Bev McArthur MP, Member for Western Victoria Region, Shadow Assistant Minister for Government Scrutiny, Media Release, 23 September 2022
Glenelg Shire residents are right to be alarmed at an effective 20 per cent increase in their rates.
Farm rates will go up 22 per cent.
It results from a change in the Council’s rating method, transitioning from a rebate to a differential rating system.
Member for Western Victoria and Shadow Assistant Minister for Government Scrutiny, Bev McArthur, said it’s catastrophic.
“I have spoken about this in the Victorian Parliament – and I will keep talking about it until the Minister for Local Government gets involved,” Mrs McArthur said.
“At a time when the cost of living is on the rise and rise – such a blatant cash grab from a local council is crude economics and completely unacceptable.
“Energy costs are ready to spiral. Milk costs more, bread costs more, fruit and vegetables cost more – and in the Glenelg Shire, the rates will cost at least 20 per cent more,” she said.
Mrs McArthur raised the matter in Parliament and referred to the petition containing more than 1,700 signatures from Glenelg ratepayers – from Portland, Casterton and across the farmland district.
The Fair Go For Glenelg ratepayers group says the rating change will increase the Council’s rating income by $3.5 million a year.
A farmer, and member of the ratepayer group, Howard Templeton, has described the rate surge as “morally wrong”.
His own rate bill will go from $25,000 to $40,000.
Another farmer with multiple land holdings across Western Victoria advises that his Glenelg bill is the biggest – more than double the rates applied by the West Wimmera Council. Per council he pays:
- Glenelg: 0.0026 cents in the dollar
- Colac Otway: 0.0024
- Southern Grampians: 0.0020
- West Wimmera: 0.0012
This comes at a time when a 2 per cent rate cap is in place across the state. The council argues that it is technically still within a 1.75 per cent rate cap.
“But in reality – the Glenelg Councillors have enabled a rate rise in excess of eight times the rate cap,” Mrs McArthur said.
“It’s tricky maths. And it’s highly likely that some ratepayers will not be able to afford the change.
“Their 1,700 signatures should not be ignored.”
The petition is directed to the Essential Services Commission, the Victorian Auditor-General’s Office and the Victorian Inspectorate General’s Office.
It seeks “…a full audit and enquiry of the Glenelg Shire Council proceedings and Financial management…” and challenges the legitimacy of the 2022-2023 budget.
“I urge the Minister for Local Government to take up the petitioner’s desperate position,” Mrs McArthur said.
“Minister Melissa Horne must initiate a review into the rating change at the Glenelg Shire Council and a broader Inquiry into the council itself.
“Regional Victorians are already well alert to the fact that this Andrews Labor Government only cares about proceedings, perceptions and politics within the tram tracks of Melbourne.
“A failure of the Minister to act will simply further confirm this status.”
However, Mrs McArthur said the Glenelg local rate issue highlights the inequitable nature of property taxes as a funding means by Local Government.
“Successive Government reviews have failed to address the issue of income and expenditure by local government, many of which have lost focus on key responsibilities – spending on feel-good ‘wants’ instead of lifesaving ‘needs’ such as safe roads.
“But there is no doubt some of the financial burden borne by local government is the result of clever cost shifting by State Government.
“A serious conversation is overdue regarding the combined broader issue about the roles and responsibilities of Australia’s three levels of government.”
