How do Councils work out the general rates income they need?

All councils in South Australia prepare an Annual Business Plan and Budget, which outlines the services, programs and infrastructure Council will deliver in the coming year.
When setting the annual business plan and budget, a council must balance the current needs and expectations of the community with what will be required in the future to achieve the best economic, environmental and community outcomes.
Council also needs to consider external pressures and increased costs, the amount of income available from rates, and property owners’ ability to pay rates.
The services and programs provided by councils, and the infrastructure requirements of individual councils, vary considerably. For example, the Mount Barker District Council has a mix of residential, commercial, industrial and rural properties, and is considered a ‘growth council’ where population is expected to increase significantly in the years ahead.