'Rate hike should not be permanent,' says Brooks
The Ratepayers' Choice group of independent candidates has reiterated its opposition to plans to make permanent the temporary rate increase introduced in 2021.
"The temporary rate increase was approved in the aftermath of the financial crisis for emergency short term purposes, principally the repayment of emergency loans," the group's lead candidate Mr Kevin Brooks said.
"Council CEO David Farmer has recently stated Council intends to make the temporary rate hike permanent, and has baked this into the assumptions underpinning Council's Long Term Financial Plan."
Mr Brooks said the Group had reiterated its opposition at candidate forums throughout the election campaign.
He called on other candidates to state where they stood on the issue.
"Once the emergency loans have been repaid, there should be no need for it to continue.
"Council will save $11 to $13 million per year in debt servicing once the loans are repaid.
"It was always intended that money should be returned to the ratepayer.
"David Farmer's plan to continue the rate hike even after the loans have been repaid is an admission he hasn't fixed the underlying problems that caused the financial crisis in the first place, namely poor management, inefficiency, falling productivity, and bad culture.
"Instead of slugging ratepayers, a newly-elected Council needs to focus on improving efficiency and productivity.
"For example, an annual efficiency target of just one per cent per year starting in 2024-25 would liberate about $30 Million per year in savings from the General Fund alone by 3031-32.
"That is the same amount raised by the temporary rate increase.
"A similar efficiency target could be applied to the Water and Sewer Fund.
"We can't go on throwing ever more ratepayers' money at a poorly-managed Council and expect things to improve because it hasn't worked.
"Rates have increased 39 per cent in four years, yet services have continued to decline in priority areas such as roads, water and sewer, determination times for development applications, and customer complaints.
"A different approach is needed focused on fixing underlying problems within the organisation."
SOURCE:
Media release, 31 Aug 2024
Kevin Brooks, Ratepayers' Choice