Rate freeze for ratepayers

Cardinia Shire councillor Collin Ross wants the council to put a freeze on general rates increasing. 209223_04

By Jessica Anstice

Two Cardinia councillors are pushing to give residents a zero percent rate rise, rather than the two percent which has been proposed in the 2020-21 draft budget.

Cr Collin Ross and Cr Carol Ryan have decided to go out on a limb in an attempt to convince the other councillors to have the draft budget amended.

“My top priority is supporting the struggling ratepayers and I believe it is absolutely important that we support not only the residents and renters but we should also be supporting the businesses,” Cr Ross said.

“I believe we are in a strong financial position at council with a $100 million proposed budget.”

The rate freeze would come at a cost of about $1.6 million, however the council’s rate’s revenue averages around $70 million.

“It will just mean that $1.6 million will stay in residents’ pockets,” he said. “It was never our money anyway, we’re custodians of their money.”

Across the state, a number of councils have welcomed a rate freeze for residents and businesses in draft budgets to help with recovery from the coronavirus pandemic.

Melbourne, Ballarat, Wodonga and Wellington councils are among those that have proposed a rate freeze for the next financial year.

The two percent rate rise is the maximum allowed under a State Government decision made in December, before the crisis hit the economy.

Cr Ryan said she has spoken to a wide range of community members and claims a rate freeze is what majority deems reasonable.

“It’s a difficult time for everyone. Times are tough, I feel it, I get it and I’m with residents all the way,” she said.

“I will be supporting a zero percent rate freeze as I think it’s the right thing to do. The residents deserve to have some help out there.

“You’ve got to listen to your community and if that means we have to put aside some things for the time being then so be it.”

An internal meeting was held between councillors on Thursday 29 May, where Cr Ross proposed the potential rate freeze.

Mayor Jeff Springfield said the council is currently considering what it would look like if they were to put a freeze on rates.

“I understand that there are many difficulties being faced by many community members so we are taking everything into consideration,” Cr Springfield said.

“It’s all under consideration, more than it has been in the past but we still have to have that cash flow so it’s really difficult.

“Each rotatable dollar is accountable for going towards a service and delivery so it’s quite complicated. If rates come in at less then we have to account for that.”

With the next council election to take place in October, Cr Springfield suggested the rate freeze proposal and the election could be tied.

“There is the added difficulty that we are approaching a council election in six months time,” he said.

“We’re elected to make the best decision for the community but it’s not about making the best decision to get you re-elected.”

However Cr Ryan argued that the upcoming election is not the reason she is supporting a rate freeze.

“That’s not the reason, I know that this is the right way in my decision for my community,” she said.

“They can go down that road but I’m all about my community.”

Cr Ross also stood his ground, adding that he has lobbied for rate freezes prior to now.

“I would be doing this whether it was an election year or not,” he said.

“I’ve done it in the past.”