Proposed SRV
Learn about the proposed Special Rate Variation (SRV), its potential impact on Albury's services, infrastructure and future growth, and how community feedback helps inform the process.
As part of our consultation on the proposed Special Rate Variation (SRV), we've been meeting with community members at information sessions across the city. We appreciate the many questions, comments and conversations we've had during this process.
What Happens Next
The consultation was open until Friday 31 July 2026. All feedback will be reviewed and independently analysed by Micromex.
Council will then consider the feedback before deciding whether to proceed with an application to the Independent Pricing and Regulatory Tribunal (IPART) for a Special Rate Variation.
If Council decides to proceed and the application is approved by IPART, any changes would not commence until the 2027/28 financial year.
We'll keep the community informed throughout the process and provide updates on the next steps as key milestones are reached.
About the SRV
AlburyCity looks after the things our community relies on every day – local roads and footpaths, parks and playgrounds, libraries, pools, community spaces and many other services that help make Albury a great place to live, work and visit.
Like many councils across NSW, we are facing rising costs to maintain infrastructure, deliver services and support a growing community.
Council's revenue from rates is regulated by the NSW Independent Pricing and Regulatory Tribunal (IPART), which sets a limit on how much councils can increase rates each year. This limit is known as the rate peg. For 2026/27, the rate peg has been set at 3.6%.
This challenge is not unique to Albury. Over the past five years, 46 NSW councils have applied for a Special Rate Variation (SRV) to help address financial sustainability challenges and support the delivery of services and infrastructure for their communities.
This means Council is facing a growing gap between the cost of providing services and maintaining infrastructure and the funding available to do so. Without changes, this may lead to a gradual decline in the condition of community assets and the level of services over time.
If a council wishes to increase rates above the annual rate peg, it must apply to IPART for approval through a process known as a Special Rate Variation (SRV).
AlburyCity is now seeking community feedback on three options before making any decision about whether to apply to IPART for a Special Rate Variation commencing in 2027/28.
The three options being considered are:
- Option 1 – No Special Rate Variation (rate peg only)
- Option 2 – A 40% Special Rate Variation phased over three years
- Option 3 – A 42% Special Rate Variation phased over two years
No decision has been made.
Council understands that any increase in rates may be challenging for some members of our community. Support is available through Council's Hardship Policy and flexible payment options for eligible ratepayers.
Your feedback will help Council understand community priorities, concerns and preferences before considering whether to proceed with an application to IPART.
Why are we having this conversation?
AlburyCity looks after the things our community relies on every day, including roads, footpaths, parks, playgrounds, libraries, pools, community spaces and many other local services.
Over time, Council has invested in infrastructure that supports a vibrant and growing regional city. While these investments have delivered significant benefits for our community, they have also increased the cost of maintaining and renewing Council's assets.
Like many councils across NSW, AlburyCity is facing rising costs associated with service delivery, infrastructure maintenance and asset renewal. At the same time, Council's rate income is regulated by IPART through the annual rate peg, which has been set at 3.6% for 2026/27.
While Council has achieved meaningful financial improvements over the past 12 months, including efficiency gains, the rate peg alone is not enough to keep pace with ongoing cost pressures. Over the past five years, 46 NSW councils have applied for a Special Rate Variation (SRV) to help address similar financial sustainability challenges.
Council has undertaken service reviews, efficiency improvements and long-term financial planning to improve its financial position. However, a gap remains between the cost of maintaining services and infrastructure and the funding available to do so.
Without additional income, Council may need to delay infrastructure renewal, extend maintenance timeframes, review service levels or increase reliance on borrowing.
The SRV consultation was about understanding how our community would like Council to balance:
- Affordability
- Maintaining infrastructure
- Delivering services
- Supporting future growth
- Long-term financial sustainability
A Special Rate Variation (SRV) is an increase to Council rates above the annual rate peg set by IPART.
Before introducing an SRV, councils must:
- Consult with their community
- Consider community feedback
- Submit an application to IPART
- Demonstrate why additional funding is required
- Receive approval from IPART
IPART independently assesses whether an application is justified and reasonable before making a decision.
The options being considered
Council sought feedback on three possible pathways for each Residential, Business and Farmland Rates.
Please view each scenario below.
Residential
Under this option, rates would continue to increase only by the annual rate peg determined by IPART.
While this would keep increases lower in the short term, it may require Council to delay infrastructure renewal projects, extend maintenance timeframes, review service levels and priorities, or increase reliance on borrowing to fund major projects and asset renewal.
Under this option, Council would apply for a rate increase phased over three years:
- 14% in 2027/28
- 13% in 2028/29
- 13% in 2029/30
For a typical household, this would mean an increase of approximately $756 over three years.
