Councillor Rod Schubert raised the urgent business, and Cr Kieron Eddy seconded it, after receiving legal advice from Maddocks law firm through the Municipal Association of Victoria — the legislated peak body representing local governments in Victoria.
Regarding the Emergency Services and Volunteers Fund, MAV advised council that:
- Councils are legally required to collect the ESVF.
- If a ratepayer doesn’t pay the total amount of council rates and the ESVF levy, councils must proportionally allocate the payment to include a portion for the levy.
- Councils can’t issue a separate rate notice for the ESVF and it must be included in the annual valuation rate and charge notice.
Cr Schubert made the recommendation that council acknowledge its legal obligation to comply but strongly object to the imposition of the responsibility, which shifts a state taxation burden on to local government operations and potentially impacts the relationship between council and the community.
Cr Schubert said he was concerned that ratepayers would think the charge had been imposed by council, not the Victorian Government.
“There’s major concerns that we are now the tax collectors for the state government, which I’m absolutely against,” Cr Schubert said.
“The ESVF is going to be included in the council rates notice, it’ll have Greater Shepparton City Council on the rates notice.
“That’s why I believe we need to write to the relevant state government authorities.”
Cr Eddy said council had been put in an “extremely uncomfortable position”.
City of Greater Shepparton Mayor Shane Sali said council was “100 per cent against” the tax, and council has shared its concerns.
“Where it’s a concern that hasn’t really been detailed and support hasn’t come our way, is the significant resource burden it will have on our organisation if the community choose to object to this,” he said.
“That’s where it becomes a real issue for council.
“There’s limited room for local government to separate whether we include this on our formal rates notice or not.
“I think it’s really clear where we sit.
“We’ll continue to inform our community, but we acknowledge this is a state government-imposed tax, not a Greater Shepparton City Council-imposed tax.”
All the councillors at the meeting shared similar thoughts and the motion was carried unopposed.
Replacing the Fire Services Levy from July 1, the ESVF will be collected through council rates and charges property owners based on land type and value.