Council sets path forward for its revenue future
Published on 21 May 2025
Council expects to collect $43.9 million in revenue from rates, charges, grants, and other sources in 2025/2026. This includes $11.42 million in grants and external funding, enabling Council to invest in key services and infrastructure.
Mayor, Cr Don Henderson, said that to support Council’s financial viability into the future, it has developed a draft Revenue and Rating Plan, along with a draft Council Plan, Budget, Financial Plan, and Asset Plan in accordance with legislation.
“These draft strategic documents will create a foundation for a strong future that focuses on core services like maintaining roads, improving parks, planning for our growing community, and delivering services our residents need,” said Cr Don Henderson.
“We are focusing resources on delivering core services and streamlining our organisation to be more efficient by creating operational savings of $2.53 million,” said Cr Don Henderson.
For 2025/26 Council will increase its rates by 10 per cent. This includes the State Government’s 3 per cent rate cap, plus an additional one-off 7 per cent uplift, approved by the Essential Services Commission. This adjustment will generate approximately $1.36 million in additional revenue and is a crucial step in addressing long-term funding needs. Future year rate increases are budgeted to be in line with the State Government rate cap.
The average rates in Hepburn Shire for 2023/24 is $1,701 and this places Council as the 60th lowest of the 79 councils in Victoria. With the rate cap variation this will potentially raise average rates to $1,820 and places us 46th of 79 councils. Even with the rate cap variation Hepburn Shire would be below average rates ($1,907).
The rate variation has been necessary as part of financial plan to respond to an annual $4 million cash shortall. The rate cap variation is in addition to the $2.53 million in service reductions which includes a reduction in staff from 174 to 156 full time equivalents.
“In positive news for ratepayers, waste service charges and kerbside collection fees will remain unchanged in 2025/26, and residents using the food and garden organics service will benefit from a $40 annual reduction in their charges,” said Cr Don Henderson.
Council is also increasing support for eligible pensioners, doubling the local pensioner concession from $21 to $42, complementing the existing State Government rebate.
There are no proposed changes to current rating differentials, maintaining consistency across ratepayer categories.
“Council has outlined a strategy in its draft Council Plan and Revenue and Rating Plan to actively pursue alternative revenue opportunities. Feedback from the community-based deliberative panel reinforced Council’s understanding that increasing rates alone is not the solution. Instead, Council is committed to working with the community and other levels of government to identify and develop new funding opportunities that will support the continuation of essential programs and projects,” said Cr Don Henderson.
Community members are reminded that the fourth instalment of rates for 2024/2025 is due by Saturday 31 May.
“We are committed to supporting ratepayers and we encourage anyone experiencing financial difficulty to contact Council to discuss payment plan options,” said Cr Don Henderson.
The draft Revenue and Rating Plan is now open for public feedback. It outlines Council’s approach to ensuring adequate funding for the goals set out in the Council Plan, Budget, and other strategic documents. Community feedback is essential, and residents are encouraged to have their say.
"This draft Revenue and Rating Plan strikes a balance between financial sustainability and supporting our community. We have worked hard to minimise impacts where possible and we are delivering targeted relief, especially for pensioners and users of our waste service. We encourage the community to take part in the consultation process,” said Cr Don Henderson.
Submit your feedback on Participate Hepburn. Hard copy surveys are also available at our libraries and customer service hubs.