Plan to increase rates on the northern beaches by $4 million next year

An increase of almost $4 million would come out of the hip pockets of northern beaches ratepayers’ pockets as part of the council’s proposed budget.

Rory Amon, Liberal candidate for Narrabeen at Narrabeen Lagoon. Adam Yip/ Manly Daily

AN INCREASE of almost $4 million would come out of the hip pockets of northern beaches ratepayers’ pockets as part of the council’s proposed budget.

The about $40 per household has been labelled a “slap in the face to residents” by one councillor with an expected $10 million per year saving due to amalgamation. But Mayor Michael Regan has argued that the 2.3 per cent increase was to keep up with rising costs and allow the council to maintain its current services. He said the coucnil would see no more revenue.

Northern Beaches Mayor Michael Regan and Deputy Mayor Candy Bingham are for the 2.3 per cent increase. Picture: Jeremy Piper.

At Tuesday night’s meeting the council voted to send its proposed budget, which would increase rates by about $43 million over the next decade, on public exhibition.

However, councillors Rory Amon, Vincent De Luca and Pat Daley put in a rescission motion meaning the matter will be back for debate next week.

At the meeting Cr Amon moved to have a rates freeze until 2020, when all three former councils would fall under the same rate structure.

Councillors Stuart Sprott and David Walton were absent from the meeting, but have since indicated their support to the Manly Daily.

Northern Beaches Councillor Dave Walton wants a rate freeze. Picture: Adam Yip.

Cr Walton, who is chair of the Police Bank, said the increase was above the 1.9 per cent inflation rate as well as the growth rate of wages in the private sector.

“Amalgamation was supposed to be council taking the cow to market to cash in, and instead we are coming back with magic beans and a rate rise,” Cr Amon said at the meeting.

“We should be proposing to freeze rates for two years. I think it is a sign of good faith in this environment of econopmic uncertainty where people have had huge rate rises over the last five to 10 years I think this is the right thing to do.”

He was backed up by Cr Vincent De Luca, who labelled the proposed increase a “slap in the face to residents”.

“The wole purpose of the amalgamation was to reduce expenditure, reduce costs and reduce the impact on ratepayers,” he said at the meeting. “This proposal certainly is against the intention of amalgamation and is against the interest of ratepayers.”

Vincent De Luca wants a rate freeze. Picture: Adam Yip.

He claimed the amount paid in rates for some peninsula residents had increased by 60 per cent - due to last year’s rate increase and increased land valuations.

Last year the Manly Daily was inundated with calls and letters claiming huge rate rises. An increase of 1.5 per cent was put in place for old Manly and Pittwater council areas, and 9.4 per cent for Warringah as it was already proposed by those councils. Itw as partnered with increased land valuations, whihc meant peopel paid more for their rates.

It followed a commitment by the State Government to ensure that the rate path remained unchaned for four years which lulled some into believing rates would be frozen.

Mayor Michael Regan said residents would have to sacrifice some services like libraries if rates were not increased.

Some, like Cr Alex McTaggart “regretfully” supported the increase but said he wants “the community to know that what we got is not what was promised” by amalgamation.

But Cr Ian White said the fact rate increases were capped meant council revenues had decreased over 40 years.

“Councils have become more efficient, but it gets harder and harder to pay for footpaths when your income keeps going down,” he said.

Mayor Regan said the proposed rate rise path “ensures council can continue to deliver much-needed improvement to infrastructure... including footpaths, playgrounds and sport field upgrades ”.

“I’d like to know if the councillors who support the proposed rate cut are also prepared to sacrifice key services like childcare, libraries and the upkeep of our sportsfields?” he said.

An emergency kitty could be saved if rates continue to rise. Picture: John Grainger.

“Freezing rates would significantly impact on council’s long-term financial sustainability unless it significantly reduces both services to the community and its proposed capital works program over the next 10 years of $764m,” Cr Regan said.

“This includes $459m for renewal works for ageing infrastructure and $305m for new works to cater for future community needs.”

He said it also provided the council with a buffer in case of emergency similar to the 2016 storms at Collaroy.