The City of Mount Gambier has released its draft 2025/2026 Annual Business Plan and Budget for public consultation. The $52.2 million draft plan outlines Council's key priorities, strategic projects and the continued delivery of essential services for the coming financial year.
Council plans to deliver a balanced budget, a lower than forecast rate revenue increase, and a reduced Waste Service Charge (WSC) compared to previous projections in the Long Term Financial Plan (LTFP). Council will maintain all community services, invest in asset renewal, tighten cost controls and strategically manage debt, with consideration to recommendations from the Essential Services Commission of South Australia (ESCOSA) and a continued commitment to good governance.
The draft budget delivers a balanced financial outcome, with a total rate revenue increase of 8.18% (excluding predicted 0.5% growth). This is lower than previously forecast in the LTFP (8.4%), demonstrating Council's ongoing commitment to cost control, service delivery and responsible investment.
This is a significant achievement, not only have we balanced the budget, but we've also reduced the forecast rate burden compared to earlier long term financial projections. Careful financial management means we're delivering for the community now, while ensuring sustainability for the future. - City of Mount Gambier Mayor Lynette Martin.
"The rate increase may result in around an additional $35.00 per quarter, including the Waste Service Charge, for the average residential ratepayer, noting that actual amounts will vary based on property value changes."
City of Mount Gambier CEO Sarah Philpott highlighted improved financial planning outcomes across the life of the LTFP.
"Over the life of the LTFP, the need for sharp rate increases is decreasing, and we're moving toward a position where reliance on the sustainability margin is lessened. We're planning smarter and operating more efficiently," Ms Philpott said.
The proposed Waste Service Charge (WSC) for 2025/2026 is $344.00 per assessment, a 10.61% increase from the previous year. This is a result of unavoidable cost pressures in landfill and contract expenses, however, the charge is still below the amount previously forecast in the LTFP.
"This adjustment ensures full cost recovery, but is lower than expected due to our proactive budgeting and contract management."
The draft budget is shaped by current economic conditions, community expectations and recent recommendations from the Essential Services Commission of South Australia (ESCOSA). This independent review affirmed the Council's financial trajectory as "mostly sustainable" with six key recommendations, which are already being implemented on or underway. These include improved transparency in capital planning, a strategic approach to debt, and measures to control expenditure growth.
"From reviewing depreciation methods to focusing on asset renewal over expansion, every aspect of this draft plan is designed to ensure essential services are reliable and sustainable," Ms Philpott said.
Council continues to maintain all services and invest in vital infrastructure with a focus on renewing and maintaining existing assets, rather than expanding the asset base unnecessarily. This aligns with ESCOSA's recommendations, including reforms to capital planning, enhanced debt management, and tighter cost controls.
"We've made deliberate choices to invest in what we already have and what the community values," Ms Philpott said.
"Our asset maintenance and renewal program is positive, our loan portfolio is being managed carefully to reduce long-term interest burdens, and our focus is on delivering essential services more efficiently."
The CEO indicated that the draft plan is underpinned by strong financial policy, long term planning, and a commitment to sustainability. All rates, fees, and charges were reviewed with a focus on cost recovery and service efficiency.
"We're also progressing key initiatives like workforce planning, business system upgrades and asset management reform that will allow Council to deliver smarter and more efficient services well into the future."
