Woodridge, Kingston and Logan Central to wear the burden of Logan rates rise after year of flood

Logan ratepayers will pay 2.49 per cent more in rates from July 1, the lowest rates rise announced so far in southeast Queensland despite a 4.99 per cent rise in the city’s minimum general rate. WATCH THE VIDEO

Logan ratepayers will pay an extra 2.49 per cent on an average rates bill from July 1, the lowest rates increase so far across southeast Queensland councils.

But the rise in the minimum general rate, from $962 this financial year to $1010, was 4.99 per cent which will affect the majority of ratepayers.

Lower social-economic areas such as Woodridge, Kingston, Loganlea, Crestmead and the Priority Development Areas of Yarrabilla and Flagstone were likely to feel the pinch the most, with higher rate-in-the-dollar increases, based on their valuations reported in March.

Land valuations soared across the city this financial year with some properties adding more than $100,000 to their unimproved capital values.

The moderate rise follows a year when a large slice of the city was flooded wrecking roads and infrastructure and after nearly two years of an overall slowing in development applications, carving into the council’s revenue.

Mayor Darren Power said his third budget was “controlled” and “balanced” and would deliver a $3.65 million surplus by June 30, 2023.

He said that was after pushing up general rates and not touching the water fees for the sixth year in a row.

He said the rise was despite the major flood repair works needed across the city and soaring construction costs.

Ratepayers have been paying for each councillor to post out divisional newsletters.

The budgeted surplus followed an $11 million underspend expected to be posted in two week’s time.

The rates rise will mean a ratepayer on the lowest minimum general rate, will face a $74 total increase over the year which includes a $7 rise in the environmental levy, a $10 increase in the community services charge and $9 more in garbage fees.

Logan council increased its water charges for the first time in four years.

The council did not lift its water charges.

Logan Ratepayers’ Association president Rod Shaw called for everyone in the council to make savings to stop wasting ratepayer money.

Mr Shaw said there was about $1 million a year wasted on councillors hiring their own personal assistants.

“Those positions are totally unnecessary and a burden on ratepayers,” he said.

He also said money was wasted on posting out hundreds of thousands of newsletters promoting councillors.

Nearly a third of its revenue over the past five years including this financial year, was from grant funding but despite that, Auditor-General Brendan Worrall said the council was at a low risk of not being financially sustainable.

This year's Auditor-General report from May.

Cr Power said the historic rate rise was below Brisbane’s inflation rate of 6 per cent and was part of a plan to build “a brighter tomorrow”.

“Every time a resident turns on a tap or puts out a bin, visits a library or travels on a council road to take the kids to a park, they are relying on a council service and these things cost a lot of money,” he said.

“The cost of bitumen and steel continues to soar, but we cannot afford to put the brakes on projects that our residents expect to be delivered.

“This budget will see controlled spending across priority projects that will benefit the community and ensure value for money from the council,” he said.

He said money had been well invested in this financial year’s projects including the $12 million Kingston Butter Factory entertainment precinct overhaul and the country’s first biosolids gasification facility at Loganholme.

Kingston Butter factory was a big spending in previous budgets.

Big capital spending projects listed in the budget for the next financial year included a $9 million joint effort with Redland and Ipswich to build a new waste recycling plant at Browns Plains.

It will include a new mattress and polystyrene recycling program, which is expected to cut infill waste.

Road upgrades and a citywide beautification program along with funding for sports including basketball, netball, rugby league and the aquatic centre at Beenleigh.

Cr Power was unable to elaborate on council incentives allocated in the budget to entice private investors into building a new hospital at Meadowbrook.

Money would also be spent attracting new businesses to the area with the council offering incentives for “quality development” including private investment for new hospitals and more housing estates.

■ In the current financial year, the minimum general rate base on a property’s unimproved value of $264,576 was $962 a year.

■ Total rates and charges before water usage for the minimum general rate property in this financial year was $2754.36.

Originally published as Woodridge, Kingston and Logan Central to wear the burden of Logan rates rise after year of flood