Low rates rise proposed

SDRC's 2021-22 draft budget includes a capital expenditure program worth $50 million.

By Jess Baker

Southern Downs Regional Council’s ‘realistic’ 2021-22 draft budget is now open for feedback, with a heavy focus on capital maintenance and a proposed 1.3 per cent increase in general rates.

The new budget proposes a record $50 million spend on repairing and upgrading ageing infrastructure, mostly in the waste and water sectors.

Of the total 112 projects put forward for SDRC’s consideration, 55 have been carried forward from previous years and 57 are new.

Major projects include enhancing the Stanthorpe Art Gallery, upgrading Warwick waste facilities, repairing Connolly Dam, upgrading pump stations, redeveloping the Warwick Saleyards and replacing the council’s fleet of vehicles.

SDRC noted in its draft budget documents that individual ratepayers will see large variations due to the new land values issued by the Valuer-General.

“Rates are calculated based on these values and the changes were not uniform across the region with particular variation in the value of land used for grazing and small crops,” read the documents.

“These ranged from a reduction of 40 per cent to an increase of over three times.

“This potentially means very large rate increases for some and a reduction in rates for others.”

The council proposed to introduce a new rating category for small crops, and to limit the rates increase in small crops and agriculture categories to 50 per cent, to “smooth” the impact of the changes.

“This is still a very large increase but without these measures some assessments would have more (than) doubled,” read the overview.

The draft budget also includes some savings on rates and charges paid by developers, which the council said it hopes will encourage development in the region and growth in population.

“In an effort to encourage new blocks being brought to market it is proposed to reduce the service charges and increase the discount developers receive prior to selling these blocks from 40 per cent to 70 per cent,” read the budget documents.

‘Reforms’ have also been made to the pricing and operation of water and waste services.

The draft budget proposes that water consumption charges and gate fees for commercial waste are increased.

Initiatives like the introduction of a landfill access charge and changes to facility operating hours are also likely to take effect across the region.

Southern Downs Mayor Vic Pennisi said plenty of thought went into developing the 2021-22 budget and ensuring it takes into account all areas of the council’s obligations.

“Finding the right balance between the ‘needs/musts’ and separating out our ‘wants’ has been tough and no part of the organisation has been spared a haircut,” Cr Pennisi said.

“There is no silver bullet and a lot of work lies ahead. We need to cut the cloth to align with our core business and this is a realistic budget that addresses significant issues like the escalating cost of disposing of our waste and the continued work needed to ensure our water security.

“We can no longer afford to subsidise waste and water from general rates.”

Cr Pennisi said the 2021-22 budget is a ‘no frills’ budget that aims to sustain growth in the region without putting unreasonable pressure on future generations.

The council has invited members of the public to review the 2021-22 draft budget and submit their feedback to budget@sdrc.qld.gov.au or via the form under the ‘Have Your Say’ heading on SDRC’s website before Friday 11 June at 5.00pm.