It's entirely understandable that there are strong emotions and anger swirling through the community regarding potential rates rises.
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There is also plenty of misinformation out there.
While I don't profess to have all the answers, I hope I can clear up some elements to this debate so the community can argue their case in an informed manner.
Firstly and most importantly - the 35 per cent rates rise is a proposal only at this stage. It has not been approved nor implemented.
What council have agreed to is the advertising of the proposal for community feedback. BVSC staff put forward three scenarios:
- the status quo, meaning services will suffer and/or be lost;
- a 35% rise to general rates in order to maintain current levels of service; and
- an even higher rates rise so services can be improved.
Councillors voted that the second scenario was most palatable, but their decision did not make it a fait accompli. There's a lot of discussion, feedback and applications to IPART to work through before it might hit your back pocket.
Secondly and perhaps just as importantly to understand is that it is not a plan to increase your entire rates bill by 35 per cent as some on social media would have you believe.
The emotional reaction is understandable as none of us want to be forking out hard earned money, but it needs to be tempered somewhat.
I'll use my own rates notice as an example.
My current year's notice was for $2924.10. Rather steep, but I assume not the highest in the shire given there are properties sitting on much more valuable land than a 70-year-old home in Bega.
However, the 35 per cent rise will not apply to that entire amount. It is only proposed for the general base rate, which in my case is $835 - the ad valorem amount plus the residential base rate.
So we're talking some $292 extra over a year. Nothing to be sneezed at, but certainly nowhere near the $1000 figure many people in the community leapt on as if the percentage applied to your entire bill.
Don't get me wrong. I am not discounting the hit to our bank balances and that we also pay some of the highest sewerage rates in the state. But just know that the proposed 35% increase is not applied to those water, waste and sewer dollars on your rates notice.
However, also bear in mind that our council is in need of revenue in order to provide services such as roads and rubbish management.
With the federal government's Financial Assistance Grants not keeping pace with inflation and a shadow of its former level of support, it's left to councils to make up the shortfall.
Not coincidentally, if the FAG was restored to its former level, the number of dollars flowing into the council's general fund would be essentially the same as what would be raised by the 35 per cent rates increase.
So you can rail at council if you will, but perhaps also direct some of that ire at the federal government, calling on all sides of politics as we approach an election to commit to restoring a suitable level of financial support for local councils.
In doing so, ensuring the burden of keeping councils sustainable does not fall entirely to hard-working ratepayers.
- Ben Smyth, Editor