Latest news with #NorthBurnett
ABC News
09-07-2025
- Business
- ABC News
North Burnett Regional Council record rate rise prompts MP's call for change
A federal MP has called for an overhaul of Queensland's local government legislation in the wake of a record-breaking rate rise handed down by a council this week. Member for Flynn Colin Boyce called for a review of the state's Local Government Act following Monday's announcement by the North Burnett Regional Council that it would raise general rates by 25 per cent in its 2025–26 budget. Mr Boyce said the "exorbitant" rates rise was caused by the costs of complying with increasingly complex state government regulations outpacing growth in rates revenue. "The bureaucracy has doubled itself in size and the bureaucratic process has taken its toll financially on these councils," Mr Boyce said. North Burnett Regional Council chief executive Craig Matheson said while costs had increased by 10 per cent in recent years, the ratepayer base had only grown by 1 per cent in the past decade. Depreciation, or renewal of aging buildings and equipment, was another significant cost burden. "If council does not seek to properly fund the cost of depreciation of its assets, it will continue to be reliant on uncertain grant funds and using cash reserves to fund the replacement of community assets," a council spokesperson in a statement. As a consequence, the council had delivered a surplus in only three out of 18 budgets since it was formed in 2008, Mr Matheson said. A state government audit for the 2024–25 financial year found 68 per cent of councils were not bringing in enough revenue to cover their operational costs, and 73 per cent were not spending enough on maintaining aging infrastructure. Queensland Minister for Local Government Ann Leahy said the government was already working on changing the law. "The Crisafulli government is working on reforms to the Local Government Act to reduce red tape and cut costs for councils," Ms Leahy said in a statement. "Rates are a matter for individual councils, but ratepayers would rightly expect them to reflect service and infrastructure delivery." As a member of the Standing Committee on Regional Development, Infrastructure and Transport, Mr Boyce took part in a parliamentary inquiry into local government sustainability, which released its interim report in March. Mr Boyce said the inquiry showed the Local Government Act in its current form was making local governments "simply not sustainable". "I'm advocating that all these councils go back to the state government … and reassess the whole Local Government Act since it was changed … 20 years ago," he said. "Make the act more flexible so that these small rural and regional councils can have enough flexibility to be able to operate sustainably. The interim report said there was a widespread perception among local governments that federal and state governments had sought to cut costs by offloading responsibilities onto councils. "Stakeholders indicated that many new roles and responsibilities are a consequence of the practice of cost shifting," the report said. Compliance with environmental protection legislation and the increasing costs of maintaining aging infrastructure were among the themes impacting on councils' financial sustainability identified in the report. A review of the federal government's grants program for local government was called for by "a significant number" of submissions to the inquiry, the report said. Many regional and rural councils said the current distribution of funding did not properly account for their smaller ratepayer base, while delivering funds to more affluent metropolitan councils that they did not need. Local Government Association of Queensland (LGAQ) chief executive Alison Smith said along with this "flatlining" of grants funding, a review was needed into the allocation of taxation revenue. "While rivers of gold flow to the Commonwealth when we all pay everything from income tax to fuel excise to the GST, the level of government that provides most of the things communities use most often — your council — gets the least," she said. "Only through fair funding to councils will Queensland communities secure the livability they all deserve."
Daily Mail
08-07-2025
- Business
- Daily Mail
Aussies slugged with biggest rate rise in the STATE after council increases it by an absurd amount
A Queensland council has handed down the state's biggest rate increase on record, slugging residents with a 25 per cent hike. The North Burnett Regional Council passed its $69million 2025-2026 budget on Monday. The budget included a 25 per cent increase on all general rates and a 19 per cent increase on water and water levies. The council is one of the largest in Queensland and covers an area of 19,700sq kilometres including the townships of Biggenden, Eidsvold, Gayndah, Monto, Mt Perry, Mundubbera and an additional 25 villages and farming catchments. The rates will directly impact the region's 10,500 residents. Council was divided, with three of its members voting against the bill while four voted in favour of the motion. Those in favour were Mayor Les Hotz and councillors Michael Dingle, Susan Payne and Renee McGilvery. Meanwhile, councillors Trina Vaughan, Moira Thompson and Melinda Jones voted against the motion. In a fact sheet released on the council's website on Monday, the council explained the need for such a significant rate increase. 'For many years, the North Burnett Regional Council has not generated or received sufficient revenue to cover the increasing costs of delivering Council services,' it reads. 'Every single service provided by Council costs money to deliver. Everything Council does must be paid for by the ratepayer, the service user or through limited and uncertain grants from other tiers of government. 'Like every household and every business in the North Burnett, the cost of living and operating has been increasing significantly since the COVID pandemic. 