Whittlesea Council imposes funding cuts on community organisation

UPDATE: OUTER northern mayor defends cuts to community organisation as a ‘fair and equitable approach’.

Whittlesea Community Connections Chief Executive Jemal Ahmet. Picture: Mark Wilson

Whittlesea Mayor Ricky Kirkham has defended the council’s decision to reduce subsidies to a local community organisation.

Whittlesea Community Connections (WCC) has been told it must pay tens of thousands of dollars in rent, cleaning costs and utilities to the council from July 2016.

The costs have so far been borne by the council thanks to a longstanding agreement with the service.

But from July, WCC will be required to pay the council $17,500 in 2016-17, increasing to $35,000 in 2017-18, and more than $52,500 in 2018-19.

Cr Kirkham said the City of Whittlesea continued to be supportive of Whittlesea Community Connections and the “valuable community work it carries out”.

“This financial year alone, council will provide over $300,000 (in) financial support to WCC as well as rent-free accommodation.”

But he said scheduled rent increases to the building which WCC subleased from the council meant the arrangement had to be reviewed.

“Council subleases the Pacific Epping-owned building to Whittlesea Community Connections and over the years we have been able to cover the increased rental charges and allow WCC to operate from the premises rent-free.

“As a result of the scheduled increases to the rent on the building, the current arrangement with WCC was reviewed.”

Cr Kirkham said the council would continue to provide rental support to WCC and would phase in a 50-50 shared rental payment arrangement over the next three years.

“Council has to adopt a fair and equitable approach to the support we give to all of Whittlesea’s community organisations,” Cr Kirkham said.

WCC chief executive Jemal Ahmet said the agency would be unable to provide a number of crucial services and community programs unless the council overturns the decision.

“By imposing these costs on WCC, council is effectively asking us to take money out of programs and services and hand it directly over to them,” Mr Ahmet said.

The decision was made during a confidential meeting held on October 6, but it is as yet unknown which councillors voted in favour of the proposal.

The present arrangement between the two organisations sees WCC receive funds and free rent for the premises (which are leased by the council from Pacific Epping), in recognition of the service’s support for residents.

WCC has been at its premises at Pacific Epping since 1996.

Rent will be subsidised by 50 per cent under the new arrangement.

WCC is a not for profit community agency and Mr Ahmet said revenue depended on accessing grants in an increasingly competitive funding environment.

“With the additional burden of covering these new fees, we’re left with no choice but to divert money away from vital programs and services,” he said.

“Every cent we pay to the council is a cent not available for providing services to the community.”

WCC provides free legal services, emergency relief, settlement support, social work casework, community transport, community information services and special projects including family violence and problem gambling prevention work.

Services are made possible through the help of many hundreds of volunteers and a small team of dedicated staff.