Bass Coast proposes one-off rates slug of 6%

NOT paying enough in rates? How about copping a 6% increase on your rates notice next year instead of the 2.75% increase everyone else in the state will be paying in 2026-27 year?

That’s the proposal the Bass Coast Shire Council is considering taking to the next State Council meeting of the Municipal Association of Victoria on Friday, May 29.

But the idea has already attracted heated criticism and could be impacted by the next state election as well.

On the shire’s own figures, it amounts to a $93.78 increase for the average ratepayer, paying a property rate portion of $1563, as opposed to about $43 more under the approved cap of 2.75% increase, but many will pay a lot more than that.

For example, the owner of a vacant house block in San Remo worth $750,000 will already be paying more than $800 more under the shire’s revised rate on vacant land, at 200% of the general rate, and you can add a further $200 more if the shire gets the green light to lift rates by a one-off 6%.

The proposed increase will also wipe out all of the benefit delivered to farmers under the recent rate review, which proposes dropping their rates to 65% of the general rate in 2026-27.

Once increased by 6%, the increase becomes cumulative in the years that follow.

However, the proposed increase has already attracted some strident criticism, locally, and from Council Watch Victoria, via one of its colourful, widely viewed political cartoons.

The Mayor Cr Rochell Halstead, deputy Brett Tessari, Mat Morgan, Jan Thompson and all the rest are included.

Council Watch has accused the Bass Coast Council of “burying” the rate rise proposal in the agenda for next Wednesday’s meeting, something that has been described by Council Watch President Dean Hurlston as “a disgusting and predatory move” by a greedy council.

“A group of Victorian councils are pushing for special permission to increase rates faster than everyone else. And they are doing it without asking their residents,” said Mr Hurlston.

“The proposal calls on the State Government to rewrite the rate-cap rules so certain councils can lift rates well beyond the cap.

“Here’s the deal they want: Councils charging under $1500 average per property get a 10% rate cap increase while Councils charging $1500–$1600 average per property including Bass Coast) get a 6% increase.

“In other words a free rate rise - but they say it's a one off "adjustment needed".

The councils set to benefit include: 10% increases: Bulkoke, Hindmarsh, West Wimmera, Yarriambiack, Towong, Gannawarra, Loddon, Northern Grampians, East Gippsland and a 6% increase for Bass Coast, Strathbogie, Indigo, Mansfield, Alpine, Moira, Campaspe, Wellington, Benalla and Colac Otway.

“Bass Coast is pushing the motion and Bass Coast directly benefits from the increase,” said Mr Hurlston.

“But here’s the disgusting part. Not one of these councils appears to have asked their residents if they support higher rates. No consultation No surveys. No community engagement. Nothing.

“The same councils that constantly lecture residents about “consultation” and “community voice” are quietly lobbying for bigger tax increases behind closed doors. If these councils believe residents should pay more, they should have the guts to ask them first,” he said.

“Instead, they’re trying to sneak a rate rise through the back door of the local government lobby system. It’s arrogant. It’s dishonest. And ratepayers deserve to know exactly what their councils are trying to do.

“If passed, they will take it to the Municipal Association of Victoria to get wide support across all Councils. This should outrage every resident in those Council areas.”

The Bass Coast Shire Council has characterised it as a fair adjustment.

“The introduction of the rate cap as part of the Fair Go Rates System in 2016 was not accompanied by an assessment of the rating relativity between the 79 different councils in Victoria. All councils were assumed to have set their rates at levels that were broadly consistent with their peers,” said Bass Coast by way of explanation.

“This has clearly not been the case given the significant and statistically relevant differences in the rates raised per assessment which are published on the Know Your Council website.”

Cape Woolamai council watcher Graham Jolly was keen to see that everyone knew what was being proposed.

“Now that councils are admitting that they spend too much each year it’s time for all these councils to have independent financial reviews twice during a year,” said Mr Jolly.

“Bass Coast Shire Council overspent its cash in six months up to December 31, 2025, by a huge amount, $14.396 million.

“The council is reporting by June 30, 2026 (end of this year) it will have as cash on hand, cash in the bank $24.245 million plus term deposits and bank share of $27.776 million.

“Total $52.021 million before any new income or expenditures after July 1, 2026 the start of the next new year.

“This proposed motion must be voted down. But who is prepared to do that. Let’s see who votes for or against,” said Mr Jolly.

Others have chimed in online.

• 30% of Bass Coast Shire ratepayers are absent holiday homeowners putting 30% less demand on council resources.
• At least two of those councillors are running in the state election. You can kiss your chance goodbye if you vote for it.
• Given the inefficiency and waste exhibited by councils perhaps they should address their shortcomings in-house before attacking the low hanging fruit (rate payers).

Bass Coast Councillors have a tough call to make when they consider the motions proposed to be submitted to the MAV for support. They include:

• Motion 1 – Despite being opposed to the Emergency Services Volunteer Fund (ESVF) tax Bass Coast is pushing for the inclusion of Life Saving Victoria as a beneficiary.
• Motion 2 - Regional Bus Network Reform and Public Transport Investment in Bass Coast a recognised black hole for public transport.
• Motion 3 - Financial Sustainability Reform for Victorian Local Government featuring a catch-up rate increase for those councils caught behind when the Fair Go Rates System was introduced in 2016.
• Motion 4 - Planning Amendment (Better Decisions Made Faster) Bill 2025 to improve housing supply.

It should make for an interesting debate at this Wednesday’s Bass Coast Shire Council meeting.