How are my rates calculated?

1.Valuations

Property valuations are used to calculate how much you pay in rates. Government legislation requires the Council to assess the value of all properties every two years.

Valuation method

Council uses the Capital Improved Value method to determine your rates. Capital Improved Value (CIV) is basically the market value of the land and improvements.

Property values are determined by analysis of market sales and rental evidence. The valuer builds a profile of value levels for each different area/property type by analysis of recent sales and leasings. This information is then applied to individual properties, taking into account the different characteristics of each property.

Date of valuation

All properties were valued with an effective date of 1 January 2016 for use by Council in the 2016/2017 and 2017/2018 rating years and are in force until 30 June 2018. Where something (other than market fluctuations) has changed the property value, supplementary valuations must be performed between general valuations and these may be performed at any time of year.

Further information on valuations.

2.Rates

Council rates are a property-based tax. Rates are based on the value of the property you own.

General rate

For the period 1 July 2016 to 30 June 2017 the general rate in the dollar is 0.0020964. A standard residential property with a CIV of $438,000 will have rates as follows: $438,000 x 0.0020964 + $193 = $1111.22

Municipal Charge

The Municipal Charge of $180 has been abolished.

Vacant residential land

To ensure owners of vacant residential land make equitable financial contributions to the cost of carrying out the functions of Council, vacant land (as defined within the various zonings) attracts a differential rate 20% above the general rate.

Vacant commercial and industrial land

To ensure owners of vacant commercial/industrial land make equitable financial contributions to the cost of carrying out the functions of Council, vacant commercial/ industrial land attracts a differential rate 40% above the general rate.

Mornington peninsula agricultural rate

Qualification for the Agricultural Rate requires that the property must firstly be classified as “farm land” in accordance with the provisions of the Valuation of Land Act 1960.

Waste Service Charge

The Waste Service Charge has been introduced and is intended to recoup the full cost of waste services including collection, disposal, street sweeping, footpath sweeping, beach cleaning, state government landfill levy, plus street and drain litter collection. The Waste Service Charge has been set at $193 for 2016/17 and applies equally to all properties.

3.Rebates

Heritage rebate

The Heritage Rebate recognises the cultural values of heritage properties on the Mornington Peninsula.  Further information on the heritage rebate.

Land sustainability rebate

Offers a 25% rate rebate on the land (excluding house and curtilage) to reward landowners on properties of 2 hectares or larger, (who currently do not receive the Agricultural Rate) for undertaking environmentally sustainable improvements to their properties.  Further information on the land sustainability rebate.

Pensioner rebate

To be eligible for a Pension Rebate, the ratepayer must be the holder of a current: Pensioner Concession card (issued by Centrelink or Department of Veterans Affairs), DVA Gold Card TPI – Totally and Permanently Incapacitated, or DVA Gold Card WW – War Widow. Eligible pension cardholders receive up to 50% off their rates to a maximum of $218.30 for the 2016/17 year. A rebate of rates may only be claimed for your principal place of residence and only one rebate is granted per rating year. Applications for the current year may be received until 30 June 2017. Please present your card at any Shire office. Health Care Cards do not entitle you to a pension rebate.  Further information on concessions.

4.State government fire services levy

Local councils must collect the Fire Services Property Levy on behalf of the state government. There is a flat $105 charge for residential properties and $213 for other properties, as well as a charge based on the valuation of the property for all property types. Refer to the levy information on your 2016/17 Rates Notice.

5.Rate capping

Council has complied with the Victorian Government’s rates cap of 2.5%. The cap applies to the average annual increase of rates and charges. For more information please refer to the flyer included with your rate notice.

6.Contiguous rating

The Shire is able to combine multiple titles onto one rate notice where the titles are occupied by the same person. This is known as contiguous rating. Properties can be abutting or may be separated by a public reserve or open space, street, road, lane, footway, court, railway, thoroughfare or travelling route. Having your properties rated together is a financial benefit as you will only be charged one Waste Service Charge. In some circumstances combining multiple titles onto one rate notice can change the rating category, resulting in further savings e.g. when residential vacant land is combined with an adjoining residential dwelling the rate notice will be levied at the General Rate. The rate in the dollar for General Rate is currently 20 per cent less than the Vacant Land Rate. For further information contact 5950 1090.

7.Electronic delivery

Are you tired of receiving paper bills? Council now offers electronic delivery of rate notices either by Bpay View or email.  Go to morningtonpeninsula.formsport.com.au click "Register", then follow instructions.

8.Are you having difficulty paying your rates?

If you feel you cannot make the payments by the due dates, please contact the Revenue Department immediately to discuss your situation. Mornington Peninsula Shire will consider all applications for assistance and may be able to offer alternative payment arrangements.  Further information on rates assistance.

9.Contact us for further information

Mornington Peninsula Shire Private Bag 1000,
Rosebud, Victoria, 3939 

Customer Service: 1300 850 600 or 5950 1000 

Revenue Department: 5950 1080

Valuation Office: 5950 1090