Fire levy debate: ‘It’s a surrogate land tax’

Local government and farmers are rallying to oppose the Emergency Services and Volunteer Fund, as one council projects a 164 per cent cost increase to its farmers.

Victoria’s rural areas will bear 90 per cent of the brunt with a new emergency services levy, a rural council says, as local government and farmers rally to oppose the Allan government’s move.

Hindmarsh Shire Council chief executive Monica Revell said the state government’s planned Emergency Services and Volunteer Fund had been “enforced” on councils, and would change and further pressure local government systems.

She believed the fund would mean an average 164 per cent rate increase for the shire’s farmers, while Victoria’s rural councils would contribute about 90 per cent of the fund’s annual total.

“The majority of the increases will be worn by our farming community. For Hindmarsh, what it means is we currently collect about $2m on behalf of the state government for the fire services levy - that will be around $5m that will come out of our community,” she said.

“We found out about the change from the Fire Services Levy to what’s going to be known as the Emergency Services Volunteer Fund at the same time the community did.”

More than 100 Nhill and district community members gathered at Winiam Hall on Thursday to discuss the new levy, and moved to create a community-based group to oppose the ESVF.

West Wimmera Shire Council mayor Tim Meyer said the fund would further financially pressure rural councils.

“It’s part of the legislation, it has to be shown on your rates notice, we can’t put it as a separate bill,” he said.

“If people get the idea they’re not going to pay the tax, we then have to employ debt collectors to go and get the money at our expense.”

State ministers will debate the ESVF, set to be introduced on July 1, on Thursday. The fund is expected to generate $1.649bn in revenue in 2025-26, which the Victorian government says would go towards equipment, vehicles, staff, volunteer training, community education and recovery support for the CFA, VicSES, Surf Live Saving Victoria and community coast guard volunteers.

Lowan MP Emma Kealy said the fund would raise grocery prices and rental prices in regional areas.

“It will be debated [on Thursday]. We will be opposing the bill, it is a tax-type system, it is a tax on farms, it’s a surrogate land tax. It’s a tax on food, so not just our farms but every single Victorian that eats Victorian produce,” she said.

“It’s a huge amount of money that will be taken out of our region to subsidise bureaucrats and employees in Melbourne before government services, that’s unfair.”