16 November 2017 - Cut [Council] staff costs first - Letter to SCR Editor, by Lance Sewell
Source: SCR Letters: http://www.southcoastregister.com.au/story/5062263/letters-to-the-editor/?cs=205
As ratepayers, we all need to make our Councillors and council’s General Manager aware of our dissatisfaction with recent extreme and indefensible rate increases.
When discussing rates they seem unaware of the community dissatisfaction that exists and the hardships created by the rate increases.
We make three points:
-- In 2016 General Rates Fund Rates were $69 million. Total General Fund Only Council employee costs were $63.5 million. In the last 10 years our Council rates exceeded the rate peg in six of these years and in that time Council rates increased 61 per cent. CPI increased only 32 per cent. Council employee costs increased 60 per cent. Almost double. In the last two years council rates increased 7.4 per cent. CPI increased 4 per cent. Council employee costs increased 19 per cent, almost five times CPI. Little wonder Council needed to increase the rates in 2017/218 by 13.2 per cent to counteract these large employee cost increases.
-- Having illustrated our dissatisfaction, we would add that, to our knowledge, not one of the successful Councillors in the last election advised us, in the lead-up to the election, that they intended voting for the massive increases in rates now being introduced. There has been no publicised requests from these Councillors for the General Manager to introduce staff efficiencies and reductions that could lessen wages. Even the most casual council observers can perceive many such economies of scale.
-- And finally, with such well paid and talented staff at council, we are flabbergasted at the continuing use of expensive outside “consultants”, almost at a whim.
L. Sewell, Vincentia
Source: SCR Letters: http://www.southcoastregister.com.au/story/5062263/letters-to-the-editor/?cs=205
As ratepayers, we all need to make our Councillors and council’s General Manager aware of our dissatisfaction with recent extreme and indefensible rate increases.
When discussing rates they seem unaware of the community dissatisfaction that exists and the hardships created by the rate increases.
We make three points:
-- In 2016 General Rates Fund Rates were $69 million. Total General Fund Only Council employee costs were $63.5 million. In the last 10 years our Council rates exceeded the rate peg in six of these years and in that time Council rates increased 61 per cent. CPI increased only 32 per cent. Council employee costs increased 60 per cent. Almost double. In the last two years council rates increased 7.4 per cent. CPI increased 4 per cent. Council employee costs increased 19 per cent, almost five times CPI. Little wonder Council needed to increase the rates in 2017/218 by 13.2 per cent to counteract these large employee cost increases.
-- Having illustrated our dissatisfaction, we would add that, to our knowledge, not one of the successful Councillors in the last election advised us, in the lead-up to the election, that they intended voting for the massive increases in rates now being introduced. There has been no publicised requests from these Councillors for the General Manager to introduce staff efficiencies and reductions that could lessen wages. Even the most casual council observers can perceive many such economies of scale.
-- And finally, with such well paid and talented staff at council, we are flabbergasted at the continuing use of expensive outside “consultants”, almost at a whim.
L. Sewell, Vincentia
25 October 2017 - Council to hold public meetings on proposed rate increase:
Source: Shoalhaven News @ Radio 2ST: https://www.2st.com.au/news/shoalhaven-news/115799-council-to-hold-public-meetings-on-proposed-rate-increase
Shoalhaven City Council will be holding a series of public meetings on its proposed special rate variation . Council wants to retain the 13.2 percent increase approved as a temporary increase by IPART and seek a further 5 percent increase over the next 3 financial years. The first public meeting is on the Tuesday 31 October 2017 from 7pm at the Huskisson Community Centre. Other Shoalhaven meetings as follows: - Wednesday, 1 November 2017 at 7.00pm at Ulladulla Civic Centre - Auditorium Monday ; - 13 November 2017 at 7.00pm at the Nowra School of Arts.
Source: Shoalhaven News @ Radio 2ST: https://www.2st.com.au/news/shoalhaven-news/115799-council-to-hold-public-meetings-on-proposed-rate-increase
Shoalhaven City Council will be holding a series of public meetings on its proposed special rate variation . Council wants to retain the 13.2 percent increase approved as a temporary increase by IPART and seek a further 5 percent increase over the next 3 financial years. The first public meeting is on the Tuesday 31 October 2017 from 7pm at the Huskisson Community Centre. Other Shoalhaven meetings as follows: - Wednesday, 1 November 2017 at 7.00pm at Ulladulla Civic Centre - Auditorium Monday ; - 13 November 2017 at 7.00pm at the Nowra School of Arts.
26 October 2017 - Community Invited to Learn about Proposed Special Rate Variation - Shoalhaven City Council Press Release [Public Meeting - Huskisson on Tues 31 October 2017]
Shoalhaven City Council is inviting the community to find out about and provide comment on the proposed Special Rate Variation. Council is proposing to apply to the Independent Pricing and Regulatory Tribunal for a continuation of the 13.2% rate increase that was applied to ratepayers this year. The previous increase was only approved to be implemented for a one-year period and Council is seeking for this increase to remain in place for the future.
As part of this application Council will also be seeking a 5% rate increase (including the rate peg) for each of the next 3 years. This increase is to meet the ongoing maintenance and renewal needs of our community infrastructure. The proposed increased revenue will fund maintenance and improvements to Shoalhaven roads, parks, sport fields and other community assets.
General Manager Russ Pigg said, “Council has listened to the feedback that was received from the community last year about the previous proposed rates increase.”
“There was a clear message that any increase needed to be more affordable and needed to be implemented at a slower pace than had originally been proposed.”
“Instead of a short sharp increase the new proposal is for a staggered increase which will be brought in over the next 3 years.”
“This will mean that Council will not be able to meet some of the State Government measures (ratios) for Local Government sustainability. Whilst Council will not meet the ratios as soon as originally planned, the proposal over time will ensure that we do meet most of what is required of us.”
“It is important in any proposal, that the needs of our community are considered and so a smaller increase has been proposed this year.”
“We understand that Council needs to look at both sides of the ledger and ensure that we are tightening our own belt. It is essential that Council finds ways to continue to save money and become more efficient. We are working hard to ensure that this occurs and continue to find savings each year.”
“We need to also make sure that Council is financial sustainable into the future. Council needs to have the revenue available that will start to address the infrastructure backlog”
“It is important for the community to understand that according to State Government measures and the information prepared as part of the 2016/17 Financial Statements, Council should be spending an extra $53M to maintain and renew our infrastructure, assets and catch up with backlog works.”
“Each year our Community Survey results indicate that the community still expects better roads and paths. With the rate increase proposed I expect noticeable improvements over the next three years.”
“To add to this there is the continuing increases in community expectations and desire for the community to have new facilities and infrastructure.”
“To reduce rate increases we have suggested alternatives such as closure of certain services and facilities, increases in fees and charges, but these have not been accepted by the community.”
“Council understands that any rate increase does have an affect for our ratepayers, however in order to keep providing for the community now and into the future we need to be financially prudent and continue to have this conversation to find the best solution for our community.”
In the simplest terms the general purpose rate increase means you would pay 5% more than the current year. If your general rates were $1000 in 2017/18 they will be $1050 in 2018/19.
“We are inviting everyone to look over the proposal and to provide feedback to Council. The Special Rate Variation and the Delivery Program and Operational Plan documents will be on exhibition from 26 October 2017 and can be found on Council’s website and at administration centres.”
Council will also host three public meetings to provide the community with more information and facts on the proposed Special Rate Variation. The community is encouraged to attend one of the public meetings which will be held on:
· Tuesday, 31 October 2017 at 7.00pm at Huskisson Community Centre
· Wednesday, 1 November 2017 at 7.00pm at Ulladulla Civic Centre - Auditorium
· Monday, 13 November 2017 at 7.00pm at the Nowra School of Arts
The public meetings will provide an opportunity to learn more about the Special Rate Variation proposal directly from Council’s General Manager and Directors, senior staff and Councillors, who will all be in attendance to engage in discussions and answer questions.
All welcome, no RSVP required. For more information, visit the Council website www.shoalhaven.nsw.gov.au or receive updates on Council’s Facebook page. Alternatively contact Council on Tel: 4429 3111 to get a Special Rate Variation information pack sent to you.
Kate Ryan, Communications Officer, Shoalhaven City Council
02 4429 3339 ; 0438 544 312 ; Bridge Rd (PO Box 42) Nowra NSW 2541 ; kate.ryan@shoalhaven.nsw.gov.au ; www.shoalhaven.nsw.gov.au
Shoalhaven City Council is inviting the community to find out about and provide comment on the proposed Special Rate Variation. Council is proposing to apply to the Independent Pricing and Regulatory Tribunal for a continuation of the 13.2% rate increase that was applied to ratepayers this year. The previous increase was only approved to be implemented for a one-year period and Council is seeking for this increase to remain in place for the future.
As part of this application Council will also be seeking a 5% rate increase (including the rate peg) for each of the next 3 years. This increase is to meet the ongoing maintenance and renewal needs of our community infrastructure. The proposed increased revenue will fund maintenance and improvements to Shoalhaven roads, parks, sport fields and other community assets.
General Manager Russ Pigg said, “Council has listened to the feedback that was received from the community last year about the previous proposed rates increase.”
“There was a clear message that any increase needed to be more affordable and needed to be implemented at a slower pace than had originally been proposed.”
“Instead of a short sharp increase the new proposal is for a staggered increase which will be brought in over the next 3 years.”
“This will mean that Council will not be able to meet some of the State Government measures (ratios) for Local Government sustainability. Whilst Council will not meet the ratios as soon as originally planned, the proposal over time will ensure that we do meet most of what is required of us.”
“It is important in any proposal, that the needs of our community are considered and so a smaller increase has been proposed this year.”
“We understand that Council needs to look at both sides of the ledger and ensure that we are tightening our own belt. It is essential that Council finds ways to continue to save money and become more efficient. We are working hard to ensure that this occurs and continue to find savings each year.”
“We need to also make sure that Council is financial sustainable into the future. Council needs to have the revenue available that will start to address the infrastructure backlog”
“It is important for the community to understand that according to State Government measures and the information prepared as part of the 2016/17 Financial Statements, Council should be spending an extra $53M to maintain and renew our infrastructure, assets and catch up with backlog works.”
“Each year our Community Survey results indicate that the community still expects better roads and paths. With the rate increase proposed I expect noticeable improvements over the next three years.”
“To add to this there is the continuing increases in community expectations and desire for the community to have new facilities and infrastructure.”
“To reduce rate increases we have suggested alternatives such as closure of certain services and facilities, increases in fees and charges, but these have not been accepted by the community.”
“Council understands that any rate increase does have an affect for our ratepayers, however in order to keep providing for the community now and into the future we need to be financially prudent and continue to have this conversation to find the best solution for our community.”
In the simplest terms the general purpose rate increase means you would pay 5% more than the current year. If your general rates were $1000 in 2017/18 they will be $1050 in 2018/19.
“We are inviting everyone to look over the proposal and to provide feedback to Council. The Special Rate Variation and the Delivery Program and Operational Plan documents will be on exhibition from 26 October 2017 and can be found on Council’s website and at administration centres.”
Council will also host three public meetings to provide the community with more information and facts on the proposed Special Rate Variation. The community is encouraged to attend one of the public meetings which will be held on:
· Tuesday, 31 October 2017 at 7.00pm at Huskisson Community Centre
· Wednesday, 1 November 2017 at 7.00pm at Ulladulla Civic Centre - Auditorium
· Monday, 13 November 2017 at 7.00pm at the Nowra School of Arts
The public meetings will provide an opportunity to learn more about the Special Rate Variation proposal directly from Council’s General Manager and Directors, senior staff and Councillors, who will all be in attendance to engage in discussions and answer questions.
All welcome, no RSVP required. For more information, visit the Council website www.shoalhaven.nsw.gov.au or receive updates on Council’s Facebook page. Alternatively contact Council on Tel: 4429 3111 to get a Special Rate Variation information pack sent to you.
