West Coast Council auctions houses, land to help recoup unpaid rates

THE  West Coast Council has recouped more than $68,000 in unpaid rates through an auction of houses and land.

THE  West Coast Council has recouped more than $68,000 in unpaid rates through an auction of houses and land.

Mayor Phil Vickers said 17 of the 20 auction lots that went under the hammer on Friday were sold.

West Coast Council has auctioned houses and land to help recoup unpaid rates. Picture:

“The properties listed all had three years or more rates outstanding, totalling just over $68,500 with costs included, and to recoup these outstanding debts, even if it takes a while, is fantastic for the community,” Mr Vickers said.

More than 80 people turned out for the auction, including 45 registered bidders.

Two houses and 18 blocks of land attracted bids totalling more than $340,000.

The properties were spread across Queenstown, Zeehan, Strahan, Gormanston and Tullah, including two owned by The Devils’ Playground, which had a number of plans to ­develop Tullah most of which did not come to fruition.

Under the Local Government Act, if rates are not paid for more than three years, a council may sell a property or part of a property to recover the unpaid sum.

The money is held in trust for three years before it is able to be transferred to council.

The West Coast Council has been selling off properties where rates have been left ­unpaid for many years.

But there has been a significant rise in the interest shown by the public in acquiring those properties.

An auction in 2002 failed to attract any bids.

Between 2003 and 2007, the council recovered $1.2 million from the sale of properties ­encumbered with unpaid rates.

While all local governments are required to recover outstanding rates under State Government legislation, some region-specific factors are at play on the West Coast where the boom-and-bust mining cycle results in many absentee owners and landlords.

Last year the Launceston City Council threatened to sell 18 properties in a bid to recoup rate arrears of almost $114,000 dating to 2008 and there have also been recent auctions in Dorset and Break O’Day ­municipalities.