Up to $300 rate assistance from their rates or charges debt for approved applicants is one of two changes to Federation Council’s draft debt management and hardship policy.
And a rates deferral program for eligible pensioners is proposed by council.
These two variations were endorsed at council’s latest monthly meeting on June 25. The policy is currently on exhibition for 28 days.
Council’s deputy general manager and chief financial officer Jo Shannon said that council has received feedback from numerous processes regarding the capacity of ratepayers to pay increased rates, and particularly how it supports those in financial hardship.
“This also came through in the following recommendation from the Independent Review conducted by the University of Newcastle: “71. Council needs to develop ways to mitigate capacity to pay – such as by changing the rate structure (base rate), reducing reliance on taxation revenue where possible, pursuing greater distributive equity, and also developing a more responsive and practical hardship policy.”
Ms Shannon advised that discussions continued with Professor Drew from the University of Newcastle on amendments that could be made to be more responsive and practical.
As a result, the additional support mechanisms were recommended for council adoption.
“This council cares about people doing it tough,” Cr David Longley said. Cr Aaron Nicholls said he was pleased to see the proposed policy.
“I supported the rate rise but tempered with options for those less fortunate. Great work!” he said. Cr Sally Hughes said it was “highly commendable of staff working on this, responding to community feedback”.
Ms Shannon said the rates assistance program would require partnerships with local welfare and/or financial counselling services, such as Anglicare, to act as a referral point for ratepayers experiencing financial hardship.
“These partnerships will be developed once feedback has been received on council and community support for such a program,” she said.