5.8 per cent

By Melissa Grant
RESIDENTIAL rates will rise 5.8 per cent as the Cardinia Shire Council invests $19 million in community infrastructure.
The rise is less than the 7 per cent increase flagged last year, while Newstart allowance recipients will be eligible for a $50 rebate and interest-free repayment arrangements.
The council will continue to fund projects announced in last year’s budget including the $5.3 million Holm Park Road Recreation Reserve project, as well as renewing assets such as roads, bridges and footpaths.
The council’s 2009/10 budget was released for public comment on Monday night, following a lengthy debate about rate rises and debt reduction.
Central Ward councillor Collin Ross slammed the rate increase saying it was excessive, while Ranges Ward councillor Ed Chatwin said a seven per cent rise might have been more appropriate. Cr Ross also expressed disappointment about the council’s debt reduction plan, unhappy that the council would be forking out $3 million a year in interest payments.
The council’s $44 million debt will only drop $1.4 million over the coming financial year, despite pre-election promises of massive debt reduction.
However, councillors have committed to shaving $8.9 million off the figure over the next four years. Crs Ross and Chatwin were the only civic leaders to oppose the budget; with the remaining five saying it presented the best possible outcome.
Mayor Bill Pearson said it would deliver the right balance between serving the shire’s record development and ensuring support for families during global financial uncertainty.
“The 2009/10 budget has been developed to enable council to continue to meet the challenges associated with a rapidly expanding population,” he said.
Central Ward councillor Brett Owen said he was pleased with the budget, particularly the $19 million “robust” capital works program.
“Most people are happy to see their rates being spent if they see a result,” he said.
But Cr Ross said the majority of ratepayers wanted lower rate rises, after calling or doorknocking about 7000 homes during his election campaign. He was critical that the 5.8 per cent rise was well above inflation, which sits at about 2.5 per cent.
“There are so many hurting people out there in the community,” Cr Ross said. But Cr Chatwin said government grants had dried up and ratepayers had to pick up the tab.
“I ask ratepayers to look beyond their hip pockets,” he said. Cr Chatwin also wasn’t a fan of the council’s capital works program, saying it was too large.
“If the shire was less ambitious and spread its capital works program over six years, debt would come down quicker,” he said.
Highlights of the shire’s 2009/10 capital works program include:
•$1.25m for the Bunyip Multipurpose auditorium,
•$2.8 million funding to complete the Regional Tennis Centre, Webster Way, Pakenham,
•$860,000 funding for Holm Park Road Recreation Reserve, Beaconsfield (total cost $5.3 million),
•$7.02 million for asset renewal including roads, bridges and buildings, footpaths and drainage replacement, recreation reserves and sporting facilities, and
•$400,000 for new roads and drains, $480,000 for special charge schemes and $450,000 for new footpaths.