What is a Special Variation?

A Special Variation (SV) allows a council to increase its general income above the rate peg, under the provisions of the Local Government Act 1993 (NSW).

SVs can be for one or several years, and can be temporary or permanently retained in the rates base.

Each year, councils wishing to apply for an SV, apply to IPART in February. The applications are assessed against criteria listed in the Office of Local Government’s Guidelines. These include undertaking long term financial planning, ensuring community awareness of the need and extent of the proposed increase in rates, and consideration of the impact on ratepayers and the community’s capacity and willingness to pay. In addition, councils must meet criteria related to productivity improvements.

The Special Variation proposed as a result of this project will be subject to an application to and approval by IPART and involve further community engagement opportunities for ratepayers when the application is on exhibition by IPART.  Council encourages interested residents to visit the IPART website for further information on the Special Variation process. 

What is the overall purpose of a Special Variation?

  1. Improve Council’s Financial Sustainability;
  2. Fund the ongoing operation, maintenance and renewal of Council assets;
  3. Maintain service levels as close as possible to current levels to meet community expectations; and
  4. Manage a range of financial impacts including additional costs for maintenance and renewal of assets, rising material costs and inflation. 

 

 

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