Shoalhaven City Council’s application for a Special Rate Variation to fund infrastructure works in the Jerberra Estate has been approved by the Independent Pricing and Regulatory Tribunal.
Council requested a special variation of 1.49 percent above rate pegging (2.4 percent for 2015-16) as an individual rate levy applicable to the landowners of Jerberra Estate to enable critical development works to proceed in that area.
The approval will provide Council with an additional $9.68 million in revenue over the 10 years and will remain in the rate base for this period to repay the loan funds necessary for the eventual infrastructure works.
Mayor, Joanna Gash said the Jerberra Estate presented Council with a unique situation given that critical infrastructure works were normally undertaken by a developer.
The Mayor said that Planning Controls announced in February 2014 had enabled sections of the previous ‘paper estate’ to be developed creating a need for infrastructure works.
“I welcome today’s announcement from IPART confirming a Special Rate Variation to levy landowners within the Jerberra Estate,” said Clr Gash.
“The Special Rate Variation will be used to service the principal and interest repayments on a loan of $7.2 million Council will undertake to enable development works to proceed within the Estate.
“These works include road construction, in particular the gravel ‘spinal route’ through the Estate, and electricity infrastructure.”
“In making their decision IPART recognised Council’s engagement with the general public and the fact that the majority of landowners recognised the need for the levy within the Estate.”
The special variation will be retained in Council’s rate base for 10 years and will be removed following the 2024-25 Financial Year.
CONTACT: Mayor, Joanna Gash - 0427 160 170