City of Greater Dandenong Council will not “boycott” a hefty state-goverment emergency services levy on ratepayer bills, as City of Yarra seeks to build a legal challenge around an alliance of councils.
Greater Dandenong mayor Jim Memeti said the council will not boycott the Emergency Services and Volunteers Fund but “it probably needs a discussion” with council team and councillors.
“I haven’t really thought about it as well.
“No one will benefit out of this because (ratepayers) have to pay it anyway whether through council rates or any other way.
“So, it doesn’t make sense to boycott it, you still have to pay it,” he said.
From 1 July, the ESVF replaces the Fire Services Property Levy, and will be a significantly higher impost for ratepayers.
Cr Memeti noted that “the Liberal government in power (in 2013) introduced the (Fire Services Property Levy) that Council should collect that instead of insurance companies”.
“Council has been collecting it in the past, I’m not sure how many years.”
Cr Memeti said ther should be clearer communication with the community to ensure it’s known Council is merely collecting the fund for the State Government.
“A lot of people in our community think when they receive the rates the entire bill goes to the council, it doesn’t work like that.
“Potentially we could, maybe in our rates notices, explain that in different languages.”
Under the new levy, residents would have to pay almost the double variable rates compared to the Fire Services Property Levy (FSPL).
For residential properties, the median charge will grow by more than 30 per cent from $191 to $254.
Under the ESVF, the council expects to pay an additional $150,000 on council owned properties in 2025-26.
As reported by Herald Sun, City of Yarra mayor Stephen Jolly also seeks to legally challenge the introduction of ESVF and refuse to collect it on its behalf.
Australian Lawyers Alliance spokesman, Greg Barnes SC says there maybe a basis where the levy collection on behalf of the state government could be challenged.
“One of the issue might be whether state govt has power to delegate that collection mechanism or function to local govt.
“Sometimes that could be the ground for these kinds of cases.”
He says sometimes these sorts of cases in Australia’s highest courts and it would not be surprising that other Councils have eyes on City of Yarra “and join the challenge.”
The proposal will be debated by Yarra councillors on June 17.
