[Andrew Butcher]

Hi Suzi

Not that I am aware of anything at this stage. I am aware of a number of discussions between LGNSW and the Ministers Office in drawing attention to the issue and note the following resolutions came out of their Special Meeting held this week.

3 LGNSW Board – 2022-23 rate peg determination
That Local Government NSW:
1. Implores the NSW Government to urgently intervene and overturn IPART’s aberrant base line
rate peg determination of 0.7% for 2022-23 to ensure that no council is financially
disadvantaged.
2. Notes that this shock determination will have a devastating impact and exacerbate the financial
impacts on councils and communities of natural disasters and the ongoing COVID pandemic.
The total shortfall in rate revenue is estimated to be $80-$100 million in 2022-23, with a
compounded impact of up to $134 million over ten years. This issue goes to the very survival of
many councils in NSW and the Government is urged in the strongest manner possible to take
immediate action to save the sector from financial ruin.
3. Calls on the NSW Government to provide councils across NSW an operating grant equivalent to
the revenue difference between a 0.7% rate increase and what a 2.5% rate increase would have
been, noting this will still not adequately cover the cost increases being experienced by NSW
Councils.

I hope this is helpful.

Regards,
Andrew

[Andrew Butcher]

The IPART has changed the timeframes for this review, the email below has been issued today:

Thank you for registering for the public hearing on 29 April 2022 for IPART’s Review of Domestic Waste Management Charges. IPART has agreed to a request from Local Government NSW to extend the submission period for this review until 29 April 2022. As a consequence we have pushed back the public hearing until Tuesday 7 June 2022 (10.00am – 2.00pm). Unfortunately we are not able to automatically transfer your registration. Would you please check your availability for Tuesday 7 June 2022 and re-register (see below link) if you can make 7 June. We apologise for any inconvenience.

Register

Regards,
Andrew

[Andrew Butcher]

Hi Matthew
Completely agree with everything Cherie has said, the minimum for Special Rates is $2 however the Minister can determine another amount by instrument (Section 548(3)(b)).
The only limitation for a Special Rate is that it cannot fund Domestic Waste Management (Section 495).
If council’s proposal is to apply for an SV for a period of one or more years you will need to be mindful of the implications when it finishes, you will need to reduce your permissible by the $300k plus any general variation percentages applied each year to it.
Also, there are changes to special rates in the amendment Act that allow councils to apply a Special Rate without an IPART approved variation. They are limited to joint infrastructure projects with other levels of government.

Regards,
Andrew

[Andrew Butcher]

Update on this matter:

The NSWRP has made a submission to the OLG suggesting two possible solutions.
1. Councils be allowed to submit a ‘streamlined’ special variation that aligns with their 2021-2031 Long Term Financial Plan within the CSP. This approach is on the basis that each community has set their expectations and councils have determined how this will be funded. For example, councils with 2% in their LTFP an SV bridging the gap of 1.3% should be allowed (bringing the cap up to 2%).
2. The Minister intervene and ask IPART to recalculate the LGCI based on the annual movements between September 2020 and September 2021. This approach is on the basis that the peg announcement had been delayed (due to election) to December and indices would be more relevant and more up to date.

We are working with LGNSW on their approach and I will provide a further update as this progresses.

Hope you are all keeping safe and have great Christmas and Happy New Year.

Regards,
Andrew

[Andrew Butcher]

Further to Roberts post above please find attached reviewed information paper from IPART. This can also be found on their website.

Information-Paper-Rate-peg-information-paper-2022-23-13-December-2021 UPDATED

[Andrew Butcher]

Hi Cherie
This matter was raised at the RP Executive Committee meeting held yesterday. The OLG, Valuer-General and LGNSW were in attendance when raised and the VG agreed to participate in meeting with LRS to discuss the issue raised.
It would be great to hear from other councils experiencing addressing problems, that will add some weight to the discussion.
Thank you for raising, will keep you posted.

Regards,
Andrew

• This reply was modified 4 years, 6 months ago by Andrew Butcher.

[Andrew Butcher]

Hi Lyndal
Not sure if I am understanding the issue here properly but councils can levy a special rate ‘towards meeting the cost of any works, services, facilities or activities provided or undertaken, or proposed to be provided or undertaken‘ by the council.
If I am understanding this correctly it looks like you can levy a Special Rate.

Regards,
Andrew

[Andrew Butcher]

Hi Cherie
We have had a number of issues with addressing since LRS took over from LTO.
Nothing has been investigated to prove where the issue has been made but we have provided written advice to landowners confirming the address used had been provided by LRS on a NOS/transfer of land. We have long suspected that an error is occurring between PEXA and LRS but the number of incidents and impost of interest very low.
If you have some evidence that I can take to LRS proving discrepancies between PEXA and LRS (just dealing #) I would be happy to do so.
It would be great to learn if this issue is happening at other councils and if there have been consequences on ratepayers.
You can contact me off-line or through this post.

Regards,
Andrew

[Andrew Butcher]

Thank you to everyone that has posted a reply, needless to say we will progress this and deliver training.

The OLG has initiated a Rating Reference group to provide technical support to develop the required regulations, guidelines and update the Rating and Revenue Raising Manual. Once this group has been established and delivered an update on training will be provided.

A lot of work has been done in compiling training based on what we know so far, the next steps will be to integrate the regulations and guidelines into this body of work which should not take long to do. We will know more once the rating reference group has a timeline and the regs have been completed.

Regards,
Andrew

[Andrew Butcher]

The IPART issued its final report to the NSW Government on 10 September 2021 it has since been publicly released;

Final-Report-Review-of-the-rate-peg-to-include-population-growth-September-2021

Regards,
Andrew

[Andrew Butcher]

Hi Jeanette

Was just on the website when this post came up and think you might find the answer in the following court case; Mangoola Coal Operations Pty Limited v Muswellbrook Shire Council [2021] NSWCA 46

You can find it under categorisation below the case law link.

Hope you are well and keeping safe.

Regards,
Andrew

[Andrew Butcher]

The IPART has issued its draft report which can be found here;
IPART Draft report
Please post any comments or items in relation to this document so that they can be considered in our submission.

Regards,
Andrew

[Andrew Butcher]

Hi Jo-louise
Only recently been released, you can find this on the link to OLG:
2021-22 SoC workpapers
Also a reminder to everyone, can you please send your completed Statement of Compliance to admin@revpronsw.dev.nucleoserver.com

Regards,
Andrew

• This reply was modified 4 years, 11 months ago by Andrew Butcher.

[Andrew Butcher]

Hi Michael
We resisted this for the reasons you have identified, a 603 certificate is not a billing system, however the team became tired of arguing the point with conveyancers and so we relented.
Yes we have an ELNO BPAY biller code which shows on the reverse side of our 603 certificate. Having a separate biller code has been very helpful in identifying settlement payments as opposed to ratepayer BPAY payments.
As you have also identified BPAY will not approve the use of their framework without the BPAY logo, we have this on our certificates, albeit somewhat despondent about doing so.
I hope this is helpful.

Regards,
Andrew

[Andrew Butcher]

Hi Mel
This is unacceptable and needs to be raised with the OLG.
I will make sure that it is on our next Executive Committee agenda and let you know the outcome.

Regards,
Andrew

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