The Australian Services Union has described the state government’s Fair Go Rates bill as a “dog’s breakfast”.
The union representing public servants has called on the Parliament to reject “this idiotic policy”, saying the bill leaves everybody with more questions than answers.
Among some of the changes proposed is the capping of rates at the consumer price index, giving the local government minister powers to suspend councils in instances of “continued and deliberate non-compliance”, and giving the Essential Services Commission (ESC) greater oversight of council spending.
Local Government Minister Natalie Hutchins said the move came as new data revealed Victorians had faced average rate increases of an “unsustainable and unfair” six per cent every year for the past decade.
“Our Fair Go Rates cap won’t cut existing budgets and it won’t stop councils providing much-needed services and facilities,” she said.
“What it will deliver is greater value for money and councils that listen and respond to the needs of their community.”
But union branch secretary Richard Duffy said he was “deeply” concerned about the state government’s new policy.
“Frankly, it’s a dog’s breakfast … we wonder what the government will do to stop councils from running down infrastructure, cutting services and slashing jobs,” Mr Duffy said.
“A monitoring regime may detect these events after they occur, but the Andrews government is silent about what it will do to ensure councils correct their ways.”
Cutting funds
Mr Duffy said capping rates at the CPI was no different to cutting funds to health and education.
“If the Labor Party believes funding cuts to health and education are ‘bad’, then, equally, cuts to local government are also ‘bad’ for similar reasons,” he said.
In Melton, the average rate rise over the past decade was four per cent – one of the lowest rate hikes in the state.
Melton chief executive Kel Tori says he believes the current bill provides greater flexibility than the ESC recommended.
“Council will have to deal with the challenges that rate capping presents, much as it has with all other requirements and regulations imposed on local government by other levels of government,” Mr Tori said.
“I am confident that council will do so in a positive manner that minimises any impact on the community.”
