Friday 6 July 2012

Horror rates rumour 'untrue' (#810)


Keep those emails and letters to your councilors going.  Your correspondence and some of the replies you are receiving from Councilors will help to uncover misunderstandings.  Once exposed, a genuine cause of concern can usually be addressed as long as there is good will and understanding on all sides.
A case in point is the central question of how the pool might be paid for in the long term.  We’ve explained elsewhere that DACCI Plan A should cost the average ratepayer roughly $1.50 per week or $78 per year to implement - which happens to correspond to 7% of last year’s average rate.  For someone paying the average ($1,119) it doesn’t matter whether the bill is linked to a predetermined percentage or a pre-determined dollar amount.

But if you insist on using percentages you very quickly get into trouble.  For although about 80% of ratepayers pay the average rate or less, the other 20% pay more.  Herein lies the problem.  Because the curve describing “who pays how much” is highly skewed, farmers and others who already pay large rates may be lumbered with a pool contribution that’s unfair.  That is very definitely not part of DACCI’s plan.

We see the aquatic facility as a service to the community.  It would provide primary health care through community participation in fitness programs across all ages; safe swimming for our children; therapy for the injured and infirm; and social cohesion through sport.  It is a service that should cost the remote farming family with large acreage no more than it costs a resident of quarter-acre block in town.

Clearly, contributions need to be capped in some way.  The simplest tool to use would be a levy that added a fixed amount to each rates notice just like the Emergency Services Levy [ESL].  In fact, a swimming pool shares many of the features of the ESL.  Both are special in the sense that funds collected are dedicated to a specific purpose: they can’t be used for anything else.  Moreover, when rates need to increase for reasons beyond Council’s control (as they probably will this year), both a pool levy and the ESL remain quarantined.  Both provide services that are equally important to the social fabric and well-being of the community.  Tell me that you don't need firefighters, the SES  and volunteer sea rescue crews and I’ll agree that you don't need a pool.

Could a levy or specific service charge be the solution?  Well that depends on an interpretation of the Local Government Act 1995.  Section 6.38 implies that this could be done  - but we need a legal opinion on that or some imaginative footwork from the financial whizzes at the Shire.
 
Don’t have a bar of any fear campaigns.  Stay clear-headed and critical and come down to Council Meetings to show your representatives that you want them to get on with the job with a solutions-focused agenda.

Cyril Edwards, DACCI, denmarkpool@gmail.com and http://www.denmarkpool.blogspot.com.

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