2.2 Differential Rate Categories
2.2.1 Residential Land
Residential Land is any land which does not have the characteristics of Vacant Sub Standard Land,
Farm Land, Commercial Land or Industrial Land, and which is:

used, designed or adapted to be used primarily for residential purposes; or

vacant land but which, by reason of its locality and zoning under the relevant Planning Scheme,
would, if developed, be or be likely to be used primarily for residential purposes; or

any other land which does not have the characteristics of Vacant Sub Standard Land, Farm
Land, Commercial Land or Industrial Land.
The objective of this differential rate is to ensure that such rateable land makes an equitable financial
contribution to the cost of carrying out the functions of Council having regard to the capacity of such
land to be used to yield income and the demands such land makes on Council's infrastructure. Those
functions include the:
1.
implementation of good governance and sound financial stewardship; and
2.
construction, renewal, upgrade, expansion and maintenance of infrastructure assets; and
3.
development and provision of health, environmental, conservation, leisure, recreation, youth
and family community services; and
4.
provision of strategic and economic management, town planning and general support
services; and
5.
promotion of cultural, heritage and tourism aspects of Council’s municipal district.
The types and classes of rateable land within this category are those having the relevant
characteristics described above.
The money raised by the differential rate will be used to fund some of those items of expenditure
described in the Budget adopted by Council. The level of the rate for land in this category is
considered to provide for an appropriate contribution to Council’s budgeted expenditure, having
regard to the characteristics of the land.
The geographic location of the land within this category is wherever it is located within the municipal
district, without reference to ward boundaries.
The use of the land within this category is any use of land permitted under the relevant Planning
Scheme.
The planning scheme zoning applicable to each rateable land within this category, as determined by
consulting maps referred to in the relevant Planning Scheme.
The types of buildings on the land within this category are all buildings already constructed on the
land or which will be constructed prior to the expiry of the 2015/2016 financial year.
2.2.2 Vacant Sub Standard Land
Vacant Sub Standard Land is any land which does not have the characteristics of Residential Land,
Farm Land, Commercial Land or Industrial Land, and which is vacant land on which, by reason of its
locality and zoning under the relevant Planning Scheme, no building can be erected except in
accordance with an adopted restructure plan.
The objective of this differential rate is to ensure that all rateable land makes an equitable financial
contribution to the cost of carrying out the functions of Council having regard to the capacity of such
land to be used to yield income and the demands such land makes on Council's infrastructure. Those
functions include the:
1.
implementation of good governance and sound financial stewardship; and
2.
construction, renewal, upgrade, expansion and maintenance of infrastructure assets; and
3.
development and provision of health, environmental, conservation, leisure, recreation, youth
and family community services; and
4.
provision of strategic and economic management, town planning and general support
services; and
5.
promotion of cultural, heritage and tourism aspects of Council’s municipal district.
The types and classes of rateable land within this category are those having the relevant
characteristics described above.
The money raised by the differential rate will be used to fund some of those items of expenditure
described in the Budget adopted by Council. The level of the rate for land in this category is
considered to provide for an appropriate contribution to Council’s budgeted expenditure, having
regard to the characteristics of the land.
The geographic location of the land within this category is wherever it is located within the municipal
district, without reference to ward boundaries.
The use of the land within this category is any use of land permitted under the relevant Planning
Scheme.
The planning scheme zoning applicable to each rateable land within this category, as determined by
consulting maps referred to in the relevant Planning Scheme.
The types of buildings on the land within this category are all buildings already constructed on the
land or which will be constructed prior to the expiry of the 2015/2016 financial year.
2.2.3 Farm Land
Farm Land is any land which does not have the characteristics of Residential Land, Vacant Sub
Standard Land, Commercial Land or Industrial Land, and which is:


“farm land’ within the meaning of section 2(1) of the Valuation of Land Act 1960; and
approved by Council as farm land, following the receipt of an application by an owner of land in
accordance with the rules and application process detailed on Council’s website.
The objective of this differential rate is to ensure that all rateable land makes an equitable financial
contribution to the cost of carrying out the functions of Council having regard to the capacity of such
land to be used to yield income and the demands such land makes on Council's infrastructure. Those
functions include the:
1.
implementation of good governance and sound financial stewardship; and
2.
construction, renewal, upgrade, expansion and maintenance of infrastructure assets; and
3.
development and provision of health, environmental, conservation, leisure, recreation, youth
and family community services; and
4.
provision of strategic and economic management, town planning and general support
services; and
5.
promotion of cultural, heritage and tourism aspects of Council’s municipal district.
The reasons for the use and level of this differential rate are:

To encourage the continuation of farming pursuits on rural land in support of the strategic
objective to support the economic development of the agricultural sector.