This option spreads the increase over a longer period, giving households and businesses more time to adjust while improving Council's ability to maintain infrastructure and services over the long term.
Under this option, Council would apply for a rate increase phased over two years:
- 21% in 2027/28
- 21% in 2028/29
For a typical household, this would mean an increase of approximately $857 over three years.
This option would provide additional funding sooner, allowing Council to strengthen its financial position more quickly and reduce the risk of future service reductions or infrastructure decline.
Under this option, rates would continue to increase only by the annual rate peg determined by IPART.
While this would keep increases lower in the short term, it may require Council to delay infrastructure renewal projects, extend maintenance timeframes, review service levels and priorities, or increase reliance on borrowing to fund major projects and asset renewal.
Under this option, Council would apply for a rate increase phased over three years:
- 14% in 2027/28
- 13% in 2028/29
- 13% in 2029/30
For a typical household, this would mean an increase of approximately $756 over three years.
This option spreads the increase over a longer period, giving households and businesses more time to adjust while improving Council's ability to maintain infrastructure and services over the long term.
Under this option, Council would apply for a rate increase phased over two years:
- 21% in 2027/28
- 21% in 2028/29
For a typical household, this would mean an increase of approximately $857 over three years.
This option would provide additional funding sooner, allowing Council to strengthen its financial position more quickly and reduce the risk of future service reductions or infrastructure decline.
Business
Under this option, rates would continue to increase only by the annual rate peg determined by IPART.
For a typical business property, this would result in a cumulative increase of approximately $895 over three years, increasing the average annual rate assessment from $7,995 in 2026/27 to $8,890 in 2029/30.
While this would keep increases lower in the short term, it may require Council to delay infrastructure renewal projects, extend maintenance timeframes, review service levels and priorities, or increase reliance on borrowing to fund major projects and asset renewal.
Under this option, Council would apply for a rate increase phased over three years:
- 14% in 2027/28
- 13% in 2028/29
- 13% in 2029/30
For a typical business property, this would result in a cumulative increase of approximately $3,643 over three years, increasing the average annual rate assessment from $7,995 in 2026/27 to $11,638 in 2029/30.
Compared with the rate peg only option, this represents an additional contribution of approximately $5,298 over the three-year period.
This option spreads the increase over a longer period, providing businesses with more time to adjust while improving Council's ability to maintain infrastructure, deliver services and support future growth.
Under this option, Council would apply for a rate increase phased over two years:
- 21% in 2027/28
- 21% in 2028/29
For a typical business property, this would result in a cumulative increase of approximately $4,132 over three years, increasing the average annual rate assessment from $7,995 in 2026/27 to $12,127 in 2029/30.
Compared with the rate peg only option, this represents an additional contribution of approximately $7,753 over the three-year period.
This option would provide additional funding sooner, allowing Council to strengthen its financial position more quickly and reduce the risk of future service reductions, infrastructure decline and increased reliance on borrowing.
Under this option, rates would continue to increase only by the annual rate peg determined by IPART.
For a typical business property, this would result in a cumulative increase of approximately $895 over three years, increasing the average annual rate assessment from $7,995 in 2026/27 to $8,890 in 2029/30.
While this would keep increases lower in the short term, it may require Council to delay infrastructure renewal projects, extend maintenance timeframes, review service levels and priorities, or increase reliance on borrowing to fund major projects and asset renewal.
Under this option, Council would apply for a rate increase phased over three years:
- 14% in 2027/28
- 13% in 2028/29
- 13% in 2029/30
For a typical business property, this would result in a cumulative increase of approximately $3,643 over three years, increasing the average annual rate assessment from $7,995 in 2026/27 to $11,638 in 2029/30.
Compared with the rate peg only option, this represents an additional contribution of approximately $5,298 over the three-year period.
This option spreads the increase over a longer period, providing businesses with more time to adjust while improving Council's ability to maintain infrastructure, deliver services and support future growth.
Under this option, Council would apply for a rate increase phased over two years:
- 21% in 2027/28
- 21% in 2028/29
For a typical business property, this would result in a cumulative increase of approximately $4,132 over three years, increasing the average annual rate assessment from $7,995 in 2026/27 to $12,127 in 2029/30.
Compared with the rate peg only option, this represents an additional contribution of approximately $7,753 over the three-year period.
This option would provide additional funding sooner, allowing Council to strengthen its financial position more quickly and reduce the risk of future service reductions, infrastructure decline and increased reliance on borrowing.
Farmland
Under this option, rates would continue to increase only by the annual rate peg determined by IPART.
For a typical farmland property, this would result in a cumulative increase of approximately $538 over three years, increasing the average annual rate assessment from $4,803 in 2026/27 to $5,341 in 2029/30.
