The average rate increase for local residents will be $267 after a 43 per cent rate rise was approved for Tenterfield Shire Council.
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While it was short of what the council had applied for, the permanent rate rise will deliver the council an additional $1,883,000 a year.
Because of increased costs it will still leave the council with a significant deficit.
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On Friday, June 30, the council will hold its monthly meeting, which was delayed to allow time to prepare reports following the Independent Pricing and Regulatory Tribunal (IPART).decision.
Council had requested an 86 per cent increase for two consecutive years, but only had it partially approved in the June 15 announcement.
Mayor Bronwyn Petrie said the door remained open for the council to go back to IPART for another increase next year, but the tribunal had determined the council had not made enough savings yet, and there was more scope there for the council to improve its budget position, before the tribunal would allow a further increase to rates.
For the council it means some tough decisions lie ahead.
While staff numbers have already been reduced, Cr Petrie said senior staff will be looking at a permanent restructure, with union input.
"The 43 per cent (increase) will help, but we've got some hard decisions to make," Cr Petrie said, adding it would include looking at further asset sales, which follows the sell-off of some council land.
"We've got some decisions to make in further reducing services to get us through the next 12 months without having to make any extra borrowings.
"But we're certainly trying to hold as much as our service delivery as we possibly can. But there has to be some significant cuts."
The council will continue to operate the School of Arts until at least the end of July. The mayor, deputy mayor John Macnish and CEO Daryl Buckingham have met with the president, vice president and CEO of the NSW National Trust and are working collaboratively to find a solution for the historic space.
The council has also spoken with the business chamber about how tourism is promoted in the shire in an effort to save costs.
"Unfortunately council is not immune to all the significant increases that everyone has seen," Cr Petrie said.
Fuel alone cost the council an extra $500,000 when prices went up, she said.
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