The Norwood Payneham and St Peters Council, has voted to not support the South Australian Government’s Bill to cap council rates at a Special Meeting this week.
Having previously resolved to oppose the introduction of rate capping in 2017, the Council has backed its position with a 10:2 vote.
Mayor Bria said, “Rate capping has failed in New South Wales (NSW), it is failing in Victoria and it will fail in South Australia.
“I can understand why ratepayers are attracted to the policy of rate capping (a policy which caps the increase in revenue which Local Government collects from rates), but any short term gain for the community would quickly be replaced with long term pain as evidenced in NSW and Victoria.
“The Council is being responsible in taking a long-term view of the negative impacts on the community because it doesn’t want the community to suffer a decline in service delivery and determination of infrastructure.
“In survey after survey, a high percentage of residents have told the council that they are happy with the balance between rates the quality of services and infrastructure which is provided by the Council,” Mayor Bria said.
“There is more than enough evidence from independent reports to show the devastating financial impact on councils, and the community, in New South Wales after 40 years of rate capping.
“In council after council, rate capping has resulted in infrastructure backlogs which will require millions of dollars to rectify.
“It would be naive to think South Australia will have a different experience,” he said.
Mayor Bria said the Council’s average residential rate increase over this current 4 year term is 1.7 percent compared to State Government levies such as the Natural Resources Management Levy at 8.1 percent and Solid Waste Levy at 15 percent.
“If State Government reduces the outrageous increases in these levies that are passed onto councils, and in turn the community, then South Australians will see some real relief in cost-of-living pressures.”
