{"id":170329,"date":"2017-02-19T21:50:04","date_gmt":"2017-02-19T11:50:04","guid":{"rendered":"http:\/\/southburnett.com.au\/news2\/?p=170329"},"modified":"2020-09-22T15:25:00","modified_gmt":"2020-09-22T05:25:00","slug":"members-hold-out-hope-for-region","status":"publish","type":"post","link":"https:\/\/southburnett.com.au\/news2\/2017\/02\/19\/members-hold-out-hope-for-region\/","title":{"rendered":"Members Hold Out Hope For Region"},"content":{"rendered":"
\"\"<\/a>
Member for Maranoa David Littleproud and Member for Wide Bay Llew O’Brien have responded promptly to concerns a three-year freeze on an essential Federal Government grant to Councils could lead to a 12 per cent rate rise and job losses in the South Burnett<\/figcaption><\/figure>\n

February 20, 2017<\/strong><\/p>\n

Member for Wide Bay Llew O’Brien and Member for Maranoa David Littleproud have reacted swiftly to a warning South Burnett council rates could rise by up to 12 per cent if a three-year freeze on FAGs grants isn’t lifted in this year’s Federal Budget.<\/p>\n

On Friday, the Australian Local Government Association released case studies showing the effects a freeze on indexing Financial Assistance Grants (FAGs) was having on 59 councils around Australia.<\/p>\n

Until the freeze was introduced in the 2014-15 Budget, FAGs grants rose each year to cover cost of living increases and population growth.<\/p>\n

The effect of the freeze has been most strongly felt in regional and remote councils, which lack the financial resources enjoyed by larger metropolitan councils to pay for community services.<\/p>\n

The ALGA case studies included the South Burnett.<\/p>\n

They projected the SBRC would need to raise rates by more than 12 per cent, cut almost 10 per cent of its workforce, and close libraries and swimming pools to make up for the funding shortfall if the freeze wasn’t lifted.<\/strong><\/p>\n

The ALGA said the Federal Government had implied the freeze would be lifted in 2017-18, but had so far failed to give any iron-clad guarantee.<\/p>\n

South Burnett Mayor Keith Campbell has been a fierce critic of the FAGs freeze, which came about after the region\u2019s FAGs funding was unexpectedly cut by $1.4 million in 2012.<\/p>\n

Mayor Campbell estimated the three year FAGs freeze has cost the region a further $2.8 million.<\/p>\n

At present, FAGs grants make up around 13 per cent of the South Burnett Regional Council\u2019s annual income.<\/p>\n

On Sunday, Member for Wide Bay Llew O’Brien said he was supportive of all Councils in his electorate.<\/strong><\/p>\n

“I’m aware of Council and ratepayer concerns and, like them, I want to see rates as low as possible,” Mr O’Brien said.<\/p>\n

“The Federal Government is operating in a very tight financial environment and all expenditure is reviewed during the budget process to ensure taxpayers receive value for money.<\/p>\n

“I have let Local Government Minister Fiona Nash know about local concerns about rates and jobs, and I would expect that she will make an announcement regarding the indexation of Financial Assistance Grants once the budget processes are completed.”<\/p>\n

Member for Maranoa David Littleproud said he also had concerns about the FAGs issue, but questioned the ALGA’s approach.<\/strong><\/p>\n

“The ALGA’s case study on the South Burnett Regional Council is not a responsible one by such a representative body, and only causes unnecessary concern in the community,” Mr Littleproud said.<\/p>\n

“I have already made representations to Minister Nash with respect to FAGs funding.”<\/p>\n

Mr Littleproud said he believed the weighting in the methodology should change to increase FAGs funding to regional and remote councils at the expense of metropolitan councils, who have larger rate bases to fund services.<\/p>\n

“I challenge the ALGA and also the LGAQ – who have verbally indicated to me they wouldn’t support a change to the FAGs funding methodology to favour regional councils over metropolitan ones – to now back me to get a fairer share for regional councils like South Burnett.”<\/p>\n

Footnote:<\/b> Member for Flynn Ken O’Dowd was also approached for comment, but his response was not received by deadline.<\/p>\n

Related articles:<\/strong><\/p>\n