MELBOURNE City Council this week adopted the city's 2011-12 Budget, formally agreeing to a rate rise of 1.65 per cent and the provision of almost $108 million for infrastructure investment.

Lord Mayor Robert Doyle said the newly endorsed budget reflected sound economic management and would ensure the delivery of quality services and infrastructure, adding that a number of projects will commence this year to secure the city's future and cater for future growth.

"Now that the 2011-12 budget has been adopted we can start moving from plans to action and deliver a number of key infrastructure projects right throughout the city," the Lord Mayor said.

Key projects to take place in 2011-12 include $4.75 million for the redevelopment of JH Boyd High School at Southbank, including the creation of a new community hub.

The Council will invest $5.9 million to upgrade the Carlton Baths and Family Resource Centre, while $2 million (which includes $1 million from the State Government) will be used for the design and commencement of construction works associated with City of Melbourne's commitment to building a library and community centre at Docklands.

Almost $11 million will be provided for stage 2 of the Swanston Street redevelopment between Bourke and Little Bourke streets, Collins and Little Collins streets and Franklin and A'Beckett streets. 

Other projects provided for in the Council's Budget include $11.2 million for measures to manage the predicted impacts of climate change and $1.2 million on city safety and security, including two new safe city taxi ranks in the central city in Collins Street and Bourke Street (both between Russell and Swanston Streets).

A further $270,000 will be spent on late night activation, including extended operating hours for the Melbourne Visitor Centre at Federation Square, extended hours for Riverslide Skate Park and free late night music programs for the Town Hall Grand Organ. 

Council has also outlined its intention to spend $1.5 million on streetscape improvements in Flinders Lane between Elizabeth Street and Queen Street, and Elizabeth Street between Flinders Street and Collins Street.