services per land area held. Council has
used a combination of a differential tariff and a LGA Section 169 rebate in order to
maintain the status of farms as the lowest rated tariff group.
5.1.8. Vacant Land is rated at a higher rate in the dollar than residential land to encourage the
development of the land.
5.1.9. To promote equity in rating, a "Municipal Charge" may be used, or where appropriate an
ex-gratia amount may be negotiated.