Kate Ryan, Communications Officer, Shoalhaven City Council
02 4429 3339 ; 0438 544 312 ; Bridge Rd (PO Box 42) Nowra NSW 2541 ; kate.ryan@shoalhaven.nsw.gov.au ; www.shoalhaven.nsw.gov.au
14 October 2017 - Late with your Rates? Here is Council's hardship policy in action!
Five weeks late to pay council rates, debt collectors at doorstep
Source: South Coast Register: Rebecca Fist @fistjourno [..with thanks to Rebecca!]
http://www.southcoastregister.com.au/story/4987527/five-weeks-late-to-pay-council-rates-debt-collectors-at-doorstep/?cs=203
A man who owns four properties in the Shoalhaven, and forgot to pay his rates bill on time this quarter had a rude shock when a council debt collector appeared at his home in Sydney. He has paid the bill promptly every year for 20 years, and claims that he did not receive a notice in the mail or a phone call to remind him to pay the bill before the collection agent showed up. He contacted the South Coast Register to advise readers about the process. “I unfortunately missed one set of quarterly rates on one of the four residential properties I am involved with, purely due to a bookkeeping error, a couple of weeks later, thugs on my doorstep,” home owner Stuart Cregan said.
The man would not identify himself, other than providing a first name, and confirming he was representing Shoalhaven Council. “I asked the man what he wanted, he told me to ring a number and pointed to the piece of paper he was holding,” Mr Cregan said. “I refused and he continued with his spiel. “I asked him to identify himself, again no response other than a first name. “The conversation became intense. “I asked him to leave as he wouldn’t identify himself, he continued with his thug-like spiel and wouldn’t leave until under intense pressure. “I assisted him off my property, he advised he would be back. “I'm a large person, I didn't back down. “What would happen if it was a little old lady, or handicapped person, or my wife, it's just not on.”
Shoalhaven Council confirmed the debt collection agency they employ were handling Mr Cregan’s case. “Council has been outsourcing debt recovery to an external agency for some time,” a spokesperson said. “This is common practice for a number of local councils due efficiencies that are provided by these agencies.” Council said th agency issues reminder notices before they take further action. “Reminder notices are issued by our Debt Recovery Agency using Council letterhead,” the spokesperson said. “Then, if the overdue amount has not been paid or a satisfactory payment arrangement made, as per the Debt Recovery Policy, the account is referred to Council’s Debt Recovery Agency for further action.”
Five weeks late to pay council rates, debt collectors at doorstep
Source: South Coast Register: Rebecca Fist @fistjourno [..with thanks to Rebecca!]
http://www.southcoastregister.com.au/story/4987527/five-weeks-late-to-pay-council-rates-debt-collectors-at-doorstep/?cs=203
A man who owns four properties in the Shoalhaven, and forgot to pay his rates bill on time this quarter had a rude shock when a council debt collector appeared at his home in Sydney. He has paid the bill promptly every year for 20 years, and claims that he did not receive a notice in the mail or a phone call to remind him to pay the bill before the collection agent showed up. He contacted the South Coast Register to advise readers about the process. “I unfortunately missed one set of quarterly rates on one of the four residential properties I am involved with, purely due to a bookkeeping error, a couple of weeks later, thugs on my doorstep,” home owner Stuart Cregan said.
The man would not identify himself, other than providing a first name, and confirming he was representing Shoalhaven Council. “I asked the man what he wanted, he told me to ring a number and pointed to the piece of paper he was holding,” Mr Cregan said. “I refused and he continued with his spiel. “I asked him to identify himself, again no response other than a first name. “The conversation became intense. “I asked him to leave as he wouldn’t identify himself, he continued with his thug-like spiel and wouldn’t leave until under intense pressure. “I assisted him off my property, he advised he would be back. “I'm a large person, I didn't back down. “What would happen if it was a little old lady, or handicapped person, or my wife, it's just not on.”
Shoalhaven Council confirmed the debt collection agency they employ were handling Mr Cregan’s case. “Council has been outsourcing debt recovery to an external agency for some time,” a spokesperson said. “This is common practice for a number of local councils due efficiencies that are provided by these agencies.” Council said th agency issues reminder notices before they take further action. “Reminder notices are issued by our Debt Recovery Agency using Council letterhead,” the spokesperson said. “Then, if the overdue amount has not been paid or a satisfactory payment arrangement made, as per the Debt Recovery Policy, the account is referred to Council’s Debt Recovery Agency for further action.”
11 October 2017 - Further rate rise remains likely in the Shoalhaven - rescission motion defeated
Source: Shoalhaven News © 2ST: https://www.2st.com.au/news/shoalhaven-news/115227-further-rate-rise-remains-likely-in-the-shoalhaven-rescission-motion-defeated
A further rate rise remains likely in the Shoalhaven after a rescission motion to prevent it was defeated at an extraordinary council meeting this week [9 Oct 2017]. Council will now apply to the Independent Pricing and Regulatory Tribunal (IPART) to permanently retain [the] 13.2 percent increase which has already been imposed. The decision will also see Council apply for an increase of 5 percent including the rate peg to be applied from next year over the next 3 financial years.
Councillor Kaye Gartner says it’s a sensible approach. "They are providing a lot of finance for our road repairs to get our roads safe and to maintain our roads so they don't deteriorate more rapidly than we can get around to patching them up", Councillor Gartner said, "This is a big problem in our community, we've got an extensive road network", she said.
Meantime, Councillor Mitchell Pakes say’s if approved by IPART, the proposal will make life much harder for those who are struggling in the Shoalhaven. "Some Councillors have stopped listening to the community, but we are listening to the community, we understand your concerns and we understand this rate increase is unaffordable", Councillor Pakes said. "We will continue to fight it, if we have to call more public meetings to explain to people what's going on, we will do so again", he said.
Source: Shoalhaven News © 2ST: https://www.2st.com.au/news/shoalhaven-news/115227-further-rate-rise-remains-likely-in-the-shoalhaven-rescission-motion-defeated
A further rate rise remains likely in the Shoalhaven after a rescission motion to prevent it was defeated at an extraordinary council meeting this week [9 Oct 2017]. Council will now apply to the Independent Pricing and Regulatory Tribunal (IPART) to permanently retain [the] 13.2 percent increase which has already been imposed. The decision will also see Council apply for an increase of 5 percent including the rate peg to be applied from next year over the next 3 financial years.
Councillor Kaye Gartner says it’s a sensible approach. "They are providing a lot of finance for our road repairs to get our roads safe and to maintain our roads so they don't deteriorate more rapidly than we can get around to patching them up", Councillor Gartner said, "This is a big problem in our community, we've got an extensive road network", she said.
Meantime, Councillor Mitchell Pakes say’s if approved by IPART, the proposal will make life much harder for those who are struggling in the Shoalhaven. "Some Councillors have stopped listening to the community, but we are listening to the community, we understand your concerns and we understand this rate increase is unaffordable", Councillor Pakes said. "We will continue to fight it, if we have to call more public meetings to explain to people what's going on, we will do so again", he said.
5 September 2017 -
Ratepayers Foot Bill for Costly eco-extravangance South Coast Register, Letters: http://www.southcoastregister.com.au/story/4904137/letters-to-the-editor/?cs=205 At first glance it seems so reassuring to hear from the “community” members of council’s climate change committee (they’ve since updated to some more flowery nomenclature), that they “are very concerned about how older, disabled and economically disadvantaged people will be able to cope with more frequent extreme temperatures and associated health issues”. Well, I’m more concerned about how all of these people, and the rest of us, will be able to afford to pay for these expensive political programs that have no quantifiable outcomes attached to them. For some time now, there has been widespread and rightful concern about environmental protection. This is reflected in recycling programs, reductions in electricity usage, on the ground planting programs as well as litter reduction initiatives and more. In the Shoalhaven, where we all enjoy our truly awesome natural environment, |
we aren’t too bad at supporting all of this and more off our own bat (OK, we’ve had a few dodgy moments on waste to landfill in the past… but generally).
Almost everybody in our community is a responsible conservationist, but now, by the imposition of the Greens-Gash council, we all must instead be eco-warriors… and we must pay for it. Last week, available councillors (they never hold these things on weekends when working people can attend) and senior staff took a day out to plan the next extraordinary rate increase to build on the last extraordinary increases. As I review the “confidential” documents presented on the day, I’m anything but surprised. The controlling bloc of council and senior staff are lock step in tune to provide more programs, more staff and higher charges. So bring on the personal attacks, the code of conduct complaints and every other tactic that these people will use to try and shut me up on unaffordable rates increases. Every time they report me to the Office of Local Government, or try to toss me out of meetings, it confirms that the ratepayers of the Shoalhaven are fed up with paying for the eco-extravagance of this council. Andrew Guile, Councillor for Ward 1 |
21 June 2017 - Admit your mistake
Letters to the Editor - South Coast Register: http://www.southcoastregister.com.au/story/4744157/letters-to-the-editor/?cs=205 I can live with most decisions made at council but I can’t live with the now adopted 13.2 per cent rate increase. In my opinion this council has got the rate increase wrong. The repercussions on the community are likely to be far more than anticipated. The council knows there will be people in this community who are going to face economic hardship when this rate increase goes ahead. Yet this council approved the increase anyway. Recently, the community was confronted with a proposed fire and emergency services levy put forward by the state government but luckily the government came to its senses, recognised the proposed levy would have far-reaching impacts on the community and reconsidered its position. The government was big enough to recognize the mistake and change its mind. On the other hand, the Greens/Gash alliance of the Shoalhaven were unable to realise this rate increase is a mistake, and were unwilling change their minds. It is not a bad thing to change one’s mind. It is a sign of listening to the community. |
Councillors need to shape and reshape their opinions regularly by talking to the residents they represent. There is a need for councillors to be fluid, flexible and open minded.
I have heard Cr Kaye Gartner say on several occasions the people she spoke to were happy to accept a rate increase. That may be the case in Vincentia where Cr Gartner lives. However, she should have visited Ward 3, the ward she represents, more often and she would have heard a different story. Ward 3 is made up of 29 towns and villages and I can assure you the majority of people who live between Tabourie in the south and St Georges Basin in the north are not happy to accept yet another hefty rate increase. I’m not convinced the majority of residents living in Sanctuary Point, Huskisson, East Nowra, Worrigee, Nowra or Bomaderry are happy about it either. At the extraordinary meeting on June 15 the Greens/Gash alliance demonstrated they were not listening to the community and were unwilling to change their mind or even consider an alternative. Cllr Mark Kitchener, Deputy Mayor, Shoalhaven City Council |
14 Jun 2017 - Shoalhaven councillors stall rate rise after hour-long feud
By: Rebecca Fist, @fistjourno , South Coast Register: http://www.southcoastregister.com.au/story/4728907/shoalhaven-councillors-stall-rate-rise-after-hour-long-feud/?cs=203#slide=2 A Shoalhaven City Council meeting descended into a heated verbal exchange between councillors divided over the imminent rate rise. After an hour-long stoush, a majority of councillors (seven) approved the special rate variation of 13.2 per cent. However, opponents of the motion tabled a rescission motion, meaning the issue will be debated again in a month’s time. In the passionate debate on Tuesday, Mayor Amanda Findley stepped in to defend Cr Kaye Gartner who stood up while Cr Greg Watson had the floor. “Oh, sit down,” Crs Mitchell Pakes and Andrew Guile said to Cr Gartner. They were quickly asked to apologise, and they obeyed mayor Findley’s request. Cr Guile opened the discussion, urging councillors to reconsider the rate rise. “We’ve gone out with an agenda and said there was one way forward,” he said. “People have been put over a barrel, told there will be no library, no pool without a special rates variation. “We need to go back to the community and adopt something that’s far more reliable, acceptable and workable for people on fixed incomes, and with limited means.” Cr Gartner, who voted in support of the rate rise, corrected him. “It’s actually an independent body, not council making the recommendations,” she said. Cr Watson chimed in, mocking Cr Gartner. South Coast Register @SCRegister Cr Guile and Cr Watson pained to hear Cr Gartner pass the buck and blame IPART for special rates variation rather than council 8:47 PM - 13 Jun 2017 Retweets Twitter “Oh, it’s not us, it’s these dreadful IPART (Independent Pricing and Regulatory Tribunal) people telling us what to do,” he said. |
Cr Guile, who shook his head in disagreement while Cr Gartner spoke, later argued that council had the power to reject IPART’s recommendations.
