What are local government rates and who pay them?

Local government rates are a contribution each property owner makes towards the cost of providing facilities and services in their local community.

Anyone owning residential, rural, vacant, industrial or commercial property in the City of Kalgoorlie-Boulder is a ratepayer. Some government bodies, educational and registered charitable organisations are exempt from paying rates.

How are rates calculated?

The rates calculation starts with determining the budget we need set to deliver our local services. This budget amount is then divided among ratepayers, although not everyone pays the same amount.

Rates are calculated by multiplying a property’s valuation by the differential rate in the dollar set by Council. This is subject to an annual minimum rate which is set each year by Council. 

Your valuation is determined by the Valuer General at Landgate, a separate organisation. The Valuer General assigns non-rural properties a Gross Rental Value (GRV)  and rural properties an Unimproved Value (UV).

The Gross Rental Value, or GRV, represents the gross annual rental that a property might reasonably be expected to earn annually if it were rented, including rates, taxes, insurance and other outgoings. For non-residential properties, GST is also included.

Unimproved Value, or UV, is the value of land only. It does not include the value of your home, other structures or improvements. For land within the metropolitan area, the UV does include merged improvements such as drainage, levelling and filling.

Why are my rates higher than Perth Metro rates?

The City of Kalgoorlie-Boulder is one of a handful of councils who charge sewerage rates on the annual rate notice due to owning the facility themselves. Ratepayers in the Perth Metropolitan area will see the sewerage rates charged through the Water Corporation on their water bill.

This one of many reasons that it is not reasonable to compare rates (and rate rises) with other councils as each council is unique in growth, services, and residential property versus commercial property ratios. The majority of local governments have already indicated a 4% change in rates this financial year.

When does the rate year run?

The rate year is 1 July to 30 June, the same as the City’s financial year.

When will new rates be issued?

Rate notices can be issued any time after 1 July. Typically, it will occur in the first few weeks of the new financial year. You can register for eRates to have your annual and instalment notices email to you.

What is a Gross Rental Value (GRV)

The Gross Rental Value (GRV) is an assessment of the gross rental that a property might reasonably be expected to earn annually if it were rented, including rates, taxes, insurance and other outgoings. For non-residential properties, GST is also included by the Valuer General in the GRV assessment.

The Valuer General undertakes a Revaluation of all GRVs periodically – every four (4) years in the greater country area.  GRVs currently in use became effective on 1 July 2019.

The size of the dwelling (i.e. one storey or two), the number and types of rooms (bedrooms, bathrooms, laundry, study etc.), other buildings such as garages and sheds, the location of the property, the age of the house, and whether there is a below ground swimming pool are all factors that will affect the Gross Rental Value of a property assessed by the Valuer General.

The Valuer General provides the City with values for all properties within the City of Kalgoorlie-Boulder, either a GRV or UV depending on the predominant land usage. This value is then multiplied by either the GRV or UV rate in the dollar determined by Council each year at budget time to calculate rates for each individual property, subject to the annual Minimum Rate.

For more information about Gross Rental Value (GRV), please visit the Landgate website.

What is a Unimproved Value (UV)

Unimproved Value, or UV, is the value of land only. It does not include the value of your home, other structures or improvements. For land within the metropolitan area the UV does include merged improvements such as drainage, levelling and filling.

Where the land is predominately used for rural purposes and a livelihood is derived from the land, the land is assessed on the value of the site without improvements. UV properties are revalued every year. The Minister for Local Government determines whether GRV or UV is appropriate. Valuations are carried out by the Valuer General at Landgate.

The Valuer General provides the City with values for all properties within the City of Kalgoorlie-Boulder, either a GRV or UV depending on the predominant land usage. This value is then multiplied by either the GRV or UV rate in the dollar determined by Council each year at budget time to calculate rates for each individual property, subject to the annual Minimum Rate.

For more information about Unimproved Valuation (UV), please visit the Landgate website.

How often re the valuations reviewed?

The Valuer General undertakes revaluations in the country area as follows:

• Gross Rental Valuations – every four (4) years. The most recent Revaluation became effective on July 1, 2019.
• Unimproved Valuations – every year.

Can I object to the valuation on my property

If you believe that the valuation assessed for your property is incorrect, you may lodge an objection with the Valuer General. Valuations – GRV or UV – are assessed by the Valuer General under the provisions of the Valuation of Land Act 1978, and are used by Local Governments as the basis for calculating rates.

You can lodge an online objection with the Valuer General. If you require more information please Landgates website or call Customer Service on 08 9273 7373.

If you decide to query your rates or interim notice, please keep the following in mind:

1. Your written query must be made within 60 daysfrom the date of issue of your Annual Rate Notice or Interim Rates. If you'd like more information, please contact the Valuer General's Office.
2. You must still pay the required amount while your objection is being reviewed. If your rates are amended, an Interim Rate Notice will be sent to you.

What is the annual minimum rate?

As per section 6.35 of the Local Government Act 1995, Council is able to set a minimum amount payable for properties in its district, which is greater than the general rate which would otherwise be payable on that land.

The City levies differential rates, which are based on property use.

The valuation of each property – an Unimproved Value (UV) or Gross Rental Value (GRV), as assessed by the Valuer General, is multiplied by the relevant rate in the dollar set by Council, subject to the annual Minimum Rate payment.

Why have I received an interim rate notice?