While this would keep increases lower in the short term, it may require Council to delay infrastructure renewal projects, extend maintenance timeframes, review service levels and priorities, or increase reliance on borrowing to fund major projects and asset renewal.
Under this option, Council would apply for a rate increase phased over three years:
- 14% in 2027/28
- 13% in 2028/29
- 13% in 2029/30
For a typical farmland property, this would result in a cumulative increase of approximately $2,189 over three years, increasing the average annual rate assessment from $4,803 in 2026/27 to $6,992 in 2029/30.
Compared with the rate peg only option, this represents an additional contribution of approximately $3,183 over the three-year period.
This option spreads the increase over a longer period, providing landowners with more time to adjust while improving Council's ability to maintain infrastructure, deliver services and support future growth.
Under this option, Council would apply for a rate increase phased over two years:
- 21% in 2027/28
- 21% in 2028/29
For a typical farmland property, this would result in a cumulative increase of approximately $2,482 over three years, increasing the average annual rate assessment from $4,803 in 2026/27 to $7,285 in 2029/30.
Compared with the rate peg only option, this represents an additional contribution of approximately $4,657 over the three-year period.
This option would provide additional funding sooner, allowing Council to strengthen its financial position more quickly and reduce the risk of future service reductions, infrastructure decline and increased reliance on borrowing.
Under this option, rates would continue to increase only by the annual rate peg determined by IPART.
For a typical farmland property, this would result in a cumulative increase of approximately $538 over three years, increasing the average annual rate assessment from $4,803 in 2026/27 to $5,341 in 2029/30.
While this would keep increases lower in the short term, it may require Council to delay infrastructure renewal projects, extend maintenance timeframes, review service levels and priorities, or increase reliance on borrowing to fund major projects and asset renewal.
Under this option, Council would apply for a rate increase phased over three years:
- 14% in 2027/28
- 13% in 2028/29
- 13% in 2029/30
For a typical farmland property, this would result in a cumulative increase of approximately $2,189 over three years, increasing the average annual rate assessment from $4,803 in 2026/27 to $6,992 in 2029/30.
Compared with the rate peg only option, this represents an additional contribution of approximately $3,183 over the three-year period.
This option spreads the increase over a longer period, providing landowners with more time to adjust while improving Council's ability to maintain infrastructure, deliver services and support future growth.
Under this option, Council would apply for a rate increase phased over two years:
- 21% in 2027/28
- 21% in 2028/29
For a typical farmland property, this would result in a cumulative increase of approximately $2,482 over three years, increasing the average annual rate assessment from $4,803 in 2026/27 to $7,285 in 2029/30.
Compared with the rate peg only option, this represents an additional contribution of approximately $4,657 over the three-year period.
This option would provide additional funding sooner, allowing Council to strengthen its financial position more quickly and reduce the risk of future service reductions, infrastructure decline and increased reliance on borrowing.
Comparison of SRV Options
What has Council already done?
Consideration of a Special Rate Variation is not occurring in isolation.
Over recent years, Council has undertaken a range of initiatives to improve financial sustainability, including:
- Service planning and reviews
- Community consultation on service priorities
- Independent financial analysis
- Property strategy development
- Service Model Health Check
- Review of developer contributions
- Advocacy for improved funding opportunities
While Council has achieved meaningful financial improvements over the past 12 months, including efficiency gains, the rate peg alone is not enough to keep pace with ongoing cost pressures.
How we collected feedback
To ensure all voices were included, AlburyCity worked with independent research consultants Micromex.
Micromex has:
- contacted a random selection of community members by phone to gather feedback
- securely collected and analysed survey responses
- ensured independence and research best practice
This combined approach helps ensure feedback represents a broad cross-section of the community and strengthens the quality of insights informing Council decisions.
Frequently Asked Questions
A Special Rate Variation (SRV) is an increase to Council rates above the annual rate peg set by the NSW Independent Pricing and Regulatory Tribunal (IPART).
Before introducing an SRV, councils must consult with their community, consider community feedback and apply to IPART for approval.
IPART independently assesses all applications before making a decision.
AlburyCity provides and maintains a wide range of services and infrastructure that support our community every day, including roads, footpaths, parks, playgrounds, libraries, pools, community facilities and essential community services.
Like many councils across NSW, we are experiencing increasing costs associated with maintaining infrastructure, delivering services and supporting a growing community.
At the same time, Council's rate income is regulated through the annual rate peg set by IPART. Despite delivering substantial productivity gains and meaningful cost savings in recent years, the rate peg has not kept pace with increasing costs.
Council has sought community feedback on options to support long-term financial sustainability before making any decision about whether to apply for a Special Rate Variation.
AlburyCity's current financial position has developed over time as our city has grown and invested in important community infrastructure, including cultural, sporting and economic facilities that support a vibrant and growing regional centre.