“If we adopt this rate rise what we are effectively saying to our community is, ‘we don’t care about you, and we think we know better’,” he said. “It is arrogance on steroids for us to be pursuing this.” Cr Nina Cheyne, who voted in favour of the rate rise, said some low-income earners supported the move. South Coast Register @SCRegister Cr Watson on rate variation, concerned council is "bullying" disadvantaged people into a tax hike. Cr Gash: "oh we're not bullying people" 9:00 PM - 13 Jun 2017 1 1 Retweet 2 2 likes Twitter “I work with some of the poorest people in the Shoalhaven, and they have said, ‘we don’t mind, as long as we get our services’,” she said. “Now that’s integrity.” Cr Bob Proudfoot, who opposed the rate rise, said council was yet to exhaust infrastructure funding options from the state government. “I have serious doubts this is affordable,” he said. “Energy and insurance bills are rising, wages are not, (by supporting the motion) we are contributing to the demise of a standard of living.” South Coast Register @SCRegister 1/2 Cr Proudfoot: (rate rise) it's the worst form of tax of them all, we’re going to have to slug fixed income earners 9:08 PM - 13 Jun 2017 Retweets 1 1 like Twitter For: Cllrs Joanna Gash, Findley, Patricia White, Cheyne, John Wells, Gartner, John Levett Against: Cllrs Pakes, Guile, Watson, Mark Kitchener, Proudfoot Absent: Annette Alldrick South Coast Register @SCRegister 2/2 without fighting for them at all now, the state govt is crucifying us, and we're saying, just do it 9:08 PM - 13 Jun 2017 Retweets 1 1 like Twitter |
14 June 2017 - Shoalhaven City Council approves 13.2 per cent rate hike
Source: Radio 2ST Nowra, Shoalhaven News: http://www.2st.com.au/news/shoalhaven-news/110718-shoalhaven-city-council-approves-13-2-per-cent-rate-hike Shoalhaven City Councillor Andrew Guile says there were no surprises with Greens and Gash Councillors last night voting through a 13.2 percent rate hike. Shoalhaven Mayor Amanda Findley says the majority of the money will go into roads and maintenance which will be a good thing for the region. Council is set to receive an additional $7.1 Million. The breakdown of how the money will be spent as follows: The additional rate revenue of $7.1m is earmarked to improve Council’s financial sustainability ($1.8M) and for additional maintenance and asset renewals: *For additional maintenance on roads ($600,000), parks ($200,000) and buildings ($200,000); and *For additional Capital Works - Roads ($3.8m) & Streetscapes ($500,000). But Mr Guile says not everyone in the community is seeing their income rise by 13.2 percent. "On the floor of Council they pulled out $50,000 to put into their so-called climate change committee, we're looking at crazy experimental programs to put on staff, to get rid of birds, to campaign against the banks and fossil fuels", Councilor Guile said. "These are the nutty ideas that are getting oxygen in this Council", he said. |
3 May 2017 - IPART - Local Government Special Variations & Minimum Rates 2017-18 - Applications & Determinations (ongoing matter) - Shoalhaven
Public (159 so far) submissions may be read via a link on IPART page: https://www.ipart.nsw.gov.au/Home/Industries/Local-Government/Reviews/Special-Variations-Minimum-Rates/Special-Variations-Minimum-Rates-2017-18?qDh=2&cid=642993f8-de49-450e-8d2a-ee95066b62ba
Public (159 so far) submissions may be read via a link on IPART page: https://www.ipart.nsw.gov.au/Home/Industries/Local-Government/Reviews/Special-Variations-Minimum-Rates/Special-Variations-Minimum-Rates-2017-18?qDh=2&cid=642993f8-de49-450e-8d2a-ee95066b62ba
29 April 2017 - Revealed: What you will pay under the new fire services levy [Update 30 May 2017: Premier Gladys Berejiklian announces indefinite delay to fire and emergency services levy: http://www.dailytelegraph.com.au/news/nsw/gladys-berejiklian-to-announce-indefinite-delay-to-emergency-services-levy/news-story/30a82937515f50ec831aaaf445a2082c]
By Sean Nicholls, Sydney Morning Herald: http://www.smh.com.au/nsw/revealed-what-you-will-pay-under-the-new-fire-services-levy-20170428-gvumk1.html
How much Sydneysiders will pay under a new system to help fund NSW fire and emergency services can be revealed, with some property owners facing annual bills exceeding $500.
From July 1, 2017, NSW property owners will be charged the new Fire and Emergency Services Levy based on land value determined by the NSW Valuer-General, replacing the previous system which was a tax on insurance policies....Fairfax Media can reveal an owner of residential property in the Mosman council area whose land is worth the local median land value of $1.84 million will pay $502.96 for the 2017-18 financial year.
However, in Fairfield, where the local government area's median land value is $461,000, the annual levy for the owner of such a property will be $200.96. The figures are higher than the $185 average touted by the state government when it unveiled details of the reform in March.
The annual levy is determined by adding a fixed charge - $100 for residential property – to an additional ad valorem amount based on unimproved land value. For owners of "public benefit land" such as churches and scout halls, the annual fixed charge is also $100 plus an additional amount based on a separate ad valorem calculation.
But for farms, industrial and commercial landholders, the fixed charge will be $200 plus the additional amount. A new charge will be calculated annually based on the budget for NSW Fire and Rescue, the Rural Fire Service and the State Emergency Service.
Property owners can work out their precise levy using a calculator on the fire services and emergency services levy website at: fesl.nsw.gov.au
The levy, which accounts for three-quarters of the fire and emergency services budget, will be collected by councils as a separately listed charge on rates notices. The government argues the new system is fairer because previously, responsibility for funding emergency services was carried solely by those who had insurance.
It says the average fully insured residential property owner will save around $47 per year. Additionally, those eligible for pensioner discounts on council rates will get a $50 discount on the new levy. Former Australian Competition and Consumer Commission chief Allan Fels has been appointed the Fire and Emergency Services Levy Insurance Monitor to ensure insurers pass on saving to customers.
He anticipates an average drop in residential property insurance prices of up to 20 per cent. The monitor, which is in place until the end of 2018, has powers to fine insurers up to $10 million if they do not pass on the savings. Opposition treasury spokesman Ryan Park said that based on the average Sydney land value of $774,000, "the average Sydney household will end up paying around $270 – which is around $100 more than the government said they would.".....more at link
By Sean Nicholls, Sydney Morning Herald: http://www.smh.com.au/nsw/revealed-what-you-will-pay-under-the-new-fire-services-levy-20170428-gvumk1.html
How much Sydneysiders will pay under a new system to help fund NSW fire and emergency services can be revealed, with some property owners facing annual bills exceeding $500.
From July 1, 2017, NSW property owners will be charged the new Fire and Emergency Services Levy based on land value determined by the NSW Valuer-General, replacing the previous system which was a tax on insurance policies....Fairfax Media can reveal an owner of residential property in the Mosman council area whose land is worth the local median land value of $1.84 million will pay $502.96 for the 2017-18 financial year.
However, in Fairfield, where the local government area's median land value is $461,000, the annual levy for the owner of such a property will be $200.96. The figures are higher than the $185 average touted by the state government when it unveiled details of the reform in March.
The annual levy is determined by adding a fixed charge - $100 for residential property – to an additional ad valorem amount based on unimproved land value. For owners of "public benefit land" such as churches and scout halls, the annual fixed charge is also $100 plus an additional amount based on a separate ad valorem calculation.
But for farms, industrial and commercial landholders, the fixed charge will be $200 plus the additional amount. A new charge will be calculated annually based on the budget for NSW Fire and Rescue, the Rural Fire Service and the State Emergency Service.
Property owners can work out their precise levy using a calculator on the fire services and emergency services levy website at: fesl.nsw.gov.au
The levy, which accounts for three-quarters of the fire and emergency services budget, will be collected by councils as a separately listed charge on rates notices. The government argues the new system is fairer because previously, responsibility for funding emergency services was carried solely by those who had insurance.
It says the average fully insured residential property owner will save around $47 per year. Additionally, those eligible for pensioner discounts on council rates will get a $50 discount on the new levy. Former Australian Competition and Consumer Commission chief Allan Fels has been appointed the Fire and Emergency Services Levy Insurance Monitor to ensure insurers pass on saving to customers.
He anticipates an average drop in residential property insurance prices of up to 20 per cent. The monitor, which is in place until the end of 2018, has powers to fine insurers up to $10 million if they do not pass on the savings. Opposition treasury spokesman Ryan Park said that based on the average Sydney land value of $774,000, "the average Sydney household will end up paying around $270 – which is around $100 more than the government said they would.".....more at link
23 March 2017 - South Coast ratepayers warned their fees will soon go up
Source: Radio 2ST Nowra, Shoalhaven News: http://www.2st.com.au/news/shoalhaven-news/107312-south-coast-ratepayers-warned-their-fees-will-soon-go-up
South Coast and Illawarra Councils have been warning rate payers their fees will soon go up as the New South Wales Government changes the way it funds fire and emergency services. From 1 July 2017, the state Fire and Emergency Services Levy will cost ratepayers about $185 a year on top of their existing rates. Under the existing system, most of the funding for emergency services is collected through tax on insurance companies which in turn is passed onto customers through higher premiums. Kiama Council will be sending out a series of letters to rate payers notifying them of how much they have to pay, while residents should be vigilant about checking their insurance premiums which should drop by $233, once the changes come into effect.
Source: Radio 2ST Nowra, Shoalhaven News: http://www.2st.com.au/news/shoalhaven-news/107312-south-coast-ratepayers-warned-their-fees-will-soon-go-up
South Coast and Illawarra Councils have been warning rate payers their fees will soon go up as the New South Wales Government changes the way it funds fire and emergency services. From 1 July 2017, the state Fire and Emergency Services Levy will cost ratepayers about $185 a year on top of their existing rates. Under the existing system, most of the funding for emergency services is collected through tax on insurance companies which in turn is passed onto customers through higher premiums. Kiama Council will be sending out a series of letters to rate payers notifying them of how much they have to pay, while residents should be vigilant about checking their insurance premiums which should drop by $233, once the changes come into effect.
16 March 2017 - General Manager of Shoalhaven City Council suggests IPART may not fully support proposed rate increase
Source: Radio 2ST, Nowra, Shoalhaven News: http://www.2st.com.au/news/shoalhaven-news/107038-general-manager-of-shoalhaven-city-council-suggests-ipart-may-not-fully-support-proposed-rate-increase The General Manager of Shoalhaven City Council has suggested IPART may not fully approve a 29 per cent rate increase. Russ Pigg made the suggestions at last night's community consultation meeting at Sussex Inlet. The meeting was hosted by council to inform residents on why a rate increase is needed. Councillor Andrew Guile says ratepayers consulting with IPART appears to have had an effect. "The General Manager has confirmed that IPART's been directly in touch with council to inform council of the unusual numbers of public submissions made directly to IPART," Councillor Guile said. "So that might be the very measure that actually beats the 29 per cent rate rise," he said.
Source: Radio 2ST, Nowra, Shoalhaven News: http://www.2st.com.au/news/shoalhaven-news/107038-general-manager-of-shoalhaven-city-council-suggests-ipart-may-not-fully-support-proposed-rate-increase The General Manager of Shoalhaven City Council has suggested IPART may not fully approve a 29 per cent rate increase. Russ Pigg made the suggestions at last night's community consultation meeting at Sussex Inlet. The meeting was hosted by council to inform residents on why a rate increase is needed. Councillor Andrew Guile says ratepayers consulting with IPART appears to have had an effect. "The General Manager has confirmed that IPART's been directly in touch with council to inform council of the unusual numbers of public submissions made directly to IPART," Councillor Guile said. "So that might be the very measure that actually beats the 29 per cent rate rise," he said.
