New Rating Categories for Paroo Rural Properties

Media Release Thursday 12 May 2022

New rating categories for Paroo rural properties

In an effort to relieve the pressure of rising rates for rural properties, Paroo Shire Council has resolved to adopt new rating categories for rural properties for the 2022-23 financial year. The rate in the dollar for the new categories has not been set and will be decided as part of Council’s budget deliberations.

The new categories are based on land area and value per hectare as per the below:

Category 7   Rural < 500 ha
Category 8   Rural < 20,000 ha and a value of < $60 per ha.
Category 9   Rural < 20,000 ha and a value of > $60 per ha.
Category 10 Rural > 20,000 ha and a value of < $30 per ha.
Category 11 Rural > 20,000 ha and a value of > $30 per ha and < $40 per ha.
Category 12 Rural > 20,000 ha and a value of > $40 per ha.
Category 13 Rural > 50,000 ha and a value of > $50 per ha.

Paroo Shire Mayor, Cr Suzette Beresford said the change from one rating category for rural properties to seven categories is a result of a review carried out over the past six months.

“The review was carried out by a panel consisting of elected members, Council staff, rural rate payers and Agforce representatives,” Cr Beresford said.

“Introducing a number of rural rate categories will substantially reduce the impact of rate payment increases and will provide an improved rating methodology for any future increases in valuations.”

Under the single rural rate category last year’s increases in property valuations of between 35% and 334% would have resulted in rate increases of up to 159% and rate payment increases of up to $19,000 if Council had just reduced the rate in the dollar so that it received the same total rate revenue.

However, modelling of the rates data presented to the review panel showed that by introducing a number of rural rate categories, together with decreased rates in the dollar for categories 8 to 13 when applied to the new valuations, resulted in limiting rate payment increases to a sustainable amount.

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For more information:
Cr Suzette Beresford, suzette.beresford@paroo.qld.gov.au, 0427 551 191
or Kelly Schmidt, kelly.schmidt@paroo.qld.gov.au, 0472 870 774