The council is proposing a rate rise of 1.5 per cent in line with the mandated rate-pegging amount, but it's less than the 1.8 per cent rise of 12 months ago.

The average residential rate for 2017-18 will be $1263 which is an increase of only $4.

Garbage charges will be held at $250 due to surplus funds held in the domestic waste management reserve and water and sewer charges are proposed to remain largely unchanged in 2017-18.

By comparison in 2013-14 Albury ratepayers were forking out close to $200 more in combined rates and charges than the previous year.

Trade waste charges are proposed to rise by 3 per cent.

The council is continuing to reap savings from a performance and efficiency review introduced in 2011-12 with $3.1 million projected to be saved by 2018-19.

It is also proposing an overall budget surplus of $9.86 million for 2017-18.

The water and sewer funds are still projected to be in surplus despite proposed negligible increases.

The council has proposed a capital works budget of $47.3 million in 2017-18 with the big ticket items being water and sewer infrastructure upgrades at Ettamogah and Thurgoona.

A further $8.5 million will be spent on road, bridge and footpath improvements including the recently announced Thurgoona Drive-Travel Stop Way roundabout.

Another $4.4 million has been allocated for the Albury airport terminal upgrade.

The council plans to borrow a further $5 million to assist with upgrades at Lavington and Thurgoona ovals.

Despite the new loans the debt service ratio remains at 7 per cent and well below the Fit for the Future benchmark of 20 per cent.

The council total budget is more than $126 million with the city's debt remaining steady at around $58 million.

But borrowing costs have reduced by $64,000 in the past 12 months.

Staffing costs remain the biggest general fund expense of more than $33.5 million.