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Redland 5.51% rates hike as Christmas carols axed to make ends meet

A bayside council has cancelled its annual Christmas carols show and ratcheted up its rates over and above CPI in order to pay its bills and two massive civic facilities.

Redland mayor Jos Mitchell said the rates rise was necessary to ensure all council services continued. Picture: Contributed
Redland mayor Jos Mitchell said the rates rise was necessary to ensure all council services continued. Picture: Contributed

A bayside council, struggling to afford massive big ticket items including infrastructure for a civic and Olympic precinct, has cancelled its free Christmas event this year after whacking up its rates by 5.51 per cent, well over the annual CPI of 4 per cent.

In a belt-tightening move for the upcoming financial year, Redland City Council axed its Christmas By Starlight event traditionally held at Cleveland as one of the austerity measures in its frugal $444 million budget.

The majority of Redland City Council owner occupiers will be slugged an extra $1.25 a week on their annual general rates and it will be $3.92 a week for those with the lowest valued properties, with the council having no control over the rising costs of utilities, buildings materials and supplies.

It is the highest rise in a council’s general rates (not including garbage fees and other charges) in the southeast so far this year with Logan council reporting a 4.61 per cent rise; Moreton reporting a 3.8 per cent rise; Gold Coast 4.24 per cent; Brisbane 3.8 per cent and Ipswich 5.45 per cent.

In her first Redland budget, mayor Jos Mitchell said it was “not sustainable” for rates increases to be under CPI and said “efficiencies” allowed the council to come in with a rates rise under the 6 per cent predicted last year.

Ms Mitchell said the increase was necessary to ensure the council’s costs and expenditures were covered and added that Redland was the only council in the state that had to navigate the logistic challenges of catering for six islands.

“We had a short time frame to come up to speed with a multitude of projects since the March election and to look at every project we would like to consider or amend in our first year,” Ms Mitchell said.

“However, we’ve done the very best that we can.

“We have seen massive increases in goods and services costs and Redland property valuations increase on average 31 per cent.

“It’s important to let people know that we will still be having a Christmas event at Raby Bay but it won’t incur as greater an expense as in previous years.

“It is a practical measure and best financial outcome.”

As part of the austerity measures, the council also slashed its capital spending from $155 million to $118 million to make spending “more realistic” and built in up to $13 million in efficiency savings including “streamlining” staffing levels.

The council reduced its forecasted new loans from $33.8 million to $27 million to cut more costs.

Redland mainland garbage fees will go up to $563.40 on a mainland property. Picture: Redland City Council
Redland mainland garbage fees will go up to $563.40 on a mainland property. Picture: Redland City Council

Although council tips will remain free for residents, there were not many other measures to ease the rising cost-of-living burden for ratepayers, hit with a massive 31 per cent increase in land valuations across the city this year.

Ratepayers living at Dunwich and Amity on North Stradbroke Island, along with those at Russell Island, will feel the pinch the hardest with all three suburbs experiencing massive land valuations of more than 57 per cent.

Birkdale ratepayers will also suffer with their average valuation across the suburb up 40 per cent.

Redland properties valued under the minimum general rate threshold of $426,516, will experience a $1249 increase in general rates over the year.

Every property valued above that figure, will experience a sliding scale rise in rates depending on the Valuer-General’s valuation in March.

The rate increase for a property at the median value of $510,000 was 7.4 per cent.

CHECK YOUR PROPERTY VALUATION AGAINST THE $426,516 THRESHOLD

The budget had no major big ticket items although there was $7.6 million allocated for a sporting complex to be built at Heinemann Rd, Mount Cotton and $1 million for upgrades to Willards Farm near the proposed 2032 Olympic venue at the Old Cleveland Road East site.

A large spending item will be $6.92 million for road upgrades at Panorama Dr near the Redland Hospital, where works have been ongoing to widen the road for more than two years.

The council will also spend $31 million on water and waste upgrades and $3 million on a new sewerage pump at the Kinross Rd estate at Thornlands.

A mere $5.6 million will be spent on sorting out the carparking mess at Redland Bay’s Weinam Creek ferry terminal and a paltry $3 million to seal more roads on the bay islands, which will have received $22 million for the sealing project since 2016.

All fees and levies increased except a landfill levy which will drop from $59.32 to $41.88.

The budget also tapped ratepayers more for rubbish collection which rose from $532 a year for both 240l yellow and red bins to $563.40 mainland.

Water connections fees went up to $336.70 from $319.12 with the environment levy up from $172 to $202.52 and SES levy went from $6.40 to $6.64.

Sewerage fees also from $816 to $873.

The dismal news for ratepayers was offset with promises by the council to review the rating structure to make it fairer so that the poorer suburbs will not carry the greater tax burden.

Originally published as Redland 5.51% rates hike as Christmas carols axed to make ends meet

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Original URL: https://www.goldcoastbulletin.com.au/news/gold-coast/logan/redland-551-rates-hike-as-christmas-carols-axed-to-make-ends-meet/news-story/bf27874e8214303fa0ae97ac8e549839