‘Not flashy’: Logan rates up 4.61% with no big budget projects

Logan ratepayers will get a new pothole patrol team but few major projects over the next financial year despite a 4.61 per cent rates rise. SEARCH YOUR SUBURB

Logan mayor Jon Raven said his first budget was not flashy. It included changing the traditional 5 per cent early payment discount to a flat fee of $120. Pictures: Contributed

Logan ratepayers will not get any major council-led infrastructure projects apart from a new pothole patrol team, over the next financial year despite the council slapping ratepayers with a 4.61 per cent rates rise, one of the highest in the southeast so far this year.

The increased rates, which include water charges, will kick in on July 1 as part of the first budget for mayor Jon Raven, whose election promises included a partial review of the city’s rating system to “make it fairer”.

But cost-of-living relief was minimal for residential ratepayers, offering few new measures to ease their burden with the largest initiative, the longstanding 5 per cent early payment discount replaced with a flat $120.

The budget did not extend the early payment discount to commercial and industrial properties, who are expected to pay an extra $3million after the discount is removed.

The move will save the council money and the council estimated that 84 per cent of owner-occupied properties would benefit.

However, local business owners said it would shift costs from large commercial landowners, such as shopping centres, to their tenants.

“Taking away my early discount payment will add a minimum of $1200 to my tenants because I will pass that cost on,” one Loganholme landlord said.

Cr Raven said a typical Logan ratepayer would pay $2.68 a week more as of July 1, despite a rating restructure to bring about greater equity in rates rises across the city.

He said the “responsible” budget was designed to deliver a $23.09 million surplus by June 30 2025, following increases in the general rates, water fees and garbage charges.

Logan mayor Jon Raven hands down his first budget which he described as ‘responsible’. Picture: Judith Kerr

“The 2024-25 budget is not flashy – we’re not splashing other people’s cash around with big announcements – it’s responsible,” he said.

“It means that we can invest in the infrastructure that our city needs.”

Cr Raven said the rates rise came in under the national CPI of 4.8 per cent despite soaring construction, electricity and gas prices.

The budget included few measures to tap funds from developers for infrastructure which Cr Raven said was one of the city’s largest and most important expenses.

A state government cap on the amount Logan can charge developers has left ratepayers subsidising half of the costs for water, roads and sewage.

The council will spend $135 million on roads and drainage capital works with $1.8 million for its new pothole patrol team.

The state Valuer-General revaluations of land in Logan were done in 2022 and 2023 and an average was used for the austere $1.18 billion budget.

SEE HOW YOUR SUBURB FARED WITH THE RATES RISE

The council lifted the minimum general rate threshold by 9.4 per cent up from $321,517, to $351,900 with the minimum general rate rising 8 per cent from $1068.40 to $1153.88.

Properties with unimproved values under that mark, which is the majority of the city’s 88,943 residential rated properties, will pay the $1153.88 in general rates, while properties valued above the threshold, in suburbs such as Underwood, Riverbend, Shailer Park and Cornubia, will be charged on the traditional rate-in-the-dollar sliding scale.

The Logan suburbs likely to carry the rates burden are those under the average minimum value of $351,900 as they will pay the fixed rate minimum charge.

Those who are paying the minimum general rate this financial year, will experience a 4.61 per cent increase in their general rates.

Wealthier suburbs of Shailer Park, Cornubia, Carbrook, Springwood and Rochedale South where properties are valued above $351,900 will also experience a rates increase with a property valued at $400,000 paying an extra $103 in the next financial year.

The rates rise will mean a ratepayer on the lowest minimum general rate, will face an extra $2.68 a week, or $139.10 a year, up from last year’s hike of $118.56.

Along with the general rates increase, ratepayers will endure an 8.2 per cent hike in bin fees from $318 to $344 for 240l red and yellow bins.

Logan Treasurer Karen Murphy said the $1.1 billion budget was responsible. Picture: Judith Kerr

Increases also included an $8 rise in the environment levy from $94.40, making it a $7 increase to $101.40 with a $21.21 increase in the community services charge from $424.20 to $445.40 and a 2 per cent increase in waste water to $748.04 and sewerage connection and usage fees.

One of the items not mentioned in the budget speech from the mayor was a 2 per cent increase in the council water usage charge.

Under the previous council, the charge was frozen for four years at $1.0224 per kilolitre, but ratepayers will now pay $1.0428 per kilolitre.

Pensioners will continue to receive a discount on the rate charges for owner occupied properties with a $426 a year concession up from $402 while those on a part pension will get a $213 discount up from $201.

The Volunteer Fire Brigade Charge will be $1.64 per rateable property.

Council governance chair Karen Murphy said Logan’s pensioner discount was one of the most generous in the state.

She said money would be well invested in environmental projects including a fire ant eradication program for council land.

A pothole team will be set up with $1.8 million. Pictures: Logan City Council

Road upgrades and a citywide beautification program, along with funding for sports facilities including the Beenleigh Aquatic Centre were also given a ratepayer-funded boost.

Cr Raven did not elaborate on a massive projected $800 million deficit in the city’s Local Government Infrastructure Plan, which left many projects on ice after a damning report in October blaming the state government cap on infrastructure charges.

However, he said money would be spent on projects including plans to tackle homelessness and increase housing supply.

Logan’s rates rise was above Brisbane’s reported 3.8 per cent increase.

The Gold Coast reported its rates rise as 4.2 per cent and Moreton Regional Council reported its rise was 3.8 per cent. All were announced this month.

Redland ratepayers will find out their fate on June 27 along with Ipswich.

Originally published as ‘Not flashy’: Logan rates up 4.61% with no big budget projects