Councillor decrease not addressing farmer rates issue

TasFarmers today urged the Tasmanian Government to go back to the table on local government reform, warning that current proposals do little to address the financial and structural pressures bearing down on rural communities.

The number of Tasmanian councillors would be cut by 23 per cent under a state government plan, outlined in a discussion paper on Monday.

It proposed reducing the number of councillors from 263 to 203 but increasing councillors' annual allowance by at least 14.25 per cent, at "no net cost" to the community.

Local Government Minister Kerry Vincent said the model would "deliver more effective representation and fairer councillor pay".

TasFarmers President Ian Sauer said the proposal fails to tackle the deeper issues facing ratepayers and councils alike.

“These changes tinker at the edges, they don’t reduce the cost of local government, they don’t cut red tape, and they certainly don’t deliver rate relief,” Mr Sauer said. 

“Rural Tasmanians need a system that works for them, not just cosmetic adjustments.

“Shrinking the number of elected members only serves to condense representation to populated areas.

“It is already difficult to elect rural representatives; the bias will drift further to the population centres rather than in the regions.

“What problem is the Minister seeking to solve here? Have rate payers really been asking for this to be solved?”

TasFarmers has long called for reforms that focus on core efficiency, specifically, capping rate rises below the Consumer Price Index (CPI), streamlining bureaucratic processes and ensuring rural ratepayers are not subsidising urban infrastructure and services.

“Real reform should address the fundamental issues of rapidly escalating rates for primary producers for little or no reason.

“Farmers in several municipalities have seen their rates jump by double digits, with some facing increases of more than $5000. This is the real issue facing our farming rate payers,” Mr Sauer said.

In 2022, the Government commissioned an independent Local Government Board to review the structure and function of local councils. 

Its final report, delivered in October 2023, made 37 recommendations. 

While most were supported in principle, TasFarmers considers that the government’s current proposals leave many critical issues untouched.

“There’s a glaring omission when it comes to cost savings and meaningful reform,” Mr Sauer said.

“The government must explain why it’s ignoring practical steps that could ease the burden on families, farms and small businesses in the bush.

Mr Sauer is also seeking clarity on whether the Government believes Tasmania’s councils are operating as efficiently as their mainland counterparts, particularly in terms of rates, service delivery and accountability.

Mr Sauer is calling for a broader, more transparent consultation process that prioritises reforms delivering tangible benefits to all Tasmanians, not just those in the city.