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South Burnett ratepayers to get minimum 3.65% rate rise

Brett Otto was accused of pulling a ‘media stunt’ as the council brought down its 2023-24 budget, making a last-minute attempt to overturn the rate rise his council had agreed on.

Mayor Brett Otto has tried at the 11th hour to reduce the rate rise for homewowners and farmers from 3.65 per cent to 2 per cent, and but the burden on cola mines and power generating industries with a 25 per cent hike. It was defeated amid about how the council would recoup money lost by the cut, and concerns such a huge rate hike on those industries would land the council in the middle of a costly court fight.
Mayor Brett Otto has tried at the 11th hour to reduce the rate rise for homewowners and farmers from 3.65 per cent to 2 per cent, and but the burden on cola mines and power generating industries with a 25 per cent hike. It was defeated amid about how the council would recoup money lost by the cut, and concerns such a huge rate hike on those industries would land the council in the middle of a costly court fight.

South Burnett ratepayers will be slugged with a minimum 3.65 per cent rise following the council budget meeting on Wednesday, despite an attempt to cut that increase to 2 per cent by Mayor Brett Otto.

The council’s expected plan to endorse the 3.65 per cent rate rise was turned on its head 90 minutes into the budget meeting by an “out of the blue” amendment pitched by Mr Otto as a remedy to increasing cost of living pressures.

Mr Otto proposed cutting the general rate rise for residential and farming land to 2 per cent instead.

This would be offset by a 25 per cent hike on coal mine and power generation industries, which councillors were told by Mr Otto would bring in another $190,000 and help offset the $247,000 lost from residential ratings under the plan.

The two industries were already facing rates increases of 10 per cent and 7.8 per cent in the budget.

Councillors were told those rating categories were lower than in other regions across the state, and Mr Otto argued the council needed to start charging appropriately instead of pushing those costs onto homeowners.

Councillor Kathy Duff backed Mayor Brett Otto’s move to cut the rate hike for homeowners and farmers, saying the council had fallen well short of its efforts to cut its own costs.
Councillor Kathy Duff backed Mayor Brett Otto’s move to cut the rate hike for homeowners and farmers, saying the council had fallen well short of its efforts to cut its own costs.

Mr Otto said he had been comfortable with the 3.65 per cent rise, but that was before power price rises and the potential of a coming drought were known.

Kathy Duff was the only councillor to support the proposal, which was voted down two to five.

Kirstie Schumacher said slapping such a hefty rise on those two categories posed a risk of landing the council in court, bringing about legal fees that would obliterate any cost savings the council might find.

Mr Otto disagreed, saying he believed the decision could be justified and he would not “shy away” from possible court action by corporate entities.

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Mayor Brett Otto and Kathy Duff: Holly Cormack.
Mayor Brett Otto and Kathy Duff: Holly Cormack.

Mrs Schumacher later called it “ludicrous” to not support the budget on the day it was to be adopted and accused the Mayor of “pulling a media stunt”, a point strongly refuted pointedly by Mr Otto who demanded it be withdrawn.

Mrs Schumacher did so.

The two higher tiers of government came under fire from Mr otto during the meeting too.

The mayor criticised the state saying it “does not pay any rates” within the South Burnett despite an extensive presence.

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South Burnett councillors were told continually increasing costs being incurred by state government rules around the management of dumps and landfill would be an increasing problem financially for the council, and ratepayers, in the future.
South Burnett councillors were told continually increasing costs being incurred by state government rules around the management of dumps and landfill would be an increasing problem financially for the council, and ratepayers, in the future.

“They have hospitals on land, they have schools, they have a government owned power station sitting out here, with wholesale power prices going through the roof … all these state government entities don’t pay rates.

“So the state government can get a free ride on the pensioners of this community.”

He urged the federal and state governments to start committing more through its grant funding, saying councils were struggling to meet the cost of running as new costs keep getting piled on.

“It’s making it impossible,” he said.

A subsequent attempt by Jane Erkens to change Mr Otto’s proposal to a 2.65 per cent increase was similarly defeated, this time by a vote of three to four.

The 3.65 per cent rate rise was finally passed after than two hours of debate, with Mr Otto and Ms Duffy the only dissenting councillors.

Even with the rate rise the council was still staring down the barrel of economic struggles.

Mayor Brett Otto said the council was staring at its fifth operational loss in a row, a situation which was going to have to be addressed eventually.

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Original URL: https://www.couriermail.com.au/news/queensland/south-burnett/community/south-burnett-ratepayers-to-get-minimum-365-rate-rise/news-story/4d74b5a5364a305fdca1a2dace08c104