Independent Pricing and Regulatory Tribunal NSW (IPART) [Ed: in February 2017, Shoalhaven City Council applied to IPART for (considerable) above rate-pegging, successive year rate rises. Ratepayers may also contact IPART] Web: http://www.ipart.nsw.gov.au/Home/Industries/Local-Government CONTACT DETAILS Office Address: Level 15, 2-24 Rawson Place, SYDNEY NSW 2000 Postal Address: PO Box K35, Haymarket Post Shop NSW 1240 ENQUIRIES & ASSISTANCE P 02 9290 8400 E ipart@ipart.nsw.gov.au MEDIA CONTACTS P 02 9290 8403 E media@ipart.nsw.gov.au On Tuesday 7 March 2017 - 7:00pm - Meeting in Ulladulla on proposed rate hike
- Ulladulla Civic Centre Auditorium Source: Radio 2ST, Nowra - Shoalhaven News: http://www.2st.com.au/news/shoalhaven-news/106467-meeting-in-ulladulla-on-proposed-rate-hike Ulladulla is next on the list for a series of community meetings being held to discuss a proposed 29 per cent rate hike by Shoalhaven City Council. Council members for the increase say it's needed to maintain assets and develop infrastructure while the Shoalhaven Independents argue the community can’t afford it. Councillor Greg Watson says residents in the Southern Part of the city can now have their say from 7 o'clock this evening at the Ulladulla Civic Centre Auditorium. |
2 March 2017 - Council to consult with public over its case for massive rate hike
Source: Radio 2ST, Nowra, Shoalhaven News: http://www.2st.com.au/news/shoalhaven-news/106167-council-to-consult-with-public-over-its-case-for-massive-rate-hike
Shoalhaven City Council has resolved to conduct a series of public consultation meetings in order to explain to residents why a rate rise of about 29 percent is needed. Five public meetings will be held at various locations across the Shoalhaven to explain the need to maintain assets and infrastructure such as pools, roads, libraries and parks. Councillor Andrew Guile has welcomed the unanimous decision, but he says the independents gave the council an opportunity to participate in a similar exercise just before Christmas. "The majority of Councillors actually knocked it back, so I'm glad they've come to their senses," Councillor Guile said.
Source: Radio 2ST, Nowra, Shoalhaven News: http://www.2st.com.au/news/shoalhaven-news/106167-council-to-consult-with-public-over-its-case-for-massive-rate-hike
Shoalhaven City Council has resolved to conduct a series of public consultation meetings in order to explain to residents why a rate rise of about 29 percent is needed. Five public meetings will be held at various locations across the Shoalhaven to explain the need to maintain assets and infrastructure such as pools, roads, libraries and parks. Councillor Andrew Guile has welcomed the unanimous decision, but he says the independents gave the council an opportunity to participate in a similar exercise just before Christmas. "The majority of Councillors actually knocked it back, so I'm glad they've come to their senses," Councillor Guile said.
On Monday 27 February 2017 - Community meeting tonight on proposed rate increase [at Shoalhaven Heads from 7:00pm]
Source: Radio 2ST, Nowra, Shoalhaven News: http://www.2st.com.au/news/shoalhaven-news/105929-community-meeting-tonight-on-proposed-rate-increase
A proposed rate increase by Shoalhaven City Council of 29.05 per cent will be high on the agenda at a community meeting to take place tonight (Monday) at Shoalhaven Heads Bowling Club from 7:00pm. The Shoalhaven Independents have been vocal in their opposition against the rate hike, Councillor Greg Watson says the meeting is a chance for the community to have their say. “The council believes they need the increase to maintain the assets of the city, I’m saying that we really need to reduce the impact of that increase, if there is to be an increase, and have it over a long period of time,” Councillor Watson said.
Source: Radio 2ST, Nowra, Shoalhaven News: http://www.2st.com.au/news/shoalhaven-news/105929-community-meeting-tonight-on-proposed-rate-increase
A proposed rate increase by Shoalhaven City Council of 29.05 per cent will be high on the agenda at a community meeting to take place tonight (Monday) at Shoalhaven Heads Bowling Club from 7:00pm. The Shoalhaven Independents have been vocal in their opposition against the rate hike, Councillor Greg Watson says the meeting is a chance for the community to have their say. “The council believes they need the increase to maintain the assets of the city, I’m saying that we really need to reduce the impact of that increase, if there is to be an increase, and have it over a long period of time,” Councillor Watson said.
On Thursday 16 Feb 2017 - 7:00pm - Rate Increase Meeting - at Sussex Inlet RSL Club
Source: Radio 2ST, Nowra, Shoalhaven News: http://www.2st.com.au/news/shoalhaven-news/105175-rate-increase-meet-at-huskisson-rsl-club
Another meeting is taking place at Sussex Inlet RSL Club tomorrow night [16 Feb] from 7pm to discuss a rate increase being proposed by Shoalhaven City Council.
Councillor Greg Watson says the increase of 11.5 per cent is more like 13.5 per cent. He's asking locals to get in contact with the Independent Pricing and Regulatory Tribunal to make their thoughts known.
Source: Radio 2ST, Nowra, Shoalhaven News: http://www.2st.com.au/news/shoalhaven-news/105175-rate-increase-meet-at-huskisson-rsl-club
Another meeting is taking place at Sussex Inlet RSL Club tomorrow night [16 Feb] from 7pm to discuss a rate increase being proposed by Shoalhaven City Council.
Councillor Greg Watson says the increase of 11.5 per cent is more like 13.5 per cent. He's asking locals to get in contact with the Independent Pricing and Regulatory Tribunal to make their thoughts known.
9 February 2017 - Proposed [Shoalhaven City Council] Rate Rise Information Update
Web: http://getinvolved.shoalhaven.nsw.gov.au/rates
At a Council Extraordinary Meeting about the Proposed Rate Rise Decision on 2 February 2017, it was determined that:
•Council receive the feedback and results of the community engagement;
•Council endorse a financial sustainability approach that includes continued improvement in our procurement and asset management practices and improving productivity and implementing a Special Rate Variation;
•Council authorise staff to make a formal application to the Independent Pricing and Regulatory Tribunal (IPART) and lodge a Section 508A Special Rate Variation (SRV) on general income for an increase of 11.5% in 2017/18 and 11.5% in 2018/19, above rate peg for each of the two years in order for Council to financially support the ongoing provision of service levels to the community and increase levels of asset maintenance and renewal;
•Staff provide a report to the next Ordinary Council Meeting on the establishment of a Citizen’s Panel to provide recommendations to Council on priority areas for expenditure related to the Special Rate Variation;
•Council accept the submission from The Shoalhaven Independents on behalf of the ratepayers and residents who attended protest meetings at St Georges Basin, Bomaderry, Huskisson and Nowra [and Culburra] as part of the overall submissions and the submission also be reported to IPART;
•The General Manager report back to Council on how Council could capture any business that is operating from residential premises and re-categorise to business and if there are any legislative hurdles should Council wish to pursue this as an ongoing part of revenue review. This should include the cost for resourcing such a project. This suggestion was put to Council by concerned ratepayers;
•The General Manager report back if any other Councils apply a levy or any other mechanism to increase rates on those properties that are known to supply accommodation to the tourism industry and are essentially a business - these properties would be those listed by real estate agents and online mechanisms such as Air BnB and Stayz – this suggestion has been raised by concerned business operators;
•The General Manager report back on any measures that can be used to essentially pass some of the financial burden of maintaining assets onto the many tourists that come to the Shoalhaven, suggestions that have come through include parking meters for peak tourist times and places and bed taxes. The report should also include any legislative or resourcing issues for such matters;
•In reporting back, could the General Manager please comment on any timing issues that could be foreseen if such mechanisms were to be adopted by Council; and
•Council refer the matters raised by an Independent Auditor in a recent confidential meeting with Councillors to Council’s Risk & Audit committee for consideration and any further advice.
The proposal to apply to the Independent Pricing and Regulatory Tribunal for a special rate variation above the rate peg is being put forward to address the funding gap that continues to grow in maintaining and renewing infrastructure and providing services for the community. Ratepayers can download information packs or frequently asked questions and answers from the Council website, contact Council on telephone: 4429 3111 or email council@shoalhaven.nsw.gov.au.
What happens next with the Rate Submission?
Council staff will now commence a submission to the Independent Pricing and Regulatory Tribunal (IPART).
This decision of Council does not mean that a rate rise will be implemented immediately. IPART must first consider Council’s submission, which will include all of the submissions and community feedback that has been provided to Council. IPART may choose to either approve the proposal, refuse the proposal or approve a smaller rate increase.
The decision of IPART is expected to be received in the coming months and will be provided back to Council for consideration and determination of the next steps forward.
Council will also be shortly commencing engagement on our Community Strategic Plan and Delivery and Operational Plan which sets the direction for the future and any proposed expenditure of the rates and this will be another opportunity for the community to have their say on the expenditure of Council funds for 2017/18.
Council does understand that everyone’s situation is different and that some people may be impacted by a rate rise more than others. Council has in place a Hardship Policy to assist anyone having difficulties in paying their rates. Pensioners who have a principal place of residence in the Shoalhaven can also apply to Council for a maximum $250 pensioner subsidy.
Web: http://getinvolved.shoalhaven.nsw.gov.au/rates
At a Council Extraordinary Meeting about the Proposed Rate Rise Decision on 2 February 2017, it was determined that:
•Council receive the feedback and results of the community engagement;
•Council endorse a financial sustainability approach that includes continued improvement in our procurement and asset management practices and improving productivity and implementing a Special Rate Variation;
•Council authorise staff to make a formal application to the Independent Pricing and Regulatory Tribunal (IPART) and lodge a Section 508A Special Rate Variation (SRV) on general income for an increase of 11.5% in 2017/18 and 11.5% in 2018/19, above rate peg for each of the two years in order for Council to financially support the ongoing provision of service levels to the community and increase levels of asset maintenance and renewal;
•Staff provide a report to the next Ordinary Council Meeting on the establishment of a Citizen’s Panel to provide recommendations to Council on priority areas for expenditure related to the Special Rate Variation;
•Council accept the submission from The Shoalhaven Independents on behalf of the ratepayers and residents who attended protest meetings at St Georges Basin, Bomaderry, Huskisson and Nowra [and Culburra] as part of the overall submissions and the submission also be reported to IPART;
•The General Manager report back to Council on how Council could capture any business that is operating from residential premises and re-categorise to business and if there are any legislative hurdles should Council wish to pursue this as an ongoing part of revenue review. This should include the cost for resourcing such a project. This suggestion was put to Council by concerned ratepayers;
•The General Manager report back if any other Councils apply a levy or any other mechanism to increase rates on those properties that are known to supply accommodation to the tourism industry and are essentially a business - these properties would be those listed by real estate agents and online mechanisms such as Air BnB and Stayz – this suggestion has been raised by concerned business operators;
•The General Manager report back on any measures that can be used to essentially pass some of the financial burden of maintaining assets onto the many tourists that come to the Shoalhaven, suggestions that have come through include parking meters for peak tourist times and places and bed taxes. The report should also include any legislative or resourcing issues for such matters;
•In reporting back, could the General Manager please comment on any timing issues that could be foreseen if such mechanisms were to be adopted by Council; and
•Council refer the matters raised by an Independent Auditor in a recent confidential meeting with Councillors to Council’s Risk & Audit committee for consideration and any further advice.
The proposal to apply to the Independent Pricing and Regulatory Tribunal for a special rate variation above the rate peg is being put forward to address the funding gap that continues to grow in maintaining and renewing infrastructure and providing services for the community. Ratepayers can download information packs or frequently asked questions and answers from the Council website, contact Council on telephone: 4429 3111 or email council@shoalhaven.nsw.gov.au.
What happens next with the Rate Submission?
Council staff will now commence a submission to the Independent Pricing and Regulatory Tribunal (IPART).
