Politics
Frankston Council Adopts 2026 Rates Framework, Capping Levies for Smaller Homes While Raising Them for Larger Properties
Under the new framework Frankston households in properties valued below $750,000 receive a 3 percent cap on rate rises while owners of larger homes and commercial sites pay more to maintain council services.
How we reported this
The Frankston City Council passed the 2026 Rates Framework on July 6, setting a 3 percent cap on rate increases for residential properties assessed below $750,000 while removing caps on homes valued above $1.2 million and on commercial sites.
The change follows the release of the council's draft budget papers in May, which showed a projected $4.2 million shortfall in revenue needed to cover existing service contracts for waste collection, road repairs and library operations through June 2027.
Daily Effects for Frankston Households
A resident in a two-bedroom unit valued at $620,000 will pay an extra $87 next financial year instead of the $142 increase that would have applied without the cap. Families in three-bedroom homes near the central business district, typically valued between $680,000 and $740,000, face similar limited rises. Owners of waterfront properties assessed above $1.5 million will see bills climb by an average of $620, according to the framework's published tables.
Local advocates note that the extra revenue from higher-value and commercial properties is directed to the same service accounts that cover street sweeping and park mowing across all neighbourhoods. The legislation states that the differential rating categories remain in place for the full 2026-27 rating year and cannot be altered without a further council vote.
Implementation Timeline
Rate notices will be issued on August 1 using the new valuations. Property owners can apply for a single payment discount of 3 percent if they settle by September 30. The council's revenue office will hold two public information sessions on July 15 and July 22 at the civic centre to explain how the valuation bands were set.
The framework requires the mayor to present a mid-year review to councillors by February 2027, at which point any adjustments to the differential rates would need approval before the following rating year begins.