How rates are calculated

The rate in the dollar and minimum rates are 0.2% lower than the City advertised. Community expectations, a lower Local Government Cost Index (LGCI) and prudent financial management enabled the City to achieve a low rate increase of 1.55%, down from the advertised 1.75%.

In the Gross Rental Value (GRV) areas of the City
Under the Local Government Act 1995 the City can impose differential rates on certain categories of properties. The categories are split into:

  • Vacant Land
  • GRV Business Improved
  • GRV Residential Improved

Vacant land and properties zoned for business purposes have a higher rate in the dollar than residential land and vacant land has a higher minimum payment than residential land for these reasons:

Vacant Land - the rate in the dollar has been set to ensure that it’s higher than residential improved land in an effort to promote the development of all properties to their full potential, thereby stimulating economic growth and development in all areas of the community. The minimum rate recognises that every property receives a minimum level of benefit from works and services provided by the City.

Business Improved Land - the rate in the dollar and minimum rate has been set to ensure that the proportion of total rate revenue derived from business improved land is higher than the residential land rate to recognise the higher demand on the City’s infrastructure and services occasioned by matters such as:

  • Increased maintenance and operational costs in and around shopping precincts including verge mowing, litter removal, street trees and weed control spraying.
  • Increased maintenance and operational costs in industrial areas, particularly related to drainage.
  • The Economic Development function which is largely directed at the encouragement of commercial and industrial businesses to locate and relocate to the City of Armadale, as well as to provide support for the industrial and commercial community.
  • Increased costs related to the general improvement to the road streetscapes of the entry roads into Armadale, including landscaping, tree plantings and the provision of pedestrian and cycle paths.

In the Unimproved Value (UV) areas of the City
The City doesn’t apply a differential rate to UV properties as it recognises they are all predominantly used for rural purposes. Therefore, we apply a single rate in the dollar and minimum payment.

Details of the rates and minimum payments to apply are as follows:

Rate groups Rate in Dollar (cents) Minimum payment ($) Number of Rateable Properties Total Rates Levied
Gross Rental Value Area
Differential Rates
GRV area differential rates -Vacant Land 14.6490 1,179 2,506 4,779,000
Residential Improved 8.6170 1,179 32,203 53,633,000
Business Improved 9.1200 1,371 1,104 9,664,000
Unimproved Value Area
General Rate 0.4508 1,412 146 730,000
TOTALS     36,959 68,806,000

 

Landgate have developed nine new short, engaging videos that provide a clear explanation of Gross Rental Value and Unimproved Value.

Should you have any questions or queries specifically regarding your Gross Rental Value or Unimproved Value, please go to the Landgate website www.landgate.wa.gov.au or contact them direct on (08) 9273 7373.

Specified Area Rates (SAR)
Some areas pay a SAR to cover the cost of additional services in that location.

1. Townscape Amenity Service

The purpose of the Townscape Amenity Services SAR, is to enhance the amenity level of specified areas through increased service levels in programs such as litter control, verge and streetscape maintenance, verge mowing, etc.

The Townscape Amenity Service is focused on four business/commercial areas within the City, namely:

  • Specified Area Rate A – Armadale Town Centre
  • Specified Area Rate B – Kelmscott Town Centre
  • Specified Area Rate C – Kelmscott Industrial Area
  • Specified Area Rate D – South Armadale Industrial Area

Details of the Townscape Amenity Services SARs to apply are:

Area Rate in dollar (cents) Number of Properties Total SAR Levied ($)
SAR A 0.377 86 119,100
SAR B 0.880 145 79,400
SAR C 0.166 341 19,900
SAR D 0.353 137 22,700
TOTAL   709 241,100

 

2. Residential Amenity Service

The purpose of the Residential Amenity Services SAR is to maintain and enhance the public open space provided in the newer residential estates to a standard higher than that which occurs in public open space, throughout the remainder of the City. These include maintenance of irrigation systems, garden beds and park lighting.

The Residential Amenity Services SAR is focused on the new residential areas of Piara Waters/Harrisdale (SAR F) and Champion Lakes (SAR G).

Details of the Residential Amenity Services SARs to apply are:

Area Rate in Dollar (cents) Number of Properties Total SAR Levied ($)
SAR F 0.212 4,787 226,980
SAR G 0.212 302 11,610
Total   5,089 238,590

 

Page Last Reviewed 9 October 2019