Redland cops big rates rise but $12m for Olympic venue, deficit looms

Redland mayor Karen Williams says unprecedented spending on big projects, including an Olympic venue, will benefit the entire city. But the Budget also contains a hefty rates rise.

A massive capital spending program to build Olympic and sporting infrastructure has dominated Redland City Council’s 2022/23 Budget.

Ratepayers were slugged a 4.72 per cent rates rise, one of the highest of any southeast Queensland council.

But mayor Karen Williams said her $396 million budget was “responsible” in difficult global financial times.

She said the unprecedented capital spending of $116 million would deliver much-needed infrastructure for the entire city justifying spending a $12.7 million on land at Birkdale where an Olympic whitewater rafting venue will be built.

“It is important to point out that these projects will be funded through cash reserves as a priority over general rates, reducing the burden on ratepayers,” she said.

“So while other councils are being forced to cut projects due to external cost pressures, the money we have saved over previous years means we can deliver the projects residents have been asking us for.”

Budget documents showed the city would also slide into a $4 million operating deficit by the end of the 2022/23 financial year on June 30, 2023.

That was unexpected after forecasts in June 2021 were for an operating surplus of about $43,000 on June 30, 2022, signalling an upward trajectory rather than a deficit.

Councillors Wendy Boglary, Paul Bishop and Adelia Berridge voted against the budget because of the large capital spending projects at a time when they said council should be reining in works programs.

The council said the rates rise equated to about an extra $50 a year and was higher than Logan at 2.49 per cent and Gold Coast’s 4.3 per cent but still under the Brisbane inflation rate of 6 per cent.

There were big increases in waste charges but still no major relief for pensioners or bay islanders. Tips will continue to remain free of charge.

Ms Williams also announced the creation of a new council department which would focus on advocacy and attracting investment to the city “so ratepayers don’t have to carry the full burden” of the capital programs.

The council will spend $20 million widening Panorama Dr, a major road outside a proposed $70 million shopping centre, where ground work starts this month.

The road remains single lane outside the proposed $70 million Paradise Garden Shopping Village, on the corner of Boundary Rd and Panorama Dr, despite millions allocated this financial year for the works which will run along to Wellington St at Thornlands.

Ratepayers were keen to find out how much was to be spent on the proposed sporting precinct at Heinemann Rd, Redland Bay/Mt Cotton.

Funding of $15 million was also set aside for the highly-promoted Redlands Coast Regional Sport and Recreation Precinct at Heinemann Rd, Mount Cotton.

The complex was being marketed to include 13 touch football fields, three rugby league ovals, as well as two clubhouses, a state-level BMX track and multi-use trails.

However, plans were reviewed this year after reports found developing flood-prone parts of the site could jack up costs to $200 million.

The budget also tapped ratepayers more for rubbish collection, water connections, the environment levy and SES.

One of the big changes in the 2021/22 budget was adding a Coastal Management fee to the current Environment Levy.

As of July 1, 2022, the levy will go up from $148.92 to $161.52 and the landfill remediation charge will rise from $47.88 to $48.68.

Not everything went up though. The Redland SES charge of $7.28 would drop to $7.04, while the Rural Fire Brigade special charge also went down to $6.44, from $10.

Rates escalated on Macleay and Russell islands and the Bay islands

There was no relief for bay island residents, who have been paying nearly 6 per cent more than mainland residents for bin collections — and more than in any other southeast Queensland council area.

The mainland collection fee of $467.76 (in 2021/22) for 240l waste and recycling bin collection services will go up to $491.48.

Rubbish and garbage charges went up again in Redland.

On the islands, the bin collection charges will rise from $494.76 to $519.84.

There have been huge increases in kerbside rubbish collection costs in the past three Redland City Council budgets.

In 2018-2019, there was an 8 per cent increase in annual charges for red and yellow bins.

In the 2019-2020 year, there was an increase of just under 6 per cent before spiking up again to almost a 10 per cent increase in 2020/21.

The council awarded a 12-year $107 million contract to J.J. Richards & Sons Pty Ltd in 2017, which took effect in 2018.

The $289.68 water access charge also went up, to $299.40, but the council retail consumption charge remained static at 61 cents per kilolitre.

Waste water will cost more, with the charge rising from $29.84 to $31.40.

Pensioners missed out again, with Redland City Council failing to increase the pensioner discount for the fifth year in a row.

Pensioners did not win either, with no change to the rebates they receive — $335 a year for a full pensioner and $167.50 for part pensioners.

Since Ms Williams became mayor in 2012, the only change to the pensioner concessions was in the 2016-2017 budget, when the concession was increased by $5 a year from $330 to $335 per year for a person receiving the full pensioner discount.

Originally published as Redland cops big rates rise but $12m for Olympic venue, deficit looms