Councils and farmers have suggested novel ways to overcome what they say is a broken rating system.
They're waiting on the outcome of the Local Government Rating System Review, chaired by Dr Kathy Alexander.
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The Victorian Farmers Federation has warned farmers face double-digit rate spikes this coming financial year.
It analysed the draft budgets of 31 shires, finding the average farm rate, statewide, was expected to be 4.7pc.
That's well above the 2.5 per cent Fair Go cap mandated by the Victorian Government in 2017.
The steepest of the farm rate rise spikes is 11.6pc, planned by Wellington Shire, a stark contrast to the neighbouring South Gippsland Shire Council at 2.9pc.
The VFF wants four big changes to the rating system to offer farmers and rural residents alike a more equitable system, including having the state distribute rate revenues, compulsory farm differentials, minimum rates and averaging property valuations over time.
Wellington shire mayor Councillor Alan Hall expressed the frustration of many rural local authorities.
"While the council is not collecting any additional total rates income, from last year the rate burden will shift from some property sectors, like commercial/industrial - where some valuations have actually decreased - to sectors like farming, that have had property valuation increases," Cr Hall said.
"This 'shifting' between rate classes and geographic locations happens in every council every year when valuations are done.
"What makes the picture even more challenging are the various types and sizes of farms and enterprises within the agricultural sector - dryland, irrigated, intensive horticulture, vegetable processing, dairy, poultry, viticulture.... all can show very different business trends from year to year."
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Corangamite mayor Neil Trotter said the council felt the scope of the review was not broad enough.
"The current situation is really outdated, it's based on a medieval system," Cr Trotter said.
The review should have looked at different rating systems, from around the world.
"It's really reinventing the same thing, and while it's doing that, we are not going anywhere."
Tim Leeming, Pigeon Ponds, in the Southern Grampians Shire, said on social media yearly revaluations were clearly not working.
"The dangers of booms in commodities in agriculture can spike land prices, which in turn can really hit farm rates," Mr Leeming said
"Farm average values over five years seems a sensible approach as suggested by the Victorian Farmers Federation."
Anthony Mulcahy, who farms at Pura Pura, western Victoria, praised Ararat Rural City Council for stripping costs out of its budget.
"They are demonstrating it can be done, if the shire has an appetite for that," Mr Mulcahy said.
He questioned what had happened to the rating review.
"It's probably in (former Local Government Minister) Adem Somyurek's drawer, he's probably overlooked it," Mr Mucahy said.
'We might see it, once we get a new minister."
Skipton crop producer Vern Dawson said rates had to reflect profitability.
He said government's shouldn't fear scrapping the whole system.
"The rates system is so flawed, it needs to be thrown out, and they need to start from scratch," Mr Dawson said.
He said one answer could be to increase GST payments to councils, which could then scrap rates altogether.
Ian Arney, a mixed farmer in the Mildura Rural City Council area, said while differentials had helped, rates should not be set on capacity to pay.
"They are determined on land value, not capacity to earn an income," Mr Arney said.
"We have to have a better way of determining what rates people have to pay.
"It's a land tax, but an income tax would make it more functional."
Chris Plant, Manangatang, who is in the Swan Hill Rural City Council, said it was clear the current rating system was inequitable.
"It clearly favours larger metro councils with ever-increasing property numbers compared to smaller rural councils many of which are becoming financially unsustainable," Ms Plant said.
"A fairer model would consist of the state setting a general rate for all property and then allocating funds to councils on a needs and equity basis.
"This may also help address some of the wastage and overspending that currently occurs by some of the larger metro councils."
A state government spokeswoman said the Local Government Rating System Review final report was submitted on March 31.
It would be released, when the government responded, later this year.
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