Rates in the Shire of Gnowangerup are set to rise by 6.6 per cent after the council approved a budget for 2026-27 at its ordinary meeting last month.

The hike is two per cent above the Consumer Price Index, the metric used to track the price of a basket of everyday goods and services, and is expected to add $5.7 million to the council coffers compared to $5.3m last year.

A loser in the new rates levy is the Amelup Tourist Precinct, a number of businesses in the Amelup locality, whose 50 per cent concession is being withdrawn over the coming years.

Other fees and charges have been increased by an average of 4.6 per cent while projects on the agenda include $1.6m to build three staff houses in Whitehead Road.

The two percent collected over the CPI is to go into a new fund which will pay for construction, maintenance and repairs to the shire’s roads.

On the program for 2026-27 is $480,000 for the reconstruction of Tie Line Road and $315,000 to rebuild Ongerup-Pingrup Road.

Shire chief executive David Nicholson said the rise was necessary.

“The community is telling us that our roads aren’t fit for purpose, and we are still well short of what we need to bring them up to standard,” he said.

Shire deputy president Bec O’Meehan said the council had been prudent in setting its budget.

“We have tried to be mindful of the cost-of-living pressures but of course the council has them too,” she said.

“We feel we have been prudent and put away some reserves for road infrastructure and other assets.”

While the Amelup businesses may be losing their discount — by 12.5 per cent to 37.5 per cent in accordance with a council resolution in March — they should benefit from being named in the corporate business plan.

The plan’s activity strategy, which was adopted by the shire, will now “promote tourism with a particular focus on Koi Kyeunu-Ruff (Stirling Range) and the towns of Borden, Gnowangerup, Ongerup and the locality of Amelup”.

The shire has set aside $65,000 for the community assistance grants program and will also run a “shark tank” event later in the year, with organisations encouraged to bid for up to $1000 in funding.