[Carmel Waters]

Hello,
A local tennis club leases the premises from Council and are disputing the business rates that they are being charged & want to be NR. It has become a very political topic here. Has anyone had a similar experience and how do you rate other sports clubs. Appreciate any advice.
Carmel

[Andrew Butcher]

Hi Carmel

Unfortunately, there is no scope to grant an exemption, if the land is owned by council, then I assume council is paying the rates and charging the tennis club outgoings in accordance with the lease? If so, then Council could move to a contribution in the lease rather than full recovery of outgoings.

We have done this for some charities that lease from us which is negotiated during the lease. If the council takes this path for one club, then I would recommend constructing a policy around the decision because all lease holders will have a view that they are not making a profit so should also be exempt too.

I hope this is helpful.

Regards,
Andrew

[Carmel Waters]

Thank you Andrew – the notice has been issued straight to the tennis club to pay, as per their lease. I really appreciate your information.

[Simone Fisher]

Hi Carmel, I’ve had a similar situation at 2 Councils. Both became very political. The outcome for both was a negotiation when the new lease was due & Council agreeing to pay future years rates & not passing full amount onto the tenant.
Thanks
Simone

[Trevor Holland]

Hi Carmel
Came across this situation when I was up at Port Macquarie Hastings Council. Didn’t like it when I started levying rates and charges on them as per the lease.
Not sure if that is the still same as this was about 20 years ago when this happened.
Know Port Macquarie used to use Section 356 Can a Council financially assist others? to help groups within the community with the payment of rates and charges. Can recall it being given to community halls and the like. Facilities that were provided to the community and maintained by the various groups etcetera.
Tennis club was not included as they were charging for court hire and coaching fees. They were seen to be a business.
Hope this is of some assistance.
Regards
Trevor

[David Grima]

Hi Carmel,
I am just reviewing exempt properties here and reckon there is about 20 to 30 that are exempt that shouldn’t be.
My thought is That groups are being provided a “sympathy” exemption or the notion is that Council is paying the rates for the property so we will exempt the property in the first place (which is the wrong treatment).
Other groups that won’t be happy when I remove the exemption will be groups like the Girl Guides, Boy Scouts etc.
Then there is the CWA but not sure whether I will take that group on as yet.
Dave

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