SUBMISSION TO IPART RE: GRC APPLICATION FOR RATE RISE
The Kogarah Bay Progress Association wrote on behalf of our members to oppose the application from Georges River Council to IPART for a Special Rate Variation (SRV) to increase rates above the rate peg and to increase the minimum rate.
Submission to IPART re: Georges River Council application for rate rise
Georges River Councillors voted on 8th Feb 2021 to apply to IPART to increase rates for the LGA.
Members of KBPA have provided a FACT SHEET for those who wish to write a submission to IPART objecting to the rate rise.
March 7 is the deadline for submissions. Have your say on IPART's page.
See this link for the Georges River Council application to IPART.
The Leader wrote this article about the proposed rates rise.
The St Georges District Residents Network Inc is running a survey to find the views of residents in the Georges River Council area about the rate increase and Special Rates Variation.
Background
There has been lots of information provided by Georges River Council about their proposed New Rates 2021.
One of our Kogarah Bay Progress Association members has put together some information on the rates that residents may be interested in, to have a balance or information.
What is rates harmonisation?
How to increase income from rates through the SRV/SV. It is possible that the initial ‘Open Space, Recreation and Community Facilities Strategy’ set the pace for capital works, hence the need for more funds. Regional Aquatic Centre, museums/pavilions, upgrading of sporting facilities forecast the need for more income from rates.
What are the issues surrounding the rates harmonisation proposal:
no information on cost savings proposed and introduced by GRC since 2016 to 2021
no access to the Financial Sustainability Working Party, formed in mid-2019, to look at potential cost savings
the Audit and Risk Management Committee recommended sale of Council property – 2 carparks – to reduce the financial deficit
the A&RMC recognised that expenditure was out-stripping income, which suggests that financial management is poorly controlled
the wide discrepancy between the former Hurstville and Kogarah Council’s minimum rate, being $586 and $967 respectively, the proposed new rate will be $965.80
no effort to find a mid-way point, financial relief for those former ratepayers from the 2 amalgamated councils, and then work towards gradual increases in rates in the coming years
Citizen Advice Group, randomly selected ratepayers, deliberations not disclosed
compared to neighbouring amalgamated councils, GRC has fewer FTES, more directorships, lowest population but needs a much higher minimum rate in the proposal to IPART.
Our member met with Mayor Greene in December 2020, and continued to ask for cost-economies, cost savings that the GRC has considered and introduced:
no response from Danielle Parker, Director of Finances
forecast from Clr Greene that next cost savings will be staff redundancies, if rate harmonisation doesn’t proceed
forced the claim that more than sufficient information provided to the community and to our member
Misleading positions presented by GRC
council rates are tax-deductible so won’t affect the rental market
supposedly $1 to $3 per week increase in 2019; in 2020, supposedly 60cents extra per week
emphasis on average values/increases muddles the discussion
ad valorem and land valuation figures used inappropriately to deflect from rates harmonisation avoiding any focus on business rates
much community consultation ‘shut-down’, to deflect the negative comments
At the same time at Georges River Council will be considering endorsing the New Rates 2021 proposal to send to IPART, the NSW Government is proposing to introduce changes to the rating system that would allow Georges River Council to harmonise rates over 4 years.
So, why the rush to push through rates rises?
