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                    Relief for ratepayers as Council absorbs fee increase

                    Media release, Saturday 21 August 2021
                    The City of Melbourne is discounting rates for all commercial and residential ratepayers across the municipality at a total cost of $4.8 million.

                    Lord Mayor Sally Capp said Council was absorbing the cost of this year's rate increase, in response to the devastating economic impacts of COVID-19.

                    "Rates are necessary to support vital community services and infrastructure and we are legally required to issue them at this time, but we also know that conditions are incredibly tough, so we're doing what we can to take some pressure off for the second year in a row," the Lord Mayor said.

                    "This year, we're keeping rates low while delivering historic levels of infrastructure and initiatives to create jobs, support businesses and ensure Melbourne remains a safe, clean and resilient city."

                    City of Melbourne was entitled to implement the Victorian Government's 1.5 per cent rate cap but made the decision to apply a 1.5 per cent rates discount, cancelling out the rates increase this year.

                    Finance, Governance and Risk lead, Councillor Philip Le Liu, said the decision to apply a discount to the rate increase was made earlier in the year, when councillors endorsed the 2021-22 budget.

                    "All of the city's 128,000 commercial and residential ratepayers will receive a discount, totalling $4.8 million. Around half of ratepayers will receive a discount between $10 and $50, with an average discount of $37," Cr Le Liu said.

                    "The discount will be clearly identified on a rates bill, but the amount of the discount on individual bills will differ depending on the valuation of their property.

                    "Rates change every year as property values change, so some ratepayers may still see their total bill go up because their property value may have changed relative to others."

                    Property valuations are market-driven and determined by the Victorian Government.

                    Any ratepayer affected by COVID-19 and having difficulty paying outstanding rates is able to apply for rate relief through the City of Melbourne Rates Financial Hardship Policy.

                    Earlier this year Council endorsed a record budget of $789.9 million, focused on investments in events, infrastructure and cleaning to support our economic recovery.

                    Rates contribute to around 67 per cent of Council's revenue. Rates notices will be issued next week.

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