This decision of Council does not mean that a rate rise will be implemented immediately. IPART must first consider Council’s submission, which will include all of the submissions and community feedback that has been provided to Council. IPART may choose to either approve the proposal, refuse the proposal or approve a smaller rate increase.
The decision of IPART is expected to be received in the coming months and will be provided back to Council for consideration and determination of the next steps forward.
Council will also be shortly commencing engagement on our Community Strategic Plan and Delivery and Operational Plan which sets the direction for the future and any proposed expenditure of the rates and this will be another opportunity for the community to have their say on the expenditure of Council funds for 2017/18.
Council does understand that everyone’s situation is different and that some people may be impacted by a rate rise more than others. Council has in place a Hardship Policy to assist anyone having difficulties in paying their rates. Pensioners who have a principal place of residence in the Shoalhaven can also apply to Council for a maximum $250 pensioner subsidy.
[Ed: the HWCV neither endorses nor opposes the Letter to the Editor, SCR reproduced under]
8 February 2017 - Bottle the rates genie
South Coast Register - Letters to the Editor: http://www.southcoastregister.com.au/story/4454918/letters-to-the-editor/?cs=205
What world do our local councillors and senior council employees live in? The intention of council to submit an application to IPART for a massive increase in rates beggars belief. The advice to the councillors from senior management as to the present financial position must be questioned.
The award conditions under which senior council staff operate bears little resemblance to the conditions of the private sector. It would appear they are secure in their ivory towers while playing Monopoly with decisions that impact upon many less fortunate mortals.
When extra funding is required to fund services very little consideration is given to reducing expenditure but simply to hike up rates to meet the shortfall.
Shame on on the current councillors for not challenging the advice before meekly accepting same.
When was the last time any staff member had a reduction in their entitlements? They are so readily keen to participate in the action of reducing the living entitlements of so many ratepayers via excessive rate rises.
My request is that all of you should walk a bit in the shoes of those you affect with your unrealistic expectations of the level of suffering that can be absorbed by the less fortunate in the community. I suggest you put the rate genie back in the bottle and start again.
B. Cumberland, North Nowra
8 February 2017 - Bottle the rates genie
South Coast Register - Letters to the Editor: http://www.southcoastregister.com.au/story/4454918/letters-to-the-editor/?cs=205
What world do our local councillors and senior council employees live in? The intention of council to submit an application to IPART for a massive increase in rates beggars belief. The advice to the councillors from senior management as to the present financial position must be questioned.
The award conditions under which senior council staff operate bears little resemblance to the conditions of the private sector. It would appear they are secure in their ivory towers while playing Monopoly with decisions that impact upon many less fortunate mortals.
When extra funding is required to fund services very little consideration is given to reducing expenditure but simply to hike up rates to meet the shortfall.
Shame on on the current councillors for not challenging the advice before meekly accepting same.
When was the last time any staff member had a reduction in their entitlements? They are so readily keen to participate in the action of reducing the living entitlements of so many ratepayers via excessive rate rises.
My request is that all of you should walk a bit in the shoes of those you affect with your unrealistic expectations of the level of suffering that can be absorbed by the less fortunate in the community. I suggest you put the rate genie back in the bottle and start again.
B. Cumberland, North Nowra
29 January 2017 - by Keith Learn & Barbara Woodney - Anomalies & Inequities in the Rates collection system
In their submission (345kb) to Council, Keith Learn & Barbara Woodney highlighted several anomalies in the local Rates system:
-- businesses not rated properly, including tourism business
-- rural businesses not properly rated
-- farms not properly rated
Tourism accelerates impacts on: road deterioration, Council Ranger costs, household waste accumulation, extra beach supervision and cleanups [Ed: and often negative impact on neighbourhoods, especially where tourism businesses increase local residential density]. These are costs met by ordinary resident ratepayers. Tourism businesses are often owned by non-resident owners. [Ed: a lot of absentee-owned tourism businesses are hoovering profits back to the Metropolitan cities. Which then returns to real estate auctions - to outbid the first home buyers]. They have tax write-offs and deductions available to increase their profits.
Under the NSW Local Government Act 1993, it should be feasible for Council to address these anomalies. Within the Shoalhaven city LGA, $8Mill to $10Mill dollars annually could be derived. An unfair burden is being placed on ordinary residential ratepayers. A legitimately imposed small increase on absentee and incorrectly rated businesses - would not decrease employment, but a universal 30% rate increase would.
In their submission (345kb) to Council, Keith Learn & Barbara Woodney highlighted several anomalies in the local Rates system:
-- businesses not rated properly, including tourism business
-- rural businesses not properly rated
-- farms not properly rated
Tourism accelerates impacts on: road deterioration, Council Ranger costs, household waste accumulation, extra beach supervision and cleanups [Ed: and often negative impact on neighbourhoods, especially where tourism businesses increase local residential density]. These are costs met by ordinary resident ratepayers. Tourism businesses are often owned by non-resident owners. [Ed: a lot of absentee-owned tourism businesses are hoovering profits back to the Metropolitan cities. Which then returns to real estate auctions - to outbid the first home buyers]. They have tax write-offs and deductions available to increase their profits.
Under the NSW Local Government Act 1993, it should be feasible for Council to address these anomalies. Within the Shoalhaven city LGA, $8Mill to $10Mill dollars annually could be derived. An unfair burden is being placed on ordinary residential ratepayers. A legitimately imposed small increase on absentee and incorrectly rated businesses - would not decrease employment, but a universal 30% rate increase would.
On Thurs 2 Feb 2017 at 4:00pm - further ExtraOrdinary Meeting (Rates) - Rescission motion by three Councillors against the Special Rate Variation - link to Agenda (90kb)
1 February 2017 - from Cllr Greg Watson -
Cumulative effect of the recommendation in the ExtraOrdinary Meeting business paper on 1 Feb 2017, using the following assumptions:
For an existing rate bill $1,000/ann [equivalent to UCV of $216k]. Huskisson is more like $1,620/ann, on UCV $350k - so our annual increases will be 1.6 times greater.
- '17/18 budget 11.5% + 1.5% = $130 + $1,000 = $1,130 [Annual increase is shown in red ink]
- '18/19 budget 11.5% + 2% = $152.55 + $1,130 = $1,282.55
- '19/20 budget + 2% = $25.65 +1,282.55 = $1,308.20
- '20/21 budget + 2% = $26.16 + 1,308.20 = $1,334.37
By the end of its term this Council will have increased the average rate by over 33% or over the next 2 financial year by over 28%. Ratepayers currently paying more than $1,000/ann (eg Huskisson and Woollamia), will pay a proportionately higher increase.
Cumulative effect of the recommendation in the ExtraOrdinary Meeting business paper on 1 Feb 2017, using the following assumptions:
For an existing rate bill $1,000/ann [equivalent to UCV of $216k]. Huskisson is more like $1,620/ann, on UCV $350k - so our annual increases will be 1.6 times greater.
- '17/18 budget 11.5% + 1.5% = $130 + $1,000 = $1,130 [Annual increase is shown in red ink]
- '18/19 budget 11.5% + 2% = $152.55 + $1,130 = $1,282.55
- '19/20 budget + 2% = $25.65 +1,282.55 = $1,308.20
- '20/21 budget + 2% = $26.16 + 1,308.20 = $1,334.37
By the end of its term this Council will have increased the average rate by over 33% or over the next 2 financial year by over 28%. Ratepayers currently paying more than $1,000/ann (eg Huskisson and Woollamia), will pay a proportionately higher increase.
On Wednesday 1 February 2017 - Extraordinary Meeting to Talk Rates - from 5:00pm, Nowra Council Building
Source: Radio 2ST, Shoalhaven News: http://www.2st.com.au/news/shoalhaven-news/103593-extraordinary-meeting-to-talk-rates Shoalhaven City Council will consider its planned special rate variation at an extra ordinary meeting on Wednesday February 1. The proposal to apply to the Independent Pricing and Regulatory Tribunal for a special rate variation above the rate peg, is being put forward to address a funding gap between maintaining and renewing infrastructure and providing services for the community. Director of Corporate and Community Services Craig Milburn acknowledges the impact of the proposed rate rises may be difficult for some, but says an increase is necessary. Agenda at: http://shoalhaven.nsw.gov.au/My-Council/Council-meetings/Agendas-and-minutes , or download here (790kb) The agenda contains details of Council's case for a rise. |
<< Click to enlarge - the item opposite is from page 5 of the Agenda for Council's Ordinary meeting on 31 January 2017. A Councillor is requesting information on a confidential meeting on 10 January 2017, of a ratepayer with the then Acting General Manager |
Rates Protest Meetings during January 2017
<< Click to enlarge the notice opposite
See item on page below, on 17 January 2017 - from Paul Dean - Re-analysis of Council's Fit for the Future submission [2015]: ..Attached is a spreadsheet comparing the published FFF General Fund Operating Statement, 10 Year Projection - with the figures in the Annual Reports -- where it splits General Fund from Water and Sewer Funds-- for the years 2014/15 and 2015/16. There are some very large differences in these numbers! ... ...In view of the above we respectfully request that Council takes pause of its headlong pursuit of rate rises and provides both itself and the community with independent and verifiable 10 year projection of its operating statement, cash flow and balance sheet for the General Fund only. Kind regards, Paul Dean, President, Shoalhaven Concerned Ratepayers Association. |
Residential Rates Rise proposals for 2017-18 - Shoalhaven City Council to ask NSW IPART in Feb 2017
Dec 2016 - Editorial comment:
We recommend community submissions be made to Council, email: council@shoalhaven.nsw.gov.au, or PO Box 42, Nowra 2541, if possible by Fri 13 January 2017, but don't be deterred by that deadline. Shoalhaven City has a large retired population, on pensions and fixed incomes. Shoalhaven also has 7.4% unemployment (Nov 2016) = second worst Labour Force Region in NSW, incl. metropolitan areas, and only just ahead of the worst, New England & North West NSW, which has 7.9%. Source: Australian Government - Department of Employment - Labour Market Information Portal Unemployment Rate - by Labour Force Region (incl metroplitan): http://lmip.gov.au/default.aspx?LMIP/LFR_SAFOUR/NSW_LFR_LM_byLFR_UnemploymentRate The scope of the residential rate rises proposed by Shoalhaven City Council for 2017-18 and beyond, has left many stunned. Many have said they are unaffordable, and out of step with community expectations. Further, they have been posed to the general community on a 'take it or leave it' basis. Attempts by the community to engage on this have been rebuffed. We welcome Council's intention to address anomalies in the existing rating system, but why not do this first, before imposing precipitate double digit rate rises in successive years? For example how many tourism accmmdn providers, and commercial businesses, are still paying residential rates? |
As at 3 Jan 2017: Consultation? We have seen a Council web page and an invitation to complete an online poll (with an incomplete set of options). No sign yet of any open forums. Time is running short, with Council intending to submit a request to IPART in Feb 2017.
The work of the Vincentia RRA CCB demonstrates that, alarmingly, last year in Council, employee costs rose by over 12%, compared to max 2% in most private businesses. Council's 12% increase in employee costs only generated less than 4% extra revenue.
The work of Paul Dean in November 2016 (see below) unmasked a false claim by Council in late 2015, that our community had somehow been on a “Rates Holiday". In fact, in 6 out of 10 years from 2005-2014, Shoalhaven was hit with significant above rate peg allowances by our council, that jumped the rates on a constant base by 60% or double the CPI rate. We already have ratepayer 'fatigue' in this city.
We think Council's supplied expenditure numbers are contestable. See the work by Mark Crowther below.
We particularly like the Citizens Jury developed by the neighbouring Eurobodalla Shire (details below). Ratepayers deserve their say on how Council spends our money.
We think the Vincentia RRA resolution on 15 Dec 2016 (see below) to ask Council for a one year deferral and further analysis, has considerable merit.
The NSW IPART contact details are below, and we would encourage CCBs and ratepayers generally to contact IPART (et al) with your concerns in Feb 2017.
Council needs to be explicit. What will the extra rates be spent on?
