Special Rate Variation – Frequently Asked Questions

Special Rate Variation – Frequently Asked Questions

Below is a list of our most frequently asked special rate variation questions. Please click on a link to have your query answered.

  • What is a special rate variation and a rate cap?

    Rates increase every year in line with an amount set by the NSW Government. This amount is calculated every year and is called the rate cap. It is decided by the Independent Pricing and Regulatory Tribunal (IPART) and is around 2.5% per year.

    Councils can apply to IPART for a special rate variation to seek additional funds above the rate cap. Any rate increase above the rate cap amount is called a special rate variation.

  • Where does Council get its income from?

    Combined rates and annual charges make up less than half of Council’s revenue, which is why it is important we are always on the front foot when it comes to seeking other sources of funding and finding efficiencies in how we operate.

  • How much is Council asking for?

    RVC’s Finance team has modelled three different scenarios (featured below) which shows the yearly and weekly increase. Scenario one is what the future looks like without a further special variation; but includes a 2.7% increase in next year’s rate peg as advised by the Independent Pricing and Regulatory Tribunal.

    Scenario two is continuing with a 5.5% variation, including the rate peg, and scenario three increases the variation to 7%, including the rate peg.

  • How much will be raised by the Special Rate Variation?

    A 5.5% SRV will generate $2.97 million over a four-year period from 2019-2020 to 2022-2023, and a 7% SRV $3.86 million. The money will be spent on:

    • Roadwork and renewal of urban streets
    • Grading unsealed local roads to meet existing service levels
    • Additional maintenance of the rural road network: bitumen
    • maintenance; drainage; patching; roadside slashing; gravel
    • maintenance; and vegetation management
    • Increased funding to maintain existing services across Council
    • operations including emergency services
    • Additional bitumen resealing and gravel re-sheeting to keep our
    • roads at a good a standard and prevent them from deteriorating
    • Culverts, causeways, drainage and footpath renewal
    • Community assets renewal


    The SRV applies to your general rates only and does not apply to the waste management, water and sewerage charges on your rates notices.

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