The City of Mandurah officially adopted its 2026-27 budget on June 24, locking in a 4.95 per cent increase in general rates revenue after a heated debate that saw alternative proposals for a 2.95 per cent rise and even a zero increase put forward. The final vote was 8-3 in favour of the higher figure.
For the average residential property, the increase translates to an additional $87.23 on the annual rates bill. According to a council report, the 4.95 per cent rise is considered modest and will generate approximately $110.17 million in rates revenue for the city.
Proposals for Lower Increases Rejected
Councillor Dave Schumacher pushed for a 2.95 per cent increase, arguing that the city needed to focus on core services that benefit the majority of residents. He acknowledged the efforts of city staff in preparing the budget but said it was “not just enough” and that the council should stick to its core businesses.
Councillor Ryan Burns went further, advocating for no increase at all. “It’s a real bill that will land in the mailboxes and inboxes of households and businesses across Mandurah,” he said. “And for many people, it lands on top of everything else: power, insurance, groceries, fuel, rent, mortgages, State charges, Federal taxes, fees, levies, goes on and on. Every level of government adds its bit. We don’t have a cost-of-living crisis. We’ve got a cost of government crisis.” He called on the city to prove the increase was necessary and that all savings options had been exhausted.
Cr Schumacher also expressed concerns about employee costs, which he said exceeded 40 per cent of revenue, and about the city charging interest on payment plans and fees for changing payment arrangements. “I’m not threatening jobs or anything, please don’t think I am. But a company in the commercial sector just wouldn’t be happy with that sort of operating costs,” he said.
Mayor Defends Increase as Necessary
Mayor Amber Kearns countered that a zero per cent increase would have severe consequences. “If we freeze rates, those costs don’t disappear. They just shift the burden on to the organisation, ultimately on to the services our community relies on,” she said. “A zero per cent rate increase would mean cutting around $5.1m from the budget immediately. I don’t believe that is trimming the fat. I believe that’s cutting straight into the muscle. We cannot simply defer difficult decisions and leave the costs to those who come after us.”
The adopted budget projects a deficit of $500,000, with staff expected to find $250,000 in savings over the course of the year.
New Levies and Capital Projects
The budget introduces new levies for Port Bouvard Southport Canals properties to help manage waterways, similar to charges already in place in other canal precincts. This will apply to 37 canalfront properties on Southport Boulevard. Councillor Owen Mulder wanted the charge paused while dredging requirements were investigated.
Key capital projects in the budget include the Eastern Foreshore boardwalk renewal ($1.4 million), the Falcon coastal shared path ($2 million), and resurfacing of Peelwood Parade, Waterside Drive, Mandurah Terrace and Exchequer Avenue.
Councillor Shannon Wright noted that residents do not experience budgets in terms of percentages or revenue. “Usually the experience comes for them when the drainage is fixed, when the playground that they love taking their kid to gets an upgrade, when kids use a sporting facility, when the family visits the library, or when they enjoy a community event that we put on around the town,” he said.
Councillor Jenny Green highlighted that the city was missing out on about $3 million in rates exemptions for charitable organisations, but acknowledged the community value these services provide. She also pointed out that many costs are “invisible,” such as insurance.
