The new levy was set in place to support volunteer-led emergency services, however controversy has sparked due to the high rates to be paid by landholders.
Although it’s a Victorian Government tax, the levy will be collected through council rates notices.
Benalla Rural City and Strathbogie Shire Councils have all expressed concerns on the ESVF, which is set to be enforced on July 1.
Benalla Rural City Council
Modelling predicts the total levy collected from Benalla Rural City ratepayers will increase by 81 per cent, rising from $2.37 million to $4.29 million.
Local farmers are expected to be the most disadvantaged by this change, with an average 137 per cent increase in their levy contributions.
Residential landowners will face a 58 per cent average rise, while commercial properties are projected to see a 69 per cent increase.
Council expressed deep concern over the disproportionate impact on rural ratepayers, particularly primary producers, who already face unique financial pressures.
Benalla Mayor Bernie Hearn said council was committed to protecting its ratepayers and advocating against policies that negatively impact local residents.
“Only a small percentage of this levy will actually be passed onto volunteers, and there is no guarantee any of the revenue raised in Benalla Rural City will be used to support our CFA or SES volunteers,” Cr Hearn said.
Strathbogie Shire Council
Strathbogie Shire Mayor Claire Ewart-Kennedy spoke out on the levy a day before it was passed in parliament.
“The state is shifting both cost and responsibility onto local government, without any support or detail about how exemptions will be applied or resourced,” she said.
“This also risks confusion in the community - many residents may mistakenly believe this is a council charge.
“We stand alongside other rural councils, in urging the government to reconsider this unfair and poorly communicated policy.
“Strathbogie residents already do their fair share to support emergency services - this new levy will hit them where it hurts the most.”
Council has also put forward a number of requests to the Victorian Government, including:
- Abandon the proposed ESVF legislation and levy increase
- Remove the requirement for councils to collect the levy on behalf of the state, with the State Revenue Office instead taking on this role
- A review and recalibration of the levy formula to avoid unfair financial impacts on rural and regional communities
- A guarantee that funds raised from regional Victoria will be reinvested directly into emergency services in those same communities
For more information on what to expect with the Emergency Services and Volunteer Fund, visit https://tinyurl.com/5ev4shyz
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