From 2016-17, ordinary Shoalhaven ratepayers are paying an indexed $18/ann each to subsidize an ongoing -30% rates discount to Nowra and Ulladulla CBD landlords. A KPMG consultant report supposedly justified this magnanimity in the lead up to the last Federal Election. But on request in 2016, a copy of the relevant consultant report was not forthcoming. The measure was voted in by the previous Team Gash Mayoralty. Now Team Gash in minority Councillorship, vote indirectly for generous pay conditions for Council staff - again at ordinary ratepayers expense, in a climate of high unemployment in Shoalhaven City.
In Jan 2017, the Council munificence at the expense of ordinary ratepayers continues, with the intention to build a $300k Hwy pedestrian crossing at cnr Junction St, Nowra. It includes a new set of of traffic lights on the Hwy that nobody wants, except the business lobby (see the online poll). Further, it is a duplication, with a flyover Hwy footbridge already in place just 130m away.
The NSW government will soon transfer a fire services levy to local government. This will add further costs to ratepayers, potentially several hundreds of dollars each annually.
The most experienced Shoalhaven City Councillors are the ones opposing these over-the-top rate rise proposals. That should say a lot to ordinary ratepayers.
There have been calls through local media in Jan 2017 for an independent audit of Shoalhaven City Council.
The work of the Vincentia RRA CCB demonstrates that, alarmingly, last year in Council, employee costs rose by over 12%, compared to max 2% in most private businesses. Council's 12% increase in employee costs only generated less than 4% extra revenue.
The work of Paul Dean in November 2016 (see below) unmasked a false claim by Council in late 2015, that our community had somehow been on a “Rates Holiday". In fact, in 6 out of 10 years from 2005-2014, Shoalhaven was hit with significant above rate peg allowances by our council, that jumped the rates on a constant base by 60% or double the CPI rate. We already have ratepayer 'fatigue' in this city.
We think Council's supplied expenditure numbers are contestable. See the work by Mark Crowther below.
We particularly like the Citizens Jury developed by the neighbouring Eurobodalla Shire (details below). Ratepayers deserve their say on how Council spends our money.
We think the Vincentia RRA resolution on 15 Dec 2016 (see below) to ask Council for a one year deferral and further analysis, has considerable merit.
The NSW IPART contact details are below, and we would encourage CCBs and ratepayers generally to contact IPART (et al) with your concerns in Feb 2017.
Council needs to be explicit. What will the extra rates be spent on?
From 2016-17, ordinary Shoalhaven ratepayers are paying an indexed $18/ann each to subsidize an ongoing -30% rates discount to Nowra and Ulladulla CBD landlords. A KPMG consultant report supposedly justified this magnanimity in the lead up to the last Federal Election. But on request in 2016, a copy of the relevant consultant report was not forthcoming. The measure was voted in by the previous Team Gash Mayoralty. Now Team Gash in minority Councillorship, vote indirectly for generous pay conditions for Council staff - again at ordinary ratepayers expense, in a climate of high unemployment in Shoalhaven City.
In Jan 2017, the Council munificence at the expense of ordinary ratepayers continues, with the intention to build a $300k Hwy pedestrian crossing at cnr Junction St, Nowra. It includes a new set of of traffic lights on the Hwy that nobody wants, except the business lobby (see the online poll). Further, it is a duplication, with a flyover Hwy footbridge already in place just 130m away.
The NSW government will soon transfer a fire services levy to local government. This will add further costs to ratepayers, potentially several hundreds of dollars each annually.
The most experienced Shoalhaven City Councillors are the ones opposing these over-the-top rate rise proposals. That should say a lot to ordinary ratepayers.
There have been calls through local media in Jan 2017 for an independent audit of Shoalhaven City Council.
11 January 2017 - Claims Council Finances are Flawed
Source: Radio 2ST, Shoalhaven News: http://www.2st.com.au/news/shoalhaven-news/103162-claims-council-finances-are-flawed
A confidential meeting called by an auditor Tuesday night has reportedly revealed Shoalhaven City Council's basis for wanting to increase rates is flawed. Councillor Bob Proudfoot says the private auditor's allegations about Council's finances are serious enough to force the Mayor to resign. Council will have an opportunity to refute the claims.
12 January 2017 - Council Defends Itself Against Claims
Source: Radio 2ST, Shoalhaven News: http://www.2st.com.au/news/shoalhaven-news/103217-council-defends-itself-against-claims
Shoalhaven City Council is defending itself against claims by a private auditor that its finances are misleading. Acting General Manager Tim Fletcher advises Council is treating the auditor's claims seriously and is investigating his allegations. Mr Fletcher says it's worth noting Council's financial statements are audited every year externally by independent auditors, and they have signed off on this year's statements. He says Council staff will respond to the claims in the near future.
Source: Radio 2ST, Shoalhaven News: http://www.2st.com.au/news/shoalhaven-news/103162-claims-council-finances-are-flawed
A confidential meeting called by an auditor Tuesday night has reportedly revealed Shoalhaven City Council's basis for wanting to increase rates is flawed. Councillor Bob Proudfoot says the private auditor's allegations about Council's finances are serious enough to force the Mayor to resign. Council will have an opportunity to refute the claims.
12 January 2017 - Council Defends Itself Against Claims
Source: Radio 2ST, Shoalhaven News: http://www.2st.com.au/news/shoalhaven-news/103217-council-defends-itself-against-claims
Shoalhaven City Council is defending itself against claims by a private auditor that its finances are misleading. Acting General Manager Tim Fletcher advises Council is treating the auditor's claims seriously and is investigating his allegations. Mr Fletcher says it's worth noting Council's financial statements are audited every year externally by independent auditors, and they have signed off on this year's statements. He says Council staff will respond to the claims in the near future.
17 January 2017 - by Paul Dean - Re-analysis of Council's Fit For the Future (FFF) submission and other issues
We have been reviewing council’s FFF submission and the basis for the proposed large rate increases.
Attached is a spreadsheet comparing the published FFF General Fund Operating Statement 10 Year Projection - with the figures in the Annual Reports-- where it splits General Fund from Water and Sewer Funds-- for the years 2014/15 and 2015/16. There are some very large differences in these numbers! It would prove useful to have a reconciliation of these differences.
One of several problems with both sets of figures is being able to identify the rates increases versus other revenue items. Also there is confusion on how council has handled the Waste activity in the numbers. Clearly it should be excluded.
A major flaw in it all is that there is no balance sheet presented in the FFF which would tie all the figures into balance and reveal particular items, for example the cash position! No responsible governing body of a large organisation would propose any action without a forecast balance sheet.
Other issues with council’s FFF submission:
1. Additional ratable properties: p3 discusses 7 500 new residential dwellings over next 20 years or an average of 375 per year with a population increase of 17 800 people. On the same page it also looks at a 22% increase in population over the same period. Based on the stated current population of 99 016 this would be an increase of 21 780 people over that period or an increase of 9190 dwellings equal to 460 additional properties each year. Whatever the figure the increased rates calculation –p 110--used by council does NOT appear to include these additional properties.
2. The Operating Performance Ratio forecast analysis shown on p95 has a line item of Rates and Annual Charges. The increases vary each year being 4.1%, 5.1% and 3.7% in the first 3 years but it is not possible to study just the rates increases. Elsewhere in the submission it refers to a 5% increase in each of the first 3 years. This does not appear to include an allowance for the rate peg. The submission then bounces into two 7.5% rate increases for its special rates allowance above the rate peg limit. Finally council has magically lifted this to two 11.5% rate increases!
3. The submission refers to a saving on staff changes of around $1.2 million each year for the 10 year period. (Given council’s history of growing employee costs at double the rate of inflation this is a highly unlikely achievement). It is not possible to identify such savings and we note that employee costs in the 10 year forecast rise by around 3.3% pa.
4. Council acknowledges on p41 that it is carrying duplicated and/or redundant assets and is awaiting the Ross Report. It does not appear to have allowed for such assets in its needs calculations.
5. Council shows on p31 that its employee costs to total expenses is 33% versus an average of councils in a survey of 36%. This calculation needs to be done on a General Fund only basis as well as adjusting for costs in profitable operations with few employees such as Caravan Parks.
6. Council argues on p21 that its average General Fund rate is 77% lower than adjoining councils. It may be 77% of their total but not 77% lower. Also this calculation when it compares Shoalhaven rates against Kiama (which does not provide Water and Sewer) overlooks the $6 million it takes each year from Water and Sewer operations in the form of cost recoveries. Nor does it allow for the $millions in dividends paid to General Fund each year from Water and Sewer operations.
7. Council in its FFF submission uses a highly inflated depreciation allowance based on the so called Fair Value of assets method. In general Fund this revaluation allowance stands at over $800 million. Firstly it is unreasonable to ask the community to fund this dubious figure - see also details below on asset values- and secondly it is questionable on its inclusion in the essential performance ratio calculations.
8. Council excludes recurring capital grants from its performance ratio calculations which is also a questionable practice.
Other concerns with the base data for the FFF submission - Infrastructure Assets: based on Form 9a in the 2014/15 Annual Accounts:
At end 2014 the asset category Land Improvements Depreciable (Covers: spectator mounds, swales, berms, gardens, mulched areas, streetscaping and landscaping) had a Fair Value of $222.302 million and accumulated depreciation of $63.769 million. In the 2014 year there was a depreciation allowance of $3.722 million. Note that back in 2004 this asset’s value was $ $22.0 million with depreciation that year of $648 000.
By the end of the 2015 accounts this asset category had been split into Land Improvements –Non Depreciable with a Fair Value of $78.353 million and Land Improvements—Depreciable of $19.659 million. In 2015 the depreciation allowance was just $722 000!!!. So in the one year this asset category had “Lost” most of its Depreciable tagged asset value.
In this year a new category of asset was included called Other Infrastructure—most likely that this category now includes some of the above assets. It opened with a zero balance, had adjustments of $69.261 million yet ended with a Fair Value of $132.787million.
Roads in another mystifying category. It began 2015 with a Fair Value of $902.253million, yet finished the year with Fair Value of $1 013.036 million - a staggering increase of $109 million.
These are NOT insignificant numbers and the 2014 depreciation allowance played a role in council’s FFF calculations for its Operating Performance Ratio!
A really strange thing in the FFF !!!! Page 89 of Council’s FFF submission [2015]:
“Rise ‘unlikely’ says Deputy Mayor: Shoalhaven City Deputy mayor John Wells hosed down suggestions the area could be in for another high rate rise. Clr. Wells said he couldn’t see the rates in Shoalhaven being increased. It is the position of staff I don’t see Council accepting a rate rise at all!!!”.
It is hard to understand why these comments were placed in the submission but it is also hard to understand the rationale change with Clr. Wells now actively supporting even higher rate increases!!!
In view of the above we respectfully request that council takes pause of its headlong pursuit of rate rises and provides both itself and the community with independent and verifiable 10 year projection of its operating statement, cash flow and balance sheet for the General Fund only.
Kind regards,
Paul Dean, President, Shoalhaven Concerned Ratepayers Association.
PS: we noted the Mayor’s comments on the Frenchy/Barry Mac show on Thursday that properties away from the coast would “only’ pay $10 a month more in rates - at a 60% increase over the 7 years it is more like $50 per month. To quote from elsewhere, politicians are “used to feeding a diet of meretricious trivia to a wholly complacent community”.
We have been reviewing council’s FFF submission and the basis for the proposed large rate increases.
Attached is a spreadsheet comparing the published FFF General Fund Operating Statement 10 Year Projection - with the figures in the Annual Reports-- where it splits General Fund from Water and Sewer Funds-- for the years 2014/15 and 2015/16. There are some very large differences in these numbers! It would prove useful to have a reconciliation of these differences.
One of several problems with both sets of figures is being able to identify the rates increases versus other revenue items. Also there is confusion on how council has handled the Waste activity in the numbers. Clearly it should be excluded.
A major flaw in it all is that there is no balance sheet presented in the FFF which would tie all the figures into balance and reveal particular items, for example the cash position! No responsible governing body of a large organisation would propose any action without a forecast balance sheet.
