LGA COVID-19 Regulation

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  • #18948
    Emma Murphy
    Participant

      Inverell Shire

      Hi,

      Just checking my knowledge, regarding Local Government (General) Amendment (COVID-19) Regulation
      (No 3) 2020. Section 747B…this is now active until 25/3/2021???

      Just wondering how/what other Councils are currently doing in regards to debt recovery.

      We have been actively attempting to make phone/email contact with ratepayers who had a balance outstanding on June 30, providing payment options etc. Which is working well with some.

      Council had chosen to take a gentle approach to debt recovery during Covid and planned to increase the recovery after Christmas, however March seems so far away to continue to be gentle. Especially on those ratepayers who are repeat offenders.

      #18950
      Dallas McConnell
      Participant

        Wollongong

        Hi Emma,

        We are very similar here in the gong as to your approach.

        We have had recovery action on hold during this time (we also stopped outbound calls).

        I also intend to recommence recovery action in the new year (pending approval from executive).

        The advice from our General Counsel is under 747B, it states Council should “consider” the steps required, which doesnt directly prohibit you from taking recovery action and our normal recovery process takes in the recomendations from 747B.

        Its going to be an interesting time in the recovery space for a near future.

        Regards,
        Dallas

        #18949
        Andrew Butcher
        Keymaster

          Hi Emma
          I am not sure what path we are going to take at this stage, however i think its important to take the following into account. I also agree with Dallas’ post above and will probably modify our recovery commencement letter to consider the items outlined below.

          Clause 413L of the Local Government (General) Regulation 2005

          413L COVID-19 pandemic—extension of prescribed period
          The prescribed period referred to in section 747AA of the Act ends at the end of 25 March 2021.

          So that means that unless you have taken the following steps, formal recovery is not allowed until 26 March 2021.

          747AB COVID-19 pandemic—recovery of unpaid rates
          During the prescribed period, proceedings for the recovery of a rate or charge may not be commenced against a person by or on behalf of a council under section 712 unless the council has considered each of the following—
          (a) whether the payment of the rate or charge could be made in instalments or by way of some other financial arrangement,
          (b) whether the person should be referred to a financial counsellor,
          (c) whether mediation or alternative dispute resolution should be attempted first,
          (d) whether interest on the unpaid amount should be deferred or waived.

          I hope this is helpful.

          Regards,
          Andrew

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