Funding for more than a dozen major projects in Melbourne has been put in doubt as Lord Mayor Sally Capp delivers her seventh, and final, city council budget.
Fifteen major projects have not been allocated funding for delivery within the council's four-year capital expenditure budget, including its flagship Greenline project, the Queen Victoria Market Precinct Renewal and the Melbourne City Baths Development.
The $316 million Greenline project, which was allocated $22.5 million in this year's budget, will receive just $27 million over the next four years, with the council to seek external funding.
The City of Melbourne's 2024-25 draft budget revealed a modest surplus of $101,000, the first time in five years the council's budget has been in the black.
"To achieve surplus in the draft budget for next year, the difficult decisions really have been focused around cutting spending," Sally Capp said.
At the $781 million budget unveiling, Ms Capp defended the lack of ongoing financial commitment to the major projects, describing it as a "rephasing" of funding.
"These are difficult decisions and you can imagine how difficult it is for me, certainly … but they are the right decisions to make to get us back to surplus budgets."
She also said omitting the project forecasts was a "more transparent and prudent way" to manage the budget.
"That doesn't mean that we're not committed to the strategies and doing the works," Ms Capp said.
"It's an approach we've taken for increased transparency and a better reflection of our financial position to not forward plan on funding that we don't actually currently have."
Rates to rise, while event spending to drop
This year's budget also revealed council rates would increase by 2.75 per cent, the maximum allowed under Victoria's rate cap, with property owners to pay an extra $37 on average.
But residents are expected to pay a lower waste charge due to an increase in the city's population, with owners of properties valued above $515,000 to receive a $53 reduction per year, while those with homes valued below will pay $15 less.
Restaurant owners with outdoor dining in the CBD will see a proposed increase in permit fees of 5 per cent, but on-street parking fees in the CBD will remain at $7 per hour and $4 per hour for off-peak times and weekends.
Revenue from parking fees is set to go up 10.9 per cent to $54 million, while parking fines will see a 2.4 per cent increase to $40 million.
Events spending will decrease from $28.2 million in last year's budget to $26.4 million due to an end to the Melbourne City Revitalisation Fund — a joint partnership post-COVID between the state government and council — with Moomba, Melbourne Fashion Week and New Year's Eve to see cuts.
The council has also proposed selling off a car park on Little Collins St, contributing to a forecasted $31.2 million net gain on property and infrastructure sales.
More than $64 million will be spent on making the City of Melbourne "cleaner, safer and more vibrant", with almost $3 million to be allocated to slashing graffiti removal response times.