If there is a change which affects the amount of rates owing on a property, the owner will be sent an Interim Rates Account. The most common reasons why Interim Rates Accounts are sent are:

• a new property/subdivision (i.e. vacant land)
• a new house/building completed
• waste/rubbish service charge
• demolition of a building
• additions/extensions to a house/building
• installation/removal

For more information, read the Interim Rates Account Explained brochure.

What are the other charges on my rates notices?

A separate charge is levied for your property’s rubbish service for the year. This fee covers a:

• 340-litre waste bin, collected weekly
• 340-litre recycling bin, collected fortnightly

An annual swimming pool inspection fee may appear on your notice if you have a swimming pool or spa. This covers the cost of a compulsory pool fence inspection every four years at your property.

In addition to the above, all local governments since 2003/2004 are required to collect the Emergency Services Levy (ESL) for the Department of Fire and Emergency Services (DFES).

What is a swimming pool inspection fee?

Pool owners are advised that State Government legislation requires all private swimming pool enclosures to be inspected at least every four years. The City’s fee for this will be charged at $58.45 per annum for each registered pool enclosure.

This annual fee is designed to recover the cost of all inspections over a four year inspection cycle. All pool owners are encouraged to properly maintain their pool enclosures in the interests of safety.

What is the Emergency Services Levy (ESL)?

The state government requires councils to collect the Emergency Services Levy from ratepayers. The funds raised go to the Department of Fire and Emergency Services. The funds do not go to councils and the rate charged is not set by councils.

For more information about Emergency Services Levy please visit the DFES website.

Can I pay my rates weekly, fortnightly or monthly?

If you cannot pay by one of the payment methods shown on the Annual Rate Notice (payment in full or payment by four instalments), Council is able to offer other payment options.

The City can offer either a set weekly or fortnightly Direct Debit. Contact the City's Rates Department on 9021 9654 to organise.

A seven per cent (7%) per annum interest charge for ratepayers entering into the formal rates direct debit arrangement.

Once this is in place, it's really important that you adhere to the payment arrangement. The estimated payment including estimated penalty interest*, will spread the cost of your remaining balance in equal weekly payments over the rest of this financial year. The Emergency Services Levy (ESL) penalty interest rate is determined by the Department of Fire and Emergency Services’ Minister.

What happens if I pay my rates late?

Rates are overdue where no election has been made to enter into an instalment option or a direct debit arrangement, and where rates and charges remain outstanding 35 days after the due date of issue. Overdue rates do not apply where a property is eligible for a full state government rebate or deferral.

Overdue interest will accrue daily at seven percent (7%) pa on arrears/overdue rating balances until fully cleared. Interest accrued may be cleared in preference to arrears/overdue rating balances from payments received. Overdue interest will not accrue where a property is eligible to a full state government rebate or deferral.

Rate arrears

Are unpaid rating balances from previous financial periods for which there are no entitlement to defer under the state government rebate scheme.

Recovery proceedings

All arrears/overdue rating balances are subject to accrual of overdue interest and legal recovery proceedings. All property owners are jointly and severally liable for arrears/overdue rating balances and legal recovery costs.

All recovery costs will be charged to the property and along with the arrears/overdue rating balances, be payable in full before cessation of legal recovery proceedings. 

Where clearance is not forthcoming as sought, then recovery proceedings via the courts and/or section 6.64 and/or section 6.60 of the Local Government Act 1995 may be instigated.

Court and/or Local Government Act 1995 recovery proceedings

All legal recovery proceeding costs, including collection agency and solicitors, will be charged to the property and will be due and payable in full, along with the debt sought, prior to ceasing the collection proceedings.

Proceedings via the courts may result in an irreversible detrimental notation being applied against each property owner’s Australian credit rating record by the relevant reporting agencies. The credit rating organisations obtain details of legal recovery proceedings direct from the court.

The City is not obligated or responsible to remove any credit notation from a property owner’s credit rating record where legal recovery proceedings are instigated.

Section 6.64 of the Local Government Act 1995

The City where a property is in arrears for a period of 3 years or more may take possession of the property and (a) from time to time lease the land (b) sell the land (c) cause the land to be transferred to the Crown or (d) cause the land to be transferred to itself.

All costs associated with these proceedings, including advertisement and marketing, will be charged to the property and will be due and payable in full, along with the debt sought.

Section 6.60 of the Local Government Act 1995

The City may issue a Rental Garnishee Order on the lessee/tenant of a property. This order will require that lessee/tenant to pay to the City all rentals as they fall due in payment of any arrears and/or overdue rating balances.

All order service costs will be charged to the property and will be due and payable in full, along with the debt sought, prior withdrawing an order.

Why are arrears showing on my notice?

Arrears are any charges that have remained unpaid from previous rating years.

Rates arrears continue to attract penalty interest until you pay them in full, which means the debt will increase if not paid.

You must pay all arrears immediately. Interest will continue to accrue and be added to the account on a monthly basis.

What do I do if I'm having difficulty paying my rates?

We understand our community is doing it tough in the current circumstances and we’ve put measures in place to help you. The City offers a range of flexible rate payment options for individuals and businesses. We have also established a Financial Hardship Policy, which allows those experiencing financial hardship to apply for a range of mechanisms to assist.

If you are experiencing difficulties in paying your rates, please contact us on mailbag@ckb.wa.gov.au or call us on 9021 9600.

You can also speak with a financial counsellor at the National Debt Helpline on 1800 007 007. This is a free service and operates from 9:30am to 4:30 pm Monday to Friday. There are also more tools and resources available online on the National Debt Helpline website.

My rates notice, what does it all mean?

Understand your rates notice by viewing our sample rates notice. Sample Rates Notice