“Most households struggling”: Maroondah Council pushes through three percent rate rise despite pushback

Two Maroondah councillors have failed in an effort to stop a three percent rate rise, with concerns ratepayers are already “doing it tough” enough. 

Late last month, Maroondah Council approved its 2025/26 Budget, including the rate rise, which will increase income made via rates by $2.7 million – or about $50 per ratepayer.

💰 Where is the money going?

The $174.26 million operating budget included:

• A surplus of $17.61 million

• $46.03 million towards capital works including $22.28 million on buildings, $5.75 million on roads, $4.49 million on footpaths and cycleways, $440,000 on carparks, $3.13 million on drainage, $1.97 million on recreational, leisure and community facilities and $2.49 million on parks and open space; and

• A 6.12 percent increase in waste charges.

💲The impact of cost shifting

Speaking during the council meeting, Maroondah Council chief financial officer Tony Rocca said the impact of cost shifting –  when councils provide a service on behalf of the state or federal governments – was continuing to increase.

“The impact on council finances is close to $10 million in 24/25 and soaring over $10 million in the 25/26 budget,” he said.

Rocca said while things like libraries, Maternal and Child Health services and school crossing supervisors were initially split equally with the relevant level of government, more and more costs are becoming borne by the council.

🙏 Seeking help where possible

Speaking in support of the motion, Maroondah councillor Rob Steane OAM described council’s approach in seeking alternative income streams as “entrepreneurial”.

“We do that better than most,” he said.

👂Listening to the community

Maroondah councillor Daniella Heatherich spoke against the motion, and called for the council to consider a 12-month rate freeze.

“People in our community are doing it tough,” she told the chamber.

“I genuinely worry about how people will cope.

“I cannot, in good conscience, support a rate rise at this time.”

Fellow councillor Claire Rex joined her in support against the motion.

“Rising cost of energy, housing, groceries, insurance have left most households struggling,” she said.

“People are still working multiple jobs and some are tragically losing their homes and many, during this harsh winter, are avoiding using heating.”