'In the absence of any significant increase to the Commonwealth Government's Financial Assistance Grant, the only other principal source of revenue to fund the continuation of Council services is through rates, utility charges and user-pays fees and charges.' The council fact sheet explained the 25 per cent rate rise would translate to an additional $31.49 a fortnight on minimum general rates for homeowners. It also added that council operated at a $4.207million deficit in the last financial year after it received an 'unexpected receipt' in June of a 50 per cent advance payment from the Commonwealth Financial Assistance Grant. Hotz said the rate increase was necessary to pay for council's utilities and services without having to rely on additional government grants. He added the rate increase would amount to more than $800 for local taxpayers every year. 'We've been upfront about the challenges we're facing,' he said. 'These changes are a necessary step toward building a more sustainable Council, one that can continue to serve the North Burnett community both now and in the future. 'These increases are necessary to support Council's financial sustainability and to maintain the services our residents have told us matter most to them.' 'Council is fully aware of the potential impact rates and charges increases may have on our community.' Hotz explained revenue from the increased rates would curb council's $2.6million deficit and bring it up to $8million by the end of the 2025 to 2026 financial year. Council has also instituted a number of policies to support or provide relief for ratepayers struggling with the increased fees. The bill received widespread backlash, with many residents claiming the massive increase would mean they now have to cut down on necessities. Pensioner Colin Boot, who witnessed the budget meeting, was outraged by the 25 per cent increase. 'Ten per cent — we would have coped with it somehow, but 25 per cent?' Mr Boot told the ABC. I just can't see where we're going to get that extra money… the only thing I can see is (cancelling) insurance.' Former councillor Dael Giddens claimed the massive rate increase would impact the region's children. 'You might have had the kids playing cricket and soccer and doing swimming. They may only get to choose one, so unfortunately that will have an effect on our children,' Mr Giddens said. Mundubbera resident Rachel Cumner launched a petition on calling on the council to cap all future rate rises in line with the Consumer Price Index.
ABC News
07-07-2025
- Business
- ABC News
North Burnett Regional Council hands down Queenland's biggest rate increase
A Queensland council has blamed spiralling costs and stagnant growth for a record rate increase. The financially struggling North Burnett Regional Council raised general rates by 25 per cent in its $69-million, 2025-26 budget delivered on Monday morning, surpassing Townsville City Council's recent 20 per cent increase for some owner-occupiers. All separate charges, such as sewerage, water and waste, as well as and levies for local disasters, natural resource and landfill management have increased by 19 per cent. Mayor Les Hotz said the increase – which would amount to more than $800 per year for residential ratepayers – was necessary to pay for council's utilities and services without relying on additional government grants. He said the added revenue from the increased rates and fees would shave about $2.6m off the council's deficit and bring it down to about $8m at the end of this financial year. "We're just trying to meet the costs without having to reach out and ask our state and federal government to assist," he said. "I'm sympathetic toward the the ratepayer that is struggling, the pensioner and those that do not have work. Pensioner Colin Boot was in the public gallery for the budget meeting at Gayndah Community Hall. The 81-year-old Gayndah resident said he would have to cut down on other expenses. "I just can't see where we're going to get that extra money … the only thing I can see is [cancelling] insurance," Mr Boot said. "Ten per cent — we would have coped with it somehow, but 25 per cent?" Resident and former councillor Dael Giddens said families would likely cut back on after-school activities. "You might have had the kids playing cricket and soccer and doing swimming," she said. The North Burnett region is one of the largest in the state, covering almost 20,000 square kilometres and a total of more than 4,800km of sealed and unsealed roads owned by the council and the state government. Chief executive Craig Matheson said council's approach to the budget was guided by previous community consultation that "unequivocally showed" that residents wanted existing services retained. "It was a challenge, but we knew without a doubt what the community wanted," he said. Mr Matheson said costs had increased by 10 per cent in recent years but the ratepayer base of 6,323 properties had only grown by one per cent in the last decade. First-term councillor Trina Vaughn voted against the budget because of the added burden it would place on ratepayers already struggling with the cost of living. "I've spoken with people who are going without medication because they just can't make ends meet," she said. "It's definitely a problem that has been imposed on us by the current climate and it's not just a North Burnett Regional Council problem — it is Australia-wide." Deputy Mayor Melinda Jones voted against the budget but was in favour of raising fees and charges. "We've weathered fires and floods and now we need to weather something else — the cost of catching up," she said. The budget's long-term forecast indicates that the council's cash reserves will dwindle to less than one month's operating expenditure before rising above the target of four months by 2032-33. Local Government Association of Queensland (LGAQ) chief executive Alison Smith said the rate increase showed councils had "reached a tipping point" beyond which they could no longer pay for community services.
