2.7 per cent rate rise for all land categories

Earlier this month the NSW Valuer General issued new land values for rating in the local government area, reflecting the property market at July 1, 2018, which council then use to distribute rates.

Cr Russell Holden moved that they use rate model 1, using the new land values and applying the full IPART capped increase of 2.7 per cent evenly across all rating categories. "The reason I put rate model 1 up is because it's fair to everybody, it's an even spread across everything," he said.

However, an amendment brought by Cr Esme Martens called for the 2.7 per cent overall increase, with no increase to farmland and the balance distributed evenly across the other categories. "The last 12 months in this region have seen, in many respects, a catastrophe amongst the farmers. Many farmers have had zero income for the last 12 months," she said.

In the ensuing debate, Cr Peter Shelley spoke to the motion and said "2.7 across the board is obviously fair" and pointed out that looking at the long term figures the farming category has "fared better" given the relief it has received in the past.

"No one likes their rates going up, no one likes paying rates, the fact is that residential rates are also hit with numerous other charges and fees that are compulsory and payable to Council because of the services they receive," he said.

"Over the last 12 years the business rate has gone up 43.91 per cent, the farming rate has gone up 30 per cent, mining coal has gone up 93.13 per cent, mining rate has gone up 429 per cent*, residential rural has gone up 35.41 per cent, and residential urban has already gone up 51.59 per cent.

"When you look at the figures the farming rate has certainly fared better off than any other rate category over the last 12 years. Because this Council has recognised in the past - and when we're able - to give rate relief.

"Unfortunately, businesses and residential don't get the relief that the other business - farming rates - do get. And there's been billions spent by Federal Government, I don't begrudge it, but there's no such support for businesses or residents.

"Cr Martens says she knows farmers who haven't had any income for the past 12 months - and I sympathise - but businesses in Rylstone and Kandos haven't had income for the last five years. They're relying on debt and the only good thing about valuation increases in their homes is they can borrow more.

"So let's be fair, put it across the whole gambit and let's just get on with it - we do this every single year."

Mayor Des Kennedy called for perspective and said that it wasn't fair that the other categories carry the increase.

"If we could not charge the farmers rates this year, but not penalise anyone else, we would. But don't lose track of what we're talking about here, for every thousand dollars of rates you have to pay you've got $27 more this year (2.7 per cent)," he said.

"So if your rates are $10,000 - which is a pretty big property and you should be going alright - you're going to pay $270 more, it's not the make-or-break. I don't know why, Cr Martens, you get yourself in an uproar over a small amount of money and you expect the business houses and the poor old lady on a pension to pick up what you don't want to pay. If you reckon that's fair, I don't know what planet you're on."

The amendment was lost six votes to three.

A foreshadowed amendment was then put by Cr Percy Thompson, calling for no increase to farmland, 1.35 per cent increase for businesses and the balance distributed evenly across residential and mining categories at 3.9 per cent.

He said that Council need to "take into account people's capacity to pay" and "I know almost every farmer in the district and they've all told me similar things; they can't afford to keep paying and they can't borrow any more money". And added that he suggested this model because this added relief to businesses who would also be struggling.

This was also lost with the original motion then carried seven to two.

Cr Holden bemoaned that the debate is seemingly an annual event.

"I've been hanging around this joint for about 14 years and every single year at this time there has been an argument over a zero increase in farmers' rates. And I can think of a number of years that actually happened and a couple of times that we gave them a lesser rate than everyone else," he said.

"I have the greatest amount of sympathy for farmers, but if the farmers can't spend the money in the businesses then they're doing it tough and if the ratepayers have got extra rates they don't have the money to spend. This is all extremely cyclic, let's just spread it out evenly and be done with it."

*[The size of this increase is due to a change in the way land values are determined for coal mines].