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Clarence Valley Council will write to the NSW government about the cost increase in the Emergency Services Levy for the 2023/2024 financial year which helps fund NSW Fire and Rescue, the RFS and the SES (pictured). Image: Yamba SES  

Emergency Services Levy reversal unanimous

Rodney Stevens

 

Clarence Valley councillors voted unanimously to support Ian Tiley’s mayoral minute at the May 23 council meeting to make representations to the NSW government concerning the increase in the Emergency Services Levy.

Cr Tiley described the increase to the Emergency Services Levy for the 2023/2024 financial year as highly damaging and told the council meeting the motion was formed around a template provided by Local Government NSW.

He said the motion was moved as councils were ‘hit with a major cost shift’ from the NSW government regarding the Emergency Services Levy ESL, increasing Clarence Valley Council’s CVC annual contribution to the levy by $133,848 to $1.765 million.

The NSW government collects 11.7 per-cent of the ESL from councils and the remainder from insurance policies to assist in funding Fire and Rescue NSW, The State Emergency Service and the NSW Rural Fire Service.

The motion calls on the NSW government to restore the previous ESL subsidy, plus introduce legislation to decouple the ESL from the rate peg so councils can recover the full cost of the levy.

At the May CVC meeting councillors voted unanimously to support the motion that council writes:

  1. To the Treasurer, the Minister for Emergency Services, the Minister for Local Government and local State Member(s):
    1. Expressing Council’s strong opposition to the NSW Government’s last-minute decision to impose an enormous Emergency Services Levy (ESL) cost increase on councils for 2023/2024 by scrapping the ESL subsidy for councils and at a time after Council has publicly advertised its Operational Plan and annual budget to the community;
    2. Noting that as a consequence of the unannounced 73% increase in the State Emergency Service budget and an 18% increase in the Fire and Rescue NSW budget, Council’s 5.4% rate increase to provide essential community services and infrastructure has been significantly eroded.
    3. Advising that the Government’s decision may/will lead to a reduction in important local services and/or the cancellation of necessary infrastructure projects;
    4. Calling on the NSW Government to take immediate action to:
    5. Restore the ESL subsidy in 2023/2024
    6. Urgently introduce legislation to decouple the ESL from the rate peg to enable councils to recover the full cost.
    7. Develop a fairer, more transparent and financially sustainable method of funding critically important emergency services in consultation with local government.
  1. To the Chair of the Independent Pricing and Regulatory Tribunal (IPART) advising that Council’s forced emergency services contribution is manifestly disproportionate to the 2023/2024 rate cap, which has resulted in additional financial stress.
  2. To the President of LGNSW seeking the Association’s ongoing advocacy to bring about a relief in the burden of Councils’ emergency services contribution.