[Andrew Butcher]

Hi everyone

The OLG have been extremely supportive in acknowledging this issue, the following is the OLG’s response. I know this may not appear to be very helpful, but I think it is great that the conversation has started and would encourage everyone to keep providing their evidence.

Thank you for your email of 31 July 2024 raising concerns on behalf of a number of regional councils about Property NSW seeking rating exemptions for NSW Police Force housing.

I note that NSW Property is seeking exemptions from council rates under the Local Government Act 1993 (the Act), and I recognise the implications this has on councils and the distribution of the rating burden across a council area.

As you are aware, the Legislative Council is undertaking an inquiry into the ability of local governments to fund infrastructure and services (the Inquiry). The inquiry is examining the level of income councils require to adequately meet the needs of their communities and is considering the current levels of service delivery and financial sustainability in local government. The Inquiry is an important opportunity for experiences, views and recommendations to be heard about how we address long term council financial sustainability. A significant number of councils have made submissions and appeared at hearings, and I would like to thank the Revenue Professionals for taking an active part in the Inquiry.

The matter of rate exemptions was discussed at the Inquiry, and I can advise that the Minister for Local Government is open to looking at the concept of rating exemptions and will be guided by what the Inquiry recommends.

In the interim, if the relevant councils are of a view that the rating exemptions being sought by Property NSW are not in accordance with the exemption framework available under the Act, they are encouraged to deal directly with Property NSW on a case-by-case basis.

I would like to take this opportunity to thank you and the Revenue Professionals for its ongoing commitment to collaborate with and provide advice to the Office of Local Government (OLG) about local government rating and revenue.

Regards,
Andrew