Moorabool council denied power over rates

CHANGES to differential rates guidelines for councils could make it easier for mining companies to set up business in Moorabool.

With Bacchus Marsh slated as a potential home for a coal mine, Municipal Association of Victorian president Bill McArthur said the changes were a “direct assault on the autonomy of councils”, giving Local Government Minister Jeanette Powell ultimate power of how rates are administered.

“This is very much relevant to these [extractive] industries as they affect local roadways as they go about their business. Council funds are mostly spent on local roads,” Mr McArthur said.

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The changes to the Local Government Act set out three categories of differential rates: those that are appropriate, those that are inappropriate, and those that must be carefully considered before being applied. Land deemed for residential, general, farm, commercial, industrial, retirement village, vacant, derelict or cultural and recreational purposes remains appropriate for differential rates.

However, under the changes, councils will find it harder to apply differential rates to land for electronic gambling machine venues or casinos, liquor licensed venues or outlets, fast food franchises and tree plantations in farming and rural activity zones.

Ms Powell said the changes were needed to prevent councils from extending their taxation powers and pursuing agendas.

“We are drawing a line in the sand about what is and is not appropriate so we do not see differential rates radically extended to include fast food premises, tattoo parlours and bingo halls or whatever the next soft target business might be.”

The guidelines will come into effect next financial year.