In recognition that the size of the landholding required to conduct a farm business is far greater
than other non farm businesses with similar turnover and (pre-tax) profitability. Therefore farms in
comparison have a higher valuation and would pay higher rates if a lower differential rate was not
applied.

In recognition that farm businesses’ profitability is affected by weather, which means that their
income is more susceptible and fragile than may other businesses.
The types and classes of rateable land within this category are those having the relevant
characteristics described above.
The money raised by the differential rate will be used to fund some of those items of expenditure
described in the Budget adopted by Council. The level of the rate for land in this category is
considered to provide for an appropriate contribution to Council’s budgeted expenditure, having
regard to the characteristics of the land.
The geographic location of the land within this category is wherever it is located within the municipal
district, without reference to ward boundaries.
The use of the land within this category is any use of land permitted under the relevant Planning
Scheme.
The planning scheme zoning applicable to each rateable land within this category, as determined by
consulting maps referred to in the relevant Planning Scheme.
The types of buildings on the land within this category are all buildings already constructed on the
land or which will be constructed prior to the expiry of the 2015/2016 financial year.
2.2.4 Commercial Land
Commercial Land is any land which does not have the characteristics of Residential Land, Vacant
Sub Standard Land, Farm Land or Industrial Land, and which is:

used, designed or adapted to be used primarily for the sale of goods or services or other
commercial purposes; or

vacant land but which, by reason of its locality and zoning under the relevant Planning Scheme,
would, if developed, be or be likely to be used primarily for the sale of goods or services or other
commercial purposes.
The objective of this differential rate is to ensure that all rateable land makes an equitable financial
contribution to the cost of carrying out the functions of Council having regard to the capacity of such
land to be used to yield income and the demands such land makes on Council's infrastructure. Those
functions include the:
1.
implementation of good governance and sound financial stewardship; and
2.
construction, renewal, upgrade, expansion and maintenance of infrastructure assets; and
3.
development and provision of health, environmental, conservation, leisure, recreation, youth
and family community services; and
4.
provision of strategic and economic management, town planning and general support
services; and
5.
promotion of cultural, heritage and tourism aspects of Council’s municipal district.
The reasons for the use and level of this differential rate are:

To reduce the rate distribution to Residential Land by applying a higher differential to Commercial
Land in recognition of the tax deductibility of rates that is not available to owners of most
Residential Land.

In recognition of the extra service, when compared to Residential Land, that Commercial Land
derive from Council, which includes but is not limited to economic development activities for
businesses, the impact that heavy vehicles (servicing businesses) have on road infrastructure,
street cleaning and local laws monitoring car park overstays.
The types and classes of rateable land within this category are those having the relevant
characteristics described above.
The money raised by the differential rate will be used to fund some of those items of expenditure
described in the Budget adopted by Council. The level of the rate for land in this category is
considered to provide for an appropriate contribution to Council’s budgeted expenditure, having
regard to the characteristics of the land.
The geographic location of the land within this category is wherever it is located within the municipal
district, without reference to ward boundaries.
The use of the land within this category is any use of land permitted under the relevant Planning
Scheme.
The planning scheme zoning applicable to each rateable land within this category, as determined by
consulting maps referred to in the relevant Planning Scheme.
The types of buildings on the land within this category are all buildings already constructed on the
land or which will be constructed prior to the expiry of the 2015/2016 financial year.
2.2.5 Industrial Land
Industrial Land is any land which does not have the characteristics of Residential Land, Vacant Sub
Standard Land, Farm Land or Commercial Land, and which is:

used, designed or adapted to be used primarily for industrial purposes; or

vacant land but which, by reason of its locality and zoning under the relevant Planning Scheme,
would if developed, be or be likely to be used primarily for industrial purposes.
The objective of this differential rate is to ensure that all rateable land makes an equitable financial
contribution to the cost of carrying out the functions of Council having regard to the capacity of such
land to be used to yield income and the demands such land makes on Council's infrastructure. Those
functions include the:
1.
implementation of good governance and sound financial stewardship; and
2.
construction, renewal, upgrade, expansion and maintenance of infrastructure assets; and
3.
development and provision of health, environmental, conservation, leisure, recreation, youth
and family community services; and
4.
provision of strategic and economic management, town planning and general support
services; and
5.
promotion of cultural, heritage and tourism aspects of Council’s municipal district.
The reasons for the use and level of this differential rate are:

To reduce the rate distribution to Residential Land by applying a higher differential to Industrial
Land in recognition of the tax deductibility of rates that is not available to owners of most
Residential Land.

In recognition of the extra service, when compared to Residential Land, that Industrial Land
derive from Council, which includes but is not limited to economic development activities for
businesses, the impact that heavy vehicles (servicing businesses) have on road infrastructure,
street cleaning and local laws monitoring car park overstays.