Canterbury Bankstown Mayor up in arms over Emergency Services Levy

Local Mayor Khal Asfour has hit out at the surprise $440,000 hit they will cop for the Emergency Services Levy, saying it “would be a joke if it wasn’t so serious”.

Many NSW council staff and councillors are volunteers.

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Mayor Khal Asfour has slammed the NSW Government over its sudden 10.8 per cent increase in Canterbury Bankstown Council’s annual contribution to the Emergency Services Levy, saying it will impact the community.

He said their residents have copped the biggest hit of $440,000, double the City of Sydney.

Mayor, Khal Asfour: Let’s be clear, this is not about our emergency services

Emergency Services Minister David Elliott told the Express the NSW Emergency Services Levy will increase to ensure “our firefighters diagnosed with cancer receive the medical care and support they need and deserve”.

“Firefighters put their lives on the line to keep us safe and these changes ensure they receive the support they require in their hour of need,” Mr Elliott said.

“The extra support will be funded as part of a cost-sharing arrangement with insurers, councils and the government.

“Insurers will meet 73.7 per cent of the cost, government will provide 14.6 per cent and councils 11.7 per cent.

“This cost sharing arrangement is consistent with how the Emergency Services Levy has been funded historically.

“The government will continue to support local councils. We have provided more than $9 billion to councils since 2011, to deliver and improve local infrastructure, services and facilities for their communities.”

Saying it was a big shock and a hit to the council budget, Mayor Asfour wants the NSW Government to foot the bill for the first 12 months and work with local government bodies for a more equitable and transparent funding mechanism.

David Elliot: The government will continue to support local councils.

“Let’s be clear, this is not about our emergency services,” said Mayor Asfour, pointing out many NSW council staff and councillors are volunteers.
“They do a great job and we know how important they are. “This is about this government managing its own budget, not cost-shifting yet another blowout onto councils.

“Why hasn’t the government reviewed its own operations to see how it can deal with these additional costs, rather than cost-shift them across to councils.

“Our residents have copped the biggest hit of $440,000, double the City of Sydney.

“Seriously, this would be a joke if it wasn’t so serious.

“We now have a six figure hole in our budget.”

During his Mayoral Minute at Tuesday night’s council meeting, the Mayor said they received an invoice from Revenue NSW for $4,510,467 for its emergency services levy contribution.

“This is $439,997 more than last year’s levy, a 10.8 per cent increase,” Mayor Asfour said. “This will mean council will need to find additional funds and/or cut planned initiatives or services.

“Proportional to council revenue, the extra $439,997 council is being asked to pay is a large amount and the impact of this unplanned cost will certainly be felt by the community.

Annually the NSW Government collects payments from councils and insurers to fund emergency services

Mayor Asfour said that in May, councils were sent bills with a letter from Revenue NSW saying NSW council contributions will increase by $19 million in 2019/20, but not the amount.

Annually, the NSW Government collects payments from councils and insurers to fund emergency services agencies in NSW, with councils required to pay 11.7 per cent of the budget required by NSW Emergency Services.

“These charges are embedded in council rates and insurance premiums,” Mayor Asfour said.“From July 1, the NSW Government plans to collect an additional $160 million (in 2019/20) from NSW councils, communities and those paying insurance premiums to provide better workers’ compensation coverage for volunteer and career firefighters who are diagnosed with one of 12 specific work-related cancers.

“Council supports career and volunteer firefighters in NSW — as it does all emergency services workers and volunteers. We also support the Bill passed in November 2018 to address what was a workers’ compensation shortfall.

“However, the sector was at no point advised that it would be required to cover the cost via significant increases to the emergency services levy, or what this cost would be.”

Local Government NSW president Cr Linda Scott

“I am proposing council joins Local Government NSW in calling upon the NSW Government to fund the first 12 months of this extra cost and work with local governments to ensure the implementation of the funding mechanism is fairer, more transparent, equitable and accountable into the future.

“I intend on writing to the relevant Ministers and our local members of parliament to raisethis issue with them and seek their support.”

Local Government NSW president Cr Linda Scott said “the NSW Government had chosen to pass on these significant additional charges to councils and communities by increasing the emergency services levy, rather than identifying savings in the state government’s budget”.

“Local government fully supports moves to ensure fair workers’ compensation for volunteer and career firefighters in NSW,” Cr Scott said.

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“Many councils are in the final stages of setting their budgets for the coming year and had no warning of these additional costs to cover an unfunded commitment by the NSW Government.

Cr Scott said she was encouraged the new Minister for Local Government, Shelley Hancock was looking for ways to help councils manage this unnecessary budget issue.

“Premier Gladys Berejiklian has said hers is a government that listens — we call upon the NSW Government to listen to the concerns of local governments, cover the additional $14m for 2019/2020 and work with local government and emergency services to find a better and fairer path forward,” Cr Scott said.