While these investments have delivered significant benefits for our community, they have also increased the cost of maintaining and renewing Council's assets.
At the same time, costs associated with wages, materials, construction and asset renewal have increased significantly, particularly during recent periods of high inflation. These increases have been much higher than the annual rate peg.
Like many councils across NSW, this has created a situation where the cost of delivering services and maintaining infrastructure is growing faster than available revenue.
Over the past five years, 46 NSW councils have applied for a Special Rate Variation to help address similar financial sustainability challenges.
Council has undertaken service reviews, efficiency improvements and long-term financial planning to improve its financial position. While these initiatives have delivered meaningful savings and improvements, they are not expected to fully close the gap between future costs and available funding.
Yes.
Over recent years Council has undertaken a range of initiatives to improve financial sustainability, including:
- Service reviews and planning
- Community consultation on service priorities
- Independent financial analysis
- Property strategy development
- Service Model Health Check
- Review of developer contributions
- Long-term financial planning
- Advocacy for additional funding opportunities
Despite these efforts, long-term financial modelling indicates further action may be required to maintain services and infrastructure into the future.
Yes.
Council understands that many households, businesses and community organisations are experiencing cost-of-living pressures.
This is one of the reasons Council is seeking community feedback before making any decision.
Council also has a Hardship Policy and flexible payment options available for eligible ratepayers experiencing financial difficulty.
Comparing councils can be complex because councils provide different services and have different responsibilities.
While AlburyCity's average residential rates are higher than some councils, the combined annual charges for rates, water, sewer and domestic waste management remain below the average for comparable regional councils that provide the same services.
Further benchmarking information is available on the SRV webpage.
If Council does not proceed with an SRV, rates would continue to increase only by the annual rate peg determined by IPART.
Over time, Council may need to consider:
- Delaying infrastructure renewal projects
- Extending maintenance timeframes
- Reviewing service levels and priorities
- Increasing reliance on borrowing to fund major projects and asset renewal
Community feedback will help Council understand which priorities are most important to our community.
Council has sought feedback on three options:
Option 1 – No SRV (Rate Peg Only)
Continue with annual rate increases limited to the rate peg determined by IPART.
Cumulative increase of 11.2% over a 3-year period.
Option 2 – 40% over three years
A phased increase of:
- 14% in 2027/28
- 13% in 2028/29
- 13% in 2029/30
Cumulative increase of 45.6% over the SRV period.
Option 3 – 42% over two years
A phased increase of:
- 21% in 2027/28
- 21% in 2028/29
These percentages include the annual rate peg.
Cumulative increase of 46.4% over the SRV period (2 years).
For comparison purposes this is equivalent to a cumulative increase 51.7% over 3 years with the rate peg applying from year 3.
No decision has been made.
The impact will depend on:
- The option adopted by Council
- Your property's land value
- Your rating category (Residential, Business or Farmland)
Council has developed a rates calculator and example scenarios to help ratepayers understand the potential impact of each option.
No.
The amount paid will vary depending on:
- Your property's land value
- Your rating category
- The option adopted by Council
The existing rating structure would remain in place.
Any additional income generated through an approved SRV would help Council maintain and renew the infrastructure and services our community relies on every day, including:
- Roads and footpaths
- Parks and playgrounds
- Community facilities
- Stormwater infrastructure
- Public spaces and amenities
- Services that support a growing community
All funds raised would remain within the Albury community.
SRVs approved by IPART may be permanent or temporary.
In the case of a permanent SRV the additional income generated by the SRV remains permanently in the rate base and at the end of the approved SRV period the rate peg continues to apply i.e. at the end of the SRV period the level of Council’s rate income is not reduced back to pre-SRV levels.
In the case of a temporary SRV, at the end of the approved SRV period the level of rate income is reduced back to the level it was at prior to implementation of the SRV, following which the rate peg will continue to apply.
The SRV options that are the subject of community consultation are proposed to be permanent SRVs.
No.
Before an SRV can be introduced, Council must:
- Consult with the community
- Consider community feedback
- Decide whether to proceed with an application
- Submit an application to IPART
- Receive approval from IPART
IPART independently assesses all applications before making a decision.
All feedback received during the consultation period will:
- Be reviewed and analysed
- Help inform Council's decision-making
- Be considered before any application is made to IPART
- Be summarised in a public "What We Heard" report
Community feedback is an important part of this process.
If you are experiencing financial hardship, Council may be able to assist through:
- Flexible payment arrangements
- Support and referral options
- Information about available assistance programs
Please contact Council on (02) 6023 8111 for a confidential discussion.
Information is available through:
- The SRV webpage
- Fact sheets and FAQs
- Community information sessions
- Community centres
- Local libraries
- Customer Experience Centre