Other issues with council’s FFF submission:
1. Additional ratable properties: p3 discusses 7 500 new residential dwellings over next 20 years or an average of 375 per year with a population increase of 17 800 people. On the same page it also looks at a 22% increase in population over the same period. Based on the stated current population of 99 016 this would be an increase of 21 780 people over that period or an increase of 9190 dwellings equal to 460 additional properties each year. Whatever the figure the increased rates calculation –p 110--used by council does NOT appear to include these additional properties.
2. The Operating Performance Ratio forecast analysis shown on p95 has a line item of Rates and Annual Charges. The increases vary each year being 4.1%, 5.1% and 3.7% in the first 3 years but it is not possible to study just the rates increases. Elsewhere in the submission it refers to a 5% increase in each of the first 3 years. This does not appear to include an allowance for the rate peg. The submission then bounces into two 7.5% rate increases for its special rates allowance above the rate peg limit. Finally council has magically lifted this to two 11.5% rate increases!
3. The submission refers to a saving on staff changes of around $1.2 million each year for the 10 year period. (Given council’s history of growing employee costs at double the rate of inflation this is a highly unlikely achievement). It is not possible to identify such savings and we note that employee costs in the 10 year forecast rise by around 3.3% pa.
4. Council acknowledges on p41 that it is carrying duplicated and/or redundant assets and is awaiting the Ross Report. It does not appear to have allowed for such assets in its needs calculations.
5. Council shows on p31 that its employee costs to total expenses is 33% versus an average of councils in a survey of 36%. This calculation needs to be done on a General Fund only basis as well as adjusting for costs in profitable operations with few employees such as Caravan Parks.
6. Council argues on p21 that its average General Fund rate is 77% lower than adjoining councils. It may be 77% of their total but not 77% lower. Also this calculation when it compares Shoalhaven rates against Kiama (which does not provide Water and Sewer) overlooks the $6 million it takes each year from Water and Sewer operations in the form of cost recoveries. Nor does it allow for the $millions in dividends paid to General Fund each year from Water and Sewer operations.
7. Council in its FFF submission uses a highly inflated depreciation allowance based on the so called Fair Value of assets method. In general Fund this revaluation allowance stands at over $800 million. Firstly it is unreasonable to ask the community to fund this dubious figure - see also details below on asset values- and secondly it is questionable on its inclusion in the essential performance ratio calculations.
8. Council excludes recurring capital grants from its performance ratio calculations which is also a questionable practice.
Other concerns with the base data for the FFF submission - Infrastructure Assets: based on Form 9a in the 2014/15 Annual Accounts:
At end 2014 the asset category Land Improvements Depreciable (Covers: spectator mounds, swales, berms, gardens, mulched areas, streetscaping and landscaping) had a Fair Value of $222.302 million and accumulated depreciation of $63.769 million. In the 2014 year there was a depreciation allowance of $3.722 million. Note that back in 2004 this asset’s value was $ $22.0 million with depreciation that year of $648 000.
By the end of the 2015 accounts this asset category had been split into Land Improvements –Non Depreciable with a Fair Value of $78.353 million and Land Improvements—Depreciable of $19.659 million. In 2015 the depreciation allowance was just $722 000!!!. So in the one year this asset category had “Lost” most of its Depreciable tagged asset value.
In this year a new category of asset was included called Other Infrastructure—most likely that this category now includes some of the above assets. It opened with a zero balance, had adjustments of $69.261 million yet ended with a Fair Value of $132.787million.
Roads in another mystifying category. It began 2015 with a Fair Value of $902.253million, yet finished the year with Fair Value of $1 013.036 million - a staggering increase of $109 million.
These are NOT insignificant numbers and the 2014 depreciation allowance played a role in council’s FFF calculations for its Operating Performance Ratio!
A really strange thing in the FFF !!!! Page 89 of Council’s FFF submission [2015]:
“Rise ‘unlikely’ says Deputy Mayor: Shoalhaven City Deputy mayor John Wells hosed down suggestions the area could be in for another high rate rise. Clr. Wells said he couldn’t see the rates in Shoalhaven being increased. It is the position of staff I don’t see Council accepting a rate rise at all!!!”.
It is hard to understand why these comments were placed in the submission but it is also hard to understand the rationale change with Clr. Wells now actively supporting even higher rate increases!!!
In view of the above we respectfully request that council takes pause of its headlong pursuit of rate rises and provides both itself and the community with independent and verifiable 10 year projection of its operating statement, cash flow and balance sheet for the General Fund only.
Kind regards,
Paul Dean, President, Shoalhaven Concerned Ratepayers Association.
PS: we noted the Mayor’s comments on the Frenchy/Barry Mac show on Thursday that properties away from the coast would “only’ pay $10 a month more in rates - at a 60% increase over the 7 years it is more like $50 per month. To quote from elsewhere, politicians are “used to feeding a diet of meretricious trivia to a wholly complacent community”.
16 Nov 2016 - Shoalhaven Cllr Andrew Guile accuses council 'elites' for hiking rates By: JOHN HANSCOMBE, South Coast Register: http://www.southcoastregister.com.au/story/4296810/echo-of-trump-as-guile-slams-rates-elites/?cs=203 The new council honeymoon appears to over, with Shoalhaven Independent councillor Andrew Guile launching a Trump-style attack on what he called council “elites” who have backed the proposed rates increase. "Greens and Gash councillors who have voted to support massive rate increases over coming years have completely lost touch with the Shoalhaven community," he said. [Ed: expect $200pa extra in 2017-18 on land valuation $350k; and another extra $200pa in 2018-19. In Year 3: your rate base has grown by $400pa].
Cr Guile led the bid to overturn the IPART application at last night's extraordinary meeting of Shoalhaven City Council. "We now have our own collection of 'elites' in council,” he said. “Councillors who want to build cultural centres and establish climate change talkfest committees while they slug our residents to pay for it all.” He accused supporters of the rates proposal of underestimating the true cost of the flagged increases...more at link See also: audio podcast: http://www.shoalhavenfm.org.au/podcasts/ (34MB) - click 15 Nov 2016, ExtraOrdinary Mtg. |
On Friday 16 December 2016 - Public Meeting to Discuss Rate Rise - at St Georges Basin Radio 2ST Nowra: http://www.2st.com.au/news/shoalhaven-news/101378-public-meeting-to-discuss-rate-rise The Shoalhaven Independents have called a public meeting for later this month to discuss rate rises. Council has asked IPART for a special rate variation and has tabled three options .. 61 per cent over seven years, 37 per cent over four years, or a two year increase of 29 per cent. Councillor Greg Watson says none of those is affordable and they've organized a public meeting at St Georges Basin for December 16 to send a message to Council. |
21 December 2016 - Rate Rise Motion Shut Down [Ed: is Council listening?]
Radio 2ST, Nowra: http://www.2st.com.au/news/shoalhaven-news/102338-rate-rise-motion-shut-down
An urgency motion on proposed rate rises has been shut down by Shoalhaven City Council. Councillor Andrew Guile moved the motion at Tuesday night's meeting, but says the Greens and Gash Councillors backed Mayor Amanda Findley to defeat it. He says it's a slap in the face for people who want to engage with Council to discuss any planned increase.
Radio 2ST, Nowra: http://www.2st.com.au/news/shoalhaven-news/102338-rate-rise-motion-shut-down
An urgency motion on proposed rate rises has been shut down by Shoalhaven City Council. Councillor Andrew Guile moved the motion at Tuesday night's meeting, but says the Greens and Gash Councillors backed Mayor Amanda Findley to defeat it. He says it's a slap in the face for people who want to engage with Council to discuss any planned increase.
6 Jan 2017 - The most affordable towns close to the coast within a three-hour drive of Sydney By: Sue Williams, Domain Reporter, SMH: http://www.domain.com.au/news/the-most-affordable-coastal-towns-within-a-threehour-drive-of-sydney-20161215-gtbawd/ The lofty goal of one day being able to buy a weekender close to the beach within a three-hour drive of Sydney is perhaps more achievable than you may have realised...more at link. In 6 years out of 10 during 2005-2014, Shoalhaven was hit with significant above-rate-peg allowances by our council, jumping the rates on a constant base by 60% or double the CPI rate. << Looking at the graphic opposite, 7 out of 10 listed cheapest locations are within Shoalhaven City. Does this convey an impression of a community that can bear a further 30% compounding of residential rates over 2 years? As proposed by Shoalhaven City Council in 2017. It's about affordability - we can't afford large residential rates increases. |
13 Dec 2016 - from Mark Crowther, Hyams Beach:
Those that live on Jervis Bay are going to pay the lions share of the $14M rate rise in the second year when the new rateable values are determined by the VG. My analysis on every lot in Hyams Beach indicates most land values will double. Those on fixed incomes and pensions will suffer massive increases, potentially several thousand dollars per year...In regards to roads I have done an enormous amount of work and my figures have been checked by Council: Roads, Bridges and Footpaths Analysis - are Council's real road maintenance costs overstated? See under, these are hardly runaway trends! : 2015/16 2014/15 2013/14 2012/13 2011/12 Average Operating Expenditure 8,738 9,117 8,704 11,250 9,324 9,427 Capital Expenditure 18,718 15,563 18,384 11,320 14,823 15,762 Total Expenditure 27,456 24,680 27,088 22,570 24,147 25,188 Operating Income 2,647 2,780 3,393 2,481 2,516 2,763 Capital Income 8,635 5,892 7,663 5,752 4,709 6,530 Total Income 11,282 8,672 11,056 8,233 7,225 9,294 Net Spent on Roads 16,174 16,008 16,032 14,337 16,922 15,895 Net Operating 6,091 6,337 5,311 8,769 6,808 6,663 Net Capital 10,083 9,671 10,721 5,568 10,114 9,231 Depreciation 19,655 19,958 18,984 18,629 17,938 19,033 |
12 Dec 2016 - from Mark Crowther, Hyams Beach: Council expenses overstated? The slide above (What's driving a deficit?) is taken from a Shoalhaven City Council's presentation to CCBs in Nov 2016. Paraphrasing Mark: "The growth in costs during 2012-16 is overstated, compared to my own calculations, based on Council's own accounting figures", as per the handwritten notes.
