“THIS is happening to us whether we like it or not”, was the much-repeated phrase from councillors about the Emergency Services Volunteer Fund (ESVF) levy at last Wednesday’s meeting.
The South Gippsland Shire Council is advocating to the State Government to relax legislation around how the levy will be collected and handed over; specifically that Council be allowed to take what’s owed to them from ratepayers before giving money collected from the ESFV to the State.
Council is also asking that rates notices clearly distinguish between Council-imposed charges and State Government levies; and that payment plan options are available to help ratepayers manage increased costs.
Approximately $1.3 million in additional money will be collected from South Gippsland ratepayers in 2025/26.
While the figure was initially $5 million, this has been reduced following the drought relief amnesty on the levy for approximately 3200 local farmers.
Residential properties will see the doubling of rates, and significant increases on commercial properties will affect approximately 400 local businesses.
Cr Sarah Gilligan proposed a number of additional points be made to the report, including writing to the Premier of Victoria expressly maintaining
Council’s opposition to the levy.
“Council strongly urges that all funds collected from South Gippsland be transparently accounted for and publicly reported,” was another point added by Cr Gilligan.
Addressing the equality in the collection and distribution of funds between metro and regional areas was another.
“Also ask the government to recognise the complex disaster risk environment faced by our food and energy producing regional communities,” said Cr Gilligan.
“The current model of different calculations between agricultural and commercial rates unfairly places the load on our regional producers.
“And advise that Council urges that all funds collected from regional and rural Victoria be fully reinvested into emergency services within those same communities.”
While the levy will be collected by local governments on behalf of the State, it is the State Government who will administer funds to emergency services directly, leaving council with no control over how or where funds are allocated, and they fear that it will limit their local influence.
“This money is not for general revenue. This isn’t to pay down debt. You’ve (State Government) said it’s for the emergency services and I’d like to ensure it goes there,” added Cr Scott Rae.
The report notes that while the levy is intended to equitably
fund emergency services, the actual financial burden on local ratepayers, especially in rural areas, also raises concerns about fairness and transparency.
“Not only is this impacting our community and our people and our local economy, but we as a Council, it is having an impact on us as a Council, as an organisation. This will continue to impact our bottom line,” said Cr Nathan Hersey.
“We’ll continue to fight on behalf of our community and on behalf of our Council organisation in opposing this and the impacts of it, which have been very poorly thought out.”
Council have stated they will continue to support residents experiencing financial hardship.
