Northern Beaches Council votes to seek permission for 40pc rate hike after rowdy crowd protests

The Northern Beaches Council has voted to seek permission to slug residents with a 40 per cent rates rise, hours after about 200 furious locals rallied outside its chambers to voice their disgust at the proposal.

The Northern Beaches Council has voted to seek permission to slug residents with a 40 per cent rates rise, hours after about 200 furious locals rallied outside its chambers to voice their disgust at the proposal.

Amid cries of “sack them all” from the public gallery, the council voted 8-7 in favour of pushing for the hike that would boost its budgets over the next three years.

The move angered not only ratepayers but independent councillor Vincent De Luca, who had opposed the motion and suggested selling or redeveloping two council carparks to raise funds.

“We shouldn’t be putting our hands in ratepayers’ pockets,” he said.

“Shame, shame, shame.”

Northern beaches residents Craig Winter, Scott Frazer, Poona Sharna and Barbra Kretowicz protesting on Tuesday night. Picture: Thomas Lisson

The council meeting twice had to be stopped because of angry locals in the public gallery shouting out to senior council staff and councillors who were backing the push.

Earlier, before the financially stricken council met to debate the issue, protesters carrying placards said they were already struggling with the cost of living crisis and would find it hard to come up with an extra $673, which would be the average resident’s yearly hike.

A protester outside the meeting. Picture: Thomas Lisson

Council staff had recommended the steep increase in order to “maintain financial stability”, fund an infrastructure backlog and maintain basic services.

Multiple residents walked out in frustration during the meeting, venting their frustration to The Daily Telegraph as they left.

“Disgusting,” Jenny, a long-time Narrabeen resident, said.

“They are treating us like idiots. The mayor sounded like a school teacher chastising us.”

Her rates are currently $400 a quarter, but the annual fee would rise by hundreds of dollars under the council’s proposal.

“A lot of us are struggling,” Jenny said. “This is going to send people and a lot of small businesses to the wall.”

If the council now gets the go ahead from the Independent Pricing and Regulatory Tribunal to levy the new rates — a 39.6 per cent increase introduced incrementally over three years — it will raise an average of $57m in additional income per year.

Protest organiser Stuart Gold, the founder of community lobby group Northern Beaches People’s Voice, said homeowners were already struggling to pay their basic household bills.

Stuart Gold, organiser of the ratepayer protest outside Northern Beaches Council Chambers at Dee Why on Tuesday night. Protesters are fighting a possible 40pc increase in rates. Picture: Supplied.

“This is a disgraceful proposition by the council,” Mr Gold said.

During the debate on the proposal, Your Northern Beaches Independents councillor Nick Beaugeard said the council was “falling behind” due to a lack of revenue gathered through rates.

His colleague, Sarah Grattan, said the system was “broken”.

“If we reject the rise, we are facing serious consequences (such as) closing the Warringah Aquatic Centre,” she said.

Outspoken opponent Cr De Luca told the meeting that while the northern beaches was a “wealthy area”, there were still “significant issues with poverty” and many people could not afford the extra costs.

Sasha McNaughton, of Freshwater, and Denise Franklin, of Mona Vale, are ratepayers resisting the proposed rate rise. Picture: Jim O’Rourke

“People are on the breadline,” he said.

Independent councillor Candy Bingham said the council’s financial reserves needed to be boosted to “future proof” the council against unforeseen crises.

“It’s about making tough choices now so future generations won’t have to shoulder an even bigger financial burden,” she said.

In a speech to the meeting, the Liberal candidate for Mackellar, James Brown, said the council had ignored local businesses that were already at breaking point.

“We know that small business is a major employer in the northern beaches, and is critical to our economy,” Mr Brown said.

Ratepayers outside the Northern Beaches Council chambers on Tuesday night during a protest over proposed rate increases. Picture: Jim O’Rourke

The would-be federal MP shared a conversation with a Dee Why cafe owner, who told him they were already battling increased energy costs and childcare fees.

“This business owner was near the point of tears telling me that they are just hanging on by their fingernails to their business and to their home,” Mr Brown said, arguing the council could look at raising rates in 12 months rather than in the midst of a cost of living crisis.

Mark Horton, a Mona Vale community activist who spoke to the council meeting, opposed the rate rise.

“You’ve made a big mistake,” Mr Horton said.

“It won’t be forgotten.”

Mayor Sue Heins has previously said stubbornly high inflation, storms and floods, Covid and shifts in costs from other areas of government had put pressure on the council’s ability to maintain services and invest in much-needed new infrastructure.

Mayor Sue Heins.

A poster calling on ratepayers to protest.

The rate rise stoush comes after Cr De Luca pointed out the council was spending $25m alone on 111 managers, directors and executives.

The number of council staff members has increased by 12 per cent since it was formed in 2016, with its 1800 staff paid an annual total of $159m, accounting for 40 per cent of the total budget.

Cr De Luca has argued the council should look at cost savings and dump “non-core” services such as running Open Air Cinemas, World Food Markets and Food Trucks, before raising rates.

“Sadly, this waste of ratepayers’ money continues,” he said.

The application for the rates variation must be lodged with the tribunal by February 3.

Originally published as Northern Beaches Council votes to seek permission for 40pc rate hike after rowdy crowd protests