|
15 Dec 2017 - Meeting Resolution: (Rates rises proposals) - Vincentia Ratepayers & Residents Asscn (VRRA - CCB) - unanimously passed
This meeting of the Vincentia Residents and Rate Payers Association and the Vincentia CCB does NOT support any of the 3 options for future special rate increases presented by Council, and calls for a deferral of any special increase for 1 year. Before any special rate increase above the IPART rate peg amount of 1.5% is considered, Council should first explain to the Community: * What plans it has for Review of Services not considered important by the Community, * What operational efficiencies it has identified, and the money saved * How it plans to increase Value for Money on large purchases and capital projects 15 December 2016 - Background commentary from the Vincentia RRA (CCB)
It should be noted that the proposed rate increases are cumulative over time. For example, the proposed 5% per year increase over 7 years plus the 1.5% per year rate peg results in rates in 2023/24 being 55.4% greater than rates in 2016/17. If you currently pay $2,000 this could rise to $3,110 by 2023/24!! Remember Council had already recently applied an 8% increase on top of rate peg increases. This extra 8% is already embedded in every future year automatically. They say these increases are needed to meet “Fit for the Future” targets and return to surplus - but this assumes BUSINESS AS USUAL. Your VRRA believes future rate rises can be mitigated by pursuing: · Operational Efficiencies · Rationalisation of Services · Benefit/Cost analysis and Value Engineering of new projects Operational Efficiencies Last year Employee Benefits and Oncosts increased just over 10%, or $6.5M - in most private businesses they would have risen no more than 2%. Presumably they hired more staff, but was this necessary when revenue only increased $9M (excluding asset sales of $2M net)? Last year Revenue was $240M and total Employee costs was $68M - a ratio of 1:3.5. Why did it cost an extra $6.5M in staff costs, to earn just an extra $9.0M in revenue - a ratio of just 1:1.5 ? They need to increase Maintenance and Renewal spend in future years, but this increase is only $1.5M in FY17/18, $4.7M in FY18/19 and $4.7M in FY19/20 - all paid for twice over if Employee costs are kept to the previous level. Contracts were $46M - does Council get good value for money here? It is a widely believed that Council pays a high premium compared to the private sector. Save 20% here and you have another $9M savings and a return to surplus. Other Expenses of $30M include Power, where efficiencies can produce more savings Rationalisation of Services Council ran a random survey of the Community this year to find out how well they did various things, and how important the things were. What they discovered was they were doing a lot of things very well, but the Community did not think these things were important. Rather than increase rates by large amounts, maybe its time to engage the Community in more depth to provide options to reduce some of the less important services instead. Benefit/Cost Analyses and Value Engineering This tool is widely used by businesses and government organisations the size of Council to ensure projects are worthwhile and deliver maximum value for money Should not Council use these tools to help them achieve good value for our rate payers? Independent Pricing and Regulatory Tribunal NSW (IPART)
[Ed: in February 2017, Shoalhaven City Council will apply to IPART for (considerable) above rate-pegging, successive year rate rises. Ratepayers may also contact IPART] Web: http://www.ipart.nsw.gov.au/Home/Industries/Local-Government CONTACT DETAILS Office Address: Level 15, 2-24 Rawson Place, SYDNEY NSW 2000 Postal Address: PO Box K35, Haymarket Post Shop NSW 1240 ENQUIRIES & ASSISTANCE P 02 9290 8400 E ipart@ipart.nsw.gov.au MEDIA CONTACTS P 02 9290 8403 E media@ipart.nsw.gov.au Click to enlarge...SCC ExtraOrdinary Meeting, 15 Nov 2016...the column at right is how much extra you would pay in the first year of a 13.5% increase (incl rate pegging)...relative to your land value in the first column...Huskisson and Woollamia would pay more than the city wide average...Cllrs Watson, Guile and Pakes moved Rescission against, asking for more modest staged increases
17 Nov 2016 - Rates hikes: tell Council - not just Facebook
By: South Coast Register, Opinion: http://www.southcoastregister.com.au/story/4299695/rates-hikes-tell-council-not-just-facebook/?cs=205 You have to hand it to social media - it’s a great place to vent. Posts about Shoalhaven City Council’s Tuesday night vote to press ahead with a raft of rates increases have generated a lot of heat - most of it criticism. This is all well and good. It’s great there is discussion about a decision that will hit the pockets of ratepayers across the city. However, those people venting their frustration, anger and opposition – and, of course, those few supporting the proposed hikes – should save some of that energy for the formal consultation process that gets under way from Monday. This will be the source of feedback council will rely upon for feedback, not the passionate commentary on Facebook. There will be phone and paper polls and a series of forums for council to present its case to the community and to hear feedback. While it may feel good to offload on Facebook, it’s more important that opinions are funnelled through the appropriate channels. If ratepayers have a strong opinion one way or the other, council needs to hear it. Much has been said on Facebook about the apparent waste of money when it comes to road repairs – it’s been a recurring theme for many years. Yes, say it on Facebook by all means but remember that you’re probably preaching to the converted when your message really needs to get to the decision-makers. The move to seek rates increases is not the final outcome. Council will have to put its case to the Independent Prices and Regulatory Tribunal, which may well reject or water down the proposal. In the meantime, there will be the usual political bickering. The opening shots have already been fired, with chief opponent Cr Andrew Guile employing Donald Trump-like language to point the finger of blame at what he called “elites” in council. In more measured language, Shoalhaven Mayor Amanda Findley has said the rise is necessary if council is to maintain its services and fix roads. There is still a lot of convincing required to sell the idea to the community - a process which will run until mid-January [2017]. As with any price increase, especially in a region where so many ratepayers are older and on fixed incomes, that will be an uphill battle. It will require convincing a largely hostile audience that the money council collects from ratepayers is being spent in the best way possible. Only honest, simple, compelling argument will sell the proposal. |
Click to enlarge...on 25 October 2016, Shoalhaven CC moved to ask NSW IPART for permission to apply for three models of rate increase in 2017-18 and beyond, over and above Rate Pegging of 1.5% pa. NB: just three options, all would be massive, scarcely affordable increases for the Shoalhaven's low socio-economic base
2 Jan 2017 - the neighbouring Eurobodalla Shire Council have made the step to increased ratepayer participation on Council spending decisions, why cannot Shoalhaven City Council emulate this worthy evolution, vis-a-vis their 'take it or leave it' stance on 2017-18 proposed rates increases? See below some info on the Eurobodalla Citizens' Jury - Eurobodalla Shire page here
11 Dec 2016 - Eurobodalla Citizens' Jury Participedia: http://participedia.net/en/cases/eurobodalla-citizens-jury Problems and Purpose - The Eurobodalla Citizens' Jury will feed into the local council's review of spending and services which is a requirement of Fit for the Future, a state-wide reform program for local councils in NSW. The aim of the Jury is to find out what the community thinks of the council's spending. The question posed to the jury will be: “Is Council spending your money on the right things? If not, what should we change?”...... Originating Entities and Funding - the Eurobodalla Citizens' Jury is funded by the Eurobodalla Shire Council. It has been designed and will be implemented by newDemocracy Foundation, an independent nonprofit research organisation. Participant Selection - Participants will be selected from two rounds of random sampling. 5,000 invitations were went by post to addresses in the area.... 17 August, 2016 - Citizens’ Jury to review Eurobodalla Shire spending About Regional, with Ian Campbell: http://aboutregional.com.au/citizens-jury-prepares-to-sit-in-the-eurobodalla/ An idea adopted by the Irish Parliament is at play in the Eurobodalla. The Sydney based newDemocracy Foundation is working in communities from Durras to Dignams Creek, putting a $99,000 plan in place that seeks the views and input of ordinary people....Eurobodalla Shire Council is paying for it, keen to expand the traditional channels of collecting community feedback.....In the same way as the Convention on the Constitution provided advice to the Oireachtas in Ireland. The question the Eurobodalla Jury will be asked to deliberate on is, Is Council spending your money on the right things? If not, what should change? The make up of the 24 person jury is still being finalised and will be based on those who register interest after receiving one of the random invites... December 2016 - Shoalhaven City Council has a Rates rise proposal info page: Your Rates, Everybody's Future: http://getinvolved.shoalhaven.nsw.gov.au/rates There is an online poll on this page, but we would not necessarily recommend that you complete this, as the poll only contains Council's three preferred options, i.e. where is the fourth option, 'Other' ??
26 November 2016 - by Paul Dean - The sad story surrounding SCC rate rises - Part 1
It was a rare thing indeed for councils to seek above rate peg increases leading up to the 2000s. This was partly due to the closing out fact that the State Government let it be known that it was a no go zone and partly due to desire by responsible councilors to live within the means of their community. It was also a time when local government employee costs were constrained which allowed the system to work productively to build and repair our infrastructure. The BIG change came in the early 2000s when the Minister of Local Government released the brake on rate increases and the great game began. Council submissions for above rate peg increases began to pile up at the Minister’s door and given this more benign regime our rates were on the rise. This also coincided with the more than substantial increases to local government employee wages and salaries. SCC was not slow on the uptake and out went the “frugal responsible approach” and in came the so called “responsible spending approach” to managing council affairs. So our council piled in with the rest and loaded up the system with large rate hikes. These were numerous in the decade from 2004/05 to 2013/14 and our rates rose massively in this period. Over this decade the cost of living (CPI) increase was a reasonably modest 30% while the rate peg allowance came in slightly above at 39% to give councils some real increases. Our council however was granted above rate peg increases that jumped the rates on a constant base by 60% or double the CPI rate. Now during this decade local government employee wages and salaries were also rising at well above the CPI. At our council these increases came in at about 60%, which nicely matched the rates increases. As our total general rates are in line with employee costs then the one offset the other. Paul Dean (Cambewarra), President, Shoalhaven Concerned Ratepayers Association 29 November 2016 - by Paul Dean - The sad story surrounding SCC rate rises - Part 2 During the latter part of 2015, as our council was preparing its Fit for the Future submission to State, and seeing a great opportunity within this process to light the taper to the rate rise rocket, it boldly proclaimed that our community had been on a “Rates Holiday”!! “Strewth”, we thought, “we wish we could afford to go on any sort of holiday.” We were somewhat taken aback with this thought that we had somehow been quite remiss in not filling the public purse in the way should have been doing. Scallywags, layabouts and malingerers all for not fulfilling our sacred duties. “But, hang about” was the cry from some, “haven’t we just emerged from the Great Rates Grabbing period of the past decade!” And so we dragged out the ledgers and ploughed through our recent history of rates paid to council. This is what this analysis showed: Year Rate Peg Actual Rate CPI Allowance Increase % % % 2005 3.5 3.5 2.3 2006 3.5 5.99 4.0 2007 3.6 6.5 2.1 2008 3.4 5.0 4.5 2009 3.5 6.0 1.5 2010 3.2 5.0 3.1 2011 2.6 2.6 3.6 2012 2.8 2.8 2.4 2014 3.4 8.0 3.0 Cumulative 38.5% 61.1% 31.3% So in 6 out of 10 years we were hit with significant above rate peg allowances by our council. Some “HOLIDAY’ this, is what we thought after quietly and soberly looking at these figures!! Roughly double the rate of inflation over the decade for a substantial real rate increase. “Verily we hold these truths to be sacred”. Paul Dean (Cambewarra), President, Shoalhaven Concerned Ratepayers Association Paul's background is: Master of Business Administration (Macquarie University), Bachelor of Commerce (Accounting and Finance--UNSW), ex CPA. Lecturer and tutor in Accounting and Finance UOW. 12 October 2016 - Bigger Than Expected Rates Rise
Source: Radio 2ST: http://www.2st.com.au/news/shoalhaven-news/98569-bigger-than-expected-rates-rise Shoalhaven residents are now staring down the barrel of a rates rise of as much as 27 per cent. This follows Council's adoption Tuesday night of a recommendation to apply to IPART for an 11 and a half per cent rate increase each year for two years, on top of the normal two per cent rise. Councillor Greg Watson says that would mean people having to pay around $600 more a year on their rates bill. [Ed: the S&A Committee recommendation (see item under) will be brought to Council's full Ordinary meeting on Tues 25 October from 4:00pm] 11 October 2016 - SA16.7 - Application for a Special Rate Variation [by SCC: +23% above rate pegging] - HPERM Ref: D16/301901
Minutes of the SCC Strategy and Assets Committee 11 October 2016 ..Page 10 Recommendation 1. That Council authorise staff to notify the IPART of its intention to apply for a Special Rate Variation Application for 2017/18 and 2018/19 at the rate of 23% (11.5% each year) above rate peg over the 2 years in order for Council to financially support the ongoing provision of service levels to the community. 2. That Council proceed with the formal Special Rate Variation Application for 2017/18 and 2018/19 at the rate of 23% (11.5% each year) above rate peg over the 2 years and submit this in line with the timelines set by IPART (expected to be February 2017) Recommendation: (Clr Cheyne / Clr Gash) That: 1. That Council authorise staff to notify the IPART of its intention to apply for a Special Rate Variation Application for 2017/18 and 2018/19 at the rate of 23% (11.5% each year) above rate peg over the 2 years in order for Council to financially support the ongoing provision of service levels to the community. 2. That Council proceed with the formal Special Rate Variation Application for 2017/18 and 2018/19 at the rate of 23% (11.5% each year) above rate peg over the 2 years and submit this in line with the timelines set by IPART (expected to be February 2017) 3. Council undertake an extensive community engagement program explaining the reason for the rate increase and seek the communities comments. FOR: Clr Gash, Clr White, Clr Wells, Clr Levett, Clr Cheyne and Russ Pigg AGAINST: Clr Guile, Clr Pakes, Clr Watson and Clr Proudfoot CARRIED |