Communique #1
The CRG met for the first time on 22 July 2024 to:
- discuss how the group will operate
- workshop the priorities it proposes the Tribunal consider for setting the 2025-26 rate peg, and for future CRG discussions.
The IPART Secretariat presented an overview of the rate peg methodology and 2024-25 rate peg. The group sought clarification on the superannuation adjustment applied to the 2024-25 rate peg and commented on the Emergency Services Levy (ESL) catch-up [1], the lag in the ESL factor and the move from a lagged methodology to a forward-looking methodology.
The CRG raised a range of issues and grouped them into:
- priorities for the 2025-26 rate peg
- issues to consider for the 2026-27 rate peg
- issues to consider for future rate pegs
- issues beyond the rate peg for consideration.
The CRG agreed on a range of issues to be discussed at the 2 CRG meetings before the 2025-26 rate peg is set. The CRG noted that while councils face cost pressures, ratepayers are also experiencing cost of living pressures.
The next CRG meeting will be held on Monday 12 August.
See:
[1] This refers to the council-specific adjustment first made to the 2024-25 rate peg to reflect the increase in the ESL in the years when increases were not captured by the rate peg because they were subsidised by the NSW Government.